New Issue: Avis Budget prices $250 million Libor plus 275 bps floater due 2017 at 98.75

By Paul A. Harris

Portland, Ore., Nov. 20 - Avis Budget Car Rental, LLC and Avis Budget Finance, Inc. priced a $250 million issue of Libor plus 275 basis points senior floating-rate senior notes due Dec. 1, 2017 (expected ratings B2/B/) at 98.75 on Wednesday, according to an informed source.

The reoffer price came at the rich end of price talk in the 98.5 area.

Citigroup Global Markets Inc. was the bookrunner.

The Parsippany, N.J.-based provider of vehicle rental services plans to use the proceeds to redeem its existing floating-rate senior notes due 2014 and its floating-rate term loan due 2016 and for general corporate purposes.

Issuers:	Avis Budget Car Rental, LLC and Avis Budget Finance, Inc.
Face amount:	$250 million
Proceeds:	$246,875,000
Maturity:	Dec. 1, 2017
Securities:	Floating-rate senior notes
Bookrunner:	Citigroup Global Markets Inc.
Coupon:	Libor plus 275 bps
Price:	98.75
Call features:	Make-whole call at Treasuries plus 50 bps until June 1, 2015, then callable at 102, 101 on June 1, 2016, par on and after Dec. 1, 2016
Equity clawback:	35% at par plus Libor plus 275 bps until June 1, 2015
Change-of-control put:	101%
Trade date:	Nov. 20
Settlement date:	Nov. 25
Expected ratings:	Moody's: B2
	Standard & Poor's: B
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	Libor plus 275 bps at 98.5 area
Marketing:	Quick to market

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