CKE Press Release
January 04, 2012
CKE Restaurants, Inc. Announces Partial Redemption of 11.375% Senior Secured Second Lien Notes Due in 2018
CARPINTERIA, Calif.--(BUSINESS WIRE)--CKE Restaurants, Inc. (“CKE”) today announced that its tender offer (the “Tender Offer”) for up to $27,871,000 aggregate principal amount of its 11.375% Senior Secured Second Lien Notes due 2018 (the “Notes”) at an offer price of 103% of the principal amount thereof expired December 29, 2011, with no tenders. CKE had been required to make the Tender Offer under the terms of the Indenture governing the Notes (the “Indenture”) as a result of CKE’s completion of a series of sale leaseback transactions involving certain restaurant properties.
CKE today also announced that it had completed on January 4, 2012 its previously-announced redemption of $20.0 million aggregate principal amount of the Notes. In accordance with the Indenture, the Notes were redeemed at a price equal to 103% of the principal amount of the Notes, plus accrued and unpaid interest to, but not including, the redemption date. Under the terms of the redemption, the aggregate principal amount of Notes to be redeemed would have been reduced dollar for dollar by the aggregate principal amount of Notes in excess of $10.0 million purchased by CKE pursuant to the Tender Offer. As no Notes were tendered in the Tender Offer, CKE completed the redemption for the full $20.0 million aggregate principal amount.
Upon completion of the redemption (and reflecting previous open market purchases of the Notes by CKE), approximately $532.1 million aggregate principal amount of the Notes remains outstanding.
CKE Restaurants, Inc.
As of the end of its third quarter of fiscal 2012, CKE, through its subsidiaries, had a total of 3,219 franchised, licensed or company-operated restaurants in 42 states and in 23 countries. For more information about CKE, please visit http://www.ckr.com.
This press release includes statements relating to the Company’s future plans and developments, financial goals and operating performance that are based on management’s current beliefs and assumptions. These statements constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and are intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. Such statements are subject to risks and uncertainties that are often difficult to predict, are beyond the Company’s control, and which may cause results to differ materially from expectations.
You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. We undertake no obligation to publicly update or revise any forward looking statement, whether as a result of new information, future events or otherwise, except as required by law.Contact:
CKE Restaurants, Inc.