Business Services Industry

AutoNation reaches agreement - Big Deals - ANC Rental Corp. agreement - Brief Article

South Florida CEO, May, 2003

* Fort Lauderdale-based AutoNation announced it has signed an agreement with ANC Rental Corporation and the unsecured creditors' committee appointed in ANC's bankruptcy. The agreement resolves potential claims relating to the bankruptcy and to the spin-off of ANC (a rental car company) by AutoNation in 2000.

Terms of the agreement state that AutoNation will continue to guarantee certain bonds issued by ANC until December 2006, capping AutoNation's obligation at $29.6 million. Upon ANC's successful exit from bankruptcy, AutoNation will guarantee an additional $10.5 million of ANC bonds until December 2006. AutoNation is the country's largest automotive retailer, and was accused of spinning-off ANC without sufficient capital for ongoing operations.

COPYRIGHT 2003 Americas Publishing Group
COPYRIGHT 2003 Gale Group
 

BNET TalkbackShare your ideas and expertise on this topic

Please add your comment:

  1. You are currently: a Guest |
  2.  

Basic HTML tags that work in comments are: bold (<b></b>), italic (<i></i>), underline (<u></u>), and hyperlink (<a href></a)

advertisement
advertisement
  • Click Here
  • Click Here
  • Click Here
advertisement
Click Here

Content provided in partnership with Thompson Gale