Valcourt, Québec, Canada, June 28, 2006 - Bombardier Recreational Products Inc. ("BRP" or the "Company") has completed its tender offer for all of its outstanding 8 3/8% Senior Subordinated Notes due 2013 (CUSIP No. 09776LAC0) (the "Notes"). The tender offer expired at midnight on June 27, 2006, New York City time. BRP has accepted for payment and will purchase all US $200 million of the Notes validly tendered pursuant to the tender offer, representing 100% of the total principal amount of the Notes outstanding.
The holders of the Notes will receive $1,104.38 per $1,000.00 principal amount of the tendered Notes. Holders will also receive accrued and unpaid interest on the tendered Notes up to, but not including, the Settlement Date, June 28, 2006.
Merrill Lynch & Co. acted as the sole Dealer Manager and Solicitation Agent for the tender offer and the related consent solicitation. Global Bondholder Services Corporation acted as the Information Agent and Depositary.
BRP, a privately-held company, is a world leader in the design, development, manufacturing, distribution and marketing of motorised recreational vehicles. Our portfolio of brands and products includes: Ski-Doo® and LynxTM snowmobiles, Sea-Doo® watercraft and sport boats, Johnson® and Evinrude® outboard engines, direct injection technologies such as Evinrude E TEC®, Can-AmTM all-terrain vehicles, Rotax® engines and karts. Information about BRP is available at www.brp.com.
This release contains certain forward-looking statements with respect to our financial condition, results of operations and business. All of these forward-looking statements, which can be identified by the use of terminology such as "subject to," "believe," "expects," "may," "will," "should," "can," or "anticipates," or the negative thereof, or variations thereon, or comparable terminology, or by discussions of strategy, although believed to be reasonable, are inherently uncertain. Factors which may materially affect such forward-looking statements include: (i) slow or negative growth in the recreational products industry; (ii) interruption of business or negative impact on sales and earnings due to acts of war, terrorism, bio-terrorism, civil unrest or disruption of mail service; (iii) adverse publicity regarding safety issues; (iv) increased competition; (v) increased costs; (vi) loss or retirement of key members of management; (vii) increases in the cost of borrowings and unavailability of additional debt or equity capital; (viii) changes in general worldwide economic and political conditions in the markets in which BRP may compete from time to time; (ix) the inability of BRP to gain and/or hold market share of its wholesale and/or retail customers anywhere in the world; (x) the inability of BRP's clients to obtain and/or renew insurance; (xi) exposure to, and expense of defending and resolving, product liability claims and other litigation; (xii) the ability of BRP to successfully implement its business strategy; (xiii) the inability of BRP to manage its retail, wholesale, manufacturing and other operations efficiently; (xiv) consumer acceptance of BRP's products; (xv) fluctuations in foreign currencies, including the Canadian Dollar; (xvi) import-export controls on sales to foreign countries; (xvii) introduction of new federal, state, local or foreign legislation or regulation or adverse determinations by regulators anywhere in the world; (xviii) the mix of BRP's products and the profit margins thereon; and (xix) other factors beyond BRP's control.
®, TM and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates.
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