Business Editors/Retail Writers
SIDNEY, Neb.--(BUSINESS WIRE)--September 29, 2008--Cabela?s Incorporated (NYSE: CAB), the World?s Foremost Outfitter® of hunting, fishing and outdoor gear, announced today that Cabela?s Credit Card Master Note Trust successfully completed the sale of $200 million in Asset-Backed Notes, Series 2008-IV.
The securitization transaction included the issuance of five classes of notes:
$98,000,000 of Class A-1 Notes, which accrue interest at a fixed rate of 6.48% per year;
$72,000,000 of Class A-2 Notes, which accrue interest at a floating rate equal to one-month LIBOR plus 3.00% per year;
$16,000,000 of Class B-1 Notes, which accrue interest at a fixed rate of 9.71% per year;
$8,500,000 of Class C-1 Notes, which accrue interest at a fixed rate of 12.07% per year; and
$5,500,000 of Class D Notes, which accrue interest at a floating rate equal to one-month LIBOR plus 20.00% per year.
Each class of notes has an expected life of approximately three years, with a legal maturity of approximately six years.
This securitization finances the growth of World?s Foremost Bank?s credit card portfolio and is expected to provide adequate liquidity to World?s Foremost Bank through the first quarter of 2009.
?We are very pleased to have completed this securitization,? said Joe Friebe, President and Chief Executive Officer of World?s Foremost Bank. ?We were able to complete a securitization in spite of the financial crisis facing the country. This shows the high quality of the Cabela?s CLUB Visa portfolio.?
This press release does not constitute an offer to sell or the solicitation of an offer to buy the notes and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale is unlawful. The notes have not been registered under the Securities Act of 1933 or any state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and any applicable state securities laws.
About Cabela?s Incorporated
Cabela?s Incorporated, headquartered in Sidney, Nebraska, is a leading specialty retailer, and the world?s largest direct marketer, of hunting, fishing, camping and related outdoor merchandise. Since the Company?s founding in 1961, Cabela?s® has grown to become one of the most well-known outdoor recreation brands in the world, and has long been recognized as the World?s Foremost Outfitter®. Through Cabela?s growing number of retail stores and its well-established direct business, it offers a wide and distinctive selection of high-quality outdoor products at competitive prices while providing superior customer service. Cabela?s also issues the Cabela?s CLUB® Visa credit card, which serves as its primary customer loyalty rewards program. Cabela?s stock is traded on the New York Stock Exchange under the symbol "CAB."
Caution Concerning Forward-Looking Statements
Statements in this press release that are not historical or current fact are "forward-looking statements" that are based on the Company?s beliefs, assumptions and expectations of future events, taking into account the information currently available to the Company. Such forward-looking statements include, but are not limited to, the Company?s statement regarding the continued growth of World?s Foremost Bank?s credit card portfolio and the Company?s statement that the securitization transaction is expected to provide adequate liquidity to World?s Foremost Bank through the first quarter of 2009. Forward-looking statements involve risks and uncertainties that may cause the Company?s actual results, performance or financial condition to differ materially from the expectations of future results, performance or financial condition that the Company expresses or implies in any forward-looking statements. These risks and uncertainties include, but are not limited to: the strength of the economy; the level of discretionary consumer spending; changes in consumer preferences and demographic trends; changes in the credit markets or the availability of credit; changes in accounting rules applicable to securitization transactions; the Company?s ability to successfully execute its multi-channel strategy; the ability to negotiate favorable purchase, lease, and/or economic development arrangements for new retail store locations; expansion into new markets; market saturation due to new retail store openings; the rate of growth of general and administrative expenses associated with building a strengthened corporate infrastructure to support the Company?s growth initiatives; increasing competition in the outdoor segment of the sporting goods industry; the cost of the Company?s products; trade restrictions; political or financial instability in countries where the goods the Company sells are manufactured; adverse fluctuations in foreign currencies; increases in postage rates or paper and printing costs; supply and delivery shortages or interruptions caused by system changes or other factors; adverse or unseasonal weather conditions; fluctuations in operating results; the cost of fuel increasing; road construction around the Company?s retail stores; labor shortages or increased labor costs; increased government regulation; inadequate protection of the Company?s intellectual property; the Company?s ability to protect its brand and reputation; decreased interchange fees received by the Company?s financial services business as a result of credit card industry litigation; other factors that the Company may not have currently identified or quantified; and other risks, relevant factors and uncertainties identified in the Company?s filings with the SEC (including the information set forth in the "Risk Factors" section of the Company?s Form 10-K for the fiscal year ended December 29, 2007, and in Part II, Item 1A of the Company?s Quarterly Report on Form 10-Q for the fiscal quarter ended March 29, 2008), which filings are available at the Company?s website at
www.cabelas.com
and the SEC?s website at
www.sec.gov
. Given the risks and uncertainties surrounding forward-looking statements, you should not place undue reliance on these statements. The Company?s forward-looking statements speak only as of the date they are made. Other than as required by law, the Company undertakes no obligation to update or revise forward-looking statements, whether as a result of new information, future events or otherwise.
Cabela?s Incorporated
Media:
Joe Arterburn, 308-255-1204
or
Investor:
Chris Gay, 308-255-2905
State Keywords: Nebraska
Industry Keywords: Fishing; Hunting; Outdoors; Department Stores; Professional Services; Banking; Finance; Retail; Communications; Fashion; Public Relations/Investor Relations; Specialty; Sports
Source: Cabela's Incorporated
