Jabil Circuit, Inc. (NYSE:JBL) announced today its intention to offer
$200.0 million of senior unsecured notes due 2016 (the "Offering"),
subject to market conditions.
Jabil also announced today a cash tender offer (the "Tender Offer") to
purchase any and all of its $300.0 million 5.875% Senior Notes, which
mature on July 15, 2010 (the "5.875% Senior Notes"). Depending
on the amount of the 5.875% Senior Notes that are tendered, Jabil
expects to use all or a portion of the net proceeds from the Offering,
together with cash on hand (if needed), to fund the purchase amount of
the Tender Offer (including the accrued interest and associated fees and
expenses). Jabil will use any remaining net proceeds for general
corporate purposes, which may include repaying any borrowings that may
then be outstanding under the revolving credit portion of its $1.2
billion amended and restated five-year unsecured credit facility (the
"Credit Facility"), reducing the amount funded under its $200.0 million
foreign asset-backed securitization program expiring on March 18, 2010,
reducing the amount funded under its $250.0 million U.S. asset-backed
securitization program expiring on March 17, 2010, investing in
investment grade securities, funding open market purchases, redemption
or repayment of any untendered 5.875% Senior Notes or repaying a portion
of the borrowings under the term portion of the Credit Facility.
J.P. Morgan Securities Inc., Citigroup Global Markets Inc. and RBS
Securities Inc. will act as joint book-running managers for the
offering. The offering will be made only by means of a prospectus,
copies of which may be obtained from J.P. Morgan Securities Inc., 270
Park Avenue, 8th Floor, Attention: Syndicate Desk, New York,
New York 10017, 212-834-4555. An electronic copy of the prospectus is
available from the Securities and Exchange Commission's website at http://www.sec.gov.
About Jabil
Jabil is an electronic product solutions company providing
comprehensive electronics design, manufacturing and product management
services to global electronics and technology companies. Jabil common
stock is traded on the New York Stock Exchange under the symbol, "JBL".
Further information is available on the company's website: jabil.com.
This news release contains forward-looking statements, including
statements regarding our intention to offer notes, the principal amount
and maturity date of such notes and our use of the net proceeds from the
offering of such notes. These statements are based on current
expectations, forecasts and assumptions involving risks and
uncertainties that could cause actual outcomes and results to differ
materially. These risks and uncertainties include, but are not limited
to: our inability, due to market conditions or other reasons, to offer
notes with the economic terms described below, if at all; our inability,
for whatever reason, to close on the Tender Offer; and other risks,
relevant factors and uncertainties identified in our Annual Report on
Form 10-K for the fiscal year ended August 31, 2008, subsequent Reports
on Form 10-Q and Form 8-K and our other securities filings. Jabil
disclaims any intention or obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
Jabil Circuit, Inc., St. Petersburg
Investor & Media Contact:
Beth
Walters, Vice President, Investor Relations, 727-803-3349
investor_relations@jabil.com
