Polaris currently intends to issue $100 million of debt under an existing private placement Master Note Purchase Agreement before December 31, 2013 in order to reduce the borrowings under the Company’s revolving credit facility. After taking into consideration the funding and transaction costs and lower outstanding share count, this transaction is expected to have only a slightly positive impact on the Company’s 2013 fourth quarter and full year earnings per share from continuing operations. The Company’s previously issued guidance for full year 2013 earnings per share from continuing operations, raised on October 22, 2013, remains unchanged at $5.30 to $5.37 per diluted share. On a pro forma basis, assuming this transaction had occurred on January 1, 2013, the positive impact on expected full year 2013 earnings per share from continuing operations would have been approximately $0.25 per share. The Company’s share repurchase program authorization remains in place with approximately 1.6 million shares available for repurchase. The existing program does not have an expiration date.Goldman, Sachs & Company acted as financial advisor to Polaris in this transaction. About Polaris Polaris is a recognized leader in the powersports industry with annual 2012 sales of $3.2 billion. Polaris designs, engineers, manufactures and markets innovative, high quality off-road vehicles, including all-terrain vehicles (ATVs) and the Polaris RANGER® and RZR® side-by-side vehicles, snowmobiles, motorcycles and small vehicles. Polaris is among the global sales leaders for both snowmobiles and off-road vehicles and has established a presence in the heavyweight cruiser and touring motorcycle market with the Victory and Indian motorcycle brands. Additionally, Polaris continues to invest in the global on-road small vehicle industry with Global Electric Motorcars (GEM), Goupil Industrie SA, Aixam Mega S.A.S., and internally developed vehicles. Polaris enhances the riding experience with a complete line of Polaris and KLIM branded apparel and Polaris accessories and parts.
Polaris Industries Inc. trades on the New York Stock Exchange under the symbol “PII”, and the Company is included in the S&P Mid-Cap 400 stock price index.Information about the complete line of Polaris products, apparel and vehicle accessories are available from authorized Polaris dealers or anytime at www.polaris.com. Except for historical information contained herein, the matters set forth in this document, including but not limited to management’s expectations regarding 2013 sales, shipments, margins, and net income and cash flow from both continuing and discontinued operations, the ability to issue long-term notes, the trend toward producing more of the Company’s own engines for its vehicles, the opportunities for expansion and diversification of the Company’s business, the impact of the repurchase of shares on the Company’s full year 2013 earnings per share and the Company’s guidance on earnings per share from continuing operations are forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ materially from those forward-looking statements. Potential risks and uncertainties include such factors as product offerings, promotional activities and pricing strategies by competitors; manufacturing operation initiatives; acquisition integration costs; warranty expenses; impact of changes in Polaris stock prices on incentive compensation; foreign currency exchange rate fluctuations; environmental and product safety regulatory activity; effects of weather; commodity costs; uninsured product liability claims; uncertainty in the retail and wholesale credit markets; changes in tax policy and overall economic conditions, including inflation, consumer confidence and spending and relationships with dealers and suppliers. Investors are also directed to consider other risks and uncertainties discussed in our 2012 annual report and Form 10-K filed by the Company with the Securities and Exchange Commission. The Company does not undertake any duty to any person to provide updates to its forward-looking statements.