S&P rates ERAC USA notes BBB+

S&P said it assigned its BBB+ issue-level rating to ERAC USA Finance LLC's senior unsecured notes.

The notes are a Rule 144A offering without registration rights.

ERAC's parent, Enterprise Holdings Inc., guarantees the notes.

The company will use the proceeds for general corporate purposes.

S&P said the ratings on Enterprise Holdings reflect the company's leading market position in the relatively stable off-airport (i.e., replacement and local) segment of the car rental industry and its good earnings and cash flow generation. Enterprise Holdings (parent of Enterprise Rent-A-Car, Alamo Rent-A-Car, and National Car Rental) is the largest car rental company globally, although most of its operations are based in the U.S.

The agency assesses Enterprise Holdings' business risk profile as satisfactory and its financial risk profile as intermediate.

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