Harley-Davidson sells $1 billion in bonds
Harley-Davidson Inc. has sold $1 billion in bonds, providing cash that one analyst suggested could help the motorcycle maker weather a deteriorating market outlook, according to a May 21 Associated Press report.
The announcement comes a month after the Milwaukee-based company said it would cut its workforce 8 percent and trim bike shipments.
Harley-Davidson agreed to sell the bonds on May 15, according to documents filed Wednesday with the Securities and Exchange Commission.
“We expect proceeds to be used to repay commercial paper borrowings and for general corporate purposes,” wrote Andy Liu, Standard & Poor’s credit analyst, in the AP story.
The Motor Company last month cut its guidance for 2008, saying it expected earnings to decline 15-20 percent. Previously it predicted growth of as much as 7 percent.
