American Railcar Industries’ Subsidiary Commences Consent Solicitation

American Railcar Industries is in the process of obtaining the approvals necessary to allow it to manage the railcars owned by its wholly-owned subsidiary Longtrain Leasing. ARI is undertaking this process as it continues a transition to manage its leasing business in-house.

Specifically, Longtrain has commenced the solicitation of consents from the holders of its 2.98% Fixed Rate Secured Railcar Equipment Notes, Class A-1 (and its 4.06% Fixed Rate Secured Railcar Equipment Notes, Class A-2 to the approval of an amendment to the indenture governing such notes to allow ARI to act as the manager of the railcars that serve as collateral under the indenture, and entry into new agreements providing for such management, including a replacement management agreement and new lease administration and collateral agency agreements. The indenture currently provides that the company’s former affiliate, American Railcar Leasing, act as manager.  ARL was sold to an unaffiliated third party effective June 1, 2017.

The consent solicitation is being made in accordance with the terms and subject to the conditions set forth in a consent solicitation statement, dated March 26, 2018, and in a related Consent Form to holders of record as of 5 p.m. EST on March 23, 2018.  The consent solicitation is scheduled to expire at 5 p.m. EST on April 10, 2018, unless extended or earlier terminated.

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Terry Mulreany
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