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8-K - FORM 8-K - RUSH ENTERPRISES INC \TX\ | c02602e8vk.htm |
Exhibit 99.1
CONTACT: Rush Enterprises Inc., San Antonio
Steven L. Keller
830-626-5226
kellers@rushenterprises.com
Steven L. Keller
830-626-5226
kellers@rushenterprises.com
Karen S. Konecny
830-626-5102
konecnyk@rushenterprises.com
830-626-5102
konecnyk@rushenterprises.com
Rush Enterprises, Inc. Agrees to Sell Construction Equipment Business
to Doggett Heavy Machinery Services, LLC
to Doggett Heavy Machinery Services, LLC
SAN ANTONIO, TX, June 18, 2010 Rush Enterprises, Inc. (NASDAQ: RUSHA and RUSHB), which operates
the largest network of commercial vehicle dealerships in North America, announced today that it
signed a definitive asset purchase agreement to sell its John Deere construction equipment
business, including its Rush Equipment Centers in Houston and Beaumont, Texas, to Doggett Heavy
Machinery Services, LLC. The purchase price for the Rush Equipment Centers is estimated to be
approximately $37 million for assets and goodwill. The transaction is expected to close in the
third quarter.
With a tremendous group of employees to whom I am extremely grateful, we successfully operated our
John Deere construction equipment dealer in Houston for over 12 years, said W. M. Rusty Rush,
President and Chief Executive Officer of Rush Enterprises, Inc. In the process, I believe that we
proved that we can apply our organizational knowledge of serving commercial customers to distribute
products other than commercial vehicles. We will continue to evaluate opportunities to re-enter
the construction equipment dealership business in areas of the country outside of Houston and
adjacent areas of southeast Texas, where we will be precluded from doing so for several years,
Rush concluded.
About Rush Enterprises, Inc.
Rush Enterprises, Inc. owns and operates the largest network of commercial vehicle dealerships in
the United States, representing truck and bus manufacturers including Peterbilt, International,
Hino, Isuzu, Ford, UD, Blue Bird, IC, Diamond and Elkhart and two construction equipment
dealerships in southeast Texas representing John Deere construction equipment. The Companys
vehicle and equipment centers are strategically located in high traffic areas on or near major
highways in 14 states throughout the southern and western United States. These one-stop centers
offer an integrated approach to meeting customer needs from sales of new and used vehicles and
equipment to aftermarket parts, service and body shop operations plus a wide array of financial
services, including financing,
insurance, leasing and rental. Rush Enterprises operations also provide vehicle up-fitting,
chrome accessories and tires. For more information, please visit www.rushenterprises.com.
Forward-Looking Statements
Certain statements contained herein, including those concerning the disposition of the Rush
Equipment Centers are forward-looking statements (as such term is defined in the Private
Securities Litigation Reform Act of 1995). Because such statements include risks and uncertainties,
actual results may differ materially from those expressed or implied by such forward-looking
statements. Important factors that could cause actual results to differ materially from those
expressed or implied by such forward-looking statements include, but are not limited to, John
Deeres approval of the proposed transfer of ownership to Doggett Heavy Machinery Services, LLC,
the ability of Doggett Heavy Machinery Services, LLC to finance the proposed acquisition, and
one-time events and other factors described herein and in filings made by the Company with the
Securities and Exchange Commission.