FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of a Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month(s) of: June 25, 1998
NEWCOURT CREDIT GROUP INC.
BCE Place, 181 Bay Street
Suite 3500, P.O. Box 827
Toronto, Ontario
Canada, M5J 2T3
[Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.]
Form 20-F / / Form 40-F /X/
[Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.]
Yes / / No /X/
[If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b)]
82-
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Date: June 25, 1998
NEWCOURT CREDIT GROUP INC.
By: John P. Stevenson
Corporate Secretary
News Release
For immediate release
American Crystal Sugar Company Newcourt Credit Group
Contact: Jeff Schweitzer Contact: Robyn Matsumoto
Public Relations Manager Corporate Affairs
218-236-4492 (416) 594-5308
Trading Symbol: NCT
Exchange Listings: Toronto
Montreal
New York
American Crystal Sugar Company and Newcourt
Capital to build $103 million Molasses Desugarization Project
Moorhead, Minnesota and New York, New York, June
25, 1998 - American Crystal Sugar Company and
Newcourt Capital today announced the construction
of a $103 million molasses desugarization project
located in Hillsboro, North Dakota, adjacent to
one of American Crystal's five sugar factories in
the region.
The facility will extract residual sugar from
molasses, which is a by-product of the company's
primary sugarbeet production process. American
Crystal currently operates one molasses
desugarization facility at its East Grand Forks,
Minnesota plant. Construction of the project
will begin immediately with completion expected
by fall of 1999.
"Construction of a second molasses desugarization
facility has always been part of the company's
strategic plan," said James Horvath, American
Crystal Sugar President and CEO. "By partnering
with Newcourt we were able to accelerate this
project earlier in our plan and realize the
benefits from it sooner, without compromising any
of our other current capital initiatives."
Newcourt Capital structured the $103 million
transaction. The majority of financing was
funded through the Newcourt Capital Project Fund,
a $500 million fund, which provides one-stop
access to funds from eight leading U.S.
institutional investors including CIGNA, John
Hancock and New York Life. The financing is
supported by a long-term "use-or-pay" tolling
arrangement with American Crystal.
"Financing for the $103 million project was
structured to meet American Crystal's off-balance
sheet objective and to maximize the company's
implicit return from the project," commented
Robert Sexton, a Director with Newcourt Capital's
global project finance unit. "Our funding
partners were very comfortable with the strength
of the project and the quality of the project
sponsor, American Crystal."
Process Systems Incorporated Construction
Company, a subsidiary of Lurgi, AG, the
engineering and construction business unit of
Metalgesellschaft AG of Germany, has been engaged
under an Engineering, Procurement and
Construction contract to build the facility. The
technology to be employed is a chromatographic
separation process developed by Amalgamated
Research Inc. and licensed to Idreco USA, Ltd.
American Crystal Sugar Company is an agricultural
cooperative owned by approximately 2,800 farm
families in the Red River Valley (Minnesota and
North Dakota) involved in the growing and
processing of sugarbeets. American Crystal is
the largest beet sugar producer in the U.S. and
is one of the lowest cost beet sugar producers in
the world. American Crystal operates sugar
factories at East Grand Forks, Crookston and
Moorhead, Minnesota, and Drayton and Hillsboro,
North Dakota. Its corporate headquarters and
research facilities are located in Moorhead.
Newcourt Capital is a leader in corporate finance
providing specialized asset-based financing to
the corporate, government and institutional
markets for capital equipment acquisitions and
infrastructure development. Together with
Newcourt Financial and Newcourt Services, it
forms Newcourt Credit Group, one of the world's
leading sources of asset-based financing with
owned and managed assets of US$22.4 billion
(C$31.9 billion) and a global distribution
capability in 24 countries.
News Release
For immediate release
Trading Symbol: NCT Contact: Robyn Matsumoto
Exchange Listings: Toronto Corporate Affairs
Montreal (416) 594-5308
New York
Newcourt Capital Launches US$500 Million Railcar
Leasing Venture with Trinity
Industries and Chrysler Capital Corporation
Positions Newcourt as a Leading Railcar Lessor
Chicago, Illinois, June 25, 1998 - Newcourt
Capital today announced the establishment of
Newcourt Rail LLC., a $500 million venture that
will offer for lease a fleet of state-of-the-art
Trinity-built railcars.
Newcourt Capital will manage the rail company's
assets on behalf of the investors including
Chrysler Capital Corporation, the lead equity
investor. Newcourt Capital will hold a minority
interest in the venture and will underwrite and
arrange the joint venture's debt requirements.
"This venture represents a unique strategic
alliance between Newcourt Rail and Trinity
Industries. We selected Trinity as the primary
supplier of new railcars based on the quality and
breadth of its products which distinguish them as
North America's leading railcar manufacturer,"
said Steve Menzies, Managing Director of Newcourt
Capital's rail finance unit. "Newcourt has
established itself as a major financial partner
to the rail industry. This alliance with Trinity
is further evidence of our commitment to the
industry."
"Newcourt Rail LLC combines our financial
structuring and asset management capabilities to
provide a new business for Newcourt and an
innovative investment vehicle for our
institutional partners," said David McKerroll,
President of Newcourt Capital. "The affiliation
with Trinity is in line with Newcourt's strategy
of forming alliances with leading capital
equipment manufacturers to provide new sources of
financing originations."
Tim Wallace, President and Chief Operating
Officer of Trinity Industries, Inc. said, "We are
pleased to be chosen as the railcar provider to
Newcourt Rail. This type of venture continues to
demonstrate our commitment to excellence in
railcar design and manufacturing technologies."
"Chrysler Capital is pleased to have entered into
this alliance with Newcourt and Trinity, and we
look forward to a long and beneficial
relationship," said Bill Bishop, President of
Chrysler Capital Corporation, an indirect wholly
owned subsidiary of Chrysler Corporation.
The new rail leasing venture will offer a broad
range of railcars including aluminum coal, box,
flat, covered hoppers, gondolas, and tank cars on
short-term operating leases that include
maintenance and other management services. The
newly built railcars will incorporate the latest
technological improvements and will be marketed
to a variety of users including Class I and
regional rail carriers, utilities, petrochemical
producers, food producers and processors and
industrial producers.
"The continued development of the North American
rail transportation industry provides an exciting
opportunity for Newcourt Capital," commented
Menzies. "Newcourt Rail uniquely positions us to
offer our clients short-term operating leases in
addition to the long-term financing, lease and
cross-border tax structures we currently offer."
Trinity Industries Inc. with headquarters in
Dallas, Texas, is one of the nation's leading
diversified industrial manufacturers. Trinity
principally operates in three business segments:
Transportation Products, Construction Products
and Industrial Products.
Newcourt Capital is a leader in corporate finance
providing specialized asset-based financing to
the corporate, government and institutional
markets for capital equipment acquisitions and
infrastructure development. Together with
Newcourt Financial and Newcourt Services, it
forms Newcourt Credit Group, one of the world's
leading sources of asset-based financing with
owned and managed assets of US$22.4 billion
(C$31.9 billion) and a global distribution
capability in 24 countries.
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