LeasePlan Corporation N.V. has cleared a $500 million bond obligation from its balance sheet, the Holland-based fleet and vehicle management company has announced.
LeasePlan bought back a bond guaranteed by the Dutch government that was set to mature in June. The move follows the company's buy-back in December of another piece of a total of 6.5-billion Euro in government-backed bonds acquired by the company in late 2008 and early 2009 to refinance debt.
In December, LeasePlan bought back another 500 million Euro in bond financing set to mature in May. The company, which is half-owned by Volkswagen, ended 2012 with a cash balance of 1.8 billion Euro, and has now repaid 85 percent, or 5 billion Euro, of its government-guaranteed funding.