Company’s Repurchase of Notes Further Strengthens Balance Sheet

WEST FARGO, N.D., Sept. 14, 2016 (GLOBE NEWSWIRE) -- Titan Machinery Inc. (Nasdaq:TITN), a leading network of full-service agricultural and construction equipment stores, today announced the additional repurchase of senior convertible notes.

The Company repurchased, in privately negotiated transactions, an additional $24 million principal amount of its 3.75% senior convertible notes due 2019 for $20.9 million in cash, and expects to recognize a pre-tax gain of approximately $1.0 million in the third quarter of fiscal 2017.  This gain was not considered in the modeling assumptions discussed in the second quarter of fiscal 2017 earnings release as the Company will consider it an adjustment to GAAP income (loss) in the third quarter of fiscal 2017.

David Meyer, Titan Machinery’s Chairman and Chief Executive Officer, stated, “Our continued reduction in inventory  and the accompanying positive operating cash flow, has enabled us to retire our convertible notes by an additional $24 million ahead of the maturity date and at a meaningful discount.  We have now repurchased over $50 million of our senior convertible notes during fiscal 2017.  We continue to take the necessary steps to manage through this challenging operating environment by reducing our equipment inventory, generating positive cash flow, deleveraging our balance sheet, and reducing our interest expense.”

Mr. Meyer concluded, “As we look towards the future, we believe we are taking the necessary actions to be well positioned to capitalize on long-term positive agriculture trends."

About Titan Machinery Inc.

Titan Machinery Inc., founded in 1980 and headquartered in West Fargo, North Dakota, is a multi-unit business with mature locations and newly-acquired locations. The Company owns and operates a network of full service agricultural and construction equipment stores in the United States and Europe. The Titan Machinery network consists of 91 North American dealerships in North Dakota, South Dakota, Iowa, Minnesota, Montana, Nebraska, Wyoming, Wisconsin, Colorado, Arizona, and New Mexico, including one outlet store, and 19 European dealerships in Romania, Bulgaria, Serbia, and Ukraine. The Titan Machinery dealerships represent one or more of the CNH Industrial Brands (CNHI), including CaseIH, New Holland Agriculture, Case Construction, New Holland Construction, and CNH Industrial Capital. Additional information about Titan Machinery Inc. can be found at www.titanmachinery.com.

Forward Looking Statements

The statements in this release regarding the expected third quarter gain and long-term agricultural trends are forward-looking and made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.   These statements are based upon the current beliefs and expectations of our management and involve known and unknown risks and uncertainties that may cause actual results or events to differ materially from the forward-looking statements.  These and other risks are more fully described in Titan Machinery’s filings with the Securities and Exchange Commission, including the Company’s most recently filed Annual Report on Form 10-K, as updated in subsequently filed Form 10-Q reports, as applicable. Titan Machinery conducts its business in a highly competitive and rapidly changing environment. Accordingly, new risk factors may arise. It is not possible for management to predict all such risk factors, nor to assess the impact of all such risk factors on Titan Machinery’s business or the extent to which any individual risk factor, or combination of factors, may cause results to differ materially from those contained in any forward-looking statement. Titan Machinery disclaims any obligation to update such factors or to publicly announce results of revisions to any of the forward-looking statements contained herein to reflect future events or developments except as required by law.

Investor Relations Contact:
ICR, Inc.
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Partner
646-277-1254