MILWAUKEE — Harley-Davidson Inc. and its Harley-Davidson Financial Services (HDFS) subsidiary have finalized agreements that, in combination with other previously completed transactions, provide approximately $1 billion in funding to fuel HDFS' lending activities in 2009.

HDFS increased the size of an existing $500 million asset-backed commercial paper conduit facility to up to $1.2 billion, based on the level of outstanding receivables. The facility expires April 29, 2010. Additionally, Harley-Davidson and HDFS have replaced a 364-day, $950 million bank credit facility expiring July 31, 2009 with a new 364-day, $625 million credit facility expiring April 29, 2010. Together, the two agreements provide additional available credit of up to approximately $375 million over the term of the agreements, for the lending activities of HDFS.

Earlier this year, the company identified obtaining funding for HDFS lending activities as one of its strategic priorities in the current economy, and estimated HDFS' 2009 funding needs at about $1 billion. In February, the company completed an offering of $600 million in senior unsecured notes. First-and second-quarter 2009 dividend reductions combined are preserving about another $100 million in cash.