Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2019 | Oct. 30, 2019 | |
Cover page. | ||
Title of 12(b) Security | Common Stock, Par Value $0.01 | |
Document Transition Report | false | |
Document Quarterly Report | true | |
Entity Incorporation, State or Country Code | DE | |
Document Period End Date | Sep. 30, 2019 | |
Entity File Number | 001-10308 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | CAR | |
Entity Registrant Name | Avis Budget Group, Inc. | |
Entity Central Index Key | 0000723612 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Filer Category | Large Accelerated Filer | |
Entity Tax Identification Number | 06-0918165 | |
Entity Address, Address Line One | 6 Sylvan Way | |
Entity Address, City or Town | Parsippany, | |
Entity Address, State or Province | NJ | |
Entity Address, Postal Zip Code | 07054 | |
City Area Code | (973) | |
Local Phone Number | 496-4700 | |
Security Exchange Name | NASDAQ | |
Entity Common Stock, Shares Outstanding | 73,825,376 |
CONSOLIDATED CONDENSED STATEMEN
CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenues | ||||
Revenues | $ 2,753 | $ 2,778 | $ 7,010 | $ 7,074 |
Expenses | ||||
Operating | 1,291 | 1,294 | 3,534 | 3,561 |
Vehicle depreciation and lease charges, net | 551 | 587 | 1,579 | 1,693 |
Selling, general and administrative | 350 | 336 | 947 | 953 |
Vehicle interest, net | 90 | 85 | 261 | 237 |
Non-vehicle related depreciation and amortization | 62 | 62 | 195 | 190 |
Interest expense | 49 | 44 | 139 | 139 |
Early extinguishment of debt | 10 | 0 | 10 | 5 |
Restructuring and other related charges | 22 | 4 | 66 | 14 |
Transaction-related costs, net | 0 | 11 | 6 | 18 |
Total expenses | 2,425 | 2,423 | 6,737 | 6,810 |
Income before income taxes | 328 | 355 | 273 | 264 |
Provision for income taxes | 139 | 142 | 113 | 112 |
Net income | 189 | 213 | 160 | 152 |
Comprehensive income | $ 155 | $ 207 | $ 119 | $ 104 |
Earnings per share | ||||
Basic | $ 2.52 | $ 2.71 | $ 2.12 | $ 1.90 |
Diluted | $ 2.50 | $ 2.68 | $ 2.10 | $ 1.88 |
CONSOLIDATED CONDENSED BALANCE
CONSOLIDATED CONDENSED BALANCE SHEETS - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 615 | $ 615 |
Receivables, net | 872 | 955 |
Other current assets | 660 | 604 |
Total current assets | 2,147 | 2,174 |
Property and equipment, net | 752 | 736 |
Operating lease right-of-use assets | 2,365 | 0 |
Deferred income taxes | 1,360 | 1,301 |
Goodwill | 1,083 | 1,092 |
Other intangibles, net | 792 | 825 |
Other non-current assets | 221 | 242 |
Total assets exclusive of assets under vehicle programs | 8,720 | 6,370 |
Assets under vehicle programs: | ||
Program cash | 89 | 115 |
Vehicles, net | 12,752 | 11,474 |
Receivables from vehicle manufacturers and other | 905 | 631 |
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 642 | 559 |
Total assets under vehicle programs: | 14,388 | 12,779 |
Total assets | 23,108 | 19,149 |
Current liabilities: | ||
Accounts payable and other current liabilities | 2,195 | 1,693 |
Short-term debt and current portion of long-term debt | 95 | 23 |
Total current liabilities | 2,290 | 1,716 |
Long-term debt | 3,388 | 3,528 |
Long-term operating lease liabilities | 1,966 | 0 |
Other non-current liabilities | 748 | 767 |
Total liabilities exclusive of liabilities under vehicle programs | 8,392 | 6,011 |
Liabilities under vehicle programs: | ||
Debt | 3,722 | 2,874 |
Debt due to Avis Budget Rental Car Funding (AESOP) LLC—related party | 7,870 | 7,358 |
Deferred income taxes | 2,058 | 1,961 |
Other | 571 | 531 |
Total Liabilities under vehicle programs | 14,221 | 12,724 |
Commitments and contingencies (Note 13) | ||
Stockholders’ equity: | ||
Preferred stock, $0.01 par value—authorized 10 shares; none issued and outstanding, respectively | 0 | 0 |
Common stock, $0.01 par value—authorized 250 shares; issued 137 shares, respectively | 1 | 1 |
Additional paid-in capital | 6,735 | 6,771 |
Accumulated deficit | (927) | (1,091) |
Accumulated other comprehensive loss | (173) | (133) |
Treasury stock, at cost—63 and 61 shares, respectively | (5,141) | (5,134) |
Total stockholders’ equity | 495 | 414 |
Total liabilities and stockholders’ equity | $ 23,108 | $ 19,149 |
CONSOLIDATED CONDENSED BALANC_2
CONSOLIDATED CONDENSED BALANCE SHEETS (Parenthetical) - $ / shares shares in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10 | 10 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 250 | 250 |
Common stock, shares issued | 137 | 137 |
Treasury stock, shares | 61 | 61 |
CONSOLIDATED CONDENSED STATEM_2
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Operating activities | ||
Net income | $ 160 | $ 152 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Vehicle depreciation | 1,457 | 1,536 |
Amortization of right-of-use assets | 752 | 0 |
(Gain) loss on sale of vehicles, net | (69) | (35) |
Non-vehicle related depreciation and amortization | 195 | 190 |
Stock-based compensation | 18 | 18 |
Amortization of debt financing fees | 23 | 21 |
Early extinguishment of debt | 10 | 5 |
Net change in assets and liabilities: | ||
Receivables | (65) | (140) |
Income taxes and deferred income taxes | 40 | 78 |
Accounts payable and other current liabilities | 41 | 138 |
Operating lease liabilities | (746) | 0 |
Other, net | 115 | 132 |
Net cash provided by operating activities | 1,931 | 2,095 |
Investing activities | ||
Property and equipment additions | (178) | (157) |
Proceeds received on asset sales | 7 | 9 |
Net assets acquired (net of cash acquired) | 68 | 64 |
Other, net | 80 | (44) |
Net cash used in investing activities exclusive of vehicle programs | (159) | (256) |
Vehicle programs: | ||
Investment in vehicles | (10,621) | (10,079) |
Proceeds received on disposition of vehicles | 7,826 | 6,752 |
Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | (221) | (116) |
Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 137 | 22 |
Net cash used in investing activities of vehicle programs | 2,879 | 3,421 |
Net cash used in investing activities | (3,038) | (3,677) |
Financing activities | ||
Proceeds from long-term borrowings | 402 | 81 |
Payments on long-term borrowings | (427) | (99) |
Net change in short-term borrowings | 0 | (4) |
Repurchases of common stock | (65) | (143) |
Debt financing fees | (6) | (9) |
Other, net | 0 | 3 |
Net cash used in financing activities exclusive of vehicle programs | (96) | (171) |
Vehicle programs: | ||
Proceeds from borrowings | 16,042 | 13,371 |
Payments on borrowings | (14,838) | (11,727) |
Debt financing fees | (18) | (19) |
Net cash provided by financing activities of vehicle programs | 1,186 | 1,625 |
Net cash provided by financing activities | 1,090 | 1,454 |
Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash | (10) | (5) |
Net decrease in cash and cash equivalents, program and restricted cash | (27) | (133) |
Cash and cash equivalents, program and restricted cash, beginning of period | 735 | 901 |
Cash and cash equivalents, program and restricted cash, end of period | $ 708 | $ 768 |
CONSOLIDATED CONDENSED STATEM_3
CONSOLIDATED CONDENSED STATEMENTS OF STOCKHOLDERS' EQUITY Statement - USD ($) shares in Thousands, $ in Millions | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Treasury Stock [Member] |
Stockholders Equity [Line Items] | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | $ (39) | $ (33) | $ (6) | |||
Shares, Issued | (137,100) | 56,300 | ||||
Total stockholders’ equity | 573 | $ 1 | $ 6,820 | (1,222) | (24) | $ (5,002) |
Net income | 152 | |||||
Other Comprehensive Income (Loss), Net of Tax | (48) | |||||
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 104 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | (10) | 38 | $ (48) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 500 | |||||
Stock Issued During Period, Value, Stock Options Exercised | 2 | (15) | $ 17 | |||
Treasury Stock, Shares, Acquired | (3,500) | |||||
Treasury Stock, Value, Acquired, Cost Method | (129) | $ 129 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 200 | |||||
Shares, Issued | (137,100) | (57,400) | ||||
Total stockholders’ equity | 372 | $ 1 | 6,779 | (1,316) | (72) | $ (5,020) |
Net income | 213 | |||||
Other Comprehensive Income (Loss), Net of Tax | (6) | |||||
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 207 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | (4) | 12 | $ (16) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 200 | |||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 0 | |||||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 0 | (1) | $ 1 | |||
Treasury Stock, Shares, Acquired | (1,900) | |||||
Treasury Stock, Value, Acquired, Cost Method | (62) | $ 62 | ||||
Shares, Issued | (137,100) | (59,100) | ||||
Total stockholders’ equity | 521 | $ 1 | 6,766 | (1,103) | (78) | $ (5,065) |
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | 5 | 4 | 1 | |||
Shares, Issued | (137,100) | (61,500) | ||||
Total stockholders’ equity | 414 | $ 1 | 6,771 | (1,091) | (133) | $ (5,134) |
Net income | 160 | |||||
Other Comprehensive Income (Loss), Net of Tax | (41) | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | (16) | 30 | $ 46 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 400 | |||||
Stock Issued During Period, Value, Stock Options Exercised | (5) | $ 5 | ||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 0 | |||||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 0 | (1) | $ 1 | |||
Treasury Stock, Shares, Acquired | (2,100) | |||||
Treasury Stock, Value, Acquired, Cost Method | $ (59) | $ 59 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 57 | 100 | ||||
Shares, Issued | (137,100) | (61,100) | ||||
Total stockholders’ equity | $ 376 | $ 1 | 6,723 | (1,116) | (139) | $ (5,093) |
Net income | 189 | |||||
Other Comprehensive Income (Loss), Net of Tax | (34) | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | (7) | 3 | $ 10 | |||
Option Premiums Settled | (16) | (16) | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 100 | |||||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 0 | |||||
Stock Issued During Period, Value, Employee Stock Purchase Plan | 0 | (1) | $ 1 | |||
Treasury Stock, Shares, Acquired | (2,100) | |||||
Treasury Stock, Value, Acquired, Cost Method | (59) | $ 59 | ||||
Shares, Issued | (137,100) | 63,100 | ||||
Total stockholders’ equity | $ 495 | $ 1 | $ 6,735 | $ (927) | $ (173) | $ (5,141) |
Basis of Presentation Basis of
Basis of Presentation Basis of Presentation (Notes) | 9 Months Ended |
Sep. 30, 2019 | |
Basis of Presentation [Abstract] | |
Basis of Presentation and Significant Accounting Policies [Text Block] | Basis of Presentation Avis Budget Group, Inc. provides mobility solutions to businesses and consumers worldwide. The accompanying unaudited Consolidated Condensed Financial Statements include the accounts and transactions of Avis Budget Group, Inc. and its subsidiaries, as well as entities in which Avis Budget Group, Inc. directly or indirectly has a controlling financial interest (collectively, the “Company”), and have been prepared pursuant to the rules and regulations of the U.S. Securities and Exchange Commission for interim financial reporting. The Company operates the following reportable business segments: • Americas —consisting primarily of (i) vehicle rental operations in North America, South America, Central America and the Caribbean, (ii) car sharing operations in certain of these markets, and (iii) licensees in the areas in which the Company does not operate directly. • International —consisting primarily of (i) vehicle rental operations in Europe, the Middle East, Africa, Asia and Australasia, (ii) car sharing operations in certain of these markets, and (iii) licensees in the areas in which the Company does not operate directly. The operating results of acquired businesses are included in the accompanying Consolidated Condensed Financial Statements from the dates of acquisition. Differences between the preliminary allocation of purchase price and the final allocation for the Company’s third quarter 2018 acquisition of Morini S.p.A. and various licensees in Europe and North America were not material. The fair value of the assets acquired and liabilities assumed in connection with the Company’s fourth quarter 2018 acquisition of Turiscar Group has not yet been finalized; however, there have been no significant changes to the preliminary allocation of the purchase price during the nine months ended September 30, 2019 . In presenting the Consolidated Condensed Financial Statements in accordance with accounting principles generally accepted in the United States of America (“GAAP”), management makes estimates and assumptions that affect the amounts reported and related disclosures. Estimates, by their nature, are based on judgment and available information. Accordingly, actual results could differ from those estimates. In management’s opinion, the Consolidated Condensed Financial Statements contain all adjustments necessary for a fair presentation of interim results reported. The results of operations reported for interim periods are not necessarily indicative of the results of operations for the entire year or any subsequent interim period. These financial statements should be read in conjunction with the Company’s 2018 Form 10-K. Summary of Significant Accounting Policies The Company’s significant accounting policies are fully described in Note 2, “Summary of Significant Accounting Policies,” in the Company’s Annual Report on Form 10-K for fiscal year 2018. Cash and cash equivalents, Program cash and Restricted cash. The following table provides a detail of cash and cash equivalents, program and restricted cash reported within the Consolidated Condensed Balance Sheets to the amounts shown in the Consolidated Condensed Statements of Cash Flows. As of September 30, 2019 2018 Cash and cash equivalents $ 615 $ 605 Program cash 89 151 Restricted cash (a) 4 12 Total cash and cash equivalents, program and restricted cash $ 708 $ 768 ________ (a) Included within other current assets. Vehicle Programs. The Company presents separately the financial data of its vehicle programs. These programs are distinct from the Company’s other activities since the assets under vehicle programs are generally funded through the issuance of debt that is collateralized by such assets. The income generated by these assets is used, in part, to repay the principal and interest associated with the debt. Cash inflows and outflows relating to the acquisition of such assets and the principal debt repayment or financing of such assets are classified as activities of the Company’s vehicle programs. The Company believes it is appropriate to segregate the financial data of its vehicle programs because, ultimately, the source of repayment of such debt is the realization of such assets. Transaction-related costs, net. Transaction-related costs, net are classified separately in the Consolidated Condensed Statements of Comprehensive Income. These costs are comprised of expenses related to acquisition-related activities such as due diligence and other advisory costs, expenses related to the integration of the acquiree’s operations with those of the Company, including the implementation of best practices and process improvements, non-cash gains and losses related to re-acquired rights, expenses related to pre-acquisition contingencies and contingent consideration related to acquisitions. Currency Transactions. The Company records the gain or loss on foreign-currency transactions on certain intercompany loans and the gain or loss on intercompany loan hedges within interest expense related to corporate debt, net. During the three months ended September 30, 2019 and 2018, the Company recorded an immaterial amount, in each period, and during the nine months ended September 30, 2019 and 2018, the Company recorded a gain of $3 million and an immaterial amount, respectively, related to such items. Divestitures. In 2018, the Company entered into a definitive stock purchase agreement to sell its 50% equity method investment in Anji Car Rental & Leasing Company Limited (“Anji”), located in China, to Shanghai Automotive Industry Sales Company, Ltd., a 50% owner of Anji. Upon receiving clearance from applicable regulatory authorities in China during the second quarter of 2019, the Company completed the sale for $64 million , net of cross-border withholding taxes and recorded a $44 million gain within operating expenses. Anji’s operations are reported within the Company’s International segment. Other Investments. As of September 30, 2019 and December 31, 2018, the Company had equity method investments with a carrying value of $52 million and $48 million respectively, which are recorded within other non-current assets. Earnings from the Company’s equity method investments are reported within operating expenses. For the three months ended September 30, 2019 and 2018, the Company recorded income of $5 million and $7 million , respectively, related to its equity method investments, and for the nine months ended September 30, 2019 and 2018, the Company recorded $9 million and $7 million , respectively. Nonmarketable Equity Securities. As of September 30, 2019 and December 31, 2018, the Company had nonmarketable equity securities with a carrying value of $8 million , in each period, which are recorded within other non-current assets. During the nine months ended September 30, 2019, the Company realized a $12 million gain from the sale of a nonmarketable equity security which is recorded within operating expenses. No adjustments were made to the carrying amounts during the three months ended September 30, 2019 and 2018, and during the nine months ended September 30, 2018. Revenues. From January 1, 2018 through December 31, 2018, the Company’s revenues were recognized in accordance with ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” Effective January 1, 2019, revenues are recognized under ASU 2016-02, “Leases (Topic 842),” with the exception of royalty fee revenue derived from the Company’s licensees and revenue related to the Company’s customer loyalty program, which were approximately $40 million and $103 million during the three and nine months ended September 30, 2019 , respectively. The following table presents the Company’s revenues disaggregated by geography. Three Months Ended Nine Months Ended 2019 2018 2019 2018 Americas $ 1,868 $ 1,844 $ 4,822 $ 4,782 Europe, Middle East and Africa 742 784 1,747 1,830 Asia and Australasia 143 150 441 462 Total revenues $ 2,753 $ 2,778 $ 7,010 $ 7,074 The following table presents the Company’s revenues disaggregated by brand. Three Months Ended Nine Months Ended 2019 2018 2019 2018 Avis $ 1,580 $ 1,599 $ 4,008 $ 4,095 Budget 950 953 2,417 2,372 Other 223 226 585 607 Total revenues $ 2,753 $ 2,778 $ 7,010 $ 7,074 ________ Other includes Zipcar and other operating brands. Deferred Revenue. The following table presents changes in deferred revenue associated with the Company’s customer loyalty program. Nine Months Ended September 30, 2019 2018 Balance, January 1 $ 64 $ 69 Revenue deferred 19 12 Revenue recognized (16 ) (9 ) Balance, September 30 $ 67 $ 72 _______ At September 30, 2019 and 2018 , $24 million and $19 million was included in accounts payable and other current liabilities, respectively, and $43 million and $53 million , respectively, in other non-current liabilities. Non-current amounts are expected to be recognized as revenue within two to three years. At January 1, 2018, the Company’s prepaid rentals and membership fees related to its car sharing business were $125 million . During the nine months ended September 30, 2018 , additional revenues of $1,561 million were deferred and revenues of $1,542 million were recognized. At September 30, 2018 , the ending prepaid rentals and car sharing membership fees were $144 million , of which $142 million was included in accounts payable and other current liabilities and $2 million was included in other non-current liabilities. Adoption of New Accounting Pronouncements Nonemployee Share-Based Payment Accounting On January 1, 2019, as a result of a new accounting pronouncement, the Company adopted Accounting Standards Update (“ASU”) 2018-02, “Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting,” which simplifies the accounting for share-based payments granted to nonemployees for goods and services and aligns most of the guidance on such payments to nonemployees with the requirements for share-based payments granted to employees. The adoption of this accounting pronouncement did not have an impact on the Company's Consolidated Condensed Financial Statements. Accounting for Hedging Activities On January 1, 2019, as the result of a new accounting pronouncement, the Company adopted ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities,” which amends the existing guidance to allow companies to more accurately present the economic results of an entity’s risk management activities in the financial statements. The adoption of this standard did not have a material impact on the Company’s Consolidated Condensed Financial Statements. Leases On January 1, 2019, as the result of a new accounting pronouncement, the Company adopted Topic 842 along with related updates, which require a lessee to recognize all long-term leases on its balance sheet as a liability for its lease obligation, measured at the present value of lease payments not yet paid, and a corresponding asset representing its right to use the underlying asset over the lease term and expands disclosure of key information about leasing arrangements. Topic 842 does not significantly change a lessee’s recognition, measurement and presentation of expenses. Additionally, Topic 842 aligns key aspects of lessor accounting with the revenue recognition guidance in Topic 606. The Company elected available practical expedients for existing or expired contracts of lessees and lessors wherein the Company is not required to reassess whether such contracts contain leases, the lease classification or the initial direct costs. The Company is not utilizing the practical expedient which allows the use of hindsight by lessees and lessors in determining the lease term and in assessing impairment of its right-of-use (“ROU”) assets. Additionally, the Company elected as accounting policies to not recognize ROU assets or lease liabilities for short-term property leases (i.e., those with a term of 12 months or less at lease commencement) and, by class of underlying asset, to combine lease and nonlease components in the contract. The Company utilized the transition method allowing entities to only apply the new lease standard in the year of adoption. Lessor The Company has determined that revenues derived by providing vehicle rentals and other related products and mobility services to customers are within the scope of the accounting guidance contained in Topic 842 with the exception of royalty fee revenue derived from the Company’s licensees and revenue related to the Company’s customer loyalty program. The Company’s rental related revenues have been accounted for under the revenue accounting standard Topic 606, until the adoption of Topic 842. The Company excludes from the measurement of its lease revenues any tax assessed by a governmental authority that is both imposed on and concurrent with a specific revenue-producing transaction and collected from a customer. As a result, lease revenues exclude such taxes collected. Fees collected from customers for which the Company is the primary obligor such as airport concessions and vehicle licensing are recorded within revenues and corresponding remittances of these fees by the Company are recorded within operating expenses. Lessee The Company determines if an arrangement is a lease at inception. Operating leases, other than those associated with the Company’s vehicle rental programs, are included in operating lease ROU assets, accounts payable and other current liabilities, and long-term operating lease liabilities in the Company’s Consolidated Condensed Balance Sheets. Finance leases, other than those associated with the Company’s vehicle rental programs, are included in property and equipment, net, short-term debt and current portion of long-term debt, and long-term debt in the Company’s Consolidated Condensed Balance Sheets. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on information available at commencement date in determining the present value of lease payments. The operating lease ROU assets are reduced by any lease incentives. The Company’s lease terms may include options to extend or terminate the lease, which are included in the calculation of ROU assets when it is reasonably certain that the Company will exercise those options. Lease expense for lease payments is usually recognized on a straight-line basis over the lease term. The Company has lease agreements with lease and nonlease components, which are generally not accounted for separately. Additionally, for certain leases, the Company applies a portfolio approach to account for the operating lease ROU assets and liabilities as the leases are similar in nature and have nearly identical contract provisions. Adoption of this standard resulted in most of the Company’s operating lease commitments being recognized as operating lease liabilities and right-of-use assets, which increased total assets and total liabilities by approximately $2,811 million related to property operating leases and $183 million related to vehicle operating leases. The Company recorded a beginning accumulated deficit adjustment of $5 million , net of tax, related to the adoption of this standard. Recently Issued Accounting Pronouncements Intangibles—Goodwill and Other—Internal—Use Software In August 2018, the Financial Accounting Standards Board (“FASB”) issued ASU 2018-15, “Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement That Is a Service Contract,” which provides guidance for determining when the arrangement includes a software license. The amendments align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal use software (and hosting arrangements that include an internal use software license). The amendments in this update also require the entity to expense the capitalized implementation costs of a hosting arrangement that is a service contract over the term of the hosting arrangement, to present the expense in the same line in its statement of income as the fees associated with the hosting element (service) of the arrangement and classify payments for capitalized implementation costs in its statement of cash flows in the same manner as payments made for fees associated with the hosting element. The entity is also required to present the capitalized implementation costs in its balance sheet in the same line that a prepayment for the fees of the associated hosting arrangement would be presented. ASU 2018-15 becomes effective for the Company on January 1, 2020. Early adoption is permitted. The Company intends to adopt this accounting pronouncement on a prospective basis. The adoption of this accounting pronouncement is not expected to have a material impact on the Company’s Consolidated Condensed Financial Statements. Compensation—Retirement Benefits—Defined Benefit Plans In August 2018, the FASB issued ASU 2018-14, “Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans,” which adds, removes, and clarifies disclosure requirements related to defined benefit pension and other postretirement plans. These changes are part of the FASB’s disclosure framework project, which the Board launched in 2014 to improve the effectiveness of disclosures in notes to financial statements. ASU 2018-14 becomes effective for the Company on January 1, 2021. Early adoption is permitted. The adoption of this accounting pronouncement is not expected to have a material impact on the Company's Consolidated Condensed Financial Statements. Fair Value Measurement In August 2018, the FASB issued ASU 2018-13, “Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement,” which adds, removes, and modifies disclosure requirements related to fair value measurements. ASU 2018-13 becomes effective for the Company on January 1, 2020. Early adoption is permitted. The adoption of this accounting pronouncement is not expected to have a material impact on the Company's Consolidated Condensed Financial Statements. Measurement of Credit Losses on Financial Instruments In June 2016, the FASB issued ASU 2016-13, “Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which, along with related clarifying updates, set forth a current expected credit loss impairment model for financial assets that replaces the current incurred loss model. This model requires a financial asset (or group of financial assets), including trade receivables, measured at amortized cost to be presented at the net amount expected to be collected with an allowance for credit losses deducted from the amortized cost basis. The allowance for credit losses should reflect management’s current estimate of credit losses that are expected to occur over the remaining life of a financial asset. ASU 2016-13 becomes effective for the Company on January 1, 2020. Early adoption is permitted as of January 1, 2019. The adoption of this accounting pronouncement is not expected to have a material impact on the Company’s Consolidated Condensed Financial Statements. |
Leases (Notes)
Leases (Notes) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Leases [Text Block] | Leases Lessor For periods after January 1, 2019, the Company combines all lease and nonlease components of its vehicle rental contracts for which the timing and pattern of transfer are the same and the lease component meets the classification of an operating lease, and accounts for them in accordance with Topic 842. The Company derives revenues primarily by providing vehicle rentals and other related products and mobility services to commercial and leisure customers. Other related products and mobility services include sales of collision and loss damage waivers under which a customer is relieved from financial responsibility arising from vehicle damage incurred during the rental; products and services for driving convenience such as fuel service options, chauffeur drive services, roadside safety net, electronic toll collection, tablet rentals, access to satellite radio, portable navigation units and child safety seat rentals; and rentals of other supplemental items including automobile towing equipment and other moving accessories and supplies. The Company also receives payment from customers for certain operating expenses that it incurs, including airport concession fees that are paid by the Company in exchange for the right to operate at airports and other locations, as well as vehicle licensing fees. Vehicle rentals and other related products and mobility services are recognized evenly over the period of rental, which is on average four days. In addition, the Company collects membership leasing fees in connection with its car sharing business. Membership leasing fees are generally nonrefundable, are deferred and recognized ratably over the period of membership. The following table presents the Company’s lease revenues disaggregated by geography. Three Months Ended September 30, 2019 Nine Months Ended Americas $ 1,856 $ 4,792 Europe, Middle East and Africa 717 1,684 Asia and Australasia 140 431 Total lease revenues $ 2,713 $ 6,907 The following table presents the Company’s lease revenues disaggregated by brand. Three Months Ended September 30, 2019 Nine Months Ended Avis $ 1,559 $ 3,953 Budget 935 2,379 Other 219 575 Total lease revenues $ 2,713 $ 6,907 ________ Other includes Zipcar and other operating brands. Lessee The Company has operating and finance leases for rental locations, corporate offices, vehicle rental fleet and equipment. Many of the Company’s operating leases for rental locations contain concession agreements with various airport authorities that allow the Company to conduct its vehicle rental operations on site. In general, concession fees for airport locations are based on a percentage of total commissionable revenue as defined by each airport authority, some of which are subject to minimum annual guaranteed amounts. Concession fees other than minimum annual guaranteed amounts are not included in the measurement of operating lease ROU assets and operating lease liabilities, and are recorded as variable lease expense as incurred. The Company’s operating leases for rental locations often also require the Company to pay or reimburse operating expenses. The Company leases a portion of its vehicles under operating leases, some of which extend through 2025. As of September 30, 2019 , the Company has guaranteed up to $283 million of residual values for these vehicles at the end of their respective lease terms. The Company believes that, based on current market conditions, the net proceeds from the sale of these vehicles at the end of their lease terms will equal or exceed their net book values and therefore has not recorded a liability related to guaranteed residual values. The components of lease expense are as follows: Three Months Ended September 30, 2019 Nine Months Ended Property leases (a) Operating lease expense $ 184 $ 540 Variable lease expense 93 219 Sublease income (2 ) (6 ) Total property lease expense $ 275 $ 753 Vehicle leases Finance lease expense: Amortization of ROU assets (b) $ 8 $ 31 Interest on lease liabilities (c) 1 3 Operating lease expense (b) 72 191 Total vehicle lease expense $ 81 $ 225 __________ (a) Primarily included in operating expense. (b) Included in vehicle depreciation and lease charges, net. (c) Included in vehicle interest, net. Supplemental balance sheet information related to leases is as follows: As of Property leases Operating lease ROU assets $ 2,365 Short-term operating lease liabilities (a) $ 420 Long-term operating lease liabilities 1,966 Operating lease liabilities $ 2,386 Weighted average remaining lease term 9.4 years Weighted average discount rate 4.50 % Vehicle leases Finance Finance lease ROU assets, gross $ 337 Accumulated amortization (55 ) Finance lease ROU assets, net (b) $ 282 Short-term vehicle finance lease liabilities $ 96 Long-term vehicle finance lease liabilities 164 Vehicle finance lease liabilities (c) $ 260 Weighted average remaining lease term 1.9 years Weighted average discount rate 1.77 % Operating Vehicle operating lease ROU assets (d) $ 205 Short-term vehicle operating lease liabilities $ 136 Long-term vehicle operating lease liabilities 69 Vehicle operating lease liabilities (e) $ 205 Weighted average remaining lease term 1.7 years Weighted average discount rate 2.91 % _________ (a) Included in Accounts payable and other current liabilities. (b) Included in Vehicles, net within Assets under vehicle programs. (c) Included in Debt within Liabilities under vehicle programs. (d) Included in Receivables from vehicle manufacturers and other within Assets under vehicle programs. (e) Included in Other within Liabilities under vehicle programs. Supplemental cash flow information related to leases is as follows: Nine Months Ended Cash payments for lease liabilities within operating activities: Property operating leases $ 564 Vehicle operating leases 182 Vehicle finance leases 3 Cash payments for lease liabilities within financing activities: Vehicle finance leases 193 Non-cash activities - increase (decrease) in ROU assets in exchange for lease liabilities: Property operating leases (a) 149 Vehicle operating leases (a) 209 Vehicle finance leases 247 _________ (a) ROU assets obtained in exchange for lease liabilities from initial recognition. Maturities of lease liabilities as of September 30, 2019 are as follows: Property Operating Leases Vehicle Finance Leases Vehicle Operating Leases Within 1 year $ 517 $ 96 $ 140 Between 1 and 2 years 424 21 52 Between 2 and 3 years 357 138 15 Between 3 and 4 years 298 5 4 Between 4 and 5 years 215 — — Thereafter 1,159 — — Total lease payments 2,970 260 211 Less: Imputed interest (584 ) — (6 ) Total $ 2,386 $ 260 $ 205 Future minimum lease payments required under noncancelable operating leases, including minimum concession fees charged by airport authorities, which in many locations are recoverable from vehicle rental customers, as of December 31, 2018, were as follows: Amount 2019 $ 835 2020 476 2021 345 2022 253 2023 162 Thereafter 590 $ 2,661 |
Restructuring
Restructuring | 9 Months Ended |
Sep. 30, 2019 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Activities | Restructuring and Other Related Charges Restructuring During third quarter 2019, the Company initiated a restructuring plan to exit its operations in Brazil by closing rental facilities, disposing of assets and terminating personnel (“Brazil”). During the three months ended September 30, 2019 , as part of this initiative, the Company formally communicated the termination of employment to approximately 175 employees. The Company recorded $6 million of restructuring expense for the three months ended September 30, 2019 related to this initiative and expects further expense of approximately $10 million to be incurred. During first quarter 2019, the Company initiated a restructuring plan to drive global efficiency by improving processes and consolidating functions, and to create new objectives and strategies for its U.S. truck rental operations by reducing headcount, large vehicles and rental locations (“T19”). During the nine months ended September 30, 2019 , as part of this process, the Company formally communicated the termination of employment to approximately 470 employees, and as of September 30, 2019 , the Company had terminated approximately 365 of these employees. The Company expects further restructuring expense of approximately $15 million related to this initiative to be incurred in 2019. During first quarter 2018, the Company initiated a strategic restructuring plan to improve processes and reduce headcount in response to its new workforce planning technology that allows more effective management of staff levels (“Workforce planning”). The costs associated with this initiative primarily represent severance, outplacement services and other costs associated with employee terminations, the majority of which have been settled in cash. This initiative is complete. The following tables summarize the changes to our restructuring-related liabilities and identifies the amounts recorded within the Company’s reporting segments for restructuring charges and corresponding payments and utilizations: Americas International Total Balance as of January 1, 2019 $ — $ 2 $ 2 Restructuring expense: Brazil 6 — 6 T19 34 11 45 Restructuring payment/utilization: Brazil (4 ) — (4 ) T19 (34 ) (9 ) (43 ) Workforce planning — (1 ) (1 ) Balance as of September 30, 2019 $ 2 $ 3 $ 5 Personnel Facility Other (a) Total Balance as of January 1, 2019 $ 1 $ — $ 1 $ 2 Restructuring expense: Brazil 1 1 4 6 T19 16 — 29 45 Restructuring payment/utilization: Brazil — — (4 ) (4 ) T19 (15 ) — (28 ) (43 ) Workforce planning (1 ) — — (1 ) Balance as of September 30, 2019 $ 2 $ 1 $ 2 $ 5 __________ (a) Includes expenses primarily related to the disposition of vehicles. Other Related Charges Officer Separation Costs In March 2019, the Company announced the resignation of Mark J. Servodidio as the Company’s President, International effective June 14, 2019. In connection with Mr. Servodidio’s departure, the Company recorded other related charges of approximately $3 million , inclusive of accelerated stock-based compensation expense. In May 2019, the Company announced the resignation of Larry D. De Shon as the Company’s President and Chief Executive Officer. Mr. De Shon will continue to serve in his role until a successor has been named and will be employed by the Company through December 31, 2019. In connection with Mr. De Shon’s departure, the Company recorded other related charges of approximately $12 million , inclusive of accelerated stock-based compensation expense and executive search firm fees, and expects approximately $2 million |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following table sets forth the computation of basic and diluted earnings per share (“EPS”) (shares in millions): Three Months Ended Nine Months Ended September 30, 2019 2018 2019 2018 Net income for basic and diluted EPS $ 189 $ 213 $ 160 $ 152 Basic weighted average shares outstanding 75.2 78.8 75.6 80.1 Options and non-vested stock (a) 0.5 0.7 0.6 0.9 Diluted weighted average shares outstanding 75.7 79.5 76.2 81.0 Earnings per share: Basic $ 2.52 $ 2.71 $ 2.12 $ 1.90 Diluted $ 2.50 $ 2.68 $ 2.10 $ 1.88 __________ (a) For the three months ended September 30, 2019 and 2018, 0.4 million and 0.5 million non-vested stock awards, respectively, have an anti-dilutive effect and therefore are excluded from the computation of diluted weighted average shares outstanding. For the nine months ended September 30, 2019 and 2018 , 0.5 million and 0.2 million |
Acquisitions (Notes)
Acquisitions (Notes) | 9 Months Ended |
Sep. 30, 2019 | |
Acquisitions [Abstract] | |
Business Combination Disclosure [Text Block] | Acquisitions Avis and Budget Licensees In 2019, the Company completed the acquisitions of various licensees primarily in North America, for approximately $40 million , plus $27 million for acquired fleet, of which $64 million was paid. The remaining $3 million of the purchase price will be paid primarily in 2020. These investments were in-line with the Company’s strategy to re-acquire licensees when advantageous to expand its footprint of Company-operated locations. The acquired fleet was financed under the Company’s existing financing arrangements. The excess of the purchase price over preliminary fair value of net assets acquired was allocated to goodwill, which was assigned to the Company’s Americas reportable segment. In connection with these acquisitions, approximately $21 million was recorded in goodwill, other intangibles of $12 million related to license agreements and $7 million related to customer relationships. The license agreements and customer relationships are being amortized over a weighted average useful life of approximately three years |
Other Current Assets
Other Current Assets | 9 Months Ended |
Sep. 30, 2019 | |
Other Current Assets Disclosure [Abstract] | |
Other Current Assets [Text Block] | Other Current Assets Other current assets consisted of: As of As of December 31, 2018 Prepaid expenses $ 259 $ 241 Sales and use taxes 246 180 Other 155 183 Other current assets $ 660 $ 604 |
Intangible Assets
Intangible Assets | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Intangible Assets Intangible assets consisted of: As of September 30, 2019 As of December 31, 2018 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Amortized Intangible Assets License agreements $ 229 $ 104 $ 125 $ 305 $ 168 $ 137 Customer relationships 250 157 93 251 141 110 Other 49 23 26 52 21 31 Total $ 528 $ 284 $ 244 $ 608 $ 330 $ 278 Unamortized Intangible Assets Goodwill $ 1,083 $ 1,092 Trademarks $ 548 $ 547 For the three months ended September 30, 2019 and 2018 , amortization expense related to amortizable intangible assets was approximately $13 million and $15 million , respectively. For the nine months ended September 30, 2019 and 2018, amortization expense related to amortizable intangible assets was approximately $44 million and $48 million , respectively. Based on the Company’s amortizable intangible assets at September 30, 2019 , the Company expects amortization expense of approximately $13 million for the remainder of 2019 , $52 million for 2020 , $39 million for 2021 , $28 million for 2022 , $22 million for 2023 and $19 million for 2024 , excluding effects of currency exchange rates. |
Vehicle Rental Activities
Vehicle Rental Activities | 9 Months Ended |
Sep. 30, 2019 | |
Vehicle Rental Activities [Abstract] | |
Vehicle Rental Activities | Vehicle Rental Activities The components of vehicles, net within assets under vehicle programs were as follows: As of As of September 30, December 31, 2019 2018 Rental vehicles $ 13,691 $ 12,548 Less: Accumulated depreciation (1,524 ) (1,670 ) 12,167 10,878 Vehicles held for sale 585 596 Vehicles, net $ 12,752 $ 11,474 The components of vehicle depreciation and lease charges, net are summarized below: Three Months Ended Nine Months Ended September 30, 2019 2018 2019 2018 Depreciation expense $ 516 $ 540 $ 1,457 $ 1,536 Lease charges 72 72 191 192 (Gain) loss on sale of vehicles, net (37 ) (25 ) (69 ) (35 ) Vehicle depreciation and lease charges, net $ 551 $ 587 $ 1,579 $ 1,693 At September 30, 2019 and 2018 , the Company had payables related to vehicle purchases included in liabilities under vehicle programs - other of $297 million and $269 million , respectively, and receivables related to vehicle sales included in assets under vehicle programs - receivables from vehicle manufacturers and other of $693 million and $757 million , respectively. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Income Taxes The Company’s effective tax rate for the nine months ended September 30, 2019 was a provision of 41.4% . Such rate differed from the Federal statutory rate of 21.0% primarily due to foreign taxes on our international operations, state taxes, and a one-time net tax effect from the sale of equity investment in Anji during the second quarter of 2019. The Company’s effective tax rate for the nine months ended September 30, 2018 was a provision of 42.4% . Such rate differed from the Federal statutory rate of 21.0% primarily due to an adjustment of the one-time transition tax on the deemed repatriation of cumulative foreign subsidiary earnings initially recorded during the three months ended December 31, 2017 and taxes on the Company’s international operations. |
Accounts Payable and Other Curr
Accounts Payable and Other Current Liabilities | 9 Months Ended |
Sep. 30, 2019 | |
Accounts Payable and Other Current Liabilities [Abstract] | |
Accounts Payable, Accrued Liabilities, and Other Liabilities Disclosure, Current [Text Block] | Accounts Payable and Other Current Liabilities Accounts payable and other current liabilities consisted of: As of As of September 30, December 31, 2019 2018 Short-term operating lease liabilities $ 420 $ — Accounts payable 382 371 Accrued sales and use taxes 267 208 Accrued advertising and marketing 206 192 Accrued payroll and related 184 200 Public liability and property damage insurance liabilities – current 150 149 Deferred lease revenues – current 141 140 Other 445 433 Accounts payable and other current liabilities $ 2,195 $ 1,693 |
Long-term Debt and Borrowing Ar
Long-term Debt and Borrowing Arrangements | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Long-term Debt and Borrowing Arrangements | Long-term Corporate Debt and Borrowing Arrangements Long-term corporate debt and borrowing arrangements consisted of: As of As of Maturity Dates September 30, December 31, 2019 2018 5½% Senior Notes (a) April 2023 $ 275 $ 675 6⅜% Senior Notes April 2024 350 350 4⅛% euro-denominated Senior Notes November 2024 327 344 Floating Rate Term Loan (b) February 2025 1,115 1,123 5¼% Senior Notes March 2025 375 375 4½% euro-denominated Senior Notes May 2025 272 287 4¾% euro-denominated Senior Notes January 2026 381 401 5¾% Senior Notes July 2027 400 — Other (c) 30 41 Deferred financing fees (42 ) (45 ) Total 3,483 3,551 Less: Short-term debt and current portion of long-term debt 95 23 Long-term debt $ 3,388 $ 3,528 __________ (a) A portion of these notes have been called for redemption. (b) The floating rate term loan is part of the Company’s senior revolving credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. As of September 30, 2019, the floating rate term loan due 2025 bears interest at one-month LIBOR plus 200 basis points, for an aggregate rate of 4.05%. The Company has entered into a swap to hedge $700 million of its interest rate exposure related to the floating rate term loan at an aggregate rate of 3.67%. (c) Primarily includes finance leases which are secured by liens on the related assets. In July 2019, the Company issued $400 million of its 5¾% Senior Notes due July 2027, at par. The Company used the net proceeds from the offering to redeem $400 million principal amount of its 5½% Senior Notes due April 2023 for $407 million plus accrued interest. In September 2019, the Company called $75 million principal amount of its 5 ½% Senior Notes due April 2023 to be redeemed in October 2019 (see Note 19 – Subsequent event). Committed Credit Facilities and Available Funding Arrangements At September 30, 2019 , the committed corporate credit facilities available to the Company and/or its subsidiaries were as follows: Total Capacity Outstanding Borrowings Letters of Credit Issued Available Capacity Senior revolving credit facility maturing 2023 (a) $ 1,800 $ — $ 947 $ 853 __________ (a) The senior revolving credit facility bears interest at one-month LIBOR plus 200 basis points and is part of the Company’s senior credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. At September 30, 2019 , the Company had various uncommitted credit facilities available, under which it had drawn approximately $1 million , which bear interest at rates between 0.79% and 1.53% . Debt Covenants The agreements governing the Company’s indebtedness contain restrictive covenants, including restrictions on dividends paid to the Company by certain of its subsidiaries, the incurrence of additional indebtedness by the Company and certain of its subsidiaries, acquisitions, mergers, liquidations, and sale and leaseback transactions. The Company’s senior credit facility also contains a consolidated first lien leverage ratio requirement. As of September 30, 2019 , the Company was in compliance with the financial covenants governing its indebtedness. |
Debt Under Vehicle Programs and
Debt Under Vehicle Programs and Borrowing Arrangements | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Debt Under Vehicle Programs and Borrowing Arrangements | Debt Under Vehicle Programs and Borrowing Arrangements Debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding (AESOP) LLC (“Avis Budget Rental Car Funding”), consisted of: As of As of September 30, December 31, 2019 2018 Americas - Debt due to Avis Budget Rental Car Funding (a) $ 7,910 $ 7,393 Americas - Debt borrowings (a) 923 635 International - Debt borrowings (a) 2,592 2,060 International - Finance leases (a) 217 191 Other — 2 Deferred financing fees (b) (50 ) (49 ) Total $ 11,592 $ 10,232 __________ (a) The increase reflects additional borrowings principally to fund increases in the Company’s car rental fleet. (b) Deferred financing fees related to Debt due to Avis Budget Rental Car Funding as of September 30, 2019 and December 31, 2018 was $40 million and $35 million, respectively. In February 2019, the Company’s Avis Budget Rental Car Funding subsidiary issued approximately $600 million in asset-backed notes with an expected final payment date of March 2022 incurring interest at a weighted average rate of 3.56% . In April 2019, the Company’s Avis Budget Rental Car Funding subsidiary issued approximately $650 million in asset-backed notes with an expected final payment date of September 2024 incurring interest at a weighted average rate of 3.44% . In August 2019, the Company’s Avis Budget Rental Car Funding subsidiary issued approximately $650 million in asset-backed notes with an expected final payment date of March 2025 incurring interest at a weighted average rate of 2.45% . Debt Maturities The following table provides the contractual maturities of the Company’s debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding, at September 30, 2019 . Debt under Vehicle Programs (a) Within 1 year $ 1,795 Between 1 and 2 years (b) 4,783 Between 2 and 3 years 1,668 Between 3 and 4 years 1,088 Between 4 and 5 years 1,418 Thereafter 890 Total $ 11,642 __________ (a) Vehicle-backed debt primarily represents asset-backed securities. (b) Includes $3.7 billion of bank and bank-sponsored facilities. Committed Credit Facilities and Available Funding Arrangements As of September 30, 2019 , available funding under the Company’s vehicle programs, including related party debt due to Avis Budget Rental Car Funding, consisted of: Total Capacity (a) Outstanding Borrowings (b) Available Capacity Americas - Debt due to Avis Budget Rental Car Funding $ 10,000 $ 7,910 $ 2,090 Americas - Debt borrowings 935 923 12 International - Debt borrowings 2,889 2,592 297 International - Finance leases 253 217 36 Total $ 14,077 $ 11,642 $ 2,435 __________ (a) Capacity is subject to maintaining sufficient assets to collateralize debt. (b) The outstanding debt is collateralized by vehicles and related assets of $9.4 billion for Americas - Debt due to Avis Budget Rental Car Funding; $1.2 billion for Americas - Debt borrowings; $3.0 billion for International - Debt borrowings; and $0.3 billion for International - Finance leases. Debt Covenants The agreements under the Company’s vehicle-backed funding programs contain restrictive covenants, including restrictions on dividends paid to the Company by certain of its subsidiaries and restrictions on indebtedness, mergers, liens, liquidations, and sale and leaseback transactions and in some cases also require compliance with certain financial requirements. As of September 30, 2019 , the Company is not aware of any instances of non-compliance with any of the financial covenants contained in the debt agreements under its vehicle-backed funding programs. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Contingencies In 2006, the Company completed the spin-offs of its Realogy and Wyndham subsidiaries. The Company does not believe that the impact of any resolution of pre-existing contingent liabilities in connection with the spin-offs should result in a material liability to the Company in relation to its consolidated financial position or liquidity, as Realogy and Wyndham each have agreed to assume responsibility for these liabilities. The Company is also named in litigation that is primarily related to the businesses of its former subsidiaries, including Realogy and Wyndham. The Company is entitled to indemnification from such entities for any liability resulting from such litigation. In February 2017, following a state court trial in Georgia, a jury found the Company liable for damages in a case brought by a plaintiff who was injured in a vehicle accident allegedly caused by an employee of an independent contractor of the Company who was acting outside of the scope of employment. In March 2017, the Company was also found liable for damages in a companion case arising from the same incident. The Company is appealing both verdicts and considers the attribution of liability to the Company, and the amount of damages awarded, to be unsupported by the facts of these cases. The Company has recognized a liability for the expected loss related to these cases, net of recoverable insurance proceeds, of approximately $12 million . The Company is involved in claims, legal proceedings and governmental inquiries that are incidental to its vehicle rental and car sharing operations, including, among others, contract and licensee disputes, competition matters, employment and wage-and-hour claims, insurance and liability claims, intellectual property claims, business practice disputes and other regulatory, environmental, commercial and tax matters. Litigation is inherently unpredictable and, although the Company believes that its accruals are adequate and/or that it has valid defenses in these matters, unfavorable resolutions could occur. The Company estimates that the potential exposure resulting from adverse outcomes of legal proceedings in which it is reasonably possible that a loss may be incurred could, in the aggregate, be up to approximately $30 million in excess of amounts accrued as of September 30, 2019 . The Company does not believe that the impact should result in a material liability to the Company in relation to its consolidated financial condition or results of operations. Commitments to Purchase Vehicles The Company maintains agreements with vehicle manufacturers under which the Company has agreed to purchase approximately $8.0 billion of vehicles from manufacturers over the next 12 months financed primarily through the issuance of vehicle-backed debt and cash received upon the disposition of vehicles. Certain of these commitments are subject to the vehicle manufacturers satisfying their obligations under their respective repurchase and guaranteed depreciation agreements. Concentrations Concentrations of credit risk at September 30, 2019 include (i) risks related to the Company’s repurchase and guaranteed depreciation agreements with domestic and foreign car manufacturers, primarily with respect to receivables for program cars that have been disposed but for which the Company has not yet received payment from the manufacturers and (ii) risks related to Realogy and Wyndham, including receivables of $25 million and $15 million , respectively, related to certain contingent, income tax and other corporate liabilities assumed by Realogy and Wyndham in connection with their disposition. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2019 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders’ Equity Share Repurchases The Company’s Board of Directors has authorized the repurchase of up to $1.8 billion of its common stock under a plan originally approved in 2013 and subsequently expanded, most recently in August 2019. During the nine months ended September 30, 2019 , the Company repurchased approximately 2.1 million shares of common stock at a cost of approximately $59 million under the program. During the nine months ended September 30, 2018 , the Company repurchased approximately 3.5 million shares of common stock at a cost of approximately $129 million under the program. As of September 30, 2019 , approximately $192 million of authorization remains available to repurchase common stock under this plan. In June 2019, as part of its share repurchase program, the Company entered into a structured repurchase agreement involving the use of capped call options for the purchase of its common stock. The Company paid a fixed sum upon the execution of the agreement in exchange for the right to receive either a pre-determined amount of cash or stock. The Company paid net premiums of $16 million to enter into this agreement, which was recorded as a reduction of additional paid in capital. In September 2019, the capped call options expired and all outstanding options settled for 0.6 million shares. Total Comprehensive Income (Loss) Comprehensive income (loss) consists of net income (loss) and other gains and losses affecting stockholders’ equity that, under GAAP, are excluded from net income (loss). The components of other comprehensive income (loss) were as follows: Three Months Ended Nine Months Ended 2019 2018 2019 2018 Net income $ 189 $ 213 $ 160 $ 152 Other comprehensive income (loss): Currency translation adjustments (net of tax of $(12), $(1), $(14), and $(6) respectively) (31 ) (8 ) (21 ) (61 ) Net unrealized gain (loss) on cash flow hedges (net of tax of $2, $0, and $9, and $(3) respectively) (4 ) — (25 ) 8 Minimum pension liability adjustment (net of tax of $(1), $0, $(1), and $(1), respectively) 1 2 5 5 (34 ) (6 ) (41 ) (48 ) Comprehensive income $ 155 $ 207 $ 119 $ 104 __________ Currency translation adjustments exclude income taxes related to indefinite investments in foreign subsidiaries. Accumulated Other Comprehensive Income (Loss) The components of accumulated other comprehensive income (loss) were as follows: Currency Translation Adjustments Net Unrealized Gains (Losses) on Cash Flow Hedges (a) Net Unrealized Gains (Losses) on Available-for-Sale Securities Minimum Pension Liability Adjustment (b) Accumulated Other Comprehensive Income (Loss) Balance, December 31, 2018 $ (3 ) $ 2 $ — $ (132 ) $ (133 ) Cumulative effect of accounting change (c) — 1 — — 1 Balance, January 1, 2019 $ (3 ) $ 3 $ — $ (132 ) $ (132 ) Other comprehensive income (loss) before reclassifications (21 ) (23 ) — 1 (43 ) Amounts reclassified from accumulated other comprehensive income (loss) — (2 ) — 4 2 Net current-period other comprehensive income (loss) (21 ) (25 ) — 5 (41 ) Balance, September 30, 2019 $ (24 ) $ (22 ) $ — $ (127 ) $ (173 ) Balance, December 31, 2017 $ 71 $ 5 $ 2 $ (102 ) $ (24 ) Cumulative effect of accounting change 7 1 (2 ) (12 ) (6 ) Balance, January 1, 2018 $ 78 $ 6 $ — $ (114 ) $ (30 ) Other comprehensive income (loss) before reclassifications (61 ) 9 — 1 (51 ) Amounts reclassified from accumulated other comprehensive income (loss) — (1 ) — 4 3 Net current-period other comprehensive income (loss) (61 ) 8 — 5 (48 ) Balance, September 30, 2018 $ 17 $ 14 $ — $ (109 ) $ (78 ) __________ All components of accumulated other comprehensive income (loss) are net of tax, except currency translation adjustments, which exclude income taxes related to indefinite investments in foreign subsidiaries and include a $101 million gain, net of tax, as of September 30, 2019 related to the Company’s hedge of its net investment in euro-denominated foreign operations (see Note 16–Financial Instruments). (a) For the three and nine months ended September 30, 2019 , the amount reclassified from accumulated other comprehensive income (loss) into corporate interest expense was $1 million ( $0 million , net of tax) and $4 million ( $2 million , net of tax), respectively. For the three and nine months ended September 30, 2018 , the amounts reclassified from accumulated other comprehensive income (loss) into corporate interest expense were $2 million ( $1 million , net of tax), in each period. (b) For the three and nine months ended September 30, 2019 , amounts reclassified from accumulated other comprehensive income (loss) into selling, general and administrative expenses were $2 million ( $1 million , net of tax) and $6 million ( $4 million , net of tax), respectively. For the three and nine months ended September 30, 2018 , amounts reclassified from accumulated other comprehensive income (loss) into selling, general and administrative expenses were $2 million ( $2 million , net of tax) and $6 million ( $4 million , net of tax), respectively. (c) See Note 1–Basis of Presentation for the impact of adoption of ASU 2017-12. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation The Company recorded stock-based compensation expense of $6 million and $7 million ( $5 million and $5 million , net of tax) during the three months ended September 30, 2019 and 2018 , respectively, and $18 million ( $14 million , net of tax) during the nine months ended September 30, 2019 and 2018 , in each period. The activity related to restricted stock units (“RSUs”) consisted of (in thousands of shares): Number of Shares Weighted Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in millions) Time-based RSUs Outstanding at January 1, 2019 838 $ 38.67 Granted (a) 606 34.17 Vested (b) (502 ) 36.00 Forfeited (56 ) 38.76 Outstanding and expected to vest at September 30, 2019 (c) 886 $ 37.10 1.3 $ 25 Performance-based and market-based RSUs Outstanding at January 1, 2019 1,169 $ 35.14 Granted (a) 570 34.56 Vested — — Forfeited (430 ) 24.85 Outstanding at September 30, 2019 1,309 $ 38.27 1.6 $ 37 Outstanding and expected to vest at September 30, 2019 (c) 524 $ 39.31 1.9 $ 15 __________ (a) Reflects the maximum number of stock units assuming achievement of all performance-, market- and time-vesting criteria and does not include those for non-employee directors. The weighted-average fair value of time-based RSUs and performance-based RSUs granted during the nine months ended September 30, 2018 was $48.41 and $48.52 , respectively. (b) The total fair value of RSUs vested during September 30, 2019 and 2018 was $18 million and $20 million , respectively. (c) Aggregate unrecognized compensation expense related to time-based RSUs and performance-based RSUs amounted to $36 million and will be recognized over a weighted average vesting period of 1.5 years . The stock option activity consisted of (in thousands of shares): Number of Options Weighted Weighted Aggregate Intrinsic Value (in millions) Outstanding at January 1, 2019 57 $ 0.79 0.1 $ 1 Granted — — — Exercised (a) (57 ) 0.79 1 Forfeited/expired — — — Outstanding and exercisable at September 30, 2019 — $ — — $ — __________ (a) Stock options exercised during the nine months ended September 30, 2018 had an aggregate intrinsic value of $8 million and the cash received was $2 million |
Financial Instruments
Financial Instruments | 9 Months Ended |
Sep. 30, 2019 | |
Investments, All Other Investments [Abstract] | |
Financial Instruments | Financial Instruments Derivative Instruments and Hedging Activities Currency Risk. The Company uses currency exchange contracts to manage its exposure to changes in currency exchange rates associated with certain of its non-U.S.-dollar denominated receivables and forecasted royalties, forecasted earnings of non-U.S. subsidiaries and forecasted non-U.S.-dollar denominated acquisitions. The Company primarily hedges a portion of its current-year currency exposure to the Australian, Canadian and New Zealand dollars, the euro and the British pound sterling. The majority of forward contracts do not qualify for hedge accounting treatment. The fluctuations in the value of these forward contracts do, however, largely offset the impact of changes in the value of the underlying risk they economically hedge. Forward contracts used to hedge forecasted third-party receipts and disbursements up to 12 months are designated and do qualify as cash flow hedges. The Company has designated its euro-denominated notes as a hedge of its investment in euro-denominated foreign operations. The estimated net amount of existing gains or losses the Company expects to reclassify from accumulated other comprehensive income (loss) to earnings for cash flow and net investment hedges over the next 12 months is not material. Interest Rate Risk. The Company uses various hedging strategies including interest rate swaps and interest rate caps to create what it deems an appropriate mix of fixed and floating rate assets and liabilities. The Company uses interest rate swaps and interest rate caps to manage the risk related to its floating rate corporate debt and its floating rate vehicle-backed debt. The Company records the changes in the fair value of its cash flow hedges to other comprehensive income (loss), net of tax, and subsequently reclassifies these amounts into earnings in the period during which the hedged transaction affects earnings and is presented in the same income statement line item as the earnings effect of the hedged item. The Company records the gains or losses related to freestanding derivatives, which are not designated as a hedge for accounting purposes, currently in earnings and are presented in the same line of the income statement expected for the hedged item. The Company estimates that an immaterial amount of loss currently recorded in accumulated other comprehensive income (loss) will be recognized in earnings over the next 12 months. Commodity Risk. The Company periodically enters into derivative commodity contracts to manage its exposure to changes in the price of gasoline. These instruments were designated as freestanding derivatives and the changes in fair value are recorded in earnings and are presented in the same line of the income statement expected for the hedged item. The Company held derivative instruments with absolute notional values as follows: As of September 30, 2019 Foreign exchange contracts $ 1,445 Interest rate caps (a) 7,754 Interest rate swaps 1,500 Commodity contracts (millions of gallons of unleaded gasoline) 5 __________ (a) Represents $5.4 billion of interest rate caps sold, partially offset by approximately $2.4 billion of interest rate caps purchased. These amounts exclude $3.0 billion of interest rate caps purchased by the Company’s Avis Budget Rental Car Funding subsidiary as it is not consolidated by the Company. Estimated fair values (Level 2) of derivative instruments were as follows: As of September 30, 2019 As of December 31, 2018 Fair Value, Derivative Assets Fair Value, Derivative Liabilities Fair Value, Fair Value, Derivatives designated as hedging instruments Interest rate swaps (a) $ 1 $ 31 $ 12 $ 8 Derivatives not designated as hedging instruments Foreign exchange contracts (b) 9 5 5 11 Interest rate caps (c) — — — 2 Commodity contracts (b) — — — 1 Total $ 10 $ 36 $ 17 $ 22 __________ Amounts in this table exclude derivatives issued by Avis Budget Rental Car Funding, as it is not consolidated by the Company; however, certain amounts related to the derivatives held by Avis Budget Rental Car Funding are included within accumulated other comprehensive income (loss), as discussed in Note 14–Stockholders’ Equity. (a) Included in other non-current assets or other non-current liabilities. (b) Included in other current assets or other current liabilities. (c) Included in assets under vehicle programs or liabilities under vehicle programs. The effects of derivatives recognized in the Company’s Consolidated Condensed Financial Statements were as follows: Three Months Ended Nine Months Ended 2019 2018 2019 2018 Derivatives designated as hedging instruments (a) Interest rate swaps (b) $ (4 ) $ — $ (25 ) $ 8 Euro-denominated notes (c) 32 3 37 16 Derivatives not designated as hedging instruments (d) Foreign exchange contracts (e) 10 6 21 25 Interest rate caps (f) — (3 ) — (4 ) Commodity contracts (g) (1 ) — 3 1 Total $ 37 $ 6 $ 36 $ 46 __________ (a) Recognized, net of tax, as a component of other comprehensive income (loss) within stockholders’ equity. (b) Classified as a net unrealized gain (loss) on cash flow hedges in accumulated other comprehensive income (loss). Refer to Note 14–Stockholders’ Equity for amounts reclassified from accumulated other comprehensive income into earnings. (c) Classified as a net investment hedge within currency translation adjustment in accumulated other comprehensive income (loss). (d) Gains (losses) related to derivative instruments are expected to be largely offset by (losses) gains on the underlying exposures being hedged. (e) For the three months ended September 30, 2019 , included a $9 million gain in interest expense and a $1 million gain in operating expense and for the nine months ended September 30, 2019 , included a $20 million gain in interest expense and a $1 million gain operating expense. For the three months ended September 30, 2018 , included $5 million gain in interest expense and a $1 million gain in operating expense and for the nine months ended September 30, 2018 , included a $12 million gain in interest expense and a $13 million gain in operating expense. (f) Included primarily in vehicle interest, net. (g) Included in operating expense. Debt Instruments The carrying amounts and estimated fair values (Level 2) of debt instruments were as follows: As of September 30, 2019 As of December 31, 2018 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Corporate debt Short-term debt and current portion of long-term debt $ 95 $ 96 $ 23 $ 23 Long-term debt 3,388 3,536 3,528 3,462 Debt under vehicle programs Vehicle-backed debt due to Avis Budget Rental Car Funding $ 7,870 $ 8,053 $ 7,358 $ 7,383 Vehicle-backed debt 3,719 3,734 2,871 2,881 Interest rate swaps and interest rate caps (a) 3 3 3 3 __________ (a) Derivatives in a liability position. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company’s chief operating decision-maker assesses performance and allocates resources based upon the separate financial information from each of the Company’s operating segments. In identifying its reportable segments, the Company considered the nature of services provided, the geographical areas in which the segments operated and other relevant factors. The Company aggregates certain of its operating segments into its reportable segments. Management evaluates the operating results of each of its reportable segments based upon revenues and “Adjusted EBITDA,” which the Company defines as income (loss) from continuing operations before non-vehicle related depreciation and amortization, any impairment charges, restructuring and other related charges, early extinguishment of debt costs, non-vehicle related interest, transaction-related costs, net charges for unprecedented personal-injury legal matters, non-operational charges related to shareholder activist activity, gain on sale of equity method investment in Anji and income taxes. Net charges for unprecedented personal-injury legal matters and gain on sale of equity method investment in Anji are recorded within operating expenses in the Company’s Consolidated Condensed Statement of Comprehensive Income. Non-operational charges related to shareholder activist activity include third party advisory, legal and other professional service fees and are recorded within selling, general and administrative expenses in the Company’s Consolidated Condensed Statement of Comprehensive Income. The Company has revised the definition of Adjusted EBITDA to exclude the gain on sale of equity method investment in Anji. The Company did not revise prior years’ Adjusted EBITDA because there were no gains similar in nature to this gain. The Company’s presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies. Three Months Ended September 30, 2019 2018 Revenues Adjusted EBITDA Revenues Adjusted EBITDA Americas $ 1,868 $ 321 $ 1,844 $ 313 International 885 169 934 178 Corporate and Other (a) — (19 ) — (15 ) Total Company $ 2,753 $ 471 $ 2,778 $ 476 Reconciliation of Adjusted EBITDA to income before income taxes 2019 2018 Adjusted EBITDA $ 471 $ 476 Less: Non-vehicle related depreciation and amortization 62 62 Interest expense related to corporate debt, net: Interest expense 49 44 Early extinguishment of debt 10 — Restructuring and other related charges 22 4 Transaction-related costs, net — 11 Income before income taxes $ 328 $ 355 __________ (a) Includes unallocated corporate overhead which is not attributable to a particular segment. Nine Months Ended September 30, 2019 2018 Revenues Adjusted EBITDA Revenues Adjusted EBITDA Americas $ 4,822 $ 508 $ 4,782 $ 435 International 2,188 187 2,292 252 Corporate and Other (a) — (50 ) — (48 ) Total Company $ 7,010 $ 645 $ 7,074 $ 639 Reconciliation of Adjusted EBITDA to income before income taxes 2019 2018 Adjusted EBITDA $ 645 $ 639 Less: Non-vehicle related depreciation and amortization 195 190 Interest expense related to corporate debt, net: Interest expense 139 139 Early extinguishment of debt 10 5 Restructuring and other related charges 66 14 Transaction-related costs, net 6 18 Non-operational charges related to shareholder activist activity — 9 Gain on sale of equity method investment in Anji (44 ) — Income before income taxes $ 273 $ 264 __________ (a) Includes unallocated corporate overhead which is not attributable to a particular segment. As of September 30, 2019 and December 31, 2018 , Americas’ segment assets exclusive of assets under vehicle programs were approximately $5.8 billion and $3.8 billion , respectively, and International segment assets exclusive of assets under vehicle programs were approximately $2.8 billion and $2.5 billion , respectively. The increases in assets exclusive of assets under vehicle programs is primarily due to the adoption of ASU 2016-02 (see Note 1 – Basis of Presentation). As of September 30, 2019 and December 31, 2018 , Americas’ assets under vehicle programs were approximately $10.8 billion and $9.7 billion , respectively, and International assets under vehicle programs were approximately $3.6 billion and $3.1 billion , respectively. The increases in assets under vehicle programs is primarily due to seasonality. |
Guarantor and Non-Guarantor Con
Guarantor and Non-Guarantor Consolidating Condensed Financial Statements | 9 Months Ended |
Sep. 30, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Financial Information of Parent Company Only Disclosure [Text Block] | Guarantor and Non-Guarantor Consolidating Condensed Financial Statements The following consolidating financial information presents Consolidating Condensed Statements of Comprehensive Income for the three and nine months ended September 30, 2019 and 2018 , Consolidating Condensed Balance Sheets as of September 30, 2019 and December 31, 2018 , and Consolidating Condensed Statements of Cash Flows for the nine months ended September 30, 2019 and 2018 for: (i) Avis Budget Group, Inc. (the “Parent”); (ii) ABCR and Avis Budget Finance, Inc. (the “Subsidiary Issuers”); (iii) the guarantor subsidiaries; (iv) the non-guarantor subsidiaries; (v) elimination entries necessary to consolidate the Parent with the Subsidiary Issuers, and the guarantor and non-guarantor subsidiaries; and (vi) the Company on a consolidated basis. The Subsidiary Issuers and the guarantor and non-guarantor subsidiaries are 100% owned by the Parent, either directly or indirectly. All guarantees are full and unconditional and joint and several. This financial information is being presented in relation to the Company’s guarantee of the payment of principal, premium (if any) and interest on the notes issued by the Subsidiary Issuers. See Note 11–Long-term Corporate Debt and Borrowing Arrangements for additional description of these guaranteed notes. The Senior Notes are guaranteed by the Parent and certain subsidiaries. Investments in subsidiaries are accounted for using the equity method of accounting for purposes of the consolidating presentation. The principal elimination entries relate to investments in subsidiaries and intercompany balances and transactions. For purposes of the accompanying Consolidating Condensed Statements of Comprehensive Income, certain expenses incurred by the Subsidiary Issuers are allocated to the guarantor and non-guarantor subsidiaries. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2019 | |
Subsequent Event [Line Items] | |
Subsequent Events [Text Block] | Subsequent Event In October 2019, the Company redeemed $75 million principal amount of its 5½% Senior Notes due April 2023 for $76 million plus accrued interest. * * * * |
Basis of Presentation Basis o_2
Basis of Presentation Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Basis of Presentation [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation Avis Budget Group, Inc. provides mobility solutions to businesses and consumers worldwide. The accompanying unaudited Consolidated Condensed Financial Statements include the accounts and transactions of Avis Budget Group, Inc. and its subsidiaries, as well as entities in which Avis Budget Group, Inc. directly or indirectly has a controlling financial interest (collectively, the “Company”), and have been prepared pursuant to the rules and regulations of the U.S. Securities and Exchange Commission for interim financial reporting. The Company operates the following reportable business segments: • Americas —consisting primarily of (i) vehicle rental operations in North America, South America, Central America and the Caribbean, (ii) car sharing operations in certain of these markets, and (iii) licensees in the areas in which the Company does not operate directly. • International —consisting primarily of (i) vehicle rental operations in Europe, the Middle East, Africa, Asia and Australasia, (ii) car sharing operations in certain of these markets, and (iii) licensees in the areas in which the Company does not operate directly. The operating results of acquired businesses are included in the accompanying Consolidated Condensed Financial Statements from the dates of acquisition. Differences between the preliminary allocation of purchase price and the final allocation for the Company’s third quarter 2018 acquisition of Morini S.p.A. and various licensees in Europe and North America were not material. The fair value of the assets acquired and liabilities assumed in connection with the Company’s fourth quarter 2018 acquisition of Turiscar Group has not yet been finalized; however, there have been no significant changes to the preliminary allocation of the purchase price during the nine months ended September 30, 2019 . In presenting the Consolidated Condensed Financial Statements in accordance with accounting principles generally accepted in the United States of America (“GAAP”), management makes estimates and assumptions that affect the amounts reported and related disclosures. Estimates, by their nature, are based on judgment and available information. Accordingly, actual results could differ from those estimates. In management’s opinion, the Consolidated Condensed Financial Statements contain all adjustments necessary for a fair presentation of interim results reported. The results of operations reported for interim periods are not necessarily indicative of the results of operations for the entire year or any subsequent interim period. These financial statements should be read in conjunction with the Company’s 2018 Form 10-K. |
Vehicle Program Policy [Policy Text Block] | Vehicle Programs. The Company presents separately the financial data of its vehicle programs. These programs are distinct from the Company’s other activities since the assets under vehicle programs are generally funded through the issuance of debt that is collateralized by such assets. The income generated by these assets is used, in part, to repay the principal and interest associated with the debt. Cash inflows and outflows relating to the acquisition of such assets and the principal debt repayment or financing of such assets are classified as activities of the Company’s vehicle programs. The Company believes it is appropriate to segregate the financial data of its vehicle programs because, ultimately, the source of repayment of such debt is the realization of such assets. |
Transaction Related Costs Policy [Policy Text Block] | Transaction-related costs, net. Transaction-related costs, net are classified separately in the Consolidated Condensed Statements of Comprehensive Income. These costs are comprised of expenses related to acquisition-related activities such as due diligence and other advisory costs, expenses related to the integration of the acquiree’s operations with those of the Company, including the implementation of best practices and process improvements, non-cash gains and losses related to re-acquired rights, expenses related to pre-acquisition contingencies and contingent consideration related to acquisitions. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Currency Transactions. The Company records the gain or loss on foreign-currency transactions on certain intercompany loans and the gain or loss on intercompany loan hedges within interest expense related to corporate debt, net. During the three months ended September 30, 2019 and 2018, the Company recorded an immaterial amount, in each period, and during the nine months ended September 30, 2019 and 2018, the Company recorded a gain of $3 million and an immaterial amount, respectively, related to such items. |
New Accounting Pronouncements, Policy [Policy Text Block] | Adoption of New Accounting Pronouncements Nonemployee Share-Based Payment Accounting On January 1, 2019, as a result of a new accounting pronouncement, the Company adopted Accounting Standards Update (“ASU”) 2018-02, “Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting,” which simplifies the accounting for share-based payments granted to nonemployees for goods and services and aligns most of the guidance on such payments to nonemployees with the requirements for share-based payments granted to employees. The adoption of this accounting pronouncement did not have an impact on the Company's Consolidated Condensed Financial Statements. Accounting for Hedging Activities On January 1, 2019, as the result of a new accounting pronouncement, the Company adopted ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities,” which amends the existing guidance to allow companies to more accurately present the economic results of an entity’s risk management activities in the financial statements. The adoption of this standard did not have a material impact on the Company’s Consolidated Condensed Financial Statements. Leases On January 1, 2019, as the result of a new accounting pronouncement, the Company adopted Topic 842 along with related updates, which require a lessee to recognize all long-term leases on its balance sheet as a liability for its lease obligation, measured at the present value of lease payments not yet paid, and a corresponding asset representing its right to use the underlying asset over the lease term and expands disclosure of key information about leasing arrangements. Topic 842 does not significantly change a lessee’s recognition, measurement and presentation of expenses. Additionally, Topic 842 aligns key aspects of lessor accounting with the revenue recognition guidance in Topic 606. The Company elected available practical expedients for existing or expired contracts of lessees and lessors wherein the Company is not required to reassess whether such contracts contain leases, the lease classification or the initial direct costs. The Company is not utilizing the practical expedient which allows the use of hindsight by lessees and lessors in determining the lease term and in assessing impairment of its right-of-use (“ROU”) assets. Additionally, the Company elected as accounting policies to not recognize ROU assets or lease liabilities for short-term property leases (i.e., those with a term of 12 months or less at lease commencement) and, by class of underlying asset, to combine lease and nonlease components in the contract. The Company utilized the transition method allowing entities to only apply the new lease standard in the year of adoption. Lessor The Company has determined that revenues derived by providing vehicle rentals and other related products and mobility services to customers are within the scope of the accounting guidance contained in Topic 842 with the exception of royalty fee revenue derived from the Company’s licensees and revenue related to the Company’s customer loyalty program. The Company’s rental related revenues have been accounted for under the revenue accounting standard Topic 606, until the adoption of Topic 842. The Company excludes from the measurement of its lease revenues any tax assessed by a governmental authority that is both imposed on and concurrent with a specific revenue-producing transaction and collected from a customer. As a result, lease revenues exclude such taxes collected. Fees collected from customers for which the Company is the primary obligor such as airport concessions and vehicle licensing are recorded within revenues and corresponding remittances of these fees by the Company are recorded within operating expenses. Lessee The Company determines if an arrangement is a lease at inception. Operating leases, other than those associated with the Company’s vehicle rental programs, are included in operating lease ROU assets, accounts payable and other current liabilities, and long-term operating lease liabilities in the Company’s Consolidated Condensed Balance Sheets. Finance leases, other than those associated with the Company’s vehicle rental programs, are included in property and equipment, net, short-term debt and current portion of long-term debt, and long-term debt in the Company’s Consolidated Condensed Balance Sheets. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on information available at commencement date in determining the present value of lease payments. The operating lease ROU assets are reduced by any lease incentives. The Company’s lease terms may include options to extend or terminate the lease, which are included in the calculation of ROU assets when it is reasonably certain that the Company will exercise those options. Lease expense for lease payments is usually recognized on a straight-line basis over the lease term. The Company has lease agreements with lease and nonlease components, which are generally not accounted for separately. Additionally, for certain leases, the Company applies a portfolio approach to account for the operating lease ROU assets and liabilities as the leases are similar in nature and have nearly identical contract provisions. Adoption of this standard resulted in most of the Company’s operating lease commitments being recognized as operating lease liabilities and right-of-use assets, which increased total assets and total liabilities by approximately $2,811 million related to property operating leases and $183 million related to vehicle operating leases. The Company recorded a beginning accumulated deficit adjustment of $5 million , net of tax, related to the adoption of this standard. Recently Issued Accounting Pronouncements Intangibles—Goodwill and Other—Internal—Use Software In August 2018, the Financial Accounting Standards Board (“FASB”) issued ASU 2018-15, “Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement That Is a Service Contract,” which provides guidance for determining when the arrangement includes a software license. The amendments align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal use software (and hosting arrangements that include an internal use software license). The amendments in this update also require the entity to expense the capitalized implementation costs of a hosting arrangement that is a service contract over the term of the hosting arrangement, to present the expense in the same line in its statement of income as the fees associated with the hosting element (service) of the arrangement and classify payments for capitalized implementation costs in its statement of cash flows in the same manner as payments made for fees associated with the hosting element. The entity is also required to present the capitalized implementation costs in its balance sheet in the same line that a prepayment for the fees of the associated hosting arrangement would be presented. ASU 2018-15 becomes effective for the Company on January 1, 2020. Early adoption is permitted. The Company intends to adopt this accounting pronouncement on a prospective basis. The adoption of this accounting pronouncement is not expected to have a material impact on the Company’s Consolidated Condensed Financial Statements. Compensation—Retirement Benefits—Defined Benefit Plans In August 2018, the FASB issued ASU 2018-14, “Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans,” which adds, removes, and clarifies disclosure requirements related to defined benefit pension and other postretirement plans. These changes are part of the FASB’s disclosure framework project, which the Board launched in 2014 to improve the effectiveness of disclosures in notes to financial statements. ASU 2018-14 becomes effective for the Company on January 1, 2021. Early adoption is permitted. The adoption of this accounting pronouncement is not expected to have a material impact on the Company's Consolidated Condensed Financial Statements. Fair Value Measurement In August 2018, the FASB issued ASU 2018-13, “Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement,” which adds, removes, and modifies disclosure requirements related to fair value measurements. ASU 2018-13 becomes effective for the Company on January 1, 2020. Early adoption is permitted. The adoption of this accounting pronouncement is not expected to have a material impact on the Company's Consolidated Condensed Financial Statements. Measurement of Credit Losses on Financial Instruments In June 2016, the FASB issued ASU 2016-13, “Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which, along with related clarifying updates, set forth a current expected credit loss impairment model for financial assets that replaces the current incurred loss model. This model requires a financial asset (or group of financial assets), including trade receivables, measured at amortized cost to be presented at the net amount expected to be collected with an allowance for credit losses deducted from the amortized cost basis. The allowance for credit losses should reflect management’s current estimate of credit losses that are expected to occur over the remaining life of a financial asset. ASU 2016-13 becomes effective for the Company on January 1, 2020. Early adoption is permitted as of January 1, 2019. The adoption of this accounting pronouncement is not expected to have a material impact on the Company’s Consolidated Condensed Financial Statements. |
Leases (Policies)
Leases (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Lessee, Leases [Policy Text Block] | Lessee The Company has operating and finance leases for rental locations, corporate offices, vehicle rental fleet and equipment. Many of the Company’s operating leases for rental locations contain concession agreements with various airport authorities that allow the Company to conduct its vehicle rental operations on site. In general, concession fees for airport locations are based on a percentage of total commissionable revenue as defined by each airport authority, some of which are subject to minimum annual guaranteed amounts. Concession fees other than minimum annual guaranteed amounts are not included in the measurement of operating lease ROU assets and operating lease liabilities, and are recorded as variable lease expense as incurred. The Company’s operating leases for rental locations often also require the Company to pay or reimburse operating expenses. |
Lessor, Leases [Policy Text Block] | Lessor For periods after January 1, 2019, the Company combines all lease and nonlease components of its vehicle rental contracts for which the timing and pattern of transfer are the same and the lease component meets the classification of an operating lease, and accounts for them in accordance with Topic 842. The Company derives revenues primarily by providing vehicle rentals and other related products and mobility services to commercial and leisure customers. Other related products and mobility services include sales of collision and loss damage waivers under which a customer is relieved from financial responsibility arising from vehicle damage incurred during the rental; products and services for driving convenience such as fuel service options, chauffeur drive services, roadside safety net, electronic toll collection, tablet rentals, access to satellite radio, portable navigation units and child safety seat rentals; and rentals of other supplemental items including automobile towing equipment and other moving accessories and supplies. The Company also receives payment from customers for certain operating expenses that it incurs, including airport concession fees that are paid by the Company in exchange for the right to operate at airports and other locations, as well as vehicle licensing fees. Vehicle rentals and other related products and mobility services are recognized evenly over the period of rental, which is on average four days. In addition, the Company collects membership leasing fees in connection with its car sharing business. Membership leasing fees are generally nonrefundable, are deferred and recognized ratably over the period of membership. |
Basis of Presentation Basis o_3
Basis of Presentation Basis of Presentation (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Basis of Presentation [Abstract] | |
Reconciliation of cash and cash equivalents (2016-18) [Table Text Block] | Cash and cash equivalents, Program cash and Restricted cash. The following table provides a detail of cash and cash equivalents, program and restricted cash reported within the Consolidated Condensed Balance Sheets to the amounts shown in the Consolidated Condensed Statements of Cash Flows. As of September 30, 2019 2018 Cash and cash equivalents $ 615 $ 605 Program cash 89 151 Restricted cash (a) 4 12 Total cash and cash equivalents, program and restricted cash $ 708 $ 768 ________ (a) Included within other current assets. |
Disaggregation of Revenue [Table Text Block] | The following table presents the Company’s revenues disaggregated by geography. Three Months Ended Nine Months Ended 2019 2018 2019 2018 Americas $ 1,868 $ 1,844 $ 4,822 $ 4,782 Europe, Middle East and Africa 742 784 1,747 1,830 Asia and Australasia 143 150 441 462 Total revenues $ 2,753 $ 2,778 $ 7,010 $ 7,074 |
Disaggregation of Revenue by Brand [Table Text Block] | The following table presents the Company’s revenues disaggregated by brand. Three Months Ended Nine Months Ended 2019 2018 2019 2018 Avis $ 1,580 $ 1,599 $ 4,008 $ 4,095 Budget 950 953 2,417 2,372 Other 223 226 585 607 Total revenues $ 2,753 $ 2,778 $ 7,010 $ 7,074 ________ Other includes Zipcar and other operating brands. |
Deferred Revenue Rollforward [Table Text Block] | Deferred Revenue. The following table presents changes in deferred revenue associated with the Company’s customer loyalty program. Nine Months Ended September 30, 2019 2018 Balance, January 1 $ 64 $ 69 Revenue deferred 19 12 Revenue recognized (16 ) (9 ) Balance, September 30 $ 67 $ 72 _______ At September 30, 2019 and 2018 , $24 million and $19 million was included in accounts payable and other current liabilities, respectively, and $43 million and $53 million , respectively, in other non-current liabilities. Non-current amounts are expected to be recognized as revenue within two to three years. At January 1, 2018, the Company’s prepaid rentals and membership fees related to its car sharing business were $125 million . During the nine months ended September 30, 2018 , additional revenues of $1,561 million were deferred and revenues of $1,542 million were recognized. At September 30, 2018 , the ending prepaid rentals and car sharing membership fees were $144 million , of which $142 million was included in accounts payable and other current liabilities and $2 million was included in other non-current liabilities. |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Lease Revenues Disaggregated by Geography [Table Text Block] | The following table presents the Company’s lease revenues disaggregated by geography. Three Months Ended September 30, 2019 Nine Months Ended Americas $ 1,856 $ 4,792 Europe, Middle East and Africa 717 1,684 Asia and Australasia 140 431 Total lease revenues $ 2,713 $ 6,907 |
Lease Revenues Disaggregated by Brand [Table Text Block] | The following table presents the Company’s lease revenues disaggregated by brand. Three Months Ended September 30, 2019 Nine Months Ended Avis $ 1,559 $ 3,953 Budget 935 2,379 Other 219 575 Total lease revenues $ 2,713 $ 6,907 ________ Other includes Zipcar and other operating brands. |
Lease, Cost [Table Text Block] | The components of lease expense are as follows: Three Months Ended September 30, 2019 Nine Months Ended Property leases (a) Operating lease expense $ 184 $ 540 Variable lease expense 93 219 Sublease income (2 ) (6 ) Total property lease expense $ 275 $ 753 Vehicle leases Finance lease expense: Amortization of ROU assets (b) $ 8 $ 31 Interest on lease liabilities (c) 1 3 Operating lease expense (b) 72 191 Total vehicle lease expense $ 81 $ 225 __________ (a) Primarily included in operating expense. (b) Included in vehicle depreciation and lease charges, net. (c) Included in vehicle interest, net. |
Supplemental Balance Sheet Information related to Leases [Table Text Block] | Supplemental balance sheet information related to leases is as follows: As of Property leases Operating lease ROU assets $ 2,365 Short-term operating lease liabilities (a) $ 420 Long-term operating lease liabilities 1,966 Operating lease liabilities $ 2,386 Weighted average remaining lease term 9.4 years Weighted average discount rate 4.50 % Vehicle leases Finance Finance lease ROU assets, gross $ 337 Accumulated amortization (55 ) Finance lease ROU assets, net (b) $ 282 Short-term vehicle finance lease liabilities $ 96 Long-term vehicle finance lease liabilities 164 Vehicle finance lease liabilities (c) $ 260 Weighted average remaining lease term 1.9 years Weighted average discount rate 1.77 % Operating Vehicle operating lease ROU assets (d) $ 205 Short-term vehicle operating lease liabilities $ 136 Long-term vehicle operating lease liabilities 69 Vehicle operating lease liabilities (e) $ 205 Weighted average remaining lease term 1.7 years Weighted average discount rate 2.91 % _________ (a) Included in Accounts payable and other current liabilities. (b) Included in Vehicles, net within Assets under vehicle programs. (c) Included in Debt within Liabilities under vehicle programs. (d) Included in Receivables from vehicle manufacturers and other within Assets under vehicle programs. (e) Included in Other within Liabilities under vehicle programs. |
Supplemental Cash Flow Information related to Leases [Table Text Block] | Supplemental cash flow information related to leases is as follows: Nine Months Ended Cash payments for lease liabilities within operating activities: Property operating leases $ 564 Vehicle operating leases 182 Vehicle finance leases 3 Cash payments for lease liabilities within financing activities: Vehicle finance leases 193 Non-cash activities - increase (decrease) in ROU assets in exchange for lease liabilities: Property operating leases (a) 149 Vehicle operating leases (a) 209 Vehicle finance leases 247 _________ (a) ROU assets obtained in exchange for lease liabilities from initial recognition. |
Finance and Operating, Liability, Maturity [Table Text Block] | Maturities of lease liabilities as of September 30, 2019 are as follows: Property Operating Leases Vehicle Finance Leases Vehicle Operating Leases Within 1 year $ 517 $ 96 $ 140 Between 1 and 2 years 424 21 52 Between 2 and 3 years 357 138 15 Between 3 and 4 years 298 5 4 Between 4 and 5 years 215 — — Thereafter 1,159 — — Total lease payments 2,970 260 211 Less: Imputed interest (584 ) — (6 ) Total $ 2,386 $ 260 $ 205 |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Future minimum lease payments required under noncancelable operating leases, including minimum concession fees charged by airport authorities, which in many locations are recoverable from vehicle rental customers, as of December 31, 2018, were as follows: Amount 2019 $ 835 2020 476 2021 345 2022 253 2023 162 Thereafter 590 $ 2,661 |
Restructuring (Tables)
Restructuring (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Restructuring and Related Activities [Abstract] | |
Summary Of Changes To Restructuring-Related Liabilities | The following tables summarize the changes to our restructuring-related liabilities and identifies the amounts recorded within the Company’s reporting segments for restructuring charges and corresponding payments and utilizations: Americas International Total Balance as of January 1, 2019 $ — $ 2 $ 2 Restructuring expense: Brazil 6 — 6 T19 34 11 45 Restructuring payment/utilization: Brazil (4 ) — (4 ) T19 (34 ) (9 ) (43 ) Workforce planning — (1 ) (1 ) Balance as of September 30, 2019 $ 2 $ 3 $ 5 Personnel Facility Other (a) Total Balance as of January 1, 2019 $ 1 $ — $ 1 $ 2 Restructuring expense: Brazil 1 1 4 6 T19 16 — 29 45 Restructuring payment/utilization: Brazil — — (4 ) (4 ) T19 (15 ) — (28 ) (43 ) Workforce planning (1 ) — — (1 ) Balance as of September 30, 2019 $ 2 $ 1 $ 2 $ 5 __________ (a) Includes expenses primarily related to the disposition of vehicles. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Computation Of Basic And Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings per share (“EPS”) (shares in millions): Three Months Ended Nine Months Ended September 30, 2019 2018 2019 2018 Net income for basic and diluted EPS $ 189 $ 213 $ 160 $ 152 Basic weighted average shares outstanding 75.2 78.8 75.6 80.1 Options and non-vested stock (a) 0.5 0.7 0.6 0.9 Diluted weighted average shares outstanding 75.7 79.5 76.2 81.0 Earnings per share: Basic $ 2.52 $ 2.71 $ 2.12 $ 1.90 Diluted $ 2.50 $ 2.68 $ 2.10 $ 1.88 __________ (a) For the three months ended September 30, 2019 and 2018, 0.4 million and 0.5 million non-vested stock awards, respectively, have an anti-dilutive effect and therefore are excluded from the computation of diluted weighted average shares outstanding. For the nine months ended September 30, 2019 and 2018 , 0.5 million and 0.2 million |
Other Current Assets (Tables)
Other Current Assets (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Other Current Assets Disclosure [Abstract] | |
Schedule of Other Current Assets [Table Text Block] | As of As of December 31, 2018 Prepaid expenses $ 259 $ 241 Sales and use taxes 246 180 Other 155 183 Other current assets $ 660 $ 604 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule Of Intangible Assets | Intangible assets consisted of: As of September 30, 2019 As of December 31, 2018 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Amortized Intangible Assets License agreements $ 229 $ 104 $ 125 $ 305 $ 168 $ 137 Customer relationships 250 157 93 251 141 110 Other 49 23 26 52 21 31 Total $ 528 $ 284 $ 244 $ 608 $ 330 $ 278 Unamortized Intangible Assets Goodwill $ 1,083 $ 1,092 Trademarks $ 548 $ 547 |
Vehicle Rental Activities (Tabl
Vehicle Rental Activities (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Vehicle Rental Activities [Abstract] | |
Components Of The Company's Vehicles | The components of vehicles, net within assets under vehicle programs were as follows: As of As of September 30, December 31, 2019 2018 Rental vehicles $ 13,691 $ 12,548 Less: Accumulated depreciation (1,524 ) (1,670 ) 12,167 10,878 Vehicles held for sale 585 596 Vehicles, net $ 12,752 $ 11,474 |
Components Of Vehicle Depreciation And Lease Charges | The components of vehicle depreciation and lease charges, net are summarized below: Three Months Ended Nine Months Ended September 30, 2019 2018 2019 2018 Depreciation expense $ 516 $ 540 $ 1,457 $ 1,536 Lease charges 72 72 191 192 (Gain) loss on sale of vehicles, net (37 ) (25 ) (69 ) (35 ) Vehicle depreciation and lease charges, net $ 551 $ 587 $ 1,579 $ 1,693 |
Accounts Payable and Other Cu_2
Accounts Payable and Other Current Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Accounts Payable and Other Current Liabilities [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities [Table Text Block] | Accounts payable and other current liabilities consisted of: As of As of September 30, December 31, 2019 2018 Short-term operating lease liabilities $ 420 $ — Accounts payable 382 371 Accrued sales and use taxes 267 208 Accrued advertising and marketing 206 192 Accrued payroll and related 184 200 Public liability and property damage insurance liabilities – current 150 149 Deferred lease revenues – current 141 140 Other 445 433 Accounts payable and other current liabilities $ 2,195 $ 1,693 |
Long-term Debt and Borrowing _2
Long-term Debt and Borrowing Arrangements (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule Of Long-Term Debt | Long-term corporate debt and borrowing arrangements consisted of: As of As of Maturity Dates September 30, December 31, 2019 2018 5½% Senior Notes (a) April 2023 $ 275 $ 675 6⅜% Senior Notes April 2024 350 350 4⅛% euro-denominated Senior Notes November 2024 327 344 Floating Rate Term Loan (b) February 2025 1,115 1,123 5¼% Senior Notes March 2025 375 375 4½% euro-denominated Senior Notes May 2025 272 287 4¾% euro-denominated Senior Notes January 2026 381 401 5¾% Senior Notes July 2027 400 — Other (c) 30 41 Deferred financing fees (42 ) (45 ) Total 3,483 3,551 Less: Short-term debt and current portion of long-term debt 95 23 Long-term debt $ 3,388 $ 3,528 __________ (a) A portion of these notes have been called for redemption. (b) The floating rate term loan is part of the Company’s senior revolving credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. As of September 30, 2019, the floating rate term loan due 2025 bears interest at one-month LIBOR plus 200 basis points, for an aggregate rate of 4.05%. The Company has entered into a swap to hedge $700 million of its interest rate exposure related to the floating rate term loan at an aggregate rate of 3.67%. (c) Primarily includes finance leases which are secured by liens on the related assets. |
Schedule Of Committed Credit Facilities | At September 30, 2019 , the committed corporate credit facilities available to the Company and/or its subsidiaries were as follows: Total Capacity Outstanding Borrowings Letters of Credit Issued Available Capacity Senior revolving credit facility maturing 2023 (a) $ 1,800 $ — $ 947 $ 853 __________ (a) The senior revolving credit facility bears interest at one-month LIBOR plus 200 basis points and is part of the Company’s senior credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. At September 30, 2019 , the Company had various uncommitted credit facilities available, under which it had drawn approximately $1 million , which bear interest at rates between 0.79% and 1.53% . |
Debt Under Vehicle Programs a_2
Debt Under Vehicle Programs and Borrowing Arrangements (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule Of Debt Under Vehicle Programs | Debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding (AESOP) LLC (“Avis Budget Rental Car Funding”), consisted of: As of As of September 30, December 31, 2019 2018 Americas - Debt due to Avis Budget Rental Car Funding (a) $ 7,910 $ 7,393 Americas - Debt borrowings (a) 923 635 International - Debt borrowings (a) 2,592 2,060 International - Finance leases (a) 217 191 Other — 2 Deferred financing fees (b) (50 ) (49 ) Total $ 11,592 $ 10,232 __________ (a) The increase reflects additional borrowings principally to fund increases in the Company’s car rental fleet. (b) Deferred financing fees related to Debt due to Avis Budget Rental Car Funding as of September 30, 2019 and December 31, 2018 was $40 million and $35 million, respectively. |
Schedule Of Contractual Maturities | Debt Maturities The following table provides the contractual maturities of the Company’s debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding, at September 30, 2019 . Debt under Vehicle Programs (a) Within 1 year $ 1,795 Between 1 and 2 years (b) 4,783 Between 2 and 3 years 1,668 Between 3 and 4 years 1,088 Between 4 and 5 years 1,418 Thereafter 890 Total $ 11,642 __________ (a) Vehicle-backed debt primarily represents asset-backed securities. (b) Includes $3.7 billion of bank and bank-sponsored facilities. |
Schedule Of Available Funding Under The Vehicle Programs | As of September 30, 2019 , available funding under the Company’s vehicle programs, including related party debt due to Avis Budget Rental Car Funding, consisted of: Total Capacity (a) Outstanding Borrowings (b) Available Capacity Americas - Debt due to Avis Budget Rental Car Funding $ 10,000 $ 7,910 $ 2,090 Americas - Debt borrowings 935 923 12 International - Debt borrowings 2,889 2,592 297 International - Finance leases 253 217 36 Total $ 14,077 $ 11,642 $ 2,435 __________ (a) Capacity is subject to maintaining sufficient assets to collateralize debt. (b) The outstanding debt is collateralized by vehicles and related assets of $9.4 billion for Americas - Debt due to Avis Budget Rental Car Funding; $1.2 billion for Americas - Debt borrowings; $3.0 billion for International - Debt borrowings; and $0.3 billion for International - Finance leases. |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | The components of accumulated other comprehensive income (loss) were as follows: Currency Translation Adjustments Net Unrealized Gains (Losses) on Cash Flow Hedges (a) Net Unrealized Gains (Losses) on Available-for-Sale Securities Minimum Pension Liability Adjustment (b) Accumulated Other Comprehensive Income (Loss) Balance, December 31, 2018 $ (3 ) $ 2 $ — $ (132 ) $ (133 ) Cumulative effect of accounting change (c) — 1 — — 1 Balance, January 1, 2019 $ (3 ) $ 3 $ — $ (132 ) $ (132 ) Other comprehensive income (loss) before reclassifications (21 ) (23 ) — 1 (43 ) Amounts reclassified from accumulated other comprehensive income (loss) — (2 ) — 4 2 Net current-period other comprehensive income (loss) (21 ) (25 ) — 5 (41 ) Balance, September 30, 2019 $ (24 ) $ (22 ) $ — $ (127 ) $ (173 ) Balance, December 31, 2017 $ 71 $ 5 $ 2 $ (102 ) $ (24 ) Cumulative effect of accounting change 7 1 (2 ) (12 ) (6 ) Balance, January 1, 2018 $ 78 $ 6 $ — $ (114 ) $ (30 ) Other comprehensive income (loss) before reclassifications (61 ) 9 — 1 (51 ) Amounts reclassified from accumulated other comprehensive income (loss) — (1 ) — 4 3 Net current-period other comprehensive income (loss) (61 ) 8 — 5 (48 ) Balance, September 30, 2018 $ 17 $ 14 $ — $ (109 ) $ (78 ) __________ All components of accumulated other comprehensive income (loss) are net of tax, except currency translation adjustments, which exclude income taxes related to indefinite investments in foreign subsidiaries and include a $101 million gain, net of tax, as of September 30, 2019 related to the Company’s hedge of its net investment in euro-denominated foreign operations (see Note 16–Financial Instruments). (a) For the three and nine months ended September 30, 2019 , the amount reclassified from accumulated other comprehensive income (loss) into corporate interest expense was $1 million ( $0 million , net of tax) and $4 million ( $2 million , net of tax), respectively. For the three and nine months ended September 30, 2018 , the amounts reclassified from accumulated other comprehensive income (loss) into corporate interest expense were $2 million ( $1 million , net of tax), in each period. (b) For the three and nine months ended September 30, 2019 , amounts reclassified from accumulated other comprehensive income (loss) into selling, general and administrative expenses were $2 million ( $1 million , net of tax) and $6 million ( $4 million , net of tax), respectively. For the three and nine months ended September 30, 2018 , amounts reclassified from accumulated other comprehensive income (loss) into selling, general and administrative expenses were $2 million ( $2 million , net of tax) and $6 million ( $4 million , net of tax), respectively. (c) See Note 1–Basis of Presentation for the impact of adoption of ASU 2017-12. |
Components Of Other Comprehensive Income | The components of other comprehensive income (loss) were as follows: Three Months Ended Nine Months Ended 2019 2018 2019 2018 Net income $ 189 $ 213 $ 160 $ 152 Other comprehensive income (loss): Currency translation adjustments (net of tax of $(12), $(1), $(14), and $(6) respectively) (31 ) (8 ) (21 ) (61 ) Net unrealized gain (loss) on cash flow hedges (net of tax of $2, $0, and $9, and $(3) respectively) (4 ) — (25 ) 8 Minimum pension liability adjustment (net of tax of $(1), $0, $(1), and $(1), respectively) 1 2 5 5 (34 ) (6 ) (41 ) (48 ) Comprehensive income $ 155 $ 207 $ 119 $ 104 __________ Currency translation adjustments exclude income taxes related to indefinite investments in foreign subsidiaries. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock Based Compensation Activity | The Company recorded stock-based compensation expense of $6 million and $7 million ( $5 million and $5 million , net of tax) during the three months ended September 30, 2019 and 2018 , respectively, and $18 million ( $14 million , net of tax) during the nine months ended September 30, 2019 and 2018 , in each period. The activity related to restricted stock units (“RSUs”) consisted of (in thousands of shares): Number of Shares Weighted Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in millions) Time-based RSUs Outstanding at January 1, 2019 838 $ 38.67 Granted (a) 606 34.17 Vested (b) (502 ) 36.00 Forfeited (56 ) 38.76 Outstanding and expected to vest at September 30, 2019 (c) 886 $ 37.10 1.3 $ 25 Performance-based and market-based RSUs Outstanding at January 1, 2019 1,169 $ 35.14 Granted (a) 570 34.56 Vested — — Forfeited (430 ) 24.85 Outstanding at September 30, 2019 1,309 $ 38.27 1.6 $ 37 Outstanding and expected to vest at September 30, 2019 (c) 524 $ 39.31 1.9 $ 15 __________ (a) Reflects the maximum number of stock units assuming achievement of all performance-, market- and time-vesting criteria and does not include those for non-employee directors. The weighted-average fair value of time-based RSUs and performance-based RSUs granted during the nine months ended September 30, 2018 was $48.41 and $48.52 , respectively. (b) The total fair value of RSUs vested during September 30, 2019 and 2018 was $18 million and $20 million , respectively. (c) Aggregate unrecognized compensation expense related to time-based RSUs and performance-based RSUs amounted to $36 million and will be recognized over a weighted average vesting period of 1.5 years . |
Summary Of Share Based Compensation Shares Authorized Under Stock Option Plans By Exercise Price Range | The stock option activity consisted of (in thousands of shares): Number of Options Weighted Weighted Aggregate Intrinsic Value (in millions) Outstanding at January 1, 2019 57 $ 0.79 0.1 $ 1 Granted — — — Exercised (a) (57 ) 0.79 1 Forfeited/expired — — — Outstanding and exercisable at September 30, 2019 — $ — — $ — __________ (a) Stock options exercised during the nine months ended September 30, 2018 had an aggregate intrinsic value of $8 million and the cash received was $2 million |
Financial Instruments (Tables)
Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Investments, All Other Investments [Abstract] | |
Schedule of Notional Amounts of Outstanding Derivative Positions | The Company held derivative instruments with absolute notional values as follows: As of September 30, 2019 Foreign exchange contracts $ 1,445 Interest rate caps (a) 7,754 Interest rate swaps 1,500 Commodity contracts (millions of gallons of unleaded gasoline) 5 __________ (a) Represents $5.4 billion of interest rate caps sold, partially offset by approximately $2.4 billion of interest rate caps purchased. These amounts exclude $3.0 billion of interest rate caps purchased by the Company’s Avis Budget Rental Car Funding subsidiary as it is not consolidated by the Company. |
Fair Value Of Derivative Instruments | Estimated fair values (Level 2) of derivative instruments were as follows: As of September 30, 2019 As of December 31, 2018 Fair Value, Derivative Assets Fair Value, Derivative Liabilities Fair Value, Fair Value, Derivatives designated as hedging instruments Interest rate swaps (a) $ 1 $ 31 $ 12 $ 8 Derivatives not designated as hedging instruments Foreign exchange contracts (b) 9 5 5 11 Interest rate caps (c) — — — 2 Commodity contracts (b) — — — 1 Total $ 10 $ 36 $ 17 $ 22 __________ Amounts in this table exclude derivatives issued by Avis Budget Rental Car Funding, as it is not consolidated by the Company; however, certain amounts related to the derivatives held by Avis Budget Rental Car Funding are included within accumulated other comprehensive income (loss), as discussed in Note 14–Stockholders’ Equity. (a) Included in other non-current assets or other non-current liabilities. (b) Included in other current assets or other current liabilities. (c) Included in assets under vehicle programs or liabilities under vehicle programs. |
Derivative Instruments, Gain (Loss) [Table Text Block] | The effects of derivatives recognized in the Company’s Consolidated Condensed Financial Statements were as follows: Three Months Ended Nine Months Ended 2019 2018 2019 2018 Derivatives designated as hedging instruments (a) Interest rate swaps (b) $ (4 ) $ — $ (25 ) $ 8 Euro-denominated notes (c) 32 3 37 16 Derivatives not designated as hedging instruments (d) Foreign exchange contracts (e) 10 6 21 25 Interest rate caps (f) — (3 ) — (4 ) Commodity contracts (g) (1 ) — 3 1 Total $ 37 $ 6 $ 36 $ 46 __________ (a) Recognized, net of tax, as a component of other comprehensive income (loss) within stockholders’ equity. (b) Classified as a net unrealized gain (loss) on cash flow hedges in accumulated other comprehensive income (loss). Refer to Note 14–Stockholders’ Equity for amounts reclassified from accumulated other comprehensive income into earnings. (c) Classified as a net investment hedge within currency translation adjustment in accumulated other comprehensive income (loss). (d) Gains (losses) related to derivative instruments are expected to be largely offset by (losses) gains on the underlying exposures being hedged. (e) For the three months ended September 30, 2019 , included a $9 million gain in interest expense and a $1 million gain in operating expense and for the nine months ended September 30, 2019 , included a $20 million gain in interest expense and a $1 million gain operating expense. For the three months ended September 30, 2018 , included $5 million gain in interest expense and a $1 million gain in operating expense and for the nine months ended September 30, 2018 , included a $12 million gain in interest expense and a $13 million gain in operating expense. (f) Included primarily in vehicle interest, net. (g) Included in operating expense. |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments [Table Text Block] | The carrying amounts and estimated fair values (Level 2) of debt instruments were as follows: As of September 30, 2019 As of December 31, 2018 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Corporate debt Short-term debt and current portion of long-term debt $ 95 $ 96 $ 23 $ 23 Long-term debt 3,388 3,536 3,528 3,462 Debt under vehicle programs Vehicle-backed debt due to Avis Budget Rental Car Funding $ 7,870 $ 8,053 $ 7,358 $ 7,383 Vehicle-backed debt 3,719 3,734 2,871 2,881 Interest rate swaps and interest rate caps (a) 3 3 3 3 __________ (a) Derivatives in a liability position. |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Summary Of Segments Information | Three Months Ended September 30, 2019 2018 Revenues Adjusted EBITDA Revenues Adjusted EBITDA Americas $ 1,868 $ 321 $ 1,844 $ 313 International 885 169 934 178 Corporate and Other (a) — (19 ) — (15 ) Total Company $ 2,753 $ 471 $ 2,778 $ 476 Reconciliation of Adjusted EBITDA to income before income taxes 2019 2018 Adjusted EBITDA $ 471 $ 476 Less: Non-vehicle related depreciation and amortization 62 62 Interest expense related to corporate debt, net: Interest expense 49 44 Early extinguishment of debt 10 — Restructuring and other related charges 22 4 Transaction-related costs, net — 11 Income before income taxes $ 328 $ 355 __________ (a) Includes unallocated corporate overhead which is not attributable to a particular segment. Nine Months Ended September 30, 2019 2018 Revenues Adjusted EBITDA Revenues Adjusted EBITDA Americas $ 4,822 $ 508 $ 4,782 $ 435 International 2,188 187 2,292 252 Corporate and Other (a) — (50 ) — (48 ) Total Company $ 7,010 $ 645 $ 7,074 $ 639 Reconciliation of Adjusted EBITDA to income before income taxes 2019 2018 Adjusted EBITDA $ 645 $ 639 Less: Non-vehicle related depreciation and amortization 195 190 Interest expense related to corporate debt, net: Interest expense 139 139 Early extinguishment of debt 10 5 Restructuring and other related charges 66 14 Transaction-related costs, net 6 18 Non-operational charges related to shareholder activist activity — 9 Gain on sale of equity method investment in Anji (44 ) — Income before income taxes $ 273 $ 264 __________ (a) Includes unallocated corporate overhead which is not attributable to a particular segment. |
Guarantor and Non-Guarantor C_2
Guarantor and Non-Guarantor Consolidating Condensed Financial Statements (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Reconciliation of cash and cash equivalents GNG (2016-18) [Table Text Block] | The following table provides a reconciliation of the cash and cash equivalents, program and restricted cash reported within the Consolidating Condensed Balance Sheets to the amounts shown in the Consolidating Condensed Statements of Cash Flows. As of September 30, 2019 2018 Non-Guarantor Total Non-Guarantor Total Cash and cash equivalents $ 600 $ 615 $ 529 $ 605 Program cash 89 89 151 151 Restricted cash (a) 4 4 12 12 Total cash and cash equivalents, program and restricted cash $ 693 $ 708 $ 692 $ 768 _________ (a) Included within other current assets. |
Consolidating Condensed Statements of Comprehensive Income | Three Months Ended September 30, 2019 Parent Subsidiary Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Total Revenues $ — $ — $ 1,606 $ 1,745 $ (598 ) $ 2,753 Expenses Operating 1 1 755 534 — 1,291 Vehicle depreciation and lease charges, net — — 553 526 (528 ) 551 Selling, general and administrative 14 5 195 136 — 350 Vehicle interest, net — 1 70 89 (70 ) 90 Non-vehicle related depreciation and amortization — 1 37 24 — 62 Interest expense related to corporate debt, net: Interest expense — 36 1 12 — 49 Intercompany interest expense (income) (3 ) (34 ) 6 31 — — Early extinguishment of debt — 10 — — — 10 Restructuring and other related charges 4 — 8 10 — 22 Transaction-related costs, net — 2 — (2 ) — — Total expenses 16 22 1,625 1,360 (598 ) 2,425 Income (loss) before income taxes and equity in earnings of subsidiaries (16 ) (22 ) (19 ) 385 — 328 Provision for (benefit from) income taxes (5 ) (8 ) 70 82 — 139 Equity in earnings of subsidiaries 200 214 303 — (717 ) — Net income $ 189 $ 200 $ 214 $ 303 $ (717 ) $ 189 Comprehensive income $ 155 $ 166 $ 185 $ 273 $ (624 ) $ 155 Nine Months Ended September 30, 2019 Parent Subsidiary Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Total Revenues $ — $ — $ 4,236 $ 4,590 $ (1,816 ) $ 7,010 Expenses Operating 2 1 2,089 1,442 — 3,534 Vehicle depreciation and lease charges, net — — 1,679 1,511 (1,611 ) 1,579 Selling, general and administrative 35 13 526 373 — 947 Vehicle interest, net — 1 205 260 (205 ) 261 Non-vehicle related depreciation and amortization — 6 110 79 — 195 Interest expense related to corporate debt, net: Interest expense — 104 2 33 — 139 Intercompany interest expense (income) (9 ) (26 ) 20 15 — — Early extinguishment of debt — 10 — — — 10 Restructuring and other related charges 15 — 33 18 — 66 Transaction-related costs, net — 3 (6 ) 9 — 6 Total expenses 43 112 4,658 3,740 (1,816 ) 6,737 Income (loss) before income taxes and equity in earnings of subsidiaries (43 ) (112 ) (422 ) 850 — 273 Provision for (benefit from) income taxes (15 ) (40 ) 94 74 — 113 Equity in earnings of subsidiaries 188 260 776 — (1,224 ) — Net income $ 160 $ 188 $ 260 $ 776 $ (1,224 ) $ 160 Comprehensive income $ 119 $ 147 $ 243 $ 757 $ (1,147 ) $ 119 Three Months Ended September 30, 2018 Parent Subsidiary Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Total Revenues $ — $ — $ 1,592 $ 1,746 $ (560 ) $ 2,778 Expenses Operating — 3 737 554 — 1,294 Vehicle depreciation and lease charges, net — — 540 551 (504 ) 587 Selling, general and administrative 10 3 182 141 — 336 Vehicle interest, net — — 59 82 (56 ) 85 Non-vehicle related depreciation and amortization — — 36 26 — 62 Interest expense related to corporate debt, net: Interest expense — 37 — 7 — 44 Intercompany interest expense (income) (3 ) 1 9 (7 ) — — Transaction-related costs, net — — 2 9 — 11 Restructuring and other related charges — — 2 2 — 4 Total expenses 7 44 1,567 1,365 (560 ) 2,423 Income (loss) before income taxes and equity in earnings of subsidiaries (7 ) (44 ) 25 381 — 355 Provision for (benefit from) income taxes (2 ) (12 ) 119 37 — 142 Equity in earnings of subsidiaries 218 250 344 — (812 ) — Net income $ 213 $ 218 $ 250 $ 344 $ (812 ) $ 213 Comprehensive income $ 207 $ 212 $ 244 $ 338 $ (794 ) $ 207 Nine Months Ended September 30, 2018 Parent Subsidiary Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Total Revenues $ — $ — $ 4,171 $ 4,695 $ (1,792 ) $ 7,074 Expenses Operating 2 4 2,035 1,520 — 3,561 Vehicle depreciation and lease charges, net — — 1,681 1,637 (1,625 ) 1,693 Selling, general and administrative 38 9 513 393 — 953 Vehicle interest, net — — 172 232 (167 ) 237 Non-vehicle related depreciation and amortization — 1 108 81 — 190 Interest expense related to corporate debt, net: Interest expense — 115 2 22 — 139 Intercompany interest expense (income) (9 ) (8 ) 20 (3 ) — — Early extinguishment of debt — 5 — — — 5 Transaction-related costs, net — 1 3 14 — 18 Restructuring and other related charges — — 6 8 — 14 Total expenses 31 127 4,540 3,904 (1,792 ) 6,810 Income (loss) before income taxes and equity in earnings of subsidiaries (31 ) (127 ) (369 ) 791 — 264 Provision for (benefit from) income taxes (13 ) (34 ) 114 45 — 112 Equity in earnings of subsidiaries 170 263 746 — (1,179 ) — Net income $ 152 $ 170 $ 263 $ 746 $ (1,179 ) $ 152 Comprehensive income $ 104 $ 122 $ 207 $ 687 $ (1,016 ) $ 104 |
Schedule Of Condensed Consolidating Balance Sheet Table | As of September 30, 2019 Parent Subsidiary Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Total Assets Current assets: Cash and cash equivalents $ 1 $ 13 $ 1 $ 600 $ — $ 615 Receivables, net — — 257 615 — 872 Other current assets 1 118 125 416 — 660 Total current assets 2 131 383 1,631 — 2,147 Property and equipment, net — 223 328 201 — 752 Operating lease right-of-use assets — 707 1,123 535 — 2,365 Deferred income taxes 14 1,076 207 63 — 1,360 Goodwill — — 470 613 — 1,083 Other intangibles, net — 25 474 293 — 792 Other non-current assets 49 31 15 126 — 221 Intercompany receivables 168 422 2,332 1,315 (4,237 ) — Investment in subsidiaries 323 5,035 3,982 — (9,340 ) — Total assets exclusive of assets under vehicle programs 556 7,650 9,314 4,777 (13,577 ) 8,720 Assets under vehicle programs: Program cash — — — 89 — 89 Vehicles, net — 155 55 12,542 — 12,752 Receivables from vehicle manufacturers and other — 3 100 802 — 905 Investment in Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 642 — 642 — 158 155 14,075 — 14,388 Total assets $ 556 $ 7,808 $ 9,469 $ 18,852 $ (13,577 ) $ 23,108 Liabilities and stockholders’ equity Current liabilities: Accounts payable and other current liabilities $ 17 $ 295 $ 826 $ 1,057 $ — $ 2,195 Short-term debt and current portion of long-term debt — 92 2 1 — 95 Total current liabilities 17 387 828 1,058 — 2,290 Long-term debt — 2,417 2 969 — 3,388 Long-term operating lease liabilities — 643 941 382 — 1,966 Other non-current liabilities 44 106 226 372 — 748 Intercompany payables — 3,813 422 2 (4,237 ) — Total liabilities exclusive of liabilities under vehicle programs 61 7,366 2,419 2,783 (4,237 ) 8,392 Liabilities under vehicle programs: Debt — 91 41 3,590 — 3,722 Due to Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 7,870 — 7,870 Deferred income taxes — — 1,874 184 — 2,058 Other — 28 100 443 — 571 — 119 2,015 12,087 — 14,221 Total stockholders’ equity 495 323 5,035 3,982 (9,340 ) 495 Total liabilities and stockholders’ equity $ 556 $ 7,808 $ 9,469 $ 18,852 $ (13,577 ) $ 23,108 As of December 31, 2018 Parent Subsidiary Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Total Assets Current assets: Cash and cash equivalents $ 1 $ 12 $ 1 $ 601 $ — $ 615 Receivables, net — — 239 716 — 955 Other current assets 5 112 116 371 — 604 Total current assets 6 124 356 1,688 — 2,174 Property and equipment, net — 199 319 218 — 736 Deferred income taxes 13 1,015 207 66 — 1,301 Goodwill — — 471 621 — 1,092 Other intangibles, net — 26 475 324 — 825 Other non-current assets 47 39 16 140 — 242 Intercompany receivables 159 404 2,104 1,262 (3,929 ) — Investment in subsidiaries 246 4,786 3,852 — (8,884 ) — Total assets exclusive of assets under vehicle programs 471 6,593 7,800 4,319 (12,813 ) 6,370 Assets under vehicle programs: Program cash — — — 115 — 115 Vehicles, net — 55 54 11,365 — 11,474 Receivables from vehicle manufacturers and other — 2 — 629 — 631 Investment in Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 559 — 559 — 57 54 12,668 — 12,779 Total assets $ 471 $ 6,650 $ 7,854 $ 16,987 $ (12,813 ) $ 19,149 Liabilities and stockholders’ equity Current liabilities: Accounts payable and other current liabilities $ 16 $ 246 $ 582 $ 849 $ — $ 1,693 Short-term debt and current portion of long-term debt — 18 3 2 — 23 Total current liabilities 16 264 585 851 — 1,716 Long-term debt — 2,501 3 1,024 — 3,528 Other non-current liabilities 41 87 257 382 — 767 Intercompany payables — 3,524 404 1 (3,929 ) — Total liabilities exclusive of liabilities under vehicle programs 57 6,376 1,249 2,258 (3,929 ) 6,011 Liabilities under vehicle programs: Debt — 28 49 2,797 — 2,874 Due to Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 7,358 — 7,358 Deferred income taxes — — 1,770 191 — 1,961 Other — — — 531 — 531 — 28 1,819 10,877 — 12,724 Total stockholders’ equity 414 246 4,786 3,852 (8,884 ) 414 Total liabilities and stockholders’ equity $ 471 $ 6,650 $ 7,854 $ 16,987 $ (12,813 ) $ 19,149 |
Consolidating Condensed Statements Of Cash Flows | Nine Months Ended September 30, 2019 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net cash provided by (used in) operating activities $ 65 $ 196 $ 167 $ 1,765 $ (262 ) $ 1,931 Investing activities Property and equipment additions — (56 ) (74 ) (48 ) — (178 ) Proceeds received on asset sales — 1 — 6 — 7 Net assets acquired (net of cash acquired) — (5 ) (12 ) (51 ) — (68 ) Other, net — (75 ) 11 69 75 80 Net cash provided by (used in) investing activities exclusive of vehicle programs — (135 ) (75 ) (24 ) 75 (159 ) Vehicle programs: Investment in vehicles — (42 ) (16 ) (10,563 ) — (10,621 ) Proceeds received on disposition of vehicles — 34 — 7,792 — 7,826 Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party — — — (221 ) — (221 ) Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party — — — 137 — 137 — (8 ) (16 ) (2,855 ) — (2,879 ) Net cash provided by (used in) investing activities — (143 ) (91 ) (2,879 ) 75 (3,038 ) Financing activities Proceeds from long-term borrowings — 400 — 2 — 402 Payments on long-term borrowings — (420 ) (2 ) (5 ) — (427 ) Repurchases of common stock (65 ) — — — — (65 ) Debt financing fees — (6 ) — — — (6 ) Other, net — (59 ) (64 ) (64 ) 187 — Net cash provided by (used in) financing activities exclusive of vehicle programs (65 ) (85 ) (66 ) (67 ) 187 (96 ) Vehicle programs: Proceeds from borrowings — 38 — 16,004 — 16,042 Payments on borrowings — (5 ) (10 ) (14,823 ) — (14,838 ) Debt financing fees — — — (18 ) — (18 ) — 33 (10 ) 1,163 — 1,186 Net cash provided by (used in) financing activities (65 ) (52 ) (76 ) 1,096 187 1,090 Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash — — — (10 ) — (10 ) Net increase (decrease) in cash and cash equivalents, program and restricted cash — 1 — (28 ) — (27 ) Cash and cash equivalents, program and restricted cash, beginning of period 1 12 1 721 — 735 Cash and cash equivalents, program and restricted cash, end of period $ 1 $ 13 $ 1 $ 693 $ — $ 708 Nine Months Ended September 30, 2018 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net cash provided by (used-in) operating activities $ 139 $ 202 $ 88 $ 1,785 $ (119 ) $ 2,095 Investing activities Property and equipment additions — (45 ) (60 ) (52 ) — (157 ) Proceeds received on asset sales — 2 2 5 — 9 Net assets acquired (net of cash acquired) — (3 ) (5 ) (56 ) — (64 ) Other, net — (8 ) — (36 ) — (44 ) Net cash provided by (used in) investing activities exclusive of vehicle programs — (54 ) (63 ) (139 ) — (256 ) Vehicle programs: Investment in vehicles — — (4 ) (10,075 ) — (10,079 ) Proceeds received on disposition of vehicles — 33 — 6,719 — 6,752 Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party — — — (116 ) — (116 ) Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party — — — 22 — 22 — 33 (4 ) (3,450 ) — (3,421 ) Net cash provided by (used in) investing activities — (21 ) (67 ) (3,589 ) — (3,677 ) Financing activities Proceeds from long-term borrowings — 81 — — — 81 Payments on long-term borrowings — (97 ) (2 ) — — (99 ) Net change in short-term borrowings — — — (4 ) — (4 ) Debt financing fees — (9 ) — — — (9 ) Repurchases of common stock (143 ) — — — — (143 ) Other, net 3 (95 ) (12 ) (12 ) 119 3 Net cash provided by (used in) financing activities exclusive of vehicle programs (140 ) (120 ) (14 ) (16 ) 119 (171 ) Vehicle programs: Proceeds from borrowings — — — 13,371 — 13,371 Payments on borrowings — (2 ) (7 ) (11,718 ) — (11,727 ) Debt financing fees — — — (19 ) — (19 ) — (2 ) (7 ) 1,634 — 1,625 Net cash provided by (used in) financing activities (140 ) (122 ) (21 ) 1,618 119 1,454 Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash — — — (5 ) — (5 ) Net increase (decrease) in cash and cash equivalents, program and restricted cash (1 ) 59 — (191 ) — (133 ) Cash and cash equivalents, program and restricted cash, beginning of period 4 14 — 883 — 901 Cash and cash equivalents, program and restricted cash, end of period $ 3 $ 73 $ — $ 692 $ — $ 768 |
Basis of Presentation Basis o_4
Basis of Presentation Basis of Presentation (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Basis of Presentation [Abstract] | ||||||
Cash and Cash Equivalents, at Carrying Value | $ 615 | $ 605 | $ 615 | $ 605 | $ 615 | |
Program cash | 89 | 151 | 89 | 151 | 115 | |
Restricted Cash and Cash Equivalents | 4 | 12 | 4 | 12 | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 708 | 768 | 708 | 768 | 735 | $ 901 |
Net Unrealized Gain Or Loss Of Foreign Currency Transactions On Intercompany Loan Hedges | 3 | |||||
Proceeds from Sale of Equity Method Investments | 64 | |||||
Gain (Loss) on Sale of Equity Investments | 44 | |||||
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 52 | 52 | 48 | |||
Income (Loss) from Equity Method Investments, Net of Dividends or Distributions | 5 | 7 | 9 | 7 | ||
Equity Securities without Readily Determinable Fair Value, Amount | 8 | 8 | ||||
Equity Securities without Readily Determinable Fair Value, Upward Price Adjustment, Cumulative Amount | 12 | 12 | ||||
Other related Revenue | 40 | 103 | ||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Revenues | 2,753 | 2,778 | 7,010 | 7,074 | ||
Operating Lease, Right-of-Use Asset | 2,365 | 2,365 | 0 | |||
Accounting Standards Update 2016-02 [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Cumulative Effect of New Accounting Principle in Period of Adoption | 5 | |||||
Property leases [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Operating Lease, Right-of-Use Asset | 2,365 | 2,365 | ||||
Property leases [Member] | Accounting Standards Update 2016-02 [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Operating Lease, Right-of-Use Asset | 2,811 | |||||
Vehicle leases [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Operating Lease, Right-of-Use Asset | 205 | 205 | ||||
Vehicle leases [Member] | Accounting Standards Update 2016-02 [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Operating Lease, Right-of-Use Asset | $ 183 | |||||
Americas [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Revenues | 1,868 | 1,844 | 4,822 | 4,782 | ||
EMEA [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Revenues | 742 | 784 | 1,747 | 1,830 | ||
Asia and Australasia [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Revenues | 143 | 150 | 441 | 462 | ||
Avis [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Revenues | 1,580 | 1,599 | 4,008 | 4,095 | ||
Budget [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Revenues | 950 | 953 | 2,417 | 2,372 | ||
Other Brands [Member] | ||||||
Adjustments related to New Accounting Pronouncements [Line Items] | ||||||
Revenues | $ 223 | $ 226 | $ 585 | $ 607 |
Basis of Presentation Disaggreg
Basis of Presentation Disaggregated Revenue in Basis of Presentation (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
Other related Revenue | $ 40 | $ 103 | ||
Revenues | 2,753 | $ 2,778 | 7,010 | $ 7,074 |
Americas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,868 | 1,844 | 4,822 | 4,782 |
EMEA [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 742 | 784 | 1,747 | 1,830 |
Asia and Australasia [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 143 | 150 | 441 | 462 |
Avis [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,580 | 1,599 | 4,008 | 4,095 |
Budget [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 950 | 953 | 2,417 | 2,372 |
Other Brands [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 223 | $ 226 | $ 585 | $ 607 |
Basis of Presentation Deferred
Basis of Presentation Deferred Revenue Rollforward in Basis of Presentation (Details) - USD ($) $ in Millions | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Deferred Revenue Rollforward [Line Items] | ||||
Deferred Revenue | $ 67 | $ 72 | $ 64 | $ 69 |
Deferred Revenue, Additions | 19 | 12 | ||
Deferred Revenue, Revenue Recognized | (16) | (9) | ||
Accounts Payable and Accrued Liabilities [Member] | ||||
Deferred Revenue Rollforward [Line Items] | ||||
Deferred Revenue | 24 | 19 | ||
Other Noncurrent Liabilities [Member] | ||||
Deferred Revenue Rollforward [Line Items] | ||||
Deferred Revenue | $ 43 | 53 | ||
Prepaid Rentals and Membership Fees [Member] | ||||
Deferred Revenue Rollforward [Line Items] | ||||
Deferred Revenue | 144 | $ 125 | ||
Deferred Revenue, Additions | 1,561 | |||
Deferred Revenue, Revenue Recognized | (1,542) | |||
Prepaid Rentals and Membership Fees [Member] | Accounts Payable and Accrued Liabilities [Member] | ||||
Deferred Revenue Rollforward [Line Items] | ||||
Deferred Revenue | 142 | |||
Prepaid Rentals and Membership Fees [Member] | Other Noncurrent Liabilities [Member] | ||||
Deferred Revenue Rollforward [Line Items] | ||||
Deferred Revenue | $ 2 |
Leases Lessor (Details)
Leases Lessor (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Lessor, Lease, Description [Line Items] | ||
Operating Lease, Lease Income | $ 2,713 | $ 6,907 |
Americas [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Operating Lease, Lease Income | 1,856 | 4,792 |
EMEA [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Operating Lease, Lease Income | 717 | 1,684 |
Asia and Australasia [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Operating Lease, Lease Income | 140 | 431 |
Avis [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Operating Lease, Lease Income | 1,559 | 3,953 |
Budget [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Operating Lease, Lease Income | 935 | 2,379 |
Other Brands [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Operating Lease, Lease Income | $ 219 | $ 575 |
Leases Lessee (Details)
Leases Lessee (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Lessee, Lease, Description [Line Items] | |||||
Operating Lease, Residual Value of Leased Asset | $ 283 | $ 283 | |||
Lease charges | 72 | $ 72 | 191 | $ 192 | |
Operating lease right-of-use assets | 2,365 | 2,365 | $ 0 | ||
Operating Lease, Liability, Current | 420 | 420 | |||
Long-term operating lease liabilities | 1,966 | 1,966 | 0 | ||
Operating Leases, Future Minimum Payments Due, Next Twelve Months | 835 | ||||
Operating Leases, Future Minimum Payments, Due in Two Years | 476 | ||||
Operating Leases, Future Minimum Payments, Due in Three Years | 345 | ||||
Operating Leases, Future Minimum Payments, Due in Four Years | 253 | ||||
Operating Leases, Future Minimum Payments, Due in Five Years | 162 | ||||
Operating Leases, Future Minimum Payments, Due Thereafter | 590 | ||||
Operating Leases, Future Minimum Payments Due | $ 2,661 | ||||
Property leases [Member] | |||||
Lessee, Lease, Description [Line Items] | |||||
Operating Lease, Cost | 184 | 540 | |||
Variable Lease, Cost | 93 | 219 | |||
Sublease Income | (2) | (6) | |||
Lease, Cost | 275 | 753 | |||
Operating lease right-of-use assets | 2,365 | 2,365 | |||
Long-term operating lease liabilities | 1,966 | 1,966 | |||
Operating Lease, Liability | $ 2,386 | $ 2,386 | |||
Operating Lease, Weighted Average Remaining Lease Term | 9 years 4 months 24 days | 9 years 4 months 24 days | |||
Operating Lease, Weighted Average Discount Rate, Percent | 4.50% | 4.50% | |||
Operating Lease, Payments | $ 564 | ||||
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 149 | ||||
Lessee, Operating Lease, Liability, Payments, Due Next Rolling Twelve Months | $ 517 | 517 | |||
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Two | 424 | 424 | |||
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Three | 357 | 357 | |||
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Four | 298 | 298 | |||
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Five | 215 | 215 | |||
Lessee, Operating Lease, Liability, Payments, Due after Rolling Year Five | 1,159 | 1,159 | |||
Lessee, Operating Lease, Liability, Payments, Due | 2,970 | 2,970 | |||
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | (584) | (584) | |||
Vehicle leases [Member] | |||||
Lessee, Lease, Description [Line Items] | |||||
Lease, Cost | 81 | 225 | |||
Finance Lease, Right-of-Use Asset, Amortization | 8 | 31 | |||
Finance Lease, Interest Expense | 1 | 3 | |||
Operating lease right-of-use assets | 205 | 205 | |||
Operating Lease, Liability, Current | 136 | 136 | |||
Long-term operating lease liabilities | 69 | 69 | |||
Operating Lease, Liability | $ 205 | $ 205 | |||
Operating Lease, Weighted Average Remaining Lease Term | 1 year 8 months 12 days | 1 year 8 months 12 days | |||
Operating Lease, Weighted Average Discount Rate, Percent | 2.91% | 2.91% | |||
Finance Lease, Right-of-Use Asset, Gross | $ 337 | $ 337 | |||
Finance Lease, Right-of-Use Asset, Accumulated Amortization | (55) | (55) | |||
Finance Lease, Right-of-Use Asset | 282 | 282 | |||
Finance Lease, Liability, Current | 96 | 96 | |||
Finance Lease, Liability, Noncurrent | 164 | 164 | |||
Finance Lease, Liability | $ 260 | $ 260 | |||
Finance Lease, Weighted Average Remaining Lease Term | 1 year 10 months 24 days | 1 year 10 months 24 days | |||
Finance Lease, Weighted Average Discount Rate, Percent | 1.77% | 1.77% | |||
Operating Lease, Payments | $ 182 | ||||
Finance Lease, Interest Payment on Liability | 3 | ||||
Finance Lease, Principal Payments | 193 | ||||
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 209 | ||||
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability | 247 | ||||
Lessee, Operating Lease, Liability, Payments, Due Next Rolling Twelve Months | $ 140 | 140 | |||
Finance Lease, Liability, Payments, Due in Next Rolling Twelve Months | 96 | 96 | |||
Finance Lease, Liability, Payments, Due in Rolling Year Two | 21 | 21 | |||
Finance Lease, Liability, Payments, Due in Rolling Year Three | 138 | 138 | |||
Finance Lease, Liability, Payments, Due in Rolling Year Four | 5 | 5 | |||
Finance Lease, Liability, Payments, Due in Rolling Year Five | 0 | 0 | |||
Finance Lease, Liability, Payments, Due in Rolling after Year Five | 0 | 0 | |||
Finance Lease, Liability, Payment, Due | 260 | 260 | |||
Finance Lease, Liability, Undiscounted Excess Amount | 0 | 0 | |||
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Two | 52 | 52 | |||
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Three | 15 | 15 | |||
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Four | 4 | 4 | |||
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Five | 0 | 0 | |||
Lessee, Operating Lease, Liability, Payments, Due after Rolling Year Five | 0 | 0 | |||
Lessee, Operating Lease, Liability, Payments, Due | 211 | 211 | |||
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | $ (6) | $ (6) |
Restructuring (Narrative) (Deta
Restructuring (Narrative) (Detail) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019USD ($)Employee | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)Employee | Sep. 30, 2018USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | $ 22 | $ 4 | $ 66 | $ 14 |
BRAZIL | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and Related Cost, Number of Positions Eliminated | Employee | 175 | |||
Brazil Restructuring [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | $ 6 | 6 | ||
Restructuring and Related Cost, Expected Cost Remaining | 10 | 10 | ||
T19 Restructuring [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | $ 45 | |||
Restructuring and Related Cost, Expected Number of Positions Eliminated | Employee | 470 | |||
Restructuring and Related Cost, Number of Positions Eliminated | Employee | 365 | |||
Restructuring and Related Cost, Expected Cost Remaining | $ 15 | $ 15 |
Restructuring (Summary Of Chang
Restructuring (Summary Of Changes To Restructuring-Related Liabilities) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Restructuring Reserve [Roll Forward] | ||||
Balance as of January 1, 2016 | $ 2 | |||
Restructuring expense | $ (22) | $ (4) | (66) | $ (14) |
Balance as of September 30, 2019 | 5 | 5 | ||
Americas | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of January 1, 2016 | 0 | |||
Balance as of September 30, 2019 | 2 | 2 | ||
International [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of January 1, 2016 | 2 | |||
Balance as of September 30, 2019 | 3 | 3 | ||
Workforce Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Payment for Restructuring | (1) | |||
Workforce Restructuring [Member] | Americas | ||||
Restructuring Reserve [Roll Forward] | ||||
Payment for Restructuring | 0 | |||
Workforce Restructuring [Member] | International [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Payment for Restructuring | (1) | |||
Brazil Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (6) | (6) | ||
Payment for Restructuring | (4) | |||
Brazil Restructuring [Member] | Americas | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (6) | |||
Payment for Restructuring | (4) | |||
Brazil Restructuring [Member] | International [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | 0 | |||
Payment for Restructuring | 0 | |||
T19 Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (45) | |||
Payment for Restructuring | (43) | |||
T19 Restructuring [Member] | Americas | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (34) | |||
Payment for Restructuring | (34) | |||
T19 Restructuring [Member] | International [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (11) | |||
Payment for Restructuring | (9) | |||
Personnel | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of January 1, 2016 | 1 | |||
Balance as of September 30, 2019 | 2 | 2 | ||
Personnel | Workforce Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Payment for Restructuring | (1) | |||
Personnel | Brazil Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (1) | |||
Payment for Restructuring | 0 | |||
Personnel | T19 Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (16) | |||
Payment for Restructuring | (15) | |||
Facility Closing [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of January 1, 2016 | 0 | |||
Balance as of September 30, 2019 | 1 | 1 | ||
Facility Closing [Member] | Workforce Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Payment for Restructuring | 0 | |||
Facility Closing [Member] | Brazil Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (1) | |||
Payment for Restructuring | 0 | |||
Facility Closing [Member] | T19 Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | 0 | |||
Payment for Restructuring | 0 | |||
Other Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Balance as of January 1, 2016 | 1 | |||
Balance as of September 30, 2019 | $ 2 | 2 | ||
Other Restructuring [Member] | Workforce Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Payment for Restructuring | 0 | |||
Other Restructuring [Member] | Brazil Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (4) | |||
Payment for Restructuring | (4) | |||
Other Restructuring [Member] | T19 Restructuring [Member] | ||||
Restructuring Reserve [Roll Forward] | ||||
Restructuring expense | (29) | |||
Payment for Restructuring | $ (28) |
Restructuring Other Related Cha
Restructuring Other Related Charges (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Mark J. Servodidio [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Other Nonrecurring Expense | $ 3 |
Larry D. De Shon [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Other Related Cost, Expected Cost Remaining | 2 |
Other Nonrecurring Expense | $ 12 |
Earnings Per Share (Computation
Earnings Per Share (Computation Of Basic And Diluted Earnings Per Share) (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 189 | $ 213 | $ 160 | $ 152 |
Basic weighted average shares outstanding | 75.2 | 78.8 | 75.6 | 80.1 |
Weighted Average Number Diluted Shares Outstanding Adjustment | 0.5 | 0.7 | 0.6 | 0.9 |
Weighted Average Number of Shares Outstanding, Diluted | 75.7 | 79.5 | 76.2 | 81 |
Basic | $ 2.52 | $ 2.71 | $ 2.12 | $ 1.90 |
Diluted | $ 2.50 | $ 2.68 | $ 2.10 | $ 1.88 |
Restricted Stock Units (RSUs) [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0.4 | 0.5 | 0.5 | 0.2 |
Earnings Per Share Earnings Per
Earnings Per Share Earnings Per Share (Details) - $ / shares shares in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Basic weighted average shares outstanding | 75.2 | 78.8 | 75.6 | 80.1 |
Basic | $ 2.52 | $ 2.71 | $ 2.12 | $ 1.90 |
Restricted Stock Units (RSUs) [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0.4 | 0.5 | 0.5 | 0.2 |
Acquisitions (Details)
Acquisitions (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2019 | Dec. 31, 2018 | |
Business Acquisition [Line Items] | ||
Goodwill | $ 1,083 | $ 1,092 |
2019 Avis and Budget Licensees [Member] | ||
Business Acquisition [Line Items] | ||
Goodwill | 21 | |
2019 Avis and Budget Licensees [Member] | ||
Business Acquisition [Line Items] | ||
Business Combination, Consideration Transferred, Other | 40 | |
Business Acquisition Purchase Price Allocation Vehicles, Net | 27 | |
Payments to Acquire Businesses, Gross | 64 | |
Business Combination, Contingent Consideration, Liability | $ 3 | |
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 3 years | |
Customer relationships [Member] | 2019 Avis and Budget Licensees [Member] | ||
Business Acquisition [Line Items] | ||
Finite-lived Intangible Assets Acquired | $ 7 | |
Licensing Agreements | 2019 Avis and Budget Licensees [Member] | ||
Business Acquisition [Line Items] | ||
Finite-lived Intangible Assets Acquired | $ 12 |
Other Current Assets (Details)
Other Current Assets (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Other Current Assets Disclosure [Abstract] | ||
Prepaid expenses | $ 259 | $ 241 |
Sales and use taxes | 246 | 180 |
Other | 155 | 183 |
Other current assets | $ 660 | $ 604 |
Intangible Assets (Schedule Of
Intangible Assets (Schedule Of Intangible Assets) (Detail) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Amortized Intangible Assets, Gross Carrying Amount | $ 528 | $ 608 |
Amortized Intangible Assets, Accumulated Amortization | 284 | 330 |
Amortized Intangible Assets, Net Carrying Amount | 244 | 278 |
Unamortized Intangible Assets, Goodwill, Gross Carrying Amount | 1,083 | 1,092 |
License agreements | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Amortized Intangible Assets, Gross Carrying Amount | 229 | 305 |
Amortized Intangible Assets, Accumulated Amortization | 104 | 168 |
Amortized Intangible Assets, Net Carrying Amount | 125 | 137 |
Customer relationships | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Amortized Intangible Assets, Gross Carrying Amount | 250 | 251 |
Amortized Intangible Assets, Accumulated Amortization | 157 | 141 |
Amortized Intangible Assets, Net Carrying Amount | 93 | 110 |
Other | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Amortized Intangible Assets, Gross Carrying Amount | 49 | 52 |
Amortized Intangible Assets, Accumulated Amortization | 23 | 21 |
Amortized Intangible Assets, Net Carrying Amount | 26 | 31 |
Goodwill | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Unamortized Intangible Assets, Goodwill, Gross Carrying Amount | 1,083 | 1,092 |
Trademarks | ||
Finite And Indefinite Lived Intangible Assets [Line Items] | ||
Unamortized Intangible Assets, Trademarks, Gross Carrying Amount | $ 548 | $ 547 |
Intangible Assets (Narrative) (
Intangible Assets (Narrative) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization expense relating to all intangible assets | $ 13 | $ 15 | $ 44 | $ 48 |
Amortization expense for remainder of the year | 13 | $ 13 | ||
Document Fiscal Year Focus | 2019 | |||
Intangible assets amortization expense, year one | 52 | $ 52 | ||
Intangible assets amortization expense, year two | 39 | 39 | ||
Intangible assets amortization expense, year three | 28 | 28 | ||
Intangible assets amortization expense, year four | 22 | 22 | ||
Intangible assets amortization expense, year five | $ 19 | $ 19 |
Vehicle Rental Activities (Comp
Vehicle Rental Activities (Components Of The Company's Vehicles) (Detail) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 | Sep. 30, 2018 |
Vehicle Rental Activities [Abstract] | |||
Rental vehicles | $ 13,691 | $ 12,548 | |
Less: Accumulated depreciation | (1,524) | (1,670) | |
Rental Vehicles Net, Total | 12,167 | 10,878 | |
Vehicles held for sale | 585 | 596 | |
Vehicles, net | 12,752 | $ 11,474 | |
Accounts Payable, Other, Current | 297 | $ 269 | |
Other Receivables | $ 693 | $ 757 |
Vehicle Rental Activities (Co_2
Vehicle Rental Activities (Components Of Vehicle Depreciation And Lease Charges) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Vehicle Rental Activities [Abstract] | ||||
Depreciation expense | $ 516 | $ 540 | $ 1,457 | $ 1,536 |
Lease charges | 72 | 72 | 191 | 192 |
(Gain) loss on sale of vehicles, net | (37) | (25) | (69) | (35) |
Vehicle depreciation and lease charges, net | $ 551 | $ 587 | $ 1,579 | $ 1,693 |
Income Taxes Income Taxes (Narr
Income Taxes Income Taxes (Narrative) (Details) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Income Taxes [Abstract] | |||
Effective Income Tax Rate Reconciliation, Percent | 41.40% | 42.40% | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 21.00% |
Accounts Payable and Other Cu_3
Accounts Payable and Other Current Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Accounts Payable and Other Current Liabilities [Abstract] | ||
Short-term operating lease liabilities | $ 420 | $ 0 |
Accounts payable | 382 | 371 |
Accrued sales and use taxes | 267 | 208 |
Accrued advertising and marketing | 206 | 192 |
Accrued payroll and related | 184 | 200 |
Public liability and property damage insurance liabilities – current | 150 | 149 |
Deferred lease revenues – current | 141 | 140 |
Other | 445 | 433 |
Accounts payable and other current liabilities | $ 2,195 | $ 1,693 |
Long-Term Debt And Borrowing _3
Long-Term Debt And Borrowing Arrangements (Schedule Of Long-Term Debt) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2019 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | |||
Other | $ 30 | $ 30 | $ 41 |
Short-term debt and current portion of long-term debt | 95 | 95 | 23 |
Long-term debt | $ 3,388 | $ 3,388 | 3,528 |
Long Term Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument stated interest percentage | 5.75% | 5.75% | |
Five And One Over Two Senior Notes [Member] | Long Term Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument stated interest percentage | 5.50% | 5.50% | |
Six And Three Over Eight Senior Notes [Member] | Long Term Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument stated interest percentage | 6.375% | 6.375% | |
Four and One over Eight Euro-Denominated Senior Notes [Member] | Long Term Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument stated interest percentage | 4.125% | 4.125% | |
Five And One Over Four Senior Notes [Member] | Long Term Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument stated interest percentage | 5.25% | 5.25% | |
Four and One over Two Euro-Denominated Senior Notes [Member] | Long Term Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument stated interest percentage | 4.50% | 4.50% | |
Four and three over four Euro-Denominated Senior Notes [Member] | Long Term Borrowings [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument stated interest percentage | 4.75% | 4.75% | |
Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 400 | $ 400 | 0 |
Debt Instrument, Maturity Date, Description | July 2027 | ||
Senior Notes [Member] | Five And One Over Two Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 275 | $ 275 | 675 |
Debt Instrument, Maturity Date, Description | April 2023 | ||
Senior Notes [Member] | Six And Three Over Eight Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 350 | $ 350 | 350 |
Debt Instrument, Maturity Date, Description | April 2024 | ||
Senior Notes [Member] | Four and One over Eight Euro-Denominated Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 327 | $ 327 | 344 |
Debt Instrument, Maturity Date, Description | November 2024 | ||
Senior Notes [Member] | Five And One Over Four Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 375 | $ 375 | 375 |
Debt Instrument, Maturity Date, Description | March 2025 | ||
Senior Notes [Member] | Four and One over Two Euro-Denominated Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 272 | $ 272 | 287 |
Debt Instrument, Maturity Date, Description | May 2025 | ||
Senior Notes [Member] | Four and three over four Euro-Denominated Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | $ 381 | $ 381 | 401 |
Debt Instrument, Maturity Date, Description | January 2026 | ||
Loans Payable [Member] | Floating Rate Term Loan Due February Two Thousand Twenty Five [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Basis Spread on Variable Rate | 3.67% | ||
Long-term debt | $ 1,115 | $ 1,115 | 1,123 |
Debt Instrument, Maturity Date, Description | February 2025 | ||
Debt Instrument, Description of Variable Rate Basis | [200 basis points] | ||
Percentage Of Margin Aggregate Interest Rate | 4.05% | ||
Senior Notes and Loans Payable [Member] | |||
Debt Instrument [Line Items] | |||
Deferred Finance Costs, Net | $ (42) | $ (42) | (45) |
Long-term Debt | $ 3,483 | $ 3,483 | $ 3,551 |
Long-Term Debt And Borrowing _4
Long-Term Debt And Borrowing Arrangements (Schedule Of Long-Term Debt) (Detail Section) | 3 Months Ended |
Sep. 30, 2019USD ($) | |
Floating Rate Term Loan Due March Two Thousand Nineteen [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Description of Variable Rate Basis | [200 basis points] |
Long Term Borrowings [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Interest Rate, Stated Percentage | 5.75% |
Long Term Borrowings [Member] | Five And One Over Two Senior Notes [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Interest Rate, Stated Percentage | 5.50% |
Long Term Borrowings [Member] | Six And Three Over Eight Senior Notes [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Interest Rate, Stated Percentage | 6.375% |
Long Term Borrowings [Member] | Five And One Over Four Senior Notes [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Interest Rate, Stated Percentage | 5.25% |
Loans Payable [Member] | Floating Rate Term Loan Due February Two Thousand Twenty Five [Member] | |
Debt Instrument [Line Items] | |
Debt Instrument, Description of Variable Rate Basis | [200 basis points] |
Percentage Of Margin Aggregate Interest Rate | 4.05% |
Debt Instrument, Basis Spread on Variable Rate | 3.67% |
Derivative, Amount of Hedged Item | $ 700,000,000 |
Long-Term Debt And Borrowing _5
Long-Term Debt And Borrowing Arrangements (Narrative) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2019 | Oct. 01, 2019 | Dec. 31, 2018 | |
Debt Instrument [Line Items] | ||||
Other Long-term Debt | $ 30 | $ 30 | $ 41 | |
Uncommitted Credit Facility [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Interest Rate During Period | 0.79% | |||
Uncommitted Credit Facility [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Interest Rate During Period | 1.53% | |||
Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Maturity Date, Description | July 2027 | |||
Long-term Debt, Gross | $ 400 | $ 400 | 0 | |
Five And One Over Two Senior Notes [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | 75 | $ 75 | ||
Debt Instrument, Maturity Date, Description | April 2023 | |||
Long-term Debt, Gross | 275 | $ 275 | 675 | |
Debt Instrument, Repurchase Amount | 407 | $ 407 | ||
Six And Three Over Eight Senior Notes [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Maturity Date, Description | April 2024 | |||
Long-term Debt, Gross | 350 | $ 350 | 350 | |
Four and One over Eight Euro-Denominated Senior Notes [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Maturity Date, Description | November 2024 | |||
Long-term Debt, Gross | 327 | $ 327 | 344 | |
Five And One Over Four Senior Notes [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | 400 | $ 400 | ||
Debt Instrument, Maturity Date, Description | March 2025 | |||
Long-term Debt, Gross | 375 | $ 375 | 375 | |
Four and One over Two Euro-Denominated Senior Notes [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Maturity Date, Description | May 2025 | |||
Long-term Debt, Gross | $ 272 | $ 272 | $ 287 | |
Subsequent Event [Member] | Five And One Over Two Senior Notes [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 75 | |||
Debt Instrument, Repurchase Amount | $ 76 |
Long-Term Debt And Borrowing _6
Long-Term Debt And Borrowing Arrangements (Schedule Of Committed Credit Facilities) (Detail) - Revolving Credit Facility Maturing Two Thousand Sixteen [Member] $ in Millions | Sep. 30, 2019USD ($) |
Line of Credit Facility [Line Items] | |
Total Capacity | $ 1,800 |
Outstanding Borrowings | 0 |
Letters of Credit Issued | 947 |
Available Capacity | $ 853 |
Long-Term Debt And Borrowing _7
Long-Term Debt And Borrowing Arrangements (Schedule Of Committed Credit Facilities) (Detail Section) $ in Millions | 3 Months Ended |
Sep. 30, 2019USD ($) | |
Line of Credit Facility [Line Items] | |
Amounts drawn under uncommitted credit facilities | $ 1 |
Minimum [Member] | Uncommitted Credit Facility [Member] | |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Interest Rate During Period | 0.79% |
Maximum [Member] | Uncommitted Credit Facility [Member] | |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Interest Rate During Period | 1.53% |
Debt Under Vehicle Programs A_3
Debt Under Vehicle Programs And Borrowing Arrangements (Schedule Of Debt Under Vehicle Programs) (Detail) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Debt under vehicle programs | $ 11,592 | $ 10,232 |
Debt Due To Avis Budget Rental Car Funding (Member) | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 9,400 | |
Debt under vehicle programs | 7,910 | 7,393 |
Deferred Finance Costs, Net | (40) | (35) |
Americas Debt Borrowings [Member] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 1,200 | |
Debt under vehicle programs | 923 | 635 |
International Debt Borrowings [Domain] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 3,000 | |
Debt under vehicle programs | 2,592 | 2,060 |
International Capital Leases [Domain] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 300 | |
Debt under vehicle programs | 217 | 191 |
Other (Member) | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Debt under vehicle programs | 0 | 2 |
Debt Under Vehicle Programs [Member] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Deferred Finance Costs, Net | $ (50) | $ (49) |
Debt Under Vehicle Programs A_4
Debt Under Vehicle Programs And Borrowing Arrangements (Schedule Of Contractual Maturities) (Detail) $ in Millions | Sep. 30, 2019USD ($) |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |
Vehicle Program Debt Amount Outstanding | $ 11,642 |
Vehicle backed debt [Member] | |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |
Loans Payable to Bank | 3,700 |
Within 1 year | 1,795 |
Between 1 and 2 years (b) | 4,783 |
Between 2 and 3 years | 1,668 |
Between 3 and 4 years | 1,088 |
Between 4 and 5 years | 1,418 |
Thereafter | 890 |
Vehicle Program Debt Amount Outstanding | $ 11,642 |
Debt Under Vehicle Programs A_5
Debt Under Vehicle Programs And Borrowing Arrangements (Schedule Of Available Funding Under The Vehicle Programs) (Detail) $ in Millions | Sep. 30, 2019USD ($) |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |
Total Capacity (a) | $ 14,077 |
Outstanding Borrowings (b) | 11,642 |
Available Capacity | 2,435 |
Debt Due To Avis Budget Rental Car Funding (Member) | |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |
Total Capacity (a) | 10,000 |
Outstanding Borrowings (b) | 7,910 |
Available Capacity | 2,090 |
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 9,400 |
Americas Debt Borrowings [Member] | |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |
Total Capacity (a) | 935 |
Outstanding Borrowings (b) | 923 |
Available Capacity | 12 |
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 1,200 |
International Debt Borrowings [Domain] | |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |
Total Capacity (a) | 2,889 |
Outstanding Borrowings (b) | 2,592 |
Available Capacity | 297 |
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 3,000 |
International Capital Leases [Domain] | |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |
Total Capacity (a) | 253 |
Outstanding Borrowings (b) | 217 |
Available Capacity | 36 |
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | $ 300 |
Debt Under Vehicle Programs a_6
Debt Under Vehicle Programs and Borrowing Arrangements Debt Under Vehicle Programs and Borrowing Arrangements (Details) - USD ($) $ in Millions | Sep. 30, 2019 | Jun. 30, 2019 |
Avis Budget Rental Car Funding Program March 2022 [Member] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Asset-Backed Securities, at Carrying Value | $ 600 | |
Debt, Weighted Average Interest Rate | 3.56% | |
Avis Budget Rental Car Funding Program [Member] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Debt, Weighted Average Interest Rate | 3.44% | |
Avis Budget Rental Car Funding Program March 2025 [Member] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Asset-Backed Securities, at Carrying Value | $ 650 | |
Debt, Weighted Average Interest Rate | 2.45% |
Commitments And Contingencies (
Commitments And Contingencies (Narrative) (Detail) - USD ($) $ in Millions | Sep. 30, 2019 | Sep. 30, 2018 |
Schedule Of Commitments And Contingencies [Line Items] | ||
Loss Contingency Accrual | $ 12 | |
Loss Contingency, Range of Possible Loss, Portion Not Accrued | 30 | |
Purchase obligation over the next twelve months | 8,000 | |
Other Receivables | 693 | $ 757 |
Realogy [Member] | ||
Schedule Of Commitments And Contingencies [Line Items] | ||
Other Receivables | 25 | |
Wyndham [Member] | ||
Schedule Of Commitments And Contingencies [Line Items] | ||
Other Receivables | $ 15 |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Detail) shares in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019USD ($)shares | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)shares | Sep. 30, 2018USD ($)shares | |
Stockholders Equity [Line Items] | ||||
Currency translation adjustments (net of tax of $(12), $(1), $(14), and $(6) respectively) | $ (31) | $ (8) | $ (21) | $ (61) |
Stock Repurchased During Period, Shares | shares | 2.1 | 3.5 | ||
Stock Repurchased During Period, Value | $ 59 | $ 129 | ||
Other Comprehensive Income Unrealized Gain Loss On Cash Flow Hedges Arising During Period Net Of Tax | (23) | 9 | ||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | (2) | (1) | ||
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | (25) | $ 8 | ||
Stock Repurchase Program, Authorized Amount | 1,800 | 1,800 | ||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 192 | $ 192 | ||
Temporary Equity, Shares Outstanding | shares | 0.6 | 0.6 | ||
Additional Paid-in Capital [Member] | ||||
Stockholders Equity [Line Items] | ||||
Option Premiums Paid | $ 16 |
Stockholders' Equity (Accumulat
Stockholders' Equity (Accumulated Other Comprehensive Income) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Stockholders Equity [Line Items] | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | $ (5) | $ 39 | ||||
Currency Translation Adjustments, Balance | $ (3) | $ 71 | ||||
Net Unrealized Gains (Losses) on Cash Flow Hedges, Balance | $ (22) | $ 14 | (22) | 14 | ||
Net Unrealized Gains on Available- For-Sale Securities, Balance | 0 | 2 | ||||
Currency Translation Adjustments, Balance | (132) | (102) | ||||
Accumulated Other Comprehensive Income, Balance | (133) | (24) | ||||
Currency Translation Adjustments, Current period change | (31) | (8) | (21) | (61) | ||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | (4) | 0 | (25) | 8 | ||
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | (1) | (2) | (5) | (5) | ||
Other comprehensive income (loss) | (34) | (6) | (41) | (48) | ||
Currency Translation Adjustments, Balance | (24) | 17 | (24) | 17 | ||
Net Unrealized Gains (Losses) on Cash Flow Hedges, Balance | 2 | 5 | ||||
Net Unrealized Gains on Available- For-Sale Securities, Balance | 0 | 0 | 0 | 0 | ||
Currency Translation Adjustments, Balance | (127) | (109) | (127) | (109) | ||
Accumulated Other Comprehensive Income, Balance | (173) | (78) | (173) | (78) | ||
Derivatives used in Net Investment Hedge, Net of Tax | 101 | 101 | ||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax, Portion Attributable to Parent | (21) | (61) | ||||
Other Comprehensive Income Unrealized Gain Loss On Cash Flow Hedges Arising During Period Net Of Tax | (23) | 9 | ||||
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | (25) | 8 | ||||
Other Comprehensive Income (Loss), Securities, Available-for-sale, Adjustment, after Tax | 0 | 0 | ||||
Other Comprehensive (Income) Loss, Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net (Gain) Loss, Net of Tax | 4 | 4 | ||||
Other Comprehensive Income (Loss), before Reclassifications, Net of Tax | (43) | (51) | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 2 | 3 | ||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment from AOCI, Realized upon Sale or Liquidation, Net of Tax | 0 | 0 | ||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Net of Tax | 0 | 0 | ||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | 2 | 1 | ||||
Other Comprehensive Income (Loss), Securities, Available-for-sale, Adjustment, before Reclassification Adjustments, after Tax | 0 | 0 | ||||
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, after Tax | 1 | 1 | ||||
Corporate Interest Expense [Member] | ||||||
Stockholders Equity [Line Items] | ||||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | 1 | 2 | 4 | 2 | ||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | 0 | (1) | (2) | (1) | ||
Selling, General and Administrative Expenses [Member] | ||||||
Stockholders Equity [Line Items] | ||||||
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, before Tax | 2 | 2 | 6 | 6 | ||
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, after Tax | $ 1 | $ 2 | 4 | 4 | ||
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | ||||||
Stockholders Equity [Line Items] | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | (7) | |||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | ||||||
Stockholders Equity [Line Items] | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | (1) | (1) | ||||
AOCI Attributable to Parent [Member] | ||||||
Stockholders Equity [Line Items] | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | $ (1) | 6 | ||||
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent [Member] | ||||||
Stockholders Equity [Line Items] | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | 2 | |||||
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | ||||||
Stockholders Equity [Line Items] | ||||||
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets | $ 12 | |||||
Adjustments for New Accounting Pronouncement [Member] | ||||||
Stockholders Equity [Line Items] | ||||||
Currency Translation Adjustments, Balance | (3) | 78 | ||||
Net Unrealized Gains on Available- For-Sale Securities, Balance | 0 | 0 | ||||
Currency Translation Adjustments, Balance | (132) | (114) | ||||
Accumulated Other Comprehensive Income, Balance | (132) | (30) | ||||
Net Unrealized Gains (Losses) on Cash Flow Hedges, Balance | $ 3 | $ 6 |
Stockholders' Equity (Component
Stockholders' Equity (Components Of Other Comprehensive Income) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Equity [Abstract] | ||||
Net income | $ 189 | $ 213 | $ 160 | $ 152 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Currency translation adjustments (net of tax of $(12), $(1), $(14), and $(6) respectively) | (31) | (8) | (21) | (61) |
Net unrealized gain (loss) on cash flow hedges (net of tax of $2, $0, and $9, and $(3) respectively) | (4) | 0 | (25) | 8 |
Minimum pension liability adjustment (net of tax of $(1), $0, $(1), and $(1), respectively) | 1 | 2 | 5 | 5 |
Other comprehensive income (loss) | (34) | (6) | (41) | (48) |
Total comprehensive income (loss) | 155 | 207 | 119 | 104 |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | (2) | (1) | ||
Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Tax | (12) | (1) | (14) | (6) |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Tax | 2 | 0 | 9 | (3) |
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, Tax | (1) | 0 | (1) | (1) |
Corporate Interest Expense [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | 1 | 2 | 4 | 2 |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | 0 | 1 | 2 | 1 |
Selling, General and Administrative Expenses [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, before Tax | 2 | 2 | 6 | 6 |
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, after Tax | $ 1 | $ 2 | $ 4 | $ 4 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 6 | $ 7 | $ 18 | $ 18 |
Stock-based compensation expense (net of tax) | $ 5 | $ 5 | $ 14 | $ 14 |
Stock-Based Compensation (Stock
Stock-Based Compensation (Stock Based Compensation Activity) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of Options, Balance | 0 | 57 | |
Stock Issued During Period, Value, Restricted Stock Award, Gross | $ 18 | $ 20 | |
Options outstanding, intrinsic value | 0 | $ 1 | |
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ 36 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 1 month 6 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Expected to Vest, Weighted Average Remaining Contractual Term | 1 year 6 months | ||
Performance-Based and Market-Based RSUs | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding, Weighted Average Remaining Contractual Terms | 1 year 7 months 6 days | ||
Weighted Average Grant Price, Balance | $ 35.14 | ||
Weighted Average Grant Price, Granted at fair market value | 34.56 | $ 48.52 | |
Weighted Average Grant Price, Vested/exercised | 0 | ||
Weighted Average Grant Price, Canceled | 24.85 | ||
Weighted Average Grant Price, Balance | $ 38.27 | $ 35.14 | |
Number of RSUs, Balance | 1,169 | ||
Number of RSUs, Granted at fair market value | 570 | ||
Number of RSUs, Vested/exercised | 0 | ||
Number of RSUs, Canceled | (430) | ||
Number of RSUs, Balance | 1,309 | 1,169 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding | $ 37 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Expected to Vest, Number of Shares Outstanding | 524 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Expected to Vest, Weighted Average Grant Date Fair Value | $ 39.31 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Expected to Vest, Weighted Average Remaining Contractual Term | 1 year 10 months 24 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Expected to Vest | $ 15 | ||
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted Average Grant Price, Balance | $ 38.67 | ||
Weighted Average Grant Price, Granted at fair market value | 34.17 | $ 48.41 | |
Weighted Average Grant Price, Vested/exercised | 36 | ||
Weighted Average Grant Price, Canceled | $ 38.76 | ||
Weighted Average Grant Price, Balance | $ 38.67 | ||
Number of RSUs, Balance | 838 | ||
Number of RSUs, Granted at fair market value | 606 | ||
Number of RSUs, Vested/exercised | (502) | ||
Number of RSUs, Canceled | (56) | ||
Number of RSUs, Balance | 838 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Expected to Vest, Number of Shares Outstanding | 886 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Expected to Vest, Weighted Average Grant Date Fair Value | $ 37.10 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Expected to Vest, Weighted Average Remaining Contractual Term | 1 year 3 months 18 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Expected to Vest | $ 25 |
Stock-Based Compensation (Summa
Stock-Based Compensation (Summary Of Share Based Compensation Shares Authorized Under Stock Option Plans By Exercise Price Range) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | $ 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 0 | 57 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ 0 | $ 0.79 | |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Forfeitures in Period, Weighted Average Exercise Price | $ 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 1 | $ 8 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period | 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | (57) | ||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Exercises in Period, Weighted Average Exercise Price | $ 0.79 | ||
Options outstanding, intrinsic value | $ 0 | $ 1 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 1 month 6 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Net of Forfeitures | 0 | ||
Proceeds from Stock Options Exercised | $ 2 |
Financial Instruments (Schedule
Financial Instruments (Schedule Of Carrying Amounts And Estimated Fair Values) (Detail) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Short-term debt and current portion of long-term debt | $ 95 | $ 23 |
Long-term Debt, Excluding Current Maturities | 3,388 | 3,528 |
Debt due to Avis Budget Rental Car Funding (AESOP) LLC—related party | 7,870 | 7,358 |
Reported Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Short-term debt and current portion of long-term debt | 95 | 23 |
Long-term Debt, Excluding Current Maturities | 3,388 | 3,528 |
Debt due to Avis Budget Rental Car Funding (AESOP) LLC—related party | 7,870 | 7,358 |
Vehicle Backed Debt | 3,719 | 2,871 |
Debt Under Vehicle Programs Interest Rate Swaps And Interest Rate Contracts | 3 | 3 |
Estimate of Fair Value Measurement [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Short-term debt and current portion of long-term debt | 96 | 23 |
Long-term Debt, Excluding Current Maturities | 3,536 | 3,462 |
Debt due to Avis Budget Rental Car Funding (AESOP) LLC—related party | 8,053 | 7,383 |
Vehicle Backed Debt | 3,734 | 2,881 |
Debt Under Vehicle Programs Interest Rate Swaps And Interest Rate Contracts | $ 3 | $ 3 |
Financial Instruments (Narrativ
Financial Instruments (Narrative) (Detail) gal in Millions, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019USD ($)gal | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($)gal | Sep. 30, 2018USD ($) | |
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative Instruments, Gain (Loss) Recognized in Income, Net | $ (37) | $ (6) | $ (36) | $ (46) |
Interest Rate Caps [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative, Notional Amount | 7,754 | 7,754 | ||
Interest Rate Caps [Member] | Subsidiaries [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative, Notional Amount | 3,000 | 3,000 | ||
Interest Rate Swaps [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative, Notional Amount | 1,500 | 1,500 | ||
Currency Swap [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative, Notional Amount | $ 1,445 | $ 1,445 | ||
Commodity Contracts [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Units Of Gasoline | gal | 5 | 5 | ||
Purchase [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative, Notional Amount | $ 2,400 | $ 2,400 | ||
Sold [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative, Notional Amount | 5,400 | 5,400 | ||
Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative Instruments, Gain (Loss) Recognized in Income, Net | 1 | 0 | (3) | (1) |
Interest Expense [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative Instruments, Gain (Loss) Recognized in Income, Net | (9) | (5) | (20) | (12) |
Operating Expense [Member] | ||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||||
Derivative Instruments, Gain (Loss) Recognized in Income, Net | $ (1) | $ (1) | $ (1) | $ (13) |
Financial Instruments (Fair Val
Financial Instruments (Fair Values Of Derivatives Instruments) (Detail) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||
Fair Value, Asset Derivatives | $ 10 | $ 17 |
Fair Value, Liability Derivatives | 36 | 22 |
Designated As Hedging Instruments [Member] | Interest Rate Swaps [Member] | ||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||
Fair Value, Asset Derivatives | 1 | 12 |
Fair Value, Liability Derivatives | 31 | 8 |
Not Designated As Hedging Instruments [Member] | Foreign Exchange Contract [Member] | ||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||
Fair Value, Asset Derivatives | 9 | 5 |
Fair Value, Liability Derivatives | 5 | 11 |
Not Designated As Hedging Instruments [Member] | Interest Rate Contracts [Member] | ||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||
Fair Value, Asset Derivatives | 0 | 0 |
Fair Value, Liability Derivatives | 0 | 2 |
Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | ||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | ||
Fair Value, Asset Derivatives | 0 | 0 |
Fair Value, Liability Derivatives | $ 0 | $ 1 |
Financial Instruments (Schedu_2
Financial Instruments (Schedule Of Effect Of Derivatives Recognized) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | |||||
Short-term debt and current portion of long-term debt | $ 95 | $ 95 | $ 23 | ||
Derivatives not designated as hedging instruments | 37 | $ 6 | 36 | $ 46 | |
Debt due to Avis Budget Rental Car Funding (AESOP) LLC—related party | 7,870 | 7,870 | $ 7,358 | ||
Designated As Hedging Instruments [Member] | Interest Rate Swaps [Member] | |||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | |||||
Interest rate swaps | (4) | 0 | (25) | 8 | |
Designated As Hedging Instruments [Member] | Foreign Exchange Contracts [Member] | |||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | |||||
Interest rate swaps | 32 | 3 | 37 | 16 | |
Not Designated As Hedging Instruments [Member] | Foreign Exchange Contracts [Member] | |||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | |||||
Derivatives not designated as hedging instruments | 10 | 6 | 21 | 25 | |
Not Designated As Hedging Instruments [Member] | Commodity Contracts [Member] | |||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | |||||
Derivatives not designated as hedging instruments | (1) | 0 | 3 | 1 | |
Not Designated As Hedging Instruments [Member] | Interest Rate Contracts [Member] | |||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | |||||
Derivatives not designated as hedging instruments | 0 | (3) | 0 | (4) | |
Operating Expense [Member] | |||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | |||||
Derivatives not designated as hedging instruments | 1 | 1 | 1 | 13 | |
Interest Expense [Member] | |||||
Schedule of Cost-method Investments [Line Items] (Deprecated 2018-01-31) | |||||
Derivatives not designated as hedging instruments | $ 9 | $ 5 | $ 20 | $ 12 |
Segment Information (Summary Of
Segment Information (Summary Of Segments Information) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Segment Reporting Information [Line Items] | |||||
Assets Under Vehicle Programs | $ 14,388 | $ 14,388 | $ 12,779 | ||
Revenues | 2,753 | $ 2,778 | 7,010 | $ 7,074 | |
Adjusted EBITDA | 471 | 476 | 645 | 639 | |
Non-vehicle related depreciation and amortization | 62 | 62 | 195 | 190 | |
Interest expense | 49 | 44 | 139 | 139 | |
Early extinguishment of debt | (10) | 0 | (10) | (5) | |
Non-operational charges related to shareholder activist activity | 0 | 9 | |||
Transaction-related costs, net | 0 | 11 | 6 | 18 | |
Gain on sale of equity method investment in Anji | (44) | 0 | |||
Restructuring and other related charges | 22 | 4 | 66 | 14 | |
Income before income taxes | 328 | 355 | 273 | 264 | |
Americas [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Assets Under Vehicle Programs | 10,800 | 10,800 | 9,700 | ||
Revenues | 1,868 | 1,844 | 4,822 | 4,782 | |
Adjusted EBITDA | 321 | 313 | 508 | 435 | |
International [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Assets Under Vehicle Programs | 3,600 | 3,600 | $ 3,100 | ||
Revenues | 885 | 934 | 2,188 | 2,292 | |
Adjusted EBITDA | 169 | 178 | 187 | 252 | |
Corporate and Other [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | 0 | 0 | 0 | 0 | |
Adjusted EBITDA | (19) | (15) | (50) | (48) | |
Americas [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | $ 1,868 | $ 1,844 | $ 4,822 | $ 4,782 |
Segment Information (Narrative)
Segment Information (Narrative) (Detail) - USD ($) $ in Millions | Sep. 30, 2019 | Dec. 31, 2018 |
Segment Reporting Information [Line Items] | ||
Assets Under Vehicle Programs | $ 14,388 | $ 12,779 |
Americas [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets Exclusive Of Assets Under Vehicle Program | 5,800 | 3,800 |
Assets Under Vehicle Programs | 10,800 | 9,700 |
International [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets Exclusive Of Assets Under Vehicle Program | 2,800 | 2,500 |
Assets Under Vehicle Programs | $ 3,600 | $ 3,100 |
Guarantor And Non-Guarantor C_3
Guarantor And Non-Guarantor Consolidating Condensed Financial Statements (Consolidating Condensed Statements Of Comprehensive Income) (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenues | ||||
Revenues | $ 2,753 | $ 2,778 | $ 7,010 | $ 7,074 |
Expenses | ||||
Operating | 1,291 | 1,294 | 3,534 | 3,561 |
Vehicle depreciation and lease charges, net | 551 | 587 | 1,579 | 1,693 |
Selling, general and administrative | 350 | 336 | 947 | 953 |
Vehicle interest, net | 90 | 85 | 261 | 237 |
Non-vehicle related depreciation and amortization | 62 | 62 | 195 | 190 |
Interest expense | 49 | 44 | 139 | 139 |
Intercompany interest expense (income) | 0 | 0 | 0 | 0 |
Early extinguishment of debt | 10 | 0 | 10 | 5 |
Restructuring and other related charges | 22 | 4 | 66 | 14 |
Transaction-related costs, net | 0 | 11 | 6 | 18 |
Total expenses | 2,425 | 2,423 | 6,737 | 6,810 |
Income (loss) before income taxes and equity in earnings of subsidiaries | 328 | 355 | 273 | 264 |
Provision for (benefit from) income taxes | (139) | (142) | (113) | (112) |
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Net income | 189 | 213 | 160 | 152 |
Comprehensive income | 155 | 207 | 119 | 104 |
Eliminations [Member] | ||||
Revenues | ||||
Revenues | (598) | (560) | (1,816) | (1,792) |
Expenses | ||||
Operating | 0 | 0 | 0 | 0 |
Vehicle depreciation and lease charges, net | (528) | (504) | (1,611) | (1,625) |
Selling, general and administrative | 0 | 0 | 0 | 0 |
Vehicle interest, net | (70) | (56) | (205) | (167) |
Non-vehicle related depreciation and amortization | 0 | 0 | 0 | 0 |
Interest expense | 0 | 0 | 0 | 0 |
Intercompany interest expense (income) | 0 | 0 | 0 | 0 |
Early extinguishment of debt | 0 | 0 | ||
Restructuring and other related charges | 0 | 0 | 0 | 0 |
Transaction-related costs, net | 0 | 0 | 0 | 0 |
Total expenses | (598) | (560) | (1,816) | (1,792) |
Income (loss) before income taxes and equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Provision for (benefit from) income taxes | 0 | 0 | 0 | 0 |
Equity in earnings of subsidiaries | (717) | (812) | (1,224) | (1,179) |
Net income | (717) | (812) | (1,224) | (1,179) |
Comprehensive income | (624) | (794) | (1,147) | (1,016) |
Parent Company [Member] | ||||
Revenues | ||||
Revenues | 0 | 0 | 0 | 0 |
Expenses | ||||
Operating | 1 | 0 | 2 | 2 |
Vehicle depreciation and lease charges, net | 0 | 0 | 0 | 0 |
Selling, general and administrative | 14 | 10 | 35 | 38 |
Vehicle interest, net | 0 | 0 | 0 | 0 |
Non-vehicle related depreciation and amortization | 0 | 0 | 0 | 0 |
Interest expense | 0 | 0 | 0 | 0 |
Intercompany interest expense (income) | (3) | (3) | (9) | (9) |
Early extinguishment of debt | 0 | 0 | ||
Restructuring and other related charges | 4 | 0 | 15 | 0 |
Transaction-related costs, net | 0 | 0 | 0 | 0 |
Total expenses | 16 | 7 | 43 | 31 |
Income (loss) before income taxes and equity in earnings of subsidiaries | (16) | (7) | (43) | (31) |
Provision for (benefit from) income taxes | 5 | 2 | 15 | 13 |
Equity in earnings of subsidiaries | 200 | 218 | 188 | 170 |
Net income | 189 | 213 | 160 | 152 |
Comprehensive income | 155 | 207 | 119 | 104 |
Subsidiaries [Member] | ||||
Revenues | ||||
Revenues | 0 | 0 | 0 | 0 |
Expenses | ||||
Operating | 1 | 3 | 1 | 4 |
Vehicle depreciation and lease charges, net | 0 | 0 | 0 | 0 |
Selling, general and administrative | 5 | 3 | 13 | 9 |
Vehicle interest, net | 1 | 0 | 1 | 0 |
Non-vehicle related depreciation and amortization | 1 | 0 | 6 | 1 |
Interest expense | 36 | 37 | 104 | 115 |
Intercompany interest expense (income) | (34) | 1 | (26) | (8) |
Early extinguishment of debt | 10 | 10 | 5 | |
Restructuring and other related charges | 0 | 0 | 0 | 0 |
Transaction-related costs, net | 2 | 0 | 3 | 1 |
Total expenses | 22 | 44 | 112 | 127 |
Income (loss) before income taxes and equity in earnings of subsidiaries | (22) | (44) | (112) | (127) |
Provision for (benefit from) income taxes | 8 | 12 | 40 | 34 |
Equity in earnings of subsidiaries | 214 | 250 | 260 | 263 |
Net income | 200 | 218 | 188 | 170 |
Comprehensive income | 166 | 212 | 147 | 122 |
Guarantor Subsidiaries [Member] | ||||
Revenues | ||||
Revenues | 1,606 | 1,592 | 4,236 | 4,171 |
Expenses | ||||
Operating | 755 | 737 | 2,089 | 2,035 |
Vehicle depreciation and lease charges, net | 553 | 540 | 1,679 | 1,681 |
Selling, general and administrative | 195 | 182 | 526 | 513 |
Vehicle interest, net | 70 | 59 | 205 | 172 |
Non-vehicle related depreciation and amortization | 37 | 36 | 110 | 108 |
Interest expense | 1 | 0 | 2 | 2 |
Intercompany interest expense (income) | 6 | 9 | 20 | 20 |
Early extinguishment of debt | 0 | 0 | ||
Restructuring and other related charges | 8 | 2 | 33 | 6 |
Transaction-related costs, net | 0 | 2 | (6) | 3 |
Total expenses | 1,625 | 1,567 | 4,658 | 4,540 |
Income (loss) before income taxes and equity in earnings of subsidiaries | (19) | 25 | (422) | (369) |
Provision for (benefit from) income taxes | (70) | (119) | (94) | (114) |
Equity in earnings of subsidiaries | 303 | 344 | 776 | 746 |
Net income | 214 | 250 | 260 | 263 |
Comprehensive income | 185 | 244 | 243 | 207 |
Non-Guarantor Subsidiaries [Member] | ||||
Revenues | ||||
Revenues | 1,745 | 1,746 | 4,590 | 4,695 |
Expenses | ||||
Operating | 534 | 554 | 1,442 | 1,520 |
Vehicle depreciation and lease charges, net | 526 | 551 | 1,511 | 1,637 |
Selling, general and administrative | 136 | 141 | 373 | 393 |
Vehicle interest, net | 89 | 82 | 260 | 232 |
Non-vehicle related depreciation and amortization | 24 | 26 | 79 | 81 |
Interest expense | 12 | 7 | 33 | 22 |
Intercompany interest expense (income) | 31 | (7) | 15 | (3) |
Early extinguishment of debt | 0 | 0 | ||
Restructuring and other related charges | 10 | 2 | 18 | 8 |
Transaction-related costs, net | (2) | 9 | 9 | 14 |
Total expenses | 1,360 | 1,365 | 3,740 | 3,904 |
Income (loss) before income taxes and equity in earnings of subsidiaries | 385 | 381 | 850 | 791 |
Provision for (benefit from) income taxes | (82) | (37) | (74) | (45) |
Equity in earnings of subsidiaries | 0 | 0 | 0 | 0 |
Net income | 303 | 344 | 776 | 746 |
Comprehensive income | $ 273 | $ 338 | $ 757 | $ 687 |
Guarantor And Non-Guarantor C_4
Guarantor And Non-Guarantor Consolidating Condensed Financial Statements (Consolidating Condensed Balance Sheets) (Detail) - USD ($) $ in Millions | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Dec. 31, 2017 |
Current assets: | ||||||
Cash and cash equivalents | $ 615 | $ 615 | $ 605 | |||
Receivables, net | 872 | 955 | ||||
Other current assets | 660 | 604 | ||||
Total current assets | 2,147 | 2,174 | ||||
Property and equipment, net | 752 | 736 | ||||
Operating lease right-of-use assets | 2,365 | 0 | ||||
Deferred income taxes | 1,360 | 1,301 | ||||
Goodwill | 1,083 | 1,092 | ||||
Other intangibles, net | 792 | 825 | ||||
Other non-current assets | 221 | 242 | ||||
Intercompany receivables | 0 | 0 | ||||
Investment in subsidiaries | 0 | 0 | ||||
Total assets exclusive of assets under vehicle programs | 8,720 | 6,370 | ||||
Assets under vehicle programs: | ||||||
Program cash | 89 | 115 | 151 | |||
Vehicles, net | 12,752 | 11,474 | ||||
Receivables from vehicle manufacturers and other | 905 | 631 | ||||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 642 | 559 | ||||
Total Assets under vehicle programs | 14,388 | 12,779 | ||||
Total assets | 23,108 | 19,149 | ||||
Current liabilities: | ||||||
Accounts payable and other current liabilities | 2,195 | 1,693 | ||||
Short-term debt and current portion of long-term debt | 95 | 23 | ||||
Total current liabilities | 2,290 | 1,716 | ||||
Long-term debt | 3,388 | 3,528 | ||||
Long-term operating lease liabilities | 1,966 | 0 | ||||
Other non-current liabilities | 748 | 767 | ||||
Intercompany payables | 0 | 0 | ||||
Total liabilities exclusive of liabilities under vehicle programs | 8,392 | 6,011 | ||||
Liabilities under vehicle programs: | ||||||
Debt | 3,722 | 2,874 | ||||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 7,870 | 7,358 | ||||
Deferred income taxes | 2,058 | 1,961 | ||||
Other | 571 | 531 | ||||
Total Liabilities under vehicle programs | 14,221 | 12,724 | ||||
Total stockholders’ equity | 495 | $ 376 | 414 | 521 | $ 372 | $ 573 |
Total liabilities and stockholders’ equity | 23,108 | 19,149 | ||||
Restricted Cash and Cash Equivalents | 4 | 12 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 708 | 735 | 768 | 901 | ||
Non-Guarantor Subsidiaries [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 529 | |||||
Assets under vehicle programs: | ||||||
Program cash | 151 | |||||
Liabilities under vehicle programs: | ||||||
Restricted Cash and Cash Equivalents | 4 | 12 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 693 | 692 | ||||
Parent Company [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 1 | 1 | ||||
Receivables, net | 0 | 0 | ||||
Other current assets | 1 | 5 | ||||
Total current assets | 2 | 6 | ||||
Property and equipment, net | 0 | 0 | ||||
Operating lease right-of-use assets | 0 | |||||
Deferred income taxes | 14 | 13 | ||||
Goodwill | 0 | 0 | ||||
Other intangibles, net | 0 | 0 | ||||
Other non-current assets | 49 | 47 | ||||
Intercompany receivables | 168 | 159 | ||||
Investment in subsidiaries | 323 | 246 | ||||
Total assets exclusive of assets under vehicle programs | 556 | 471 | ||||
Assets under vehicle programs: | ||||||
Program cash | 0 | 0 | ||||
Vehicles, net | 0 | 0 | ||||
Receivables from vehicle manufacturers and other | 0 | 0 | ||||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||||
Total Assets under vehicle programs | 0 | 0 | ||||
Total assets | 556 | 471 | ||||
Current liabilities: | ||||||
Accounts payable and other current liabilities | 17 | 16 | ||||
Short-term debt and current portion of long-term debt | 0 | 0 | ||||
Total current liabilities | 17 | 16 | ||||
Long-term debt | 0 | 0 | ||||
Long-term operating lease liabilities | 0 | |||||
Other non-current liabilities | 44 | 41 | ||||
Intercompany payables | 0 | 0 | ||||
Total liabilities exclusive of liabilities under vehicle programs | 61 | 57 | ||||
Liabilities under vehicle programs: | ||||||
Debt | 0 | 0 | ||||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 0 | 0 | ||||
Deferred income taxes | 0 | 0 | ||||
Other | 0 | 0 | ||||
Total Liabilities under vehicle programs | 0 | 0 | ||||
Total stockholders’ equity | 495 | 414 | ||||
Total liabilities and stockholders’ equity | 556 | 471 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 1 | 1 | 3 | 4 | ||
Subsidiaries [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 13 | 12 | ||||
Receivables, net | 0 | 0 | ||||
Other current assets | 118 | 112 | ||||
Total current assets | 131 | 124 | ||||
Property and equipment, net | 223 | 199 | ||||
Operating lease right-of-use assets | 707 | |||||
Deferred income taxes | 1,076 | 1,015 | ||||
Goodwill | 0 | 0 | ||||
Other intangibles, net | 25 | 26 | ||||
Other non-current assets | 31 | 39 | ||||
Intercompany receivables | 422 | 404 | ||||
Investment in subsidiaries | 5,035 | 4,786 | ||||
Total assets exclusive of assets under vehicle programs | 7,650 | 6,593 | ||||
Assets under vehicle programs: | ||||||
Program cash | 0 | 0 | ||||
Vehicles, net | 155 | 55 | ||||
Receivables from vehicle manufacturers and other | 3 | 2 | ||||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||||
Total Assets under vehicle programs | 158 | 57 | ||||
Total assets | 7,808 | 6,650 | ||||
Current liabilities: | ||||||
Accounts payable and other current liabilities | 295 | 246 | ||||
Short-term debt and current portion of long-term debt | 92 | 18 | ||||
Total current liabilities | 387 | 264 | ||||
Long-term debt | 2,417 | 2,501 | ||||
Long-term operating lease liabilities | 643 | |||||
Other non-current liabilities | 106 | 87 | ||||
Intercompany payables | 3,813 | 3,524 | ||||
Total liabilities exclusive of liabilities under vehicle programs | 7,366 | 6,376 | ||||
Liabilities under vehicle programs: | ||||||
Debt | 91 | 28 | ||||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 0 | 0 | ||||
Deferred income taxes | 0 | 0 | ||||
Other | 28 | 0 | ||||
Total Liabilities under vehicle programs | 119 | 28 | ||||
Total stockholders’ equity | 323 | 246 | ||||
Total liabilities and stockholders’ equity | 7,808 | 6,650 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 13 | 12 | 73 | 14 | ||
Guarantor Subsidiaries [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 1 | 1 | ||||
Receivables, net | 257 | 239 | ||||
Other current assets | 125 | 116 | ||||
Total current assets | 383 | 356 | ||||
Property and equipment, net | 328 | 319 | ||||
Operating lease right-of-use assets | 1,123 | |||||
Deferred income taxes | 207 | 207 | ||||
Goodwill | 470 | 471 | ||||
Other intangibles, net | 474 | 475 | ||||
Other non-current assets | 15 | 16 | ||||
Intercompany receivables | 2,332 | 2,104 | ||||
Investment in subsidiaries | 3,982 | 3,852 | ||||
Total assets exclusive of assets under vehicle programs | 9,314 | 7,800 | ||||
Assets under vehicle programs: | ||||||
Program cash | 0 | 0 | ||||
Vehicles, net | 55 | 54 | ||||
Receivables from vehicle manufacturers and other | 100 | 0 | ||||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||||
Total Assets under vehicle programs | 155 | 54 | ||||
Total assets | 9,469 | 7,854 | ||||
Current liabilities: | ||||||
Accounts payable and other current liabilities | 826 | 582 | ||||
Short-term debt and current portion of long-term debt | 2 | 3 | ||||
Total current liabilities | 828 | 585 | ||||
Long-term debt | 2 | 3 | ||||
Long-term operating lease liabilities | 941 | |||||
Other non-current liabilities | 226 | 257 | ||||
Intercompany payables | 422 | 404 | ||||
Total liabilities exclusive of liabilities under vehicle programs | 2,419 | 1,249 | ||||
Liabilities under vehicle programs: | ||||||
Debt | 41 | 49 | ||||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 0 | 0 | ||||
Deferred income taxes | 1,874 | 1,770 | ||||
Other | 100 | 0 | ||||
Total Liabilities under vehicle programs | 2,015 | 1,819 | ||||
Total stockholders’ equity | 5,035 | 4,786 | ||||
Total liabilities and stockholders’ equity | 9,469 | 7,854 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 1 | 1 | 0 | 0 | ||
Subsidiaries Non Guarantor [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 600 | 601 | ||||
Receivables, net | 615 | 716 | ||||
Other current assets | 416 | 371 | ||||
Total current assets | 1,631 | 1,688 | ||||
Property and equipment, net | 201 | 218 | ||||
Operating lease right-of-use assets | 535 | |||||
Deferred income taxes | 63 | 66 | ||||
Goodwill | 613 | 621 | ||||
Other intangibles, net | 293 | 324 | ||||
Other non-current assets | 126 | 140 | ||||
Intercompany receivables | 1,315 | 1,262 | ||||
Investment in subsidiaries | 0 | 0 | ||||
Total assets exclusive of assets under vehicle programs | 4,777 | 4,319 | ||||
Assets under vehicle programs: | ||||||
Program cash | 89 | 115 | ||||
Vehicles, net | 12,542 | 11,365 | ||||
Receivables from vehicle manufacturers and other | 802 | 629 | ||||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 642 | 559 | ||||
Total Assets under vehicle programs | 14,075 | 12,668 | ||||
Total assets | 18,852 | 16,987 | ||||
Current liabilities: | ||||||
Accounts payable and other current liabilities | 1,057 | 849 | ||||
Short-term debt and current portion of long-term debt | 1 | 2 | ||||
Total current liabilities | 1,058 | 851 | ||||
Long-term debt | 969 | 1,024 | ||||
Long-term operating lease liabilities | 382 | |||||
Other non-current liabilities | 372 | 382 | ||||
Intercompany payables | 2 | 1 | ||||
Total liabilities exclusive of liabilities under vehicle programs | 2,783 | 2,258 | ||||
Liabilities under vehicle programs: | ||||||
Debt | 3,590 | 2,797 | ||||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 7,870 | 7,358 | ||||
Deferred income taxes | 184 | 191 | ||||
Other | 443 | 531 | ||||
Total Liabilities under vehicle programs | 12,087 | 10,877 | ||||
Total stockholders’ equity | 3,982 | 3,852 | ||||
Total liabilities and stockholders’ equity | 18,852 | 16,987 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 693 | 721 | 692 | 883 | ||
Eliminations [Member] | ||||||
Current assets: | ||||||
Cash and cash equivalents | 0 | 0 | ||||
Receivables, net | 0 | 0 | ||||
Other current assets | 0 | 0 | ||||
Total current assets | 0 | 0 | ||||
Property and equipment, net | 0 | 0 | ||||
Operating lease right-of-use assets | 0 | |||||
Deferred income taxes | 0 | 0 | ||||
Goodwill | 0 | 0 | ||||
Other intangibles, net | 0 | 0 | ||||
Other non-current assets | 0 | 0 | ||||
Intercompany receivables | (4,237) | (3,929) | ||||
Investment in subsidiaries | (9,340) | (8,884) | ||||
Total assets exclusive of assets under vehicle programs | (13,577) | (12,813) | ||||
Assets under vehicle programs: | ||||||
Program cash | 0 | 0 | ||||
Vehicles, net | 0 | 0 | ||||
Receivables from vehicle manufacturers and other | 0 | 0 | ||||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||||
Total Assets under vehicle programs | 0 | 0 | ||||
Total assets | (13,577) | (12,813) | ||||
Current liabilities: | ||||||
Accounts payable and other current liabilities | 0 | 0 | ||||
Short-term debt and current portion of long-term debt | 0 | 0 | ||||
Total current liabilities | 0 | 0 | ||||
Long-term debt | 0 | 0 | ||||
Long-term operating lease liabilities | 0 | |||||
Other non-current liabilities | 0 | 0 | ||||
Intercompany payables | (4,237) | (3,929) | ||||
Total liabilities exclusive of liabilities under vehicle programs | (4,237) | (3,929) | ||||
Liabilities under vehicle programs: | ||||||
Debt | 0 | 0 | ||||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 0 | 0 | ||||
Deferred income taxes | 0 | 0 | ||||
Other | 0 | 0 | ||||
Total Liabilities under vehicle programs | 0 | 0 | ||||
Total stockholders’ equity | (9,340) | (8,884) | ||||
Total liabilities and stockholders’ equity | (13,577) | (12,813) | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | $ 0 | $ 0 | $ 0 | $ 0 |
Guarantor And Non-Guarantor C_5
Guarantor And Non-Guarantor Consolidating Condensed Financial Statements (Consolidating Condensed Statements Of Cash Flows) (Detail) - USD ($) $ in Millions | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Supplemental Guarantor Financial Information [Line Items] | ||||
Net cash provided by (used in) operating activities | $ 1,931 | $ 2,095 | ||
Property and equipment additions | (178) | (157) | ||
Proceeds received on asset sales | 7 | 9 | ||
Payments to Acquire Restricted Investments | (68) | (64) | ||
Other, net | 80 | (44) | ||
Net cash used in investing activities exclusive of vehicle programs | (159) | (256) | ||
Investment in vehicles | (10,621) | (10,079) | ||
Proceeds received on disposition of vehicles | 7,826 | 6,752 | ||
Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | (221) | (116) | ||
Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 137 | 22 | ||
Net cash used in investing activities of vehicle programs | (2,879) | (3,421) | ||
Net cash used in investing activities | (3,038) | (3,677) | ||
Proceeds from long-term borrowings | 402 | 81 | ||
Principal payments on borrowings | (427) | (99) | ||
Net change in short-term borrowings | 0 | (4) | ||
Repurchases of common stock | (65) | (143) | ||
Debt financing fees | (6) | (9) | ||
Other, net | 0 | 3 | ||
Net cash used in financing activities exclusive of vehicle programs | (96) | (171) | ||
Proceeds from borrowings | 16,042 | 13,371 | ||
Principal payments on borrowings | (14,838) | (11,727) | ||
Debt financing fees | (18) | (19) | ||
Net cash provided by financing activities of vehicle programs | 1,186 | 1,625 | ||
Net cash provided by financing activities | 1,090 | 1,454 | ||
Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash | (10) | (5) | ||
Net decrease in cash and cash equivalents, program and restricted cash | (27) | (133) | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 708 | 768 | $ 735 | $ 901 |
Eliminations [Member] | ||||
Supplemental Guarantor Financial Information [Line Items] | ||||
Net cash provided by (used in) operating activities | (262) | (119) | ||
Property and equipment additions | 0 | 0 | ||
Proceeds received on asset sales | 0 | 0 | ||
Payments to Acquire Restricted Investments | 0 | 0 | ||
Other, net | 75 | 0 | ||
Net cash used in investing activities exclusive of vehicle programs | 75 | 0 | ||
Investment in vehicles | 0 | 0 | ||
Proceeds received on disposition of vehicles | 0 | 0 | ||
Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Net cash used in investing activities of vehicle programs | 0 | 0 | ||
Net cash used in investing activities | 75 | 0 | ||
Proceeds from long-term borrowings | 0 | 0 | ||
Principal payments on borrowings | 0 | 0 | ||
Net change in short-term borrowings | 0 | |||
Repurchases of common stock | 0 | 0 | ||
Debt financing fees | 0 | 0 | ||
Other, net | 187 | 119 | ||
Net cash used in financing activities exclusive of vehicle programs | 187 | 119 | ||
Proceeds from borrowings | 0 | 0 | ||
Principal payments on borrowings | 0 | 0 | ||
Debt financing fees | 0 | 0 | ||
Net cash provided by financing activities of vehicle programs | 0 | 0 | ||
Net cash provided by financing activities | 187 | 119 | ||
Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash | 0 | 0 | ||
Net decrease in cash and cash equivalents, program and restricted cash | 0 | 0 | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 0 | 0 | 0 | 0 |
Non-Guarantor Subsidiaries [Member] | ||||
Supplemental Guarantor Financial Information [Line Items] | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 693 | 692 | ||
Parent Company [Member] | ||||
Supplemental Guarantor Financial Information [Line Items] | ||||
Net cash provided by (used in) operating activities | 65 | 139 | ||
Property and equipment additions | 0 | 0 | ||
Proceeds received on asset sales | 0 | 0 | ||
Payments to Acquire Restricted Investments | 0 | 0 | ||
Other, net | 0 | 0 | ||
Net cash used in investing activities exclusive of vehicle programs | 0 | 0 | ||
Investment in vehicles | 0 | 0 | ||
Proceeds received on disposition of vehicles | 0 | 0 | ||
Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Net cash used in investing activities of vehicle programs | 0 | 0 | ||
Net cash used in investing activities | 0 | 0 | ||
Proceeds from long-term borrowings | 0 | 0 | ||
Principal payments on borrowings | 0 | 0 | ||
Net change in short-term borrowings | 0 | |||
Repurchases of common stock | (65) | (143) | ||
Debt financing fees | 0 | 0 | ||
Other, net | 0 | 3 | ||
Net cash used in financing activities exclusive of vehicle programs | (65) | (140) | ||
Proceeds from borrowings | 0 | 0 | ||
Principal payments on borrowings | 0 | 0 | ||
Debt financing fees | 0 | 0 | ||
Net cash provided by financing activities of vehicle programs | 0 | 0 | ||
Net cash provided by financing activities | (65) | (140) | ||
Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash | 0 | 0 | ||
Net decrease in cash and cash equivalents, program and restricted cash | 0 | (1) | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 1 | 3 | 1 | 4 |
Subsidiaries [Member] | ||||
Supplemental Guarantor Financial Information [Line Items] | ||||
Net cash provided by (used in) operating activities | 196 | 202 | ||
Property and equipment additions | (56) | (45) | ||
Proceeds received on asset sales | 1 | 2 | ||
Payments to Acquire Restricted Investments | (5) | (3) | ||
Other, net | (75) | (8) | ||
Net cash used in investing activities exclusive of vehicle programs | (135) | (54) | ||
Investment in vehicles | (42) | 0 | ||
Proceeds received on disposition of vehicles | 34 | 33 | ||
Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Net cash used in investing activities of vehicle programs | (8) | 33 | ||
Net cash used in investing activities | (143) | (21) | ||
Proceeds from long-term borrowings | 400 | 81 | ||
Principal payments on borrowings | (420) | (97) | ||
Net change in short-term borrowings | 0 | |||
Repurchases of common stock | 0 | 0 | ||
Debt financing fees | (6) | (9) | ||
Other, net | (59) | (95) | ||
Net cash used in financing activities exclusive of vehicle programs | (85) | (120) | ||
Proceeds from borrowings | 38 | 0 | ||
Principal payments on borrowings | (5) | (2) | ||
Debt financing fees | 0 | 0 | ||
Net cash provided by financing activities of vehicle programs | 33 | (2) | ||
Net cash provided by financing activities | (52) | (122) | ||
Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash | 0 | 0 | ||
Net decrease in cash and cash equivalents, program and restricted cash | 1 | 59 | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 13 | 73 | 12 | 14 |
Guarantor Subsidiaries [Member] | ||||
Supplemental Guarantor Financial Information [Line Items] | ||||
Net cash provided by (used in) operating activities | 167 | 88 | ||
Property and equipment additions | (74) | (60) | ||
Proceeds received on asset sales | 0 | 2 | ||
Payments to Acquire Restricted Investments | (12) | (5) | ||
Other, net | 11 | 0 | ||
Net cash used in investing activities exclusive of vehicle programs | (75) | (63) | ||
Investment in vehicles | (16) | (4) | ||
Proceeds received on disposition of vehicles | 0 | 0 | ||
Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Net cash used in investing activities of vehicle programs | (16) | (4) | ||
Net cash used in investing activities | (91) | (67) | ||
Proceeds from long-term borrowings | 0 | 0 | ||
Principal payments on borrowings | (2) | (2) | ||
Net change in short-term borrowings | 0 | |||
Repurchases of common stock | 0 | 0 | ||
Debt financing fees | 0 | 0 | ||
Other, net | (64) | (12) | ||
Net cash used in financing activities exclusive of vehicle programs | (66) | (14) | ||
Proceeds from borrowings | 0 | 0 | ||
Principal payments on borrowings | (10) | (7) | ||
Debt financing fees | 0 | 0 | ||
Net cash provided by financing activities of vehicle programs | (10) | (7) | ||
Net cash provided by financing activities | (76) | (21) | ||
Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash | 0 | 0 | ||
Net decrease in cash and cash equivalents, program and restricted cash | 0 | 0 | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 1 | 0 | 1 | 0 |
Subsidiaries Non Guarantor [Member] | ||||
Supplemental Guarantor Financial Information [Line Items] | ||||
Net cash provided by (used in) operating activities | 1,765 | 1,785 | ||
Property and equipment additions | (48) | (52) | ||
Proceeds received on asset sales | 6 | 5 | ||
Payments to Acquire Restricted Investments | (51) | (56) | ||
Other, net | 69 | (36) | ||
Net cash used in investing activities exclusive of vehicle programs | (24) | (139) | ||
Investment in vehicles | (10,563) | (10,075) | ||
Proceeds received on disposition of vehicles | 7,792 | 6,719 | ||
Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | (221) | (116) | ||
Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC—related party | 137 | 22 | ||
Net cash used in investing activities of vehicle programs | (2,855) | (3,450) | ||
Net cash used in investing activities | (2,879) | (3,589) | ||
Proceeds from long-term borrowings | 2 | 0 | ||
Principal payments on borrowings | (5) | 0 | ||
Net change in short-term borrowings | (4) | |||
Repurchases of common stock | 0 | 0 | ||
Debt financing fees | 0 | 0 | ||
Other, net | (64) | (12) | ||
Net cash used in financing activities exclusive of vehicle programs | (67) | (16) | ||
Proceeds from borrowings | 16,004 | 13,371 | ||
Principal payments on borrowings | (14,823) | (11,718) | ||
Debt financing fees | (18) | (19) | ||
Net cash provided by financing activities of vehicle programs | 1,163 | 1,634 | ||
Net cash provided by financing activities | 1,096 | 1,618 | ||
Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash | (10) | (5) | ||
Net decrease in cash and cash equivalents, program and restricted cash | (28) | (191) | ||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | $ 693 | $ 692 | $ 721 | $ 883 |
Subsequent Events (Details)
Subsequent Events (Details) - Five And One Over Two Senior Notes [Member] - Senior Notes [Member] - USD ($) $ in Millions | Oct. 01, 2019 | Sep. 30, 2019 |
Subsequent Event [Line Items] | ||
Debt Instrument, Face Amount | $ 75 | |
Debt Instrument, Repurchase Amount | $ 407 | |
Subsequent Event [Member] | ||
Subsequent Event [Line Items] | ||
Debt Instrument, Face Amount | $ 75 | |
Debt Instrument, Repurchase Amount | $ 76 |