[x] | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
[ ] | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES |
EXCHANGE ACT OF 1934 |
Delaware (State or other jurisdiction of incorporation or organization) | 73-1356520 (I.R.S. Employer Identification No.) |
Title of each class: Common Stock, $.01 par value | Name of each exchange on which registered: New York Stock Exchange |
Large accelerated filer X | Accelerated filer | Non-accelerated filer ____ | Smaller reporting company____ |
PART I | ||||
5 | ||||
PART II | ||||
PART III | ||||
PART IV | |||
· | constraints on our growth and profitability given the challenges we face in increasing our market share in the key airport and local markets we serve, high barriers to entry in the insurance replacement market, capital and other constraints on expanding company-owned stores internationally and the challenges we would face in further reducing our expenses; |
· | the impact |
· | the impact of pending and future U.S. governmental action to address budget deficits through reductions in spending and similar austerity measures, which could materially adversely affect |
· | the continuing significant political unrest |
· | the impact of pricing and other actions by competitors; |
· | our ability to manage our fleet mix to match demand and meet our target for vehicle depreciation costs, particularly in light of the significant |
· | the cost and other terms of acquiring and disposing of automobiles and the impact of conditions in the used vehicle market on our vehicle cost, including the impact on |
· | our ability to reduce our fleet capacity as and when projected by our plans; |
· | the |
· |
airline travel patterns, including disruptions or reductions in air travel resulting from |
· | access to reservation distribution channels, particularly as the role of the Internet and mobile applications increases in the marketing and sale of travel-related services; |
· | the effectiveness of actions we take to maintain a low cost structure and to manage liquidity; |
· | the impact of repurchases of our common stock pursuant to our share repurchase program; |
· | our ability to obtain cost-effective financing as needed |
· |
our ability to comply with financial covenants, |
· | whether our preliminary expectations about our federal income tax position, after giving effect to the impact of the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010, are affected by changes in our expected fleet size or operations or further legislative initiatives relating to taxes in the United States or |
· | our ability to continue to defer the reversal of prior period tax deferrals and |
· | the cost of regulatory compliance, costs and other effects of potential future initiatives, including those directed at climate change and its effects, and the costs and outcome of pending litigation; |
· | disruptions in the operation or development of information and communication systems that we rely on, including those relating to methods of payment; |
· | local market conditions where we and our franchisees do business, including whether franchisees will continue to have access to capital as needed; |
· | the impact of other events that can disrupt consumer travel, such as natural and man-made catastrophes, pandemics, social unrest and actual and perceived threats or acts of terrorism. |
· | Focus on Profitability of Core Operations. The Company’sfocus is on maximizing profitability of its core operations and return on |
· | Enhanced Fleet Diversification and Fleet Management. The Company |
· | Expand Brand Representation in Select Markets Through Franchising. The Company has a |
· | Continued Focus on Cost Controls. The Company has undertaken significant cost control and productivity initiatives in recent years and considers its low cost structure to be a competitive strength. In addition to key areas such as personnel productivity initiatives utilized to optimize staffing levels, planned initiatives include further reliance on outsourcing arrangements and elimination of redundant systems, further expansion of consolidated purchasing programs and expanded use of best practices throughout the Company. |
Summary Operating Data of the Company | ||||||||||||||||||||||||
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||||||||||||||||
(in thousands) | (in thousands) | |||||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||
Revenue from U.S. and | ||||||||||||||||||||||||
Canada company-owned | ||||||||||||||||||||||||
stores | $ | 1,491,210 | $ | 1,491,599 | $ | 1,637,119 | $ | 1,501,238 | $ | 1,491,210 | $ | 1,491,599 | ||||||||||||
Revenue from franchisees | ||||||||||||||||||||||||
and other | 45,950 | 54,650 | 60,874 | 47,690 | 45,950 | 54,650 | ||||||||||||||||||
Total revenues | $ | 1,537,160 | $ | 1,546,249 | $ | 1,697,993 | $ | 1,548,928 | $ | 1,537,160 | $ | 1,546,249 | ||||||||||||
(a) Includes fleet leasing revenues of $5.1 million, $7.0 million and $16.4 million in 2011, 2010 and 2009, respectively. | (a) Includes fleet leasing revenues of $5.1 million, $7.0 million and $16.4 million in 2011, 2010 and 2009, respectively. | |||||||||||||||||||||||
As of December 31, | As of December 31, | |||||||||||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||||||||||||||||
Rental locations: | ||||||||||||||||||||||||
U.S. and Canada company- | ||||||||||||||||||||||||
owned stores | 297 | 296 | 400 | 280 | 297 | 296 | ||||||||||||||||||
U.S. and Canada franchisee | ||||||||||||||||||||||||
locations | 308 | 317 | 341 | 306 | 308 | 317 | ||||||||||||||||||
Franchisee agreements: | ||||||||||||||||||||||||
U.S. and Canada | 190 | 181 | 222 | |||||||||||||||||||||
International | 139 | 135 | 139 |
Summary of Corporate Operations Data | ||||||||||||||||||||||||
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||||||||||||||||
(in thousands) | (in thousands) | |||||||||||||||||||||||
Rental revenues: | ||||||||||||||||||||||||
United States - Dollar | $ | 839,267 | $ | 835,935 | $ | 933,072 | $ | 881,034 | $ | 839,267 | $ | 835,935 | ||||||||||||
United States - Thrifty | 574,141 | 576,230 | 602,653 | 542,964 | 574,141 | 576,230 | ||||||||||||||||||
Total U.S. rental revenues | 1,413,408 | 1,412,165 | 1,535,725 | 1,423,998 | 1,413,408 | 1,412,165 | ||||||||||||||||||
Canada - Dollar | 10,912 | 9,178 | 15,642 | 10,981 | 10,912 | 9,178 | ||||||||||||||||||
Canada - Thrifty | 48,703 | 51,575 | 64,786 | 49,345 | 48,703 | 51,575 | ||||||||||||||||||
Total Canada rental revenues | 59,615 | 60,753 | 80,428 | 60,326 | 59,615 | 60,753 | ||||||||||||||||||
Total rental revenues | 1,473,023 | 1,472,918 | 1,616,153 | 1,484,324 | 1,473,023 | 1,472,918 | ||||||||||||||||||
Other | 18,187 | 18,681 | 20,966 | 16,914 | 18,187 | 18,681 | ||||||||||||||||||
Total revenues from U.S. and | ||||||||||||||||||||||||
Canadian Corporate Operations | $ | 1,491,210 | $ | 1,491,599 | $ | 1,637,119 | $ | 1,501,238 | $ | 1,491,210 | $ | 1,491,599 | ||||||||||||
As of December 31, | As of December 31, | |||||||||||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||||||||||||||||
Rental locations (U.S. and Canada): | ||||||||||||||||||||||||
Dollar | 149 | 151 | 181 | 135 | 149 | 151 | ||||||||||||||||||
Thrifty | 148 | 145 | 219 | 145 | 148 | 145 | ||||||||||||||||||
Total corporate rental locations | 297 | 296 | 400 | 280 | 297 | 296 |
Summary of U.S. and Canada Franchise Operations Data | ||||||||||
As of December 31, | As of December 31, | |||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||
Franchisee locations: | ||||||||||
Dollar | 125 | 131 | 143 | 125 | 125 | 131 | ||||
Thrifty | 183 | 186 | 198 | 181 | 183 | 186 | ||||
Total franchisee locations | 308 | 317 | 341 | 306 | 308 | 317 | ||||
Franchisee agreements: | ||||||||||
Dollar | 89 | 80 | 92 | |||||||
Thrifty | 101 | 101 | 130 | |||||||
Total franchisee agreements | 190 | 181 | 222 |
U.S. Fleet Data | |||||
Year Ended December 31, | |||||
2010 | 2009 | 2008 | |||
Average number of vehicles leased to | |||||
franchisees | 171 | 1,666 | 2,754 | ||
Average number of vehicles in | |||||
combined fleets of franchisees | 13,879 | 15,382 | 18,171 | ||
Average number of vehicles in combined | |||||
fleets of company-owned stores | 98,735 | 99,223 | 115,129 | ||
Total | 112,614 | 114,605 | 133,300 |
· | dispose of assets; |
· | incur additional indebtedness; |
· | incur guarantee obligations; |
· | prepay other indebtedness; |
· | pay dividends or make share repurchases; |
· | create liens on assets; |
· | enter into sale and leaseback transactions; |
· | make investments, loans, advances or capital expenditures; |
· | make acquisitions; |
· | engage in mergers or consolidations; |
· | change the business conducted by us; and |
· | engage in certain transactions with affiliates. |
UNRESOLVED STAFF COMMENTS |
MINE SAFETY DISCLOSURES |
MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES |
First | Second | Third | Fourth | First | Second | Third | Fourth | ||||||||||||||||||||||||||||
Quarter | Quarter | Quarter | Quarter | ||||||||||||||||||||||||||||||||
2011 | |||||||||||||||||||||||||||||||||||
High | $ | 66.73 | $ | 83.74 | $ | 74.26 | $ | 70.43 | |||||||||||||||||||||||||||
Low | $ | 47.70 | $ | 66.60 | $ | 56.30 | $ | 53.83 | |||||||||||||||||||||||||||
Quarter | Quarter | Quarter | Quarter | ||||||||||||||||||||||||||||||||
2010 | |||||||||||||||||||||||||||||||||||
High | $ | 34.60 | $ | 51.55 | $ | 52.34 | $ | 50.00 | $ | 34.60 | $ | 51.55 | $ | 52.34 | $ | 50.00 | |||||||||||||||||||
Low | $ | 23.84 | $ | 32.09 | $ | 41.06 | $ | 45.76 | $ | 23.84 | $ | 32.09 | $ | 41.06 | $ | 45.76 | |||||||||||||||||||
2009 | |||||||||||||||||||||||||||||||||||
High | $ | 1.60 | $ | 14.14 | $ | 25.84 | $ | 27.23 | |||||||||||||||||||||||||||
Low | $ | 0.62 | $ | 1.29 | $ | 13.80 | $ | 18.01 |
Total Number of | Approximate | |||||||||||||||
Shares Purchased | Dollar Value of | |||||||||||||||
Total Number | Average | as Part of Publicly | Shares that May Yet | |||||||||||||
of Shares | Price Paid | Announced Plans | Be Purchased under | |||||||||||||
Period | Purchased | Per Share | or Programs | the Plans or Programs | ||||||||||||
October 1, 2011 - | �� | |||||||||||||||
October 31, 2011 | - | $ | - | - | $ | 400,000,000 | ||||||||||
November 1, 2011 - | ||||||||||||||||
November 30, 2011 | - | $ | - | - | $ | 300,000,000 | (a) | |||||||||
December 1, 2011 - | ||||||||||||||||
December 31, 2011 | - | $ | - | - | $ | 300,000,000 | ||||||||||
Total | - | - | ||||||||||||||
(a) In November 2011, $100 million was pre-funded under a forward stock repurchase agreement. However, the shares were not delivered until the settlement of the agreement in February 2012. |
Company/Index/Peer Group | 12/31/2005 | 12/31/2006 | 12/31/2007 | 12/31/2008 | 12/31/2009 | 12/31/2010 | 12/31/2006 | 12/31/2007 | 12/31/2008 | 12/31/2009 | 12/31/2010 | 12/31/2011 |
Dollar Thrifty Automotive Group, Inc. | 100.00 | 126.45 | 65.65 | 3.02 | 71.00 | 131.02 | 100.00 | 51.92 | 2.39 | 56.15 | 103.62 | 154.05 |
Russell 2000 Index | 100.00 | 118.37 | 116.51 | 77.15 | 98.11 | 124.46 | 100.00 | 98.43 | 65.18 | 82.89 | 105.14 | 100.75 |
Morningstar Group Index | 100.00 | 150.68 | 113.14 | 64.78 | 91.78 | 128.95 | 100.00 | 80.04 | 42.47 | 63.67 | 91.44 | 94.75 |
Hemscott Group Index | 100.00 | 118.78 | 96.57 | 52.62 | 67.52 | 94.98 |
Year Ended December 31, | ||||||||||||||||||||||||||||||||||||||||
2010 | 2009 | 2008 | 2007 | 2006 | Year Ended December 31, | |||||||||||||||||||||||||||||||||||
2011 | 2010 | 2009 | 2008 | 2007 | ||||||||||||||||||||||||||||||||||||
(in thousands except per share amounts) | ||||||||||||||||||||||||||||||||||||||||
Statements of Operations: | ||||||||||||||||||||||||||||||||||||||||
(in thousands except per share amounts) | ||||||||||||||||||||||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||||||||||||||||||
Vehicle rentals | $ | 1,473,023 | $ | 1,472,918 | $ | 1,616,153 | $ | 1,676,349 | $ | 1,538,673 | $ | 1,484,324 | $ | 1,473,023 | $ | 1,472,918 | $ | 1,616,153 | $ | 1,676,349 | ||||||||||||||||||||
Other | 64,137 | 73,331 | 81,840 | 84,442 | 122,004 | 64,604 | 64,137 | 73,331 | 81,840 | 84,442 | ||||||||||||||||||||||||||||||
Total revenues | 1,537,160 | 1,546,249 | 1,697,993 | 1,760,791 | 1,660,677 | 1,548,928 | 1,537,160 | 1,546,249 | 1,697,993 | 1,760,791 | ||||||||||||||||||||||||||||||
Costs and expenses: | ||||||||||||||||||||||||||||||||||||||||
Direct vehicle and operating | 745,535 | 768,456 | 888,294 | 887,178 | 827,440 | 751,468 | 745,535 | 768,456 | 888,294 | 887,178 | ||||||||||||||||||||||||||||||
Vehicle depreciation and lease | ||||||||||||||||||||||||||||||||||||||||
charges, net | 299,200 | 426,092 | 539,406 | 477,853 | 380,005 | 270,957 | 299,200 | 426,092 | 539,406 | 477,853 | ||||||||||||||||||||||||||||||
Selling, general and | ||||||||||||||||||||||||||||||||||||||||
administrative | 209,341 | 200,389 | 213,734 | 230,515 | 259,474 | 191,043 | 209,341 | 200,389 | 213,734 | 230,515 | ||||||||||||||||||||||||||||||
Interest expense, net | 89,303 | 96,560 | 110,424 | 109,728 | 95,974 | 77,462 | 89,303 | 96,560 | 110,424 | 109,728 | ||||||||||||||||||||||||||||||
Goodwill and long-lived asset impairment | 1,057 | 2,592 | 366,822 | 3,719 | - | - | 1,057 | 2,592 | 366,822 | 3,719 | ||||||||||||||||||||||||||||||
Total costs and expenses | 1,344,436 | 1,494,089 | 2,118,680 | 1,708,993 | 1,562,893 | 1,290,930 | 1,344,436 | 1,494,089 | 2,118,680 | 1,708,993 | ||||||||||||||||||||||||||||||
(Increase) decrease in fair value of derivatives | (28,694 | ) | (28,848 | ) | 36,114 | 38,990 | 9,363 | (3,244 | ) | (28,694 | ) | (28,848 | ) | 36,114 | 38,990 | |||||||||||||||||||||||||
Income (loss) before income taxes | 221,418 | 81,008 | (456,801 | ) | 12,808 | 88,421 | 261,242 | 221,418 | 81,008 | (456,801 | ) | 12,808 | ||||||||||||||||||||||||||||
Income tax expense (benefit) | 90,202 | 35,986 | (110,083 | ) | 11,593 | 36,729 | 101,692 | 90,202 | 35,986 | (110,083 | ) | 11,593 | ||||||||||||||||||||||||||||
Net income (loss) | $ | 131,216 | $ | 45,022 | $ | (346,718 | ) | $ | 1,215 | $ | 51,692 | $ | 159,550 | $ | 131,216 | $ | 45,022 | $ | (346,718 | ) | $ | 1,215 | ||||||||||||||||||
Basic Earnings (Loss) Per Share | $ | 4.58 | $ | 1.98 | $ | (16.22 | ) | $ | 0.05 | $ | 2.14 | $ | 5.51 | $ | 4.58 | $ | 1.98 | $ | (16.22 | ) | $ | 0.05 | ||||||||||||||||||
Diluted Earnings (Loss) Per Share | $ | 4.34 | $ | 1.88 | $ | (16.22 | ) | $ | 0.05 | $ | 2.04 | $ | 5.11 | $ | 4.34 | $ | 1.88 | $ | (16.22 | ) | $ | 0.05 | ||||||||||||||||||
Balance Sheet Data: | ||||||||||||||||||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 463,153 | $ | 400,404 | $ | 229,636 | $ | 101,025 | $ | 191,981 | $ | 508,648 | $ | 463,153 | $ | 400,404 | $ | 229,636 | $ | 101,025 | ||||||||||||||||||||
Cash and cash equivalents - required minimum balance | $ | 100,000 | $ | 100,000 | $ | - | $ | - | $ | - | $ | - | $ | 100,000 | $ | 100,000 | $ | - | $ | - | ||||||||||||||||||||
Restricted cash and investments | $ | 277,407 | $ | 622,540 | $ | 596,588 | $ | 132,945 | $ | 389,794 | $ | 353,265 | $ | 277,407 | $ | 622,540 | $ | 596,588 | $ | 132,945 | ||||||||||||||||||||
Revenue-earning vehicles, net | $ | 1,341,822 | $ | 1,228,637 | $ | 1,946,079 | $ | 2,808,354 | $ | 2,623,719 | $ | 1,467,835 | $ | 1,341,822 | $ | 1,228,637 | $ | 1,946,079 | $ | 2,808,354 | ||||||||||||||||||||
Total assets | $ | 2,499,528 | $ | 2,645,937 | $ | 3,238,181 | $ | 3,891,452 | $ | 4,011,498 | $ | 2,615,666 | $ | 2,499,528 | $ | 2,645,937 | $ | 3,238,181 | $ | 3,891,452 | ||||||||||||||||||||
Debt and other obligations | $ | 1,397,243 | $ | 1,727,810 | $ | 2,488,245 | $ | 2,656,562 | $ | 2,744,284 | $ | 1,399,955 | $ | 1,397,243 | $ | 1,727,810 | $ | 2,488,245 | $ | 2,656,562 | ||||||||||||||||||||
Stockholders' equity | $ | 538,607 | $ | 393,914 | $ | 208,420 | $ | 578,865 | $ | 647,700 | $ | 607,672 | $ | 538,607 | $ | 393,914 | $ | 208,420 | $ | 578,865 | ||||||||||||||||||||
U. S. and Canada | ||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||
2011 | 2010 | 2009 | 2008 | 2007 | ||||||||||||||||
System-wide Data: | ||||||||||||||||||||
Rental locations: | ||||||||||||||||||||
Company-owned stores | 280 | 297 | 296 | 400 | 466 | |||||||||||||||
Franchisee locations | 306 | 308 | 317 | 341 | 365 | |||||||||||||||
Total rental locations | 586 | 605 | 613 | 741 | 831 | |||||||||||||||
Company-owned Stores Data: | ||||||||||||||||||||
Vehicle rental data: | ||||||||||||||||||||
Average number of vehicles operated | 107,154 | 102,291 | 102,948 | 120,309 | 123,484 | |||||||||||||||
Number of rental days | 31,482,339 | 30,338,815 | 30,616,395 | 36,879,641 | 37,231,340 | |||||||||||||||
Vehicle utilization | 80.5 | % | 81.3 | % | 81.5 | % | 83.8 | % | 82.6 | % | ||||||||||
Average revenue per day | $ | 47.15 | $ | 48.55 | $ | 48.11 | $ | 43.82 | $ | 45.03 | ||||||||||
Monthly average revenue per vehicle | $ | 1,154 | $ | 1,200 | $ | 1,192 | $ | 1,119 | $ | 1,131 | ||||||||||
Average depreciable fleet | 108,127 | 103,207 | 105,301 | 123,673 | 127,979 | |||||||||||||||
Monthly average depreciation | ||||||||||||||||||||
(net) per vehicle | $ | 209 | $ | 242 | $ | 337 | $ | 363 | $ | 311 |
U. S. and Canada | ||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||
2010 | 2009 | 2008 | 2007 | 2006 | ||||||||||||||||
System-wide Data: | ||||||||||||||||||||
Rental locations: | ||||||||||||||||||||
Company-owned stores | 297 | 296 | 400 | 466 | 407 | |||||||||||||||
Franchisee locations | 308 | 317 | 341 | 365 | 429 | |||||||||||||||
Total rental locations | 605 | 613 | 741 | 831 | 836 | |||||||||||||||
Company-owned Stores Data: | ||||||||||||||||||||
Vehicle rental data: | ||||||||||||||||||||
Average number of vehicles operated | 102,291 | 102,948 | 120,309 | 123,484 | 119,648 | |||||||||||||||
Number of rental days | 30,338,815 | 30,616,395 | 36,879,641 | 37,231,340 | 36,642,026 | |||||||||||||||
Vehicle utilization | 81.3 | % | 81.5 | % | 83.8 | % | 82.6 | % | 83.9 | % | ||||||||||
Average revenue per day | $ | 48.55 | $ | 48.11 | $ | 43.82 | $ | 45.03 | $ | 41.99 | ||||||||||
Monthly average revenue per vehicle | $ | 1,200 | $ | 1,192 | $ | 1,119 | $ | 1,131 | $ | 1,072 | ||||||||||
Average depreciable fleet | 103,207 | 105,301 | 123,673 | 127,979 | 128,739 | |||||||||||||||
Monthly average depreciation | ||||||||||||||||||||
(net) per vehicle | $ | 242 | $ | 337 | $ | 363 | $ | 311 | $ | 246 |
AND RESULTS OF OPERATIONS |
Reconciliation of reported GAAP pretax income (loss) per the | |||||||||||||
income statement to non-GAAP pretax income (loss): | |||||||||||||
Year Ended December 31, | |||||||||||||
2010 | 2009 | 2008 | |||||||||||
(in thousands) | |||||||||||||
Income (loss) before income taxes - as reported | $ | 221,418 | $ | 81,008 | $ | (456,801 | ) | ||||||
(Increase) decrease in fair value of derivatives | (28,694 | ) | (28,848 | ) | 36,114 | ||||||||
Goodwill and long-lived asset impairment | 1,057 | 2,592 | 366,822 | ||||||||||
Pretax income (loss) - non-GAAP | $ | 193,781 | $ | 54,752 | $ | (53,865 | ) | ||||||
Merger-related expenses | 22,605 | - | - | ||||||||||
Non-GAAP pretax income, excluding merger-related expenses | $ | 216,386 | $ | 54,752 | $ | (53,865 | ) | ||||||
Reconciliation of reported GAAP net income (loss) per the | |||||||||||||
income statement to non-GAAP net income (loss): | |||||||||||||
Net income (loss) - as reported | $ | 131,216 | $ | 45,022 | $ | (346,718 | ) | ||||||
(Increase) decrease in fair value of derivatives, net of tax (a) | (16,826 | ) | (16,917 | ) | 21,271 | ||||||||
Goodwill and long-lived asset impairment, net of tax (b) | 645 | 1,497 | 284,537 | ||||||||||
Net income (loss) - non-GAAP | $ | 115,035 | $ | 29,602 | $ | (40,910 | ) | ||||||
Merger-related expenses, net of tax (c) | 13,172 | - | - | ||||||||||
Non-GAAP net income, excluding merger-related expenses | $ | 128,207 | $ | 29,602 | $ | (40,910 | ) | ||||||
Reconciliation of reported GAAP diluted earnings (loss) | |||||||||||||
per share (“EPS”) to non-GAAP diluted EPS: | |||||||||||||
EPS, diluted - as reported | $ | 4.34 | $ | 1.88 | $ | (16.22 | ) | ||||||
EPS impact of (increase) decrease in fair value of derivatives, net of tax | (0.56 | ) | (0.71 | ) | 1.00 | ||||||||
EPS impact of goodwill and long-lived asset impairment, net of tax | 0.02 | 0.06 | 13.31 | ||||||||||
EPS, diluted - non-GAAP (d) | $ | 3.80 | $ | 1.24 | $ | (1.91 | ) | ||||||
EPS impact of merger-related expenses, net of tax | 0.44 | - | - | ||||||||||
Non-GAAP diluted EPS, excluding merger-related expenses (d) | $ | 4.24 | $ | 1.24 | $ | (1.91 | ) | ||||||
(a) | The tax effect of the (increase) decrease in fair value of derivatives is calculated using the entity-specific, U.S. federal and blended state tax rate applicable to the derivative instruments which amounts are ($11,868,000), ($11,931,000) and $14,843,000 for the years ended December 31, 2010, 2009 and 2008, respectively. | ||||||||||||
(b) | The tax effect of the goodwill and long-lived asset impairment is calculated using the tax-deductible portion of the impairment and applying the entity-specific, U.S. federal and blended state tax rate which amounts are $412,000, $1,095,000 and $82,285,000 for the years ended December 31, 2010, 2009 and 2008, respectively. | ||||||||||||
(c) | Merger-related expenses include legal, litigation, advisory and other fees related to a potential merger transaction. The tax effect of the merger-related expenses is calculated using the entity-specific, U.S. federal and blended state tax rate applicable to the merger-related expenses which amount is $9,433,000 for the year ended December 31, 2010. | ||||||||||||
(d) | Since each category of earnings per share is computed independently for each period, total per share amounts may not equal the sum of the respective categories. |
Reconciliation of reported GAAP pretax income per the | |||||||||||||
income statement to non-GAAP pretax income: | |||||||||||||
Year Ended December 31, | |||||||||||||
2011 | 2010 | 2009 | |||||||||||
(in thousands) | |||||||||||||
Income before income taxes - as reported | $ | 261,242 | $ | 221,418 | $ | 81,008 | |||||||
Increase in fair value of derivatives | (3,244 | ) | (28,694 | ) | (28,848 | ) | |||||||
Long-lived asset impairment | - | 1,057 | 2,592 | ||||||||||
Pretax income - non-GAAP | $ | 257,998 | $ | 193,781 | $ | 54,752 | |||||||
Merger-related expenses | 4,600 | 22,605 | - | ||||||||||
Non-GAAP pretax income, excluding merger-related expenses | $ | 262,598 | $ | 216,386 | $ | 54,752 | |||||||
Reconciliation of reported GAAP net income per the | |||||||||||||
income statement to non-GAAP net income: | |||||||||||||
Net income - as reported | $ | 159,550 | $ | 131,216 | $ | 45,022 | |||||||
Increase in fair value of derivatives, net of tax (a) | (1,811 | ) | (16,826 | ) | (16,917 | ) | |||||||
Long-lived asset impairment, net of tax (b) | - | 645 | 1,497 | ||||||||||
Net income - non-GAAP | $ | 157,739 | $ | 115,035 | $ | 29,602 | |||||||
Merger-related expenses, net of tax (c) | 2,679 | 13,172 | - | ||||||||||
Non-GAAP net income, excluding merger-related expenses | $ | 160,418 | $ | 128,207 | $ | 29,602 | |||||||
Reconciliation of reported GAAP diluted earnings | |||||||||||||
per share (“EPS”) to non-GAAP diluted EPS: | |||||||||||||
EPS, diluted - as reported | $ | 5.11 | $ | 4.34 | $ | 1.88 | |||||||
EPS impact of increase in fair value of derivatives, net of tax | (0.06 | ) | (0.56 | ) | (0.71 | ) | |||||||
EPS impact of long-lived asset impairment, net of tax | - | 0.02 | 0.06 | ||||||||||
EPS, diluted - non-GAAP (d) | $ | 5.05 | $ | 3.80 | $ | 1.24 | |||||||
EPS impact of merger-related expenses, net of tax | 0.09 | 0.44 | - | ||||||||||
Non-GAAP diluted EPS, excluding merger-related expenses (d) | $ | 5.13 | $ | 4.24 | $ | 1.24 | |||||||
(a) | The tax effect of the increase in fair value of derivatives is calculated using the entity-specific, U.S. federal and blended state tax rate applicable to the derivative instruments which amounts are ($1,433,000), ($11,868,000) and ($11,931,000) for the years ended December 31, 2011, 2010 and 2009, respectively. | ||||||||||||
(b) | The tax effect of the long-lived asset impairment is calculated using the tax-deductible portion of the impairment and applying the entity-specific, U.S. federal and blended state tax rate which amounts are $412,000 and $1,095,000 for the years ended December 31, 2010 and 2009, respectively. | ||||||||||||
(c) | Merger-related expenses include legal, litigation, advisory and other fees related to a potential merger transaction. The tax effect of the merger-related expenses is calculated using the entity-specific, U.S. federal and blended state tax rate applicable to the merger-related expenses which amounts are $1,921,000 and $9,433,000 for the years ended December 31, 2011 and 2010, respectively. | ||||||||||||
(d) | Since each category of EPS is computed independently for each period, total per share amounts may not equal the sum of the respective categories. |
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||||||||||||||||
(in thousands) | (in thousands) | |||||||||||||||||||||||
Reconciliation of net income (loss) to | ||||||||||||||||||||||||
Reconciliation of net income to | ||||||||||||||||||||||||
Corporate Adjusted EBITDA | ||||||||||||||||||||||||
Net income (loss) - as reported | $ | 131,216 | $ | 45,022 | $ | (346,718 | ) | |||||||||||||||||
Net income - as reported | $ | 159,550 | $ | 131,216 | $ | 45,022 | ||||||||||||||||||
(Increase) decrease in fair value of derivatives | (28,694 | ) | (28,848 | ) | 36,114 | |||||||||||||||||||
Increase in fair value of derivatives | (3,244 | ) | (28,694 | ) | (28,848 | ) | ||||||||||||||||||
Non-vehicle interest expense | 9,647 | 12,797 | 17,620 | 10,699 | 9,647 | 12,797 | ||||||||||||||||||
Income tax expense (benefit) | 90,202 | 35,986 | (110,083 | ) | ||||||||||||||||||||
Income tax expense | 101,692 | 90,202 | 35,986 | |||||||||||||||||||||
Non-vehicle depreciation | 20,190 | 19,200 | 22,722 | 19,381 | 20,190 | 19,200 | ||||||||||||||||||
Amortization | 7,290 | 7,994 | 7,355 | 7,505 | 7,290 | 7,994 | ||||||||||||||||||
Non-cash stock incentives | 4,785 | 4,698 | 3,917 | 3,234 | 4,785 | 4,698 | ||||||||||||||||||
Goodwill and long-lived asset impairment | 1,057 | 2,592 | 366,822 | |||||||||||||||||||||
Long-lived asset impairment | - | 1,057 | 2,592 | |||||||||||||||||||||
Other | (25 | ) | (6 | ) | - | (249 | ) | (25 | ) | (6 | ) | |||||||||||||
Corporate Adjusted EBITDA | $ | 235,668 | $ | 99,435 | $ | (2,251 | ) | $ | 298,568 | $ | 235,668 | $ | 99,435 | |||||||||||
Reconciliation of Corporate Adjusted EBITDA | ||||||||||||||||||||||||
to Cash Flows From Operating Activities | ||||||||||||||||||||||||
Corporate Adjusted EBITDA | $ | 235,668 | $ | 99,435 | $ | (2,251 | ) | $ | 298,568 | $ | 235,668 | $ | 99,435 | |||||||||||
Vehicle depreciation, net of gains/losses from disposal | 299,149 | 425,574 | 538,250 | 270,927 | 299,149 | 425,574 | ||||||||||||||||||
Non-vehicle interest expense | (9,647 | ) | (12,797 | ) | (17,620 | ) | (10,699 | ) | (9,647 | ) | (12,797 | ) | ||||||||||||
Change in assets and liabilities, net of acquisitions, and other | (63,229 | ) | 23,712 | (11,224 | ) | |||||||||||||||||||
Change in assets and liabilities and other | 8,498 | (63,229 | ) | 23,712 | ||||||||||||||||||||
Net cash provided by operating activities | $ | 461,941 | $ | 535,924 | $ | 507,155 | $ | 567,294 | $ | 461,941 | $ | 535,924 | ||||||||||||
Memo: | ||||||||||||||||||||||||
Net cash provided by (used in) investing activites | $ | (59,094 | ) | $ | 278,955 | $ | (198,366 | ) | $ | (402,501 | ) | $ | (59,094 | ) | $ | 278,955 | ||||||||
Net cash used in financing activities | $ | (340,098 | ) | $ | (644,111 | ) | $ | (180,178 | ) | $ | (119,298 | ) | $ | (340,098 | ) | $ | (644,111 | ) |
Metric | Sensitivity | Estimated Change in Corporate Adjusted EBITDA | Estimated Change in EPS | |||||
(increase or decrease) | (increase or decrease) | |||||||
Revenue Per Day ("RPD") (a) | $1.00 Change in Price / RPD | $ | 26,000,000 | $ | 0.52 | |||
Rental Days (a) (b) | 1% Change in Rental Days | $ | 4,400,000 | $ | 0.09 | |||
Fleet Costs (c) | $10.00 Change in Fleet Cost Per Vehicle Per Month | $ | 12,000,000 | $ | 0.24 | |||
Operating Expenses (d) | 1% Change in Operating Expense Ratio (e) | $ | 15,000,000 | $ | 0.30 | |||
(a) | Assumes 31 million rental days. |
(b) | Assumes full year revenue per day of $47.15. |
(c) | Assumes an average fleet of 100,000 vehicles. |
(d) | Comprised of direct vehicle and operating and selling, general and administrative expenses. |
(e) | The ratio is derived by dividing operating expenses by total revenue, assuming consolidated total revenue of $1.5 billion. |
Year Ended December 31, | |||||||||
2010 | 2009 | 2008 | |||||||
Revenues: | |||||||||
Vehicle rentals | 95.8 | % | 95.3 | % | 95.2 | % | |||
Other | 4.2 | 4.7 | 4.8 | ||||||
Total revenues | 100.0 | 100.0 | 100.0 | ||||||
Costs and expenses: | |||||||||
Direct vehicle and operating | 48.5 | 49.7 | 52.3 | ||||||
Vehicle depreciation and lease charges, net | 19.5 | 27.6 | 31.8 | ||||||
Selling, general and administrative | 13.6 | 13.0 | 12.6 | ||||||
Interest expense, net | 5.8 | 6.2 | 6.5 | ||||||
Goodwill and long-lived asset impairment | 0.1 | 0.1 | 21.6 | ||||||
Total costs and expenses | 87.5 | 96.6 | 124.8 | ||||||
(Increase) decrease in fair value of derivatives | (1.9) | (1.8) | 2.1 | ||||||
Income (loss) before income taxes | 14.4 | 5.2 | (26.9) | ||||||
Income tax expense (benefit) | 5.9 | 2.3 | (6.5) | ||||||
Net income (loss) | 8.5 | % | 2.9 | % | (20.4) | % |
Year Ended December 31, | |||||||||
2011 | 2010 | 2009 | |||||||
Revenues: | |||||||||
Vehicle rentals | 95.8 | % | 95.8 | % | 95.3 | % | |||
Other | 4.2 | 4.2 | 4.7 | ||||||
Total revenues | 100.0 | 100.0 | 100.0 | ||||||
Costs and expenses: | |||||||||
Direct vehicle and operating | 48.5 | 48.5 | 49.7 | ||||||
Vehicle depreciation and lease charges, net | 17.5 | 19.5 | 27.6 | ||||||
Selling, general and administrative | 12.3 | 13.6 | 13.0 | ||||||
Interest expense, net | 5.0 | 5.8 | 6.2 | ||||||
Long-lived asset impairment | 0.0 | 0.1 | 0.1 | ||||||
Total costs and expenses | 83.3 | 87.5 | 96.6 | ||||||
(Increase) decrease in fair value of derivatives | (0.2) | (1.9) | (1.8) | ||||||
Income before income taxes | 16.9 | 14.4 | 5.2 | ||||||
Income tax expense | 6.6 | 5.9 | 2.3 | ||||||
Net income | 10.3 | % | 8.5 | % | 2.9 | % |
$ Increase/ | % Increase/ | |||||||||||||||
2011 | 2010 | (decrease) | (decrease) | |||||||||||||
(in millions) | ||||||||||||||||
Vehicle rentals | $ | 1,484.3 | $ | 1,473.0 | $ | 11.3 | 0.8 | % | ||||||||
Other | 64.6 | 64.2 | 0.4 | 0.7 | % | |||||||||||
Total revenues | $ | 1,548.9 | $ | 1,537.2 | $ | 11.7 | 0.8 | % | ||||||||
Vehicle rental metrics: | ||||||||||||||||
Average number of vehicles operated | 107,154 | 102,291 | 4,863 | 4.8 | % | |||||||||||
Average revenue per day | $47.15 | $48.55 | ($1.40 | ) | (2.9 | %) | ||||||||||
Number of rental days | 31,482,339 | 30,338,815 | 1,143,524 | 3.8 | % | |||||||||||
Vehicle utilization | 80.5 | % | 81.3 | % | (0.8) p.p. | N/ | M |
$ Increase/ | % Increase/ | |||||||||||||||
2011 | 2010 | (decrease) | (decrease) | |||||||||||||
(in millions) | ||||||||||||||||
Direct vehicle and operating | $ | 751.5 | $ | 745.5 | $ | 6.0 | 0.8 | % | ||||||||
Vehicle depreciation and lease charges, net | 271.0 | 299.2 | (28.2 | ) | (9.4 | %) | ||||||||||
Selling, general and administrative | 191.0 | 209.3 | (18.3 | ) | (8.7 | %) | ||||||||||
Interest expense, net of interest income | 77.4 | 89.3 | (11.9 | ) | (13.3 | %) | ||||||||||
Long-lived asset impairment | - | 1.1 | (1.1 | ) | (100.0 | %) | ||||||||||
Total expenses | $ | 1,290.9 | $ | 1,344.4 | $ | (53.5 | ) | (4.0 | %) | |||||||
(Increase) decrease in fair value of derivatives | $ | (3.2 | ) | $ | (28.7 | ) | $ | 25.5 | (88.7 | %) |
Ø | Vehicle-related expenses increased $27.3 million, which included an increase in gasoline expense of $12.6 million and an increase in toll and ticket expense of $4.4 million. Increased sales of pre-paid fuel and toll road products are a focus for the Company, and the majority of the increase in these expenses is recovered through customer revenue related to these products. Additionally, the Company experienced a $7.5 million increase in vehicle maintenance expense due to the increase in the rental fleet size and the number of higher mileage vehicles in the fleet compared to 2010, a $1.4 million increase in shuttling expense and a $0.7 million increase in general excise and surcharge taxes. All other vehicle-related expenses increased $0.7 million. |
Ø | Litigation expense increased $1.7 million primarily due to recording a reserve in respect of a preliminary litigation settlement. |
Ø | Personnel-related expenses increased $0.4 million, primarily due to a $6.6 million increase in field employee salaries due to merit-based raises, a $1.5 million increase in rental agent commissions and $1.3 million of one-time incentives. These increases were partially offset by a $5.6 million decrease in field employee salaries related to a decrease in the number of employees, a $1.5 million decrease in workers compensation expense due to favorable claims development, a $1.1 million decrease in group insurance expense due to favorable claims and lower number of personnel, and $0.8 million decrease in the vacation accrual. |
Ø | Vehicle insurance expenses decreased $21.6 million compared to 2010 as a result of reductions in provisions for future losses as well as reductions in insurance accrual rates in conjunction with semi-annual third-party actuarial reviews. These decreases were driven by changes in loss development factors as a result of favorable claims development trends resulting from specific actions taken by the Company to lower its overall insurance costs. Those steps included, among others, closing a significant number of local market locations and raising acceptable credit scores for eligible customers in order to reduce the likelihood of adverse selection in certain markets. Additionally, the Company has implemented drivers’ license validation procedures and requires examinations under oath in order to reduce the risk of fraud and personal injury claims in certain markets. |
Ø | Communications and computer expenses decreased $1.6 million due to cost reduction initiatives. |
Ø | Vehicle depreciation expense decreased $44.4 million, primarily resulting from a 16.1% decrease in the average depreciation rate due to continued favorable used vehicle market conditions, partially offset by a 4.8% increase in the average depreciable fleet. |
Ø | Net vehicle gains on disposal of risk vehicles (reductions to net vehicle depreciation and lease charges), which effectively represent revisions to previous estimates of vehicle depreciation charges by reducing vehicle depreciation and lease charges, decreased $16.2 million from a $63.1 million gain in 2010 to a $46.9 million gain in 2011. This decrease in gains on vehicle dispositions resulted from approximately 17,700 fewer units sold in 2011, partially offset by a higher average gain per unit in 2011 as compared to 2010. |
Ø | Merger-related costs decreased $18.0 million. |
Ø | Outsourcing expenses decreased $1.4 million primarily due to a lower base fee paid to a third party service provider in 2011 as compared to 2010. |
Ø | Loyalty programs and commission expenses increased $1.4 million primarily due to increased rental days. |
$ Increase/ | % Increase/ | |||||||||||||||
2010 | 2009 | (decrease) | (decrease) | |||||||||||||
(in millions) | ||||||||||||||||
Vehicle rentals | $ | 1,473.0 | $ | 1,472.9 | $ | 0.1 | 0.0 | % | ||||||||
Other | 64.2 | 73.3 | (9.1 | ) | (12.5 | %) | ||||||||||
Total revenues | $ | 1,537.2 | $ | 1,546.2 | $ | (9.0 | ) | (0.6 | %) | |||||||
Vehicle rental metrics: | ||||||||||||||||
Average number of vehicles operated | 102,291 | 102,948 | (657 | ) | (0.6 | %) | ||||||||||
Average revenue per day | $ | 48.55 | $ | 48.11 | $ | 0.44 | 0.9 | % | ||||||||
Number of rental days | 30,338,815 | 30,616,395 | (277,580 | ) | (0.9 | %) | ||||||||||
Vehicle utilization | 81.3 | % | 81.5 | % | (0.2) p.p. | N/M |
$ Increase/ | % Increase/ | |||||||||||||||
2010 | 2009 | (decrease) | (decrease) | |||||||||||||
(in millions) | ||||||||||||||||
Vehicle rentals | $ | 1,473.0 | $ | 1,472.9 | $ | 0.1 | 0.0 | % | ||||||||
Other | 64.2 | 73.3 | (9.1 | ) | (12.5 | %) | ||||||||||
Total revenues | $ | 1,537.2 | $ | 1,546.2 | $ | (9.0 | ) | (0.6 | %) | |||||||
Vehicle rental metrics: | ||||||||||||||||
Average number of vehicles operated | 102,291 | 102,948 | (657 | ) | (0.6 | %) | ||||||||||
Average revenue per day | $48.55 | $48.11 | $0.44 | 0.9 | % | |||||||||||
Number of rental days | 30,338,815 | 30,616,395 | (277,580 | ) | (0.9 | %) | ||||||||||
Vehicle utilization | 81.3 | % | 81.5 | % | (0.2) p.p. | N/ | M |
$ Increase/ | % Increase/ | |||||||||||||||
2010 | 2009 | (decrease) | (decrease) | |||||||||||||
(in millions) | ||||||||||||||||
Direct vehicle and operating | $ | 745.5 | $ | 768.5 | $ | (23.0 | ) | (3.0 | %) | |||||||
Vehicle depreciation and lease charges, net | 299.2 | 426.1 | (126.9 | ) | (29.8 | %) | ||||||||||
Selling, general and administrative | 209.3 | 200.3 | 9.0 | 4.5 | % | |||||||||||
Interest expense, net of interest income | 89.3 | 96.6 | (7.3 | ) | (7.5 | %) | ||||||||||
Long-lived asset impairment | 1.1 | 2.6 | (1.5 | ) | 59.2 | % | ||||||||||
Total expenses | $ | 1,344.4 | $ | 1,494.1 | $ | (149.7 | ) | (10.0 | %) | |||||||
(Increase) decrease in fair value of derivatives | $ | (28.7 | ) | $ | (28.8 | ) | $ | 0.1 | (0.5 | %) |
Ø | Communications and computer expenses decreased $5.7 million due to cost reduction initiatives. |
Ø |
Ø | Personnel-related expenses decreased $4.9 million. Approximately $3.5 million of the decrease resulted from a reduction in the number of employees attributable to lower transaction levels and continued cost efficiency initiatives, while the Company also realized a $3.9 million decrease in group insurance expense due to favorable claims and |
Ø | Bad debt expense decreased $3.3 million due to improved collection experience in 2010 and the bankruptcy of one of the Company’s tour operators in 2009. |
Ø | Facility and airport concession expenses decreased $1.8 million due to a decrease in rent expense of $1.4 million, primarily due to company-owned store closures and a decrease in concession fees of $0.4 million. |
Ø | All other direct vehicle and operating expenses decreased $1.8 million. |
Ø | Vehicle depreciation expense decreased $98.5 million, primarily resulting from a 19.8% decrease in the average depreciation rate due to significantly improved conditions in the used car market, extended vehicle holding periods, fleet consisting of various vehicle manufacturers and of more diversified vehicle types, and process improvements made by the Company in vehicle remarketing practices, coupled with a 2.0% decrease in the average depreciable fleet. |
Ø | Net vehicle gains on disposal of risk vehicles (reductions to net vehicle depreciation and lease charges), which effectively represent revisions to previous estimates of vehicle depreciation charges by reducing vehicle depreciation and lease charges, increased $28.0 million from a $35.1 million gain in 2009 to a $63.1 million gain in 2010. This increase in gains on vehicle dispositions resulted from more units sold during 2010 and a higher average gain per unit as compared to 2009, attributable to a stronger resale market in 2010 compared to 2009. |
Ø | Lease charges for vehicles leased from third parties decreased $0.4 million in 2010. |
Ø | Merger-related costs incurred in 2010 totaled $22.6 million. |
Ø | Outsourcing expenses decreased $6.2 million due primarily to a lower fee attributable to fewer IT-related projects and to a greater |
Ø | Outside services expense decreased $3.6 million primarily due to reduced consulting expense. |
Ø | The change in the market value of investments in the Company’s deferred compensation and retirement plans decreased selling, general and administrative expenses by $1.8 million in 2010 compared to 2009, which was offset by a corresponding gain on those investments that is recognized in other revenue and, therefore, did not impact net income. |
Ø | Sales and marketing expense decreased $0.7 million due primarily to a decrease in print media, marketing programs tied to transaction levels and reduced promotional advertising expenses. |
Ø | All other selling, general and administrative expenses decreased by $1.3 million. |
$ Increase/ | % Increase/ | |||||||||||||||
2009 | 2008 | (decrease) | (decrease) | |||||||||||||
(in millions) | ||||||||||||||||
Vehicle rentals | $ | 1,472.9 | $ | 1,616.2 | $ | (143.3 | ) | (8.9 | %) | |||||||
Other | 73.3 | 81.8 | (8.5 | ) | (10.4 | %) | ||||||||||
Total revenues | $ | 1,546.2 | $ | 1,698.0 | $ | (151.8 | ) | (8.9 | %) | |||||||
Vehicle rental metrics: | ||||||||||||||||
Average number of vehicles operated | 102,948 | 120,309 | (17,361 | ) | (14.4 | %) | ||||||||||
Average revenue per day | $ | 48.11 | $ | 43.82 | $ | 4.29 | 9.8 | % | ||||||||
Number of rental days | 30,616,395 | 36,879,641 | (6,263,246 | ) | (17.0 | %) | ||||||||||
Vehicle utilization | 81.5 | % | 83.8 | % | (2.3) p.p. | N/M |
$ Increase/ | % Increase/ | |||||||||||||||
2009 | 2008 | (decrease) | (decrease) | |||||||||||||
(in millions) | ||||||||||||||||
Direct vehicle and operating | $ | 768.5 | $ | 888.3 | $ | (119.8 | ) | (13.5 | %) | |||||||
Vehicle depreciation and lease charges, net | 426.1 | 539.4 | (113.3 | ) | (21.0 | %) | ||||||||||
Selling, general and administrative | 200.3 | 213.7 | (13.4 | ) | (6.2 | %) | ||||||||||
Interest expense, net of interest income | 96.6 | 110.5 | (13.9 | ) | (12.6 | %) | ||||||||||
Goodwill and long-lived asset impairment | 2.6 | 366.8 | (364.2 | ) | N/M | |||||||||||
Total expenses | $ | 1,494.1 | $ | 2,118.7 | $ | (624.6 | ) | (29.5 | %) | |||||||
(Increase) decrease in fair value of derivatives | $ | (28.8 | ) | $ | 36.1 | $ | 64.9 | 179.9 | % |
Payments due or commitment expiration by period | Payments due or commitment expiration by period | |||||||||||||||||||||||||||||||||||||||
(in thousands) | (in thousands) | |||||||||||||||||||||||||||||||||||||||
Beyond | Beyond | |||||||||||||||||||||||||||||||||||||||
2011 | 2012-2013 | 2014-2015 | 2015 | Total | 2012 | 2013-2014 | 2015-2016 | 2016 | Total | |||||||||||||||||||||||||||||||
Contractual cash obligations: | ||||||||||||||||||||||||||||||||||||||||
Asset-backed medium-term notes (1) | $ | 532,009 | $ | 509,312 | $ | - | $ | - | $ | 1,041,321 | $ | 528,177 | $ | 452,437 | $ | 503,048 | $ | - | $ | 1,483,662 | ||||||||||||||||||||
Asset-backed variable funding notes (1) | 14,079 | 212,557 | 226,636 | 4,800 | 4,800 | - | - | 9,600 | ||||||||||||||||||||||||||||||||
Other short-term borrowings (1) | 51,718 | - | - | - | 51,718 | |||||||||||||||||||||||||||||||||||
Subtotal - Vehicle debt and obligations | 597,806 | 721,869 | - | - | 1,319,675 | |||||||||||||||||||||||||||||||||||
Term Loan | 14,143 | 145,730 | - | - | 159,873 | |||||||||||||||||||||||||||||||||||
Subtotal - Non-vehicle debt | 14,143 | 145,730 | - | - | 159,873 | |||||||||||||||||||||||||||||||||||
Total debt and other obligations | 611,949 | 867,599 | - | - | 1,479,548 | 532,977 | 457,237 | 503,048 | - | 1,493,262 | ||||||||||||||||||||||||||||||
Operating lease commitments | 42,266 | 62,363 | 36,577 | 56,752 | 197,958 | 40,429 | 58,189 | 37,511 | 48,333 | 184,462 | ||||||||||||||||||||||||||||||
Airport concession fee commitments | 94,645 | 156,206 | 81,431 | 131,822 | 464,104 | 98,351 | 147,714 | 80,996 | 130,771 | 457,832 | ||||||||||||||||||||||||||||||
Vehicle purchase commitments | 1,028,724 | - | - | - | 1,028,724 | 1,255,589 | - | - | - | 1,255,589 | ||||||||||||||||||||||||||||||
Other commitments | 26,101 | 1,167 | - | - | 27,268 | 23,682 | 31,086 | - | - | 54,768 | ||||||||||||||||||||||||||||||
Total contractual cash obligations | $ | 1,803,685 | $ | 1,087,335 | $ | 118,008 | $ | 188,574 | $ | 3,197,602 | $ | 1,951,028 | $ | 694,226 | $ | 621,555 | $ | 179,104 | $ | 3,445,913 | ||||||||||||||||||||
Other commercial commitments: | ||||||||||||||||||||||||||||||||||||||||
Letters of credit | $ | 82,765 | $ | 39,750 | $ | - | $ | - | $ | 122,515 | $ | 127,489 | $ | 75,600 | $ | - | $ | - | $ | 203,089 |
(1) | Further discussion of asset-backed medium-term notes and asset-backed VFNs |
· | Vehicle rental revenues are projected to be up |
· | Vehicle depreciation costs for the full year of |
o | The Company is utilizing a Manheim index of 124 for the full year of 2012 for purposes of estimating residual values and depreciation rates. |
o | Gains on sales of vehicles in 2012 are expected to moderate significantly on both an aggregate dollar and per unit basis compared to vehicle gains recorded in 2011. This decrease is the result of continued refinements of residual value assumptions to more closely align with market conditions at the time of sale. |
· | Interest expense is expected to decline significantly |
Full Year | Full Year | |||||||||||||||||||||||
2011 | 2010 | 2009 | 2012 | 2011 | 2010 | |||||||||||||||||||
(in millions) | (in millions) | |||||||||||||||||||||||
Reconciliation of Pretax income to | (forecasted) | (actual) | (actual) | (forecasted) | (actual) | (actual) | ||||||||||||||||||
Corporate Adjusted EBITDA | ||||||||||||||||||||||||
Pretax income (net income plus income tax expense) | $131 - $156 | $ | 221 | $ | 81 | |||||||||||||||||||
Pretax income | $231 - $256 | $ | 261 | $ | 221 | |||||||||||||||||||
(Increase) decrease in fair value of derivatives | - | (29 | ) | (29 | ) | - | (3 | ) | (29 | ) | ||||||||||||||
Non-vehicle interest expense | 10 | 10 | 13 | 10 | 11 | 10 | ||||||||||||||||||
Non-vehicle depreciation | 19 | 20 | 19 | 19 | 19 | 20 | ||||||||||||||||||
Amortization | 7 | 7 | 8 | 7 | 7 | 7 | ||||||||||||||||||
Non-cash stock incentives | 4 | 5 | 5 | 8 | 3 | 5 | ||||||||||||||||||
Long-lived asset impairment | - | 1 | 2 | - | - | 1 | ||||||||||||||||||
Merger-related expenses | 4 | 23 | - | - | 5 | 23 | ||||||||||||||||||
Corporate Adjusted EBITDA, excluding merger-related expenses | $175 - $200 | $ | 258 | $ | 99 | $275 - $300 | $ | 303 | $ | 258 | ||||||||||||||
(a) Merger-related expenses include legal, litigation, advisory and other fees related to a potential merger transaction. | ||||||||||||||||||||||||
(a) No amounts were forecasted for 2012. | (a) No amounts were forecasted for 2012. | |||||||||||||||||||||||
(b) No amounts were forecasted for 2011. | ||||||||||||||||||||||||
(b) Merger-related expenses include legal, litigation, advisory and other fees related to a potential merger transaction. | (b) Merger-related expenses include legal, litigation, advisory and other fees related to a potential merger transaction. | |||||||||||||||||||||||
(c) Amount for 2011 represents the estimated merger-related expenses for the first quarter of 2011 only. | ||||||||||||||||||||||||
Fair Value | ||||||||||||||||||||||||||||||||
Expected Maturity Dates | December 31, | |||||||||||||||||||||||||||||||
as of December 31, 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | Thereafter | Total | 2010 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||||||||
Debt: | ||||||||||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
floating rates (1) | $ | 500,000 | $ | 700,000 | $ | - | $ | - | $ | - | $ | - | $ | 1,200,000 | $ | 1,178,875 | ||||||||||||||||
Weighted average interest rates | 0.80 | % | 2.13 | % | - | - | - | - | ||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
fixed rates | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||||||
Weighted average interest rates | - | - | - | - | - | - | ||||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
Canadian dollar denominated | $ | 49,118 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 49,118 | $ | 49,118 | ||||||||||||||||
Weighted average interest rates | 3.43 | % | - | - | - | - | - | |||||||||||||||||||||||||
Non-vehicle debt - term loan | $ | 10,000 | $ | 10,000 | $ | 128,125 | $ | - | $ | - | $ | - | $ | 148,125 | $ | 146,459 | ||||||||||||||||
Weighted average interest rates | 2.89 | % | 3.60 | % | 4.70 | % | - | - | - | |||||||||||||||||||||||
Interest Rate Swaps: | ||||||||||||||||||||||||||||||||
Variable to Fixed | $ | 500,000 | $ | 500,000 | $ | - | $ | - | $ | - | $ | - | $ | 1,000,000 | $ | 1,036,888 | ||||||||||||||||
Average pay rate | 5.27 | % | 5.16 | % | - | - | - | - | ||||||||||||||||||||||||
Average receive rate | 0.39 | % | 1.10 | % | - | - | - | - | ||||||||||||||||||||||||
(1) Floating rate vehicle debt and obligations include $500 million relating to the Series 2006-1 notes and the $500 million Series 2007-1 | ||||||||||||||||||||||||||||||||
notes swapped from floating interest rates to fixed interest rates, and the $200 million Series 2010-1 VFN. |
Fair Value | ||||||||||||||||||||||||||||||||
Expected Maturity Dates | December 31, | |||||||||||||||||||||||||||||||
as of December 31, 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | Thereafter | Total | 2011 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||||||||
Debt: | ||||||||||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
floating rates | $ | 500,000 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 500,000 | $ | 495,820 | ||||||||||||||||
Weighted average interest rates (1) | 0.80 | % | - | - | - | - | - | |||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
fixed rates | $ | - | $ | - | $ | 400,000 | $ | 500,000 | $ | - | $ | - | $ | 900,000 | $ | 899,292 | ||||||||||||||||
Weighted average interest rates | - | - | 2.88 | % | 3.08 | % | - | - | ||||||||||||||||||||||||
(1) The swap related to the Series 2007-1 notes was terminated on December 28, 2011 and the unamortized value remaining in other comprehensive income (loss) of $8.8 million will amortize into interest expense through July 2012. | ||||||||||||||||||||||||||||||||
Fair Value | ||||||||||||||||||||||||||||||||
Expected Maturity Dates | December 31, | |||||||||||||||||||||||||||||||
as of December 31, 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | Thereafter | Total | 2009 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||||||||
Debt: | ||||||||||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
floating rates (1) | $ | 390,000 | $ | 500,000 | $ | 500,000 | $ | - | $ | - | $ | - | $ | 1,390,000 | $ | 1,307,100 | ||||||||||||||||
Weighted average interest rates | 1.05 | % | 2.57 | % | 3.66 | % | - | - | - | |||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
fixed rates | $ | 110,000 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 110,000 | $ | 110,408 | ||||||||||||||||
Weighted average interest rates | 4.59 | % | - | - | - | - | - | |||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
Canadian dollar denominated | $ | 69,690 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 69,690 | $ | 69,690 | ||||||||||||||||
Weighted average interest rates | 1.21 | % | - | - | - | - | - | |||||||||||||||||||||||||
Non-vehicle debt - term loan | $ | 10,000 | $ | 10,000 | $ | 10,000 | $ | 128,125 | $ | - | $ | - | $ | 158,125 | $ | 143,894 | ||||||||||||||||
Weighted average interest rates | 3.18 | % | 4.65 | % | 5.82 | % | 6.57 | % | - | - | ||||||||||||||||||||||
Interest Rate Swaps: | ||||||||||||||||||||||||||||||||
Variable to Fixed | $ | 390,000 | $ | 500,000 | $ | 500,000 | $ | - | $ | - | $ | - | $ | 1,390,000 | $ | 1,465,371 | ||||||||||||||||
Average pay rate | 4.89 | % | 5.27 | % | 5.16 | % | - | - | - | |||||||||||||||||||||||
Average receive rate | 0.68 | % | 2.15 | % | 3.32 | % | - | - | - | |||||||||||||||||||||||
(1) Floating rate vehicle debt and obligations include $290 million relating to the Series 2005-1 notes, the $600 million Series 2006-1 notes | ||||||||||||||||||||||||||||||||
and the $500 million Series 2007-1 notes swapped from floating interest rates to fixed interest rates. |
Fair Value | ||||||||||||||||||||||||||||||||
Expected Maturity Dates | December 31, | |||||||||||||||||||||||||||||||
as of December 31, 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | Thereafter | Total | 2010 | ||||||||||||||||||||||||
(in thousands) | ||||||||||||||||||||||||||||||||
Debt: | ||||||||||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
floating rates (1) | $ | 500,000 | $ | 700,000 | $ | - | $ | - | $ | - | $ | - | $ | 1,200,000 | $ | 1,178,875 | ||||||||||||||||
Weighted average interest rates | 0.80 | % | 2.13 | % | - | - | - | - | ||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
fixed rates | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||||||
Weighted average interest rates | - | - | - | - | - | - | ||||||||||||||||||||||||||
Vehicle debt and obligations- | ||||||||||||||||||||||||||||||||
Canadian dollar denominated | $ | 49,118 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 49,118 | $ | 49,118 | ||||||||||||||||
Weighted average interest rates | 3.43 | % | - | - | - | - | - | |||||||||||||||||||||||||
Non-vehicle debt - term loan | $ | 10,000 | $ | 10,000 | $ | 128,125 | $ | - | $ | - | $ | - | $ | 148,125 | $ | 146,459 | ||||||||||||||||
Weighted average interest rates | 2.89 | % | 3.60 | % | 4.70 | % | - | - | - | |||||||||||||||||||||||
Interest Rate Swaps: | ||||||||||||||||||||||||||||||||
Variable to Fixed | $ | 500,000 | $ | 500,000 | $ | - | $ | - | $ | - | $ | - | $ | 1,000,000 | $ | 1,036,888 | ||||||||||||||||
Average pay rate | 5.27 | % | 5.16 | % | - | - | - | - | ||||||||||||||||||||||||
Average receive rate | 0.39 | % | 1.10 | % | - | - | - | - | ||||||||||||||||||||||||
(1) Floating rate vehicle debt and obligations include $500 million relating to the Series 2006-1 notes and the $500 million Series 2007-1 notes swapped from floating interest rates to fixed interest rates, and the $200 million Series 2010-1 VFN. |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||
YEAR ENDED DECEMBER 31, 2011, 2010 AND 2009 | ||||||||||||
(In Thousands Except Per Share Data) | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
REVENUES: | ||||||||||||
Vehicle rentals | $ | 1,484,324 | $ | 1,473,023 | $ | 1,472,918 | ||||||
Other | 64,604 | 64,137 | 73,331 | |||||||||
Total revenues | 1,548,928 | 1,537,160 | 1,546,249 | |||||||||
COSTS AND EXPENSES: | ||||||||||||
Direct vehicle and operating | 751,468 | 745,535 | 768,456 | |||||||||
Vehicle depreciation and lease charges, net | 270,957 | 299,200 | 426,092 | |||||||||
Selling, general and administrative | 191,043 | 209,341 | 200,389 | |||||||||
Interest expense, net of interest income of | ||||||||||||
$1,467, $1,584 and $6,218, respectively | 77,462 | 89,303 | 96,560 | |||||||||
Long-lived asset impairment | - | 1,057 | 2,592 | |||||||||
Total costs and expenses | 1,290,930 | 1,344,436 | 1,494,089 | |||||||||
(Increase) decrease in fair value of derivatives | (3,244 | ) | (28,694 | ) | (28,848 | ) | ||||||
INCOME BEFORE INCOME TAXES | 261,242 | 221,418 | 81,008 | |||||||||
INCOME TAX EXPENSE | 101,692 | 90,202 | 35,986 | |||||||||
NET INCOME | $ | 159,550 | $ | 131,216 | $ | 45,022 | ||||||
BASIC EARNINGS PER SHARE | $ | 5.51 | $ | 4.58 | $ | 1.98 | ||||||
DILUTED EARNINGS PER SHARE | $ | 5.11 | $ | 4.34 | $ | 1.88 | ||||||
See notes to consolidated financial statements. |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
DECEMBER 31, 2011 AND 2010 | ||||||||
(In Thousands Except Share and Per Share Data) | ||||||||
2011 | 2010 | |||||||
ASSETS | ||||||||
Cash and cash equivalents | $ | 508,648 | $ | 463,153 | ||||
Cash and cash equivalents-required minimum balance | - | 100,000 | ||||||
Restricted cash and investments | 353,265 | 277,407 | ||||||
Receivables, net | 95,360 | 69,456 | ||||||
Prepaid expenses and other assets | 65,959 | 67,482 | ||||||
Revenue-earning vehicles, net | 1,467,835 | 1,341,822 | ||||||
Property and equipment, net | 84,278 | 90,228 | ||||||
Income taxes receivable | 18,786 | 65,803 | ||||||
Software, net | 21,535 | 24,177 | ||||||
Total assets | $ | 2,615,666 | $ | 2,499,528 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
LIABILITIES: | ||||||||
Accounts payable | $ | 54,377 | $ | 45,483 | ||||
Accrued liabilities | 124,185 | 167,545 | ||||||
Deferred income tax liability | 342,962 | 242,930 | ||||||
Vehicle insurance reserves | 86,515 | 107,720 | ||||||
Debt and other obligations | 1,399,955 | 1,397,243 | ||||||
Total liabilities | 2,007,994 | 1,960,921 | ||||||
COMMITMENTS AND CONTINGENCIES | ||||||||
STOCKHOLDERS' EQUITY: | ||||||||
Preferred stock, $.01 par value: | - | - | ||||||
Authorized 10,000,000 shares; none outstanding | ||||||||
Common stock, $.01 par value: | ||||||||
Authorized 50,000,000 shares; | ||||||||
36,048,606 and 35,197,167 issued, respectively, and | ||||||||
29,556,887 and 28,763,452 outstanding, respectively | 361 | 352 | ||||||
Additional capital | 848,843 | 940,844 | ||||||
Accumulated deficit | (2,419 | ) | (161,969 | ) | ||||
Accumulated other comprehensive loss | (7,617 | ) | (12,329 | ) | ||||
Treasury stock, at cost (6,491,719 and 6,433,715 shares, respectively) | (231,496 | ) | (228,291 | ) | ||||
Total stockholders' equity | 607,672 | 538,607 | ||||||
Total liabilities and stockholders' equity | $ | 2,615,666 | $ | 2,499,528 | ||||
See notes to consolidated financial statements. |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||||||||||||||||||||||||||
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY AND COMPREHENSIVE INCOME | ||||||||||||||||||||||||||||||||
YEAR ENDED DECEMBER 31, 2011, 2010 AND 2009 | ||||||||||||||||||||||||||||||||
(In Thousands Except Share and Per Share Data) | ||||||||||||||||||||||||||||||||
Retained | Accumulated | |||||||||||||||||||||||||||||||
Common Stock | Earnings | Other | Total | |||||||||||||||||||||||||||||
$.01 Par Value | Additional | (Accumulated | Comprehensive | Treasury Stock | Stockholders’ | |||||||||||||||||||||||||||
Shares | Amount | Capital | Deficit) | Income (Loss) | Shares | Amount | Equity | |||||||||||||||||||||||||
BALANCE, January 1, 2009 | 28,039,658 | $ | 280 | $ | 803,304 | $ | (338,207 | ) | $ | (29,388 | ) | (6,414,906 | ) | $ | (227,569 | ) | $ | 208,420 | ||||||||||||||
Issuance of common shares for director compensation | 49,995 | 1 | 531 | - | - | - | - | 532 | ||||||||||||||||||||||||
Tax benefit of stock option transactions | - | - | 1,281 | - | - | - | - | 1,281 | ||||||||||||||||||||||||
Stock option transactions | 136,500 | 1 | 2,289 | - | - | - | - | 2,290 | ||||||||||||||||||||||||
Share-based payment plans | - | - | 4,698 | - | - | - | - | 4,698 | ||||||||||||||||||||||||
Issuance of common stock in settlement of vested performance shares | 64,190 | 1 | - | - | - | - | - | 1 | ||||||||||||||||||||||||
Issuance of common stock in settlement of vested restricted stock | 48,508 | - | - | - | - | - | - | - | ||||||||||||||||||||||||
Public stock offering, net of fees | 6,612,500 | 66 | 120,590 | 120,656 | ||||||||||||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||||||||||||
Net income | 45,022 | 45,022 | ||||||||||||||||||||||||||||||
Interest rate swap | 8,662 | 8,662 | ||||||||||||||||||||||||||||||
Foreign currency translation | 2,352 | 2,352 | ||||||||||||||||||||||||||||||
Total comprehensive income | 56,036 | |||||||||||||||||||||||||||||||
BALANCE, DECEMBER 31, 2009 | 34,951,351 | 349 | 932,693 | (293,185 | ) | (18,374 | ) | (6,414,906 | ) | (227,569 | ) | 393,914 | ||||||||||||||||||||
Tax benefit of stock option transactions | - | - | 381 | - | - | - | - | 381 | ||||||||||||||||||||||||
Stock option transactions | 172,733 | 2 | 2,985 | - | - | - | - | 2,987 | ||||||||||||||||||||||||
Share-based payment plans | - | - | 4,785 | - | - | - | - | 4,785 | ||||||||||||||||||||||||
Issuance of common stock in settlement of vested performance shares | 35,910 | - | - | - | - | (11,818 | ) | (382 | ) | (382 | ) | |||||||||||||||||||||
Issuance of common stock in settlement of vested restricted stock | 37,173 | 1 | - | - | - | (6,991 | ) | (340 | ) | (339 | ) | |||||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||||||||||||
Net income | 131,216 | 131,216 | ||||||||||||||||||||||||||||||
Interest rate swap | 5,543 | 5,543 | ||||||||||||||||||||||||||||||
Foreign currency translation | 502 | 502 | ||||||||||||||||||||||||||||||
Total comprehensive income | 137,261 | |||||||||||||||||||||||||||||||
BALANCE, DECEMBER 31, 2010 | 35,197,167 | 352 | 940,844 | (161,969 | ) | (12,329 | ) | (6,433,715 | ) | (228,291 | ) | 538,607 | ||||||||||||||||||||
Stock option transactions | 672,394 | 7 | 4,765 | - | - | - | - | 4,772 | ||||||||||||||||||||||||
Share-based payment plans | - | - | 3,234 | - | - | - | - | 3,234 | ||||||||||||||||||||||||
Issuance of common stock in settlement of vested performance shares | 145,428 | 2 | - | - | - | (52,388 | ) | (2,747 | ) | (2,745 | ) | |||||||||||||||||||||
Issuance of common stock in settlement of vested restricted stock | 33,617 | - | - | - | - | (5,616 | ) | (458 | ) | (458 | ) | |||||||||||||||||||||
Forward stock repurchase agreement | - | - | (100,000 | ) | - | - | - | - | (100,000 | ) | ||||||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||||||||||||
Net income | 159,550 | 159,550 | ||||||||||||||||||||||||||||||
Interest rate swap | 10,259 | 10,259 | ||||||||||||||||||||||||||||||
Foreign currency translation | (5,547 | ) | (5,547 | ) | ||||||||||||||||||||||||||||
Total comprehensive income | 164,262 | |||||||||||||||||||||||||||||||
BALANCE, DECEMBER 31, 2011 | 36,048,606 | $ | 361 | $ | 848,843 | $ | (2,419 | ) | $ | (7,617 | ) | (6,491,719 | ) | $ | (231,496 | ) | $ | 607,672 | ||||||||||||||
See notes to consolidated financial statements. |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||
YEAR ENDED DECEMBER 31, 2010, 2009 AND 2008 | ||||||||||||
(In Thousands Except Per Share Data) | ||||||||||||
2010 | 2009 | 2008 | ||||||||||
REVENUES: | ||||||||||||
Vehicle rentals | $ | 1,473,023 | $ | 1,472,918 | $ | 1,616,153 | ||||||
Other | 64,137 | 73,331 | 81,840 | |||||||||
Total revenues | 1,537,160 | 1,546,249 | 1,697,993 | |||||||||
COSTS AND EXPENSES: | ||||||||||||
Direct vehicle and operating | 745,535 | 768,456 | 888,294 | |||||||||
Vehicle depreciation and lease charges, net | 299,200 | 426,092 | 539,406 | |||||||||
Selling, general and administrative | 209,341 | 200,389 | 213,734 | |||||||||
Interest expense, net of interest income of | ||||||||||||
$1,584, $6,218 and $13,239 | 89,303 | 96,560 | 110,424 | |||||||||
Goodwill and long-lived asset impairment | 1,057 | 2,592 | 366,822 | |||||||||
Total costs and expenses | 1,344,436 | 1,494,089 | 2,118,680 | |||||||||
(Increase) decrease in fair value of derivatives | (28,694 | ) | (28,848 | ) | 36,114 | |||||||
INCOME (LOSS) BEFORE INCOME TAXES | 221,418 | 81,008 | (456,801 | ) | ||||||||
INCOME TAX EXPENSE (BENEFIT) | 90,202 | 35,986 | (110,083 | ) | ||||||||
NET INCOME (LOSS) | $ | 131,216 | $ | 45,022 | $ | (346,718 | ) | |||||
BASIC EARNINGS (LOSS) PER SHARE | $ | 4.58 | $ | 1.98 | $ | (16.22 | ) | |||||
DILUTED EARNINGS (LOSS) PER SHARE | $ | 4.34 | $ | 1.88 | $ | (16.22 | ) | |||||
See notes to consolidated financial statements. |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||
YEAR ENDED DECEMBER 31, 2011, 2010 AND 2009 | ||||||||||||
(In Thousands) | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||||||
Net income | $ | 159,550 | $ | 131,216 | $ | 45,022 | ||||||
Adjustments to reconcile net income to net cash provided by | ||||||||||||
operating activities: | ||||||||||||
Depreciation: | ||||||||||||
Vehicle depreciation | 317,814 | 362,233 | 460,660 | |||||||||
Non-vehicle depreciation | 19,381 | 20,190 | 19,200 | |||||||||
Net gains from disposition of revenue-earning vehicles | (46,887 | ) | (63,084 | ) | (35,086 | ) | ||||||
Amortization | 7,505 | 7,290 | 7,994 | |||||||||
Performance share incentive, stock option and restricted stock plans | 3,234 | 4,785 | 4,698 | |||||||||
Interest income earned on restricted cash and investments | (397 | ) | (653 | ) | (3,202 | ) | ||||||
Long-lived asset impairment | - | 1,057 | 2,592 | |||||||||
Provision for (recovery of) losses on receivables | 43 | (399 | ) | 3,129 | ||||||||
Deferred income taxes | 86,652 | 76,957 | 16,854 | |||||||||
Change in fair value of derivatives | (3,244 | ) | (28,694 | ) | (28,848 | ) | ||||||
Change in assets and liabilities, net of acquisitions: | ||||||||||||
Income taxes payable/receivable | 47,017 | (61,357 | ) | (3,220 | ) | |||||||
Receivables | (7,675 | ) | 6,442 | 28,574 | ||||||||
Prepaid expenses and other assets | 14,433 | 6,337 | 12,275 | |||||||||
Accounts payable | 2,810 | (1,531 | ) | (2,522 | ) | |||||||
Accrued liabilities | (6,472 | ) | 1,687 | 6,761 | ||||||||
Vehicle insurance reserves | (21,205 | ) | (864 | ) | (1,726 | ) | ||||||
Other | (5,265 | ) | 329 | 2,769 | ||||||||
Net cash provided by operating activities | 567,294 | 461,941 | 535,924 | |||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||||||
Revenue-earning vehicles - Purchases | (1,168,532 | ) | (1,239,088 | ) | (1,060,251 | ) | ||||||
Revenue-earning vehicles - Proceeds from sales | 757,766 | 856,775 | 1,477,368 | |||||||||
Change in cash and cash equivalents - required minimum balance | 100,000 | - | (100,000 | ) | ||||||||
Net change in restricted cash and investments | (75,461 | ) | 345,786 | (22,750 | ) | |||||||
Property, equipment and software - Purchases | (16,633 | ) | (23,031 | ) | (15,508 | ) | ||||||
Property, equipment and software - Proceeds from sales | 359 | 464 | 104 | |||||||||
Acquisition of businesses, net of cash acquired | - | - | (8 | ) | ||||||||
Net cash provided by (used in) investing activities | (402,501 | ) | (59,094 | ) | 278,955 | |||||||
(Continued) |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||
DECEMBER 31, 2010 AND 2009 | ||||||||
(In Thousands Except Share and Per Share Data) | ||||||||
2010 | 2009 | |||||||
ASSETS | ||||||||
Cash and cash equivalents | $ | 463,153 | $ | 400,404 | ||||
Cash and cash equivalents-required minimum balance | 100,000 | 100,000 | ||||||
Restricted cash and investments | 277,407 | 622,540 | ||||||
Receivables, net | 69,456 | 104,645 | ||||||
Prepaid expenses and other assets | 67,482 | 63,377 | ||||||
Revenue-earning vehicles, net | 1,341,822 | 1,228,637 | ||||||
Property and equipment, net | 90,228 | 96,198 | ||||||
Income taxes receivable | 65,803 | 4,065 | ||||||
Software, net | 24,177 | 26,071 | ||||||
Total assets | $ | 2,499,528 | $ | 2,645,937 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
LIABILITIES: | ||||||||
Accounts payable | $ | 45,483 | $ | 48,366 | ||||
Accrued liabilities | 167,545 | 204,340 | ||||||
Deferred income tax liability | 242,930 | 162,923 | ||||||
Vehicle insurance reserves | 107,720 | 108,584 | ||||||
Debt and other obligations | 1,397,243 | 1,727,810 | ||||||
Total liabilities | 1,960,921 | 2,252,023 | ||||||
COMMITMENTS AND CONTINGENCIES | ||||||||
STOCKHOLDERS' EQUITY: | ||||||||
Preferred stock, $.01 par value: | - | - | ||||||
Authorized 10,000,000 shares; none outstanding | ||||||||
Common stock, $.01 par value: | ||||||||
Authorized 50,000,000 shares; | ||||||||
35,197,167 and 34,951,351 issued, respectively, and | ||||||||
28,763,452 and 28,536,445 outstanding, respectively | 352 | 349 | ||||||
Additional capital | 940,844 | 932,693 | ||||||
Accumulated deficit | (161,969 | ) | (293,185 | ) | ||||
Accumulated other comprehensive loss | (12,329 | ) | (18,374 | ) | ||||
Treasury stock, at cost (6,433,715 and 6,414,906 shares, respectively) | (228,291 | ) | (227,569 | ) | ||||
Total stockholders' equity | 538,607 | 393,914 | ||||||
Total liabilities and stockholders' equity | $ | 2,499,528 | $ | 2,645,937 | ||||
See notes to consolidated financial statements. |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||
YEAR ENDED DECEMBER 31, 2011, 2010 AND 2009 | ||||||||||||
(In Thousands) | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||||||
Debt and other obligations: | ||||||||||||
Proceeds from vehicle debt and other obligations | 1,537,903 | 526,876 | 44,781 | |||||||||
Payments of vehicle debt and other obligations | (1,387,073 | ) | (847,448 | ) | (785,225 | ) | ||||||
Payments of non-vehicle debt | (148,125 | ) | (10,000 | ) | (20,000 | ) | ||||||
Issuance of common shares | 4,774 | 2,988 | 129,583 | |||||||||
Common stock offering costs | - | - | (6,635 | ) | ||||||||
Net settlement of employee withholding taxes on share-based awards | (3,205 | ) | (722 | ) | - | |||||||
Early termination of interest rate swap | (8,815 | ) | - | - | ||||||||
Forward stock repurchase agreement | (100,000 | ) | - | - | ||||||||
Financing issue costs | (14,757 | ) | (11,792 | ) | (6,615 | ) | ||||||
Net cash used in financing activities | (119,298 | ) | (340,098 | ) | (644,111 | ) | ||||||
CHANGE IN CASH AND CASH EQUIVALENTS | 45,495 | 62,749 | 170,768 | |||||||||
CASH AND CASH EQUIVALENTS: | ||||||||||||
Beginning of year | 463,153 | 400,404 | 229,636 | |||||||||
End of year | $ | 508,648 | $ | 463,153 | $ | 400,404 | ||||||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||||||||||||
Cash paid for (refund of): | ||||||||||||
Interest | $ | 66,559 | $ | 82,923 | $ | 96,569 | ||||||
Income taxes to (from) taxing authorities | $ | (31,965 | ) | $ | 74,745 | $ | 22,350 | |||||
SUPPLEMENTAL DISCLOSURES OF INVESTING AND FINANCING | ||||||||||||
NONCASH ACTIVITIES: | ||||||||||||
Sales and incentives related to revenue-earning vehicles | ||||||||||||
included in receivables | $ | 23,611 | $ | 5,340 | $ | 33,704 | ||||||
Purchases of revenue-earning vehicles included in | ||||||||||||
accounts payable | $ | 5,707 | $ | 1,261 | $ | 370 | ||||||
Purchases of property, equipment and software included | ||||||||||||
in accounts payable | $ | 2,309 | $ | 671 | $ | 2,914 | ||||||
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||||||||||||||||||||||||||
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY AND COMPREHENSIVE INCOME (LOSS) | ||||||||||||||||||||||||||||||||
YEAR ENDED DECEMBER 31, 2010, 2009 AND 2008 | ||||||||||||||||||||||||||||||||
(In Thousands Except Share and Per Share Data) | ||||||||||||||||||||||||||||||||
Retained | Accumulated | |||||||||||||||||||||||||||||||
Common Stock | Earnings | Other | Total | |||||||||||||||||||||||||||||
$.01 Par Value | Additional | (Accumulated | Comprehensive | Treasury Stock | Stockholders’ | |||||||||||||||||||||||||||
Shares | Amount | Capital | Deficit) | Income (Loss) | Shares | Amount | Equity | |||||||||||||||||||||||||
BALANCE, JANUARY 31, 2008 | 27,903,258 | $ | 278 | $ | 799,449 | $ | 8,511 | $ | (1,804 | ) | (6,414,906 | ) | $ | (227,569 | ) | $ | 578,865 | |||||||||||||||
Issuance of common shares for director compensation | 23,250 | - | 280 | - | - | - | - | 280 | ||||||||||||||||||||||||
Stock option transactions | 2,733 | 1 | 31 | - | - | - | - | 32 | ||||||||||||||||||||||||
Performance share incentive plan | - | - | 3,195 | - | - | - | - | 3,195 | ||||||||||||||||||||||||
Issuance of common stock in settlement of vested performance shares | 110,417 | 1 | - | - | - | - | - | 1 | ||||||||||||||||||||||||
Restricted stock for director compensation | - | - | 349 | - | - | - | - | 349 | ||||||||||||||||||||||||
Comprehensive loss: | ||||||||||||||||||||||||||||||||
Net loss | (346,718 | ) | (346,718 | ) | ||||||||||||||||||||||||||||
Interest rate swap | (20,973 | ) | (20,973 | ) | ||||||||||||||||||||||||||||
Foreign currency translation | (6,611 | ) | (6,611 | ) | ||||||||||||||||||||||||||||
Total comprehensive loss | (374,302 | ) | ||||||||||||||||||||||||||||||
BALANCE, DECEMBER 31, 2008 | 28,039,658 | 280 | 803,304 | (338,207 | ) | (29,388 | ) | (6,414,906 | ) | (227,569 | ) | 208,420 | ||||||||||||||||||||
Issuance of common shares for director compensation | 49,995 | 1 | 531 | - | - | - | - | 532 | ||||||||||||||||||||||||
Tax benefit of stock option transactions | - | - | 1,281 | - | - | - | - | 1,281 | ||||||||||||||||||||||||
Stock option transactions | 136,500 | 1 | 2,289 | - | - | - | - | 2,290 | ||||||||||||||||||||||||
Share-based payment plans | - | - | 4,698 | - | - | - | - | 4,698 | ||||||||||||||||||||||||
Issuance of common stock in settlement of vested performance shares | 64,190 | 1 | - | - | - | - | - | 1 | ||||||||||||||||||||||||
Issuance of common stock in settlement of vested restricted stock | 48,508 | - | - | - | - | - | - | - | ||||||||||||||||||||||||
Public stock offering, net of fees | 6,612,500 | 66 | 120,590 | 120,656 | ||||||||||||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||||||||||||
Net income | 45,022 | 45,022 | ||||||||||||||||||||||||||||||
Interest rate swap | 8,662 | 8,662 | ||||||||||||||||||||||||||||||
Foreign currency translation | 2,352 | 2,352 | ||||||||||||||||||||||||||||||
Total comprehensive income | 56,036 | |||||||||||||||||||||||||||||||
BALANCE, DECEMBER 31, 2009 | 34,951,351 | 349 | 932,693 | (293,185 | ) | (18,374 | ) | (6,414,906 | ) | (227,569 | ) | 393,914 | ||||||||||||||||||||
Tax benefit of stock option transactions | - | - | 381 | - | - | - | - | 381 | ||||||||||||||||||||||||
Stock option transactions | 172,733 | 2 | 2,985 | - | - | - | - | 2,987 | ||||||||||||||||||||||||
Share-based payment plans | - | - | 4,785 | - | - | - | - | 4,785 | ||||||||||||||||||||||||
Issuance of common stock in settlement of vested performance shares | 35,910 | - | - | - | - | (11,818 | ) | (382 | ) | (382 | ) | |||||||||||||||||||||
Issuance of common stock in settlement of vested restricted stock | 37,173 | 1 | - | - | - | (6,991 | ) | (340 | ) | (339 | ) | |||||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||||||||||||
Net income | 131,216 | 131,216 | ||||||||||||||||||||||||||||||
Interest rate swap | 5,543 | 5,543 | ||||||||||||||||||||||||||||||
Foreign currency translation | 502 | 502 | ||||||||||||||||||||||||||||||
Total comprehensive income | 137,261 | |||||||||||||||||||||||||||||||
BALANCE, DECEMBER 31, 2010 | 35,197,167 | $ | 352 | $ | 940,844 | $ | (161,969 | ) | $ | (12,329 | ) | (6,433,715 | ) | $ | (228,291 | ) | $ | 538,607 | ||||||||||||||
See notes to consolidated financial statements. |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES |
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS |
YEAR ENDED DECEMBER 31, 2011, 2010 AND 2009 |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||
YEAR ENDED DECEMBER 31, 2010, 2009 AND 2008 | ||||||||||||
(In Thousands) | ||||||||||||
2010 | 2009 | 2008 | ||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||||||
Net income (loss) | $ | 131,216 | $ | 45,022 | $ | (346,718 | ) | |||||
Adjustments to reconcile net income (loss) to net cash provided by | ||||||||||||
operating activities: | ||||||||||||
Depreciation: | ||||||||||||
Vehicle depreciation | 362,233 | 460,660 | 539,024 | |||||||||
Non-vehicle depreciation | 20,190 | 19,200 | 22,722 | |||||||||
Net gains from disposition of revenue-earning vehicles | (63,084 | ) | (35,086 | ) | (774 | ) | ||||||
Amortization | 7,290 | 7,994 | 7,355 | |||||||||
Goodwill and long-lived asset impairment | 1,057 | 2,592 | 366,822 | |||||||||
Interest income earned on restricted cash and investments | (653 | ) | (3,202 | ) | (8,922 | ) | ||||||
Performance share incentive, stock option and restricted stock plans | 4,785 | 4,698 | 3,917 | |||||||||
Provision for (recovery of) losses on receivables | (399 | ) | 3,129 | 7,878 | ||||||||
Deferred income taxes | 76,957 | 16,854 | (112,107 | ) | ||||||||
(Increase)/decrease in fair value of derivatives | (28,694 | ) | (28,848 | ) | 36,114 | |||||||
Change in assets and liabilities, net of acquisitions: | ||||||||||||
Income taxes receivable/payable | (61,357 | ) | (3,220 | ) | 10,489 | |||||||
Receivables | 6,442 | 28,574 | 4,942 | |||||||||
Prepaid expenses and other assets | 6,337 | 12,275 | 33,973 | |||||||||
Accounts payable | (1,531 | ) | (2,522 | ) | (27,931 | ) | ||||||
Accrued liabilities | 1,687 | 6,761 | (24,175 | ) | ||||||||
Vehicle insurance reserves | (864 | ) | (1,726 | ) | 276 | |||||||
Other | 329 | 2,769 | (5,730 | ) | ||||||||
Net cash provided by operating activities | 461,941 | 535,924 | 507,155 | |||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||||||
Revenue-earning vehicles: | ||||||||||||
Purchases | (1,239,088 | ) | (1,060,251 | ) | (2,249,227 | ) | ||||||
Proceeds from sales | 856,775 | 1,477,368 | 2,536,146 | |||||||||
Change in cash and cash equivalents - required minimum balance | - | (100,000 | ) | - | ||||||||
Net change in restricted cash and investments | 345,786 | (22,750 | ) | (454,721 | ) | |||||||
Property, equipment and software: | ||||||||||||
Purchases | (23,031 | ) | (15,508 | ) | (28,895 | ) | ||||||
Proceeds from sales | 464 | 104 | 399 | |||||||||
Acquisition of businesses, net of cash acquired | - | (8 | ) | (2,068 | ) | |||||||
Net cash provided by (used in) investing activities | (59,094 | ) | 278,955 | (198,366 | ) | |||||||
(Continued) |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. AND SUBSIDIARIES | ||||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||
YEAR ENDED DECEMBER 31, 2010, 2009 AND 2008 | ||||||||||||
(In Thousands) | ||||||||||||
2010 | 2009 | 2008 | ||||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||||||
Debt and other obligations: | ||||||||||||
Proceeds from vehicle debt and other obligations | 526,876 | 44,781 | 9,874,526 | |||||||||
Payments of vehicle debt and other obligations | (847,448 | ) | (785,225 | ) | (9,972,227 | ) | ||||||
Payments of non-vehicle debt | (10,000 | ) | (20,000 | ) | (70,625 | ) | ||||||
Issuance of common shares | 2,988 | 129,583 | 33 | |||||||||
Common stock offering costs | - | (6,635 | ) | - | ||||||||
Net settlement of employee withholding taxes on share-based awards | (722 | ) | - | (373 | ) | |||||||
Financing issue costs | (11,792 | ) | (6,615 | ) | (11,512 | ) | ||||||
Net cash used in financing activities | (340,098 | ) | (644,111 | ) | (180,178 | ) | ||||||
CHANGE IN CASH AND CASH EQUIVALENTS | 62,749 | 170,768 | 128,611 | |||||||||
CASH AND CASH EQUIVALENTS: | ||||||||||||
Beginning of year | 400,404 | 229,636 | 101,025 | |||||||||
End of year | $ | 463,153 | $ | 400,404 | $ | 229,636 | ||||||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||||||||||||
Cash paid for /(refund of): | ||||||||||||
Interest | $ | 82,923 | $ | 96,569 | $ | 114,753 | ||||||
Income taxes to (from) taxing authorities | $ | 74,745 | $ | 22,350 | $ | (8,486 | ) | |||||
SUPPLEMENTAL DISCLOSURES OF INVESTING AND FINANCING | ||||||||||||
NONCASH ACTIVITIES: | ||||||||||||
Sales and incentives related to revenue-earning vehicles | ||||||||||||
included in receivables | $ | 5,340 | $ | 33,704 | $ | 158,952 | ||||||
Purchases of revenue-earning vehicles included in | ||||||||||||
accounts payable | $ | 1,261 | $ | 370 | $ | - | ||||||
Purchases of property, equipment and software included | ||||||||||||
in accounts payable | $ | 671 | $ | 2,914 | $ | 924 | ||||||
See notes to consolidated financial statements. | ||||||||||||
(Concluded) |
1. | BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
EARNINGS PER SHARE |
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||||||||||||||||
(In Thousands, Except Share and Per Share Data) | (In Thousands, Except Share and Per Share Data) | |||||||||||||||||||||||
Net income (loss) | $ | 131,216 | $ | 45,022 | $ | (346,718 | ) | |||||||||||||||||
Net income | $ | 159,550 | $ | 131,216 | $ | 45,022 | ||||||||||||||||||
Basic EPS: | ||||||||||||||||||||||||
Weighted average common shares | 28,623,108 | 22,687,077 | 21,375,589 | 28,965,187 | 28,623,108 | 22,687,077 | ||||||||||||||||||
Basic EPS | $ | 4.58 | $ | 1.98 | $ | (16.22 | ) | $ | 5.51 | $ | 4.58 | $ | 1.98 | |||||||||||
Diluted EPS: | ||||||||||||||||||||||||
Weighted average common shares | 28,623,108 | 22,687,077 | 21,375,589 | 28,965,187 | 28,623,108 | 22,687,077 | ||||||||||||||||||
Shares contingently issuable: | ||||||||||||||||||||||||
Stock options | 1,226,089 | 762,673 | - | 1,913,783 | 1,226,089 | 762,673 | ||||||||||||||||||
Performance awards | 125,225 | 255,775 | - | |||||||||||||||||||||
Performance awards and non-vested shares | 94,261 | 125,225 | 255,775 | |||||||||||||||||||||
Employee compensation shares deferred | 49,374 | 105,402 | - | 47,232 | 49,374 | 105,402 | ||||||||||||||||||
Director compensation shares deferred | 221,485 | 155,611 | - | 220,778 | 221,485 | 155,611 | ||||||||||||||||||
Shares applicable to diluted | 30,245,281 | 23,966,538 | 21,375,589 | 31,241,241 | 30,245,281 | 23,966,538 | ||||||||||||||||||
Diluted EPS | $ | 4.34 | $ | 1.88 | $ | (16.22 | ) | $ | 5.11 | $ | 4.34 | $ | 1.88 | |||||||||||
RECEIVABLES |
December 31, | December 31, | |||||||||||||||
2010 | 2009 | 2011 | 2010 | |||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||
Trade accounts receivable and other | $ | 68,528 | $ | 76,304 | $ | 74,403 | $ | 68,528 | ||||||||
Vehicle manufacturer receivables | 4,543 | 30,194 | 21,510 | 4,543 | ||||||||||||
Car sales receivable | 1,100 | 5,677 | 2,287 | 1,100 | ||||||||||||
74,171 | 112,175 | 98,200 | 74,171 | |||||||||||||
Less allowance for doubtful accounts | (4,715 | ) | (7,530 | ) | ||||||||||||
Less: Allowance for doubtful accounts | (2,840 | ) | (4,715 | ) | ||||||||||||
$ | 69,456 | $ | 104,645 | $ | 95,360 | $ | 69,456 |
REVENUE–EARNING VEHICLES |
December 31, | December 31, | |||||||||||||||
2010 | 2009 | 2011 | 2010 | |||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||
Revenue-earning vehicles | $ | 1,668,473 | $ | 1,608,855 | $ | 1,858,766 | $ | 1,668,473 | ||||||||
Less accumulated depreciation | (326,651 | ) | (380,218 | ) | ||||||||||||
Less: Accumulated depreciation | (390,931 | ) | (326,651 | ) | ||||||||||||
$ | 1,341,822 | $ | 1,228,637 | $ | 1,467,835 | $ | 1,341,822 | |||||||||
VEHICLE DEPRECIATION AND LEASE CHARGES, NET |
Year Ended December 31, | ||||||||||||
2010 | 2009 | 2008 | ||||||||||
(In Thousands) | ||||||||||||
Depreciation of revenue-earning vehicles | $ | 362,233 | $ | 460,660 | $ | 539,024 | ||||||
Net gains from disposal of revenue-earning vehicles | (63,084 | ) | (35,086 | ) | (774 | ) | ||||||
Rents paid for vehicles leased | 51 | 518 | 1,156 | |||||||||
$ | 299,200 | $ | 426,092 | $ | 539,406 |
Year Ended December 31, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
(In Thousands) | ||||||||||||
Depreciation of revenue-earning vehicles and other | $ | 317,844 | $ | 362,284 | $ | 461,178 | ||||||
Net gains from disposal of revenue-earning vehicles | (46,887 | ) | (63,084 | ) | (35,086 | ) | ||||||
$ | 270,957 | $ | 299,200 | $ | 426,092 |
Year Ended December 31, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Number of Non-Program Vehicles sold | 39,398 | 57,100 | 50,099 | |||||||||
Average gain on vehicles sold (per vehicle) | $ | 1,190 | $ | 1,105 | $ | 700 |
Year Ended December 31, | ||||||||||||
2011 | 2010 | 2009 | ||||||||||
Average depreciable fleet (units) | 108,127 | 103,207 | 105,301 | |||||||||
Average depreciation rate | $ | 245 | $ | 293 | $ | 365 | ||||||
Average gain on vehicles sold | (36 | ) | (51 | ) | (28 | ) | ||||||
Average vehicle depreciation and lease charges, net | $ | 209 | $ | 242 | $ | 337 |
PROPERTY AND EQUIPMENT |
December 31, | December 31, | |||||||||||||||
2010 | 2009 | 2011 | 2010 | |||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||
Land | $ | 12,022 | $ | 12,209 | $ | 12,009 | $ | 12,022 | ||||||||
Buildings and improvements | 23,325 | 23,212 | 21,382 | 23,325 | ||||||||||||
Furniture and equipment | 81,847 | 94,919 | 81,014 | 81,847 | ||||||||||||
Leasehold improvements | 128,742 | 123,054 | 128,938 | 128,742 | ||||||||||||
Construction in progress | 2,824 | 9,453 | 5,293 | 2,824 | ||||||||||||
248,760 | 262,847 | 248,636 | 248,760 | |||||||||||||
Less accumulated depreciation and amortization | (158,532 | ) | (166,649 | ) | ||||||||||||
Less: Accumulated depreciation and amortization | (164,358 | ) | (158,532 | ) | ||||||||||||
$ | 90,228 | $ | 96,198 | $ | 84,278 | $ | 90,228 |
SOFTWARE |
December 31, | December 31, | |||||||||||||||
2010 | 2009 | 2011 | 2010 | |||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||
Software | $ | 80,144 | $ | 82,227 | $ | 83,501 | $ | 80,144 | ||||||||
Less accumulated amortization | (55,967 | ) | (56,156 | ) | ||||||||||||
Less: Accumulated amortization | (61,966 | ) | (55,967 | ) | ||||||||||||
$ | 24,177 | $ | 26,071 | $ | 21,535 | $ | 24,177 |
DEBT AND OTHER OBLIGATIONS |
December 31, | December 31, | |||||||||||||||
2010 | 2009 | 2011 | 2010 | |||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||
Vehicle debt and other obligations | ||||||||||||||||
Asset-backed medium-term notes | ||||||||||||||||
Series 2011-2 notes (matures May 2015) | $ | 400,000 | $ | - | ||||||||||||
Series 2011-1 notes (matures February 2015) | 500,000 | - | ||||||||||||||
Series 2007-1 notes (matures July 2012) | $ | 500,000 | $ | 500,000 | 500,000 | 500,000 | ||||||||||
Series 2006-1 notes (matures May 2011) | 500,000 | 600,000 | ||||||||||||||
Series 2005-1 notes (matures June 2010) | - | 400,000 | ||||||||||||||
Series 2006-1 notes (matured May 2011) | - | 500,000 | ||||||||||||||
1,000,000 | 1,500,000 | 1,400,000 | 1,000,000 | |||||||||||||
Discounts on asset-backed medium-term notes | - | (5 | ) | (45 | ) | - | ||||||||||
Asset-backed medium-term notes, net of discount | 1,000,000 | 1,499,995 | 1,399,955 | 1,000,000 | ||||||||||||
Series 2010-1 variable funding note (matures September 2012) | 200,000 | - | ||||||||||||||
CAD Series 2010-1 note (Canadian fleet financing) | 49,118 | - | ||||||||||||||
Limited partner interest in limited partnership (Canadian fleet financing) | - | 69,690 | ||||||||||||||
Series 2010-1 variable funding note (terminated October 2011) | - | 200,000 | ||||||||||||||
CAD Series 2010-1 note (Canadian fleet financing) (terminated April 2011) | - | 49,118 | ||||||||||||||
Total vehicle debt and other obligations | 1,249,118 | 1,569,685 | 1,399,955 | 1,249,118 | ||||||||||||
Non-vehicle debt | ||||||||||||||||
Term Loan | 148,125 | 158,125 | - | 148,125 | ||||||||||||
Total non-vehicle debt | 148,125 | 158,125 | - | 148,125 | ||||||||||||
Total debt and other obligations | $ | 1,397,243 | $ | 1,727,810 | $ | 1,399,955 | $ | 1,397,243 |
2011 | 2012 | 2013 | Thereafter | |||||||||||||
(In Thousands) | ||||||||||||||||
Asset-backed medium-term notes | $ | 500,000 | $ | 500,000 | $ | - | $ | - | ||||||||
Asset-backed variable funding note | - | 200,000 | - | - | ||||||||||||
CAD Series 2010-1 note (CAD fleet financing) | 49,118 | - | - | - | ||||||||||||
Term Loan | 10,000 | 10,000 | 128,125 | - | ||||||||||||
Total | $ | 559,118 | $ | 710,000 | $ | 128,125 | $ | - |
2012 | 2013 | 2014 | 2015 | Thereafter | ||||||||||||||||
(In Thousands) | ||||||||||||||||||||
Asset-backed medium-term notes | $ | 500,000 | $ | - | $ | 400,000 | $ | 500,000 | $ | - | ||||||||||
DERIVATIVE FINANCIAL INSTRUMENTS |
Fair Values of Derivative Instruments | Fair Values of Derivative Instruments | |||||||||||||||||||||||||||||||||||||||
Asset Derivatives | Liability Derivatives | Asset Derivatives | Liability Derivatives | |||||||||||||||||||||||||||||||||||||
December 31, | December 31, | December 31, | December 31, | December 31, | December 31, | December 31, | December 31, | |||||||||||||||||||||||||||||||||
2010 | 2009 | 2010 | 2009 | 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||||||||||||||
Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | Balance Sheet Location | Fair Value | |||||||||||||||||||||||||
Derivatives designated as hedging instruments | ||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | Prepaid expenses and other assets | $ | 861 | Receivables | $ | - | Accrued liabilities | $ | 31,254 | Accrued liabilities | $ | 40,639 | Prepaid expenses and other assets | $ | - | Prepaid expenses and other assets | $ | 861 | Accrued liabilities | $ | - | Accrued liabilities | $ | 31,254 | ||||||||||||||||
Total derivatives designated as hedging instruments | $ | 861 | $ | - | $ | 31,254 | $ | 40,639 | ||||||||||||||||||||||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | Prepaid expenses and other assets | $ | 494 | Receivables | $ | 16 | Accrued liabilities | $ | 5,634 | Accrued liabilities | $ | 34,732 | Prepaid expenses and other assets | $ | 548 | Prepaid expenses and other assets | $ | 494 | Accrued liabilities | $ | - | Accrued liabilities | $ | 5,634 | ||||||||||||||||
Total derivatives not designated as hedging instruments | $ | 494 | $ | 16 | $ | 5,634 | $ | 34,732 | ||||||||||||||||||||||||||||||||
Total derivatives | $ | 1,355 | $ | 16 | $ | 36,888 | $ | 75,371 | $ | 548 | $ | 1,355 | $ | - | $ | 36,888 |
Amount of (Gain) or Loss Recognized in Income on Derivative | Location of (Gain) or Loss Recognized in Income on Derivative | Amount of (Gain) or Loss Recognized in Income on Derivative | Location of (Gain) or Loss Recognized in Income on Derivative | ||||||||||||||||
Years Ended | Years Ended | ||||||||||||||||||
December 31, | December 31, | ||||||||||||||||||
Derivatives Not Designated as Hedging Instruments | 2010 | 2009 | 2011 | 2010 | |||||||||||||||
Interest rate contracts | $ | (28,694 | ) | $ | (28,848 | ) | Net (increase) decrease in fair value of derivatives | $ | (3,244 | ) | $ | (28,694 | ) | Net (increase) decrease in fair value of derivatives | |||||
Total | $ | (28,694 | ) | $ | (28,848 | ) | $ | (3,244 | ) | $ | (28,694 | ) |
Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) | Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) | Location of (Gain) or Loss Reclassified from AOCI in Income (Effective Portion) | Amount of Gain or (Loss) Recognized in OCI on Derivative (Effective Portion) | Amount of Gain or (Loss) Reclassified from AOCI into Income (Effective Portion) | Location of (Gain) or Loss Reclassified from AOCI in Income (Effective Portion) | ||||||||||||||||||||||||||||||
Derivatives in Cash Flow Hedging Relationships | 2010 | 2009 | 2010 | 2009 | 2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||||||||
Years Ended | |||||||||||||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | 5,543 | $ | 8,662 | $ | (14,069 | ) | $ | (13,953 | ) | Interest expense, net of interest income | $ | 10,259 | $ | 5,543 | $ | (14,229 | ) | $ | (14,069 | ) | Interest expense, net of interest income | |||||||||||||
Total | $ | 5,543 | $ | 8,662 | $ | (14,069 | ) | $ | (13,953 | ) | $ | 10,259 | $ | 5,543 | $ | (14,229 | ) | $ | (14,069 | ) |
FAIR VALUE MEASUREMENTS |
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Total Fair | Quoted Prices in | Significant Other | Significant | |||||||||||||
(in thousands) | Value Assets | Active Markets for | Observable | Unobservable | ||||||||||||
(Liabilities) | Identical Assets | Inputs | Inputs | |||||||||||||
Description | at 12/31/10 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Derivative Assets | $ | 1,355 | $ | - | $ | 1,355 | $ | - | ||||||||
Derivative Liabilities | (36,888 | ) | - | (36,888 | ) | - | ||||||||||
Marketable Securities (available for sale) | 169 | 169 | - | - | ||||||||||||
Deferred Compensation Plan Assets (a) | 3,916 | - | 3,916 | - | ||||||||||||
Total | $ | (31,448 | ) | $ | 169 | $ | (31,617 | ) | $ | - | ||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Total Fair | Quoted Prices in | Significant Other | Significant | |||||||||||||
(in thousands) | Value Assets | Active Markets for | Observable | Unobservable | ||||||||||||
(Liabilities) | Identical Assets | Inputs | Inputs | |||||||||||||
Description | at 12/31/11 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Derivative Assets | $ | 548 | $ | - | $ | 548 | $ | - | ||||||||
Deferred Compensation Plan Assets (a) | 5,752 | 5,752 | - | - | ||||||||||||
Total | $ | 6,300 | $ | 5,752 | $ | 548 | $ | - | ||||||||
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Total Fair | Quoted Prices in | Significant Other | Significant | |||||||||||||
(in thousands) | Value Assets | Active Markets for | Observable | Unobservable | ||||||||||||
(Liabilities) | Identical Assets | Inputs | Inputs | |||||||||||||
Description | at 12/31/10 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Derivative Assets | $ | 1,355 | $ | - | $ | 1,355 | $ | - | ||||||||
Derivative Liabilities | (36,888 | ) | - | (36,888 | ) | - | ||||||||||
Marketable Securities (available for sale) | 169 | 169 | - | - | ||||||||||||
Deferred Compensation Plan Assets (a) | 3,916 | - | 3,916 | - | ||||||||||||
Total | $ | (31,448 | ) | $ | 169 | $ | (31,617 | ) | $ | - | ||||||
(a) | Deferred Compensation Plan Assets consist primarily of equity securities. The Company also has an offsetting liability related to the Deferred Compensation Plan, which is not disclosed in the table as it is not independently measured at fair |
Fair Value Measurements at Reporting Date Using | ||||||||||||||||
Total Fair | Quoted Prices in | Significant Other | Significant | |||||||||||||
(in thousands) | Value Assets | Active Markets for | Observable | Unobservable | ||||||||||||
(Liabilities) | Identical Assets | Inputs | Inputs | |||||||||||||
Description | at 12/31/09 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Derivative Assets | $ | 16 | $ | - | $ | 16 | $ | - | ||||||||
Derivative Liabilities | (75,371 | ) | - | (75,371 | ) | - | ||||||||||
Marketable Securities (available for sale) | 424 | 424 | - | - | ||||||||||||
Deferred Compensation Plan Assets (a) | 1,546 | - | 1,546 | - | ||||||||||||
Total | $ | (73,385 | ) | $ | 424 | $ | (73,809 | ) | $ | - | ||||||
Debt and other obligations | Carrying | Fair Value | ||||||
at December 31, 2011 | Value | at 12/31/11 | ||||||
(in thousands) | ||||||||
Debt: | ||||||||
Vehicle debt and obligations-floating rates | $ | 500,000 | $ | 495,820 | ||||
Vehicle debt and obligations-fixed rates | $ | 900,000 | $ | 899,292 | ||||
Debt and other obligations | Carrying | Fair Value | Carrying | Fair Value | ||||||||||||
at December 31, 2010 | Value | at 12/31/10 | Value | at 12/31/10 | ||||||||||||
(in thousands) | ||||||||||||||||
Debt: | ||||||||||||||||
Vehicle debt and obligations-floating rates (1) | $ | 1,200,000 | $ | 1,178,875 | $ | 1,200,000 | $ | 1,178,875 | ||||||||
Vehicle debt and obligations-Canadian dollar denominated | $ | 49,118 | $ | 49,118 | $ | 49,118 | $ | 49,118 | ||||||||
Non-vehicle debt - Term Loan | $ | 148,125 | $ | 146,459 | $ | 148,125 | $ | 146,459 | ||||||||
(1) Includes $500 million relating to the Series 2006-1 notes and the $500 million Series 2007-1 notes swapped from floating interest rates to fixed interest rates, and the $200 million Series 2010-1 VFN. The fair value excludes the impact of the related interest rate swaps and cap. | ||||||||||||||||
(1) Includes $500 million relating to the Series 2006-1 notes, the $500 million Series 2007-1 notes swapped from floating interest rates to fixed interest rates, and the $200 million Series 2010-1 VFN. The fair value excludes the impact of the related interest rate swaps and cap. | (1) Includes $500 million relating to the Series 2006-1 notes, the $500 million Series 2007-1 notes swapped from floating interest rates to fixed interest rates, and the $200 million Series 2010-1 VFN. The fair value excludes the impact of the related interest rate swaps and cap. |
Debt and other obligations | Carrying | Fair Value | ||||||
at December 31, 2009 | Value | at 12/31/09 | ||||||
(in thousands) | ||||||||
Debt: | ||||||||
Vehicle debt and obligations-floating rates (2) | $ | 1,390,000 | $ | 1,307,100 | ||||
Vehicle debt and obligations-fixed rates | $ | 110,000 | $ | 110,408 | ||||
Vehicle debt and obligations-Canadian dollar denominated | $ | 69,690 | $ | 69,690 | ||||
Non-vehicle debt - Term Loan | $ | 158,125 | $ | 143,894 | ||||
(2) Includes $290 million relating to the Series 2005-1 notes, the $600 million Series 2006-1 notes and the $500 million Series 2007-1 notes swapped from floating interest rates to fixed interest rates. The fair value excludes the impact of the related interest rate swaps. |
EMPLOYEE BENEFIT PLANS INCLUDING SHARE-BASED PAYMENT PLANS |
2009 | 2008 | ||
Weighted-average expected life (in years) | 5 | 5 | |
Expected price volatility | 80.24% | 53.31% | |
Risk-free interest rate | 2.36% | 3.19% | |
Dividend payments | 0 | 0 |
Weighted | ||||||||||||||||
Weighted | Average | Aggregate | ||||||||||||||
Number of | Average | Remaining | Intrinsic | |||||||||||||
Shares | Exercise | Contractual | Value | |||||||||||||
(In Thousands) | Price | Term | (In Thousands) | |||||||||||||
Outstanding at January 1, 2008 | 465 | $ | 17.49 | 2.63 | $ | 2,883 | ||||||||||
Granted | 1,258 | 7.58 | ||||||||||||||
Exercised | (3 | ) | 11.10 | |||||||||||||
Canceled | (118 | ) | 18.44 | |||||||||||||
Outstanding at December 31, 2008 | 1,602 | 9.65 | 7.05 | $ | 122 | |||||||||||
Granted | 1,120 | 4.44 | ||||||||||||||
Exercised | (137 | ) | 16.78 | |||||||||||||
Canceled | (134 | ) | 15.43 | |||||||||||||
Outstanding at December 31, 2009 | 2,451 | 6.55 | 8.11 | $ | 46,702 | |||||||||||
Granted | - | - | ||||||||||||||
Exercised | (173 | ) | 17.29 | |||||||||||||
Canceled | (1 | ) | 19.38 | |||||||||||||
Outstanding at December 31, 2010 | 2,277 | $ | 5.73 | 7.61 | $ | 94,545 | ||||||||||
Fully vested options at: | ||||||||||||||||
December 31, 2010 | 824 | $ | 3.02 | 7.64 | $ | 36,466 | ||||||||||
Options expected to vest in the future at: | ||||||||||||||||
December 31, 2010 | 1,453 | $ | 7.27 | 7.59 | $ | 58,079 |
Weighted | ||||||||||||||||
Weighted | Average | Aggregate | ||||||||||||||
Number of | Average | Remaining | Intrinsic | |||||||||||||
Shares | Exercise | Contractual | Value | |||||||||||||
(In Thousands) | Price | Term | (In Thousands) | |||||||||||||
Outstanding at January 1, 2011 | 2,277 | $ | 5.73 | 7.61 | $ | 94,545 | ||||||||||
Granted | - | - | ||||||||||||||
Exercised | (672 | ) | 7.10 | |||||||||||||
Canceled (Forfeited/Expired) | (30 | ) | 7.62 | |||||||||||||
Outstanding at December 31, 2011 | 1,575 | $ | 5.11 | 6.89 | $ | 102,579 | ||||||||||
Fully vested and exercisable options at: | ||||||||||||||||
December 31, 2011 | 917 | $ | 5.46 | 6.66 | $ | 59,398 | ||||||||||
Options expected to vest in the future at: | ||||||||||||||||
December 31, 2011 | 658 | $ | 4.63 | 7.23 | $ | 43,181 |
Options Outstanding | Options Exercisable | ||||||||||||||||||||
Weighted-Average | Weighted- | Weighted- | |||||||||||||||||||
Range of | Number | Remaining | Average | Number | Average | ||||||||||||||||
Exercise | Outstanding | Contractual Life | Exercise | Exercisable | Exercise | ||||||||||||||||
Prices | (In Thousands) | (In Years) | Price | (In Thousands) | Price | ||||||||||||||||
$0.77 - $0.97 | 829 | 7.78 | $ | 0.95 | 548 | $ | 0.95 | ||||||||||||||
$4.44 - $11.45 | 1,113 | 8.27 | 4.52 | 229 | 4.83 | ||||||||||||||||
$13.98 - $24.38 | 335 | 4.94 | 21.61 | 47 | 18.29 | ||||||||||||||||
$0.77 - $24.38 | 2,277 | 7.61 | $ | 5.73 | 824 | $ | 3.02 |
Weighted-Average | ||||||||
Shares | Grant-Date | |||||||
Nonvested Shares | (In Thousands) | Fair Value | ||||||
Nonvested at January 1, 2008 | 522 | $ | 44.69 | |||||
Granted | 162 | 25.21 | ||||||
Vested | (138 | ) | 37.47 | |||||
Forfeited | (205 | ) | 38.00 | |||||
Nonvested at December 31, 2008 | 341 | 41.93 | ||||||
Granted | - | - | ||||||
Vested | (64 | ) | 46.36 | |||||
Forfeited | (89 | ) | 46.05 | |||||
Nonvested at December 31, 2009 | 188 | 39.75 | ||||||
Granted | 144 | 47.16 | ||||||
Vested | (36 | ) | 54.27 | |||||
Forfeited | (58 | ) | 56.35 | |||||
Nonvested at December 31, 2010 | 238 | $ | 39.07 |
Weighted-Average | ||||||||
Shares | Grant-Date | |||||||
Nonvested Shares | (In Thousands) | Fair Value | ||||||
Nonvested at January 1, 2011 | 238 | $ | 39.07 | |||||
Granted | 140 | 69.58 | ||||||
Vested | (73 | ) | 27.95 | |||||
Forfeited | (43 | ) | 35.02 | |||||
Nonvested at December 31, 2011 | 262 | $ | 59.11 |
Weighted-Average | Weighted-Average | |||||||||||||||
Shares | Grant-Date | Shares | Grant-Date | |||||||||||||
Nonvested Shares | (In Thousands) | Fair Value | (In Thousands) | Fair Value | ||||||||||||
Nonvested at January 1, 2008 | - | $ | - | |||||||||||||
Nonvested at January 1, 2011 | 64 | $ | 4.55 | |||||||||||||
Granted | 71 | 4.52 | 9 | 48.24 | ||||||||||||
Vested | (7 | ) | 11.58 | (39 | ) | 14.17 | ||||||||||
Forfeited | - | - | - | - | ||||||||||||
Nonvested at December 31, 2008 | 64 | 3.74 | ||||||||||||||
Granted | 146 | 2.33 | ||||||||||||||
Vested | (116 | ) | 1.57 | |||||||||||||
Forfeited | - | - | ||||||||||||||
Nonvested at December 31, 2009 | 94 | 4.24 | ||||||||||||||
Granted | 18 | 25.28 | ||||||||||||||
Vested | (48 | ) | 11.66 | |||||||||||||
Forfeited | - | - | ||||||||||||||
Nonvested at December 31, 2010 | 64 | $ | 4.55 | |||||||||||||
Nonvested at December 31, 2011 | 34 | $ | 5.41 |
INCOME TAXES |
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||||||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||||||||||
Current: | ||||||||||||||||||||||||
Federal | $ | 79 | $ | 4,867 | $ | 201 | $ | 6,019 | $ | 79 | $ | 4,867 | ||||||||||||
State and local | 12,535 | 13,417 | 989 | 8,184 | 12,535 | 13,417 | ||||||||||||||||||
Foreign | 631 | 848 | 834 | 837 | 631 | 848 | ||||||||||||||||||
13,245 | 19,132 | 2,024 | 15,040 | 13,245 | 19,132 | |||||||||||||||||||
Deferred: | ||||||||||||||||||||||||
Federal | 70,968 | 19,365 | (93,259 | ) | 78,316 | 70,968 | 19,365 | |||||||||||||||||
State and local | 5,989 | (2,511 | ) | (18,848 | ) | 8,336 | 5,989 | (2,511 | ) | |||||||||||||||
76,957 | 16,854 | (112,107 | ) | 86,652 | 76,957 | 16,854 | ||||||||||||||||||
$ | 90,202 | $ | 35,986 | $ | (110,083 | ) | $ | 101,692 | $ | 90,202 | $ | 35,986 |
December 31, | December 31, | |||||||||||||||
2010 | 2009 | 2011 | 2010 | |||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||
Deferred tax assets: | ||||||||||||||||
Intangible asset amortization | $ | 37,176 | $ | 43,255 | $ | 32,744 | $ | 37,176 | ||||||||
Vehicle insurance reserves | 38,456 | 38,741 | 30,183 | 38,456 | ||||||||||||
Other accrued liabilities | 33,621 | 32,790 | 27,450 | 33,621 | ||||||||||||
Interest rate swap | 15,267 | 30,707 | - | 15,267 | ||||||||||||
AMT credit carryforward | 7,252 | 17,670 | - | 7,252 | ||||||||||||
Canadian NOL carryforwards | 17,650 | 16,609 | 16,561 | 17,650 | ||||||||||||
Other Canadian temporary differences | 6,462 | 7,419 | 6,278 | 6,462 | ||||||||||||
Federal and state NOL carryforwards | 5,723 | 5,759 | 50,993 | 5,723 | ||||||||||||
Allowance for doubtful accounts and notes receivable | 1,729 | 2,768 | 1,036 | 1,729 | ||||||||||||
Canadian depreciation | 1,862 | 795 | 1,834 | 1,862 | ||||||||||||
165,198 | 196,513 | 167,079 | 165,198 | |||||||||||||
Valuation allowance | (26,042 | ) | (24,918 | ) | (24,705 | ) | (26,042 | ) | ||||||||
Total | $ | 139,156 | $ | 171,595 | $ | 142,374 | $ | 139,156 | ||||||||
Deferred tax liabilities: | ||||||||||||||||
Depreciation | $ | 381,078 | $ | 332,991 | $ | 484,942 | $ | 381,078 | ||||||||
Other | 1,008 | 1,527 | 394 | 1,008 | ||||||||||||
Total | $ | 382,086 | $ | 334,518 | $ | 485,336 | $ | 382,086 |
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||||||||||||||||||||||||||||||||||||||||
Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | |||||||||||||||||||||||||||||||||||||
(Amounts in Thousands) | (Amounts in Thousands) | |||||||||||||||||||||||||||||||||||||||||||||||
Tax expense computed at the | ||||||||||||||||||||||||||||||||||||||||||||||||
maximum U.S. statutory rate | $ | 77,496 | 35.0 | % | $ | 28,353 | 35.0 | % | $ | (159,880 | ) | 35.0 | % | $ | 91,435 | 35.0 | % | $ | 77,496 | 35.0 | % | $ | 28,353 | 35.0 | % | |||||||||||||||||||||||
Difference resulting from: | ||||||||||||||||||||||||||||||||||||||||||||||||
State and local taxes, net of | ||||||||||||||||||||||||||||||||||||||||||||||||
federal income tax benefit | 12,056 | 5.4 | % | 7,007 | 8.6 | % | (12,117 | ) | 2.7 | % | 11,132 | 4.2 | % | 12,056 | 5.4 | % | 7,007 | 8.6 | % | |||||||||||||||||||||||||||||
Foreign losses | 1,522 | 0.7 | % | 1,111 | 1.4 | % | 7,701 | (1.7 | %) | |||||||||||||||||||||||||||||||||||||||
Foreign (income) losses | (623 | ) | (0.2 | %) | 1,522 | 0.7 | % | 1,111 | 1.4 | % | ||||||||||||||||||||||||||||||||||||||
Foreign taxes | 416 | 0.2 | % | 633 | 0.8 | % | 588 | (0.1 | %) | 586 | 0.2 | % | 416 | 0.2 | % | 633 | 0.8 | % | ||||||||||||||||||||||||||||||
Nondeductible impairment | - | 0.0 | % | - | 0.0 | % | 50,045 | (11.0 | %) | |||||||||||||||||||||||||||||||||||||||
Other | (1,288 | ) | (0.6 | %) | (1,118 | ) | (1.4 | %) | 3,580 | (0.8 | %) | (838 | ) | (0.3 | %) | (1,288 | ) | (0.6 | %) | (1,118 | ) | (1.4 | %) | |||||||||||||||||||||||||
Total | $ | 90,202 | 40.7 | % | $ | 35,986 | 44.4 | % | $ | (110,083 | ) | 24.1 | % | $ | 101,692 | 38.9 | % | $ | 90,202 | 40.7 | % | $ | 35,986 | 44.4 | % |
STOCKHOLDERS’ EQUITY |
Interest Rate SWAP | Foreign Currency Translation | Accumulated Other Comprehensive Income (Loss) | ||||||||||
(In Thousands) | ||||||||||||
Balance, January 1, 2009 | $ | (32,952 | ) | $ | 3,564 | $ | (29,388 | ) | ||||
Interest rate swap and cap adjustment, net of tax | 8,662 | - | 8,662 | |||||||||
Foreign currency translation adjustment | - | 2,352 | 2,352 | |||||||||
Balance, December 31, 2009 | (24,290 | ) | 5,916 | (18,374 | ) | |||||||
Interest rate swap and cap adjustment, net of tax | 5,543 | - | 5,543 | |||||||||
Foreign currency translation adjustment | - | 502 | 502 | |||||||||
Balance, December 31, 2010 | (18,747 | ) | 6,418 | (12,329 | ) | |||||||
Interest rate swap and cap adjustment, net of tax | 10,259 | - | 10,259 | |||||||||
Foreign currency translation adjustment | - | (5,547 | ) | (5,547 | ) | |||||||
Balance, December 31, 2011 | $ | (8,488 | ) | $ | 871 | $ | (7,617 | ) |
14. | COMMITMENTS AND CONTINGENCIES |
Year Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | |||||||||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||||||||||
Rent | $ | 47,915 | $ | 49,543 | $ | 51,535 | $ | 48,682 | $ | 47,915 | $ | 49,543 | ||||||||||||
Concession expenses: | ||||||||||||||||||||||||
Minimum fees | 102,080 | 101,938 | 94,678 | 107,095 | 102,080 | 101,938 | ||||||||||||||||||
Contingent fees | 31,711 | 32,263 | 40,866 | 27,144 | 31,711 | 32,263 | ||||||||||||||||||
181,706 | 183,744 | 187,079 | 182,921 | 181,706 | 183,744 | |||||||||||||||||||
Less sublease rental income | (574 | ) | (785 | ) | (1,078 | ) | (498 | ) | (574 | ) | (785 | ) | ||||||||||||
Total | $ | 181,132 | $ | 182,959 | $ | 186,001 | $ | 182,423 | $ | 181,132 | $ | 182,959 |
Company-Owned | ||||||||||||
Stores | Operating | |||||||||||
Concession Fees | Leases | Total | ||||||||||
(In Thousands) | ||||||||||||
2011 | $ | 94,645 | $ | 42,266 | $ | 136,911 | ||||||
2012 | 83,958 | 34,604 | 118,562 | |||||||||
2013 | 72,248 | 27,759 | 100,007 | |||||||||
2014 | 52,242 | 21,598 | 73,840 | |||||||||
2015 | 29,189 | 14,979 | 44,168 | |||||||||
Thereafter | 131,822 | 56,752 | 188,574 | |||||||||
464,104 | 197,958 | 662,062 | ||||||||||
Less sublease rental income | - | (1,337 | ) | (1,337 | ) | |||||||
$ | 464,104 | $ | 196,621 | $ | 660,725 |
Company-Owned | ||||||||||||
Stores | Operating | |||||||||||
Concession Fees | Leases | Total | ||||||||||
(In Thousands) | ||||||||||||
2012 | $ | 98,351 | $ | 40,429 | $ | 138,780 | ||||||
2013 | 85,594 | 32,866 | 118,460 | |||||||||
2014 | 62,120 | 25,323 | 87,443 | |||||||||
2015 | 43,908 | 20,221 | 64,129 | |||||||||
2016 | 37,088 | 17,290 | 54,378 | |||||||||
Thereafter | 130,771 | 48,333 | 179,104 | |||||||||
457,832 | 184,462 | 642,294 | ||||||||||
Less sublease rental income | - | (895 | ) | (895 | ) | |||||||
$ | 457,832 | $ | 183,567 | $ | 641,399 |
2011 | $ | 25,151 | ||||||
2012 | 15,332 | $ | 21,220 | |||||
2013 | 12,186 | 15,314 | ||||||
2014 | 6,380 | 7,037 | ||||||
2015 | 3,722 | 4,617 | ||||||
2016 | 2,995 | |||||||
Thereafter | 4,721 | 3,508 | ||||||
Aggregate undiscounted public liability and property damage | 67,492 | 54,691 | ||||||
Effect of discounting | (1,274 | ) | (375 | ) | ||||
Public liability and property damage, net of discount | 66,218 | 54,316 | ||||||
Supplemental liability insurance | 41,502 | 32,199 | ||||||
Total vehicle insurance reserves | $ | 107,720 | $ | 86,515 |
BUSINESS SEGMENTS |
Year Ended December 31, | Year Ended December 31, | ||||||||||||||
2010 | 2009 | 2008 | 2011 | 2010 | 2009 | ||||||||||
(In Thousands) | (In Thousands) | ||||||||||||||
Revenues: | Revenues: | Revenues: | |||||||||||||
United States | United States | $ 1,455,958 | $ 1,466,508 | $ 1,594,283 | United States | $ | 1,466,186 | $ | 1,455,958 | $ | 1,466,508 | ||||
Foreign countries | Foreign countries | 81,202 | 79,741 | 103,710 | Foreign countries | 82,742 | 81,202 | 79,741 | |||||||
$ 1,537,160 | $ 1,546,249 | $ 1,697,993 | $ | 1,548,928 | $ | 1,537,160 | $ | 1,546,249 | |||||||
Long-lived assets: | Long-lived assets: | Long-lived assets: | |||||||||||||
United States | United States | $ 88,433 | $ 94,606 | $ 103,260 | United States | $ | 82,588 | $ | 88,433 | $ | 94,606 | ||||
Foreign countries | Foreign countries | 1,795 | 1,592 | 1,182 | Foreign countries | 1,690 | 1,795 | 1,592 | |||||||
$ 90,228 | $ 96,198 | $ 104,442 | $ | 84,278 | $ | 90,228 | $ | 96,198 |
SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED) |
Year Ended | First | Second | Third | Fourth | 2011 | |||||||||||||||||||||||||||||||||||||
December 31, 2011 | Quarter | Quarter | Quarter | Quarter | Total | |||||||||||||||||||||||||||||||||||||
(In Thousands Except Per Share Amounts) | ||||||||||||||||||||||||||||||||||||||||||
Revenues | $ | 348,347 | $ | 395,129 | $ | 451,722 | $ | 353,730 | $ | 1,548,928 | ||||||||||||||||||||||||||||||||
Operating income (a) | $ | 46,921 | $ | 88,818 | $ | 126,036 | $ | 73,685 | $ | 335,460 | ||||||||||||||||||||||||||||||||
Net income | $ | 16,523 | $ | 42,505 | $ | 66,621 | $ | 33,901 | $ | 159,550 | ||||||||||||||||||||||||||||||||
Earnings per share: (b) | ||||||||||||||||||||||||||||||||||||||||||
Basic | $ | 0.57 | $ | 1.47 | $ | 2.30 | $ | 1.16 | $ | 5.51 | ||||||||||||||||||||||||||||||||
Diluted | $ | 0.53 | $ | 1.36 | $ | 2.13 | $ | 1.08 | $ | 5.11 | ||||||||||||||||||||||||||||||||
Year Ended | First | Second | Third | Fourth | 2010 | First | Second | Third | Fourth | 2010 | ||||||||||||||||||||||||||||||||
December 31, 2010 | Quarter | Quarter | Quarter | Quarter | Total | Quarter | Quarter | Quarter | Quarter | Total | ||||||||||||||||||||||||||||||||
(In Thousands Except Per Share Amounts) | (In Thousands Except Per Share Amounts) | |||||||||||||||||||||||||||||||||||||||||
Revenues | $ | 348,330 | $ | 396,227 | $ | 443,544 | $ | 349,059 | $ | 1,537,160 | $ | 348,330 | $ | 396,227 | $ | 443,544 | $ | 349,059 | $ | 1,537,160 | ||||||||||||||||||||||
Operating income (a) | $ | 61,088 | $ | 84,436 | $ | 94,246 | $ | 43,314 | $ | 283,084 | $ | 61,088 | $ | 84,436 | $ | 94,246 | $ | 43,314 | $ | 283,084 | ||||||||||||||||||||||
Net income | $ | 27,292 | $ | 42,263 | $ | 49,165 | $ | 12,496 | $ | 131,216 | $ | 27,292 | $ | 42,263 | $ | 49,165 | $ | 12,496 | $ | 131,216 | ||||||||||||||||||||||
Earnings per share: (b) | ||||||||||||||||||||||||||||||||||||||||||
Basic | $ | 0.96 | $ | 1.48 | $ | 1.72 | $ | 0.44 | $ | 4.58 | $ | 0.96 | $ | 1.48 | $ | 1.72 | $ | 0.44 | $ | 4.58 | ||||||||||||||||||||||
Diluted | $ | 0.91 | $ | 1.40 | $ | 1.62 | $ | 0.41 | $ | 4.34 | $ | 0.91 | $ | 1.40 | $ | 1.62 | $ | 0.41 | $ | 4.34 | ||||||||||||||||||||||
Year Ended | First | Second | Third | Fourth | 2009 | |||||||||||||||||||||||||||||||||||||
December 31, 2009 | Quarter | Quarter | Quarter | Quarter | Total | |||||||||||||||||||||||||||||||||||||
(In Thousands Except Per Share Amounts) | ||||||||||||||||||||||||||||||||||||||||||
Revenues | $ | 362,422 | $ | 399,613 | $ | 438,892 | $ | 345,322 | $ | 1,546,249 | ||||||||||||||||||||||||||||||||
Operating income (a) | $ | 10,535 | $ | 33,567 | $ | 67,766 | $ | 39,444 | $ | 151,312 | ||||||||||||||||||||||||||||||||
Net income (loss) | $ | (8,940 | ) | $ | 12,404 | $ | 30,094 | $ | 11,464 | $ | 45,022 | |||||||||||||||||||||||||||||||
Earnings (loss) per share: (b) | ||||||||||||||||||||||||||||||||||||||||||
Basic | $ | (0.42 | ) | $ | 0.58 | $ | 1.38 | $ | 0.44 | $ | 1.98 | |||||||||||||||||||||||||||||||
Diluted | $ | (0.42 | ) | $ | 0.55 | $ | 1.29 | $ | 0.42 | $ | 1.88 | |||||||||||||||||||||||||||||||
(a) | Operating income represents pretax income before interest, long-lived asset impairment and (increase) decrease in fair value of derivatives. |
(b) | The earnings |
17. | PROPOSED ACQUISITION AND RELATED MATTERS |
SUBSEQUENT EVENTS |
Additions | Additions | |||||||||||||||||||||||||||||||||||||||
Balance at | Charged to | Charged to | Balance at | Balance at | Charged to | Charged to | Balance at | |||||||||||||||||||||||||||||||||
Beginning | costs and | other | End of | Beginning | costs and | other | End of | |||||||||||||||||||||||||||||||||
of Year | expenses | accounts | Deductions | Year | of Year | expenses | accounts | Deductions | Year | |||||||||||||||||||||||||||||||
(In Thousands) | (In Thousands) | |||||||||||||||||||||||||||||||||||||||
2011 | ||||||||||||||||||||||||||||||||||||||||
Allowance for doubtful accounts | $ | 4,715 | $ | 43 | $ | - | $ | (1,918 | ) | $ | 2,840 | |||||||||||||||||||||||||||||
Vehicle insurance reserves | $ | 107,720 | $ | 17,667 | $ | - | $ | (38,872 | ) | $ | 86,515 | |||||||||||||||||||||||||||||
Valuation allowance for deferred | ||||||||||||||||||||||||||||||||||||||||
tax assets | $ | 26,042 | $ | (1,337 | ) | $ | - | $ | - | $ | 24,705 | |||||||||||||||||||||||||||||
2010 | ||||||||||||||||||||||||||||||||||||||||
Allowance for doubtful accounts | $ | 7,530 | $ | (399 | ) | $ | - | $ | (2,416 | ) | $ | 4,715 | $ | 7,530 | $ | (399 | ) | $ | - | $ | (2,416 | ) | $ | 4,715 | ||||||||||||||||
Vehicle insurance reserves | $ | 108,584 | $ | 39,729 | $ | - | $ | (40,593 | ) | $ | 107,720 | $ | 108,584 | $ | 39,729 | $ | - | $ | (40,593 | ) | $ | 107,720 | ||||||||||||||||||
Valuation allowance for deferred | ||||||||||||||||||||||||||||||||||||||||
tax assets | $ | 24,918 | $ | 1,124 | $ | - | $ | - | $ | 26,042 | $ | 24,918 | $ | 1,124 | $ | - | $ | - | $ | 26,042 | ||||||||||||||||||||
2009 | ||||||||||||||||||||||||||||||||||||||||
Allowance for doubtful accounts | $ | 13,199 | $ | 3,129 | $ | - | $ | (8,798 | ) | $ | 7,530 | $ | 13,199 | $ | 3,129 | $ | - | $ | (8,798 | ) | $ | 7,530 | ||||||||||||||||||
Vehicle insurance reserves | $ | 110,310 | $ | 43,356 | $ | - | $ | (45,082 | ) | $ | 108,584 | $ | 110,310 | $ | 43,356 | $ | - | $ | (45,082 | ) | $ | 108,584 | ||||||||||||||||||
Valuation allowance for deferred | ||||||||||||||||||||||||||||||||||||||||
tax assets | $ | 22,162 | $ | 2,756 | $ | - | $ | - | $ | 24,918 | $ | 22,162 | $ | 2,756 | $ | - | $ | - | $ | 24,918 | ||||||||||||||||||||
2008 | ||||||||||||||||||||||||||||||||||||||||
Allowance for doubtful accounts | $ | 5,991 | $ | 7,878 | $ | - | $ | (670 | ) | $ | 13,199 | |||||||||||||||||||||||||||||
Vehicle insurance reserves | $ | 110,034 | $ | 55,535 | $ | - | $ | (55,259 | ) | $ | 110,310 | |||||||||||||||||||||||||||||
Valuation allowance for deferred | ||||||||||||||||||||||||||||||||||||||||
tax assets | $ | 23,186 | $ | (1,024 | ) | $ | - | $ | - | $ | 22,162 |
AND FINANCIAL DISCLOSURE |
MANAGEMENT AND RELATED STOCKHOLDER MATTERS |
Number of Securities | Number of Securities | |||||||||||||||
Remaining Available for | Remaining Available for | |||||||||||||||
Number of Securities | Weighted-Average | Future Issuance Under | Number of Securities | Weighted-Average | Future Issuance Under | |||||||||||
to be Issued Upon | Exercise Price of | Equity Compensation | to be Issued Upon | Exercise Price of | Equity Compensation | |||||||||||
Exercise of Outstanding | Outstanding Options, | Plans (Excluding | Exercise of Outstanding | Outstanding Options, | Plans (Excluding | |||||||||||
Plan Category | Plan Category | Options, Warrants and Rights | Warrants and Rights | Securities in Column (a)) | Plan Category | Options, Warrants and Rights | Warrants and Rights | Securities in Column (a)) | ||||||||
(a) | (b) | (c) | (a) | (b) | (c) | |||||||||||
Equity compensation plans | Equity compensation plans | Equity compensation plans | ||||||||||||||
approved by security holders | approved by security holders | 2,276,564 | $5.73 | 348,058 | approved by security holders | 1,574,533 | $5.11 | 247,517 | ||||||||
Equity compensation plans not | Equity compensation plans not | Equity compensation plans not | ||||||||||||||
approved by security holders | approved by security holders | None | None | None | approved by security holders | None | None | None | ||||||||
Total | Total | 2,276,564 | $5.73 | 348,058 | (1) | Total | 1,574,533 | $5.11 | 247,517 | (1) | ||||||
(1) | At December 31, 2010, total common stock authorized for issuance was 2,909,728 shares, which included 2,276,564 | At December 31, 2011, total common stock authorized for issuance was 2,083,550 shares, which included 1,574,533 unexercised option rights and 261,500 Performance Shares, assuming a maximum payout for all nonvested Performance Shares. The Company has 247,517 shares available for future LTIP awards at December 31, 2011 after reserving for the maximum potential shares that could be awarded under the existing LTIP grants. | ||||||||||||||
unexercised option rights and 285,106 Performance Shares, assuming a maximum payout for all nonvested Performance | ||||||||||||||||
Shares. The Performance Shares ultimately issued will likely differ due to achievement of performance targets (refer to | ||||||||||||||||
Item 8 - Note 13 of Notes to ConsolidatedFinancial Statements). The remaining common stock available for future | ||||||||||||||||
issuance at December 31, 2010 is 348,058 shares. |
(a) | Documents filed as a part of this report |
(1) | All Financial Statements. The response to this portion of Item 15 is submitted as a separate section herein under Part II, Item 8 - Financial Statements and Supplementary Data. |
(2) | Financial Statement Schedules. Schedule II - Valuation and Qualifying Accounts - Years Ended December 31, 2011, 2010 |
(3) | Index of Exhibits |
Exhibit No. | Description |
3.1 | Certificate of Incorporation of DTG |
3.2 | Fourth Amended and Restated By-Laws of Dollar Thrifty Automotive Group, Inc., adopted effective as of December 9, 2008, |
4.1 | Form of Certificate of Common Stock |
4.46 | Master Exchange and Trust Agreement dated as of July 23, 2001 among Rental Car Finance Corp., Dollar, Thrifty, Chicago Deferred Exchange Corporation, VEXCO, LLC and The Chicago Trust Company |
4.147 | Note Purchase Agreement dated as of March 23, 2006 among Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc., J.P. Morgan Securities Inc., Deutsche Bank Securities Inc., ABN AMRO Incorporated, BNP Paribas Securities Corp., Credit Suisse Securities (USA) LLC, Dresdner Kleinwort Wasserstein Securities LLC, and Scotia Capital (USA) Inc. |
4.153 | Series 2006-1 Supplement dated as of March 28, 2006 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas |
4.156 | Collateral Assignment of Exchange Agreement dated as of March 28, 2006 among Rental Car Finance Corp., DTG Operations, Inc. and Deutsche Bank Trust Company Americas |
4.158 | Note Guaranty Insurance Policy No. AB0981BE issued by Ambac Assurance Corporation to Deutsche Bank Trust Company Americas for the benefit of the Series 2006-1 Noteholders |
4.163 | Amended and Restated Base Indenture dated as of February 14, 2007 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas | |
4.169 | Amendment No. 1 to Series 2006-1 Supplement dated as of February 14, 2007 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas | |
4.170 | Second Amended and Restated Master Collateral Agency Agreement dated as of February 14, 2007 among Dollar Thrifty Automotive Group, Inc., Rental Car Finance Corp., DTG Operations, Inc. and Deutsche Bank Trust Company Americas | |
4.173 | Amended and Restated Master Motor Vehicle Lease and Servicing Agreement (Group IV) dated as of February 14, 2007 among Rental Car Finance Corp., DTG Operations, Inc., Dollar Thrifty Automotive Group, Inc. and Deutsche Bank Trust Company Americas |
4.175 | Note Purchase Agreement dated as of May 15, 2007 among Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc., Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., J.P. Morgan Securities Inc., ABN AMRO Incorporated, BNP Paribas Securities Corp., Dresdner Kleinwort Securities LLC, and Scotia Capital (USA) Inc. | |
4.176 | Series 2007-1 Supplement dated as of May 23, 2007 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas | |
4.178 | Financial Guaranty Insurance Policy No. 07030024 issued by Financial Guaranty Insurance Company to Deutsche Bank Trust Company Americas for the benefit of the Series 2007-1 Noteholders | |
4.183 | Enhancement Letter of Credit Application and Agreement dated as of June 15, 2007 among DTG Operations, Inc., Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc. and Deutsche Bank Trust Company Americas (Series 2006-1) |
4.184 | Enhancement Letter of Credit Application and Agreement dated as of June 15, 2007 among DTG Operations, Inc., Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc. and Deutsche Bank Trust Company Americas (Series 2007-1) |
4.191 | Amendment No. 2 to Series 2006-1 Supplement dated as of May 23, 2007 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas |
4.192 | Amendment No. 1 dated as of May 22, 2007 to Amended and Restated Master Motor Vehicle Lease and Servicing Agreement (Group IV) among Rental Car Finance Corp., DTG Operations, Inc. and Dollar Thrifty Automotive Group, Inc. | |
4.203 | Amendment No. 3 to Series 2006-1 Supplement dated as of September 12, 2008 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas | |
4.204 | Amendment No. 1 to Series 2007-1 Supplement dated as of September 12, 2008 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas | |
4.206 | Amendment No. 4 to Series 2006-1 Supplement dated as of February 3, 2009 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas | |
4.207 | Amendment No. 2 to Series 2007-1 Supplement dated as of February 3, 2009 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas | |
4.209 | Amendment No. 2 to Amended And Restated Master Motor Vehicle Lease And Servicing Agreement (Group IV), dated as of February 3, 2009 among Rental Car Finance Corp., as Lessor, DTG Operations, Inc., as Lessee and Servicer, and those Subsidiaries of Dollar Thrifty Automotive Group, Inc. from time to time becoming Lessees and Servicers thereunder and Dollar Thrifty Automotive Group, Inc., as Guarantor and Master Servicer |
4.210 | Amendment No. 1, dated as of June 2, 2009 to the Second Amended and Restated Master Collateral Agency Agreement, |
4.211 | Letter Agreement, dated as of June 2, 2009, among Dollar Thrifty Automotive Group, Inc., Ambac Assurance Corporation and Financial Guaranty Insurance Company, relating to Amendment No. 1 to the Second Amended and Restated Master Collateral Agency Agreement, dated as of February 14, 2007 | |
4.213 | Amendment No. 5 to Series 2006-1 Supplement dated as of August 3, 2009, between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas |
4.214 | Amendment No. 3 to Series 2007-1 Supplement dated as of August 3, 2009, between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas |
4.215 | Collateral Assignment of Exchange Agreement, dated as of April 8, 2010, among Rental Car Finance Corp., DTG Operations, Inc. and Deutsche Bank Trust Company Americas, as master collateral agent |
4.216 | Note Purchase Agreement, dated as of April 8, 2010, among Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc., Saratoga Funding Corp., LLC, as conduit purchaser, Deutsche Bank AG, New York Branch, as committed purchaser, and Deutsche Bank AG, New York Branch, as managing agent and administrative agent |
4.218 | Master Motor Vehicle Lease and Servicing Agreement (Group V), dated as of April 8, 2010, among Rental Car Finance Corp., as lessor, Dollar Thrifty Automotive Group, Inc., as guarantor and master servicer, DTG Operations, Inc., as lessee and servicer, and those subsidiaries of Dollar Thrifty Automotive Group, Inc. becoming lessees and servicers thereunder |
4.219 | Series 2010-1 Supplement to the Amended and Restated Base Indenture, dated as of April 8, 2010, between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee |
4.220 | Collateral Assignment of Exchange Agreement, dated as of June 17, 2010, among Rental Car Finance Corp., DTG Operations, Inc. and Deutsche Bank Trust Company Americas, as master collateral agent |
4.221 | Note Purchase Agreement, dated as of June 17, 2010, among Rental Car Finance Corp., as seller, Dollar Thrifty Automotive Group, Inc., as master servicer, Wells Fargo Bank, N.A., as initial note purchaser, and those note purchasers from time to time becoming party thereto |
4.222 | Series 2010-2 Supplement to the Amended and Restated Base Indenture, dated as of June 17, 2010, between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee |
4.223 | Master Motor Vehicle Lease and Servicing Agreement (Group VI), dated as of June 17, 2010, among Rental Car Finance Corp., as lessor, Dollar Thrifty Automotive Group, Inc., as guarantor and master servicer, DTG Operations, Inc., as lessee and servicer, and those subsidiaries of Dollar Thrifty Automotive Group, Inc. becoming lessees and servicers thereunder |
4.224 | Amendment No. 1 effective April 23, 2010, to Master Exchange and Trust Agreement dated as of July 23, 2001 among Rental Car Finance Corp., DTG Operations, Thrifty, Chicago Deferred Exchange Company, VEXCO, LLC and Deutsche Bank Trust Company Americas |
4.225 | Collateral Assignment of Exchange Agreement, dated as of October 28, 2010, among Rental Car Finance Corp., DTG Operations, Inc. and Deutsche Bank Trust Company Americas, as master collateral agent |
4.226 | Note Purchase Agreement, dated as of October 28, 2010, among Rental Car Finance Corp., as seller, Dollar Thrifty Automotive Group, Inc., as master servicer, Saratoga Funding Corp., LLC, Liberty Street Funding LLC, Jupiter Securitization Company LLC, and Windmill Funding Corp, as conduit purchasers, Deutsche Bank AG, New York Branch, The Bank of Nova Scotia, JPMorgan Chase Bank, and The Royal Bank of Scotland plc, as committed purchasers and managing agents, and Deutsche Bank AG, New York Branch, as administrative agent |
4.227 | Series 2010-3 Supplement to the Amended and Restated Base Indenture, dated as of October 28, 2010, between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee |
4.228 | Master Motor Vehicle Lease and Servicing Agreement (Group VII), dated as of October 28, 2010, among Rental Car Finance Corp., as lessor, Dollar Thrifty Automotive Group, Inc., as guarantor and master servicer, DTG Operations, Inc., as lessee and servicer, and those subsidiaries of Dollar Thrifty Automotive Group, Inc. becoming lessees and servicers thereunder |
4.229 | Amendment No. 2 effective October 28, 2010, to Master Exchange and Trust Agreement dated as of July 23, 2001 among Rental Car Finance Corp., DTG Operations, Thrifty, DB Like-Kind Exchange Services Corp., VEXCO, LLC and Deutsche Bank Trust Company Americas |
4.230 | Amendment No. 1 to Series 2010-1 Supplement dated as of February 23, 2011 between Rental Car Finance Corp. and Deutsche Bank Trust Company |
4.231 | Amendment No. 1 to Series 2010-2 Supplement dated as of February 23, 2011 between Rental Car Finance Corp. and Deutsche Bank Trust Company |
4.232 | Amendment No. 1 to Series 2010-3 Supplement dated as of February 23, 2011 between Rental Car Finance Corp. and Deutsche Bank Trust Company |
4.233 | Enhancement Letter of Credit Application and Agreement dated as of March 15, 2011 among DTG Operations, Inc., Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc. and Deutsche Bank Trust Company Americas (Series 2010-3) (incorporated by reference to Exhibit 4.233 to Dollar Thrifty Automotive Group, Inc.’s Form 10-Q for the quarterly period ended March 31, 2011, filed May 5, 2011 (Commission File No. 1-13647)) |
4.234 | Rights Agreement, dated as of May 18, 2011, between Dollar Thrifty Automotive Group, Inc. and Computershare Trust Company, N.A., which includes the Form of Right Certificate as Exhibit A and the Certificate of Designation of Series A Junior Participating Preferred Stock as Exhibit C (incorporated by reference to Exhibit 1 of Dollar Thrifty Automotive Group, Inc.’s Registration Statement on Form 8-A filed on May 18, 2011 and incorporated by reference to Exhibit 4.234 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated May 18, 2011 (Commission File No. 1-13647)) |
4.235 | Note Purchase Agreement dated July 21, 2011 among Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc., Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, RBS Securities Inc. and Scotia Capital (USA) Inc. (incorporated by reference to Exhibit 4.235 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated July 21, 2011 (Commission File No. 1-13647)) |
4.236 | Collateral Assignment of Exchange Agreement, dated as of July 28, 2011, among Rental Car Finance Corp., DTG Operations, Inc. and Deutsche Bank Trust Company Americas, as master collateral agent (incorporated by reference to Exhibit 4.236 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated July 28, 2011 (Commission File No. 1-13647)) |
4.237 | Series 2011-1 Supplement to Amended and Restated Base Indenture, dated as of July 28, 2011, between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee (incorporated by reference to Exhibit 4.237 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated July 28, 2011 (Commission File No. 1-13647)) |
4.238 | Master Motor Vehicle Lease and Servicing Agreement (Group VIII), dated as of July 28, 2011, among Rental Car Finance Corp., as lessor, Dollar Thrifty Automotive Group, Inc., as guarantor and master servicer, and DTG Operations, Inc., as lessee and servicer (incorporated by reference to Exhibit 4.238 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated July 28, 2011 (Commission File No. 1-13647)) |
4.239 | Enhancement Letter of Credit Application and Agreement, dated as of July 28, 2011, among DTG Operations, Inc., Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc. and Deutsche Bank Trust Company Americas, as Series 2011-1 letter of credit issuer (incorporated by reference to Exhibit 4.239 to Dollar Thrifty Automotive Group Inc.’s Form 8-K, dated July 28, 2011 (Commission File No. 1-13647)) |
4.240 | Amendment No. 2, dated as of July 18, 2011, to Second Amended and Restated Master Collateral Agency Agreement, dated as of February 14, 2007, among Dollar Thrifty Automotive Group, Inc., DTG Operations, Inc., Rental Car Finance Corp., the Financing Sources named therein and Deutsche Bank Trust Company Americas, as master collateral agent (incorporated by reference to Exhibit 4.240 to Dollar Thrifty Automotive Group, Inc.’s Form 10-Q for the quarterly period ended June 30, 2011, filed August 8, 2011 (Commission File No. 1-13647)) |
4.241 | Amended and Restated Note Purchase Agreement, dated as of September 29, 2011, among Rental Car Finance Corp., as seller, Dollar Thrifty Automotive Group, Inc., as master servicer, the conduit purchasers and/or committed purchasers identified as such on Schedule III thereto and such other conduit purchasers and/or committed purchasers from time to time party thereto, Deutsche Bank AG, New York Branch, as administrative agent and the managing agents identified as such on Schedule III thereto and such other managing agents from time to time party thereto (incorporated by reference to Exhibit 4.241 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated September 29, 2011 (Commission File No. 1-13647)) |
4.242 | Amended and Restated Series 2010-3 Supplement dated as of September 29, 2011 to the Amended and Restated Base Indenture dated as of February 14, 2007, between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee (incorporated by reference to Exhibit 4.242 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated September 29, 2011 (Commission File No. 1-13647)) |
4.243 | Amended and Restated Master Motor Vehicle Lease and Servicing Agreement (Group VII), dated as of September 29, 2011, among Rental Car Finance Corp., as lessor, Dollar Thrifty Automotive Group, Inc., as guarantor and master servicer, DTG Operations, Inc., as lessee and servicer, and those permitted lessees becoming lessees and servicers thereunder (incorporated by reference to Exhibit 4.243 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated September 29, 2011 (Commission File No. 1-13647)) |
4.244 | Master Termination Agreement, dated as of October 11, 2011, among Rental Car Finance Corp., as issuer, lessor, financing source and beneficiary, Dollar Thrifty Automotive Group, Inc., as master servicer and guarantor, DTG Operations, Inc., as lessee, servicer and lessee grantor, Deutsche Bank Trust Company Americas, as trustee, financing source, beneficiary and master collateral agent, Saratoga Funding Corp., LLC, as conduit purchaser, and Deutsche Bank AG, New York Branch, as committed purchaser, managing agent and administrative agent (incorporated by reference to Exhibit 4.244 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated October 11, 2011 (Commission File No. 1-13647)) |
4.245 | Note Purchase Agreement, dated as of October 26, 2011 among Rental Car Finance Corp., as seller, Dollar Thrifty Automotive Group, Inc., as master servicer, Wells Fargo Bank, N.A., as initial note purchaser and the note purchasers from time to time party thereto (incorporated by reference to Exhibit 4.245 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated October 26, 2011 (Commission File No. 1-13647)) |
4.246 | Series 2011-2 Supplement to Amended and Restated Base Indenture, dated as of October 26, 2011, between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee (incorporated by reference to Exhibit 4.246 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated October 26, 2011 (Commission File No. 1-13647)) |
4.247 | Enhancement Letter of Credit Application and Agreement, dated as of October 26, 2011, among DTG Operations, Inc., Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc. and Deutsche Bank Trust Company Americas, as Series 2011-2 letter of credit issuer (incorporated by reference to Exhibit 4.247 to Dollar Thrifty Automotive Group Inc.’s Form 8-K, dated October 26, 2011 (Commission File No. 1-13647)) |
4.248 | Master Termination Agreement, dated as of October 26, 2011, among Rental Car Finance Corp., as issuer, lessor, financing source and beneficiary, Dollar Thrifty Automotive Group, Inc., as master servicer and guarantor, DTG Operations, Inc., as lessee, servicer and lessee grantor, Deutsche Bank Trust Company Americas, as trustee, financing source, beneficiary and master collateral agent, and Wells Fargo Bank, N.A., as note purchaser (incorporated by reference to Exhibit 4.248 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated October 26, 2011 (Commission File No. 1-13647)) |
4.249 | First Amendment to Rights Agreement, dated as of February 17, 2012, by and between Dollar Thrifty Automotive Group, Inc. and Computershare Trust Company, N.A., as Rights Agent (incorporated by reference to Exhibit 2 to Dollar Thrifty Automotive Group, Inc.’s Form 8-A/A, filed February 21, 2012 and incorporated by reference to Exhibit 4.249 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 17, 2012 (Commission File No. 1-13647)) |
4.250 | Enhancement Letter of Credit Application and Agreement dated as of February 16, 2012 among DTG Operations, Inc., Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc. and Bank of America, N.A., as Series 2007-1 letter of credit issuer (incorporated by reference to Exhibit 4.250 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
4.251 | Enhancement Letter of Credit Application and Agreement dated as of February 16, 2012 among DTG Operations, Inc., Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc. and Bank of America, N.A., as Series 2010-3 letter of credit issuer (incorporated by reference to Exhibit 4.251 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
4.252 | Enhancement Letter of Credit Application and Agreement dated as of February 16, 2012 among DTG Operations, Inc., Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc. and Bank of America, N.A., as Series 2011-1 letter of credit issuer (incorporated by reference to Exhibit 4.252 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
4.253 | Enhancement Letter of Credit Application and Agreement dated as of February 16, 2012 among DTG Operations, Inc., Rental Car Finance Corp., Dollar Thrifty Automotive Group, Inc. and Bank of America, N.A., as Series 2011-2 letter of credit issuer (incorporated by reference to Exhibit 4.253 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
4.254 | Amendment No. 4 to Series 2007-1 Supplement dated as of February 16, 2012 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee (incorporated by reference to Exhibit 4.254 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
4.255 | Amendment No. 1 to Amended and Restated Series 2010-3 Supplement dated as of February 16, 2012 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee (incorporated by reference to Exhibit 4.255 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
4.256 | Amendment No. 1 to Series 2011-1 Supplement dated as of February 16, 2012 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee (incorporated by reference to Exhibit 4.256 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
4.257 | Amendment No. 1 to Series 2011-2 Supplement dated as of February 16, 2012 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee (incorporated by reference to Exhibit 4.257 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
4.258 | Amendment No. 2 to Series 2011-1 Supplement dated as of February 23, 2012 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee* |
4.259 | Amendment No. 2 to Series 2011-2 Supplement dated as of February 23, 2012 between Rental Car Finance Corp. and Deutsche Bank Trust Company Americas, as trustee* |
10.8 | Pentastar Transportation Group, Inc. Deferred Compensation Plan |
10.10 | Dollar Thrifty Automotive Group, Inc. Long-Term Incentive Plan |
10.13 | Amendment to Long-Term Incentive Plan dated as of September 29, 1998 |
10.38 | Dollar Thrifty Automotive Group, Inc. Retirement Savings Plan under the Bank of Oklahoma N.A. Defined Contribution Prototype Plan & Trust, as adopted by the Company pursuant to the Adoption Agreement (Exhibit 10.39) |
10.39 | Adoption Agreement #005 Nonstandardized 401(k) Profit Sharing Plan |
10.40 | Unanimous Consent to Action of the Human Resources and Compensation Committee of the Board of Directors of Dollar Thrifty Automotive Group, Inc. Taken in Lieu of Special Meeting effective December 2, 2004 regarding the Fourth Amendment to Retirement Plan dated December 2, 2004, with amendment attached |
10.41 | Unanimous Consent to Action of the Human Resources and Compensation Committee of the Board of Directors of Dollar Thrifty Automotive Group, Inc. Taken in Lieu of Special Meeting effective December 2, 2004 regarding the amendment to the Dollar Thrifty Automotive Group, Inc. Retirement Savings Plan under the Bank of Oklahoma N.A. Defined Contribution Prototype Plan & Trust dated January 1, 2005, with amendment attached |
10.54 | Amended and Restated Long-Term Incentive Plan and Director Equity Plan dated as of March 23, 2005 and Adopted by Shareholders on May 20, 2005 |
10.58 | Indemnification Agreement dated as of May 20, 2005 between Dollar Thrifty Automotive Group, Inc. and Thomas P. Capo, non-employee director |
10.59 | Indemnification Agreement dated as of May 20, 2005 between Dollar Thrifty Automotive Group, Inc. and Maryann N. Keller, non-employee director |
10.60 | Indemnification Agreement dated as of May 20, 2005 between Dollar Thrifty Automotive Group, Inc. and Edward C. Lumley, non-employee director |
10.61 | Indemnification Agreement dated as of May 20, 2005 between Dollar Thrifty Automotive Group, Inc. and John C. Pope, non-employee director |
10.67 | Indemnification Agreement dated as of May 20, 2005 between Dollar Thrifty Automotive Group, Inc. and R. Scott Anderson, Senior Executive Vice President |
10.70 | Indemnification Agreement dated as of May 20, 2005 between Dollar Thrifty Automotive Group, Inc. and Vicki J. Vaniman, Executive Vice President and General Counsel |
10.71 | Indemnification Agreement dated as of May 20, 2005 between Dollar Thrifty Automotive Group, Inc. and Pamela S. Peck, Vice President and Treasurer |
10.82 | Notice of Election Regarding Payment of Director’s Fees (As Amended and Restated) dated December 2, 2005 executed by Maryann N. Keller |
10.97 | Unanimous Consent to Action of the Human Resources and Compensation Committee of the Board of Directors of Dollar Thrifty Automotive Group, Inc. Taken in Lieu of Special Meeting effective February 1, 2006 regarding the amendment and restatement of Appendix C to the Dollar Thrifty Automotive Group, Inc. Retirement Savings Plan, with Appendix C attached |
10.106 | Indemnification Agreement dated as of March 22, 2006 between Dollar Thrifty Automotive Group, Inc. and Richard W. Neu, non-employee director | |
10.107 | Roth 401(k) Amendment effective as of March 1, 2006 for the Dollar Thrifty Automotive Group, Inc. Retirement Savings Plan | |
10.119 | Mandatory Retirement Policy approved by the Human Resources and Compensation Committee of the Board of Directors of Dollar Thrifty Automotive Group, Inc. on July 26, 2006 | |
10.123 | Second Amended and Restated Data Processing Services Agreement dated as of August 1, 2006 by and among Dollar Thrifty Automotive Group, Inc., Electronic Data Systems Corporation and EDS Information Services L.L.C. | |
10.143 | Credit Agreement dated as of June 15, 2007 among Dollar Thrifty Automotive Group, as the borrower, various financial institutions as are or may become parties thereto, Deutsche Bank Trust Company Americas, as the administrative agent, The Bank of Nova Scotia, as the syndication agent, and Deutsche Bank Securities Inc. and The Bank of Nova Scotia as the joint lead arrangers and joint bookrunners |
10.159 | Form of Performance Unit Grant Agreement between the Company and the applicable employee |
10.160 | Form of Stock Option Grant Agreement between the Company and the applicable employee |
10.177 | Amendment to Notice of Election Regarding Payment of Director’s Fees (Earned and Deferred through December 31, 2007) dated December 31, 2007 executed by Thomas P. Capo |
10.178 | Amendment to Notice of Election Regarding Payment of Director’s Fees (Earned and Deferred through December 31, 2007) dated December 26, 2007 executed by Richard W. Neu |
10.179 | Amendment to Notice of Election Regarding Payment of Director’s Fees (Earned and Deferred through December 31, 2007) dated December 31, 2007 executed by John C. Pope |
10.180 | Consent to Action in Lieu of Meeting of the Board of Directors of Dollar Thrifty Automotive Group, Inc. effective January 1, 2008 regarding the amendment to the Dollar Thrifty Automotive Group, Inc. Retirement Savings Plan under the Bank of Oklahoma N.A. Defined Contribution Prototype Plan and Trust dated November 29, 2007 |
10.181 | Amendment to Notice of Election Regarding Payment of Director’s Fees for Calendar Year 2008 dated December 31, 2007 executed by Thomas P. Capo |
10.184 | Amendment to Notice of Election Regarding Payment of Director’s Fees for Calendar Year 2008 dated December 26, 2007 executed by Richard W. Neu |
10.188 | Indemnification Agreement dated as of April 8, 2008 between Dollar Thrifty Automotive Group, Inc. and Kimberly D. Paul, Vice President and Chief Accounting Officer |
10.191 | Indemnification Agreement dated as of May 23, 2008 between Dollar Thrifty Automotive Group, Inc. and Scott L. Thompson, Senior Executive Vice President and Chief Financial Officer |
10.192 | First Amendment to Credit Agreement dated as of July 9, 2008 among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent, and various financial institutions as are party to the Credit Agreement |
10.200 | Second Amendment to Credit Agreement dated as of September 29, 2008 among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent, and various financial institutions as are party to the Credit Agreement |
10.203 | Third Amendment to Credit Agreement dated, as of November 17, 2008 and effective as of November 24, 2008, among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent, and various financial institutions as are party thereto |
10.204 | Second Amended and Restated Employment Continuation Plan for Key Employees of Dollar Thrifty Automotive Group, Inc. dated as of December 9, 2008 | |
10.205 | Employment Continuation Agreement dated December 9, 2008 between the Company and Scott L. Thompson | |
10.206 | Fourth Amendment to Credit Agreement dated as of February 4, 2009 among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent, and various financial institutions as are party thereto | |
10.207 | Fifth Amendment to Credit Agreement dated as of February 25, 2009 among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent, and various financial institutions as are party thereto | 1-13647)) |
10.210 | Umbrella 409A Amendment for Performance Shares effective December 9, 2008 |
10.211 | Amended and Restated Deferred Compensation Plan dated December 9, 2008 |
10.213 | Amended and Restated Retirement Plan effective as of December 9, 2008 |
10.214 | 2009 Deferred Compensation Plan effective January 1, 2009 |
10.217 | Form of Indemnification Agreement between the Company and the applicable employee |
10.218 | Vehicle Supply Agreement dated as of February 9, 2009 between Ford Motor Company and DTG (portions of the exhibit have been omitted pursuant to a request for confidential treatment) |
10.222 | Letter Agreement, dated as of June 2, 2009, between Dollar Thrifty Automotive Group, Inc., and Deutsche Bank Trust Company Americas, as letter of credit |
10.223 | Sixth Amendment to Credit Agreement, dated as of June 25, 2009 and effective as of June 26, 2009, among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent and letter of credit issuer, and various financial institutions as are party thereto |
10.224 | Form of Restricted Stock Unit Grant Agreement Between the Company and the applicable employee |
10.225 | First Amendment effective as of July 22, 2009, to the Vehicle Supply Agreement dated as of February 9, 2009, between Ford Motor Company and DTG (portions of the exhibit have been omitted pursuant to a request for confidential treatment) |
10.226 | Seventh Amendment to Credit Agreement, dated as of August 7, 2009, among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent and letter of credit issuer, and various financial institutions as are party thereto |
10.227 | Vehicle Supply Agreement dated as of August 4, 2009 between Chrysler Group LLC and DTG |
10.228 | Vehicle Purchase Agreement dated December 15, 2009 between General Motors LLC and Dollar Thrifty Automotive Group, Inc. (portions of the exhibit have been omitted pursuant to a request for confidential treatment) |
10.229 | Form of Director’s Deferred Compensation Election between the Company and the applicable director |
10.230 | Dollar Thrifty Automotive Group, Inc. Summary of Non-employee Director’s Compensation effective January 1, 2010 Until Further Modified |
10.231 | Form of Restricted Stock Units Grant Agreement between Dollar Thrifty Automotive Group, Inc. and the applicable director |
10.232 | Dollar Thrifty Automotive Group, Inc. 2010 Executive Incentive Compensation Plan |
10.233 | Second Amendment effective as of February 24, 2010, to the Vehicle Supply Agreement dated as of February 9, 2009, between Ford Motor Company and DTG (portions of the exhibit have been omitted pursuant to a request for confidential treatment) |
10.234 | First Amendment to Second Amended and Restated Employment Continuation Plan for Key Employees of Dollar Thrifty Automotive Group, Inc. dated as of March 24, 2010 |
10.235 | Second Amended and Restated Long-Term Incentive Plan and Director Equity Plan dated as of December 9, 2008 (filed as exhibit 10.212 with DTG’s Form 10-K for the fiscal year ended December 31, 2008, filed March 3, 2009), as amended effective on March 16, 2009 (filed as exhibit 10.221 with DTG’s Form 8-K filed May 20, 2009) and effective on March 31, 2009 (filed as exhibit 10.219 with DTG’s Form 10-Q for the quarterly period ended March 31, 2009, filed May 6, 2009) |
10.236 | Eighth Amendment to Credit Agreement, dated as of November 19, 2010, among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent and letter of credit issuer, and various financial institutions party thereto |
10.237 | Form of Performance Units Grant Agreement between the Company and the applicable employee |
10.238 | Ninth Amendment to Credit Agreement, dated as of February 9, 2011, among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent and letter of credit issuer, and various financial institutions party thereto |
10.239 | Vehicle Purchase Agreement dated December 13, 2010 (effective January 3, 2011) and Amendment No. 1 to the Vehicle Purchase Agreement dated December 16, 2010 (effective February 24, 2011) between General Motors LLC and Dollar Thrifty Automotive Group, Inc. (portions of the exhibit have been omitted pursuant to a request for confidential treatment) |
10.240 | Form of Directors Deferred Compensation Election between the Company and the applicable |
10.241 | Dollar Thrifty Automotive Group, Inc. Summary of Non-employee Director’s Compensation effective December 1, |
10.242 | Dollar Thrifty Automotive Group, Inc. 2011 Executive Incentive Compensation Plan (incorporated by reference to Exhibit 10.242 to Dollar Thrifty Automotive Group, Inc.’s Form 10-K for the fiscal year ended December 31, 2010, filed February 28, 2011 (Commission File No. 1-13647))† |
10.243 | Services Agreement dated April 4, 2011 by and between Dollar Thrifty Automotive Group, Inc. and HP Enterprise Services, LLC (portions of the exhibit have been omitted pursuant to a request for confidential treatment) (incorporated by reference to Exhibit 10.243 to Dollar Thrifty Automotive Group, Inc.’s Form 10-Q for the quarterly period ended March 31, 2011, filed May 5, 2011 (Commission File No. 1-13647)) |
10.244 | Vehicle Rental Supply Agreement effective as of March 5, 2008, by and between Expedia, Inc. and Dollar Thrifty Automotive Group, Inc., as amended by the First Amendment to Vehicle Rental Supply Agreement dated as of February 1, 2009, the Second Amendment to Vehicle Rental Supply Agreement dated July 10, 2009 and the Third Amendment to Vehicle Rental Supply Agreement dated June 16, 2011 (portions of the exhibit have been omitted pursuant to a request for confidential treatment) (incorporated by reference to Exhibit 10.244 to Dollar Thrifty Automotive Group, Inc.’s Form 10-Q for the quarterly period ended June 30, 2011, filed August 8, 2011 (Commission File No. 1-13647)) |
10.245 | Amendment 01, effective July 22, 2011, to the Services Agreement dated April 4, 2011 by and between Dollar Thrifty Automotive Group, Inc. and HP Enterprise Services, LLC (portions of the exhibit have been omitted pursuant to a request for confidential treatment) (incorporated by reference to Exhibit 10.245 to Dollar Thrifty Automotive Group, Inc.’s Form 10-Q for the quarterly period ended June 30, 2011, filed August 8, 2011 (Commission File No. 1-13647)) |
10.246 | Tenth Amendment to Credit Agreement, dated as of September 23, 2011, among Dollar Thrifty Automotive Group, Inc., as borrower, Deutsche Bank Trust Company Americas, as administrative agent and letter of credit issuer, and various financial institutions party thereto (incorporated by reference to Exhibit 10.246 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated September 23, 2011 (Commission File No. 1-13647)) |
10.247 | Fourth Amendment dated August 1, 2011 to Vehicle Rental Supply Agreement effective as of March 5, 2008, by and between Expedia, Inc. and Dollar Thrifty Automotive Group, Inc. (portions of the exhibit have been omitted pursuant to a request for confidential treatment) (incorporated by reference to Exhibit 10.247 to Dollar Thrifty Automotive Group, Inc.’s Form 10-Q for the quarterly period ended September 30, 2011, filed November 2, 2011 (Commission File No. 1-13647)) |
10.248 | Vehicle Purchase Agreement dated August 18, 2011 (effective October 12, 2011) between General Motors LLC and Dollar Thrifty Automotive Group, Inc. (portions of the exhibit have been omitted pursuant to a request for confidential treatment) (incorporated by reference to Exhibit 10.248 to Dollar Thrifty Automotive Group, Inc.’s Form 10-Q for the quarterly period ended September 30, 2011, filed November 2, 2011 (Commission File No. 1-13647)) |
10.249 | Credit Agreement dated as of February 16, 2012 among Dollar Thrifty Automotive Group, Inc. and DTG Operations, Inc., as borrowers, certain domestic subsidiaries of the borrowers, as guarantors, the lenders party thereto, JPMorgan Chase Bank, N.A. as syndication agent and Bank of America, N.A., as administrative agent, swing line lender and an L/C issuer, and Merrill Lynch, Pierce, Fenner, & Smith Incorporated and J.P. Morgan Securities LLC, as joint lead arrangers and joint book managers (incorporated by reference to Exhibit 10.249 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
10.250 | Security Agreement dated as of February 16, 2012 among Dollar Thrifty Automotive Group, Inc., DTG Operations, Inc. and the other subsidiary grantors party thereto and Bank of America, N.A., as administrative agent for the secured parties (incorporated by reference to Exhibit 10.250 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
10.251 | Pledge Agreement dated as of February 16, 2012 among Dollar Thrifty Automotive Group, Inc., DTG Operations, Inc. and the other subsidiary pledgors party thereto and Bank of America, N.A., as administrative agent for the secured parties (incorporated by reference to Exhibit 10.251 to Dollar Thrifty Automotive Group, Inc.’s Form 8-K, dated February 16, 2012 (Commission File No. 1-13647)) |
10.252 | Second Amendment to Second Amended and Restated Employment Continuation Plan for Key Employees of Dollar Thrifty Automotive Group, Inc. dated December 9, 2011†* |
10.253 | Dollar Thrifty Automotive Group, Inc. Summary of Non-employee Director’s Compensation effective January 1, 2012†* |
10.254 | Dollar Thrifty Automotive Group, Inc. 2012 Executive Incentive Compensation Plan†* |
10.255 | Retirement and Consulting Agreement by and between R. Scott Anderson and Dollar Thrifty Automotive Group, Inc. effective December 15, 2011†* |
10.256 | Form of Performance Unit Grant Agreement between Dollar Thrifty Automotive Group, Inc. and the applicable employee†* |
10.257 | Form of Restricted Stock Unit Grant Agreement between Dollar Thrifty Automotive Group, Inc. and the applicable director†* |
16.1 | Letter from Deloitte & Touche LLP to the Securities and Exchange Commission regarding statements included in Form 8-K |
21 | Subsidiaries of DTG* |
Consent of HoganTaylor LLP regarding Registration Statement on Form S-8, Registration No. 333-89189 | |
Consent of Ernst & Young LLP regarding DTG’s Forms S-8, Registration No. 333-79603, Registration No. 333-89189, Registration No. 333-33144, Registration No. 333-33146, Registration No. 333-50800, Registration No. 333-128714, Registration No. 333-152401 and Registration No. 333-161509 and Form S-3, Registration No. 333-161027* | |
23.46 | Consent of Deloitte & Touche LLP regarding DTG’s Forms S-8, Registration No. 333-79603, Registration No. 333-89189, Registration No. 333-33144, Registration No. 333-33146, Registration No. 333-50800, Registration No. 333-128714, Registration No. 333-152401 and Registration No. 333-161509 and Form S-3, Registration No. 333-161027* |
Certification by the Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002* | |
Certification by the Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002* | |
Certification by the Chief Executive Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002* |
Certification by the Chief Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002* | |
101.INS | XBRL Instance Document** |
101.SCH | XBRL Taxonomy Extension Schema Document** |
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document** |
101.DEF | XBRL Taxonomy Extension Definition Linkbase Document** |
101.LAB | XBRL Taxonomy Extension Label Linkbase Document** |
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document** |
† | Denotes management contract or compensatory plan |
* | |
Filed herewith |
** | Pursuant to Rule 406T of Regulation S-T, the Interactive Data Files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are deemed not filed for purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections |
(b) | Filed Exhibits |
The response to this item is submitted as a separate section of this report. | |
DOLLAR THRIFTY AUTOMOTIVE GROUP, INC. |
February 28, 2012 | By: | /s/ SCOTT L. THOMPSON |
Scott L. Thompson | ||
President and Principal Executive Officer |
Name | Title | Date |
/s/ SCOTT L. THOMPSON Scott L. Thompson | Chairman of the Board, Chief Executive Officer, President and Director | February 28, |
/s/ H. CLIFFORD BUSTER III H. Clifford Buster III | Chief Financial Officer, Senior Executive Vice President and Principal Financial Officer | February 28, |
/s/ KIMBERLY D. PAUL Kimberly D. Paul | Chief Accounting Officer, Vice President and Principal Accounting Officer | February 28, |
/s/ THOMAS P. CAPO Thomas P. Capo | Director | February 28, |
/s/ MARYANN N. KELLER Maryann N. Keller | Director | February 28, |
/s/ EDWARD C. LUMLEY Edward C. Lumley | Director | February 28, |
/s/ RICHARD W. NEU Richard W. Neu | Director | February 28, |
/s/ JOHN C. POPE John C. Pope | Director | February 28, |
Amendment No. | |
Amendment No. | |
Second Amendment | |
Dollar Thrifty Automotive Group, Inc. Summary of Non-employee Director’s Compensation effective | |
Dollar Thrifty Automotive Group, Inc. | |
Form of Performance Unit Grant Agreement between Dollar Thrifty Automotive Group, Inc. and the applicable employee | |
10.257 | Form of Restricted Stock Unit Grant Agreement between Dollar Thrifty Automotive Group, Inc. and the applicable director |
21 | Subsidiaries of DTG |
23.45 | Consent of Ernst & Young LLP regarding DTG’s Forms S-8, Registration No. 333-79603, Registration No. 333-89189, Registration No. 333-33144, Registration No. 333-33146, Registration No. 333-50800, Registration No. 333-128714, Registration No. 333-152401 and Registration No. 333-161509 and Form S-3, Registration No. 333-161027 |
23.46 | Consent of Deloitte & Touche LLP regarding DTG’s Forms S-8, Registration No. 333-79603, Registration No. 333-89189, Registration No. 333-33144, Registration No. 333-33146, Registration No. 333-50800, Registration No. 333-128714, Registration No. 333-152401 and Registration No. 333-161509 and Form S-3, Registration No. 333-161027 |
Certification by the Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | |
Certification by the Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | |
Certification by the Chief Executive Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | |
Certification by the Chief Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | |
101.INS | XBRL Instance Document* |
101.SCH | XBRL Taxonomy Extension Schema Document* |
101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document* |
101.DEF | XBRL Taxonomy Extension Definition Linkbase Document* |
101.LAB | XBRL Taxonomy Extension Label Linkbase Document* |
101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document* |
* | Pursuant to Rule 406T of Regulation S-T, the Interactive Data Files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are deemed not filed for purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections |