Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Jan. 29, 2016 | Jun. 30, 2015 | |
Document Documentand Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | CAR | ||
Entity Registrant Name | AVIS BUDGET GROUP, INC. | ||
Entity Central Index Key | 723,612 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 97,039,594 | ||
Entity Public Float | $ 4,532,680,060 |
Consolidated Statements Of Oper
Consolidated Statements Of Operations - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenues | |||||||||||
Vehicle rental | $ 6,026 | $ 6,026 | $ 5,707 | ||||||||
Other | 2,476 | 2,459 | 2,230 | ||||||||
Net revenues | 8,502 | 8,485 | 7,937 | ||||||||
Expenses | |||||||||||
Operating | 4,284 | 4,251 | 4,074 | ||||||||
Vehicle depreciation and lease charges, net | 1,933 | 1,996 | 1,811 | ||||||||
Selling, general and administrative | 1,093 | 1,080 | 1,019 | ||||||||
Vehicle interest, net | 289 | 282 | 264 | ||||||||
Non-vehicle related depreciation and amortization | 218 | 180 | 152 | ||||||||
Interest expense related to corporate debt, net: | |||||||||||
Interest expense | 194 | 209 | 228 | ||||||||
Early extinguishment of debt | 23 | 56 | 147 | ||||||||
Transaction-related costs, net | 68 | 13 | 51 | ||||||||
Restructuring expense | 18 | 26 | 61 | ||||||||
Impairment | 0 | 0 | 33 | ||||||||
Total expenses | 8,120 | 8,093 | 7,840 | ||||||||
Income before income taxes | 382 | 392 | 97 | ||||||||
Provision for income taxes | 69 | 147 | 81 | ||||||||
Net income | $ 313 | $ 245 | $ 16 | ||||||||
Earnings (loss) per share | |||||||||||
Basic (in dollars per share) | $ (0.06) | $ 1.80 | $ 1.36 | $ (0.09) | $ 0.22 | $ 1.84 | $ 0.25 | $ 0.03 | $ 3.02 | $ 2.32 | $ 0.15 |
Diluted (in dollars per share) | $ (0.06) | $ 1.77 | $ 1.34 | $ (0.09) | $ 0.21 | $ 1.74 | $ 0.24 | $ 0.03 | $ 2.98 | $ 2.22 | $ 0.15 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 313 | $ 245 | $ 16 |
Other comprehensive income (loss), net of tax | |||
Currency translation adjustments, net of tax of $(22), $(30) and $7, respectively | (131) | (115) | (27) |
Available-for-sale securities: | |||
Net unrealized gains (losses) on available-for-sale securities, net of tax of $1, $0 and $0, respectively | (2) | 0 | 0 |
Cash flow hedges: | |||
Net unrealized holding gains (losses), net of tax of $4, $4 and $1, respectively | (6) | (7) | 1 |
Less: Cash flow hedges reclassified to earnings, net of tax of $(3), $(3) and $0, respectively | 5 | 5 | 0 |
Minimum pension liability adjustment: | |||
Pension and post-retirement benefits, net of tax of $(1), $25 and $(19), respectively | 6 | (24) | 24 |
Less: Pension and post-retirement benefits reclassified to earnings, net of tax of $(2), $(1) and $(6), respectively | 3 | 2 | 9 |
Other comprehensive income (loss) | (125) | (139) | 7 |
Total comprehensive income | $ 188 | $ 106 | $ 23 |
Consolidated Statements Of Com4
Consolidated Statements Of Comprehensive Income (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Comprehensive Income [Abstract] | |||
Other Comprehensive Income (Loss), Foreign Currency Translation Gain (Loss) Arising During Period, Tax | $ (22) | $ (30) | $ 7 |
Net Unrealized gains (losses) on available-for-sale securities, tax | 1 | 0 | 0 |
Net unrealized holding losses arising during period,tax | 4 | 4 | 1 |
Cash flow hedges reclassified to earnings, tax | (3) | (3) | 0 |
Pension and post retirement benefits, tax | (1) | 25 | (19) |
Pension and post retirement benefits reclassified to earnings, tax | $ (2) | $ (1) | $ (6) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 452 | $ 624 |
Receivables (net of allowance for doubtful accounts of $34, respectively) | 668 | 599 |
Other current assets | 507 | 456 |
Total current assets | 1,627 | 1,679 |
Property and equipment, net | 681 | 638 |
Deferred income taxes | 1,488 | 1,511 |
Goodwill | 973 | 842 |
Other intangibles, net | 917 | 886 |
Other non-current assets | 232 | 228 |
Total assets exclusive of assets under vehicle programs | 5,918 | 5,784 |
Assets under vehicle programs: | ||
Program cash | 258 | 119 |
Vehicles, net | 10,658 | 10,215 |
Receivables from vehicle manufacturers and other | 438 | 362 |
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 362 | 362 |
Assets under vehicle programs | 11,716 | 11,058 |
Total assets | 17,634 | 16,842 |
Current liabilities: | ||
Accounts payable and other current liabilities | 1,485 | 1,491 |
Short-term debt and current portion of long-term debt | 26 | 28 |
Total current liabilities | 1,511 | 1,519 |
Long-term debt | 3,435 | 3,325 |
Other non-current liabilities | 734 | 766 |
Total liabilities exclusive of liabilities under vehicle programs | 5,680 | 5,610 |
Liabilities under vehicle programs: | ||
Debt | 2,064 | 1,760 |
Debt due to Avis Budget Rental Car Funding (AESOP) LLC—related party | 6,796 | 6,296 |
Deferred income taxes | 2,367 | 2,267 |
Other | 288 | 244 |
Total Liabilities under vehicle programs | $ 11,515 | $ 10,567 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, $.01 par value—authorized 10 shares; none issued and outstanding | $ 0 | $ 0 |
Common stock, $.01 par value—authorized 250 shares; issued 137 shares, respectively | 1 | 1 |
Additional paid-in capital | 7,010 | 7,212 |
Accumulated deficit | (1,802) | (2,115) |
Accumulated other comprehensive loss | (147) | (22) |
Treasury stock, at cost—39 and 31 shares, respectively | (4,623) | (4,411) |
Total stockholders’ equity | 439 | 665 |
Total liabilities and stockholders’ equity | $ 17,634 | $ 16,842 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Receivables, allowance for doubtful accounts | $ 34 | $ 34 |
Preferred stock,par value | $ 0.01 | $ 0.01 |
Preferred stock,shares authorized | 10,000,000 | 10,000,000 |
Preferred stock,shares issued | 0 | 0 |
Preferred stock,shares outstanding | 0 | 0 |
Common stock,par value | $ 0.01 | $ 0.01 |
Common stock,shares authorized | 250,000,000 | 250,000,000 |
Common stock,shares issued | 137,000,000 | 137,000,000 |
Treasury stock,shares | 39,000,000 | 31,000,000 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Operating activities | |||
Net income | $ 313 | $ 245 | $ 16 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Vehicle depreciation | 1,837 | 1,840 | 1,678 |
Gain on sale of vehicles, net | (60) | (7) | (6) |
Non-vehicle related depreciation and amortization | 218 | 180 | 152 |
Deferred income taxes | 58 | 65 | 37 |
Stock-based compensation | 28 | 25 | 20 |
Amortization of debt financing fees | 42 | 41 | 41 |
Early extinguishment of debt costs | 23 | 56 | 147 |
Impairment | 0 | 0 | 33 |
Net change in assets and liabilities, excluding the impact of acquisitions and dispositions: | |||
Receivables | (42) | (60) | (66) |
Income taxes | (18) | 37 | (14) |
Accounts payable and other current liabilities | (79) | (3) | (28) |
Other, net | 264 | 160 | 243 |
Net cash provided by operating activities | 2,584 | 2,579 | 2,253 |
Investing activities | |||
Property and equipment additions | (199) | (182) | (152) |
Proceeds received on asset sales | 15 | 21 | 22 |
Net assets acquired (net of cash acquired) | (256) | (416) | (537) |
Other, net | 6 | (11) | 2 |
Net cash used in investing activities exclusive of vehicle programs | (434) | (588) | (665) |
Vehicle programs: | |||
Increase in program cash | (148) | (10) | (79) |
Investment in vehicles | (11,928) | (11,875) | (10,899) |
Proceeds received on disposition of vehicles | 9,680 | 9,666 | 9,409 |
Net Cash Used In Investing Activities Of Vehicle Programs | (2,396) | (2,219) | (1,569) |
Net cash used in investing activities | (2,830) | (2,807) | (2,234) |
Financing activities | |||
Proceeds from long-term borrowings | 377 | 871 | 2,972 |
Payments on long-term borrowings | (301) | (762) | (2,608) |
Net change in short-term borrowings | (22) | 5 | (36) |
Debt financing fees | (7) | (17) | (37) |
Purchases of warrants | 0 | 0 | (78) |
Proceeds from sale of call options | 0 | 0 | 104 |
Repurchases of common stock | (393) | (297) | (48) |
Other, net | (7) | 0 | 3 |
Net cash (used in) provided by financing activities exclusive of vehicle programs | (353) | (200) | 272 |
Vehicle programs: | |||
Proceeds from borrowings | 14,138 | 14,373 | 12,953 |
Payments on borrowings | (13,648) | (13,963) | (13,115) |
Debt financing fees | (22) | (28) | (34) |
Net cash provided by financing activities of vehicle programs | 468 | 382 | (196) |
Net cash provided by (used in) financing activities | 115 | 182 | 76 |
Effect of changes in exchange rates on cash and cash equivalents | (41) | (23) | (8) |
Net (decrease) increase in cash and cash equivalents | (172) | (69) | 87 |
Cash and cash equivalents, beginning of period | 624 | 693 | 606 |
Cash and cash equivalents, end of period | 452 | 624 | 693 |
Supplemental Disclosure | |||
Interest payments | 454 | 474 | 457 |
Income tax payments, net | $ 29 | $ 45 | $ 58 |
Consolidated Statements Of Stoc
Consolidated Statements Of Stockholders' Equity - USD ($) shares in Thousands, $ in Millions | Total | Common Stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (Loss) | Treasury Stock |
Balance (in shares) at Dec. 31, 2012 | 137,100 | (30,000) | ||||
Balance at Dec. 31, 2012 | $ 757 | $ 1 | $ 8,211 | $ (2,376) | $ 110 | $ (5,189) |
Comprehensive income (loss): | ||||||
Net income | 16 | 16 | ||||
Other comprehensive income (loss) | 7 | 7 | ||||
Total comprehensive income (loss) | 23 | |||||
Net activity related to restricted stock units (in shares) | 400 | |||||
Net activity related to restricted stock units | 10 | (197) | $ 207 | |||
Number of Options - Exercised | 900 | |||||
Exercise of stock options | 2 | (155) | $ 157 | |||
Excess Tax Benefit from Share-based Compensation, Financing Activities | 3 | 3 | ||||
Activity related to employee stock purchase plan | 1 | (1) | $ 2 | |||
Repurchase of warrants | (78) | (78) | ||||
Sale of call options, net of tax of $(1) | 103 | 110 | ||||
Treasury Stock, Shares | 200 | |||||
Treasury Stock, Value | $ (7) | |||||
Balance (in shares) at Dec. 31, 2013 | 137,100 | (30,500) | ||||
Balance at Dec. 31, 2013 | 771 | $ 1 | 7,893 | (2,360) | 117 | $ (4,880) |
Comprehensive income (loss): | ||||||
Stock Repurchased During Period, Shares | (1,600) | |||||
Repurchases of common stock | (48) | $ (50) | ||||
Stock Repurchased During Period, Value | (50) | |||||
Balance (in shares) at Dec. 31, 2012 | 137,100 | (30,000) | ||||
Balance at Dec. 31, 2012 | 757 | $ 1 | 8,211 | (2,376) | 110 | $ (5,189) |
Balance (in shares) at Dec. 31, 2015 | 137,100 | (39,300) | ||||
Balance at Dec. 31, 2015 | 439 | $ 1 | 7,010 | (1,802) | (147) | $ (4,623) |
Comprehensive income (loss): | ||||||
Stock Repurchased During Period, Value | (745) | |||||
Balance (in shares) at Dec. 31, 2013 | 137,100 | (30,500) | ||||
Balance at Dec. 31, 2013 | 771 | $ 1 | 7,893 | (2,360) | 117 | $ (4,880) |
Comprehensive income (loss): | ||||||
Net income | 245 | 245 | ||||
Other comprehensive income (loss) | (139) | (139) | ||||
Total comprehensive income (loss) | 106 | |||||
Net activity related to restricted stock units (in shares) | 700 | |||||
Net activity related to restricted stock units | 10 | (143) | $ 153 | |||
Number of Options - Exercised | 100 | |||||
Exercise of stock options | 0 | (20) | $ 20 | |||
Excess Tax Benefit from Share-based Compensation, Financing Activities | 12 | 12 | ||||
Activity related to employee stock purchase plan | $ 0 | (1) | $ 1 | |||
Stock Issued During Period, Shares, Conversion of Convertible Securities | (4,000) | (4,000) | ||||
Stock Issued During Period, Value, Conversion of Convertible Securities | $ 66 | (529) | $ 595 | |||
Balance (in shares) at Dec. 31, 2014 | 137,100 | (31,400) | ||||
Balance at Dec. 31, 2014 | 665 | $ 1 | 7,212 | (2,115) | (22) | $ (4,411) |
Comprehensive income (loss): | ||||||
Stock Repurchased During Period, Shares | (5,700) | |||||
Repurchases of common stock | (297) | $ (300) | ||||
Stock Repurchased During Period, Value | (300) | |||||
Net income | 313 | |||||
Other comprehensive income (loss) | (125) | (125) | ||||
Total comprehensive income (loss) | 188 | |||||
Net activity related to restricted stock units (in shares) | 900 | |||||
Net activity related to restricted stock units | $ (13) | (191) | $ 178 | |||
Number of Options - Exercised | 20 | 0 | ||||
Exercise of stock options | $ 0 | (3) | $ 3 | |||
Adjustments to Additional Paid in Capital, Income Tax Deficiency from Share-based Compensation | (7) | (7) | ||||
Activity related to employee stock purchase plan | 0 | (1) | $ 1 | |||
Balance (in shares) at Dec. 31, 2015 | 137,100 | (39,300) | ||||
Balance at Dec. 31, 2015 | $ 439 | $ 1 | $ 7,010 | $ (1,802) | $ (147) | $ (4,623) |
Comprehensive income (loss): | ||||||
Stock Repurchased During Period, Shares | (16,100) | (8,800) | ||||
Repurchases of common stock | $ (393) | $ (394) | ||||
Stock Repurchased During Period, Value | $ (394) |
Consolidated Statements Of Sto9
Consolidated Statements Of Stockholders' Equity (Parenthetical) $ in Millions | 12 Months Ended |
Dec. 31, 2013USD ($) | |
Statement of Stockholders' Equity [Abstract] | |
Sale of call options, tax | $ (1) |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | 1. Basis of Presentation Avis Budget Group, Inc. provides car and truck rentals, car sharing services and ancillary services to businesses and consumers worldwide. The accompanying Consolidated Financial Statements include the accounts and transactions of Avis Budget Group, Inc. and its subsidiaries, as well as entities in which Avis Budget Group, Inc. directly or indirectly has a controlling financial interest (collectively, the “Company”). The Company operates the following reportable business segments: • Americas —provides and licenses the Company’s brands to third parties for vehicle rentals and ancillary products and services in North America, South America, Central America and the Caribbean, and operates the Company’s car sharing business in certain of these markets. • International —provides and licenses the Company’s brands to third parties for vehicle rentals and ancillary products and services in Europe, the Middle East, Africa, Asia, Australia and New Zealand, and operates the Company’s car sharing business in certain of these markets. In 2015, 2014 and 2013, the Company completed the business acquisitions discussed in Note 5 to these Consolidated Financial Statements. The operating results of the acquired businesses are included in the accompanying Consolidated Financial Statements from the dates of acquisition. The Company presents separately the financial data of its vehicle programs. These programs are distinct from the Company’s other activities since the assets under vehicle programs are generally funded through the issuance of debt that is collateralized by such assets. The income generated by these assets is used, in part, to repay the principal and interest associated with the debt. Cash inflows and outflows relating to the acquisition of such assets and the principal debt repayment or financing of such assets are classified as activities of the Company’s vehicle programs. The Company believes it is appropriate to segregate the financial data of its vehicle programs because, ultimately, the source of repayment of such debt is the realization of such assets. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Accounting Principles The Company’s Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Principles of Consolidation The Consolidated Financial Statements include the accounts of the Company and all entities in which it has a direct or indirect controlling financial interest and variable interest entities for which the Company has determined it is the primary beneficiary. Intercompany transactions have been eliminated in consolidation. Reclassifications Certain reclassifications have been made to prior years’ Consolidated Financial Statements to conform to the current year presentation. These reclassifications have no impact on period reported net income or cash flow. Use of Estimates and Assumptions The use of estimates and assumptions as determined by management is required in the preparation of the Consolidated Financial Statements in conformity with GAAP. These estimates are based on management’s evaluation of historical trends and other information available when the Consolidated Financial Statements are prepared and may affect the amounts reported and related disclosures. Actual results could differ from those estimates. Revenue Recognition The Company derives revenue primarily through the operation and licensing of its rental systems and by providing vehicle rentals and other services to business and leisure travelers and others. Other revenue includes sales of loss damage waivers and insurance products, fuel and fuel service charges, rentals of GPS navigation units and other items. Revenue is recognized when persuasive evidence of an arrangement exists, the services have been rendered to customers, the pricing is fixed or determinable and collection is reasonably assured. Vehicle rental and rental-related revenue is recognized over the period the vehicle is rented. Licensing revenue principally consists of royalties paid by the Company’s licensees and is recorded within other revenues as the licensees’ revenue is earned (over the rental period of a vehicle). The Company renews license agreements in the normal course of business and occasionally terminates, purchases or sells license agreements. In connection with ongoing fees that the Company receives from its licensees pursuant to license agreements, the Company is required to provide certain services, such as training, marketing and the operation of reservation systems. Revenue and expenses associated with gasoline, vehicle licensing and airport concessions are recorded on a gross basis within revenue and operating expenses. Membership fees related to the Company’s car sharing business are generally nonrefundable, are deferred and recognized ratably over the period of membership and are included in accounts payable and other current liabilities in the Consolidated Balance Sheets. Currency Translation Assets and liabilities of foreign operations are translated at the rate of exchange in effect on the balance sheet date; income and expenses are translated at the prevailing monthly average rate of exchange. The related translation adjustments are reflected in accumulated other comprehensive income (loss) in the stockholders’ equity section of the Consolidated Balance Sheets and in the Consolidated Statements of Comprehensive Income. The accumulated currency translation adjustment as of December 31, 2015 and 2014 was $(80) million and $51 million , respectively. The Company has designated its 6% Euro-denominated Notes as a hedge of its investment in Euro-denominated foreign operations and, accordingly, records the effective portion of gains or losses on this net investment hedge in accumulated other comprehensive income (loss) as part of currency translation adjustments. Cash and Cash Equivalents The Company considers highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Property and Equipment Property and equipment (including leasehold improvements) are stated at cost, net of accumulated depreciation and amortization. Depreciation (non-vehicle related) is computed utilizing the straight-line method over the estimated useful lives of the related assets. Amortization of leasehold improvements is computed utilizing the straight-line method over the estimated benefit period of the related assets, which may not exceed 20 years, or the lease term, if shorter. Useful lives are as follows: Buildings 30 years Furniture, fixtures & equipment 3 to 10 years Capitalized software 3 to 7 years Buses and support vehicles 4 to 15 years The Company capitalizes the costs of software developed for internal use when the preliminary project stage is completed and management (i) commits to funding the project and (ii) believes it is probable that the project will be completed and the software will be used to perform the function intended. The software developed or obtained for internal use is amortized on a straight-line basis commencing when such software is ready for its intended use. The net carrying value of software developed or obtained for internal use was $185 million and $140 million as of December 31, 2015 and 2014 , respectively. Goodwill and Other Intangible Assets Goodwill represents the excess, if any, of the fair value of the consideration transferred by the acquirer and the fair value of any non-controlling interest remaining in the acquiree, if any, over the fair values of the identifiable net assets acquired. The Company does not amortize goodwill, but assesses it for impairment at least annually and whenever events or changes in circumstances indicate that the carrying amounts of their respective reporting units exceed their fair values. The Company performs its annual impairment assessment in the fourth quarter of each year at the reporting unit level. The Company assesses goodwill for such impairment by comparing the carrying value of each reporting unit to its fair value using the present value of expected future cash flows. When appropriate, comparative market multiples and other factors are used to corroborate the discounted cash flow results. Other intangible assets, primarily trademarks, with indefinite lives are not amortized but are evaluated annually for impairment and whenever events or changes in circumstances indicate that the carrying amount of this asset may exceed its fair value. If the carrying value of an other intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess. Other intangible assets with finite lives are amortized over their estimated useful lives and are evaluated each reporting period to determine if circumstances warrant a revision to these lives. Impairment of Long-Lived Assets The Company is required to assess long-lived assets for impairment whenever circumstances indicate impairment may have occurred. This analysis is performed by comparing the respective carrying values of the assets to the undiscounted expected future cash flows to be generated from such assets. Property and equipment is evaluated separately at the lowest level of identifiable cash flows. If such analysis indicates that the carrying value of these assets is not recoverable, the carrying value of such assets is reduced to fair value. Program Cash Program cash primarily represents amounts specifically designated to purchase assets under vehicle programs and/or to repay the related debt. Vehicles Vehicles are stated at cost, net of accumulated depreciation. The initial cost of the vehicles is recorded net of incentives and allowances from manufacturers. The Company acquires many of its rental vehicles pursuant to repurchase and guaranteed depreciation programs established by automobile manufacturers. Under these programs, the manufacturers agree to repurchase vehicles at a specified price and date, or guarantee the depreciation rate for a specified period of time, subject to certain eligibility criteria (such as car condition and mileage requirements). The Company depreciates vehicles such that the net book value on the date of return to the manufacturers is intended to equal the contractual guaranteed residual values, thereby minimizing any gain or loss. Rental vehicles acquired outside of manufacturer repurchase and guaranteed depreciation programs are depreciated based upon their estimated residual values at their expected dates of disposition, after giving effect to anticipated conditions in the used car market. Any adjustments to depreciation are made prospectively. The estimation of residual values requires the Company to make assumptions regarding the age and mileage of the car at the time of disposal, as well as expected used vehicle auction market conditions. The Company periodically evaluates estimated residual values and adjusts depreciation rates as appropriate. Differences between actual residual values and those estimated result in a gain or loss on disposal and are recorded as part of vehicle depreciation at the time of sale. Vehicle-related interest expense amounts are net of vehicle-related interest income of $13 million , $10 million and $9 million for 2015 , 2014 and 2013 , respectively. Advertising Expenses Advertising costs are generally expensed in the period incurred. Advertising expenses, recorded within selling, general and administrative expense on our Consolidated Statements of Operations, include radio, television, travel partner rewards programs, Internet advertising and other advertising and promotions and were approximately $123 million , $112 million and $116 million in 2015 , 2014 and 2013 , respectively. Taxes The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. The Company records net deferred tax assets to the extent it believes that it is more likely than not that these assets will be realized. In making such determination, the Company considers all available positive and negative evidence, including scheduled reversals of deferred tax liabilities, projected future taxable income, tax planning strategies and recent results of operations. In the event the Company were to determine that it would be able to realize the deferred income tax assets in the future in excess of their net recorded amount, the Company would adjust the valuation allowance, which would reduce the provision for income taxes. The Company reports revenues net of any tax assessed by a governmental authority that is both imposed on and concurrent with a specific revenue-producing transaction between a seller and a customer. Fair Value Measurements The Company measures fair value of assets and liabilities and discloses the source for such fair value measurements. Financial assets and liabilities are classified as follows: Level 1, which refers to assets and liabilities valued using quoted prices from active markets for identical assets or liabilities; Level 2, which refers to assets and liabilities for which significant other observable market inputs are readily available; and Level 3, which are valued based on significant unobservable inputs. The fair value of the Company’s financial instruments is generally determined by reference to market values resulting from trading on a national securities exchange or in an over-the-counter market (Level 1 inputs). In some cases where quoted market prices are not available, prices are derived by considering the yield of the benchmark security that was issued to initially price the instruments and adjusting this rate by the credit spread that market participants would demand for the instruments as of the measurement date (Level 2 inputs). In situations where long-term borrowings are part of a conduit facility backed by short-term floating rate debt, the Company has determined that its carrying value approximates the fair value of this debt (Level 2 inputs). The carrying amounts of cash and cash equivalents, available-for-sale securities, accounts receivable, program cash and accounts payable and accrued liabilities approximate fair value due to the short-term maturities of these assets and liabilities. The Company’s derivative assets and liabilities consist principally of currency exchange contracts, interest rate swaps, interest rate caps and commodity contracts, and are carried at fair value based on significant observable inputs (Level 2 inputs). Derivatives entered into by the Company are typically executed over-the-counter and are valued using internal valuation techniques, as no quoted market prices exist for such instruments. The valuation technique and inputs depend on the type of derivative and the nature of the underlying exposure. The Company principally uses discounted cash flows to value these instruments. These models take into account a variety of factors including, where applicable, maturity, commodity prices, interest rate yield curves of the Company and counterparties, credit curves, counterparty creditworthiness and currency exchange rates. These factors are applied on a consistent basis and are based upon observable inputs where available. Derivative Instruments Derivative instruments are used as part of the Company’s overall strategy to manage exposure to market risks associated with fluctuations in currency exchange rates, interest rates and gasoline costs. As a matter of policy, derivatives are not used for trading or speculative purposes. All derivatives are recorded at fair value either as assets or liabilities. Changes in fair value of derivatives not designated as hedging instruments are recognized currently in earnings within the same line item as the hedged item. The effective portion of changes in fair value of a derivative that is designated as either a cash flow or net investment hedge is recorded as a component of accumulated other comprehensive income (loss). The ineffective portion is recognized in earnings within the same line item as the hedged item, including vehicle interest, net or interest related to corporate debt, net. Amounts included in accumulated other comprehensive income (loss) are reclassified into earnings in the same period during which the hedged item affects earnings. Amounts related to our derivative instruments are recognized in the Consolidated Statements of Cash Flows consistent with the nature of the hedged item (principally operating activities). Investments Joint venture investments are typically accounted for under the equity method of accounting. Under this method, the Company records its proportional share of the joint venture’s net income or loss within operating expenses in the Consolidated Statements of Operations. The Company assesses equity method investments for impairment whenever events or changes in circumstances indicate that the carrying amounts of such investments may not be recoverable. Any difference between the carrying value of the equity method investment and its estimated fair value is recognized as an impairment charge if the loss in value is deemed other than temporary. As of December 31, 2015 and 2014 , the Company had investments in several joint ventures with a carrying value of $36 million and $46 million , respectively, recorded within other non-current assets on the Consolidated Balance Sheets. Aggregate realized gains and losses on investments and dividend income are recorded within operating expenses on the Consolidated Statements of Operations. During 2014 , the Company realized gains of $7 million from the sale of equity investments and during 2015 and 2013 , the amounts realized were not material. Self-Insurance Reserves The Consolidated Balance Sheets include $413 million and $397 million of liabilities associated with retained risks of liability to third parties as of December 31, 2015 and 2014 , respectively. Such liabilities relate primarily to public liability and third-party property damage claims, as well as claims arising from the sale of ancillary insurance products including but not limited to supplemental liability, personal effects protection and personal accident insurance. These obligations represent an estimate for both reported claims not yet paid and claims incurred but not yet reported. The estimated reserve requirements for such claims are recorded on an undiscounted basis utilizing actuarial methodologies and various assumptions which include, but are not limited to, the Company’s historical loss experience and projected loss development factors. The required liability is also subject to adjustment in the future based upon changes in claims experience, including changes in the number of incidents for which the Company is ultimately liable and changes in the cost per incident. These amounts are included within accounts payable and other current liabilities and other non-current liabilities. The Consolidated Balance Sheets also include liabilities of approximately $70 million and $67 million as of December 31, 2015 and 2014 , respectively, related to workers’ compensation, health and welfare and other employee benefit programs. The liabilities represent an estimate for both reported claims not yet paid and claims incurred but not yet reported, utilizing actuarial methodologies similar to those mentioned above. These amounts are included within accounts payable and other current liabilities and other non-current liabilities. Stock-Based Compensation Stock-based compensation cost is measured at the grant date, based on the fair value of the award, and is recognized as expense on a straight-line basis over the vesting period. The Company’s policy is to record compensation expense for stock options, and restricted stock units that are time- and performance-based, for the portion of the award that is expected to vest. Compensation expense related to market-based restricted stock units is recognized provided that the requisite service is rendered, regardless of when, if ever, the market condition is satisfied. We estimate the fair value of restricted stock units using the market price of the Company’s common stock on the date of grant. We estimate the fair value of stock-based and cash unit awards containing a market condition using a Monte Carlo simulation model. Key inputs and assumptions used in the Monte Carlo simulation model include the stock price of the award on the grant date, the expected term, the risk-free interest rate over the expected term, the expected annual dividend yield and the expected stock price volatility. The expected volatility is based on a combination of the historical and implied volatility of the Company’s publicly traded, near-the-money stock options, and the valuation period is based on the vesting period of the awards. The risk-free interest rate is derived from the U.S. Treasury yield curve in effect at the time of grant and, since the Company does not currently pay or plan to pay a dividend on its common stock, the expected dividend yield was zero. Business Combinations The Company uses the acquisition method of accounting for business combinations, which requires that the assets acquired and liabilities assumed be recorded at their respective fair values at the date of acquisition. Assets acquired and liabilities assumed in a business combination that arise from contingencies are recognized if fair value can be reasonably estimated at the acquisition date. The excess, if any, of (i) the fair value of the consideration transferred by the acquirer and the fair value of any non-controlling interest remaining in the acquiree, over (ii) the fair values of the identifiable net assets acquired is recorded as goodwill. Gains and losses on the re-acquisition of license agreements are recorded in the Consolidated Statements of Operations within transaction-related costs, net, upon completion of the respective acquisition. Costs incurred to effect a business combination are expensed as incurred, except for the cost to issue debt related to the acquisition. The Company records contingent consideration resulting from a business combination at its fair value on the acquisition date. The fair value of the contingent consideration is generally estimated by utilizing a Monte Carlo simulation technique, based on a range of possible future results (Level 3). Any changes in contingent consideration are recorded in transaction-related costs, net. During 2015, the Company paid $18 million of contingent consideration associated with the acquisition of Apex, which consisted of $9 million related to the liability recognized at fair value as of the acquisition date and $13 million related to fair value adjustments previously recognized in earnings, partially offset by $4 million of favorable currency exchange rate movements. Transaction-related Costs, net Transaction-related costs, net are classified separately in the Consolidated Statements of Operations. These costs comprise expenses related to acquisition-related activities such as due-diligence and other advisory costs, expenses related to the integration of the acquiree’s operations with those of the Company, including the implementation of best practices and process improvements, non-cash charges related to re-acquired rights, expenses related to pre-acquisition contingencies and contingent consideration related to acquisitions. Currency Transactions Currency gains and losses resulting from foreign currency transactions are generally included in operating expenses within the Consolidated Statement of Operations; however, the net gain or loss of currency transactions on intercompany loans and the unrealized gain or loss on intercompany loan hedges are included within interest expense related to corporate debt, net. During the years ended December 31, 2015 , 2014 and 2013 , the Company recorded losses of $11 million , $9 million and $11 million , respectively, on such items. Adoption of New Accounting Standards During 2015 On January 1, 2015, the Company adopted Accounting Standards Update (“ASU”) 2014-08, “Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity,” which changes the criteria for determining which disposals can be presented as discontinued operations and also modifies related disclosure requirements. The adoption of this accounting pronouncement did not have an impact on the Company’s Consolidated Financial Statements. In November 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-17, “Balance Sheet Classification of Deferred Taxes,” which requires that deferred tax liabilities and assets be classified as non-current in a classified statement of financial position. ASU 2015-17 becomes effective for the Company on January 1, 2017; however, the Company has elected to adopt the provisions of ASU 2015-17 early on a retrospective basis. Accordingly, in the Company’s Consolidated Balance Sheet as of December 31, 2014, current deferred income tax assets of $159 million have been reclassified to non-current assets to conform to ASU 2015-17. For additional information, see Note 8-Income Taxes. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which requires that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of the related debt liability. ASU 2015-03 becomes effective for the Company on January 1, 2016; however, the Company has elected to adopt the provisions of ASU 2015-03 early on a retrospective basis. Accordingly, in the Company’s Consolidated Balance Sheet as of December 31, 2014, debt issuance costs associated with long-term debt of $67 million and $60 million were reclassified from other noncurrent assets to long-term debt and to liabilities under vehicle programs, respectively, to conform to ASU 2015-03. For additional information, see Note 12-Long-term Debt and Borrowing Arrangements, Note13-Debt under Vehicle Programs, Note 18-Financial Instruments and Note 19-Segment Information. Recently Issued Accounting Pronouncements In January 2016, the FASB issued ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities,” which makes limited amendments to the classification and measurement of financial instruments. The new standard amends certain disclosure requirements associated with the fair value of financial instruments. ASU 2016-01 becomes effective for the Company on January 1, 2018. The adoption of this accounting pronouncement is not expected to have a material impact on the Company’s Consolidated Financial Statements. In September 2015, the FASB issued ASU 2015-16, “Simplifying the Accounting for Measurement-Period Adjustments,” which eliminates the requirement to retrospectively account for adjustments made to provisional amounts recognized in a business combination at the acquisition date. Instead, the cumulative impact of any adjustment will be recognized in the reporting period in which the adjustment is identified. ASU 2015-16 became effective for the Company on January 1, 2016. The adoption of this accounting pronouncement did not have a material impact on the Company’s Consolidated Financial Statements. In April 2015, the FASB issued ASU 2015-05, “Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement,” which provides guidance for determining whether a cloud computing arrangement contains a software license that should be accounted for as internal-use software, rather than as a service contract. ASU 2015-05 became effective for the Company on January 1, 2016. The adoption of this accounting pronouncement did not have a material impact on the Company’s Consolidated Financial Statements. In August 2014, the FASB issued ASU 2014-15, “Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern,” which requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued and to provide related footnote disclosures in certain circumstances. ASU 2014-15 became effective for the Company on January 1, 2016. The adoption of this accounting pronouncement did not have an impact on the Company’s Consolidated Financial Statements. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers,” which outlines a single model for entities to use in accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance. ASU 2014-09 becomes effective for the Company on January 1, 2018. The Company has not completed its preliminary evaluation of the effect of this accounting pronouncement and cannot yet quantify the impact on its Consolidated Financial Statements. The Company has not yet selected a transition method by which it will adopt this standard. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following table sets forth the computation of basic and diluted earnings per share (“EPS”) (shares in millions): Year Ended December 31, 2015 2014 2013 Net income for basic EPS $ 313 $ 245 $ 16 Convertible debt interest, net of tax — 1 — Net income for diluted EPS $ 313 $ 246 $ 16 Basic weighted average shares outstanding 103.4 105.4 107.6 Options, warrants and non-vested stock 1.6 2.1 3.8 Convertible debt — 3.1 — Diluted weighted average shares outstanding 105.0 110.6 111.4 Earnings per share: Basic $ 3.02 $ 2.32 $ 0.15 Diluted $ 2.98 $ 2.22 $ 0.15 The following table summarizes the Company’s outstanding common stock equivalents that were anti-dilutive and therefore excluded from the computation of diluted EPS (shares in millions): As of December 31, 2015 2014 2013 Non-vested stock (a) 0.1 — — Shares underlying convertible debt — — 4.0 __________ (a) The weighted average grant date fair value for anti-dilutive non-vested stock for 2015 was $61.15 . |
Restructuring
Restructuring | 12 Months Ended |
Dec. 31, 2015 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | 4. Restructuring In conjunction with recent acquisitions (see Note 5-Acquisitions), the Company has identified opportunities to integrate and streamline its operations, primarily in Europe (the “Acquisition integration”). During the year ended December 31, 2015, as part of this process, the Company formally communicated the termination of employment to approximately 180 employees, and as of December 31, 2015, the Company terminated approximately 140 of these employees. The costs associated with this initiative primarily represent severance, outplacement services and other costs associated with employee terminations, the majority of which have been or are expected to be settled in cash. The Company expects further restructuring expense of approximately $10 million related to this initiative to be incurred in 2016. In 2014, the Company committed to various strategic initiatives to identify best practices and drive efficiency throughout its organization, by reducing headcount, improving processes and consolidating functions (the “T15 restructuring”). During the years ended December 31, 2015 and 2014, as part of this process, the Company formally communicated the termination of employment to approximately 325 and 75 employees, respectively. During 2015, the Company terminated approximately 315 of the affected employees. The costs associated with this initiative primarily represent severance, outplacement services and other costs associated with employee terminations, the majority of which have been or are expected to be settled in cash. The Company does not anticipate any further restructuring expense related to this phase of the initiative. In 2012, the Company initiated a strategic restructuring initiative to better position its truck rental operations in the United States, in which it closed certain rental locations and decreased the size of the rental fleet, with the intent to increase fleet utilization and reduce costs (the “Truck Rental restructuring”). This initiative is complete. In 2011, subsequent to the acquisition of Avis Europe plc, the Company initiated restructuring initiatives, identifying synergies across the Company, enhancing organizational efficiencies and consolidating and rationalizing processes (the “Avis Europe restructuring”). During the years ended December 31, 2014 and 2013 , as part of this process, the Company formally communicated the termination of employment to approximately 230 and 580 employees, respectively. The costs associated with severance, outplacement services and other costs associated with employee terminations were settled in cash. This initiative is substantially complete. The following tables summarize the change to our restructuring-related liabilities and identify the amounts recorded within the Company’s reporting segments for restructuring charges and corresponding payments and utilizations: Personnel Related Facility Related Other (a) Total Balance as of January 1, 2013 $ 12 $ 1 $ — $ 13 Avis Europe restructuring expense 34 6 — 40 Truck Rental restructuring expense — — 21 21 Avis Europe restructuring payment (29 ) (2 ) — (31 ) Truck Rental payment/utilization — — (21 ) (21 ) Balance as of December 31, 2013 17 5 — 22 Avis Europe restructuring expense 20 1 — 21 T15 restructuring expense 5 — — 5 Avis Europe restructuring payment (27 ) (3 ) — (30 ) T15 restructuring payment (1 ) — — (1 ) Balance as of December 31, 2014 14 3 — 17 T15 restructuring expense 9 — — 9 Acquisition integration expense 9 — — 9 Avis Europe restructuring payment (7 ) (2 ) — (9 ) T15 restructuring payment (12 ) — — (12 ) Acquisition integration payment (3 ) — — (3 ) Balance as of December 31, 2015 $ 10 $ 1 $ — $ 11 __________ (a) Includes expenses related to the disposition of vehicles. Americas International Total Balance as of January 1, 2013 $ 1 $ 12 $ 13 Avis Europe restructuring expense 7 33 40 Truck Rental restructuring expense 21 — 21 Avis Europe restructuring payment (7 ) (24 ) (31 ) Truck Rental payment/utilization (21 ) — (21 ) Balance as of December 31, 2013 1 21 22 Avis Europe restructuring expense 4 17 21 T15 restructuring expense 4 1 5 Avis Europe restructuring payment (4 ) (26 ) (30 ) T15 restructuring payment (1 ) — (1 ) Balance as of December 31, 2014 4 13 17 T15 restructuring expense 6 3 9 Acquisition integration expense 1 8 9 Avis Europe restructuring payment (1 ) (8 ) (9 ) T15 restructuring payment (8 ) (4 ) (12 ) Acquisition integration payment (1 ) (2 ) (3 ) Balance as of December 31, 2015 $ 1 $ 10 $ 11 |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2015 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions 2015 Maggiore Group In April 2015 , the Company completed the acquisition of Maggiore Group (“Maggiore”) for approximately $160 million , net of acquired cash and short-term investments. The investment enables the Company to expand its footprint with a leading provider of vehicle rental services in Italy. The excess of the purchase price over preliminary fair value of net assets acquired was allocated to goodwill, which was assigned to the Company’s International reportable segment. In connection with this acquisition, approximately $88 million was recorded in goodwill, $50 million was recorded in customer relationships, $34 million related to trademarks were recorded in other intangibles and $11 million was recorded in license agreements. The customer relationships, trademarks and license agreements will be amortized over a weighted average useful life of approximately ten years . The goodwill is not deductible for tax purposes. The fair value of the assets acquired and liabilities assumed has not yet been finalized and is therefore subject to change. Brazil In August 2013 , the Company made an initial equity investment of $53 million in its Brazilian licensee (“Brazil”) for a 50% ownership stake. Approximately $47 million of this consideration was paid in 2013 and the remaining consideration of $6 million was paid in 2014. In April 2015, the Company acquired the remaining 50% equity interest in Brazil, which is now a wholly-owned subsidiary, for cash consideration of $8 million plus $46 million principally to acquire debt interests and settle certain debt and accrued interest obligations. The acquisition enables the Company to significantly increase its presence in the Brazilian car rental market. The Company’s initial investment in Brazil was recorded as an equity investment within other non-current assets, and the Company’s share of Brazil’s operating results was reported within operating expenses. At December 31, 2014, the Company’s investment, which was recorded in its Americas reportable segment, totaled approximately $12 million , net of an impairment charge of $33 million ( $33 million , net of tax). The impairment charge was recorded at the time of the initial investment based on a combination of observable and unobservable fair value inputs (Level 3), specifically a combination of the Income approach-discounted cash flow method and the Market approach-public company market multiple method. Since the Company previously accounted for its 50% interest in Brazil as an equity-method investment, in order to recognize Brazil as a wholly-owned subsidiary in April 2015, the Company remeasured its previously held equity method investment to fair value using the Income approach-discounted cash flow method (Level 3), resulting in a loss of $8 million during 2015 as part of transaction-related costs. The results of the operations of Brazil and the fair value of its assets and liabilities have been included in the Company’s Consolidated Financial Statements from the date of the acquisition. As the fair value of the licensee’s liabilities exceeded its assets, $77 million was allocated to goodwill for the excess of the purchase price over preliminary fair value of net assets acquired, which was assigned to the Company’s Americas reportable segment and is not deductible for tax purposes. The fair value of the assets acquired and liabilities assumed has not yet been finalized and is therefore subject to change. Avis and Budget Licensees In November and April 2015, the Company completed the acquisitions of its Avis licensee in Poland and its Avis and Budget licensees in Norway, Sweden and Denmark, respectively, for approximately $62 million , net of acquired cash. Additionally, the Company settled debt obligations of approximately $23 million in Poland. These investments will enable the Company to expand its footprint of Company-operated locations in Europe. The excess of the purchase price over preliminary fair value of net assets acquired was allocated to goodwill, which was assigned to the Company’s International reportable segment. In connection with these acquisitions, approximately $36 million was recorded in license agreements, $29 million was recorded in goodwill and $12 million was recorded in customer relationships. The license agreements and customer relationships will be amortized over a weighted average useful life of approximately eight years . In addition, at the time of acquisition, the Company recorded a $25 million non-cash charge within transaction-related costs, net in connection with license rights reacquired by the Company. The goodwill is not deductible for tax purposes. The fair value of the assets acquired and liabilities assumed has not yet been finalized and is therefore subject to change. 2014 Budget Licensees During 2014, the Company completed the acquisition of its Budget licensees for Edmonton, Canada; Southern California and Las Vegas, and reacquired the right to operate the Budget brand in Portugal, for approximately $263 million , plus $132 million for acquired fleet. These investments enabled the Company to expand its footprint of Company-operated locations. The acquired fleet was financed under the Company’s existing vehicle financing arrangements. The excess of the purchase price over preliminary fair value of net assets acquired was allocated to goodwill, which was assigned to the Company’s Americas reportable segment for Edmonton, Southern California and Las Vegas and to the Company’s International reportable segment for Portugal. In connection with these acquisitions, approximately $58 million was recorded in identifiable intangible assets (consisting of $10 million related to customer relationships and $48 million related to the license agreements) and $192 million was recorded in goodwill. The customer relationships will be amortized over a weighted average useful life of approximately 12 years and the license agreements will be amortized over a weighted average useful life of approximately three years . In addition, the Company recorded a non-cash gain of approximately $20 million within transaction-related costs, net in connection with license rights reacquired by the Company. The goodwill is deductible for tax purposes. Differences between the preliminary allocation of purchase price and the final allocation were not material for Edmonton, Southern California and Las Vegas and Portugal. 2013 Payless Car Rental In July 2013 , the Company completed the acquisition of Payless for $46 million , net of acquired cash. The acquisition provided the Company with a position in the deep-value segment of the car rental industry. The excess of the purchase price over preliminary fair value of net assets acquired was allocated to goodwill, which was assigned to the Company’s Americas reportable segment. The goodwill is not deductible for tax purposes. In connection with this acquisition, $23 million was recorded in identifiable intangible assets (consisting of $16 million related to trademarks and $7 million related to license agreements) and $27 million was recorded in goodwill. The trademark assets are indefinite-lived and the license agreements will be amortized over an estimated life of 15 years. Zipcar In March 2013 , the Company completed the acquisition of the entire issued share capital of Zipcar, a leading car sharing company, for $473 million , net of acquired cash. The acquisition increased the Company’s growth potential and its ability to better serve a greater variety of customer transportation needs. The excess of the purchase price over fair value of net assets acquired was allocated to goodwill, which was assigned to the Company’s Americas reportable segment and is not deductible for tax purposes. In connection with this acquisition, $188 million was recorded in identifiable intangible assets (consisting of $112 million related to trademarks and $76 million related to customer relationships) and $269 million was recorded in goodwill. The trademark assets are indefinite-lived and the customer relationship intangibles will be amortized over an estimated life of eight years . |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Intangible Assets Intangible assets consisted of: As of December 31, 2015 As of December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Amortized Intangible Assets License agreements (a) $ 263 $ 81 $ 182 $ 259 $ 59 $ 200 Customer relationships (b) 222 68 154 167 50 117 Other (b) 41 8 33 8 3 5 $ 526 $ 157 $ 369 $ 434 $ 112 $ 322 Unamortized Intangible Assets Goodwill $ 973 $ 842 Trademarks $ 548 $ 564 _________ (a) Primarily amortized over a period ranging from 1 to 40 years with a weighted average life of 19 years . (b) Primarily amortized over a period ranging from 2 to 27 years with a weighted average life of 11 years . Amortization expense relating to all intangible assets was as follows: Year Ended December 31, 2015 2014 2013 License agreements $ 31 $ 16 $ 12 Customer relationships 21 18 15 Other 7 2 — Total $ 59 $ 36 $ 27 Based on the Company’s amortizable intangible assets at December 31, 2015 , the Company expects related amortization expense of approximately $61 million for 2016 , $54 million for 2017 , $40 million for 2018 , $38 million for 2019 and $38 million for 2020 , excluding effects of currency exchange rates. The carrying amounts of goodwill and related changes are as follows: Americas International Total Company Gross goodwill as of January 1, 2014 $ 1,904 $ 905 $ 2,809 Accumulated impairment losses as of January 1, 2014 (1,587 ) (531 ) (2,118 ) Goodwill as of January 1, 2014 317 374 691 Acquisitions 190 13 203 Currency translation adjustments and other (28 ) (24 ) (52 ) Goodwill as of December 31, 2014 479 363 842 Acquisitions 77 117 194 Currency translation adjustments and other (19 ) (44 ) (63 ) Goodwill as of December 31, 2015 $ 537 $ 436 $ 973 |
Vehicle Rental Activities
Vehicle Rental Activities | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure Components Of Companys Vehicles [Abstract] | |
Vehicle Rental Activities | Vehicle Rental Activities The components of vehicles, net within assets under vehicle programs are as follows: As of December 31, 2015 2014 Rental vehicles $ 11,195 $ 11,006 Less: Accumulated depreciation (1,500 ) (1,465 ) 9,695 9,541 Vehicles held for sale 963 674 Vehicles, net $ 10,658 $ 10,215 The components of vehicle depreciation and lease charges, net are summarized below: Year Ended December 31, 2015 2014 2013 Depreciation expense $ 1,837 $ 1,840 $ 1,678 Lease charges 156 163 139 Gain on sale of vehicles, net (60 ) (7 ) (6 ) Vehicle depreciation and lease charges, net $ 1,933 $ 1,996 $ 1,811 At December 31, 2015 , 2014 and 2013 , the Company had payables related to vehicle purchases included in liabilities under vehicle programs - other of $269 million , $222 million and $260 million , respectively, and receivables related to vehicle sales included in assets under vehicle programs - receivables from vehicle manufacturers and other of $433 million , $352 million and $378 million , respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The provision for (benefit from) income taxes consists of the following: Year Ended December 31, 2015 2014 2013 Current Federal $ (32 ) $ (1 ) $ (4 ) State 3 4 12 Foreign 40 79 36 Current income tax provision 11 82 44 Deferred Federal 45 89 28 State (1 ) 2 8 Foreign 14 (26 ) 1 Deferred income tax provision 58 65 37 Provision for income taxes $ 69 $ 147 $ 81 Pretax income for domestic and foreign operations consists of the following: Year Ended December 31, 2015 2014 2013 United States (a) $ 258 $ 248 $ 4 Foreign 124 144 93 Pretax income $ 382 $ 392 $ 97 __________ (a) For the years ended December 31, 2015 , 2014 and 2013 , includes corporate debt extinguishment costs of $23 million , $56 million and $147 million , respectively. Deferred income tax assets and liabilities are comprised of the following: As of December 31, 2015 2014 Deferred income tax assets: Net tax loss carryforwards $ 1,567 $ 1,483 Accrued liabilities and deferred revenue 276 297 Tax credits 76 75 Depreciation and amortization 13 23 Acquisition and integration-related liabilities 13 8 Provision for doubtful accounts 7 7 Unrealized hedge loss — 1 Other 46 57 Valuation allowance (a) (351 ) (319 ) Deferred income tax assets 1,647 1,632 Deferred income tax liabilities: Depreciation and amortization 123 96 Prepaid expenses 29 21 Other 7 4 Deferred income tax liabilities 159 121 Deferred income tax assets, net $ 1,488 $ 1,511 __________ (a) The valuation allowance of $351 million at December 31, 2015 relates to tax loss carryforwards, foreign tax credits and certain deferred tax assets of $267 million , $53 million and $31 million , respectively. The valuation allowance will be reduced when and if the Company determines it is more likely than not that the related deferred income tax assets will be realized. The valuation allowance of $319 million at December 31, 2014 relates to tax loss carryforwards, foreign tax credits and certain deferred tax assets of $249 million , $46 million and $24 million , respectively. Deferred income tax assets and liabilities related to vehicle programs are comprised of the following: As of December 31, 2015 2014 Deferred income tax assets: Depreciation and amortization $ 53 $ 54 Deferred income tax liabilities: Depreciation and amortization 2,420 2,321 Deferred income tax liabilities under vehicle programs, net $ 2,367 $ 2,267 At December 31, 2015 , the Company had U.S. federal net operating loss carryforwards of approximately $3.6 billion , most of which expire in 2031 . Such net operating loss carryforwards are primarily related to accelerated depreciation of the Company’s U.S. vehicles. Currently, the Company does not record valuation allowances on the majority of its U.S. federal tax loss carryforwards as there are adequate deferred tax liabilities that could be realized within the carryforward period. At December 31, 2015 , the Company had foreign net operating loss carryforwards of approximately $583 million with an indefinite utilization period. No provision has been made for U.S. federal deferred income taxes on approximately $941 million of accumulated and undistributed earnings of foreign subsidiaries at December 31, 2015 , since it is the present intention of management to reinvest the undistributed earnings indefinitely in those foreign operations. Due to the variability associated with the various methods in which such earnings could be repatriated, it is not practicable to estimate the actual amount of such deferred tax liabilities. If such earnings were repatriated and subject to taxation at the current U.S. federal tax rate, the Company would consider and pursue alternatives to reduce the tax liability. The reconciliation between the U.S. federal income tax statutory rate and the Company’s effective income tax rate is as follows: Year Ended December 31, 2015 2014 2013 U.S. federal statutory rate 35.0 % 35.0 % 35.0 % Adjustments to reconcile to the effective rate: State and local income taxes, net of federal tax benefits 2.8 3.3 4.1 Changes in valuation allowances (a) (0.6 ) (3.0 ) 15.5 Taxes on foreign operations at rates different than statutory U.S. federal rates 3.7 1.4 5.9 Resolution of a prior-year tax matter (b) (25.6 ) — — Non-deductible debt extinguishment costs — — 18.8 Non-deductible transaction-related costs 0.9 — 3.2 Other non-deductible expenses 1.8 0.9 2.3 Other 0.1 (0.1 ) (1.3 ) 18.1 % 37.5 % 83.5 % __________ (a) For the year ended December 31, 2013, includes 13.1% related to our impairment expense. (b) For the year ended December 31, 2015, the Company recognized a $98 million income tax benefit from the resolution of a prior - year income tax matter. The following is a tabular reconciliation of the gross amount of unrecognized tax benefits for the year: 2015 2014 2013 Balance at January 1 $ 63 $ 63 $ 54 Additions for tax positions related to current year 6 5 4 Additions for tax positions for prior years 3 5 9 Reductions for tax positions for prior years (14 ) (8 ) — Settlements (1 ) (2 ) — Statute of limitations (1 ) — (4 ) Balance at December 31 $ 56 $ 63 $ 63 The Company does not anticipate that total unrecognized tax benefits will change significantly in 2016 . The Company is subject to taxation in the United States and various foreign jurisdictions. As of December 31, 2015, the 2012 through 2014 tax years generally remain subject to examination by the federal tax authorities. The 2010 through 2014 tax years generally remain subject to examination by various state tax authorities. In significant foreign jurisdictions, the 2009 through 2014 tax years generally remain subject to examination by their respective tax authorities. Substantially all of the gross amount of the unrecognized tax benefits at December 31, 2015 , 2014 and 2013 , if recognized, would affect the Company’s provision for, or benefit from, income taxes. As of December 31, 2015 , the Company’s unrecognized tax benefits were offset by tax loss carryforwards in the amount of $20 million . The following table presents unrecognized tax benefits: As of December 31, 2015 2014 Unrecognized tax benefit in non-current income taxes payable (a) $ 37 $ 45 Accrued interest payable on potential tax liabilities (b) 28 30 __________ (a) Pursuant to the agreements governing the disposition of certain subsidiaries in 2006, the Company is entitled to indemnification for certain pre-disposition tax contingencies. As of December 31, 2015 and 2014 , $15 million and $16 million , respectively, of unrecognized tax benefits are related to tax contingencies for which the Company believes it is entitled to indemnification. (b) The Company recognizes potential interest related to unrecognized tax benefits within interest expense related to corporate debt, net on the accompanying Consolidated Statements of Operations. Penalties incurred during the years ended December 31, 2015 , 2014 and 2013 , were not significant and were recognized as a component of the provision for income taxes. |
Other Current Assets
Other Current Assets | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure Schedule Of Other Current Assets [Abstract] | |
Other Current Assets | 9. Other Current Assets Other current assets consisted of: As of December 31, 2015 2014 Prepaid expenses $ 192 $ 192 Sales and use taxes 159 125 Other 156 139 Other current assets $ 507 $ 456 |
Property and Equipment, net
Property and Equipment, net | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, net | 10. Property and Equipment, net Property and equipment, net consisted of: As of December 31, 2015 2014 Land $ 50 $ 51 Buildings and leasehold improvements 567 565 Capitalized software 460 485 Furniture, fixtures and equipment 332 392 Projects in process 89 82 Buses and support vehicles 93 78 1,591 1,653 Less: Accumulated depreciation and amortization (910 ) (1,015 ) Property and equipment, net $ 681 $ 638 Depreciation and amortization expense relating to property and equipment during 2015 , 2014 and 2013 was $159 million , $144 million and $124 million , respectively (including $61 million , $46 million and $36 million , respectively, of amortization expense relating to capitalized software). |
Accounts Payable and Other Curr
Accounts Payable and Other Current Liabilities | 12 Months Ended |
Dec. 31, 2015 | |
Payables and Accruals [Abstract] | |
Accounts Payable and Other Current Liabilities | 11. Accounts Payable and Other Current Liabilities Accounts payable and other current liabilities consisted of: As of December 31, 2015 2014 Accounts payable $ 352 $ 328 Accrued sales and use taxes 220 194 Accrued payroll and related 199 229 Public liability and property damage insurance liabilities – current 131 121 Deferred revenue – current 103 89 Other 480 530 Accounts payable and other current liabilities $ 1,485 $ 1,491 |
Long-term Debt and Borrowing Ar
Long-term Debt and Borrowing Arrangements | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Long-term Debt and Borrowing Arrangements | Long-term Debt and Borrowing Arrangements Long-term debt and other borrowing arrangements consisted of: Maturity As of December 31, 2015 2014 4⅞% Senior Notes November 2017 $ 300 $ 300 Floating Rate Senior Notes December 2017 249 248 Floating Rate Term Loan (a) March 2019 970 980 9¾% Senior Notes March 2020 — 223 6% Euro-denominated Senior Notes March 2021 502 561 5⅛% Senior Notes June 2022 400 400 5½% Senior Notes April 2023 674 674 5¼% Senior Notes March 2025 375 — Other (b) 46 34 Deferred financing fees (55 ) (67 ) Total 3,461 3,353 Less: Short-term debt and current portion of long-term debt 26 28 Long-term debt $ 3,435 $ 3,325 __________ (a) The floating rate term loan is part of the Company’s senior credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. (b) Primarily includes capital leases which are secured by liens on the related assets. Term Loan Floating Rate Term Loan due 2019. The Company issued $500 million and $200 million of Floating Rate Term Loan due 2019 in March and October 2012, respectively, under the Company’s senior credit facility. The Company used the proceeds of the loan to repay approximately $420 million of term loan borrowings due 2014 and 2018 and $75 million of its senior notes due 2014. During 2013, the Company amended its senior credit facility to issue, in aggregate, an additional $300 million of Floating Rate Term Loan due 2019. A portion of the proceeds was used to partially fund the acquisition of Zipcar. The term loan bears interest at the greater of three-month LIBOR or 0.75% plus 225 basis points, for an aggregate rate of 3.00% at December 31, 2015 ; however, the Company has entered into an interest rate swap to hedge $600 million of its interest rate exposure related to the floating rate term loan at an aggregate rate of 3.96% . Senior Notes 4⅞% Senior Notes due 2017. In November 2012, the Company issued its 4⅞% Senior Notes at par, for aggregate proceeds of $300 million with interest payable semi-annually. The Company has the right to redeem these notes in whole or in part at any time on or after May 15, 2015, at specified prices, plus accrued interest through the redemption date. Floating Rate Senior Notes due 2017. In November 2013, the Company issued its Floating Rate Senior Notes at 98.75% of their face value for aggregate proceeds of $247 million . The interest rate on these notes is equal to three-month LIBOR plus 275 basis points, for an aggregate rate of 3.16% at December 31, 2015 ; however, the Company has entered into an interest rate swap to hedge its interest rate exposure related to these notes at an aggregate rate of 3.58% . 9¾% Senior Notes due 2020. In October 2011, the Company issued 9¾% Senior Notes at par, for aggregate proceeds of $250 million with interest payable semi-annually. The Company has the right to redeem these notes in whole or in part at any time on or after September 15, 2015, at specified prices, plus accrued interest through the redemption date. In April 2013, the Company purchased approximately $27 million of the aggregate principal amount, and in April 2015, the Company redeemed the remaining $223 million principal amount for $243 million plus accrued interest. 6% Euro-denominated Senior Notes. In March 2013, the Company issued €250 million (approximately $325 million , at issuance) of 6% Euro-denominated Senior Notes due March 2021, at par, with interest payable semi-annually. The notes are unsecured obligations of the Company’s Avis Budget Finance plc subsidiary, are guaranteed on a senior basis by the Company and certain of its domestic subsidiaries and rank equally with all of the Company’s existing senior unsecured debt. The Company has the right to redeem these notes in whole or in part on or after April 1, 2016 at specified redemption prices plus accrued interest. The Company used the proceeds from the issuance to partially fund the acquisition of Zipcar. In March 2014, the Company issued €200 million (approximately $275 million , at issuance) of additional 6% Euro-denominated Senior Notes due 2021. These notes were sold at 106.75% of their face value with interest payable semi-annually, for aggregate proceeds of approximately $295 million , with a yield to maturity of 4.85% . In April 2014, the Company used the proceeds to repurchase $292 million principal amount of its 8¼% Senior Notes. 5 ⅛ % Senior Notes due 2022. In May 2014, the Company issued $400 million of 5⅛% Senior Notes due 2022 at par. In June 2014, the Company used the proceeds to repurchase the remaining $395 million principal amount of its 8¼% Senior Notes. The notes were issued at par, with interest payable semi-annually. The Company has the right to redeem these notes in whole or in part at any time on or after June 1, 2017 at specified redemption prices plus accrued interest. 5½% Senior Notes due 2023. In April 2013, the Company completed an offering of $500 million of 5½% Senior Notes due April 2023. The notes were issued at par, with interest payable semi-annually. The Company has the right to redeem these notes in whole or in part on or after April 1, 2018 at specified redemption prices plus accrued interest. The Company used the proceeds to retire higher-cost debt. In November 2014, the Company issued $175 million of additional 5½% Senior Notes due 2023 at 99.625% of their face value, with interest payable semi-annually. The Company has the right to redeem these notes in whole or in part on or after April 1, 2018 at specified redemption prices plus accrued interest. The Company used the proceeds from the issuance to partially fund the acquisition of its Budget licensee for Southern California and Las Vegas. 5¼% Senior Notes due 2025 . In March 2015, the Company issued $375 million of 5¼% Senior Notes due 2025 at par. In April 2015, the Company used net proceeds from the offering to redeem the remaining $223 million principal amount of its 9¾% Senior Notes and to partially fund the acquisition of Maggiore. The Floating Rate Senior Notes, the 4⅞% Senior Notes, the 9¾% Senior Notes, the 5⅛% Senior Notes, the 5½% Senior Notes and the 5¼% Senior Notes are senior unsecured obligations of the Company’s Avis Budget Car Rental, LLC (“ABCR”) subsidiary, are guaranteed by the Company and certain of its domestic subsidiaries and rank equally in right of payment with all of the Company’s existing and future senior unsecured indebtedness. In connection with the debt amendments and repayments for the years ended December 31, 2015 , 2014 and 2013 , the Company recorded $23 million , $56 million and $147 million in early extinguishment of debt costs, respectively. DEBT MATURITIES The following table provides contractual maturities of the Company’s corporate debt at December 31, 2015 : Year Amount 2016 $ 26 2017 564 2018 14 2019 948 2020 2 Thereafter 1,962 $ 3,516 COMMITTED CREDIT FACILITIES AND AVAILABLE FUNDING ARRANGEMENTS At December 31, 2015 , the committed corporate credit facilities available to the Company and/or its subsidiaries were as follows: Total Capacity Outstanding Borrowings Letters of Credit Issued Available Capacity Senior revolving credit facility maturing 2018 (a) $ 1,800 $ — $ 687 $ 1,113 Other facilities (b) 3 3 — — __________ (a) The senior revolving credit facility bears interest at one-month LIBOR plus 200 basis points and is part of the Company’s senior credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. (b) These facilities encompass bank overdraft lines of credit, bearing interest of 1.50% to 3.48% as of December 31, 2015. At December 31, 2015 and 2014 , the Company had various uncommitted credit facilities available, which bear interest at rates of 0.21% to 2.50% , under which it had drawn approximately $3 million and $9 million , respectively. DEBT COVENANTS The agreements governing the Company’s indebtedness contain restrictive covenants, including restrictions on dividends paid to the Company by certain of its subsidiaries, the incurrence of additional indebtedness by the Company and certain of its subsidiaries, acquisitions, mergers, liquidations, and sale and leaseback transactions. The Company’s senior credit facility also contains a maximum leverage ratio requirement. As of December 31, 2015 , the Company was in compliance with the financial covenants governing its indebtedness. |
Debt Under Vehicle Programs and
Debt Under Vehicle Programs and Borrowing Arrangements | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Debt Under Vehicle Programs and Borrowing Arrangements | Debt under Vehicle Programs and Borrowing Arrangements Debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding (AESOP) LLC (“Avis Budget Rental Car Funding”), consisted of: As of December 31, 2015 2014 Americas – Debt due to Avis Budget Rental Car Funding (a) $ 6,837 $ 6,340 Americas – Debt borrowings 643 746 International – Debt borrowings (a)(b) 1,187 685 International – Capital leases 238 314 Other 8 31 Deferred financing fees (c) (53 ) (60 ) Total $ 8,860 $ 8,056 __________ (a) The increase reflects additional borrowings principally to fund increases in the Company's car rental fleet. (b) The increase includes additional borrowing related to the acquisition of Maggiore. (c) Deferred financing fees related to Debt due to Avis Budget Rental Car Funding as of December 31, 2015 and 2014 were $41 million and $44 million, respectively. Americas Debt due to Avis Budget Rental Car Funding . Avis Budget Rental Car Funding, an unconsolidated bankruptcy remote qualifying special purpose limited liability company, issues privately placed notes to investors as well as to banks and bank-sponsored conduit entities. Avis Budget Rental Car Funding uses the proceeds from its note issuances to make loans to a wholly-owned subsidiary of the Company, AESOP Leasing LP (“AESOP Leasing”), on a continuing basis. AESOP Leasing is required to use the proceeds of such loans to acquire or finance the acquisition of vehicles used in the Company’s rental car operations. By issuing debt through the Avis Budget Rental Car Funding program, the Company pays a lower rate of interest than if it had issued debt directly to third parties. Avis Budget Rental Car Funding is not consolidated, as the Company is not the “primary beneficiary” of Avis Budget Rental Car Funding. The Company determined that it is not the primary beneficiary because the Company does not have the obligation to absorb the potential losses or receive the benefits of Avis Budget Rental Car Funding’s activities since the Company’s only significant source of variability in the earnings, losses or cash flows of Avis Budget Rental Car Funding is exposure to its own creditworthiness, due to its loan from Avis Budget Rental Car Funding. Because Avis Budget Rental Car Funding is not consolidated, AESOP Leasing’s loan obligations to Avis Budget Rental Car Funding are reflected as related party debt on the Company’s Consolidated Balance Sheets. The Company also has an asset within Assets under vehicle programs on its Consolidated Balance Sheets which represents securities issued to the Company by Avis Budget Rental Car Funding. AESOP Leasing is consolidated, as the Company is the “primary beneficiary” of AESOP Leasing; as a result, the vehicles purchased by AESOP Leasing remain on the Company’s Consolidated Balance Sheets. The Company determined it is the primary beneficiary of AESOP Leasing, as it has the ability to direct its activities, an obligation to absorb a majority of its expected losses and the right to receive the benefits of AESOP Leasing’s activities. AESOP Leasing’s vehicles and related assets, which as of December 31, 2015 , approximate $8.6 billion and many of which are subject to manufacturer repurchase and guaranteed depreciation agreements, collateralize the debt issued by Avis Budget Rental Car Funding. The assets and liabilities of AESOP Leasing are presented on the Company’s Consolidated Balance Sheets within Assets under vehicle programs and Liabilities under vehicle programs, respectively. The assets of AESOP Leasing, included within assets under vehicle programs (excluding the investment in Avis Budget Rental Car Funding (AESOP) LLC—related party) are restricted. Such assets may be used only to repay the respective AESOP Leasing liabilities, included within Liabilities under vehicle programs, and to purchase new vehicles, although if certain collateral coverage requirements are met, AESOP Leasing may pay dividends from excess cash. The creditors of AESOP Leasing and Avis Budget Rental Car Funding have no recourse to the general credit of the Company. The Company periodically provides Avis Budget Rental Car Funding with non-contractually required support, in the form of equity and loans, to serve as additional collateral for the debt issued by Avis Budget Rental Car Funding. The business activities of Avis Budget Rental Car Funding are limited primarily to issuing indebtedness and using the proceeds thereof to make loans to AESOP Leasing for the purpose of acquiring or financing the acquisition of vehicles to be leased to the Company’s rental car subsidiaries and pledging its assets to secure the indebtedness. Because Avis Budget Rental Car Funding is not consolidated by the Company, its results of operations and cash flows are not reflected within the Company’s financial statements. During February 2014 and July 2014 , Avis Budget Rental Car Funding issued approximately $675 million in asset-backed notes with an expected final payment date of July 2019 and $500 million in asset-backed notes with an expected final payment date of February 2020 , respectively. During January 2015 and May 2015 , Avis Budget Rental Car Funding issued approximately $650 million in asset-backed notes with an expected final payment date of July 2020 and approximately $550 million in asset-backed notes with an expected final payment date of December 2020 , respectively. The Company used the proceeds from these borrowings to fund the repayment of maturing vehicle-backed debt and the acquisition of rental cars in the United States. Borrowings under the Avis Budget Rental Car Funding program primarily represent fixed rate notes and had a weighted average interest rate of 3% as of December 31, 2015 and 2014 . Debt borrowings . The Company finances the acquisition of vehicles used in its Canadian rental operations through a consolidated, bankruptcy remote special-purpose entity, which issues privately placed notes to investors and bank-sponsored conduits. The Company finances the acquisition of fleet for its truck rental operations in the United States through a combination of debt facilities and leases. These debt borrowings represent a mix of fixed and floating rate debt and had a weighted average interest rate of 3% as of December 31, 2015 and 2014 . International Debt borrowings . In 2013, the Company entered into a three-year, €500 million (approximately $687 million) European rental fleet securitization program, which is used to finance fleet purchases for certain of the Company’s European operations. During 2015 and 2014, the Company increased its capacity under this program by €210 million (approximately $235 million) and €290 million (approximately $370 million), respectively, and extended the securitization’s maturity to 2017. The Company finances the acquisition of vehicles used in its International rental car operations through this and other consolidated, bankruptcy remote special-purpose entities, which issue privately placed notes to banks and bank-sponsored conduits. The International borrowings primarily represent floating rate notes and had a weighted average interest rate of 3% as of December 31, 2015 and 2014 . Capital leases. The Company obtained a portion of its International vehicles under capital lease arrangements. For the year ended December 31, 2015 and 2014 , the weighted average interest rate on these borrowings was 2% . All capital leases are on a fixed repayment basis and interest rates are fixed at the contract date. DEBT MATURITIES The following table provides the contractual maturities of the Company’s debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding, at December 31, 2015 : Debt under Vehicle Programs 2016 (a) $ 1,501 2017 2,884 2018 1,626 2019 1,389 2020 1,513 $ 8,913 __________ (a) Vehicle backed debt maturing within one year primarily represents term asset-backed securities. COMMITTED CREDIT FACILITIES AND AVAILABLE FUNDING ARRANGEMENTS The following table presents available funding under the Company’s debt arrangements related to its vehicle programs, including related party debt due to Avis Budget Rental Car Funding, at December 31, 2015 : Total Capacity (a) Outstanding Borrowings Available Capacity Americas – Debt due to Avis Budget Rental Car Funding (b) $ 8,892 $ 6,837 $ 2,055 Americas – Debt borrowings (c) 983 643 340 International – Debt borrowings (d) 2,109 1,187 922 International – Capital leases (e) 259 238 21 Other 8 8 — Total $ 12,251 $ 8,913 $ 3,338 __________ (a) Capacity is subject to maintaining sufficient assets to collateralize debt. (b) The outstanding debt is collateralized by $8.4 billion of underlying vehicles and related assets. (c) The outstanding debt is collateralized by $0.9 billion of underlying vehicles and related assets. (d) The outstanding debt is collateralized by $1.5 billion of underlying vehicles and related assets. (e) The outstanding debt is collateralized by $0.2 billion of underlying vehicles and related assets. DEBT COVENANTS The agreements under the Company’s vehicle-backed funding programs contain restrictive covenants, including restrictions on dividends paid to the Company by certain of its subsidiaries and restrictions on indebtedness, mergers, liens, liquidations and sale and leaseback transactions, and in some cases also require compliance with certain financial requirements. As of December 31, 2015 , the Company is not aware of any instances of non-compliance with any of the financial or restrictive covenants contained in the debt agreements under its vehicle-backed funding programs. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Lease Commitments The Company is committed to making rental payments under noncancelable operating leases covering various facilities and equipment. Many of the Company’s operating leases for facilities contain renewal options. These renewal options vary, but the majority include clauses for various term lengths and prevailing market rate rents. Future minimum lease payments required under noncancelable operating leases, including minimum concession fees charged by airport authorities, which in many locations are recoverable from vehicle rental customers, as of December 31, 2015 , are as follows: Amount 2016 $ 570 2017 426 2018 316 2019 225 2020 149 Thereafter 577 $ 2,263 The future minimum lease payments in the above table have been reduced by minimum future sublease rental inflows in the aggregate of $4 million for all periods shown in the table. The Company maintains concession agreements with various airport authorities that allow the Company to conduct its car rental operations on site. In general, concession fees for airport locations are based on a percentage of total commissionable revenue (as defined by each airport authority), subject to minimum annual guaranteed amounts. These concession fees, which are included in the Company’s total rent expense, were as follows for the years ended December 31: 2015 2014 2013 Rent expense (including minimum concession fees) $ 679 $ 639 $ 622 Contingent concession expense 195 193 173 874 832 795 Less: sublease rental income (5 ) (6 ) (5 ) Total $ 869 $ 826 $ 790 Commitments under capital leases, other than those within the Company’s vehicle rental programs, for which the future minimum lease payments have been reflected in Note 13-Debt Under Vehicle Programs and Borrowing Arrangements, are not significant. The Company leases a portion of its vehicles under operating leases, which extend through 2020 . As of December 31, 2015 , the Company has guaranteed up to $202 million of residual values for these vehicles at the end of their respective lease terms. The Company believes that, based on current market conditions, the net proceeds from the sale of these vehicles at the end of their lease terms will equal or exceed their net book values and therefore has not recorded a liability related to guaranteed residual values. Contingencies In 2006, the Company completed the spin-offs of its Realogy and Wyndham subsidiaries. The Company does not believe that the impact of any resolution of pre-existing contingent liabilities in connection with the spin-offs should result in a material liability to the Company in relation to its consolidated financial position or liquidity, as Realogy and Wyndham each have agreed to assume responsibility for these liabilities. The Company is also named in litigation that is primarily related to the businesses of its former subsidiaries, including Realogy and Wyndham. The Company is entitled to indemnification from such entities for any liability resulting from such litigation. In February 2015, the French Competition Authority issued a statement of objections alleging that several car rental companies, including the Company and two of its European subsidiaries, engaged with (i) twelve French airports, the majority of which are controlled by public administrative bodies or the French state, violated competition law through the distribution of company-specific statistics by airports to car rental companies operating at those airports; and (ii) two other international car rental companies in a concerted practice relating to train station surcharges. The Company believes that it has valid defenses and intends to vigorously defend against the allegations, but it is currently unable to predict the outcome of the proceedings or range of reasonably possible losses, which may be material. Additionally, in March 2015, the Canadian Competition Bureau filed an application with the Competition Tribunal alleging that the Company and two of its Canadian subsidiaries engaged in deceptive marketing practices with regard to certain charges that consumers are invoiced related to renting a vehicle and associated products in Canada. The application seeks penalties against the Company and its subsidiaries totaling approximately $25 million as well as reimbursements to current and former customers of amounts collected and retained by the Company related to the alleged deceptive marketing practices. The Company believes that it has valid defenses and intends to vigorously defend against the allegations, but it is currently unable to predict the outcome of the proceedings or range of reasonably possible losses, which may be material. The Company is involved in claims, legal proceedings and governmental inquiries related, among other things, to its vehicle rental operations, including contract and licensee disputes, competition matters, employment matters, insurance claims, intellectual property claims, business practice disputes and other regulatory, environmental, commercial and tax matters. Litigation is inherently unpredictable and, although the Company believes that its accruals are adequate and/or that it has valid defenses in these matters, unfavorable resolutions could occur. Excluding the French and Canadian competition matters discussed above, the Company estimates that the potential exposure resulting from adverse outcomes of legal proceedings in which it is reasonably possible that a loss may be incurred could, in the aggregate, be up to approximately $25 million in excess of amounts accrued as of December 31, 2015; however, the Company does not believe that the impact should result in a material liability to the Company in relation to its consolidated financial condition or results of operations. Commitments to Purchase Vehicles The Company maintains agreements with vehicle manufacturers under which the Company has agreed to purchase approximately $7.2 billion of vehicles from manufacturers over the next 12 months. The majority of these commitments are subject to the vehicle manufacturers satisfying their obligations under their respective repurchase and guaranteed depreciation agreements. The purchase of such vehicles is financed primarily through the issuance of vehicle-backed debt and cash received upon the disposition of vehicles. Other Purchase Commitments In the normal course of business, the Company makes various commitments to purchase other goods or services from specific suppliers, including those related to marketing, advertising, computer services and capital expenditures. As of December 31, 2015 , the Company had approximately $160 million of purchase obligations, which extend through 2020. Concentrations Concentrations of credit risk at December 31, 2015 , include (i) risks related to the Company’s repurchase and guaranteed depreciation agreements with domestic and foreign car manufacturers, including Ford, General Motors, Chrysler, Peugeot, Volkswagen, Fiat, Kia, Toyota, Mercedes, Renault and Hyundai , and primarily with respect to receivables for program cars that have been disposed but for which the Company has not yet received payment from the manufacturers and (ii) risks related to Realogy and Wyndham, including receivables of $54 million and $33 million , respectively, related to certain contingent, income tax and other corporate liabilities assumed by Realogy and Wyndham in connection with their disposition. Asset Retirement Obligations The Company maintains a liability for asset retirement obligations. An asset retirement obligation is a legal obligation to perform certain activities in connection with the retirement, disposal or abandonment of assets. The Company’s asset retirement obligations, which are measured at discounted fair values, are primarily related to the removal of underground gasoline storage tanks at its rental facilities. Liabilities accrued for asset retirement obligations were $24 million and $25 million at December 31, 2015 and 2014 , respectively. Standard Guarantees/Indemnifications In the ordinary course of business, the Company enters into numerous agreements that contain standard guarantees and indemnities whereby the Company agrees to indemnify another party, among other things, for performance under contracts and any breaches of representations and warranties thereunder. In addition, many of these parties are also indemnified against any third-party claim resulting from the transaction that is contemplated in the underlying agreement. Such guarantees or indemnifications are granted under various agreements, including those governing (i) purchases, sales or outsourcing of assets or businesses, (ii) leases of real estate, (iii) licensing of trademarks, (iv) access to credit facilities and use of derivatives and (v) issuances of debt or equity securities. The guarantees or indemnifications issued are for the benefit of the (i) buyers in sale agreements and sellers in purchase agreements, (ii) landlords in lease contracts, (iii) licensees under licensing agreements, (iv) financial institutions in credit facility arrangements and derivative contracts and (v) underwriters and placement agents in debt or equity security issuances. While some of these guarantees extend only for the duration of the underlying agreement, many may survive the expiration of the term of the agreement or extend into perpetuity (unless subject to a legal statute of limitations). There are no specific limitations on the maximum potential amount of future payments that the Company could be required to make under these guarantees, nor is the Company able to develop an estimate of the maximum potential amount of future payments to be made under these guarantees as the triggering events are not subject to predictability. With respect to certain of the aforementioned guarantees, such as indemnifications provided to landlords against third-party claims for the use of real estate property leased by the Company, the Company maintains insurance coverage that mitigates its potential exposure. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders’ Equity Cash Dividend Payments During 2015 , 2014 and 2013 , the Company did not declare or pay any cash dividends. The Company’s ability to pay dividends to holders of its common stock is limited by the Company’s senior credit facility, the indentures governing its senior notes and its vehicle financing programs. Share Repurchases The Company’s Board of Directors has authorized the repurchase of up to $885 million of its common stock under a plan originally approved in 2013 and subsequently expanded in 2014 and 2015. During 2015 , 2014 and 2013, the Company repurchased approximately 16.1 million shares of common stock at a cost of $745 million under the program. As of December 31, 2015, approximately $140 million of authorization remained available to repurchase common stock under this plan. In January 2016, the Board of Directors authorized a $300 million increase in the Company ’ s share repurchase program. Convertible Note Hedge and Warrants In October 2009, the Company issued 3½% Convertible Senior Notes due October 2014. Concurrent with the issuance of the Convertible Notes, the Company purchased a convertible note hedge for approximately $95 million , to potentially reduce the net number of shares required to be issued upon conversion of the Convertible Notes, and issued warrants for approximately $62 million to offset the cost of the convertible note hedge. The convertible note hedge and warrants, which were to be net-share settled, initially covered the purchase and issuance, respectively, of approximately 21.2 million shares of common stock, subject to customary anti-dilution provisions. The initial strike price per share of the convertible note hedge and warrants was $16.25 and $22.50 , respectively. The convertible note hedge was exercisable before expiration only to the extent that corresponding amounts of the Convertible Notes were exercised. The convertible note hedge and warrant transactions were accounted for as capital transactions and included as a component of stockholders’ equity. In October 2014, the $66 million of outstanding Convertible Notes converted into approximately 4.0 million shares of the Company’s common stock at the initial conversion rate of 61.5385 shares of common stock per $1,000 principal amount. During 2013, along with the Company’s repurchase of a portion of its Convertible Notes, the Company repurchased warrants for the purchase of the Company’s common stock for $37 million and sold an equal portion of its convertible note hedge for $50 million , reducing the number of shares related to each of the hedge and warrant by approximately 13 million . In addition, the Company unwound the remaining outstanding convertible note hedge and warrants, repurchasing warrants for the purchase of the Company’s common stock for $41 million , and settling its convertible note hedge for proceeds of $54 million and 179,000 shares of the Company’s common stock valued at $7 million . Accumulated Other Comprehensive Income (Loss) The components of accumulated other comprehensive income (loss) are as follows: Currency Translation Adjustments Net Unrealized Gains (Losses) on Cash Flow Hedges (a) Net Unrealized Gains (Losses) on Available-For-Sale Securities Minimum Pension Liability Adjustment (b) Accumulated Other Comprehensive Income (Loss) Balance, January 1, 2013 $ 193 $ — $ 2 $ (85 ) $ 110 Other comprehensive income (loss) before reclassifications (27 ) 1 — 24 (2 ) Amounts reclassified from accumulated other comprehensive income (loss) — — — 9 9 Net current-period other comprehensive income (loss) (27 ) 1 — 33 7 Balance, December 31, 2013 166 1 2 (52 ) 117 Other comprehensive income (loss) before reclassifications (115 ) (7 ) — (24 ) (146 ) Amounts reclassified from accumulated other comprehensive income (loss) — 5 — 2 7 Net current-period other comprehensive income (loss) (115 ) (2 ) — (22 ) (139 ) Balance, December 31, 2014 51 (1 ) 2 (74 ) (22 ) Other comprehensive income (loss) before reclassifications (131 ) (6 ) (2 ) 6 (133 ) Amounts reclassified from accumulated other comprehensive income (loss) — 5 — 3 8 Net current-period other comprehensive income (loss) (131 ) (1 ) (2 ) 9 (125 ) Balance, December 31, 2015 $ (80 ) $ (2 ) $ — $ (65 ) $ (147 ) __________ All components of accumulated other comprehensive income (loss) are net of tax, except currency translation adjustments, which exclude income taxes related to indefinite investments in foreign subsidiaries and include a $69 million gain, net of tax, related to the Company’s hedge of its investment in Euro-denominated foreign operations (See Note 18-Financial Instruments). (a) For the years ended December 31, 2015 and 2014 , amounts reclassified from accumulated other comprehensive income (loss) into interest expense were $7 million ( $4 million , net of tax) and $8 million ( $5 million , net of tax), respectively. For the year ended December 31, 2015 , the amount reclassified from accumulated comprehensive income (loss) into vehicle interest expense was $1 million ( $1 million , net of tax). (b) For the years ended December 31, 2015 , 2014 and 2013 , amounts reclassified from accumulated other comprehensive income (loss) into selling, general and administrative expenses and operating expenses were $5 million ( $3 million , net of tax), $3 million ( $2 million , net of tax) and $15 million ( $9 million , net of tax), respectively. Agreement with Shareholder In January 2016, the Company entered into an agreement with SRS Investment Management LLC and certain of its affiliates pursuant to which the Company increased the size of its Board to twelve directors and appointed an SRS investment professional to the Board. The Company has also agreed to increase the size of its Board by one additional director and to appoint a reasonably acceptable independent director recommended by SRS. The Company will include the SRS investment professional and the additional director recommended by SRS in its slate of nominees for election as directors at the Company’s 2016 annual meeting of stockholders. The SRS investment professional will be appointed to the Compensation Committee of the Board. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation The Company’s Amended and Restated Equity and Incentive Plan provides for the grant of options, stock appreciation rights, restricted stock, restricted stock units (“RSUs”) and other stock- or cash-based awards to employees, directors and other individuals who perform services for the Company and its subsidiaries. The maximum number of shares reserved for grant of awards under the plan is 18.5 million , with approximately 4.9 million shares available as of December 31, 2015 . The Company typically settles stock-based awards with treasury shares. Time-based awards generally vest ratably over a three-year period following the date of grant, and performance- or market-based awards generally vest three years following the date of grant based on the attainment of performance- or market-based goals, all of which are subject to a service condition. Cash Unit Awards The fair value of time-based restricted cash units is based on the Company’s stock price on the grant date. Market-vesting restricted cash units generally vest depending on the level of relative total shareholder return achieved by the Company during the period prior to scheduled vesting. Settlement of restricted cash units is based on the Company’s average closing stock price over a specified number of trading days and the value of these awards varies based on changes in the Company’s stock price. Stock Unit Awards Stock unit awards entitle the holder to receive shares of common stock upon vesting on a one-to-one basis. Performance-based RSUs principally vest based upon the level of performance attained, but vesting can increase by up to 20% if certain relative total shareholder return goals are achieved. Market-based RSUs generally vest based on the level of total shareholder return or absolute stock price attainment. The grant date fair value of the performance-based RSUs incorporates the total shareholder return metric, which is estimated using a Monte Carlo simulation model to estimate the Company’s ranking relative to an applicable stock index. The weighted average assumptions used in the Monte Carlo simulation model to calculate the fair value of the Company’s stock unit awards are outlined in the table below. 2015 2014 2013 Expected volatility of stock price 37% 40% 43% Risk-free interest rate 0.74% 0.83% 0.39% Valuation period 3 years 3 years 3 years Dividend yield 0% 0% 0% Annual activity related to stock units and cash units, consisted of (in thousands of shares): Time-Based RSUs Performance-Based and Market Based RSUs Cash Unit Awards Number of Shares Weighted Number of Shares Weighted Number of Units Weighted Outstanding at January 1, 2015 998 $ 27.26 1,884 $ 19.17 267 $ 14.90 Granted (a) 426 54.70 230 55.51 — — Vested (b) (563 ) 23.61 (982 ) 12.05 (156 ) 12.65 Forfeited/expired (42 ) 41.07 (191 ) 20.57 — — Outstanding at December 31, 2015 (c) 819 $ 43.34 941 $ 35.18 111 $ 18.04 __________ (a) Reflects the maximum number of stock units assuming achievement of all performance-, market- and time-vesting criteria and does not include those for non-employee directors, which are discussed separately below. The weighted-average fair value of time-based RSUs and performance-based and market-based RSUs granted in 2014 was $42.05 and $42.03 , respectively, and the weighted-average fair value of time-based RSUs, performance-based and market-based RSUs, and cash units granted in 2013 was $21.77 , $20.04 and $18.04 , respectively. (b) The total fair value of RSUs vested during 2015 , 2014 and 2013 was $25 million , $15 million and $13 million , respectively. The total grant date fair value of cash units vested during the year ended December 31, 2015 was $2 million . (c) The Company’s outstanding time-based RSUs, performance-based and market-based RSUs, and cash units had aggregate intrinsic value of $30 million , $34 million and $4 million , respectively. Aggregate unrecognized compensation expense related to time-based RSUs and performance-based and market-based RSUs amounted to $32 million and will be recognized over a weighted average vesting period of 0.8 years. The Company assumes that substantially all outstanding awards will vest over time. Stock Options The annual stock option activity consisted of (in thousands of shares): Number of Options Weighted Aggregate Intrinsic Value (in millions) Weighted Outstanding at January 1, 2015 848 $ 2.92 $ 54 4.3 Granted (a) — — Exercised (b) (20 ) 5.28 1 Forfeited/expired (1 ) 0.79 Outstanding and exercisable at December 31, 2015 (c) 827 $ 2.87 $ 28 3.3 __________ (a) No stock options were granted during 2014 or 2013 . (b) Stock options exercised during 2014 and 2013 had intrinsic values of $6 million and $23 million , respectively, and the cash received from the exercise of options was insignificant in 2015 and 2014 and $3 million in 2013 . (c) The Company assumes that substantially all outstanding stock options will vest over time. Non-employee Directors Deferred Compensation Plan The Company grants stock awards on a quarterly basis to non-employee directors representing between 50% and 100% of a director’s annual compensation and such awards can be deferred under the Non-employee Directors Deferred Compensation Plan. During 2015 , 2014 and 2013 , the Company granted 22,000 , 20,000 and 33,000 awards, respectively, to non-employee directors. Employee Stock Purchase Plan The Company is authorized to sell shares of its common stock to eligible employees at 95% of fair market value. This plan has been deemed to be non-compensatory and therefore, no compensation expense has been recognized. Stock-Compensation Expense During 2015 , 2014 and 2013 , the Company recorded stock-based compensation expense of $26 million ( $17 million , net of tax), $34 million ( $21 million , net of tax) and $24 million ( $14 million , net of tax), respectively. In jurisdictions with net operating loss carryforwards, exercises and/or vestings of stock-based awards have generated $140 million of total tax deductions at December 31, 2015 . Approximately $55 million of tax benefits will be recorded in additional paid-in capital when these tax deductions are realized in these jurisdictions. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans Defined Contribution Savings Plans The Company sponsors several defined contribution savings plans in the United States and certain foreign subsidiaries that provide certain eligible employees of the Company an opportunity to accumulate funds for retirement. The Company matches portions of the contributions of participating employees on the basis specified by the plans. The Company’s contributions to these plans were $32 million , $34 million and $39 million during 2015 , 2014 and 2013 , respectively. Defined Benefit Pension Plans The Company sponsors defined benefit pension plans in the United States and in certain foreign subsidiaries with some plans offering participation in the plans at the employees’ option. Under these plans, benefits are based on an employee’s years of credited service and a percentage of final average compensation. However, the majority of the plans are closed to new employees and participants are no longer accruing benefits. The funded status of the defined benefit pension plans is recognized on the Consolidated Balance Sheets and the gains or losses and prior service costs or credits that arise during the period, but are not recognized as components of net periodic benefit cost, are recognized as a component of accumulated other comprehensive income (loss), net of tax. The components of net periodic benefit cost consisted of the following: Year Ended December 31, 2015 2014 2013 Service cost $ 5 $ 5 $ 5 Interest cost 22 29 26 Expected return on plan assets (31 ) (32 ) (28 ) Amortization of unrecognized amounts 5 3 15 Net periodic benefit cost $ 1 $ 5 $ 18 The estimated amount that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost in 2016 is $6 million , which consists of $5 million for net actuarial loss and $1 million for prior service cost. The Company uses a measurement date of December 31 for its pension plans. The funded status of the pension plans were as follows: As of December 31, Change in Benefit Obligation 2015 2014 Benefit obligation at end of prior year $ 716 $ 670 Service cost 5 5 Interest cost 22 29 Plan amendments — (1 ) Actuarial (gain) loss (32 ) 72 Currency translation adjustment (30 ) (34 ) Net benefits paid (25 ) (25 ) Benefit obligation at end of current year $ 656 $ 716 Change in Plan Assets Fair value of assets at end of prior year $ 553 $ 517 Actual return on plan assets 5 56 Employer contributions 14 26 Currency translation adjustment (20 ) (21 ) Net benefits paid (25 ) (25 ) Fair value of assets at end of current year $ 527 $ 553 As of December 31, Funded Status 2015 2014 Classification of net balance sheet assets (liabilities): Non-current assets $ 30 $ 15 Current liabilities (1 ) (1 ) Non-current liabilities (158 ) (177 ) Net funded status $ (129 ) $ (163 ) The following assumptions were used to determine pension obligations and pension costs for the principal plans in which the Company’s employees participated: For the Year Ended December 31, U.S. Pension Benefit Plans 2015 2014 2013 Discount rate: Net periodic benefit cost 4.00 % 4.75 % 3.75 % Benefit obligation 4.40 % 4.00 % 4.75 % Long-term rate of return on plan assets 7.25 % 7.50 % 7.50 % Non-U.S. Pension Benefit Plans Discount rate: Net periodic benefit cost 3.30 % 4.50 % 4.50 % Benefit obligation 3.45 % 3.30 % 4.50 % Long-term rate of return on plan assets 4.65 % 5.30 % 5.25 % To select discount rates for its defined benefit pension plans, the Company uses a modeling process that involves matching the expected cash outflows of such plans, to yield curves constructed from portfolios of AA-rated fixed-income debt instruments. The Company uses the average yields of the hypothetical portfolios as a discount rate benchmark. The Company’s expected rate of return on plan assets of 7.25% and 4.65% for the U.S. plans and non-U.S. plans, respectively, used to determine pension obligations and pension costs, is a long-term rate based on historic plan asset returns in individual jurisdictions, over varying long-term periods combined with current market expectations and broad asset mix considerations. As of December 31, 2015 , plans with benefit obligations in excess of plan assets had accumulated benefit obligations of $386 million and plan assets of $228 million . As of December 31, 2014 , plans with benefit obligations in excess of plan assets had accumulated benefit obligations of $421 million and plan assets of $243 million . The accumulated benefit obligation for all plans was $646 million and $703 million as of December 31, 2015 and 2014 , respectively. The Company expects to contribute approximately $2 million to the U.S. plans and $8 million to the non-U.S. plans in 2016 . The Company’s defined benefit pension plans’ assets are invested primarily in mutual funds and may change in value due to various risks, such as interest rate and credit risk and overall market volatility. Due to the level of risk associated with investment securities, it is reasonably possible that changes in the values of the pension plans’ investment securities will occur in the near term and that such changes would materially affect the amounts reported in the Company’s financial statements. The defined benefit pension plans’ investment goals and objectives are managed by the Company or Company-appointed trustees with consultation from independent investment advisors. While the objectives may vary slightly by country and jurisdiction, collectively the Company seeks to produce returns on pension plan investments, which are based on levels of liquidity and investment risk that the Company believes are prudent and reasonable, given prevailing capital market conditions. The pension plans’ assets are managed in the long-term interests of the participants and the beneficiaries of the plans. A suitable strategic asset allocation benchmark is determined for each plan to maintain a diversified portfolio, taking into account government requirements, if any, regarding unnecessary investment risk and protection of pension plans’ assets. The Company believes that diversification of the pension plans’ assets is an important investment strategy to provide reasonable assurance that no single security or class of securities will have a disproportionate impact on the pension plans. As such, the Company allocates assets among traditional equity, fixed income (government issued securities, corporate bonds and short-term cash investments) and other investment strategies. The equity component’s purpose is to provide a total return that will help preserve the purchasing power of the assets. The pension plans hold various mutual funds that invest in equity securities and are diversified among funds that invest in large cap, small cap, growth, value and international stocks as well as funds that are intended to “track” an index, such as the S&P 500. The equity investments in the portfolios will represent a greater assumption of market volatility and risk as well as provide higher anticipated total return over the long term. The equity component is expected to approximate 45% - 65% of the plans’ assets. The purpose of the fixed income component is to provide a deflation hedge, to reduce the overall volatility of the pension plans assets in relation to the liability and to produce current income. The pension plans hold mutual funds that invest in securities issued by governments, government agencies and corporations. The fixed income component is expected to approximate 35% - 55% of the plans’ assets. The Company used significant observable inputs (Level 2) to determine the fair value of the defined benefit pension plans’ assets. See Note 2-Summary of Significant Accounting Policies for the Company’s methodology used to measure fair value. The following table presents the defined benefit pension plans’ assets measured at fair value, as of December 31: Asset Class 2015 2014 Cash equivalents and short term investments $ 12 $ 6 U.S. equities 126 113 Foreign equities 129 163 Government bonds 103 91 Corporate bonds 133 167 Other assets 24 13 Total assets $ 527 $ 553 The Company estimates that future benefit payments from plan assets will be $23 million , $23 million , $25 million , $28 million , $28 million and $156 million for 2016 , 2017, 2018, 2019, 2020 and 2021 to 2025, respectively. Multiemployer Plans The Company contributes to a number of multiemployer plans under the terms of collective-bargaining agreements that cover a portion of its employees. The risks of participating in these multiemployer plans are different from single-employer plans in the following aspects: (i) assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers; (ii) if a participating employer stops contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers; (iii) if the Company elects to stop participating in a multiemployer plan it may be required to contribute to such plan an amount based on the under-funded status of the plan; and (iv) the Company has no involvement in the management of the multiemployer plans’ investments. For the years ended December 31, 2015 , 2014 and 2013 , the Company contributed a total of $9 million , $9 million and $8 million , respectively, to multiemployer plans. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments | Financial Instruments Risk Management Currency Risk . The Company uses currency exchange contracts to manage its exposure to changes in currency exchange rates associated with its non-U.S.-dollar denominated receivables and forecasted royalties, forecasted earnings of non-U.S. subsidiaries and forecasted non-U.S.-dollar denominated acquisitions. The Company primarily hedges a portion of its current-year currency exposure to the Australian, Canadian and New Zealand dollars, the Euro and the British pound sterling. The majority of forward contracts do not qualify for hedge accounting treatment. The fluctuations in the value of these forward contracts do, however, largely offset the impact of changes in the value of the underlying risk they economically hedge. Forward contracts used to hedge forecasted third-party receipts and disbursements up to 12 months are designated and do qualify as cash flow hedges. The Company has designated its 6% Euro-denominated notes as a hedge of its investment in Euro-denominated foreign operations. The amount of gains or losses reclassified from other comprehensive income (loss) to earnings resulting from ineffectiveness or from excluding a component of the hedges’ gain or loss from the effectiveness calculation for cash flow and net investment hedges during 2015 , 2014 and 2013 was not material, nor is the amount of gains or losses the Company expects to reclassify from accumulated other comprehensive income (loss) to earnings over the next 12 months. Interest Rate Risk . The Company uses various hedging strategies including interest rate swaps and interest rate caps to create an appropriate mix of fixed and floating rate assets and liabilities. The after-tax amount of gains or losses reclassified from accumulated other comprehensive income (loss) to earnings resulting from ineffectiveness for 2015 , 2014 and 2013 was not material to the Company’s results of operations. The Company expects $5 million of losses currently deferred in accumulated other comprehensive income (loss) to be recognized in earnings during 2016. Commodity Risk. The Company periodically enters into derivative commodity contracts to manage its exposure to changes in the price of gasoline. These instruments were designated as freestanding derivatives and the changes in fair value are recorded in the Company’s consolidated results of operations. Credit Risk and Exposure . The Company is exposed to counterparty credit risks in the event of nonperformance by counterparties to various agreements and sales transactions. The Company manages such risk by evaluating the financial position and creditworthiness of such counterparties and by requiring collateral in certain instances in which financing is provided. The Company mitigates counterparty credit risk associated with its derivative contracts by monitoring the amount for which it is at risk with each counterparty, periodically evaluating counterparty creditworthiness and financial position, and where possible, dispersing its risk among multiple counterparties. There were no significant concentrations of credit risk with any individual counterparty or groups of counterparties at December 31, 2015 or 2014 , other than (i) risks related to the Company’s repurchase and guaranteed depreciation agreements with domestic and foreign car manufacturers, including Ford, General Motors, Chrysler, Peugeot, Volkswagen, Fiat, Kia, Toyota, Mercedes, Renault and Hyundai , and primarily with respect to receivables for program cars that were disposed but for which the Company has not yet received payment from the manufacturers (see Note 2-Summary of Significant Accounting Policies), (ii) receivables from Realogy and Wyndham related to certain contingent, income tax and other corporate liabilities assumed by Realogy and Wyndham in connection with their disposition and (iii) risks related to leases which have been assumed by Realogy, Wyndham or Travelport but of which the Company is a guarantor. Concentrations of credit risk associated with trade receivables are considered minimal due to the Company’s diverse customer base. The Company does not normally require collateral or other security to support credit sales. Fair Value Derivative instruments and hedging activities As described above, derivative assets and liabilities consist principally of currency exchange contracts, interest rate swaps, interest rate caps and commodity contracts. The Company held derivative instruments with absolute notional values as follows: As of December 31, 2015 2014 Interest rate caps (a) $ 10,179 $ 8,333 Interest rate swaps 900 1,592 Foreign exchange contracts 811 493 __________ (a) Represents $8.2 billion of interest rate caps sold, partially offset by approximately $2.0 billion of interest rate caps purchased at December 31, 2015 and $6.2 billion of interest rate caps sold, partially offset by approximately $2.1 billion of interest rate caps purchased at December 31, 2014 . These amounts exclude $6.2 billion and $4.2 billion of interest rate caps purchased by the Company’s Avis Budget Rental Car Funding subsidiary at December 31, 2015 and 2014 , respectively. Fair values (Level 2) of derivative instruments are as follows: As of December 31, 2015 As of December 31, 2014 Fair Value, Asset Derivatives Fair Value, Liability Derivatives Fair Value, Asset Derivatives Fair Value, Liability Derivatives Derivatives designated as hedging instruments Interest rate swaps (a) $ 1 $ 5 $ 1 $ 3 Derivatives not designated as hedging instruments Interest rate caps (b) 1 5 — 10 Foreign exchange contracts (c) 16 2 5 2 Commodity contracts (c) — 1 — 1 Total $ 18 $ 13 $ 6 $ 16 __________ Amounts in this table exclude derivatives issued by Avis Budget Rental Car Funding, as it is not consolidated by the Company; however, certain amounts related to the derivatives held by Avis Budget Rental Car Funding are included within accumulated other comprehensive income (loss), as discussed in Note 15-Stockholders’ Equity. (a) Included in other non-current assets or other non-current liabilities. (b) Included in assets under vehicle programs or liabilities under vehicle programs. (c) Included in other current assets or other current liabilities. The effects of derivatives recognized in the Company’s Consolidated Financial Statements are as follows: Year Ended December 31, 2015 2014 2013 Financial instruments designated as hedging instruments (a) Interest rate swaps $ (1 ) $ (2 ) $ 1 Euro-denominated notes 34 46 (11 ) Financial instruments not designated as hedging instruments (b) Foreign exchange contracts (c) 48 8 27 Interest rate caps (d) (2 ) (3 ) 4 Commodity contracts (e) — (3 ) 1 Total $ 79 $ 46 $ 22 __________ (a) Recognized, net of tax, as a component of accumulated other comprehensive income within stockholders’ equity. (b) Gains (losses) related to derivative instruments are expected to be largely offset by (losses) gains on the underlying exposures being hedged. (c) For the year ended December 31, 2015 , included a $32 million gain included in interest expense and a $16 million gain included in operating expenses. For the year ended December 31, 2014 , included a $10 million gain in interest expense and a $2 million loss included in operating expenses. For the year ended December 31, 2013 , included a $20 million gain in interest expense and a $7 million gain included in operating expenses. (d) For the years ended December 31, 2015 and 2014 , amounts are included in vehicle interest, net. For the year ended December 31, 2013 , $1 million of expense is included in vehicle interest, net and a $5 million gain is included in interest expense. (e) Included in operating expenses. Debt Instruments The carrying amounts and estimated fair values (Level 2) of debt instruments are as follows: As of December 31, 2015 As of December 31, 2014 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Corporate debt Short-term debt and current portion of long-term debt $ 26 $ 26 $ 28 $ 28 Long-term debt 3,435 3,478 3,325 3,439 Debt under vehicle programs Vehicle-backed debt due to Avis Budget Rental Car Funding $ 6,796 $ 6,836 $ 6,296 $ 6,407 Vehicle-backed debt 2,060 2,071 1,750 1,771 Interest rate swaps and interest rate caps (a) 4 4 10 10 ___________ The carrying values of long-term debt, vehicle-backed debt due to Avis Budget Rental Car Funding and vehicle-backed debt as of December 31, 2014 have been retrospectively adjusted by $67 million , $44 million and $16 million , respectively, to include debt issuance costs, which are presented as a reduction of the corresponding liability. (a) Derivatives in liability position. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company’s chief operating decision maker assesses performance and allocates resources based upon the separate financial information from the Company’s operating segments. In identifying its reportable segments, the Company considered the nature of services provided, the geographical areas in which the segments operated and other relevant factors. The Company aggregates certain of its operating segments into its reportable segments. Management evaluates the operating results of each of its reportable segments based upon revenue and “Adjusted EBITDA,” which the Company defines as income from continuing operations before non-vehicle related depreciation and amortization, any impairment charge, restructuring expense, early extinguishment of debt costs, non-vehicle related interest, transaction-related costs and income taxes. The Company’s presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies. Year Ended December 31, 2015 Americas International Corporate and Other (a) Total Net revenues $ 6,069 $ 2,433 $ — $ 8,502 Vehicle depreciation and lease charges, net 1,478 455 — 1,933 Vehicle interest, net 234 55 — 289 Adjusted EBITDA 682 277 (56 ) 903 Non-vehicle depreciation and amortization 143 75 — 218 Assets exclusive of assets under vehicle programs 3,940 1,901 77 5,918 Assets under vehicle programs 9,440 2,276 — 11,716 Capital expenditures (excluding vehicles) 131 68 — 199 __________ (a) Primarily represents unallocated corporate overhead and receivables from our former subsidiaries. Year Ended December 31, 2014 Americas International Corporate and Other (a) Total Net revenues $ 5,961 $ 2,524 $ — $ 8,485 Vehicle depreciation and lease charges, net 1,492 504 — 1,996 Vehicle interest, net 234 48 — 282 Adjusted EBITDA 656 280 (60 ) 876 Non-vehicle depreciation and amortization 122 58 — 180 Assets exclusive of assets under vehicle programs 3,946 1,730 108 5,784 Assets under vehicle programs 9,162 1,896 — 11,058 Capital expenditures (excluding vehicles) 113 69 — 182 __________ (a) Primarily represents unallocated corporate overhead and receivables from our former subsidiaries. Year Ended December 31, 2013 Americas International Corporate and Other (a) Total Net revenues $ 5,480 $ 2,457 $ — $ 7,937 Vehicle depreciation and lease charges, net 1,315 496 — 1,811 Vehicle interest, net 216 48 — 264 Adjusted EBITDA 560 256 (47 ) 769 Non-vehicle depreciation and amortization 103 49 — 152 Assets exclusive of assets under vehicle programs 3,797 1,749 152 5,698 Assets under vehicle programs 8,357 2,095 — 10,452 Capital expenditures (excluding vehicles) 99 53 — 152 __________ (a) Primarily represents unallocated corporate overhead and receivables from our former subsidiaries. Provided below is a reconciliation of Adjusted EBITDA to income before income taxes. For the Year Ended December 31, 2015 2014 2013 Adjusted EBITDA $ 903 $ 876 $ 769 Less: Non-vehicle related depreciation and amortization 218 180 152 Interest expense related to corporate debt, net 194 209 228 Early extinguishment of corporate debt 23 56 147 Transaction-related costs, net 68 13 51 Restructuring expense 18 26 61 Impairment — — 33 Income before income taxes $ 382 $ 392 $ 97 The geographic segment information provided below is classified based on the geographic location of the Company’s subsidiaries. United States All Other Countries Total 2015 Net revenues $ 5,635 $ 2,867 $ 8,502 Assets exclusive of assets under vehicle programs 3,677 2,241 5,918 Assets under vehicle programs 8,786 2,930 11,716 Net long-lived assets 1,502 1,069 2,571 2014 Net revenues $ 5,471 $ 3,014 $ 8,485 Assets exclusive of assets under vehicle programs 3,745 2,039 5,784 Assets under vehicle programs 8,428 2,630 11,058 Net long-lived assets 1,481 885 2,366 2013 Net revenues $ 5,030 $ 2,907 $ 7,937 Assets exclusive of assets under vehicle programs 3,608 2,090 5,698 Assets under vehicle programs 7,791 2,661 10,452 Net long-lived assets 1,281 947 2,228 The financial data presented has been retrospectively adjusted to reflect the impact of a change in accounting principle related to the presentation of debt issuance costs described in Note 2-Summary of Significant Accounting Policies, as follows. United States All Other Countries Total For the Year Ended December 31, 2014 Assets exclusive of assets under vehicle programs decreased $114 $13 $127 For the Year Ended December 31, 2013 Assets exclusive of assets under vehicle programs decreased 121 13 134 |
Guarantor and Non-Guarantor Con
Guarantor and Non-Guarantor Consolidating Financial Statements | 12 Months Ended |
Dec. 31, 2015 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Guarantor and Non-guarantor Consolidating Financial Statements | Guarantor and Non-Guarantor Consolidating Financial Statements The following consolidating financial information presents Consolidating Condensed Statements of Operations for the years ended December 31, 2015 , 2014 and 2013 , Consolidating Condensed Balance Sheets as of December 31, 2015 and December 31, 2014 and Consolidating Condensed Statements of Cash Flows for the years ended December 31, 2015 , 2014 and 2013 for: (i) Avis Budget Group, Inc. (the “Parent”); (ii) ABCR and Avis Budget Finance, Inc. (the “Subsidiary Issuers”); (iii) the guarantor subsidiaries; (iv) the non-guarantor subsidiaries; (v) elimination entries necessary to consolidate the Parent with the Subsidiary Issuers, the guarantor and non-guarantor subsidiaries; and (vi) the Company on a consolidated basis. The Subsidiary Issuers and the guarantor and non-guarantor subsidiaries are 100% owned by the Parent, either directly or indirectly. All guarantees are full and unconditional and joint and several. This financial information is being presented in relation to the Company’s guarantee of the payment of principal, premium (if any) and interest on the notes issued by the Subsidiary Issuers. See Note 12-Long-term Debt and Borrowing Arrangements for additional description of these guaranteed notes. The Senior Notes have separate investors than the equity investors of the Company and are guaranteed by the Parent and certain subsidiaries. Investments in subsidiaries are accounted for using the equity method of accounting for purposes of the consolidating presentation. The principal elimination entries relate to investments in subsidiaries and intercompany balances and transactions. For purposes of the accompanying Consolidating Condensed Statements of Operations, certain expenses incurred by the Subsidiary Issuers are allocated to the guarantor and non-guarantor subsidiaries. For the Year Ended December 31, 2015 Parent Subsidiary Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Total Revenues Vehicle rental $ — $ — $ 4,124 $ 1,902 $ — $ 6,026 Other — — 1,181 3,335 (2,040 ) 2,476 Net revenues — — 5,305 5,237 (2,040 ) 8,502 Expenses Operating 2 17 2,587 1,678 — 4,284 Vehicle depreciation and lease charges, net — 1 1,819 1,936 (1,823 ) 1,933 Selling, general and administrative 32 15 619 427 — 1,093 Vehicle interest, net — — 204 302 (217 ) 289 Non-vehicle related depreciation and amortization — 1 133 84 — 218 Interest expense related to corporate debt, net: Interest expense — 159 (5 ) 40 — 194 Intercompany interest expense (income) (12 ) (11 ) 16 7 — — Early extinguishment of debt — 23 — — — 23 Transaction-related costs, net — 22 6 40 — 68 Restructuring expense — — 6 12 — 18 Total expenses 22 227 5,385 4,526 (2,040 ) 8,120 Income (loss) before income taxes and equity in earnings of subsidiaries (22 ) (227 ) (80 ) 711 — 382 Provision for (benefit from) income taxes (9 ) (178 ) 170 86 — 69 Equity in earnings of subsidiaries 326 375 625 — (1,326 ) — Net income $ 313 $ 326 $ 375 $ 625 $ (1,326 ) $ 313 Comprehensive income $ 188 $ 203 $ 253 $ 504 $ (960 ) $ 188 For the Year Ended December 31, 2014 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Revenues Vehicle rental $ — $ — $ 4,038 $ 1,988 $ — $ 6,026 Other — — 1,167 3,426 (2,134 ) 2,459 Net revenues — — 5,205 5,414 (2,134 ) 8,485 Expenses Operating 10 13 2,525 1,703 — 4,251 Vehicle depreciation and lease charges, net — 1 1,920 1,996 (1,921 ) 1,996 Selling, general and administrative 27 23 602 428 — 1,080 Vehicle interest, net — — 200 295 (213 ) 282 Non-vehicle related depreciation and amortization — 2 111 67 — 180 Interest expense related to corporate debt, net: Interest expense 2 163 2 42 — 209 Intercompany interest expense (income) (13 ) (11 ) 1 23 — — Early extinguishment of debt — 56 — — — 56 Restructuring expense — — 7 19 — 26 Transaction-related costs, net 1 8 (20 ) 24 — 13 Total expenses 27 255 5,348 4,597 (2,134 ) 8,093 Income (loss) before income taxes and equity in earnings of subsidiaries (27 ) (255 ) (143 ) 817 — 392 Provision for (benefit from) income taxes (10 ) (108 ) 186 79 — 147 Equity in earnings of subsidiaries 262 409 738 — (1,409 ) — Net income $ 245 $ 262 $ 409 $ 738 $ (1,409 ) $ 245 Comprehensive income $ 106 $ 123 $ 273 $ 624 $ (1,020 ) $ 106 For the Year Ended December 31, 2013 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Revenues Vehicle rental $ — $ — $ 3,786 $ 1,921 $ — $ 5,707 Other — — 1,098 3,086 (1,954 ) 2,230 Net revenues — — 4,884 5,007 (1,954 ) 7,937 Expenses Operating 7 15 2,425 1,627 — 4,074 Vehicle depreciation and lease charges, net — — 1,776 1,806 (1,771 ) 1,811 Selling, general and administrative 35 6 591 387 — 1,019 Vehicle interest, net — — 182 265 (183 ) 264 Non-vehicle related depreciation and amortization — 2 97 53 — 152 Interest expense related to corporate debt, net: Interest expense 3 196 — 29 — 228 Intercompany interest expense (income) (12 ) (30 ) 6 36 — — Early extinguishment of debt 53 94 — — — 147 Restructuring expense — — 25 36 — 61 Transaction-related costs, net 1 24 3 23 — 51 Impairment — 33 — — — 33 Total expenses 87 340 5,105 4,262 (1,954 ) 7,840 Income (loss) before income taxes and equity in earnings of subsidiaries (87 ) (340 ) (221 ) 745 — 97 Provision for (benefit from) income taxes (14 ) (124 ) 156 63 — 81 Equity in earnings of subsidiaries 89 305 682 — (1,076 ) — Net income $ 16 $ 89 $ 305 $ 682 $ (1,076 ) $ 16 Comprehensive income $ 23 $ 96 $ 310 $ 657 $ (1,063 ) $ 23 As of December 31, 2015 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Assets Current assets: Cash and cash equivalents $ 4 $ 70 $ — $ 378 $ — $ 452 Receivables, net — — 212 456 — 668 Other current assets 2 78 83 344 — 507 Total current assets 6 148 295 1,178 — 1,627 Property and equipment, net — 134 345 202 — 681 Deferred income taxes 20 1,246 253 — (31 ) 1,488 Goodwill — — 487 486 — 973 Other intangibles, net — 30 525 362 — 917 Other non-current assets 93 15 17 107 — 232 Intercompany receivables 160 367 1,070 696 (2,293 ) — Investment in subsidiaries 272 3,426 3,680 — (7,378 ) — Total assets exclusive of assets under vehicle programs 551 5,366 6,672 3,031 (9,702 ) 5,918 Assets under vehicle programs: Program cash — — — 258 — 258 Vehicles, net — 18 78 10,562 — 10,658 Receivables from vehicle manufacturers and other — — — 438 — 438 Investment in Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 362 — 362 — 18 78 11,620 — 11,716 Total assets $ 551 $ 5,384 $ 6,750 $ 14,651 $ (9,702 ) $ 17,634 Liabilities and stockholders’ equity Current liabilities: Accounts payable and other current liabilities $ 24 $ 180 $ 471 $ 810 $ — $ 1,485 Short-term debt and current portion of long-term debt — 14 5 7 — 26 Total current liabilities 24 194 476 817 — 1,511 Long-term debt — 2,932 2 501 — 3,435 Other non-current liabilities 88 85 237 355 (31 ) 734 Intercompany payables — 1,897 336 60 (2,293 ) — Total liabilities exclusive of liabilities under vehicle programs 112 5,108 1,051 1,733 (2,324 ) 5,680 Liabilities under vehicle programs: Debt — 4 74 1,986 — 2,064 Due to Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 6,796 — 6,796 Deferred income taxes — — 2,199 168 — 2,367 Other — — — 288 — 288 — 4 2,273 9,238 — 11,515 Total stockholders’ equity 439 272 3,426 3,680 (7,378 ) 439 Total liabilities and stockholders’ equity $ 551 $ 5,384 $ 6,750 $ 14,651 $ (9,702 ) $ 17,634 As of December 31, 2014 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Assets Current assets: Cash and cash equivalents $ 2 $ 210 $ — $ 412 $ — $ 624 Receivables, net — — 177 422 — 599 Other current assets 3 86 78 289 — 456 Total current assets 5 296 255 1,123 — 1,679 Property and equipment, net — 112 325 201 — 638 Deferred income taxes 19 1,222 240 34 (4 ) 1,511 Goodwill — — 487 355 — 842 Other intangibles, net — 38 545 303 — 886 Other non-current assets 104 25 21 78 — 228 Intercompany receivables 205 344 978 672 (2,199 ) — Investment in subsidiaries 468 3,072 3,316 — (6,856 ) — Total assets exclusive of assets under vehicle programs 801 5,109 6,167 2,766 (9,059 ) 5,784 Assets under vehicle programs: Program cash — — — 119 — 119 Vehicles, net — 7 87 10,121 — 10,215 Receivables from vehicle manufacturers and other — 1 — 361 — 362 Investment in Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 362 — 362 — 8 87 10,963 — 11,058 Total assets $ 801 $ 5,117 $ 6,254 $ 13,729 $ (9,059 ) $ 16,842 Liabilities and stockholders’ equity Current liabilities: Accounts payable and other current liabilities $ 39 $ 200 $ 462 $ 790 $ — $ 1,491 Short-term debt and current portion of long-term debt — 13 4 11 — 28 Total current liabilities 39 213 466 801 — 1,519 Long-term debt — 2,769 6 550 — 3,325 Other non-current liabilities 97 100 232 341 (4 ) 766 Intercompany payables — 1,558 313 328 (2,199 ) — Total liabilities exclusive of liabilities under vehicle programs 136 4,640 1,017 2,020 (2,203 ) 5,610 Liabilities under vehicle programs: Debt — 9 83 1,668 — 1,760 Due to Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 6,296 — 6,296 Deferred income taxes — — 2,082 185 — 2,267 Other — — — 244 — 244 — 9 2,165 8,393 — 10,567 Total stockholders’ equity 665 468 3,072 3,316 (6,856 ) 665 Total liabilities and stockholders’ equity $ 801 $ 5,117 $ 6,254 $ 13,729 $ (9,059 ) $ 16,842 For the Year Ended December 31, 2015 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net cash provided by (used in) operating activities $ 60 $ 249 $ 146 $ 2,204 $ (75 ) $ 2,584 Investing activities Property and equipment additions — (26 ) (98 ) (75 ) — (199 ) Proceeds received on asset sales — 7 1 7 — 15 Net assets acquired (net of cash acquired) — (8 ) (9 ) (239 ) — (256 ) Intercompany loan receipts (advances) — (30 ) (96 ) — 126 — Other, net 334 (127 ) 1 8 (210 ) 6 Net cash provided by (used in) investing activities exclusive of vehicle programs 334 (184 ) (201 ) (299 ) (84 ) (434 ) Vehicle programs: Increase in program cash — — — (148 ) — (148 ) Investment in vehicles — (1 ) (2 ) (11,925 ) — (11,928 ) Proceeds received on disposition of vehicles — 19 — 9,661 — 9,680 — 18 (2 ) (2,412 ) — (2,396 ) Net cash provided by (used in) investing activities 334 (166 ) (203 ) (2,711 ) (84 ) (2,830 ) Financing activities Proceeds from long-term borrowings — 375 — 2 — 377 Payments on long-term borrowings — (256 ) (4 ) (41 ) — (301 ) Net change in short-term borrowings — — — (22 ) — (22 ) Debt financing fees — (7 ) — (7 ) Repurchases of common stock (393 ) — — — — (393 ) Intercompany loan borrowings (payments) — — — 126 (126 ) — Other, net 1 (335 ) 70 (28 ) 285 (7 ) Net cash provided by (used in) financing activities exclusive of vehicle programs (392 ) (223 ) 66 37 159 (353 ) Vehicle programs: Proceeds from borrowings — — — 14,138 — 14,138 Payments on borrowings — — (9 ) (13,639 ) — (13,648 ) Debt financing fees — — — (22 ) — (22 ) — — (9 ) 477 — 468 Net cash provided by (used in) financing activities (392 ) (223 ) 57 514 159 115 Effect of changes in exchange rates on cash and cash equivalents — — — (41 ) — (41 ) Net increase (decrease) in cash and cash equivalents 2 (140 ) — (34 ) — (172 ) Cash and cash equivalents, beginning of period 2 210 — 412 — 624 Cash and cash equivalents, end of period $ 4 $ 70 $ — $ 378 $ — $ 452 For the Year Ended December 31, 2014 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net cash provided by (used in) operating activities $ — $ 469 $ 340 $ 1,840 $ (70 ) $ 2,579 Investing activities Property and equipment additions — (20 ) (84 ) (78 ) — (182 ) Proceeds received on asset sales — 7 8 6 — 21 Net assets acquired (net of cash acquired) — — (263 ) (153 ) — (416 ) Other, net 285 (9 ) (2 ) — (285 ) (11 ) Net cash provided by (used in) investing activities exclusive of vehicle programs 285 (22 ) (341 ) (225 ) (285 ) (588 ) Vehicle programs: Increase in program cash — — — (10 ) — (10 ) Investment in vehicles — (9 ) (90 ) (11,776 ) — (11,875 ) Proceeds received on disposition of vehicles — 8 — 9,658 — 9,666 — (1 ) (90 ) (2,128 ) — (2,219 ) Net cash provided by (used in) investing activities 285 (23 ) (431 ) (2,353 ) (285 ) (2,807 ) Financing activities Proceeds from long-term borrowings — 575 — 296 — 871 Payments on long-term borrowings — (756 ) (5 ) (1 ) — (762 ) Net change in short-term borrowings — — — 5 — 5 Debt financing fees — (12 ) — (5 ) — (17 ) Repurchases of common stock (297 ) — — — — (297 ) Other, net — (285 ) — (70 ) 355 — Net cash provided by (used in) financing activities exclusive of vehicle programs (297 ) (478 ) (5 ) 225 355 (200 ) Vehicle programs: Proceeds from borrowings — — 88 14,285 — 14,373 Payments on borrowings — — (3 ) (13,960 ) — (13,963 ) Debt financing fees — — (1 ) (27 ) — (28 ) — — 84 298 — 382 Net cash provided by (used in) financing activities (297 ) (478 ) 79 523 355 182 Effect of changes in exchange rates on cash and cash equivalents — — — (23 ) — (23 ) Net decrease in cash and cash equivalents (12 ) (32 ) (12 ) (13 ) — (69 ) Cash and cash equivalents, beginning of period 14 242 12 425 — 693 Cash and cash equivalents, end of period $ 2 $ 210 $ — $ 412 $ — $ 624 For the Year Ended December 31, 2013 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net cash provided by (used in) operating activities $ (3 ) $ 562 $ 26 $ 1,736 $ (68 ) $ 2,253 Investing activities Property and equipment additions — (26 ) (69 ) (57 ) — (152 ) Proceeds received on asset sales — 7 4 11 — 22 Net assets acquired (net of cash acquired) — (564 ) 8 19 — (537 ) Intercompany loan receipts (advances) — 233 60 — (293 ) — Other, net 146 (50 ) 48 4 (146 ) 2 Net cash provided by (used in) investing activities exclusive of vehicle programs 146 (400 ) 51 (23 ) (439 ) (665 ) Vehicle programs: Increase in program cash — — — (79 ) — (79 ) Investment in vehicles — (44 ) (2 ) (10,853 ) — (10,899 ) Proceeds received on disposition of vehicles — 40 — 9,369 — 9,409 — (4 ) (2 ) (1,563 ) — (1,569 ) Net cash provided by (used in) investing activities 146 (404 ) 49 (1,586 ) (439 ) (2,234 ) Financing activities Proceeds from long-term borrowings — 2,647 — 325 — 2,972 Payments on long-term borrowings (115 ) (2,489 ) (3 ) (1 ) — (2,608 ) Net change in short-term borrowings — — — (36 ) — (36 ) Debt financing fees — (30 ) — (7 ) — (37 ) Purchases of warrants (78 ) — — — — (78 ) Proceeds from sale of call options 104 — — — — 104 Repurchases of common stock (48 ) — — — — (48 ) Intercompany loan borrowings (payments) — — (60 ) (233 ) 293 — Other, net 3 (146 ) — (68 ) 214 3 Net cash provided by (used in) financing activities exclusive of vehicle programs (134 ) (18 ) (63 ) (20 ) 507 272 Vehicle programs: Proceeds from borrowings — — — 12,953 — 12,953 Payments on borrowings — — — (13,115 ) — (13,115 ) Debt financing fees — — — (34 ) — (34 ) — — — (196 ) — (196 ) Net cash provided by (used in) financing activities (134 ) (18 ) (63 ) (216 ) 507 76 Effect of changes in exchange rates on cash and cash equivalents — — — (8 ) — (8 ) Net increase (decrease) in cash and cash equivalents 9 140 12 (74 ) — 87 Cash and cash equivalents, beginning of period 5 102 — 499 — 606 Cash and cash equivalents, end of period $ 14 $ 242 $ 12 $ 425 $ — $ 693 |
Selected Quarterly Financial Da
Selected Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Selected Quarterly Financial Data | Selected Quarterly Financial Data—(unaudited) Provided below are selected unaudited quarterly financial data for 2015 and 2014 . The earnings per share information is calculated independently for each quarter based on the weighted average number of common stock and common stock equivalents outstanding, which may fluctuate, based on quarterly income levels and market prices. Therefore, the sum of the quarters’ per share information may not equal the annual amount presented on the Consolidated Statements of Operations. 2015 First Second Third Fourth Net revenues $ 1,850 $ 2,173 $ 2,577 $ 1,902 Net income (loss) (9 ) 143 184 (5 ) Per share information: Basic Net income (loss) $ (0.09 ) $ 1.36 $ 1.80 $ (0.06 ) Weighted average shares 106.1 105.5 102.7 99.5 Diluted Net income (loss) $ (0.09 ) $ 1.34 $ 1.77 $ (0.06 ) Weighted average shares 106.1 106.7 104.0 99.5 2014 First Second Third Fourth Net revenues $ 1,862 $ 2,194 $ 2,542 $ 1,887 Net income 4 26 192 23 Per share information: Basic Net income $ 0.03 $ 0.25 $ 1.84 $ 0.22 Weighted average shares 106.6 105.1 103.9 106.2 Diluted Net income $ 0.03 $ 0.24 $ 1.74 $ 0.21 Weighted average shares 108.6 111.0 109.9 108.3 |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | 22. Subsequent Event In January 2016, the Board of Directors increased the Company’s share repurchase program authorization by $300 million . |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2015 | |
Valuation and Qualifying Accounts [Abstract] | |
Valuation and Qualifying Accounts | Schedule II – Valuation and Qualifying Accounts (in millions) Description Balance at Beginning of Period Expensed Other Adjustments Deductions Balance at End of Period Allowance for Doubtful Accounts: Year Ended December 31, 2015 (a) $ 34 $ 24 $ (3 ) $ (21 ) $ 34 2014 (a) 50 17 (3 ) (30 ) 34 2013 40 15 10 (15 ) 50 Tax Valuation Allowance: Year Ended December 31, 2015 (a)(b) $ 319 $ 20 $ 12 $ — $ 351 2014 (a) 347 (9 ) (13 ) (6 ) 319 2013 (c) 298 27 22 — 347 __________ (a) Other adjustments relate to currency translation adjustments. (b) Other adjustments relate to the acquisition of Brazil. (c) Other adjustments relate to the acquisition of Zipcar. |
Summary of Significant Accoun33
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Accounting Principles | Accounting Principles The Company’s Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). |
Principles of Consolidation | Principles of Consolidation The Consolidated Financial Statements include the accounts of the Company and all entities in which it has a direct or indirect controlling financial interest and variable interest entities for which the Company has determined it is the primary beneficiary. Intercompany transactions have been eliminated in consolidation. |
Reclassifications [Text Block] | Reclassifications Certain reclassifications have been made to prior years’ Consolidated Financial Statements to conform to the current year presentation. These reclassifications have no impact on period reported net income or cash flow. |
Use of Estimates and Assumptions | Use of Estimates and Assumptions The use of estimates and assumptions as determined by management is required in the preparation of the Consolidated Financial Statements in conformity with GAAP. These estimates are based on management’s evaluation of historical trends and other information available when the Consolidated Financial Statements are prepared and may affect the amounts reported and related disclosures. Actual results could differ from those estimates. |
Revenue Recognition | Revenue Recognition The Company derives revenue primarily through the operation and licensing of its rental systems and by providing vehicle rentals and other services to business and leisure travelers and others. Other revenue includes sales of loss damage waivers and insurance products, fuel and fuel service charges, rentals of GPS navigation units and other items. Revenue is recognized when persuasive evidence of an arrangement exists, the services have been rendered to customers, the pricing is fixed or determinable and collection is reasonably assured. Vehicle rental and rental-related revenue is recognized over the period the vehicle is rented. Licensing revenue principally consists of royalties paid by the Company’s licensees and is recorded within other revenues as the licensees’ revenue is earned (over the rental period of a vehicle). The Company renews license agreements in the normal course of business and occasionally terminates, purchases or sells license agreements. In connection with ongoing fees that the Company receives from its licensees pursuant to license agreements, the Company is required to provide certain services, such as training, marketing and the operation of reservation systems. Revenue and expenses associated with gasoline, vehicle licensing and airport concessions are recorded on a gross basis within revenue and operating expenses. Membership fees related to the Company’s car sharing business are generally nonrefundable, are deferred and recognized ratably over the period of membership and are included in accounts payable and other current liabilities in the Consolidated Balance Sheets. |
Currency Translation | Currency Translation Assets and liabilities of foreign operations are translated at the rate of exchange in effect on the balance sheet date; income and expenses are translated at the prevailing monthly average rate of exchange. The related translation adjustments are reflected in accumulated other comprehensive income (loss) in the stockholders’ equity section of the Consolidated Balance Sheets and in the Consolidated Statements of Comprehensive Income. The accumulated currency translation adjustment as of December 31, 2015 and 2014 was $(80) million and $51 million , respectively. The Company has designated its 6% Euro-denominated Notes as a hedge of its investment in Euro-denominated foreign operations and, accordingly, records the effective portion of gains or losses on this net investment hedge in accumulated other comprehensive income (loss) as part of currency translation adjustments. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. |
Property and Equipment | Property and Equipment Property and equipment (including leasehold improvements) are stated at cost, net of accumulated depreciation and amortization. Depreciation (non-vehicle related) is computed utilizing the straight-line method over the estimated useful lives of the related assets. Amortization of leasehold improvements is computed utilizing the straight-line method over the estimated benefit period of the related assets, which may not exceed 20 years, or the lease term, if shorter. Useful lives are as follows: Buildings 30 years Furniture, fixtures & equipment 3 to 10 years Capitalized software 3 to 7 years Buses and support vehicles 4 to 15 years The Company capitalizes the costs of software developed for internal use when the preliminary project stage is completed and management (i) commits to funding the project and (ii) believes it is probable that the project will be completed and the software will be used to perform the function intended. The software developed or obtained for internal use is amortized on a straight-line basis commencing when such software is ready for its intended use. The net carrying value of software developed or obtained for internal use was $185 million and $140 million as of December 31, 2015 and 2014 , respectively. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill represents the excess, if any, of the fair value of the consideration transferred by the acquirer and the fair value of any non-controlling interest remaining in the acquiree, if any, over the fair values of the identifiable net assets acquired. The Company does not amortize goodwill, but assesses it for impairment at least annually and whenever events or changes in circumstances indicate that the carrying amounts of their respective reporting units exceed their fair values. The Company performs its annual impairment assessment in the fourth quarter of each year at the reporting unit level. The Company assesses goodwill for such impairment by comparing the carrying value of each reporting unit to its fair value using the present value of expected future cash flows. When appropriate, comparative market multiples and other factors are used to corroborate the discounted cash flow results. Other intangible assets, primarily trademarks, with indefinite lives are not amortized but are evaluated annually for impairment and whenever events or changes in circumstances indicate that the carrying amount of this asset may exceed its fair value. If the carrying value of an other intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess. Other intangible assets with finite lives are amortized over their estimated useful lives and are evaluated each reporting period to determine if circumstances warrant a revision to these lives. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company is required to assess long-lived assets for impairment whenever circumstances indicate impairment may have occurred. This analysis is performed by comparing the respective carrying values of the assets to the undiscounted expected future cash flows to be generated from such assets. Property and equipment is evaluated separately at the lowest level of identifiable cash flows. If such analysis indicates that the carrying value of these assets is not recoverable, the carrying value of such assets is reduced to fair value. |
Program Cash | Program Cash Program cash primarily represents amounts specifically designated to purchase assets under vehicle programs and/or to repay the related debt. |
Vehicles | Vehicles Vehicles are stated at cost, net of accumulated depreciation. The initial cost of the vehicles is recorded net of incentives and allowances from manufacturers. The Company acquires many of its rental vehicles pursuant to repurchase and guaranteed depreciation programs established by automobile manufacturers. Under these programs, the manufacturers agree to repurchase vehicles at a specified price and date, or guarantee the depreciation rate for a specified period of time, subject to certain eligibility criteria (such as car condition and mileage requirements). The Company depreciates vehicles such that the net book value on the date of return to the manufacturers is intended to equal the contractual guaranteed residual values, thereby minimizing any gain or loss. Rental vehicles acquired outside of manufacturer repurchase and guaranteed depreciation programs are depreciated based upon their estimated residual values at their expected dates of disposition, after giving effect to anticipated conditions in the used car market. Any adjustments to depreciation are made prospectively. The estimation of residual values requires the Company to make assumptions regarding the age and mileage of the car at the time of disposal, as well as expected used vehicle auction market conditions. The Company periodically evaluates estimated residual values and adjusts depreciation rates as appropriate. Differences between actual residual values and those estimated result in a gain or loss on disposal and are recorded as part of vehicle depreciation at the time of sale. Vehicle-related interest expense amounts are net of vehicle-related interest income of $13 million , $10 million and $9 million for 2015 , 2014 and 2013 , respectively. |
Advertising Expenses | Advertising Expenses Advertising costs are generally expensed in the period incurred. Advertising expenses, recorded within selling, general and administrative expense on our Consolidated Statements of Operations, include radio, television, travel partner rewards programs, Internet advertising and other advertising and promotions and were approximately $123 million , $112 million and $116 million in 2015 , 2014 and 2013 , respectively. |
Taxes | Taxes The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial statement and tax basis of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. The Company records net deferred tax assets to the extent it believes that it is more likely than not that these assets will be realized. In making such determination, the Company considers all available positive and negative evidence, including scheduled reversals of deferred tax liabilities, projected future taxable income, tax planning strategies and recent results of operations. In the event the Company were to determine that it would be able to realize the deferred income tax assets in the future in excess of their net recorded amount, the Company would adjust the valuation allowance, which would reduce the provision for income taxes. The Company reports revenues net of any tax assessed by a governmental authority that is both imposed on and concurrent with a specific revenue-producing transaction between a seller and a customer. |
Fair Value Measurements | Fair Value Measurements The Company measures fair value of assets and liabilities and discloses the source for such fair value measurements. Financial assets and liabilities are classified as follows: Level 1, which refers to assets and liabilities valued using quoted prices from active markets for identical assets or liabilities; Level 2, which refers to assets and liabilities for which significant other observable market inputs are readily available; and Level 3, which are valued based on significant unobservable inputs. The fair value of the Company’s financial instruments is generally determined by reference to market values resulting from trading on a national securities exchange or in an over-the-counter market (Level 1 inputs). In some cases where quoted market prices are not available, prices are derived by considering the yield of the benchmark security that was issued to initially price the instruments and adjusting this rate by the credit spread that market participants would demand for the instruments as of the measurement date (Level 2 inputs). In situations where long-term borrowings are part of a conduit facility backed by short-term floating rate debt, the Company has determined that its carrying value approximates the fair value of this debt (Level 2 inputs). The carrying amounts of cash and cash equivalents, available-for-sale securities, accounts receivable, program cash and accounts payable and accrued liabilities approximate fair value due to the short-term maturities of these assets and liabilities. The Company’s derivative assets and liabilities consist principally of currency exchange contracts, interest rate swaps, interest rate caps and commodity contracts, and are carried at fair value based on significant observable inputs (Level 2 inputs). Derivatives entered into by the Company are typically executed over-the-counter and are valued using internal valuation techniques, as no quoted market prices exist for such instruments. The valuation technique and inputs depend on the type of derivative and the nature of the underlying exposure. The Company principally uses discounted cash flows to value these instruments. These models take into account a variety of factors including, where applicable, maturity, commodity prices, interest rate yield curves of the Company and counterparties, credit curves, counterparty creditworthiness and currency exchange rates. These factors are applied on a consistent basis and are based upon observable inputs where available. |
Derivative Instruments | Derivative Instruments Derivative instruments are used as part of the Company’s overall strategy to manage exposure to market risks associated with fluctuations in currency exchange rates, interest rates and gasoline costs. As a matter of policy, derivatives are not used for trading or speculative purposes. All derivatives are recorded at fair value either as assets or liabilities. Changes in fair value of derivatives not designated as hedging instruments are recognized currently in earnings within the same line item as the hedged item. The effective portion of changes in fair value of a derivative that is designated as either a cash flow or net investment hedge is recorded as a component of accumulated other comprehensive income (loss). The ineffective portion is recognized in earnings within the same line item as the hedged item, including vehicle interest, net or interest related to corporate debt, net. Amounts included in accumulated other comprehensive income (loss) are reclassified into earnings in the same period during which the hedged item affects earnings. Amounts related to our derivative instruments are recognized in the Consolidated Statements of Cash Flows consistent with the nature of the hedged item (principally operating activities). |
Investments | Investments Joint venture investments are typically accounted for under the equity method of accounting. Under this method, the Company records its proportional share of the joint venture’s net income or loss within operating expenses in the Consolidated Statements of Operations. The Company assesses equity method investments for impairment whenever events or changes in circumstances indicate that the carrying amounts of such investments may not be recoverable. Any difference between the carrying value of the equity method investment and its estimated fair value is recognized as an impairment charge if the loss in value is deemed other than temporary. As of December 31, 2015 and 2014 , the Company had investments in several joint ventures with a carrying value of $36 million and $46 million , respectively, recorded within other non-current assets on the Consolidated Balance Sheets. Aggregate realized gains and losses on investments and dividend income are recorded within operating expenses on the Consolidated Statements of Operations. During 2014 , the Company realized gains of $7 million from the sale of equity investments and during 2015 and 2013 , the amounts realized were not material. |
Self-Insurance Reserves | Self-Insurance Reserves The Consolidated Balance Sheets include $413 million and $397 million of liabilities associated with retained risks of liability to third parties as of December 31, 2015 and 2014 , respectively. Such liabilities relate primarily to public liability and third-party property damage claims, as well as claims arising from the sale of ancillary insurance products including but not limited to supplemental liability, personal effects protection and personal accident insurance. These obligations represent an estimate for both reported claims not yet paid and claims incurred but not yet reported. The estimated reserve requirements for such claims are recorded on an undiscounted basis utilizing actuarial methodologies and various assumptions which include, but are not limited to, the Company’s historical loss experience and projected loss development factors. The required liability is also subject to adjustment in the future based upon changes in claims experience, including changes in the number of incidents for which the Company is ultimately liable and changes in the cost per incident. These amounts are included within accounts payable and other current liabilities and other non-current liabilities. The Consolidated Balance Sheets also include liabilities of approximately $70 million and $67 million as of December 31, 2015 and 2014 , respectively, related to workers’ compensation, health and welfare and other employee benefit programs. The liabilities represent an estimate for both reported claims not yet paid and claims incurred but not yet reported, utilizing actuarial methodologies similar to those mentioned above. These amounts are included within accounts payable and other current liabilities and other non-current liabilities. |
Share-based Compensation | Stock-Based Compensation Stock-based compensation cost is measured at the grant date, based on the fair value of the award, and is recognized as expense on a straight-line basis over the vesting period. The Company’s policy is to record compensation expense for stock options, and restricted stock units that are time- and performance-based, for the portion of the award that is expected to vest. Compensation expense related to market-based restricted stock units is recognized provided that the requisite service is rendered, regardless of when, if ever, the market condition is satisfied. We estimate the fair value of restricted stock units using the market price of the Company’s common stock on the date of grant. We estimate the fair value of stock-based and cash unit awards containing a market condition using a Monte Carlo simulation model. Key inputs and assumptions used in the Monte Carlo simulation model include the stock price of the award on the grant date, the expected term, the risk-free interest rate over the expected term, the expected annual dividend yield and the expected stock price volatility. The expected volatility is based on a combination of the historical and implied volatility of the Company’s publicly traded, near-the-money stock options, and the valuation period is based on the vesting period of the awards. The risk-free interest rate is derived from the U.S. Treasury yield curve in effect at the time of grant and, since the Company does not currently pay or plan to pay a dividend on its common stock, the expected dividend yield was zero. |
Business Combinations | Business Combinations The Company uses the acquisition method of accounting for business combinations, which requires that the assets acquired and liabilities assumed be recorded at their respective fair values at the date of acquisition. Assets acquired and liabilities assumed in a business combination that arise from contingencies are recognized if fair value can be reasonably estimated at the acquisition date. The excess, if any, of (i) the fair value of the consideration transferred by the acquirer and the fair value of any non-controlling interest remaining in the acquiree, over (ii) the fair values of the identifiable net assets acquired is recorded as goodwill. Gains and losses on the re-acquisition of license agreements are recorded in the Consolidated Statements of Operations within transaction-related costs, net, upon completion of the respective acquisition. Costs incurred to effect a business combination are expensed as incurred, except for the cost to issue debt related to the acquisition. The Company records contingent consideration resulting from a business combination at its fair value on the acquisition date. The fair value of the contingent consideration is generally estimated by utilizing a Monte Carlo simulation technique, based on a range of possible future results (Level 3). Any changes in contingent consideration are recorded in transaction-related costs, net. During 2015, the Company paid $18 million of contingent consideration associated with the acquisition of Apex, which consisted of $9 million related to the liability recognized at fair value as of the acquisition date and $13 million related to fair value adjustments previously recognized in earnings, partially offset by $4 million of favorable currency exchange rate movements. |
Transaction-related Costs | Transaction-related Costs, net Transaction-related costs, net are classified separately in the Consolidated Statements of Operations. These costs comprise expenses related to acquisition-related activities such as due-diligence and other advisory costs, expenses related to the integration of the acquiree’s operations with those of the Company, including the implementation of best practices and process improvements, non-cash charges related to re-acquired rights, expenses related to pre-acquisition contingencies and contingent consideration related to acquisitions. |
Currency Transactions | Currency Transactions Currency gains and losses resulting from foreign currency transactions are generally included in operating expenses within the Consolidated Statement of Operations; however, the net gain or loss of currency transactions on intercompany loans and the unrealized gain or loss on intercompany loan hedges are included within interest expense related to corporate debt, net. During the years ended December 31, 2015 , 2014 and 2013 , the Company recorded losses of $11 million , $9 million and $11 million , respectively, on such items. |
New and Recently Issued Accounting Standards | Adoption of New Accounting Standards During 2015 On January 1, 2015, the Company adopted Accounting Standards Update (“ASU”) 2014-08, “Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity,” which changes the criteria for determining which disposals can be presented as discontinued operations and also modifies related disclosure requirements. The adoption of this accounting pronouncement did not have an impact on the Company’s Consolidated Financial Statements. In November 2015, the Financial Accounting Standards Board (“FASB”) issued ASU 2015-17, “Balance Sheet Classification of Deferred Taxes,” which requires that deferred tax liabilities and assets be classified as non-current in a classified statement of financial position. ASU 2015-17 becomes effective for the Company on January 1, 2017; however, the Company has elected to adopt the provisions of ASU 2015-17 early on a retrospective basis. Accordingly, in the Company’s Consolidated Balance Sheet as of December 31, 2014, current deferred income tax assets of $159 million have been reclassified to non-current assets to conform to ASU 2015-17. For additional information, see Note 8-Income Taxes. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs,” which requires that debt issuance costs be presented in the balance sheet as a direct deduction from the carrying amount of the related debt liability. ASU 2015-03 becomes effective for the Company on January 1, 2016; however, the Company has elected to adopt the provisions of ASU 2015-03 early on a retrospective basis. Accordingly, in the Company’s Consolidated Balance Sheet as of December 31, 2014, debt issuance costs associated with long-term debt of $67 million and $60 million were reclassified from other noncurrent assets to long-term debt and to liabilities under vehicle programs, respectively, to conform to ASU 2015-03. For additional information, see Note 12-Long-term Debt and Borrowing Arrangements, Note13-Debt under Vehicle Programs, Note 18-Financial Instruments and Note 19-Segment Information. Recently Issued Accounting Pronouncements In January 2016, the FASB issued ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities,” which makes limited amendments to the classification and measurement of financial instruments. The new standard amends certain disclosure requirements associated with the fair value of financial instruments. ASU 2016-01 becomes effective for the Company on January 1, 2018. The adoption of this accounting pronouncement is not expected to have a material impact on the Company’s Consolidated Financial Statements. In September 2015, the FASB issued ASU 2015-16, “Simplifying the Accounting for Measurement-Period Adjustments,” which eliminates the requirement to retrospectively account for adjustments made to provisional amounts recognized in a business combination at the acquisition date. Instead, the cumulative impact of any adjustment will be recognized in the reporting period in which the adjustment is identified. ASU 2015-16 became effective for the Company on January 1, 2016. The adoption of this accounting pronouncement did not have a material impact on the Company’s Consolidated Financial Statements. In April 2015, the FASB issued ASU 2015-05, “Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement,” which provides guidance for determining whether a cloud computing arrangement contains a software license that should be accounted for as internal-use software, rather than as a service contract. ASU 2015-05 became effective for the Company on January 1, 2016. The adoption of this accounting pronouncement did not have a material impact on the Company’s Consolidated Financial Statements. In August 2014, the FASB issued ASU 2014-15, “Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern,” which requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of the date the financial statements are issued and to provide related footnote disclosures in certain circumstances. ASU 2014-15 became effective for the Company on January 1, 2016. The adoption of this accounting pronouncement did not have an impact on the Company’s Consolidated Financial Statements. In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers,” which outlines a single model for entities to use in accounting for revenue arising from contracts with customers and supersedes current revenue recognition guidance. ASU 2014-09 becomes effective for the Company on January 1, 2018. The Company has not completed its preliminary evaluation of the effect of this accounting pronouncement and cannot yet quantify the impact on its Consolidated Financial Statements. The Company has not yet selected a transition method by which it will adopt this standard. |
Summary of Significant Accoun34
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Schedule of Estimated Useful Lives | Useful lives are as follows: Buildings 30 years Furniture, fixtures & equipment 3 to 10 years Capitalized software 3 to 7 years Buses and support vehicles 4 to 15 years |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings per share (“EPS”) (shares in millions): Year Ended December 31, 2015 2014 2013 Net income for basic EPS $ 313 $ 245 $ 16 Convertible debt interest, net of tax — 1 — Net income for diluted EPS $ 313 $ 246 $ 16 Basic weighted average shares outstanding 103.4 105.4 107.6 Options, warrants and non-vested stock 1.6 2.1 3.8 Convertible debt — 3.1 — Diluted weighted average shares outstanding 105.0 110.6 111.4 Earnings per share: Basic $ 3.02 $ 2.32 $ 0.15 Diluted $ 2.98 $ 2.22 $ 0.15 |
Outstanding Common Stock Equivalents That Were Anti-Dilutive | The following table summarizes the Company’s outstanding common stock equivalents that were anti-dilutive and therefore excluded from the computation of diluted EPS (shares in millions): As of December 31, 2015 2014 2013 Non-vested stock (a) 0.1 — — Shares underlying convertible debt — — 4.0 __________ (a) The weighted average grant date fair value for anti-dilutive non-vested stock for 2015 was $61.15 . |
Restructuring (Tables)
Restructuring (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Restructuring and Related Activities [Abstract] | |
Summary of Changes to Restructuring-Related Liabilities | The following tables summarize the change to our restructuring-related liabilities and identify the amounts recorded within the Company’s reporting segments for restructuring charges and corresponding payments and utilizations: Personnel Related Facility Related Other (a) Total Balance as of January 1, 2013 $ 12 $ 1 $ — $ 13 Avis Europe restructuring expense 34 6 — 40 Truck Rental restructuring expense — — 21 21 Avis Europe restructuring payment (29 ) (2 ) — (31 ) Truck Rental payment/utilization — — (21 ) (21 ) Balance as of December 31, 2013 17 5 — 22 Avis Europe restructuring expense 20 1 — 21 T15 restructuring expense 5 — — 5 Avis Europe restructuring payment (27 ) (3 ) — (30 ) T15 restructuring payment (1 ) — — (1 ) Balance as of December 31, 2014 14 3 — 17 T15 restructuring expense 9 — — 9 Acquisition integration expense 9 — — 9 Avis Europe restructuring payment (7 ) (2 ) — (9 ) T15 restructuring payment (12 ) — — (12 ) Acquisition integration payment (3 ) — — (3 ) Balance as of December 31, 2015 $ 10 $ 1 $ — $ 11 __________ (a) Includes expenses related to the disposition of vehicles. Americas International Total Balance as of January 1, 2013 $ 1 $ 12 $ 13 Avis Europe restructuring expense 7 33 40 Truck Rental restructuring expense 21 — 21 Avis Europe restructuring payment (7 ) (24 ) (31 ) Truck Rental payment/utilization (21 ) — (21 ) Balance as of December 31, 2013 1 21 22 Avis Europe restructuring expense 4 17 21 T15 restructuring expense 4 1 5 Avis Europe restructuring payment (4 ) (26 ) (30 ) T15 restructuring payment (1 ) — (1 ) Balance as of December 31, 2014 4 13 17 T15 restructuring expense 6 3 9 Acquisition integration expense 1 8 9 Avis Europe restructuring payment (1 ) (8 ) (9 ) T15 restructuring payment (8 ) (4 ) (12 ) Acquisition integration payment (1 ) (2 ) (3 ) Balance as of December 31, 2015 $ 1 $ 10 $ 11 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | Intangible assets consisted of: As of December 31, 2015 As of December 31, 2014 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Amortized Intangible Assets License agreements (a) $ 263 $ 81 $ 182 $ 259 $ 59 $ 200 Customer relationships (b) 222 68 154 167 50 117 Other (b) 41 8 33 8 3 5 $ 526 $ 157 $ 369 $ 434 $ 112 $ 322 Unamortized Intangible Assets Goodwill $ 973 $ 842 Trademarks $ 548 $ 564 _________ (a) Primarily amortized over a period ranging from 1 to 40 years with a weighted average life of 19 years . (b) Primarily amortized over a period ranging from 2 to 27 years with a weighted average life of 11 years . |
Schedule of Intangible Assets Amortization Expense | Amortization expense relating to all intangible assets was as follows: Year Ended December 31, 2015 2014 2013 License agreements $ 31 $ 16 $ 12 Customer relationships 21 18 15 Other 7 2 — Total $ 59 $ 36 $ 27 |
Schedule of Goodwill | The carrying amounts of goodwill and related changes are as follows: Americas International Total Company Gross goodwill as of January 1, 2014 $ 1,904 $ 905 $ 2,809 Accumulated impairment losses as of January 1, 2014 (1,587 ) (531 ) (2,118 ) Goodwill as of January 1, 2014 317 374 691 Acquisitions 190 13 203 Currency translation adjustments and other (28 ) (24 ) (52 ) Goodwill as of December 31, 2014 479 363 842 Acquisitions 77 117 194 Currency translation adjustments and other (19 ) (44 ) (63 ) Goodwill as of December 31, 2015 $ 537 $ 436 $ 973 |
Vehicle Rental Activities (Tabl
Vehicle Rental Activities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure Components Of Companys Vehicles [Abstract] | |
Components of the Company's Vehicles | The components of vehicles, net within assets under vehicle programs are as follows: |
Components of Vehicle Depreciation and Lease Charges | The components of vehicle depreciation and lease charges, net are summarized below: Year Ended December 31, 2015 2014 2013 Depreciation expense $ 1,837 $ 1,840 $ 1,678 Lease charges 156 163 139 Gain on sale of vehicles, net (60 ) (7 ) (6 ) Vehicle depreciation and lease charges, net $ 1,933 $ 1,996 $ 1,811 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Taxes [Line Items] | |
Provision for (Benefit From) Income Taxes | The provision for (benefit from) income taxes consists of the following: Year Ended December 31, 2015 2014 2013 Current Federal $ (32 ) $ (1 ) $ (4 ) State 3 4 12 Foreign 40 79 36 Current income tax provision 11 82 44 Deferred Federal 45 89 28 State (1 ) 2 8 Foreign 14 (26 ) 1 Deferred income tax provision 58 65 37 Provision for income taxes $ 69 $ 147 $ 81 |
Pretax Income (Loss) for Domestic and Foreign Operations | Pretax income for domestic and foreign operations consists of the following: Year Ended December 31, 2015 2014 2013 United States (a) $ 258 $ 248 $ 4 Foreign 124 144 93 Pretax income $ 382 $ 392 $ 97 __________ (a) For the years ended December 31, 2015 , 2014 and 2013 , includes corporate debt extinguishment costs of $23 million , $56 million and $147 million , respectively. |
Deferred Income Tax Assets and Liabilities | Deferred income tax assets and liabilities are comprised of the following: As of December 31, 2015 2014 Deferred income tax assets: Net tax loss carryforwards $ 1,567 $ 1,483 Accrued liabilities and deferred revenue 276 297 Tax credits 76 75 Depreciation and amortization 13 23 Acquisition and integration-related liabilities 13 8 Provision for doubtful accounts 7 7 Unrealized hedge loss — 1 Other 46 57 Valuation allowance (a) (351 ) (319 ) Deferred income tax assets 1,647 1,632 Deferred income tax liabilities: Depreciation and amortization 123 96 Prepaid expenses 29 21 Other 7 4 Deferred income tax liabilities 159 121 Deferred income tax assets, net $ 1,488 $ 1,511 __________ (a) The valuation allowance of $351 million at December 31, 2015 relates to tax loss carryforwards, foreign tax credits and certain deferred tax assets of $267 million , $53 million and $31 million , respectively. The valuation allowance will be reduced when and if the Company determines it is more likely than not that the related deferred income tax assets will be realized. The valuation allowance of $319 million at December 31, 2014 relates to tax loss carryforwards, foreign tax credits and certain deferred tax assets of $249 million , $46 million and $24 million , respectively. |
Reconciliation of U.S Federal Income Tax Statutory Rate and Effective Income Tax Rate | The reconciliation between the U.S. federal income tax statutory rate and the Company’s effective income tax rate is as follows: Year Ended December 31, 2015 2014 2013 U.S. federal statutory rate 35.0 % 35.0 % 35.0 % Adjustments to reconcile to the effective rate: State and local income taxes, net of federal tax benefits 2.8 3.3 4.1 Changes in valuation allowances (a) (0.6 ) (3.0 ) 15.5 Taxes on foreign operations at rates different than statutory U.S. federal rates 3.7 1.4 5.9 Resolution of a prior-year tax matter (b) (25.6 ) — — Non-deductible debt extinguishment costs — — 18.8 Non-deductible transaction-related costs 0.9 — 3.2 Other non-deductible expenses 1.8 0.9 2.3 Other 0.1 (0.1 ) (1.3 ) 18.1 % 37.5 % 83.5 % __________ (a) For the year ended December 31, 2013, includes 13.1% related to our impairment expense. (b) For the year ended December 31, 2015, the Company recognized a $98 million income tax benefit from the resolution of a prior - year income tax matter. |
Changes in Gross Unrecognized Tax Benefits | The following is a tabular reconciliation of the gross amount of unrecognized tax benefits for the year: 2015 2014 2013 Balance at January 1 $ 63 $ 63 $ 54 Additions for tax positions related to current year 6 5 4 Additions for tax positions for prior years 3 5 9 Reductions for tax positions for prior years (14 ) (8 ) — Settlements (1 ) (2 ) — Statute of limitations (1 ) — (4 ) Balance at December 31 $ 56 $ 63 $ 63 |
Unrecognized Tax Benefits | The following table presents unrecognized tax benefits: As of December 31, 2015 2014 Unrecognized tax benefit in non-current income taxes payable (a) $ 37 $ 45 Accrued interest payable on potential tax liabilities (b) 28 30 __________ (a) Pursuant to the agreements governing the disposition of certain subsidiaries in 2006, the Company is entitled to indemnification for certain pre-disposition tax contingencies. As of December 31, 2015 and 2014 , $15 million and $16 million , respectively, of unrecognized tax benefits are related to tax contingencies for which the Company believes it is entitled to indemnification. (b) The Company recognizes potential interest related to unrecognized tax benefits within interest expense related to corporate debt, net on the accompanying Consolidated Statements of Operations. Penalties incurred during the years ended December 31, 2015 , 2014 and 2013 , were not significant and were recognized as a component of the provision for income taxes. |
Vehicle Programs | |
Income Taxes [Line Items] | |
Deferred Income Tax Assets and Liabilities | Deferred income tax assets and liabilities related to vehicle programs are comprised of the following: As of December 31, 2015 2014 Deferred income tax assets: Depreciation and amortization $ 53 $ 54 Deferred income tax liabilities: Depreciation and amortization 2,420 2,321 Deferred income tax liabilities under vehicle programs, net $ 2,367 $ 2,267 |
Other Current Assets (Tables)
Other Current Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure Schedule Of Other Current Assets [Abstract] | |
Schedule of Other Current Assets | Other current assets consisted of: As of December 31, 2015 2014 Prepaid expenses $ 192 $ 192 Sales and use taxes 159 125 Other 156 139 Other current assets $ 507 $ 456 |
Property and Equipment, net (Ta
Property and Equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment, Net | Property and equipment, net consisted of: As of December 31, 2015 2014 Land $ 50 $ 51 Buildings and leasehold improvements 567 565 Capitalized software 460 485 Furniture, fixtures and equipment 332 392 Projects in process 89 82 Buses and support vehicles 93 78 1,591 1,653 Less: Accumulated depreciation and amortization (910 ) (1,015 ) Property and equipment, net $ 681 $ 638 |
Accounts Payable and Other Cu42
Accounts Payable and Other Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Payables and Accruals [Abstract] | |
Schedule of Accounts Payable and Other Current Liabilities | Accounts payable and other current liabilities consisted of: As of December 31, 2015 2014 Accounts payable $ 352 $ 328 Accrued sales and use taxes 220 194 Accrued payroll and related 199 229 Public liability and property damage insurance liabilities – current 131 121 Deferred revenue – current 103 89 Other 480 530 Accounts payable and other current liabilities $ 1,485 $ 1,491 |
Long-term Debt and Borrowing 43
Long-term Debt and Borrowing Arrangements (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | Long-term debt and other borrowing arrangements consisted of: Maturity As of December 31, 2015 2014 4⅞% Senior Notes November 2017 $ 300 $ 300 Floating Rate Senior Notes December 2017 249 248 Floating Rate Term Loan (a) March 2019 970 980 9¾% Senior Notes March 2020 — 223 6% Euro-denominated Senior Notes March 2021 502 561 5⅛% Senior Notes June 2022 400 400 5½% Senior Notes April 2023 674 674 5¼% Senior Notes March 2025 375 — Other (b) 46 34 Deferred financing fees (55 ) (67 ) Total 3,461 3,353 Less: Short-term debt and current portion of long-term debt 26 28 Long-term debt $ 3,435 $ 3,325 __________ (a) The floating rate term loan is part of the Company’s senior credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. (b) Primarily includes capital leases which are secured by liens on the related assets. |
Contractual Maturities of Company's Corporate Debt | The following table provides contractual maturities of the Company’s corporate debt at December 31, 2015 : Year Amount 2016 $ 26 2017 564 2018 14 2019 948 2020 2 Thereafter 1,962 $ 3,516 |
Schedule of Committed Credit Facilities | At December 31, 2015 , the committed corporate credit facilities available to the Company and/or its subsidiaries were as follows: Total Capacity Outstanding Borrowings Letters of Credit Issued Available Capacity Senior revolving credit facility maturing 2018 (a) $ 1,800 $ — $ 687 $ 1,113 Other facilities (b) 3 3 — — __________ (a) The senior revolving credit facility bears interest at one-month LIBOR plus 200 basis points and is part of the Company’s senior credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. (b) These facilities encompass bank overdraft lines of credit, bearing interest of 1.50% to 3.48% as of December 31, 2015. |
Debt Under Vehicle Programs a44
Debt Under Vehicle Programs and Borrowing Arrangements (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Debt Under Vehicle Programs | Debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding (AESOP) LLC (“Avis Budget Rental Car Funding”), consisted of: As of December 31, 2015 2014 Americas – Debt due to Avis Budget Rental Car Funding (a) $ 6,837 $ 6,340 Americas – Debt borrowings 643 746 International – Debt borrowings (a)(b) 1,187 685 International – Capital leases 238 314 Other 8 31 Deferred financing fees (c) (53 ) (60 ) Total $ 8,860 $ 8,056 __________ (a) The increase reflects additional borrowings principally to fund increases in the Company's car rental fleet. (b) The increase includes additional borrowing related to the acquisition of Maggiore. (c) Deferred financing fees related to Debt due to Avis Budget Rental Car Funding as of December 31, 2015 and 2014 were $41 million and $44 million, respectively. |
Schedule of Contractual Maturities | The following table provides the contractual maturities of the Company’s debt under vehicle programs, including related party debt due to Avis Budget Rental Car Funding, at December 31, 2015 : Debt under Vehicle Programs 2016 (a) $ 1,501 2017 2,884 2018 1,626 2019 1,389 2020 1,513 $ 8,913 __________ (a) Vehicle backed debt maturing within one year primarily represents term asset-backed securities. |
Schedule Of Available Funding Under Vehicle Program | The following table presents available funding under the Company’s debt arrangements related to its vehicle programs, including related party debt due to Avis Budget Rental Car Funding, at December 31, 2015 : Total Capacity (a) Outstanding Borrowings Available Capacity Americas – Debt due to Avis Budget Rental Car Funding (b) $ 8,892 $ 6,837 $ 2,055 Americas – Debt borrowings (c) 983 643 340 International – Debt borrowings (d) 2,109 1,187 922 International – Capital leases (e) 259 238 21 Other 8 8 — Total $ 12,251 $ 8,913 $ 3,338 __________ (a) Capacity is subject to maintaining sufficient assets to collateralize debt. (b) The outstanding debt is collateralized by $8.4 billion of underlying vehicles and related assets. (c) The outstanding debt is collateralized by $0.9 billion of underlying vehicles and related assets. (d) The outstanding debt is collateralized by $1.5 billion of underlying vehicles and related assets. (e) The outstanding debt is collateralized by $0.2 billion of underlying vehicles and related assets. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Future Minimum Lease Payments | Future minimum lease payments required under noncancelable operating leases, including minimum concession fees charged by airport authorities, which in many locations are recoverable from vehicle rental customers, as of December 31, 2015 , are as follows: Amount 2016 $ 570 2017 426 2018 316 2019 225 2020 149 Thereafter 577 $ 2,263 |
Schedule of Rent Expense | These concession fees, which are included in the Company’s total rent expense, were as follows for the years ended December 31: 2015 2014 2013 Rent expense (including minimum concession fees) $ 679 $ 639 $ 622 Contingent concession expense 195 193 173 874 832 795 Less: sublease rental income (5 ) (6 ) (5 ) Total $ 869 $ 826 $ 790 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | The components of accumulated other comprehensive income (loss) are as follows: Currency Translation Adjustments Net Unrealized Gains (Losses) on Cash Flow Hedges (a) Net Unrealized Gains (Losses) on Available-For-Sale Securities Minimum Pension Liability Adjustment (b) Accumulated Other Comprehensive Income (Loss) Balance, January 1, 2013 $ 193 $ — $ 2 $ (85 ) $ 110 Other comprehensive income (loss) before reclassifications (27 ) 1 — 24 (2 ) Amounts reclassified from accumulated other comprehensive income (loss) — — — 9 9 Net current-period other comprehensive income (loss) (27 ) 1 — 33 7 Balance, December 31, 2013 166 1 2 (52 ) 117 Other comprehensive income (loss) before reclassifications (115 ) (7 ) — (24 ) (146 ) Amounts reclassified from accumulated other comprehensive income (loss) — 5 — 2 7 Net current-period other comprehensive income (loss) (115 ) (2 ) — (22 ) (139 ) Balance, December 31, 2014 51 (1 ) 2 (74 ) (22 ) Other comprehensive income (loss) before reclassifications (131 ) (6 ) (2 ) 6 (133 ) Amounts reclassified from accumulated other comprehensive income (loss) — 5 — 3 8 Net current-period other comprehensive income (loss) (131 ) (1 ) (2 ) 9 (125 ) Balance, December 31, 2015 $ (80 ) $ (2 ) $ — $ (65 ) $ (147 ) __________ All components of accumulated other comprehensive income (loss) are net of tax, except currency translation adjustments, which exclude income taxes related to indefinite investments in foreign subsidiaries and include a $69 million gain, net of tax, related to the Company’s hedge of its investment in Euro-denominated foreign operations (See Note 18-Financial Instruments). (a) For the years ended December 31, 2015 and 2014 , amounts reclassified from accumulated other comprehensive income (loss) into interest expense were $7 million ( $4 million , net of tax) and $8 million ( $5 million , net of tax), respectively. For the year ended December 31, 2015 , the amount reclassified from accumulated comprehensive income (loss) into vehicle interest expense was $1 million ( $1 million , net of tax). (b) For the years ended December 31, 2015 , 2014 and 2013 , amounts reclassified from accumulated other comprehensive income (loss) into selling, general and administrative expenses and operating expenses were $5 million ( $3 million , net of tax), $3 million ( $2 million , net of tax) and $15 million ( $9 million , net of tax), respectively. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Summary of Share-Based Payment Award Stock Options Valuation Assumptions | The weighted average assumptions used in the Monte Carlo simulation model to calculate the fair value of the Company’s stock unit awards are outlined in the table below. 2015 2014 2013 Expected volatility of stock price 37% 40% 43% Risk-free interest rate 0.74% 0.83% 0.39% Valuation period 3 years 3 years 3 years Dividend yield 0% 0% 0% |
Annual Activity of RSUs | Annual activity related to stock units and cash units, consisted of (in thousands of shares): Time-Based RSUs Performance-Based and Market Based RSUs Cash Unit Awards Number of Shares Weighted Number of Shares Weighted Number of Units Weighted Outstanding at January 1, 2015 998 $ 27.26 1,884 $ 19.17 267 $ 14.90 Granted (a) 426 54.70 230 55.51 — — Vested (b) (563 ) 23.61 (982 ) 12.05 (156 ) 12.65 Forfeited/expired (42 ) 41.07 (191 ) 20.57 — — Outstanding at December 31, 2015 (c) 819 $ 43.34 941 $ 35.18 111 $ 18.04 __________ (a) Reflects the maximum number of stock units assuming achievement of all performance-, market- and time-vesting criteria and does not include those for non-employee directors, which are discussed separately below. The weighted-average fair value of time-based RSUs and performance-based and market-based RSUs granted in 2014 was $42.05 and $42.03 , respectively, and the weighted-average fair value of time-based RSUs, performance-based and market-based RSUs, and cash units granted in 2013 was $21.77 , $20.04 and $18.04 , respectively. (b) The total fair value of RSUs vested during 2015 , 2014 and 2013 was $25 million , $15 million and $13 million , respectively. The total grant date fair value of cash units vested during the year ended December 31, 2015 was $2 million . (c) The Company’s outstanding time-based RSUs, performance-based and market-based RSUs, and cash units had aggregate intrinsic value of $30 million , $34 million and $4 million , respectively. Aggregate unrecognized compensation expense related to time-based RSUs and performance-based and market-based RSUs amounted to $32 million and will be recognized over a weighted average vesting period of 0.8 years. The Company assumes that substantially all outstanding awards will vest over time. |
Summary of Share Based Compensation Shares Authorized Under Stock Option Plans by Exercise Price Range | The annual stock option activity consisted of (in thousands of shares): Number of Options Weighted Aggregate Intrinsic Value (in millions) Weighted Outstanding at January 1, 2015 848 $ 2.92 $ 54 4.3 Granted (a) — — Exercised (b) (20 ) 5.28 1 Forfeited/expired (1 ) 0.79 Outstanding and exercisable at December 31, 2015 (c) 827 $ 2.87 $ 28 3.3 __________ (a) No stock options were granted during 2014 or 2013 . (b) Stock options exercised during 2014 and 2013 had intrinsic values of $6 million and $23 million , respectively, and the cash received from the exercise of options was insignificant in 2015 and 2014 and $3 million in 2013 . (c) The Company assumes that substantially all outstanding stock options will vest over time. |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Summary of Net Periodic Benefit Cost | The components of net periodic benefit cost consisted of the following: Year Ended December 31, 2015 2014 2013 Service cost $ 5 $ 5 $ 5 Interest cost 22 29 26 Expected return on plan assets (31 ) (32 ) (28 ) Amortization of unrecognized amounts 5 3 15 Net periodic benefit cost $ 1 $ 5 $ 18 |
Summary of Funded Status of Pension Plans | The Company uses a measurement date of December 31 for its pension plans. The funded status of the pension plans were as follows: As of December 31, Change in Benefit Obligation 2015 2014 Benefit obligation at end of prior year $ 716 $ 670 Service cost 5 5 Interest cost 22 29 Plan amendments — (1 ) Actuarial (gain) loss (32 ) 72 Currency translation adjustment (30 ) (34 ) Net benefits paid (25 ) (25 ) Benefit obligation at end of current year $ 656 $ 716 Change in Plan Assets Fair value of assets at end of prior year $ 553 $ 517 Actual return on plan assets 5 56 Employer contributions 14 26 Currency translation adjustment (20 ) (21 ) Net benefits paid (25 ) (25 ) Fair value of assets at end of current year $ 527 $ 553 |
Schedule of Net Funded Status [Table Text Block] | As of December 31, Funded Status 2015 2014 Classification of net balance sheet assets (liabilities): Non-current assets $ 30 $ 15 Current liabilities (1 ) (1 ) Non-current liabilities (158 ) (177 ) Net funded status $ (129 ) $ (163 ) |
Summary of Assumptions Used to Determine Pension Obligations and Pension Costs | The following assumptions were used to determine pension obligations and pension costs for the principal plans in which the Company’s employees participated: For the Year Ended December 31, U.S. Pension Benefit Plans 2015 2014 2013 Discount rate: Net periodic benefit cost 4.00 % 4.75 % 3.75 % Benefit obligation 4.40 % 4.00 % 4.75 % Long-term rate of return on plan assets 7.25 % 7.50 % 7.50 % Non-U.S. Pension Benefit Plans Discount rate: Net periodic benefit cost 3.30 % 4.50 % 4.50 % Benefit obligation 3.45 % 3.30 % 4.50 % Long-term rate of return on plan assets 4.65 % 5.30 % 5.25 % |
Summary of Defined Benefit Pension Plans' Assets Fair Value | The following table presents the defined benefit pension plans’ assets measured at fair value, as of December 31: Asset Class 2015 2014 Cash equivalents and short term investments $ 12 $ 6 U.S. equities 126 113 Foreign equities 129 163 Government bonds 103 91 Corporate bonds 133 167 Other assets 24 13 Total assets $ 527 $ 553 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Notional Amounts of Outstanding Derivative Positions | The Company held derivative instruments with absolute notional values as follows: As of December 31, 2015 2014 Interest rate caps (a) $ 10,179 $ 8,333 Interest rate swaps 900 1,592 Foreign exchange contracts 811 493 __________ (a) Represents $8.2 billion of interest rate caps sold, partially offset by approximately $2.0 billion of interest rate caps purchased at December 31, 2015 and $6.2 billion of interest rate caps sold, partially offset by approximately $2.1 billion of interest rate caps purchased at December 31, 2014 . These amounts exclude $6.2 billion and $4.2 billion of interest rate caps purchased by the Company’s Avis Budget Rental Car Funding subsidiary at December 31, 2015 and 2014 , respectively. |
Fair Value of Derivative Instruments | Fair values (Level 2) of derivative instruments are as follows: As of December 31, 2015 As of December 31, 2014 Fair Value, Asset Derivatives Fair Value, Liability Derivatives Fair Value, Asset Derivatives Fair Value, Liability Derivatives Derivatives designated as hedging instruments Interest rate swaps (a) $ 1 $ 5 $ 1 $ 3 Derivatives not designated as hedging instruments Interest rate caps (b) 1 5 — 10 Foreign exchange contracts (c) 16 2 5 2 Commodity contracts (c) — 1 — 1 Total $ 18 $ 13 $ 6 $ 16 __________ Amounts in this table exclude derivatives issued by Avis Budget Rental Car Funding, as it is not consolidated by the Company; however, certain amounts related to the derivatives held by Avis Budget Rental Car Funding are included within accumulated other comprehensive income (loss), as discussed in Note 15-Stockholders’ Equity. (a) Included in other non-current assets or other non-current liabilities. (b) Included in assets under vehicle programs or liabilities under vehicle programs. (c) Included in other current assets or other current liabilities. |
Schedule of Effect of Derivatives Recognized | The effects of derivatives recognized in the Company’s Consolidated Financial Statements are as follows: Year Ended December 31, 2015 2014 2013 Financial instruments designated as hedging instruments (a) Interest rate swaps $ (1 ) $ (2 ) $ 1 Euro-denominated notes 34 46 (11 ) Financial instruments not designated as hedging instruments (b) Foreign exchange contracts (c) 48 8 27 Interest rate caps (d) (2 ) (3 ) 4 Commodity contracts (e) — (3 ) 1 Total $ 79 $ 46 $ 22 __________ (a) Recognized, net of tax, as a component of accumulated other comprehensive income within stockholders’ equity. (b) Gains (losses) related to derivative instruments are expected to be largely offset by (losses) gains on the underlying exposures being hedged. (c) For the year ended December 31, 2015 , included a $32 million gain included in interest expense and a $16 million gain included in operating expenses. For the year ended December 31, 2014 , included a $10 million gain in interest expense and a $2 million loss included in operating expenses. For the year ended December 31, 2013 , included a $20 million gain in interest expense and a $7 million gain included in operating expenses. (d) For the years ended December 31, 2015 and 2014 , amounts are included in vehicle interest, net. For the year ended December 31, 2013 , $1 million of expense is included in vehicle interest, net and a $5 million gain is included in interest expense. (e) Included in operating expenses. |
Schedule of Carrying Amounts and Estimated Fair Values | The carrying amounts and estimated fair values (Level 2) of debt instruments are as follows: As of December 31, 2015 As of December 31, 2014 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value Corporate debt Short-term debt and current portion of long-term debt $ 26 $ 26 $ 28 $ 28 Long-term debt 3,435 3,478 3,325 3,439 Debt under vehicle programs Vehicle-backed debt due to Avis Budget Rental Car Funding $ 6,796 $ 6,836 $ 6,296 $ 6,407 Vehicle-backed debt 2,060 2,071 1,750 1,771 Interest rate swaps and interest rate caps (a) 4 4 10 10 ___________ The carrying values of long-term debt, vehicle-backed debt due to Avis Budget Rental Car Funding and vehicle-backed debt as of December 31, 2014 have been retrospectively adjusted by $67 million , $44 million and $16 million , respectively, to include debt issuance costs, which are presented as a reduction of the corresponding liability. (a) Derivatives in liability position. |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Summary of Operating Segments | Year Ended December 31, 2015 Americas International Corporate and Other (a) Total Net revenues $ 6,069 $ 2,433 $ — $ 8,502 Vehicle depreciation and lease charges, net 1,478 455 — 1,933 Vehicle interest, net 234 55 — 289 Adjusted EBITDA 682 277 (56 ) 903 Non-vehicle depreciation and amortization 143 75 — 218 Assets exclusive of assets under vehicle programs 3,940 1,901 77 5,918 Assets under vehicle programs 9,440 2,276 — 11,716 Capital expenditures (excluding vehicles) 131 68 — 199 __________ (a) Primarily represents unallocated corporate overhead and receivables from our former subsidiaries. Year Ended December 31, 2014 Americas International Corporate and Other (a) Total Net revenues $ 5,961 $ 2,524 $ — $ 8,485 Vehicle depreciation and lease charges, net 1,492 504 — 1,996 Vehicle interest, net 234 48 — 282 Adjusted EBITDA 656 280 (60 ) 876 Non-vehicle depreciation and amortization 122 58 — 180 Assets exclusive of assets under vehicle programs 3,946 1,730 108 5,784 Assets under vehicle programs 9,162 1,896 — 11,058 Capital expenditures (excluding vehicles) 113 69 — 182 __________ (a) Primarily represents unallocated corporate overhead and receivables from our former subsidiaries. Year Ended December 31, 2013 Americas International Corporate and Other (a) Total Net revenues $ 5,480 $ 2,457 $ — $ 7,937 Vehicle depreciation and lease charges, net 1,315 496 — 1,811 Vehicle interest, net 216 48 — 264 Adjusted EBITDA 560 256 (47 ) 769 Non-vehicle depreciation and amortization 103 49 — 152 Assets exclusive of assets under vehicle programs 3,797 1,749 152 5,698 Assets under vehicle programs 8,357 2,095 — 10,452 Capital expenditures (excluding vehicles) 99 53 — 152 __________ (a) Primarily represents unallocated corporate overhead and receivables from our former subsidiaries. |
Reconciliation of Adjusted EBITDA to Income (Loss) | Provided below is a reconciliation of Adjusted EBITDA to income before income taxes. For the Year Ended December 31, 2015 2014 2013 Adjusted EBITDA $ 903 $ 876 $ 769 Less: Non-vehicle related depreciation and amortization 218 180 152 Interest expense related to corporate debt, net 194 209 228 Early extinguishment of corporate debt 23 56 147 Transaction-related costs, net 68 13 51 Restructuring expense 18 26 61 Impairment — — 33 Income before income taxes $ 382 $ 392 $ 97 |
Summary of Geographic Segment Information | The geographic segment information provided below is classified based on the geographic location of the Company’s subsidiaries. United States All Other Countries Total 2015 Net revenues $ 5,635 $ 2,867 $ 8,502 Assets exclusive of assets under vehicle programs 3,677 2,241 5,918 Assets under vehicle programs 8,786 2,930 11,716 Net long-lived assets 1,502 1,069 2,571 2014 Net revenues $ 5,471 $ 3,014 $ 8,485 Assets exclusive of assets under vehicle programs 3,745 2,039 5,784 Assets under vehicle programs 8,428 2,630 11,058 Net long-lived assets 1,481 885 2,366 2013 Net revenues $ 5,030 $ 2,907 $ 7,937 Assets exclusive of assets under vehicle programs 3,608 2,090 5,698 Assets under vehicle programs 7,791 2,661 10,452 Net long-lived assets 1,281 947 2,228 The financial data presented has been retrospectively adjusted to reflect the impact of a change in accounting principle related to the presentation of debt issuance costs described in Note 2-Summary of Significant Accounting Policies, as follows. United States All Other Countries Total For the Year Ended December 31, 2014 Assets exclusive of assets under vehicle programs decreased $114 $13 $127 For the Year Ended December 31, 2013 Assets exclusive of assets under vehicle programs decreased 121 13 134 |
Guarantor and Non-Guarantor C51
Guarantor and Non-Guarantor Consolidating Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Consolidating Condensed Income Statement | Consolidating Condensed Statements of Operations For the Year Ended December 31, 2015 Parent Subsidiary Issuers Guarantor Subsidiaries Non- Guarantor Subsidiaries Eliminations Total Revenues Vehicle rental $ — $ — $ 4,124 $ 1,902 $ — $ 6,026 Other — — 1,181 3,335 (2,040 ) 2,476 Net revenues — — 5,305 5,237 (2,040 ) 8,502 Expenses Operating 2 17 2,587 1,678 — 4,284 Vehicle depreciation and lease charges, net — 1 1,819 1,936 (1,823 ) 1,933 Selling, general and administrative 32 15 619 427 — 1,093 Vehicle interest, net — — 204 302 (217 ) 289 Non-vehicle related depreciation and amortization — 1 133 84 — 218 Interest expense related to corporate debt, net: Interest expense — 159 (5 ) 40 — 194 Intercompany interest expense (income) (12 ) (11 ) 16 7 — — Early extinguishment of debt — 23 — — — 23 Transaction-related costs, net — 22 6 40 — 68 Restructuring expense — — 6 12 — 18 Total expenses 22 227 5,385 4,526 (2,040 ) 8,120 Income (loss) before income taxes and equity in earnings of subsidiaries (22 ) (227 ) (80 ) 711 — 382 Provision for (benefit from) income taxes (9 ) (178 ) 170 86 — 69 Equity in earnings of subsidiaries 326 375 625 — (1,326 ) — Net income $ 313 $ 326 $ 375 $ 625 $ (1,326 ) $ 313 Comprehensive income $ 188 $ 203 $ 253 $ 504 $ (960 ) $ 188 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Revenues Vehicle rental $ — $ — $ 4,038 $ 1,988 $ — $ 6,026 Other — — 1,167 3,426 (2,134 ) 2,459 Net revenues — — 5,205 5,414 (2,134 ) 8,485 Expenses Operating 10 13 2,525 1,703 — 4,251 Vehicle depreciation and lease charges, net — 1 1,920 1,996 (1,921 ) 1,996 Selling, general and administrative 27 23 602 428 — 1,080 Vehicle interest, net — — 200 295 (213 ) 282 Non-vehicle related depreciation and amortization — 2 111 67 — 180 Interest expense related to corporate debt, net: Interest expense 2 163 2 42 — 209 Intercompany interest expense (income) (13 ) (11 ) 1 23 — — Early extinguishment of debt — 56 — — — 56 Restructuring expense — — 7 19 — 26 Transaction-related costs, net 1 8 (20 ) 24 — 13 Total expenses 27 255 5,348 4,597 (2,134 ) 8,093 Income (loss) before income taxes and equity in earnings of subsidiaries (27 ) (255 ) (143 ) 817 — 392 Provision for (benefit from) income taxes (10 ) (108 ) 186 79 — 147 Equity in earnings of subsidiaries 262 409 738 — (1,409 ) — Net income $ 245 $ 262 $ 409 $ 738 $ (1,409 ) $ 245 Comprehensive income $ 106 $ 123 $ 273 $ 624 $ (1,020 ) $ 106 For the Year Ended December 31, 2013 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Revenues Vehicle rental $ — $ — $ 3,786 $ 1,921 $ — $ 5,707 Other — — 1,098 3,086 (1,954 ) 2,230 Net revenues — — 4,884 5,007 (1,954 ) 7,937 Expenses Operating 7 15 2,425 1,627 — 4,074 Vehicle depreciation and lease charges, net — — 1,776 1,806 (1,771 ) 1,811 Selling, general and administrative 35 6 591 387 — 1,019 Vehicle interest, net — — 182 265 (183 ) 264 Non-vehicle related depreciation and amortization — 2 97 53 — 152 Interest expense related to corporate debt, net: Interest expense 3 196 — 29 — 228 Intercompany interest expense (income) (12 ) (30 ) 6 36 — — Early extinguishment of debt 53 94 — — — 147 Restructuring expense — — 25 36 — 61 Transaction-related costs, net 1 24 3 23 — 51 Impairment — 33 — — — 33 Total expenses 87 340 5,105 4,262 (1,954 ) 7,840 Income (loss) before income taxes and equity in earnings of subsidiaries (87 ) (340 ) (221 ) 745 — 97 Provision for (benefit from) income taxes (14 ) (124 ) 156 63 — 81 Equity in earnings of subsidiaries 89 305 682 — (1,076 ) — Net income $ 16 $ 89 $ 305 $ 682 $ (1,076 ) $ 16 Comprehensive income $ 23 $ 96 $ 310 $ 657 $ (1,063 ) $ 23 |
Consolidating Condensed Balance Sheet | As of December 31, 2014 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Assets Current assets: Cash and cash equivalents $ 2 $ 210 $ — $ 412 $ — $ 624 Receivables, net — — 177 422 — 599 Other current assets 3 86 78 289 — 456 Total current assets 5 296 255 1,123 — 1,679 Property and equipment, net — 112 325 201 — 638 Deferred income taxes 19 1,222 240 34 (4 ) 1,511 Goodwill — — 487 355 — 842 Other intangibles, net — 38 545 303 — 886 Other non-current assets 104 25 21 78 — 228 Intercompany receivables 205 344 978 672 (2,199 ) — Investment in subsidiaries 468 3,072 3,316 — (6,856 ) — Total assets exclusive of assets under vehicle programs 801 5,109 6,167 2,766 (9,059 ) 5,784 Assets under vehicle programs: Program cash — — — 119 — 119 Vehicles, net — 7 87 10,121 — 10,215 Receivables from vehicle manufacturers and other — 1 — 361 — 362 Investment in Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 362 — 362 — 8 87 10,963 — 11,058 Total assets $ 801 $ 5,117 $ 6,254 $ 13,729 $ (9,059 ) $ 16,842 Liabilities and stockholders’ equity Current liabilities: Accounts payable and other current liabilities $ 39 $ 200 $ 462 $ 790 $ — $ 1,491 Short-term debt and current portion of long-term debt — 13 4 11 — 28 Total current liabilities 39 213 466 801 — 1,519 Long-term debt — 2,769 6 550 — 3,325 Other non-current liabilities 97 100 232 341 (4 ) 766 Intercompany payables — 1,558 313 328 (2,199 ) — Total liabilities exclusive of liabilities under vehicle programs 136 4,640 1,017 2,020 (2,203 ) 5,610 Liabilities under vehicle programs: Debt — 9 83 1,668 — 1,760 Due to Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 6,296 — 6,296 Deferred income taxes — — 2,082 185 — 2,267 Other — — — 244 — 244 — 9 2,165 8,393 — 10,567 Total stockholders’ equity 665 468 3,072 3,316 (6,856 ) 665 Total liabilities and stockholders’ equity $ 801 $ 5,117 $ 6,254 $ 13,729 $ (9,059 ) $ 16,842 onsolidating Condensed Balance Sheets As of December 31, 2015 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Assets Current assets: Cash and cash equivalents $ 4 $ 70 $ — $ 378 $ — $ 452 Receivables, net — — 212 456 — 668 Other current assets 2 78 83 344 — 507 Total current assets 6 148 295 1,178 — 1,627 Property and equipment, net — 134 345 202 — 681 Deferred income taxes 20 1,246 253 — (31 ) 1,488 Goodwill — — 487 486 — 973 Other intangibles, net — 30 525 362 — 917 Other non-current assets 93 15 17 107 — 232 Intercompany receivables 160 367 1,070 696 (2,293 ) — Investment in subsidiaries 272 3,426 3,680 — (7,378 ) — Total assets exclusive of assets under vehicle programs 551 5,366 6,672 3,031 (9,702 ) 5,918 Assets under vehicle programs: Program cash — — — 258 — 258 Vehicles, net — 18 78 10,562 — 10,658 Receivables from vehicle manufacturers and other — — — 438 — 438 Investment in Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 362 — 362 — 18 78 11,620 — 11,716 Total assets $ 551 $ 5,384 $ 6,750 $ 14,651 $ (9,702 ) $ 17,634 Liabilities and stockholders’ equity Current liabilities: Accounts payable and other current liabilities $ 24 $ 180 $ 471 $ 810 $ — $ 1,485 Short-term debt and current portion of long-term debt — 14 5 7 — 26 Total current liabilities 24 194 476 817 — 1,511 Long-term debt — 2,932 2 501 — 3,435 Other non-current liabilities 88 85 237 355 (31 ) 734 Intercompany payables — 1,897 336 60 (2,293 ) — Total liabilities exclusive of liabilities under vehicle programs 112 5,108 1,051 1,733 (2,324 ) 5,680 Liabilities under vehicle programs: Debt — 4 74 1,986 — 2,064 Due to Avis Budget Rental Car Funding (AESOP) LLC-related party — — — 6,796 — 6,796 Deferred income taxes — — 2,199 168 — 2,367 Other — — — 288 — 288 — 4 2,273 9,238 — 11,515 Total stockholders’ equity 439 272 3,426 3,680 (7,378 ) 439 Total liabilities and stockholders’ equity $ 551 $ 5,384 $ 6,750 $ 14,651 $ (9,702 ) $ 17,634 |
Consolidating Condensed Cash Flow Statement | For the Year Ended December 31, 2014 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net cash provided by (used in) operating activities $ — $ 469 $ 340 $ 1,840 $ (70 ) $ 2,579 Investing activities Property and equipment additions — (20 ) (84 ) (78 ) — (182 ) Proceeds received on asset sales — 7 8 6 — 21 Net assets acquired (net of cash acquired) — — (263 ) (153 ) — (416 ) Other, net 285 (9 ) (2 ) — (285 ) (11 ) Net cash provided by (used in) investing activities exclusive of vehicle programs 285 (22 ) (341 ) (225 ) (285 ) (588 ) Vehicle programs: Increase in program cash — — — (10 ) — (10 ) Investment in vehicles — (9 ) (90 ) (11,776 ) — (11,875 ) Proceeds received on disposition of vehicles — 8 — 9,658 — 9,666 — (1 ) (90 ) (2,128 ) — (2,219 ) Net cash provided by (used in) investing activities 285 (23 ) (431 ) (2,353 ) (285 ) (2,807 ) Financing activities Proceeds from long-term borrowings — 575 — 296 — 871 Payments on long-term borrowings — (756 ) (5 ) (1 ) — (762 ) Net change in short-term borrowings — — — 5 — 5 Debt financing fees — (12 ) — (5 ) — (17 ) Repurchases of common stock (297 ) — — — — (297 ) Other, net — (285 ) — (70 ) 355 — Net cash provided by (used in) financing activities exclusive of vehicle programs (297 ) (478 ) (5 ) 225 355 (200 ) Vehicle programs: Proceeds from borrowings — — 88 14,285 — 14,373 Payments on borrowings — — (3 ) (13,960 ) — (13,963 ) Debt financing fees — — (1 ) (27 ) — (28 ) — — 84 298 — 382 Net cash provided by (used in) financing activities (297 ) (478 ) 79 523 355 182 Effect of changes in exchange rates on cash and cash equivalents — — — (23 ) — (23 ) Net decrease in cash and cash equivalents (12 ) (32 ) (12 ) (13 ) — (69 ) Cash and cash equivalents, beginning of period 14 242 12 425 — 693 Cash and cash equivalents, end of period $ 2 $ 210 $ — $ 412 $ — $ 624 Consolidating Condensed Statements of Cash Flows For the Year Ended December 31, 2015 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net cash provided by (used in) operating activities $ 60 $ 249 $ 146 $ 2,204 $ (75 ) $ 2,584 Investing activities Property and equipment additions — (26 ) (98 ) (75 ) — (199 ) Proceeds received on asset sales — 7 1 7 — 15 Net assets acquired (net of cash acquired) — (8 ) (9 ) (239 ) — (256 ) Intercompany loan receipts (advances) — (30 ) (96 ) — 126 — Other, net 334 (127 ) 1 8 (210 ) 6 Net cash provided by (used in) investing activities exclusive of vehicle programs 334 (184 ) (201 ) (299 ) (84 ) (434 ) Vehicle programs: Increase in program cash — — — (148 ) — (148 ) Investment in vehicles — (1 ) (2 ) (11,925 ) — (11,928 ) Proceeds received on disposition of vehicles — 19 — 9,661 — 9,680 — 18 (2 ) (2,412 ) — (2,396 ) Net cash provided by (used in) investing activities 334 (166 ) (203 ) (2,711 ) (84 ) (2,830 ) Financing activities Proceeds from long-term borrowings — 375 — 2 — 377 Payments on long-term borrowings — (256 ) (4 ) (41 ) — (301 ) Net change in short-term borrowings — — — (22 ) — (22 ) Debt financing fees — (7 ) — (7 ) Repurchases of common stock (393 ) — — — — (393 ) Intercompany loan borrowings (payments) — — — 126 (126 ) — Other, net 1 (335 ) 70 (28 ) 285 (7 ) Net cash provided by (used in) financing activities exclusive of vehicle programs (392 ) (223 ) 66 37 159 (353 ) Vehicle programs: Proceeds from borrowings — — — 14,138 — 14,138 Payments on borrowings — — (9 ) (13,639 ) — (13,648 ) Debt financing fees — — — (22 ) — (22 ) — — (9 ) 477 — 468 Net cash provided by (used in) financing activities (392 ) (223 ) 57 514 159 115 Effect of changes in exchange rates on cash and cash equivalents — — — (41 ) — (41 ) Net increase (decrease) in cash and cash equivalents 2 (140 ) — (34 ) — (172 ) Cash and cash equivalents, beginning of period 2 210 — 412 — 624 Cash and cash equivalents, end of period $ 4 $ 70 $ — $ 378 $ — $ 452 For the Year Ended December 31, 2013 Parent Subsidiary Issuers Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations Total Net cash provided by (used in) operating activities $ (3 ) $ 562 $ 26 $ 1,736 $ (68 ) $ 2,253 Investing activities Property and equipment additions — (26 ) (69 ) (57 ) — (152 ) Proceeds received on asset sales — 7 4 11 — 22 Net assets acquired (net of cash acquired) — (564 ) 8 19 — (537 ) Intercompany loan receipts (advances) — 233 60 — (293 ) — Other, net 146 (50 ) 48 4 (146 ) 2 Net cash provided by (used in) investing activities exclusive of vehicle programs 146 (400 ) 51 (23 ) (439 ) (665 ) Vehicle programs: Increase in program cash — — — (79 ) — (79 ) Investment in vehicles — (44 ) (2 ) (10,853 ) — (10,899 ) Proceeds received on disposition of vehicles — 40 — 9,369 — 9,409 — (4 ) (2 ) (1,563 ) — (1,569 ) Net cash provided by (used in) investing activities 146 (404 ) 49 (1,586 ) (439 ) (2,234 ) Financing activities Proceeds from long-term borrowings — 2,647 — 325 — 2,972 Payments on long-term borrowings (115 ) (2,489 ) (3 ) (1 ) — (2,608 ) Net change in short-term borrowings — — — (36 ) — (36 ) Debt financing fees — (30 ) — (7 ) — (37 ) Purchases of warrants (78 ) — — — — (78 ) Proceeds from sale of call options 104 — — — — 104 Repurchases of common stock (48 ) — — — — (48 ) Intercompany loan borrowings (payments) — — (60 ) (233 ) 293 — Other, net 3 (146 ) — (68 ) 214 3 Net cash provided by (used in) financing activities exclusive of vehicle programs (134 ) (18 ) (63 ) (20 ) 507 272 Vehicle programs: Proceeds from borrowings — — — 12,953 — 12,953 Payments on borrowings — — — (13,115 ) — (13,115 ) Debt financing fees — — — (34 ) — (34 ) — — — (196 ) — (196 ) Net cash provided by (used in) financing activities (134 ) (18 ) (63 ) (216 ) 507 76 Effect of changes in exchange rates on cash and cash equivalents — — — (8 ) — (8 ) Net increase (decrease) in cash and cash equivalents 9 140 12 (74 ) — 87 Cash and cash equivalents, beginning of period 5 102 — 499 — 606 Cash and cash equivalents, end of period $ 14 $ 242 $ 12 $ 425 $ — $ 693 |
Selected Quarterly Financial 52
Selected Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Selected Quarterly Financial Data | Provided below are selected unaudited quarterly financial data for 2015 and 2014 . The earnings per share information is calculated independently for each quarter based on the weighted average number of common stock and common stock equivalents outstanding, which may fluctuate, based on quarterly income levels and market prices. Therefore, the sum of the quarters’ per share information may not equal the annual amount presented on the Consolidated Statements of Operations. 2015 First Second Third Fourth Net revenues $ 1,850 $ 2,173 $ 2,577 $ 1,902 Net income (loss) (9 ) 143 184 (5 ) Per share information: Basic Net income (loss) $ (0.09 ) $ 1.36 $ 1.80 $ (0.06 ) Weighted average shares 106.1 105.5 102.7 99.5 Diluted Net income (loss) $ (0.09 ) $ 1.34 $ 1.77 $ (0.06 ) Weighted average shares 106.1 106.7 104.0 99.5 2014 First Second Third Fourth Net revenues $ 1,862 $ 2,194 $ 2,542 $ 1,887 Net income 4 26 192 23 Per share information: Basic Net income $ 0.03 $ 0.25 $ 1.84 $ 0.22 Weighted average shares 106.6 105.1 103.9 106.2 Diluted Net income $ 0.03 $ 0.24 $ 1.74 $ 0.21 Weighted average shares 108.6 111.0 109.9 108.3 |
Summary of Significant Accoun53
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Summary Of Significant Accounting Policies [Line Items] | ||||
Currency translation adjustment | $ (80) | $ 51 | $ 166 | $ 193 |
Net carrying value of software developed | 185 | 140 | ||
Vehicle interest income | 13 | 10 | 9 | |
Advertising expense | 123 | 112 | 116 | |
Investments in joint ventures | 36 | 46 | ||
Aggregate realized gain from the sale of investments | 7 | |||
Retained risks of liability to third parties | 413 | 397 | ||
Workers compensation liabilities | 70 | 67 | ||
Business Acquisition, Transaction Costs | 18 | |||
Business Combination, Contingent Consideration, Liability | 9 | |||
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | 13 | |||
Business Combination, Contingent Consideration, Liability, Favorable Currency Exchange Rate Movements | 4 | |||
Gain or loss of currency transactions | $ 11 | $ 9 | $ 11 |
Schedule of Estimated Useful Li
Schedule of Estimated Useful Lives (Detail) | 12 Months Ended |
Dec. 31, 2015 | |
Buildings | |
Property And Equipment, Net [Line Items] | |
Property, Plant and Equipment, Useful Life | 30 years |
Furniture, Fixtures & Equipment | Minimum [Member] | |
Property And Equipment, Net [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Furniture, Fixtures & Equipment | Maximum | |
Property And Equipment, Net [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Capitalized Software | Minimum [Member] | |
Property And Equipment, Net [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Capitalized Software | Maximum | |
Property And Equipment, Net [Line Items] | |
Property, Plant and Equipment, Useful Life | 7 years |
Buses And Support Vehicles | Minimum [Member] | |
Property And Equipment, Net [Line Items] | |
Property, Plant and Equipment, Useful Life | 4 years |
Buses And Support Vehicles | Maximum | |
Property And Equipment, Net [Line Items] | |
Property, Plant and Equipment, Useful Life | 15 years |
Computation of Basic and Dilute
Computation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Earnings Per Share [Abstract] | |||||||||||
Net income (loss) for basic EPS | $ 313 | $ 245 | $ 16 | ||||||||
Convertible debt interest, net of tax | 0 | 1 | 0 | ||||||||
Net income (loss) for diluted EPS | $ 313 | $ 246 | $ 16 | ||||||||
Basic weighted average shares outstanding | 99.5 | 102.7 | 105.5 | 106.1 | 106.2 | 103.9 | 105.1 | 106.6 | 103.4 | 105.4 | 107.6 |
Options, warrants and non-vested stock | 1.6 | 2.1 | 3.8 | ||||||||
Convertible debt | 0 | 3.1 | 0 | ||||||||
Diluted weighted average shares outstanding | 99.5 | 104 | 106.7 | 106.1 | 108.3 | 109.9 | 111 | 108.6 | 105 | 110.6 | 111.4 |
Earnings (loss) per share: | |||||||||||
Basic (in dollars per share) | $ (0.06) | $ 1.80 | $ 1.36 | $ (0.09) | $ 0.22 | $ 1.84 | $ 0.25 | $ 0.03 | $ 3.02 | $ 2.32 | $ 0.15 |
Diluted (in dollars per share) | $ (0.06) | $ 1.77 | $ 1.34 | $ (0.09) | $ 0.21 | $ 1.74 | $ 0.24 | $ 0.03 | $ 2.98 | $ 2.22 | $ 0.15 |
Outstanding Common Stock Equiva
Outstanding Common Stock Equivalents That Were Anti-Dilutive (Detail) - shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Restricted Stock [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive shares | 0.1 | 0 | 0 |
Shares Underlying Convertible Debt | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Anti-dilutive shares | 0 | 0 | 4 |
Outstanding Common Stock Equi57
Outstanding Common Stock Equivalents That Were Anti-Dilutive Tickmarks (Detail) | 12 Months Ended |
Dec. 31, 2015$ / shares | |
Earnings Per Share [Abstract] | |
Anti-dilutive Non-Vested Stock Weighted Average Grant Date Fair Value | $ 61.15 |
Restructuring - Additional Info
Restructuring - Additional Information (Detail) $ in Millions | 12 Months Ended | |||
Dec. 31, 2015Employee | Dec. 31, 2014Employee | Dec. 31, 2013Employee | Dec. 31, 2016USD ($) | |
2015 Acquisition Integration [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and Related Cost, Expected Number of Positions Eliminated | 180 | |||
Restructuring and Related Cost, Number of Positions Eliminated | 140 | |||
Restructuring and Related Cost, Expected Cost | $ | $ 10 | |||
2014 T15 Restructuring [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and Related Cost, Expected Number of Positions Eliminated | 325 | 75 | ||
Restructuring and Related Cost, Number of Positions Eliminated | 315 | |||
2011 Avis Europe Restructuring [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring and Related Cost, Expected Number of Positions Eliminated | 230 | 580 |
Summary of Changes to Restructu
Summary of Changes to Restructuring-Related Liabilities (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Restructuring Cost and Reserve [Line Items] | |||
Balance, beginning | $ 17 | $ 22 | $ 13 |
Restructuring expense | 18 | 26 | 61 |
Balance, ending | 11 | 17 | 22 |
Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance, beginning | 4 | 1 | 1 |
Balance, ending | 1 | 4 | 1 |
International | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance, beginning | 13 | 21 | 12 |
Balance, ending | 10 | 13 | 21 |
Employee Severance [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance, beginning | 14 | 17 | 12 |
Balance, ending | 10 | 14 | 17 |
Facility Closing [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance, beginning | 3 | 5 | 1 |
Balance, ending | 1 | 3 | 5 |
Other Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Balance, beginning | 0 | 0 | 0 |
Balance, ending | 0 | 0 | 0 |
2011 Avis Europe Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 21 | 40 | |
Cash payment/utilization | (9) | (30) | (31) |
2011 Avis Europe Restructuring [Member] | Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 4 | 7 | |
Cash payment/utilization | (1) | (4) | (7) |
2011 Avis Europe Restructuring [Member] | International | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 17 | 33 | |
Cash payment/utilization | (8) | (26) | (24) |
2011 Avis Europe Restructuring [Member] | Employee Severance [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 20 | 34 | |
Cash payment/utilization | (7) | (27) | (29) |
2011 Avis Europe Restructuring [Member] | Facility Closing [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 1 | 6 | |
Cash payment/utilization | (2) | (3) | (2) |
2011 Avis Europe Restructuring [Member] | Other Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 0 | 0 | |
Cash payment/utilization | 0 | 0 | 0 |
2012 Truck Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 21 | ||
Cash payment/utilization | (21) | ||
2012 Truck Restructuring [Member] | Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 21 | ||
Cash payment/utilization | (21) | ||
2012 Truck Restructuring [Member] | International | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 0 | ||
Cash payment/utilization | 0 | ||
2012 Truck Restructuring [Member] | Employee Severance [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 0 | ||
Cash payment/utilization | 0 | ||
2012 Truck Restructuring [Member] | Facility Closing [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 0 | ||
Cash payment/utilization | 0 | ||
2012 Truck Restructuring [Member] | Other Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 21 | ||
Cash payment/utilization | $ (21) | ||
2014 T15 Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 9 | 5 | |
Cash payment/utilization | (12) | (1) | |
2014 T15 Restructuring [Member] | Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 6 | 4 | |
Cash payment/utilization | (8) | (1) | |
2014 T15 Restructuring [Member] | International | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 3 | 1 | |
Cash payment/utilization | (4) | 0 | |
2014 T15 Restructuring [Member] | Employee Severance [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 9 | 5 | |
Cash payment/utilization | (12) | (1) | |
2014 T15 Restructuring [Member] | Facility Closing [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 0 | 0 | |
Cash payment/utilization | 0 | 0 | |
2014 T15 Restructuring [Member] | Other Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 0 | 0 | |
Cash payment/utilization | 0 | $ 0 | |
2015 Acquisition Integration [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 9 | ||
Cash payment/utilization | (3) | ||
2015 Acquisition Integration [Member] | Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 1 | ||
Cash payment/utilization | (1) | ||
2015 Acquisition Integration [Member] | International | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 8 | ||
Cash payment/utilization | (2) | ||
2015 Acquisition Integration [Member] | Employee Severance [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 9 | ||
Cash payment/utilization | (3) | ||
2015 Acquisition Integration [Member] | Facility Closing [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 0 | ||
Cash payment/utilization | 0 | ||
2015 Acquisition Integration [Member] | Other Restructuring [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring expense | 0 | ||
Cash payment/utilization | $ 0 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Aug. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Business Acquisition [Line Items] | ||||
Goodwill | $ 973 | $ 842 | $ 691 | |
Equity Method Investments | $ 0 | 0 | ||
Maggiore Group [Member] | ||||
Business Acquisition [Line Items] | ||||
Business Acquisition, Effective Date of Acquisition | Apr. 1, 2015 | |||
Business Combination, Consideration Transferred | $ 160 | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 10 years | |||
Goodwill | $ 88 | |||
Maggiore Group [Member] | Other Intangible Assets [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | 34 | |||
Maggiore Group [Member] | Customer Relationships [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | 50 | |||
Maggiore Group [Member] | Licensing Agreements [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | 11 | |||
Brazil [Member] | ||||
Business Acquisition [Line Items] | ||||
Business Acquisition, Effective Date of Acquisition | Aug. 1, 2013 | |||
Business Combination, Consideration Transferred | 6 | |||
Goodwill | 77 | |||
Equity Method Investment, Ownership Percentage | 50.00% | |||
Payments to Acquire Equity Method Investments | $ 53 | 8 | $ 47 | |
Due to Related Parties | 46 | |||
Equity Method Investments | 12 | |||
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net | 33 | |||
Business Combination, Step Acquisition, Equity Interest in Acquiree, Remeasurement Loss | 8 | |||
Avis and Budget Licensees [Member] | ||||
Business Acquisition [Line Items] | ||||
Business Combination, Consideration Transferred | 62 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities | $ 23 | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 8 years | |||
Goodwill | $ 29 | |||
Non Cash Charge On Unfavorable License Rights Reacquired With Acquisition With Subsidiaries | 25 | |||
Avis and Budget Licensees [Member] | Customer Relationships [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | 12 | |||
Avis and Budget Licensees [Member] | Licensing Agreements [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | $ 36 | |||
Budget Licensees [Member] | ||||
Business Acquisition [Line Items] | ||||
Business Combination, Consideration Transferred | 263 | |||
Business Acquisition Purchase Price Allocation Vehicles Net | 132 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | 58 | |||
Goodwill | 192 | |||
Non Cash Charge On Unfavorable License Rights Reacquired With Acquisition With Subsidiaries | 20 | |||
Budget Licensees [Member] | Customer Relationships [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | $ 10 | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 12 years | |||
Budget Licensees [Member] | Licensing Agreements [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-lived Intangible Assets Acquired | $ 48 | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 3 years | |||
Payless | ||||
Business Acquisition [Line Items] | ||||
Other intangibles, useful life, in years | 15 years | |||
Business Acquisition, Effective Date of Acquisition | Jul. 1, 2013 | |||
Business Combination, Consideration Transferred | $ 46 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 23 | |||
Indefinite-Lived Trademarks | 16 | |||
Goodwill | 27 | |||
Payless | Licensing Agreements [Member] | ||||
Business Acquisition [Line Items] | ||||
Indefinite-Lived License Agreements | $ 7 | |||
Zipcar | ||||
Business Acquisition [Line Items] | ||||
Other intangibles, useful life, in years | 8 years | |||
Business Acquisition, Effective Date of Acquisition | Mar. 1, 2013 | |||
Business Combination, Consideration Transferred | $ 473 | |||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | 188 | |||
Indefinite-Lived Trademarks | 112 | |||
Goodwill | 269 | |||
Zipcar | Customer Relationships [Member] | ||||
Business Acquisition [Line Items] | ||||
Finite-Lived Customer Relationships, Gross | $ 76 |
Schedule of Intangible Assets (
Schedule of Intangible Assets (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 526 | $ 434 | |
Accumulated Amortization | 157 | 112 | |
Net Carrying Amount | 369 | 322 | |
Goodwill | 973 | 842 | $ 691 |
Licensing Agreements [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 263 | 259 | |
Accumulated Amortization | 81 | 59 | |
Net Carrying Amount | 182 | 200 | |
Customer Relationships [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 222 | 167 | |
Accumulated Amortization | 68 | 50 | |
Net Carrying Amount | 154 | 117 | |
Other Intangible Assets [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 41 | 8 | |
Accumulated Amortization | 8 | 3 | |
Net Carrying Amount | 33 | 5 | |
Goodwill | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Goodwill | 973 | 842 | |
Trademarks | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Trademarks | $ 548 | $ 564 | |
Minimum [Member] | Licensing Agreements [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 1 year | ||
Minimum [Member] | Customer Relationships and Other Intangible Assets [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 2 years | ||
Maximum | Licensing Agreements [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 40 years | ||
Maximum | Customer Relationships and Other Intangible Assets [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 27 years | ||
Weighted Average [Member] | Licensing Agreements [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 19 years | ||
Weighted Average [Member] | Customer Relationships and Other Intangible Assets [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 11 years |
Schedule of Intangible Assets A
Schedule of Intangible Assets Amortization Expense (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization expense | $ 59 | $ 36 | $ 27 |
Licensing Agreements [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization expense | 31 | 16 | 12 |
Customer Relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization expense | 21 | 18 | 15 |
Other Intangible Assets [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Amortization expense | $ 7 | $ 2 | $ 0 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Detail) $ in Millions | Dec. 31, 2015USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Finite-Lived Intangible Assets, Amortization Expense, Next Rolling Twelve Months | $ 61 |
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 54 |
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 40 |
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 38 |
Finite-Lived Intangible Assets, Amortization Expense, Year Five | $ 38 |
Schedule of Goodwill (Detail)
Schedule of Goodwill (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Goodwill [Line Items] | |||
Gross goodwill | $ 2,809 | ||
Goodwill [Roll Forward] | |||
Goodwill | $ 842 | $ 691 | |
Goodwill, Impaired, Accumulated Impairment Loss | (2,118) | ||
Acquisition | 194 | 203 | |
Adjustments to the allocation of purchase price | (63) | (52) | |
Goodwill | 973 | 842 | |
Americas | |||
Goodwill [Line Items] | |||
Gross goodwill | 1,904 | ||
Goodwill [Roll Forward] | |||
Goodwill | 479 | 317 | |
Goodwill, Impaired, Accumulated Impairment Loss | (1,587) | ||
Acquisition | 77 | 190 | |
Adjustments to the allocation of purchase price | (19) | (28) | |
Goodwill | 537 | 479 | |
International | |||
Goodwill [Line Items] | |||
Gross goodwill | 905 | ||
Goodwill [Roll Forward] | |||
Goodwill | 363 | 374 | |
Goodwill, Impaired, Accumulated Impairment Loss | $ (531) | ||
Acquisition | 117 | 13 | |
Adjustments to the allocation of purchase price | (44) | (24) | |
Goodwill | $ 436 | $ 363 |
Components of Company's Vehicle
Components of Company's Vehicles (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Disclosure Components Of Companys Vehicles [Abstract] | ||
Rental vehicles | $ 11,195 | $ 11,006 |
Less: Accumulated depreciation | (1,500) | (1,465) |
Rental Vehicles Net, Total | 9,695 | 9,541 |
Vehicles held for sale | 963 | 674 |
Vehicles, net | $ 10,658 | $ 10,215 |
Components Of Vehicle Depreciat
Components Of Vehicle Depreciation And Lease Charges (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Vehicle Depreciation and Lease Charges, Net [Line Items] | |||
Depreciation expense | $ 1,837 | $ 1,840 | $ 1,678 |
Lease charges | 156 | 163 | 139 |
Gain on sale of vehicles, net | (60) | (7) | (6) |
Vehicle depreciation and lease charges, net | 1,933 | 1,996 | 1,811 |
Accounts Payable, Other, Current | 269 | 222 | 260 |
Receivables due from former subsidiaries | $ 433 | $ 352 | $ 378 |
Provision for (Benefit from) In
Provision for (Benefit from) Income Taxes (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Current | |||
Federal | $ (32) | $ (1) | $ (4) |
State | 3 | 4 | 12 |
Foreign | 40 | 79 | 36 |
Current income tax provision (benefit) | 11 | 82 | 44 |
Deferred | |||
Federal | 45 | 89 | 28 |
State | (1) | 2 | 8 |
Foreign | 14 | (26) | 1 |
Deferred income tax provision | 58 | 65 | 37 |
Provision for income taxes | $ 69 | $ 147 | $ 81 |
Pretax Income (Loss) for Domest
Pretax Income (Loss) for Domestic and Foreign Operations (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
United States | $ 258 | $ 248 | $ 4 |
Foreign | 124 | 144 | 93 |
Income before income taxes | $ 382 | $ 392 | $ 97 |
Income Taxes Pretax Income (Los
Income Taxes Pretax Income (Loss) for Domestic and Foreign Operations Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
Gains (Losses) on Extinguishment of Debt | $ (23) | $ (56) | $ (147) |
Deferred Income Tax Assets And
Deferred Income Tax Assets And Liabilities (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred Income Tax Assets And Liabilities [Line Items] | ||
Net tax loss carryforwards | $ 1,567 | $ 1,483 |
Accrued liabilities and deferred income | 276 | 297 |
Tax credits | 76 | 75 |
Depreciation and amortization | 13 | 23 |
Acquisition and integration-related liabilities | 13 | 8 |
Provision for doubtful accounts | 7 | 7 |
Deferred Tax Assets, Hedging Transactions | 0 | 1 |
Other | 46 | 57 |
Valuation allowance | (351) | (319) |
Deferred income tax assets | 1,647 | 1,632 |
Depreciation and amortization | 123 | 96 |
Deferred Tax Liabilities, Prepaid Expenses | 29 | 21 |
Other | 7 | 4 |
Non-current deferred income tax liabilities | 159 | 121 |
Non-current net deferred income tax assets | 1,488 | 1,511 |
Deferred Income Tax Assets and Liabilities Additional Information (Detail) [Abstract] | ||
Deferred Tax Assets, Valuation Allowance | 351 | 319 |
Deferred Tax Assets Operating Loss Carryforward With Valuation Against It | 267 | 249 |
Deferred Tax Assets, Tax Credit Carryforwards, Foreign | 53 | 46 |
Deferred Tax Assets State And Local | 31 | 24 |
Vehicle Programs | ||
Deferred Income Tax Assets And Liabilities [Line Items] | ||
Depreciation and amortization | 53 | 54 |
Depreciation and amortization | 2,420 | 2,321 |
Deferred Tax Liabilities, Net | $ 2,367 | $ 2,267 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Line Items] | |||
Federal net operating loss carryforwards net of valuation allowances | $ 20 | ||
Foreign net operating loss carryforwards | 583 | ||
Accumulated and undistributed earnings of foreign subsidiaries | 941 | ||
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | 1 | $ 2 | $ 0 |
Internal Revenue Service (IRS) | |||
Income Tax Disclosure [Line Items] | |||
Federal net operating loss carryforwards net of valuation allowances | $ 3,600 | ||
Internal Revenue Service (IRS) | Maximum | |||
Income Tax Disclosure [Line Items] | |||
Operating loss carryforwards expiration period | Jan. 1, 2031 | ||
Other Tax [Member] | |||
Income Tax Disclosure [Line Items] | |||
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | $ 98 |
Reconciliation of U.S Federal I
Reconciliation of U.S Federal Income Tax Statutory Rate and Effective Income Tax Rate (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Line Items] | |||
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | $ 1 | $ 2 | $ 0 |
Changes in valuation allowances | (0.60%) | (3.00%) | 15.50% |
U.S. federal statutory rate | 35.00% | 35.00% | 35.00% |
State and local income taxes, net of federal tax benefits | 2.80% | 3.30% | 4.10% |
Taxes on foreign operations at rates different than statutory U.S. federal rates | 3.70% | 1.40% | 5.90% |
Resolution of prior years' examination issues | (25.60%) | 0.00% | 0.00% |
Non-deductible debt extinguishment costs | 0.00% | 0.00% | 18.80% |
Non-deductible transaction-related costs | 0.90% | 0.00% | 3.20% |
Other non-deductible expenses | 1.80% | 0.90% | 2.30% |
Other | 0.10% | (0.10%) | (1.30%) |
Effective Income Tax Rate, Continuing Operations, Total | 18.10% | 37.50% | 83.50% |
Other Tax [Member] | |||
Income Tax Disclosure [Line Items] | |||
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | $ 98 | ||
Changes in valuation allowances | 13.10% |
Changes in Unrecognized Tax Ben
Changes in Unrecognized Tax Benefits (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
Beginning Balance | $ 63 | $ 63 | $ 54 |
Additions based on tax positions related to the current year | 6 | 5 | 4 |
Additions for tax positions for prior years | 3 | 5 | 9 |
Reductions for tax positions for prior years | (14) | (8) | 0 |
Settlements | (1) | (2) | 0 |
Statute of limitations | (1) | 0 | (4) |
Ending Balance | $ 56 | $ 63 | $ 63 |
Unrecognized Tax Benefits (Deta
Unrecognized Tax Benefits (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Income Tax Disclosure [Abstract] | ||
Unrecognized tax benefits, non-current income taxes payable | $ 37 | $ 45 |
Unrecognized Tax Benefits, Interest on Income Taxes Accrued | $ 28 | $ 30 |
Unrecognized Tax Benefits Addit
Unrecognized Tax Benefits Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Taxes [Line Items] | ||||
Unrecognized tax benefits, non-current income taxes payable | $ 37 | $ 45 | ||
Unrecognized Tax Benefits, Interest on Income Taxes Accrued | 28 | 30 | ||
Unrecognized Tax Benefits | 56 | 63 | $ 63 | $ 54 |
Non Avis Budget Car Rental Tax Contingencies | ||||
Income Taxes [Line Items] | ||||
Unrecognized Tax Benefits | $ 15 | $ 16 |
Schedule of Other Current Asset
Schedule of Other Current Assets (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Disclosure Schedule Of Other Current Assets [Abstract] | ||
Prepaid expenses | $ 192 | $ 192 |
Sales and use tax | 159 | 125 |
Other | 156 | 139 |
Total other current assets | $ 507 | $ 456 |
Schedule of Property and Equipm
Schedule of Property and Equipment Net (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 50 | $ 51 |
Buildings and leasehold improvements | 567 | 565 |
Capitalized software | 460 | 485 |
Furniture, fixtures and equipment | 332 | 392 |
Buses and support vehicles | 93 | 78 |
Projects in process | 89 | 82 |
Property and Equipment, gross | 1,591 | 1,653 |
Less: Accumulated depreciation and amortization | (910) | (1,015) |
Property, Plant and Equipment, Net, Total | $ 681 | $ 638 |
Property and Equipment, Net - A
Property and Equipment, Net - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation and amortization expense | $ 159 | $ 144 | $ 124 |
Amortization expense relating to capitalized computer software | $ 61 | $ 46 | $ 36 |
Schedule of Accounts Payable an
Schedule of Accounts Payable and Other Current Liabilities (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Payables and Accruals [Abstract] | ||
Accounts payable | $ 352 | $ 328 |
Accrued sales and use taxes | 220 | 194 |
Accrued payroll and related | 199 | 229 |
Public liability and property damage insurance liabilities - current | 131 | 121 |
Income taxes payable - current | 103 | 89 |
Other | 480 | 530 |
Accounts payable and other current liabilities | $ 1,485 | $ 1,491 |
Schedule of Long-Term Debt (Det
Schedule of Long-Term Debt (Detail) € in Millions | 1 Months Ended | 12 Months Ended | |||||||
Dec. 31, 2014USD ($) | Jun. 30, 2014USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2012USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2015EUR (€) | Mar. 31, 2015EUR (€) | Dec. 31, 2013USD ($) | |
Debt Instrument [Line Items] | |||||||||
Uncommitted credit facilities | $ 9,000,000 | $ 3,000,000 | $ 9,000,000 | ||||||
Other | 34,000,000 | 46,000,000 | 34,000,000 | ||||||
Deferred Finance Costs, Net | (127,000,000) | (127,000,000) | $ (134,000,000) | ||||||
Total | 3,516,000,000 | ||||||||
Less: Short-term debt and current portion of long-term debt | 28,000,000 | 26,000,000 | 28,000,000 | ||||||
Long-term debt | $ 3,325,000,000 | $ 3,435,000,000 | $ 3,325,000,000 | ||||||
Senior Notes | 4 7/8% Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest percentage | 4.875% | 4.875% | 4.875% | ||||||
Maturity Dates | November 2017 | ||||||||
Long-term Debt, Gross | $ 300,000,000 | $ 300,000,000 | $ 300,000,000 | ||||||
Senior Notes | Floating Rate Senior Notes Due December 2017 | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Instrument, Basis Spread on Variable Rate | 2.75% | ||||||||
Maturity Dates | December 2017 | ||||||||
Long-term Debt, Gross | $ 248,000,000 | $ 249,000,000 | $ 248,000,000 | ||||||
Percentage Of Margin Aggregate Interest Rate | 3.16% | ||||||||
Senior Notes | 9 3/4% Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest percentage | 9.75% | 0.00% | 9.75% | ||||||
Debt Instrument, Repurchased Face Amount | $ 223,000,000 | ||||||||
Maturity Dates | March 2,020 | ||||||||
Long-term Debt, Gross | $ 223,000,000 | $ 0 | $ 223,000,000 | ||||||
Proceeds from Issuance of Debt | $ 250,000,000 | ||||||||
Senior Notes | 6% Euro-Denominated Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest percentage | 6.00% | 6.00% | 6.00% | ||||||
Debt Instrument, Face Amount | € | € 200 | € 250 | |||||||
Debt Instrument, Unamortized Premium | $ 1.0675 | ||||||||
Maturity Dates | March 2,021 | ||||||||
Long-term Debt, Gross | $ 561,000,000 | $ 502,000,000 | $ 561,000,000 | ||||||
Proceeds from Issuance of Debt | $ 295,000,000 | ||||||||
Percentage Of Margin Aggregate Interest Rate | 4.85% | ||||||||
Senior Notes | Five and One over Eight Senior Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest percentage | 5.125% | 5.125% | 5.125% | ||||||
Debt Instrument, Face Amount | $ 400,000,000 | ||||||||
Maturity Dates | June 2,022 | ||||||||
Long-term Debt, Gross | $ 400,000,000 | $ 400,000,000 | $ 400,000,000 | ||||||
Senior Notes | 5 1/2% Senior Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest percentage | 5.50% | 5.50% | 5.50% | ||||||
Debt Instrument, Face Amount | $ 175,000,000 | ||||||||
Maturity Dates | April 2,023 | ||||||||
Long-term Debt, Gross | $ 674,000,000 | $ 674,000,000 | $ 674,000,000 | ||||||
Debt Instrument, Unamortized Discount | $ 0.99625 | ||||||||
Senior Notes | Five And One Over Four Senior Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest percentage | 0.00% | 5.25% | 0.00% | ||||||
Maturity Dates | March 2,025 | ||||||||
Long-term Debt, Gross | $ 0 | $ 375,000,000 | $ 0 | ||||||
Senior Notes | Floating Rate Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Repayments of senior notes | $ 420,000,000 | $ 75,000,000 | |||||||
Senior Notes | Nine And Five Over Eight Senior Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument interest percentage | 5.625% | 5.625% | 5.625% | ||||||
Loans | Floating Rate Term Loan Due March 2019 | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Instrument, Basis Spread on Variable Rate | 2.25% | ||||||||
Maturity Dates | March 2,019 | ||||||||
Long-term Debt, Gross | $ 980,000,000 | $ 970,000,000 | $ 980,000,000 | ||||||
Proceeds from Issuance of Debt | 300,000,000 | ||||||||
Percentage Of Margin Aggregate Interest Rate | 3.00% | ||||||||
Senior Notes and Loans Payable [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Deferred Finance Costs, Net | (67,000,000) | $ (55,000,000) | (67,000,000) | ||||||
Total | $ 3,353,000,000 | $ 3,461,000,000 | $ 3,353,000,000 | ||||||
Interest Rate Swap [Member] | Senior Notes | Floating Rate Senior Notes Due December 2017 | |||||||||
Debt Instrument [Line Items] | |||||||||
Derivative, Fixed Interest Rate | 3.58% | ||||||||
Interest Rate Swap [Member] | Loans | Floating Rate Term Loan Due March 2019 | |||||||||
Debt Instrument [Line Items] | |||||||||
Derivative, Amount of Hedged Item | $ 600,000,000 | ||||||||
Derivative, Fixed Interest Rate | 3.96% |
Long-Term Debt And Borrowing 81
Long-Term Debt And Borrowing Arrangements - Additional Information (Detail) € in Millions, $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||
Apr. 30, 2015USD ($) | Dec. 31, 2014USD ($) | Jun. 30, 2014USD ($) | Nov. 30, 2013USD ($) | Apr. 30, 2013USD ($) | Mar. 31, 2013USD ($) | Nov. 30, 2012USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2012USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2015EUR (€) | Mar. 31, 2015EUR (€) | |
Debt Instrument [Line Items] | |||||||||||||||
Uncommitted credit facilities | $ 9 | $ 3 | $ 9 | ||||||||||||
Gains (Losses) on Extinguishment of Debt | $ (23) | $ (56) | $ (147) | ||||||||||||
Uncommitted Credit Facility | Maximum | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Credit facilities bearing interest | 2.50% | ||||||||||||||
Uncommitted Credit Facility | Minimum [Member] | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Credit facilities bearing interest | 0.21% | ||||||||||||||
6% Euro-Denominated Senior Notes | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument interest percentage | 6.00% | 6.00% | 6.00% | ||||||||||||
Long-term Debt, Gross | $ 561 | $ 502 | $ 561 | ||||||||||||
Debt Instrument, Face Amount | € | € 200 | € 250 | |||||||||||||
Proceeds from Issuance of Debt | $ 295 | ||||||||||||||
Aggregate rate of LIBOR rate | 4.85% | ||||||||||||||
5 1/2% Senior Notes | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument interest percentage | 5.50% | 5.50% | 5.50% | ||||||||||||
Proceeds from issue of senior notes | $ 500 | ||||||||||||||
Long-term Debt, Gross | $ 674 | 674 | $ 674 | ||||||||||||
Debt Instrument, Face Amount | 175 | ||||||||||||||
Floating Rate Term Loan Due March 2019 | Loans | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Proceeds from issue of senior notes | $ 500 | $ 200 | |||||||||||||
Long-term Debt, Gross | 980 | $ 970 | 980 | ||||||||||||
Proceeds from Issuance of Debt | $ 300 | ||||||||||||||
Spread over LIBOR | 2.25% | ||||||||||||||
Long-term Debt, Percentage Bearing Variable Interest, Percentage Rate | 0.75% | ||||||||||||||
Aggregate rate of LIBOR rate | 3.00% | ||||||||||||||
Floating Rate Notes [Member] | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Repayments of senior notes | $ 420 | $ 75 | |||||||||||||
8 1/4% Senior Notes | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument interest percentage | 8.25% | 8.25% | 8.25% | ||||||||||||
Debt Instrument, Repurchased Face Amount | $ 292 | ||||||||||||||
Debt Instrument, Repurchase Amount | $ 395 | ||||||||||||||
9 3/4% Senior Notes | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument interest percentage | 9.75% | 0.00% | 9.75% | ||||||||||||
Long-term Debt, Gross | $ 223 | $ 0 | $ 223 | ||||||||||||
Debt Instrument, Repurchased Face Amount | $ 223 | ||||||||||||||
Proceeds from Issuance of Debt | $ 250 | ||||||||||||||
Repayment of term loan | $ 243 | $ 27 | |||||||||||||
4 7/8% Senior Notes | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument interest percentage | 4.875% | 4.875% | 4.875% | ||||||||||||
Proceeds from issue of senior notes | $ 300 | ||||||||||||||
Long-term Debt, Gross | $ 300 | $ 300 | $ 300 | ||||||||||||
Floating Rate Senior Notes Due December 2017 | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Proceeds from issue of senior notes | $ 247 | ||||||||||||||
Long-term Debt, Gross | $ 248 | $ 249 | $ 248 | ||||||||||||
Issuance price as percentage of face value | 98.75% | ||||||||||||||
Spread over LIBOR | 2.75% | ||||||||||||||
Aggregate rate of LIBOR rate | 3.16% | ||||||||||||||
Five And One Over Four Senior Notes [Member] | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Debt instrument interest percentage | 0.00% | 5.25% | 0.00% | ||||||||||||
Proceeds from issue of senior notes | $ 375 | ||||||||||||||
Long-term Debt, Gross | $ 0 | 375 | $ 0 | ||||||||||||
Interest Rate Swap [Member] | Floating Rate Term Loan Due March 2019 | Loans | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Derivative, Amount of Hedged Item | $ 600 | ||||||||||||||
Derivative, Fixed Interest Rate | 3.96% | ||||||||||||||
Interest Rate Swap [Member] | Floating Rate Senior Notes Due December 2017 | Senior Notes | |||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||
Derivative, Fixed Interest Rate | 3.58% |
Contractual Maturities of Compa
Contractual Maturities of Company's Corporate Debt (Detail) $ in Millions | Dec. 31, 2015USD ($) |
Long-Term Debt And Borrowing Arrangements [Abstract] | |
2,016 | $ 26 |
2,017 | 564 |
2,018 | 14 |
2,019 | 948 |
2,020 | 2 |
Thereafter | 1,962 |
Total | $ 3,516 |
Schedule of Committed Credit Fa
Schedule of Committed Credit Facilities (Detail) $ in Millions | Dec. 31, 2015USD ($) |
Revolving Credit Facility [Member] | Revolving Credit Facility Maturing 2018 | |
Line of Credit Facility [Line Items] | |
Total Capacity | $ 1,800 |
Letters of Credit Issued | 687 |
Available Capacity | 1,113 |
Other Credit Facility | Other Facilities | |
Line of Credit Facility [Line Items] | |
Total Capacity | 3 |
Outstanding Borrowings | 3 |
Available Capacity | $ 0 |
Schedule of Committed Credit 84
Schedule of Committed Credit Facilities Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2015 | |
Bank Overdrafts [Member] | Minimum [Member] | |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Interest Rate During Period | 1.50% |
Bank Overdrafts [Member] | Maximum | |
Line of Credit Facility [Line Items] | |
Line of Credit Facility, Interest Rate During Period | 3.48% |
Revolving Credit Facility Maturing 2018 | Revolving Credit Facility [Member] | |
Line of Credit Facility [Line Items] | |
Debt Instrument, Basis Spread on Variable Rate | 2.00% |
Schedule Of Debt Under Vehicle
Schedule Of Debt Under Vehicle Programs (Detail) - USD ($) $ in Millions | 1 Months Ended | ||||||
Dec. 31, 2020 | Jul. 31, 2020 | Feb. 29, 2020 | Jul. 31, 2019 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |||||||
Debt under vehicle programs | $ 8,860 | $ 8,056 | |||||
Deferred Finance Costs, Net | (127) | $ (134) | |||||
Debt Due To Rental Car Funding [Member] | |||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |||||||
Debt Instrument, Maturity Date | Dec. 1, 2020 | Jul. 1, 2020 | Feb. 1, 2020 | Jul. 1, 2019 | |||
Debt under vehicle programs | 6,837 | 6,340 | |||||
Deferred Finance Costs, Net | $ (41) | (44) | |||||
Americas Debt Borrowings [Member] | |||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |||||||
Debt, Weighted Average Interest Rate | 3.00% | ||||||
Debt under vehicle programs | $ 643 | 746 | |||||
International Debt Borrowings | |||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |||||||
Debt, Weighted Average Interest Rate | 3.00% | ||||||
Debt under vehicle programs | $ 1,187 | 685 | |||||
International Capital Leases | |||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |||||||
Debt under vehicle programs | 238 | 314 | |||||
Other | |||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |||||||
Debt under vehicle programs | 8 | 31 | |||||
Debt Under Vehicle Programs [Member] | |||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |||||||
Debt under vehicle programs | 8,913 | ||||||
Deferred Finance Costs, Net | $ (53) | $ (60) |
Debt Under Vehicle Programs A86
Debt Under Vehicle Programs And Borrowing Arrangements - Additional Information (Detail) € in Millions, $ in Millions | 1 Months Ended | 2 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2020 | Jul. 31, 2020 | Feb. 29, 2020 | Jul. 31, 2019 | May. 31, 2015 | Jan. 31, 2015 | Jul. 31, 2014 | Feb. 28, 2014 | Dec. 31, 2015EUR (€) | Dec. 31, 2014EUR (€) | Dec. 31, 2013EUR (€) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Sep. 30, 2014USD ($) | Mar. 31, 2014USD ($) | |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||||||||||||||||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | $ 8,600 | |||||||||||||||
Interest rate on capital leases | 2.00% | |||||||||||||||
Avis Budget Rental Car Funding Program | ||||||||||||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||||||||||||||||
Debt, Weighted Average Interest Rate | 3.00% | |||||||||||||||
Americas Debt Borrowings [Member] | ||||||||||||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||||||||||||||||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | $ 900 | |||||||||||||||
Debt, Weighted Average Interest Rate | 3.00% | |||||||||||||||
International Debt Borrowings | ||||||||||||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||||||||||||||||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | $ 1,500 | |||||||||||||||
Debt, Weighted Average Interest Rate | 3.00% | |||||||||||||||
International Capital Leases | ||||||||||||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||||||||||||||||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | $ 200 | |||||||||||||||
Debt Due To Rental Car Funding [Member] | ||||||||||||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||||||||||||||||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | $ 8,400 | |||||||||||||||
Debt Instrument, Issuance Date | May 1, 2015 | Jan. 1, 2015 | Jul. 1, 2014 | Feb. 1, 2014 | ||||||||||||
Asset-Backed Securities, at Carrying Value | $ 550 | $ 650 | $ 500 | $ 675 | ||||||||||||
Debt Instrument, Maturity Date | Dec. 1, 2020 | Jul. 1, 2020 | Feb. 1, 2020 | Jul. 1, 2019 | ||||||||||||
European Rental Fleet Securitization [Member] | ||||||||||||||||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||||||||||||||||
Newly Issued European Credit Facility | € | € 210 | € 290 | € 500 |
Schedule Of Contractual Maturit
Schedule Of Contractual Maturities (Detail) $ in Millions | Dec. 31, 2015USD ($) |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |
2,016 | $ 26 |
2,017 | 564 |
2,018 | 14 |
2,019 | 948 |
2,020 | 2 |
Vehicle Programs | |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | |
2,016 | 1,501 |
2,017 | 2,884 |
2,018 | 1,626 |
2,019 | 1,389 |
2,020 | 1,513 |
Total | $ 8,913 |
Schedule Of Available Funding U
Schedule Of Available Funding Under Vehicle Programs (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | $ 8,600 | |
Debt under vehicle programs | 8,860 | $ 8,056 |
Debt Due To Rental Car Funding [Member] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 8,400 | |
Total Capacity | 8,892 | |
Debt under vehicle programs | 6,837 | 6,340 |
Available Capacity | 2,055 | |
Americas Debt Borrowings [Member] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 900 | |
Total Capacity | 983 | |
Debt under vehicle programs | 643 | 746 |
Available Capacity | 340 | |
International Debt Borrowings | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 1,500 | |
Total Capacity | 2,109 | |
Debt under vehicle programs | 1,187 | 685 |
Available Capacity | 922 | |
International Capital Leases | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Leasing Vehicles And Related Assets Pledged As Collateralized Debt | 200 | |
Total Capacity | 259 | |
Debt under vehicle programs | 238 | 314 |
Available Capacity | 21 | |
Other | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Total Capacity | 8 | |
Debt under vehicle programs | 8 | $ 31 |
Available Capacity | 0 | |
Debt Under Vehicle Programs [Member] | ||
Debt Under Vehicle Programs And Borrowing Arrangements [Line Items] | ||
Total Capacity | 12,251 | |
Debt under vehicle programs | 8,913 | |
Available Capacity | $ 3,338 |
Future Minimum Lease Payments (
Future Minimum Lease Payments (Detail) $ in Millions | Dec. 31, 2015USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2,016 | $ 570 |
2,017 | 426 |
2,018 | 316 |
2,019 | 225 |
2,020 | 149 |
Thereafter | 577 |
Total | $ 2,263 |
Commitments And Contingencies -
Commitments And Contingencies - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Schedule Of Commitments And Contingencies [Line Items] | |||
Future sublease rental inflows | $ 4 | ||
Operating leases, residual value of leased assets | 202 | ||
Loss Contingency, Damages Sought, Value | 25 | ||
Loss Contingency, Range of Possible Loss, Portion Not Accrued | 25 | ||
Vehicle purchase commitments over the next 12 months | 7,200 | ||
Aggregate purchase obligations | 160 | ||
Receivables due from former subsidiaries | 433 | $ 352 | $ 378 |
Liabilities accrued for asset retirement obligations | 24 | $ 25 | |
Realogy | |||
Schedule Of Commitments And Contingencies [Line Items] | |||
Receivables due from former subsidiaries | 54 | ||
Wyndham | |||
Schedule Of Commitments And Contingencies [Line Items] | |||
Receivables due from former subsidiaries | $ 33 |
Schedule Of Rent Expense (Detai
Schedule Of Rent Expense (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Rent and minimum concession fees | $ 679 | $ 639 | $ 622 |
Contingent concession expense | 195 | 193 | 173 |
Rent and contingent concession expense | 874 | 832 | 795 |
Less: sublease rental income | (5) | (6) | (5) |
Total | $ 869 | $ 826 | $ 790 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) $ / shares in Units, $ in Millions | 1 Months Ended | 12 Months Ended | 36 Months Ended | |||||
Dec. 31, 2013USD ($)shares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($)shares | Dec. 31, 2013USD ($)shares | Dec. 31, 2009USD ($)$ / Rightshares | Dec. 31, 2015USD ($) | Jan. 31, 2016USD ($) | Oct. 31, 2009$ / sharesshares | |
Stockholders Equity [Line Items] | ||||||||
Stock Repurchase Program, Authorized Amount | $ 885 | $ 885 | ||||||
Stock Repurchased During Period, Shares | shares | 16,100,000 | |||||||
Stock Repurchased During Period, Value | $ 394 | $ 300 | $ 50 | 745 | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | 140 | 140 | ||||||
Convertible note hedge purchased, gross | $ 95 | |||||||
Proceeds from issuance of warrants | $ 62 | |||||||
Stock Issued During Period, Shares, Conversion of Convertible Securities | shares | 4,000,000 | |||||||
Common stock subject to anti-dilution provisions | shares | 21,200,000 | |||||||
Convertible note hedge strike price | $ / Right | 16.25 | |||||||
Repurchased warrants for the purchase of the Company's common stock | $ 41 | 0 | $ 0 | 78 | ||||
Proceeds from Derivative Instrument, Financing Activities | 50 | |||||||
Proceeds from sale of convertible note hedge | $ 54 | 0 | 0 | 104 | ||||
Adjustments to Treasury Stock, Other | shares | (179,000) | |||||||
Adjustment to Treasury Stock, Other | $ (7) | |||||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | 8 | |||||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | 5 | 5 | 0 | |||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Gain (Loss), before Tax | 5 | 3 | 15 | |||||
Less: Pension and post-retirement benefits reclassified to earnings, net of tax of $(2), $(1) and $(6), respectively | (3) | (2) | $ (9) | |||||
Three And One Over Two Senior Notes [Member] | ||||||||
Stockholders Equity [Line Items] | ||||||||
Change in net purchase and issuance of shares | shares | 13,000,000 | |||||||
Common Stock | ||||||||
Stockholders Equity [Line Items] | ||||||||
Repurchased warrants for the purchase of the Company's common stock | $ 37 | |||||||
Convertible Notes Payable [Member] | 3 1/2% Convertible Senior Notes | ||||||||
Stockholders Equity [Line Items] | ||||||||
Debt Instrument, Convertible, Conversion Price | $ / shares | $ 22.50 | |||||||
Long-term Debt, Gross | 66 | |||||||
Debt Instrument, Convertible, Conversion Price Per $1,000 Principal | shares | 61.5385 | |||||||
Subsequent Event | ||||||||
Stockholders Equity [Line Items] | ||||||||
Stock Repurchase Program, Authorized Amount | $ 300 | |||||||
Designated as Hedging Instrument | Foreign Exchange Forward [Member] | ||||||||
Stockholders Equity [Line Items] | ||||||||
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | $ 34 | $ 46 | $ (11) | $ 69 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Millions | 12 Months Ended | 36 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2015 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | $ 5 | $ 5 | $ 0 | |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Gain (Loss), before Tax | 5 | 3 | 15 | |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | 8 | |||
Currency Translation Adjustment, Beginning Balance | 51 | 166 | 193 | $ 193 |
Currency translation adjustments, net of tax of $(22), $(30) and $7, respectively | (131) | (115) | (27) | |
Currency Translation Adjustment, Ending Balance | (80) | 51 | 166 | (80) |
Net Unrealized Gains (Losses) on Cash Flow Hedges, Beginning Balance | (1) | 1 | 0 | 0 |
Net unrealized holding gains (losses), net of tax of $4, $4 and $1, respectively | (6) | (7) | 1 | |
Net Unrealized Gains (Losses) on Cash Flow Hedges, Period change | (1) | (2) | 1 | |
Net Unrealized Gains (Losses) on Cash Flow Hedges, Ending Balance | (2) | (1) | 1 | (2) |
Net Unrealized Gains (Losses) on Available- For-Sale Securities, Beginning Balance | 2 | 2 | 2 | 2 |
Net unrealized gains (losses) on available-for-sale securities, net of tax of $1, $0 and $0, respectively | (2) | 0 | 0 | |
Less: Realized losses on available-for-sale securities reclassified to earnings, net of tax of $0, $0 and $1, respectively | 0 | 0 | 0 | |
Net unrealized gains on available-for-sale securities, net of tax of $0, $0 and $0, respectively | (2) | 0 | 0 | |
Net Unrealized Gains (Losses) on Available- For-Sale Securities, Ending Balance | 0 | 2 | 2 | 0 |
Minimum Pension Liability Adjustment, Beginning Balance | (74) | (52) | (85) | (85) |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Reclassification Adjustments, Net of Tax | 6 | (24) | 24 | |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Gain (Loss), Net of Tax | 3 | 2 | 9 | |
Minimum Pension Liability Adjustment, Period change | 9 | (22) | 33 | |
Minimum Pension Liability Adjustment, Ending Balance | (65) | (74) | (52) | (65) |
Accumulated Other Comprehensive Income (Loss), Beginning Balance | (22) | 117 | 110 | 110 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent before reclassifications | (133) | (146) | (2) | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 8 | 7 | 9 | |
Accumulated Other Comprehensive Income (Loss), Period change | (125) | (139) | 7 | |
Accumulated Other Comprehensive Income (Loss), Ending Balance | (147) | (22) | 117 | (147) |
Corporate Interest Expense [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | 4 | |||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | 7 | |||
Interest Expense [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Net of Tax | 1 | |||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, before Tax | 1 | |||
Foreign Exchange Forward [Member] | Designated as Hedging Instrument | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income on Derivatives [Line Items] | ||||
Derivative Instruments, Gain (Loss) Recognized in Other Comprehensive Income (Loss), Effective Portion, Net | $ 34 | $ 46 | $ (11) | $ 69 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Share Based Compensation Percentage In Annual Base Salary, Min | 50.00% | ||
Deferred Compensation Arrangement with Individual, Shares Issued | 22,000 | 20,000 | 33,000 |
Maximum number of shares reserved for grant of awards | 18,500,000 | ||
Shares available for grant under the plan | 4,900,000 | ||
Aggregate Intrinsic Value - Exercised | $ 1 | $ 6 | $ 23 |
Share-based Compensation Arrangement by Share-based Payment Award, Discount from Market Price, Purchase Date | 95.00% | ||
Allocated Share-based Compensation Expense | $ 26 | 34 | 24 |
Allocated Share-based Compensation Expense, Net of Tax | 17 | $ 21 | $ 14 |
Adjustments to Additional Paid in Capital, Income Tax Benefit from Share-based Compensation | 140 | ||
Employee Service Share Based Compensation Incremental Tax Benefit To Be Realized From Exercise Of Stock Awards | $ 55 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Unit Valuation Assumptions (Detail) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share Based Compensation Percentage In Annual Base Salary, Min | 50.00% | ||
Share Based Compensation Percentage In Annual Base Salary, Max | 100.00% | ||
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected volatility of stock price | 37.00% | 40.00% | 43.00% |
Risk-free interest rate | 0.74% | 0.83% | 0.39% |
Valuation period | 3 years | 3 years | 3 years |
Dividend yield | 0.00% | 0.00% | 0.00% |
Stock-Based Compensation - Annu
Stock-Based Compensation - Annual Activity Of Stock Units and Cash Units (Detail) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash Settled Restricted Stock Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Number of RSUs - Balance at beginning of year | 267 | ||
Number of RSUs - Granted | 0 | ||
Number of RSUs - Vested | (156) | ||
Number of RSUs - Forfeited/expired | 0 | ||
Number of RSUs - Balance at end of year | 111 | 267 | |
Weighted Average Grant Price, Balance at beginning of year | $ 14.90 | ||
Weighted Average Grant Price - Vested | 12.65 | ||
Weighted Average Grant Price - Forfeited/expired | 0 | ||
Weighted Average Grant Price - Granted | 0 | $ 18.04 | |
Weighted Average Grant Price, Balance at end of year | $ 18.04 | $ 14.90 | |
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Number of RSUs - Balance at beginning of year | 998 | ||
Number of RSUs - Granted | 426 | ||
Number of RSUs - Vested | (563) | ||
Number of RSUs - Forfeited/expired | (42) | ||
Number of RSUs - Balance at end of year | 819 | 998 | |
Weighted Average Grant Price, Balance at beginning of year | $ 27.26 | ||
Weighted Average Grant Price - Vested | 23.61 | ||
Weighted Average Grant Price - Forfeited/expired | 41.07 | ||
Weighted Average Grant Price - Granted | 54.70 | $ 42.05 | 21.77 |
Weighted Average Grant Price, Balance at end of year | $ 43.34 | $ 27.26 | |
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Number of RSUs - Balance at beginning of year | 1,884 | ||
Number of RSUs - Granted | 230 | ||
Number of RSUs - Vested | (982) | ||
Number of RSUs - Forfeited/expired | (191) | ||
Number of RSUs - Balance at end of year | 941 | 1,884 | |
Weighted Average Grant Price, Balance at beginning of year | $ 19.17 | ||
Weighted Average Grant Price - Vested | 12.05 | ||
Weighted Average Grant Price - Forfeited/expired | 20.57 | ||
Weighted Average Grant Price - Granted | 55.51 | $ 42.03 | $ 20.04 |
Weighted Average Grant Price, Balance at end of year | $ 35.18 | $ 19.17 |
Stock-Based Compensation - An97
Stock-Based Compensation - Annual Activity Of Stock Units and Cash Units Additional Information (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock Issued During Period, Value, Restricted Stock Award, Gross | $ 25 | $ 15 | $ 13 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ 2 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 3 years 4 months | 4 years 4 months | |
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 563 | ||
Number Of Restricted Stock Units Target Award Vested Range Maximum | 20.00% | ||
Weighted Average Grant Price - Granted | $ 54.70 | $ 42.05 | $ 21.77 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding | $ 30 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 32 | ||
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 982 | ||
Weighted Average Grant Price - Granted | $ 55.51 | $ 42.03 | 20.04 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding | $ 34 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 9 months | ||
Cash Settled Restricted Stock Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 156 | ||
Weighted Average Grant Price - Granted | $ 0 | $ 18.04 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding | $ 4 |
Stock-Based Compensation - An98
Stock-Based Compensation - Annual Activity Of Stock Options (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Number of Options, Balance at beginning of year | 848 | ||
Number of Options - Granted | 0 | ||
Number of Options - Exercised | (20) | ||
Number of Options - Forfeited/expired | (1) | ||
Number of Options, Balance at end of year | 827 | 848 | |
Weighted Average Exercise Price, Balance at beginning of year | $ 2.92 | ||
Weighted Average Exercise Price - Granted | 0 | ||
Weighted Average Exercise Price - Exercised | 5.28 | ||
Weighted Average Exercise Price - Forfeited/expired | 0.79 | ||
Weighted Average Exercise Price, Balance at end of year | $ 2.87 | $ 2.92 | |
Aggregate Intrinsic Value - Beginning of Year | $ 54 | ||
Aggregate Intrinsic Value - Granted | |||
Aggregate Intrinsic Value - Exercised | $ 1 | $ 6 | $ 23 |
Aggregate Intrinsic Value - End of Year | $ 28 | $ 54 | |
Weighted Average Remaining Contractual Term | 3 years 4 months | 4 years 4 months |
Stock-Based Compensation - An99
Stock-Based Compensation - Annual Activity Of Stock Options Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Aggregate Intrinsic Value - Exercised | $ 1 | $ 6 | $ 23 |
Employee Service Share-based Compensation, Cash Received from Exercise of Stock Options | $ 3 |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Contributions | $ 32 | $ 34 | $ 39 |
Amortized from accumulated other comprehensive income into net periodic benefit cost | 6 | ||
Net actuarial loss of accumulated other comprehensive income into net periodic benefit cost | 5 | ||
Prior service cost of accumulated other comprehensive income into net periodic benefit cost | 1 | ||
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Benefit Obligation | 386 | 421 | |
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Fair Value of Plan Assets | 228 | 243 | |
Defined Benefit Plan, Accumulated Benefit Obligation | 646 | 703 | |
Estimated future benefit payments, 2014 | 23 | ||
Estimated future benefit payments, 2015 | 23 | ||
Estimated future benefit payments, 2016 | 25 | ||
Estimated future benefit payments, 2017 | 28 | ||
Estimated future benefit payments, 2018 | 28 | ||
Estimated future benefit payments, 2019 to 2023 | 156 | ||
Contribution to multiemployer plans | $ 9 | $ 9 | $ 8 |
Equity Securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of plan assets allocation, minimum | 45.00% | ||
Percentage of plan assets allocation, maximum | 65.00% | ||
Debt Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of plan assets allocation, minimum | 35.00% | ||
Percentage of plan assets allocation, maximum | 55.00% | ||
United States Pension Plan of US Entity [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Long-term rate of return on plan assets | 7.25% | 7.50% | 7.50% |
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year | $ 2 | ||
Foreign Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Long-term rate of return on plan assets | 4.65% | 5.30% | 5.25% |
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year | $ 8 |
Summary Of Net Periodic Benefit
Summary Of Net Periodic Benefit Cost (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Employee Benefit Plans [Abstract] | |||
Service cost | $ 5 | $ 5 | $ 5 |
Interest cost | 22 | 29 | 26 |
Expected return on plan assets | (31) | (32) | (28) |
Amortization of unrecognized amounts | 5 | 3 | 15 |
Net periodic benefit cost | $ 1 | $ 5 | $ 18 |
Summary of Funded Status of Pen
Summary of Funded Status of Pension Plans (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Compensation and Retirement Disclosure [Abstract] | |||
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Benefit Obligation | $ 386 | $ 421 | |
Defined Benefit Plan, Assets for Plan Benefits, Noncurrent | (30) | (15) | |
Pension and Other Postretirement Defined Benefit Plans, Current Liabilities | (1) | (1) | |
Pension and Other Postretirement Defined Benefit Plans, Liabilities, Noncurrent | (158) | (177) | |
Employee Benefit Plans [Abstract] | |||
Benefit obligation at end of prior year | 716 | 670 | |
Service cost | 5 | 5 | $ 5 |
Interest cost | 22 | 29 | 26 |
Plan amendments | 0 | (1) | |
Actuarial loss | (32) | 72 | |
Defined Benefit Plan, Foreign Currency Exchange Rate Gain (Loss) | (30) | (34) | |
Benefit obligation at end of current year | 656 | 716 | 670 |
Fair value of assets at end of prior year | 553 | 517 | |
Actual return on plan assets | 5 | 56 | |
Employer contributions | 14 | 26 | |
Defined Benefit Plan, Foreign Currency Exchange Rate Changes, Plan Assets | (20) | (21) | |
Net benefits paid | (25) | (25) | |
Fair value of assets at end of current year | 527 | 553 | $ 517 |
Total unfunded status at end of year (recognized in other non-current liabilities in the Consolidated Balance Sheets) | (129) | (163) | |
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Fair Value of Plan Assets | $ 228 | $ 243 |
Summary Of Assumptions Used To
Summary Of Assumptions Used To Determine Pension Obligations And Pension Costs (Detail) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
United States Pension Plan of US Entity [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net periodic benefit cost | 4.00% | 4.75% | 3.75% |
Benefit obligation | 4.40% | 4.00% | 4.75% |
Long-term rate of return on plan assets | 7.25% | 7.50% | 7.50% |
Foreign Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net periodic benefit cost | 3.30% | 4.50% | 4.50% |
Benefit obligation | 3.45% | 3.30% | 4.50% |
Long-term rate of return on plan assets | 4.65% | 5.30% | 5.25% |
Summary Of Defined Benefit Pens
Summary Of Defined Benefit Pension Plans' Assets Fair Value (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Defined Benefit Plan Disclosure [Line Items] | |||
Total assets | $ 527 | $ 553 | $ 517 |
Cash and Cash Equivalents | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total assets | 12 | 6 | |
US Stock | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total assets | 126 | 113 | |
Non US Stock | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total assets | 129 | 163 | |
Non US Government Securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total assets | 103 | 91 | |
Corporate Bonds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total assets | 133 | 167 | |
Other Assets | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total assets | $ 24 | $ 13 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Schedule of Cost-method Investments [Line Items] | |||
Derivative Instruments, Gain (Loss) Reclassification from Accumulated OCI to Income, Estimated Net Amount to be Transferred | $ 5 | ||
Interest Rate Swap [Member] | |||
Schedule of Cost-method Investments [Line Items] | |||
Derivative, Notional Amount | $ 900 | $ 0 | |
Interest Rate Caps [Member] | |||
Schedule of Cost-method Investments [Line Items] | |||
Derivative, Notional Amount | 10,179 | 0 | |
Interest Rate Caps [Member] | Interest Rate Caps Sold | |||
Schedule of Cost-method Investments [Line Items] | |||
Derivative, Notional Amount | 8,200 | 6,200 | |
Interest Rate Caps [Member] | Interest Rate Caps Purchased | |||
Schedule of Cost-method Investments [Line Items] | |||
Derivative, Notional Amount | 2,000 | 2,100 | |
Interest Rate Caps [Member] | Interest Rate Caps Purchased | Subsidiary Issuers | |||
Schedule of Cost-method Investments [Line Items] | |||
Derivative, Notional Amount | 6,200 | 4,200 | |
Currency Swap [Member] | |||
Schedule of Cost-method Investments [Line Items] | |||
Derivative, Notional Amount | $ 811 | $ 0 |
Fair Value of Derivative Instru
Fair Value of Derivative Instruments (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Schedule of Cost-method Investments [Line Items] | ||
Fair Value, Asset Derivatives | $ 18 | $ 6 |
Fair Value, Liability Derivatives | 13 | 16 |
Interest Rate Caps [Member] | ||
Schedule of Cost-method Investments [Line Items] | ||
Derivative, Notional Amount | 10,179 | 0 |
Currency Swap [Member] | ||
Schedule of Cost-method Investments [Line Items] | ||
Derivative, Notional Amount | 811 | 0 |
Interest Rate Swap [Member] | ||
Schedule of Cost-method Investments [Line Items] | ||
Derivative, Notional Amount | 900 | 0 |
Designated as Hedging Instrument | Interest Rate Swap [Member] | ||
Schedule of Cost-method Investments [Line Items] | ||
Fair Value, Asset Derivatives | 1 | 1 |
Fair Value, Liability Derivatives | 5 | 3 |
Not Designated as Hedging Instrument | Currency Swap [Member] | ||
Schedule of Cost-method Investments [Line Items] | ||
Fair Value, Asset Derivatives | 16 | 5 |
Fair Value, Liability Derivatives | 2 | 2 |
Not Designated as Hedging Instrument | Interest Rate Contract | ||
Schedule of Cost-method Investments [Line Items] | ||
Fair Value, Asset Derivatives | 1 | 0 |
Fair Value, Liability Derivatives | 5 | 10 |
Not Designated as Hedging Instrument | Commodity Contract | ||
Schedule of Cost-method Investments [Line Items] | ||
Fair Value, Asset Derivatives | 0 | 0 |
Fair Value, Liability Derivatives | 1 | 1 |
Interest Rate Caps Sold | Interest Rate Caps [Member] | ||
Schedule of Cost-method Investments [Line Items] | ||
Derivative, Notional Amount | $ 8,200 | $ 6,200 |
Schedule Of Effect Of Derivativ
Schedule Of Effect Of Derivatives Recognized (Detail) - USD ($) $ in Millions | 12 Months Ended | 36 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2015 | |
Schedule of Cost-method Investments [Line Items] | ||||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | $ 18 | $ 6 | $ 18 | |
Derivatives not designated as hedging instruments | 79 | 46 | $ 22 | |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 13 | 16 | 13 | |
Interest Expense [Member] | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Derivatives not designated as hedging instruments | 32 | 10 | 20 | |
Operating Expense [Member] | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Derivatives not designated as hedging instruments | 16 | 7 | ||
Derivative Instruments Gain Loss Recognized In Operations | 2 | |||
Vehicle Interest [Member] | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Derivatives not designated as hedging instruments | 1 | |||
Interest Rate Contract | Interest Expense [Member] | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Derivatives not designated as hedging instruments | 5 | |||
Designated as Hedging Instrument | Interest Rate Swap [Member] | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 1 | 1 | 1 | |
Interest rate swaps | (1) | (2) | 1 | |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 5 | 3 | 5 | |
Designated as Hedging Instrument | Foreign Exchange Forward [Member] | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Interest rate swaps | 34 | 46 | (11) | 69 |
Not Designated as Hedging Instrument | Foreign Exchange Forward [Member] | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Derivatives not designated as hedging instruments | 48 | 8 | 27 | |
Not Designated as Hedging Instrument | Currency Swap [Member] | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 16 | 5 | 16 | |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 2 | 2 | 2 | |
Not Designated as Hedging Instrument | Interest Rate Contract | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 1 | 0 | 1 | |
Derivatives not designated as hedging instruments | (2) | (3) | 4 | |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | 5 | 10 | 5 | |
Not Designated as Hedging Instrument | Commodity Contract | ||||
Schedule of Cost-method Investments [Line Items] | ||||
Derivative Asset, Fair Value, Amount Not Offset Against Collateral | 0 | 0 | 0 | |
Derivatives not designated as hedging instruments | 0 | (3) | $ 1 | |
Derivative Liability, Fair Value, Amount Not Offset Against Collateral | $ 1 | $ 1 | $ 1 |
Schedule Of Carrying Amounts An
Schedule Of Carrying Amounts And Estimated Fair Values (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | |||
Deferred Finance Costs, Net | $ 127 | $ 134 | |
Short-term debt and current portion of long-term debt | $ 26 | 28 | |
Estimate of Fair Value Measurement [Member] | |||
Debt Instrument [Line Items] | |||
Short-term debt and current portion of long-term debt | 26 | 28 | |
Long-term debt, excluding convertible debt | 3,478 | 3,439 | |
Debt under vehicle programs Vehicle-backed debt due to Avis Budget Rental Car Funding | 6,836 | 6,407 | |
Vehicle-backed debt | 2,071 | 1,771 | |
Interest rate swaps and interest rate contracts | 4 | 10 | |
Reported Value Measurement [Member] | |||
Debt Instrument [Line Items] | |||
Short-term debt and current portion of long-term debt | 26 | 28 | |
Long-term debt, excluding convertible debt | 3,435 | 3,325 | |
Debt under vehicle programs Vehicle-backed debt due to Avis Budget Rental Car Funding | 6,796 | 6,296 | |
Vehicle-backed debt | 2,060 | 1,750 | |
Interest rate swaps and interest rate contracts | 4 | 10 | |
Senior Notes and Loans Payable [Member] | |||
Debt Instrument [Line Items] | |||
Deferred Finance Costs, Net | $ 55 | 67 | |
Debt Due For Rental Car Funding [Member] | |||
Debt Instrument [Line Items] | |||
Deferred Finance Costs, Net | 44 | ||
Vehicle-Backed Debt [Member] | |||
Debt Instrument [Line Items] | |||
Deferred Finance Costs, Net | $ 16 |
Summary of Segments Information
Summary of Segments Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||
Net revenues | $ 8,502 | $ 8,485 | $ 7,937 |
Vehicle depreciation and lease charges, net | 1,933 | 1,996 | 1,811 |
Vehicle interest, net | 289 | 282 | 264 |
Adjusted EBITDA | 903 | 876 | 769 |
Non-vehicle depreciation and amortization | 218 | 180 | 152 |
Assets exclusive of assets under vehicle programs | 5,918 | 5,784 | 5,698 |
Assets under vehicle programs | 11,716 | 11,058 | 10,452 |
Capital expenditures (excluding vehicles) | 199 | 182 | 152 |
Americas | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 6,069 | 5,961 | 5,480 |
Vehicle depreciation and lease charges, net | 1,478 | 1,492 | 1,315 |
Vehicle interest, net | 234 | 234 | 216 |
Adjusted EBITDA | 682 | 656 | 560 |
Non-vehicle depreciation and amortization | 143 | 122 | 103 |
Assets exclusive of assets under vehicle programs | 3,940 | 3,946 | 3,797 |
Assets under vehicle programs | 9,440 | 9,162 | 8,357 |
Capital expenditures (excluding vehicles) | 131 | 113 | 99 |
International | |||
Segment Reporting Information [Line Items] | |||
Net revenues | 2,433 | 2,524 | 2,457 |
Vehicle depreciation and lease charges, net | 455 | 504 | 496 |
Vehicle interest, net | 55 | 48 | 48 |
Adjusted EBITDA | 277 | 280 | 256 |
Non-vehicle depreciation and amortization | 75 | 58 | 49 |
Assets exclusive of assets under vehicle programs | 1,901 | 1,730 | 1,749 |
Assets under vehicle programs | 2,276 | 1,896 | 2,095 |
Capital expenditures (excluding vehicles) | 68 | 69 | 53 |
Corporate and Other | |||
Segment Reporting Information [Line Items] | |||
Adjusted EBITDA | (56) | (60) | (47) |
Assets exclusive of assets under vehicle programs | $ 77 | $ 108 | $ 152 |
Reconciliation of Adjusted EBIT
Reconciliation of Adjusted EBITDA to Income (Loss) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting [Abstract] | |||
Adjusted EBITDA | $ 903 | $ 876 | $ 769 |
Non-vehicle depreciation and amortization | 218 | 180 | 152 |
Interest expense related to corporate debt, net | 194 | 209 | 228 |
Early extinguishment of debt | 23 | 56 | 147 |
Transaction-related costs, net | 68 | 13 | 51 |
Restructuring Charges | 18 | 26 | 61 |
Impairment | 0 | 0 | 33 |
Income before income taxes | $ 382 | $ 392 | $ 97 |
Summary of Geographic Segment I
Summary of Geographic Segment Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net revenues | $ 8,502 | $ 8,485 | $ 7,937 |
Assets exclusive of assets under vehicle programs | 5,918 | 5,784 | 5,698 |
Assets under vehicle programs | 11,716 | 11,058 | 10,452 |
Long-Lived Assets | 2,571 | 2,366 | 2,228 |
Deferred Finance Costs, Net | 127 | 134 | |
United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net revenues | 5,635 | 5,471 | 5,030 |
Assets exclusive of assets under vehicle programs | 3,677 | 3,745 | 3,608 |
Assets under vehicle programs | 8,786 | 8,428 | 7,791 |
Long-Lived Assets | 1,502 | 1,481 | 1,281 |
Deferred Finance Costs, Net | 114 | 121 | |
All Other Countries | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net revenues | 2,867 | 3,014 | 2,907 |
Assets exclusive of assets under vehicle programs | 2,241 | 2,039 | 2,090 |
Assets under vehicle programs | 2,930 | 2,630 | 2,661 |
Long-Lived Assets | $ 1,069 | 885 | 947 |
Deferred Finance Costs, Net | $ 13 | $ 13 |
Consolidating Condensed Stateme
Consolidating Condensed Statements of Operations (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Financial Statements, Captions [Line Items] | |||
Vehicle rental | $ 6,026,000,000 | $ 6,026,000,000 | $ 5,707,000,000 |
Other | 2,476,000,000 | 2,459,000,000 | 2,230,000,000 |
Net revenues | 8,502,000,000 | 8,485,000,000 | 7,937,000,000 |
Operating | 4,284,000,000 | 4,251,000,000 | 4,074,000,000 |
Vehicle depreciation and lease charges, net | 1,933,000,000 | 1,996,000,000 | 1,811,000,000 |
Selling, general and administrative | 1,093,000,000 | 1,080,000,000 | 1,019,000,000 |
Vehicle interest, net | 289,000,000 | 282,000,000 | 264,000,000 |
Non-vehicle related depreciation and amortization | 218,000,000 | 180,000,000 | 152,000,000 |
Interest expense | 194,000,000 | 209,000,000 | 228,000,000 |
Intercompany interest expense (income) | 0 | 0 | 0 |
Early extinguishment of debt | 23,000,000 | 56,000,000 | 147,000,000 |
Restructuring expense | 18,000,000 | 26,000,000 | 61,000,000 |
Transaction-related costs, net | 68,000,000 | 13,000,000 | 51,000,000 |
Impairment | 0 | 0 | 33,000,000 |
Total expenses | 8,120,000,000 | 8,093,000,000 | 7,840,000,000 |
Income before income taxes | 382,000,000 | 392,000,000 | 97,000,000 |
Provision for (benefit from) income taxes | 69,000,000 | 147,000,000 | 81,000,000 |
Equity in earnings (loss) of subsidiaries | 0 | 0 | 0 |
Net income | 313,000,000 | 245,000,000 | 16,000,000 |
Total comprehensive income | 188,000,000 | 106,000,000 | 23,000,000 |
Parent Company | |||
Condensed Financial Statements, Captions [Line Items] | |||
Vehicle rental | 0 | 0 | 0 |
Other | 0 | 0 | 0 |
Net revenues | 0 | 0 | 0 |
Operating | 2,000,000 | 10,000,000 | 7,000,000 |
Vehicle depreciation and lease charges, net | 0 | 0 | 0 |
Selling, general and administrative | 32,000,000 | 27,000,000 | 35,000,000 |
Vehicle interest, net | 0 | 0 | 0 |
Non-vehicle related depreciation and amortization | 0 | 0 | 0 |
Interest expense | 0 | 2,000,000 | 3,000,000 |
Intercompany interest expense (income) | (12,000,000) | (13,000,000) | (12,000,000) |
Early extinguishment of debt | 0 | 0 | 53,000,000 |
Restructuring expense | 0 | 0 | 0 |
Transaction-related costs, net | 0 | 1,000,000 | 1,000,000 |
Impairment | 0 | ||
Total expenses | 22,000,000 | 27,000,000 | 87,000,000 |
Income before income taxes | (22,000,000) | (27,000,000) | (87,000,000) |
Provision for (benefit from) income taxes | (9,000,000) | (10,000,000) | (14,000,000) |
Equity in earnings (loss) of subsidiaries | 326,000,000 | 262,000,000 | 89,000,000 |
Net income | 313,000,000 | 245,000,000 | 16,000,000 |
Total comprehensive income | 188,000,000 | 106,000,000 | 23,000,000 |
Subsidiary Issuers | |||
Condensed Financial Statements, Captions [Line Items] | |||
Vehicle rental | 0 | 0 | 0 |
Other | 0 | 0 | 0 |
Net revenues | 0 | 0 | 0 |
Operating | 17,000,000 | 13,000,000 | 15,000,000 |
Vehicle depreciation and lease charges, net | 1,000,000 | 1,000,000 | 0 |
Selling, general and administrative | 15,000,000 | 23,000,000 | 6,000,000 |
Vehicle interest, net | 0 | 0 | 0 |
Non-vehicle related depreciation and amortization | 1,000,000 | 2,000,000 | 2,000,000 |
Interest expense | 159,000,000 | 163,000,000 | 196,000,000 |
Intercompany interest expense (income) | (11,000,000) | (11,000,000) | (30,000,000) |
Early extinguishment of debt | 23,000,000 | 56,000,000 | 94,000,000 |
Restructuring expense | 0 | 0 | 0 |
Transaction-related costs, net | 22,000,000 | 8,000,000 | 24,000,000 |
Impairment | 33,000,000 | ||
Total expenses | 227,000,000 | 255,000,000 | 340,000,000 |
Income before income taxes | (227,000,000) | (255,000,000) | (340,000,000) |
Provision for (benefit from) income taxes | (178,000,000) | (108,000,000) | (124,000,000) |
Equity in earnings (loss) of subsidiaries | 375,000,000 | 409,000,000 | 305,000,000 |
Net income | 326,000,000 | 262,000,000 | 89,000,000 |
Total comprehensive income | 203,000,000 | 123,000,000 | 96,000,000 |
Guarantor Subsidiaries | |||
Condensed Financial Statements, Captions [Line Items] | |||
Vehicle rental | 4,124,000,000 | 4,038,000,000 | 3,786,000,000 |
Other | 1,181,000,000 | 1,167,000,000 | 1,098,000,000 |
Net revenues | 5,305,000,000 | 5,205,000,000 | 4,884,000,000 |
Operating | 2,587,000,000 | 2,525,000,000 | 2,425,000,000 |
Vehicle depreciation and lease charges, net | 1,819,000,000 | 1,920,000,000 | 1,776,000,000 |
Selling, general and administrative | 619,000,000 | 602,000,000 | 591,000,000 |
Vehicle interest, net | 204,000,000 | 200,000,000 | 182,000,000 |
Non-vehicle related depreciation and amortization | 133,000,000 | 111,000,000 | 97,000,000 |
Interest expense | (5,000,000) | 2,000,000 | 0 |
Intercompany interest expense (income) | 16,000,000 | 1,000,000 | 6,000,000 |
Early extinguishment of debt | 0 | 0 | 0 |
Restructuring expense | 6,000,000 | 7,000,000 | 25,000,000 |
Transaction-related costs, net | 6,000,000 | (20,000,000) | 3,000,000 |
Impairment | 0 | ||
Total expenses | 5,385,000,000 | 5,348,000,000 | 5,105,000,000 |
Income before income taxes | (80,000,000) | (143,000,000) | (221,000,000) |
Provision for (benefit from) income taxes | 170,000,000 | 186,000,000 | 156,000,000 |
Equity in earnings (loss) of subsidiaries | 625,000,000 | 738,000,000 | 682,000,000 |
Net income | 375,000,000 | 409,000,000 | 305,000,000 |
Total comprehensive income | 253,000,000 | 273,000,000 | 310,000,000 |
Non-Guarantor Subsidiaries | |||
Condensed Financial Statements, Captions [Line Items] | |||
Vehicle rental | 1,902,000,000 | 1,988,000,000 | 1,921,000,000 |
Other | 3,335,000,000 | 3,426,000,000 | 3,086,000,000 |
Net revenues | 5,237,000,000 | 5,414,000,000 | 5,007,000,000 |
Operating | 1,678,000,000 | 1,703,000,000 | 1,627,000,000 |
Vehicle depreciation and lease charges, net | 1,936,000,000 | 1,996,000,000 | 1,806,000,000 |
Selling, general and administrative | 427,000,000 | 428,000,000 | 387,000,000 |
Vehicle interest, net | 302,000,000 | 295,000,000 | 265,000,000 |
Non-vehicle related depreciation and amortization | 84,000,000 | 67,000,000 | 53,000,000 |
Interest expense | 40,000,000 | 42,000,000 | 29,000,000 |
Intercompany interest expense (income) | 7,000,000 | 23,000,000 | 36,000,000 |
Early extinguishment of debt | 0 | 0 | 0 |
Restructuring expense | 12,000,000 | 19,000,000 | 36,000,000 |
Transaction-related costs, net | 40,000,000 | 24,000,000 | 23,000,000 |
Impairment | 0 | ||
Total expenses | 4,526,000,000 | 4,597,000,000 | 4,262,000,000 |
Income before income taxes | 711,000,000 | 817,000,000 | 745,000,000 |
Provision for (benefit from) income taxes | 86,000,000 | 79,000,000 | 63,000,000 |
Equity in earnings (loss) of subsidiaries | 0 | 0 | 0 |
Net income | 625,000,000 | 738,000,000 | 682,000,000 |
Total comprehensive income | 504,000,000 | 624,000,000 | 657,000,000 |
Eliminations | |||
Condensed Financial Statements, Captions [Line Items] | |||
Vehicle rental | 0 | 0 | 0 |
Other | (2,040,000,000) | (2,134,000,000) | (1,954,000,000) |
Net revenues | (2,040,000,000) | (2,134,000,000) | (1,954,000,000) |
Operating | 0 | 0 | 0 |
Vehicle depreciation and lease charges, net | (1,823,000,000) | (1,921,000,000) | (1,771,000,000) |
Selling, general and administrative | 0 | 0 | 0 |
Vehicle interest, net | (217,000,000) | (213,000,000) | (183,000,000) |
Non-vehicle related depreciation and amortization | 0 | 0 | 0 |
Interest expense | 0 | 0 | 0 |
Intercompany interest expense (income) | 0 | 0 | 0 |
Early extinguishment of debt | 0 | 0 | 0 |
Restructuring expense | 0 | 0 | 0 |
Transaction-related costs, net | 0 | 0 | 0 |
Impairment | 0 | ||
Total expenses | (2,040,000,000) | (2,134,000,000) | (1,954,000,000) |
Income before income taxes | 0 | 0 | 0 |
Provision for (benefit from) income taxes | 0 | 0 | 0 |
Equity in earnings (loss) of subsidiaries | (1,326,000,000) | (1,409,000,000) | (1,076,000,000) |
Net income | (1,326,000,000) | (1,409,000,000) | (1,076,000,000) |
Total comprehensive income | $ (960,000,000) | $ (1,020,000,000) | $ (1,063,000,000) |
Consolidating Condensed Balance
Consolidating Condensed Balance Sheets (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Current assets: | ||||
Cash and cash equivalents | $ 452 | $ 624 | $ 693 | $ 606 |
Receivables, net | 668 | 599 | ||
Other current assets | 507 | 456 | ||
Total current assets | 1,627 | 1,679 | ||
Property and equipment, net | 681 | 638 | ||
Deferred income taxes | 1,488 | 1,511 | ||
Goodwill | 973 | 842 | 691 | |
Other intangibles, net | 917 | 886 | ||
Other non-current assets | 232 | 228 | ||
Intercompany receivables (payables) | 0 | 0 | ||
Investment in subsidiaries | 0 | 0 | ||
Total assets exclusive of assets under vehicle programs | 5,918 | 5,784 | ||
Assets under vehicle programs: | ||||
Program cash | 258 | 119 | ||
Vehicles, net | 10,658 | 10,215 | ||
Receivables from vehicle manufacturers and other | 438 | 362 | ||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 362 | 362 | ||
Assets under vehicle programs | 11,716 | 11,058 | 10,452 | |
Total assets | 17,634 | 16,842 | ||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 26 | 28 | ||
Accounts payable and other current liabilities | 1,485 | 1,491 | ||
Total current liabilities | 1,511 | 1,519 | ||
Long-term debt | 3,435 | 3,325 | ||
Due to Related Parties, Noncurrent | 0 | 0 | ||
Deferred Income Taxes | 2,367 | 2,267 | ||
Other non-current liabilities | 734 | 766 | ||
Total liabilities exclusive of liabilities under vehicle programs | 5,680 | 5,610 | ||
Liabilities under vehicle programs: | ||||
Debt | 2,064 | 1,760 | ||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 6,796 | 6,296 | ||
Other | 288 | 244 | ||
Total Liabilities under vehicle programs | 11,515 | 10,567 | ||
Total stockholders’ equity | 439 | 665 | 771 | 757 |
Total liabilities and stockholders’ equity | 17,634 | 16,842 | ||
Parent Company | ||||
Current assets: | ||||
Cash and cash equivalents | 4 | 2 | 14 | 5 |
Receivables, net | 0 | 0 | ||
Other current assets | 2 | 3 | ||
Total current assets | 6 | 5 | ||
Property and equipment, net | 0 | 0 | ||
Deferred income taxes | 20 | 19 | ||
Goodwill | 0 | 0 | ||
Other intangibles, net | 0 | 0 | ||
Other non-current assets | 93 | 104 | ||
Intercompany receivables (payables) | 160 | 205 | ||
Investment in subsidiaries | 272 | 468 | ||
Total assets exclusive of assets under vehicle programs | 551 | 801 | ||
Assets under vehicle programs: | ||||
Program cash | 0 | 0 | ||
Vehicles, net | 0 | 0 | ||
Receivables from vehicle manufacturers and other | 0 | 0 | ||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Assets under vehicle programs | 0 | 0 | ||
Total assets | 551 | 801 | ||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 0 | 0 | ||
Accounts payable and other current liabilities | 24 | 39 | ||
Total current liabilities | 24 | 39 | ||
Long-term debt | 0 | 0 | ||
Due to Related Parties, Noncurrent | 0 | 0 | ||
Deferred Income Taxes | 0 | 0 | ||
Other non-current liabilities | 88 | 97 | ||
Total liabilities exclusive of liabilities under vehicle programs | 112 | 136 | ||
Liabilities under vehicle programs: | ||||
Debt | 0 | 0 | ||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 0 | 0 | ||
Other | 0 | 0 | ||
Total Liabilities under vehicle programs | 0 | 0 | ||
Total stockholders’ equity | 439 | 665 | ||
Total liabilities and stockholders’ equity | 551 | 801 | ||
Subsidiary Issuers | ||||
Current assets: | ||||
Cash and cash equivalents | 70 | 210 | 242 | 102 |
Receivables, net | 0 | 0 | ||
Other current assets | 78 | 86 | ||
Total current assets | 148 | 296 | ||
Property and equipment, net | 134 | 112 | ||
Deferred income taxes | 1,246 | 1,222 | ||
Goodwill | 0 | 0 | ||
Other intangibles, net | 30 | 38 | ||
Other non-current assets | 15 | 25 | ||
Intercompany receivables (payables) | 367 | 344 | ||
Investment in subsidiaries | 3,426 | 3,072 | ||
Total assets exclusive of assets under vehicle programs | 5,366 | 5,109 | ||
Assets under vehicle programs: | ||||
Program cash | 0 | 0 | ||
Vehicles, net | 18 | 7 | ||
Receivables from vehicle manufacturers and other | 0 | 1 | ||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Assets under vehicle programs | 18 | 8 | ||
Total assets | 5,384 | 5,117 | ||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 14 | 13 | ||
Accounts payable and other current liabilities | 180 | 200 | ||
Total current liabilities | 194 | 213 | ||
Long-term debt | 2,932 | 2,769 | ||
Due to Related Parties, Noncurrent | 1,897 | 1,558 | ||
Deferred Income Taxes | 0 | 0 | ||
Other non-current liabilities | 85 | 100 | ||
Total liabilities exclusive of liabilities under vehicle programs | 5,108 | 4,640 | ||
Liabilities under vehicle programs: | ||||
Debt | 4 | 9 | ||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 0 | 0 | ||
Other | 0 | 0 | ||
Total Liabilities under vehicle programs | 4 | 9 | ||
Total stockholders’ equity | 272 | 468 | ||
Total liabilities and stockholders’ equity | 5,384 | 5,117 | ||
Guarantor Subsidiaries | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | 0 | 12 | 0 |
Receivables, net | 212 | 177 | ||
Other current assets | 83 | 78 | ||
Total current assets | 295 | 255 | ||
Property and equipment, net | 345 | 325 | ||
Deferred income taxes | 253 | 240 | ||
Goodwill | 487 | 487 | ||
Other intangibles, net | 525 | 545 | ||
Other non-current assets | 17 | 21 | ||
Intercompany receivables (payables) | 1,070 | 978 | ||
Investment in subsidiaries | 3,680 | 3,316 | ||
Total assets exclusive of assets under vehicle programs | 6,672 | 6,167 | ||
Assets under vehicle programs: | ||||
Program cash | 0 | 0 | ||
Vehicles, net | 78 | 87 | ||
Receivables from vehicle manufacturers and other | 0 | 0 | ||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Assets under vehicle programs | 78 | 87 | ||
Total assets | 6,750 | 6,254 | ||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 5 | 4 | ||
Accounts payable and other current liabilities | 471 | 462 | ||
Total current liabilities | 476 | 466 | ||
Long-term debt | 2 | 6 | ||
Due to Related Parties, Noncurrent | 336 | 313 | ||
Deferred Income Taxes | 2,199 | 2,082 | ||
Other non-current liabilities | 237 | 232 | ||
Total liabilities exclusive of liabilities under vehicle programs | 1,051 | 1,017 | ||
Liabilities under vehicle programs: | ||||
Debt | 74 | 83 | ||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 0 | 0 | ||
Other | 0 | 0 | ||
Total Liabilities under vehicle programs | 2,273 | 2,165 | ||
Total stockholders’ equity | 3,426 | 3,072 | ||
Total liabilities and stockholders’ equity | 6,750 | 6,254 | ||
Non-Guarantor Subsidiaries | ||||
Current assets: | ||||
Cash and cash equivalents | 378 | 412 | 425 | 499 |
Receivables, net | 456 | 422 | ||
Other current assets | 344 | 289 | ||
Total current assets | 1,178 | 1,123 | ||
Property and equipment, net | 202 | 201 | ||
Deferred income taxes | 0 | 34 | ||
Goodwill | 486 | 355 | ||
Other intangibles, net | 362 | 303 | ||
Other non-current assets | 107 | 78 | ||
Intercompany receivables (payables) | 696 | 672 | ||
Investment in subsidiaries | 0 | 0 | ||
Total assets exclusive of assets under vehicle programs | 3,031 | 2,766 | ||
Assets under vehicle programs: | ||||
Program cash | 258 | 119 | ||
Vehicles, net | 10,562 | 10,121 | ||
Receivables from vehicle manufacturers and other | 438 | 361 | ||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 362 | 362 | ||
Assets under vehicle programs | 11,620 | 10,963 | ||
Total assets | 14,651 | 13,729 | ||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 7 | 11 | ||
Accounts payable and other current liabilities | 810 | 790 | ||
Total current liabilities | 817 | 801 | ||
Long-term debt | 501 | 550 | ||
Due to Related Parties, Noncurrent | 60 | 328 | ||
Deferred Income Taxes | 168 | 185 | ||
Other non-current liabilities | 355 | 341 | ||
Total liabilities exclusive of liabilities under vehicle programs | 1,733 | 2,020 | ||
Liabilities under vehicle programs: | ||||
Debt | 1,986 | 1,668 | ||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 6,796 | 6,296 | ||
Other | 288 | 244 | ||
Total Liabilities under vehicle programs | 9,238 | 8,393 | ||
Total stockholders’ equity | 3,680 | 3,316 | ||
Total liabilities and stockholders’ equity | 14,651 | 13,729 | ||
Eliminations | ||||
Current assets: | ||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 |
Receivables, net | 0 | 0 | ||
Other current assets | 0 | 0 | ||
Total current assets | 0 | 0 | ||
Property and equipment, net | 0 | 0 | ||
Deferred income taxes | (31) | (4) | ||
Goodwill | 0 | 0 | ||
Other intangibles, net | 0 | 0 | ||
Other non-current assets | 0 | 0 | ||
Intercompany receivables (payables) | (2,293) | (2,199) | ||
Investment in subsidiaries | (7,378) | (6,856) | ||
Total assets exclusive of assets under vehicle programs | (9,702) | (9,059) | ||
Assets under vehicle programs: | ||||
Program cash | 0 | 0 | ||
Vehicles, net | 0 | 0 | ||
Receivables from vehicle manufacturers and other | 0 | 0 | ||
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 0 | 0 | ||
Assets under vehicle programs | 0 | 0 | ||
Total assets | (9,702) | (9,059) | ||
Current liabilities: | ||||
Short-term debt and current portion of long-term debt | 0 | 0 | ||
Accounts payable and other current liabilities | 0 | 0 | ||
Total current liabilities | 0 | 0 | ||
Long-term debt | 0 | 0 | ||
Due to Related Parties, Noncurrent | (2,293) | (2,199) | ||
Deferred Income Taxes | 0 | 0 | ||
Other non-current liabilities | (31) | (4) | ||
Total liabilities exclusive of liabilities under vehicle programs | (2,324) | (2,203) | ||
Liabilities under vehicle programs: | ||||
Debt | 0 | 0 | ||
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 0 | 0 | ||
Other | 0 | 0 | ||
Total Liabilities under vehicle programs | 0 | 0 | ||
Total stockholders’ equity | (7,378) | (6,856) | ||
Total liabilities and stockholders’ equity | $ (9,702) | $ (9,059) |
Consolidating Condensed Stat114
Consolidating Condensed Statements of Cash Flows (Detail) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Financial Statements, Captions [Line Items] | ||||
Net cash provided by (used in) operating activities | $ 2,584 | $ 2,579 | $ 2,253 | |
Investing activities | ||||
Property and equipment additions | (199) | (182) | (152) | |
Proceeds received on asset sales | 15 | 21 | 22 | |
Net assets acquired (net of cash acquired) | (256) | (416) | (537) | |
intercompany loan receipts | 0 | 0 | ||
Other, net | 6 | (11) | 2 | |
Net cash used in investing activities exclusive of vehicle programs | (434) | (588) | (665) | |
Vehicle programs: | ||||
Decrease in program cash | (148) | (10) | (79) | |
Investment In Vehicles | (11,928) | (11,875) | (10,899) | |
Proceeds received on disposition of vehicles | 9,680 | 9,666 | 9,409 | |
Net Cash Used In Investing Activities Of Vehicle Programs | (2,396) | (2,219) | (1,569) | |
Net cash used in investing activities | (2,830) | (2,807) | (2,234) | |
Financing activities | ||||
Proceeds from borrowings | 377 | 871 | 2,972 | |
Principal payments on borrowings | (301) | (762) | (2,608) | |
Proceeds from (Repayments of) Short-term Debt | (22) | 5 | (36) | |
Debt financing fees | (7) | (17) | (37) | |
Purchase of warrants | $ (41) | 0 | 0 | (78) |
Proceeds from sale of call options | 54 | 0 | 0 | 104 |
Payments for Repurchase of Common Stock | (393) | (297) | (48) | |
Intercompany loan borrowings | 0 | 0 | ||
Other, net | (7) | 0 | 3 | |
Net cash (used in) provided by financing activities exclusive of vehicle programs | (353) | (200) | 272 | |
Vehicle programs: | ||||
Proceeds from borrowings | 14,138 | 14,373 | 12,953 | |
Principal payments on borrowings | (13,648) | (13,963) | (13,115) | |
Debt financing fees | (22) | (28) | (34) | |
Net cash provided by financing activities of vehicle programs | 468 | 382 | (196) | |
Net cash provided by (used in) financing activities | 115 | 182 | 76 | |
Effect of changes in exchange rates on cash and cash equivalents | (41) | (23) | (8) | |
Net (decrease) increase in cash and cash equivalents | (172) | (69) | 87 | |
Cash and cash equivalents, beginning of period | 624 | 693 | 606 | |
Cash and cash equivalents, end of period | 693 | 452 | 624 | 693 |
Parent Company | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net cash provided by (used in) operating activities | 60 | 0 | (3) | |
Investing activities | ||||
Property and equipment additions | 0 | 0 | 0 | |
Proceeds received on asset sales | 0 | 0 | 0 | |
Net assets acquired (net of cash acquired) | 0 | 0 | 0 | |
intercompany loan receipts | 0 | 0 | ||
Other, net | 334 | 285 | 146 | |
Net cash used in investing activities exclusive of vehicle programs | 334 | 285 | 146 | |
Vehicle programs: | ||||
Decrease in program cash | 0 | 0 | 0 | |
Investment In Vehicles | 0 | 0 | 0 | |
Proceeds received on disposition of vehicles | 0 | 0 | 0 | |
Net Cash Used In Investing Activities Of Vehicle Programs | 0 | 0 | 0 | |
Net cash used in investing activities | 334 | 285 | 146 | |
Financing activities | ||||
Proceeds from borrowings | 0 | 0 | 0 | |
Principal payments on borrowings | 0 | 0 | (115) | |
Proceeds from (Repayments of) Short-term Debt | 0 | 0 | 0 | |
Debt financing fees | 0 | 0 | 0 | |
Purchase of warrants | (78) | |||
Proceeds from sale of call options | 104 | |||
Payments for Repurchase of Common Stock | (393) | (297) | (48) | |
Intercompany loan borrowings | 0 | 0 | ||
Other, net | 1 | 0 | 3 | |
Net cash (used in) provided by financing activities exclusive of vehicle programs | (392) | (297) | (134) | |
Vehicle programs: | ||||
Proceeds from borrowings | 0 | 0 | 0 | |
Principal payments on borrowings | 0 | 0 | 0 | |
Debt financing fees | 0 | 0 | 0 | |
Net cash provided by financing activities of vehicle programs | 0 | 0 | 0 | |
Net cash provided by (used in) financing activities | (392) | (297) | (134) | |
Effect of changes in exchange rates on cash and cash equivalents | 0 | 0 | 0 | |
Net (decrease) increase in cash and cash equivalents | 2 | (12) | 9 | |
Cash and cash equivalents, beginning of period | 2 | 14 | 5 | |
Cash and cash equivalents, end of period | 14 | 4 | 2 | 14 |
Subsidiary Issuers | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net cash provided by (used in) operating activities | 249 | 469 | 562 | |
Investing activities | ||||
Property and equipment additions | (26) | (20) | (26) | |
Proceeds received on asset sales | 7 | 7 | 7 | |
Net assets acquired (net of cash acquired) | (8) | 0 | (564) | |
intercompany loan receipts | (30) | 233 | ||
Other, net | (127) | (9) | (50) | |
Net cash used in investing activities exclusive of vehicle programs | (184) | (22) | (400) | |
Vehicle programs: | ||||
Decrease in program cash | 0 | 0 | 0 | |
Investment In Vehicles | (1) | (9) | (44) | |
Proceeds received on disposition of vehicles | 19 | 8 | 40 | |
Net Cash Used In Investing Activities Of Vehicle Programs | 18 | (1) | (4) | |
Net cash used in investing activities | (166) | (23) | (404) | |
Financing activities | ||||
Proceeds from borrowings | 375 | 575 | 2,647 | |
Principal payments on borrowings | (256) | (756) | (2,489) | |
Proceeds from (Repayments of) Short-term Debt | 0 | 0 | 0 | |
Debt financing fees | (7) | (12) | (30) | |
Purchase of warrants | 0 | |||
Proceeds from sale of call options | 0 | |||
Payments for Repurchase of Common Stock | 0 | 0 | 0 | |
Intercompany loan borrowings | 0 | 0 | ||
Other, net | (335) | (285) | (146) | |
Net cash (used in) provided by financing activities exclusive of vehicle programs | (223) | (478) | (18) | |
Vehicle programs: | ||||
Proceeds from borrowings | 0 | 0 | 0 | |
Principal payments on borrowings | 0 | 0 | 0 | |
Debt financing fees | 0 | 0 | 0 | |
Net cash provided by financing activities of vehicle programs | 0 | 0 | 0 | |
Net cash provided by (used in) financing activities | (223) | (478) | (18) | |
Effect of changes in exchange rates on cash and cash equivalents | 0 | 0 | 0 | |
Net (decrease) increase in cash and cash equivalents | (140) | (32) | 140 | |
Cash and cash equivalents, beginning of period | 210 | 242 | 102 | |
Cash and cash equivalents, end of period | 242 | 70 | 210 | 242 |
Guarantor Subsidiaries | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net cash provided by (used in) operating activities | 146 | 340 | 26 | |
Investing activities | ||||
Property and equipment additions | (98) | (84) | (69) | |
Proceeds received on asset sales | 1 | 8 | 4 | |
Net assets acquired (net of cash acquired) | (9) | (263) | 8 | |
intercompany loan receipts | (96) | 60 | ||
Other, net | 1 | (2) | 48 | |
Net cash used in investing activities exclusive of vehicle programs | (201) | (341) | 51 | |
Vehicle programs: | ||||
Decrease in program cash | 0 | 0 | 0 | |
Investment In Vehicles | (2) | (90) | (2) | |
Proceeds received on disposition of vehicles | 0 | 0 | 0 | |
Net Cash Used In Investing Activities Of Vehicle Programs | (2) | (90) | (2) | |
Net cash used in investing activities | (203) | (431) | 49 | |
Financing activities | ||||
Proceeds from borrowings | 0 | 0 | 0 | |
Principal payments on borrowings | (4) | (5) | (3) | |
Proceeds from (Repayments of) Short-term Debt | 0 | 0 | 0 | |
Debt financing fees | 0 | 0 | 0 | |
Purchase of warrants | 0 | |||
Proceeds from sale of call options | 0 | |||
Payments for Repurchase of Common Stock | 0 | 0 | 0 | |
Intercompany loan borrowings | 0 | (60) | ||
Other, net | 70 | 0 | 0 | |
Net cash (used in) provided by financing activities exclusive of vehicle programs | 66 | (5) | (63) | |
Vehicle programs: | ||||
Proceeds from borrowings | 0 | 88 | 0 | |
Principal payments on borrowings | (9) | (3) | 0 | |
Debt financing fees | 0 | (1) | 0 | |
Net cash provided by financing activities of vehicle programs | (9) | 84 | 0 | |
Net cash provided by (used in) financing activities | 57 | 79 | (63) | |
Effect of changes in exchange rates on cash and cash equivalents | 0 | 0 | 0 | |
Net (decrease) increase in cash and cash equivalents | 0 | (12) | 12 | |
Cash and cash equivalents, beginning of period | 0 | 12 | 0 | |
Cash and cash equivalents, end of period | 12 | 0 | 0 | 12 |
Non-Guarantor Subsidiaries | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net cash provided by (used in) operating activities | 2,204 | 1,840 | 1,736 | |
Investing activities | ||||
Property and equipment additions | (75) | (78) | (57) | |
Proceeds received on asset sales | 7 | 6 | 11 | |
Net assets acquired (net of cash acquired) | (239) | (153) | 19 | |
intercompany loan receipts | 0 | 0 | ||
Other, net | 8 | 0 | 4 | |
Net cash used in investing activities exclusive of vehicle programs | (299) | (225) | (23) | |
Vehicle programs: | ||||
Decrease in program cash | (148) | (10) | (79) | |
Investment In Vehicles | (11,925) | (11,776) | (10,853) | |
Proceeds received on disposition of vehicles | 9,661 | 9,658 | 9,369 | |
Net Cash Used In Investing Activities Of Vehicle Programs | (2,412) | (2,128) | (1,563) | |
Net cash used in investing activities | (2,711) | (2,353) | (1,586) | |
Financing activities | ||||
Proceeds from borrowings | 2 | 296 | 325 | |
Principal payments on borrowings | (41) | (1) | (1) | |
Proceeds from (Repayments of) Short-term Debt | $ (22) | 5 | (36) | |
Debt financing fees | (5) | (7) | ||
Purchase of warrants | 0 | |||
Proceeds from sale of call options | 0 | |||
Payments for Repurchase of Common Stock | $ 0 | 0 | 0 | |
Intercompany loan borrowings | 126 | (233) | ||
Other, net | (28) | (70) | (68) | |
Net cash (used in) provided by financing activities exclusive of vehicle programs | 37 | 225 | (20) | |
Vehicle programs: | ||||
Proceeds from borrowings | 14,138 | 14,285 | 12,953 | |
Principal payments on borrowings | (13,639) | (13,960) | (13,115) | |
Debt financing fees | (22) | (27) | (34) | |
Net cash provided by financing activities of vehicle programs | 477 | 298 | (196) | |
Net cash provided by (used in) financing activities | 514 | 523 | (216) | |
Effect of changes in exchange rates on cash and cash equivalents | (41) | (23) | (8) | |
Net (decrease) increase in cash and cash equivalents | (34) | (13) | (74) | |
Cash and cash equivalents, beginning of period | 412 | 425 | 499 | |
Cash and cash equivalents, end of period | 425 | 378 | 412 | 425 |
Eliminations | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Net cash provided by (used in) operating activities | (75) | (70) | (68) | |
Investing activities | ||||
Property and equipment additions | 0 | 0 | 0 | |
Proceeds received on asset sales | 0 | 0 | 0 | |
Net assets acquired (net of cash acquired) | 0 | 0 | 0 | |
intercompany loan receipts | 126 | (293) | ||
Other, net | (210) | (285) | (146) | |
Net cash used in investing activities exclusive of vehicle programs | (84) | (285) | (439) | |
Vehicle programs: | ||||
Decrease in program cash | 0 | 0 | 0 | |
Investment In Vehicles | 0 | 0 | 0 | |
Proceeds received on disposition of vehicles | 0 | 0 | 0 | |
Net Cash Used In Investing Activities Of Vehicle Programs | 0 | 0 | 0 | |
Net cash used in investing activities | (84) | (285) | (439) | |
Financing activities | ||||
Proceeds from borrowings | 0 | 0 | 0 | |
Principal payments on borrowings | 0 | 0 | 0 | |
Proceeds from (Repayments of) Short-term Debt | $ 0 | 0 | 0 | |
Debt financing fees | 0 | 0 | ||
Purchase of warrants | 0 | |||
Proceeds from sale of call options | 0 | |||
Payments for Repurchase of Common Stock | $ 0 | 0 | 0 | |
Intercompany loan borrowings | (126) | 293 | ||
Other, net | 285 | 355 | 214 | |
Net cash (used in) provided by financing activities exclusive of vehicle programs | 159 | 355 | 507 | |
Vehicle programs: | ||||
Proceeds from borrowings | 0 | 0 | 0 | |
Principal payments on borrowings | 0 | 0 | 0 | |
Debt financing fees | 0 | 0 | 0 | |
Net cash provided by financing activities of vehicle programs | 0 | 0 | 0 | |
Net cash provided by (used in) financing activities | 159 | 355 | 507 | |
Effect of changes in exchange rates on cash and cash equivalents | 0 | 0 | 0 | |
Net (decrease) increase in cash and cash equivalents | 0 | 0 | 0 | |
Cash and cash equivalents, beginning of period | 0 | 0 | 0 | |
Cash and cash equivalents, end of period | $ 0 | $ 0 | $ 0 | $ 0 |
Schedule Of Selected Quarterly
Schedule Of Selected Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net revenues | $ 1,902 | $ 2,577 | $ 2,173 | $ 1,850 | $ 1,887 | $ 2,542 | $ 2,194 | $ 1,862 | |||
Net income (loss) | $ (5) | $ 184 | $ 143 | $ (9) | $ 23 | $ 192 | $ 26 | $ 4 | |||
Basic Net income (loss) (in dollars per share) | $ (0.06) | $ 1.80 | $ 1.36 | $ (0.09) | $ 0.22 | $ 1.84 | $ 0.25 | $ 0.03 | $ 3.02 | $ 2.32 | $ 0.15 |
Basic weighted average shares outstanding | 99.5 | 102.7 | 105.5 | 106.1 | 106.2 | 103.9 | 105.1 | 106.6 | 103.4 | 105.4 | 107.6 |
Diluted Net income (loss) (in dollars per share) | $ (0.06) | $ 1.77 | $ 1.34 | $ (0.09) | $ 0.21 | $ 1.74 | $ 0.24 | $ 0.03 | $ 2.98 | $ 2.22 | $ 0.15 |
Diluted weighted average shares outstanding | 99.5 | 104 | 106.7 | 106.1 | 108.3 | 109.9 | 111 | 108.6 | 105 | 110.6 | 111.4 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) $ in Millions | Jan. 31, 2016 | Dec. 31, 2015 |
Subsequent Event [Line Items] | ||
Stock Repurchase Program, Authorized Amount | $ 885 | |
Subsequent Event | ||
Subsequent Event [Line Items] | ||
Stock Repurchase Program, Authorized Amount | $ 300 |
Valuation And Qualifying Acc117
Valuation And Qualifying Accounts (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Allowance for Doubtful Accounts | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | $ 34 | $ 50 | $ 40 |
Expensed | 24 | 17 | 15 |
Other Adjustments | (3) | (3) | 10 |
Deductions | (21) | (30) | (15) |
Balance at End of Period | 34 | 34 | 50 |
Tax Valuation Allowance | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Period | 319 | 347 | 298 |
Expensed | 20 | (9) | 27 |
Other Adjustments | 12 | (13) | 22 |
Deductions | 0 | (6) | 0 |
Balance at End of Period | $ 351 | $ 319 | $ 347 |