Segment Information

3 Months Ended

Mar. 31, 2013

Segment Reporting [Abstract]

Segment Information

Segment Information

The reportable segments presented below represent the Company’s operating segments for which separate financial information is available and is utilized on a regular basis by its chief operating decision maker, the Company’s chief executive officer, to assess performance and to allocate resources. In identifying its reportable segments, the Company also considers the nature of services provided by its operating segments, the geographical areas in which the segments operate and other relevant factors. The Company aggregates certain operating segments into its reportable segments. Management evaluates the operating results of each of its reportable segments based upon revenue and “Adjusted EBITDA”, which is defined as income from continuing operations before non-vehicle related depreciation and amortization, any impairment charge, transaction-related costs, non-vehicle related interest and income taxes. The Company’s presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies.

	Three Months Ended March 31,
	2013					2012
	Revenues		Adjusted EBITDA			Revenues		Adjusted EBITDA
North America	$	1,100	$	90		$	1,038	$	93
International	515		14			510		22
Truck Rental	76		(9		)	75		1
Corporate and Other (a)	—		(12		)	—		(4		)
Total Company (b)	$	1,691	83			$	1,623	112
Less: Non-vehicle related depreciation and amortization			34					32
Interest expense related to corporate debt, net:
Interest expense			58					73
Early extinguishment of debt			40					27
Transaction-related costs (c)			8					6
Loss before income taxes			$	(57	)			$	(26	)

__________

^(a)  Includes unallocated corporate overhead and the elimination of transactions between segments.

^(b)  Adjusted EBITDA for the three months ended March 31, 2013 and 2012, includes $10 million and $7 million, respectively, of restructuring expense.

^(c)  During the three months ended March 31, 2013, the Company incurred $8 million in transaction-related costs related to our acquisition of Zipcar and expenses related to the integration of the operations of Avis Europe with the Company’s. During the three months ended March 31, 2012, the Company incurred $6 million in transaction-related costs related to the integration of the operations of Avis Europe.

Since December 31, 2012, there have been no significant changes in segment assets other than in the Company’s North America segment. As of March 31, 2013 and December 31, 2012, North America segment assets under vehicle programs were approximately $8.3 billion and $7.4 billion, respectively, and assets exclusive of assets under vehicle programs were approximately $3.6 billion and $3.1 billion, respectively.