Debt Under Vehicle Programs and Borrowing Arrangements

6 Months Ended

Jun. 30, 2015

Debt Under Vehicle Programs and Borrowing Arrangements

Debt under vehicle programs including related party debt due to Avis Budget Rental Car Funding (AESOP) LLC (“Avis Budget Rental Car Funding”), consisted of:



	As of		As of
	June 30,		December 31,
	2015		2014
Americas - Debt due to Avis Budget Rental Car Funding ^(a)	$	8,350	$	6,340
Americas - Debt borrowings ^{(a) (b)}	946		746
International - Debt borrowings ^{(a) (c)}	1,476		685
International - Capital leases	304		314
Other	10		31
Total	$	11,086	$	8,116

__________


^(a)	The increase reflects additional borrowings principally to fund increases in the Company’s car rental fleet.


^(b)	The increase also includes additional borrowings related to the acquisition of Brazil.


^(c)	The increase also includes additional borrowings related to the acquisition of Maggiore.

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 June 30, 2015.



	Debt Under Vehicle Programs
Within 1 year ^(a)	$	1,348
Between 1 and 2 years	4,340
Between 2 and 3 years	1,344
Between 3 and 4 years	1,842
Between 4 and 5 years	1,363
Thereafter	849
Total	$	11,086

__________


^(a)	Vehicle-backed debt maturing within one year primarily represents term asset-backed securities.

COMMITTED CREDIT FACILITIES AND AVAILABLE FUNDING ARRANGEMENTS

As of June 30, 2015, available funding under the Company’s vehicle programs (including related party debt due to Avis Budget Rental Car Funding) consisted of:



	Total Capacity ^(a)		Outstanding Borrowings		Available Capacity
Americas - Debt due to Avis Budget Rental Car Funding ^(b)	$	9,650	$	8,350	$	1,300
Americas - Debt borrowings ^(c)	1,102		946		156
International - Debt borrowings ^(d)	2,183		1,476		707
International - Capital leases ^(e)	326		304		22
Other	10		10		—
Total	$	13,271	$	11,086	$	2,185

__________


^(a)	Capacity is subject to maintaining sufficient assets to collateralize debt.


^(b)	The outstanding debt is collateralized by approximately $9.9 billion of underlying vehicles and related assets.


^(c)	The outstanding debt is collateralized by approximately $1.2 billion of underlying vehicles and related assets.


^(d)	The outstanding debt is collateralized by approximately $1.8 billion of underlying vehicles and related assets.


^(e)	The outstanding debt is collateralized by approximately $0.3 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 June 30, 2015, the Company is not aware of any instances of non-compliance with any of the financial covenants contained in the debt agreements under its vehicle-backed funding programs.