
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