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 charges, restructuring and other related charges, early extinguishment of debt costs, non-vehicle related interest, transaction-related costs, net charges for unprecedented personal-injury legal matters and income taxes. Net charges for unprecedented personal-injury legal matters are recorded within operating expenses in the Company’s Consolidated Condensed Statement of Comprehensive Income. The Company has revised its definition of Adjusted EBITDA to exclude costs associated with the separation of certain officers of the Company and its limited voluntary opportunity plan, which offers certain employees the limited opportunity to elect resignation from employment for enhanced severance benefits. Costs associated with the separation of certain officers and the limited voluntary opportunity plan are recorded as part of restructuring and other related charges in the Company’s Consolidated Condensed Statement of Comprehensive Income. The Company did not revise prior year’s Adjusted EBITDA amounts because there were no costs similar in nature to these costs. The Company’s presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies.



			Three Months Ended June 30,
			2017					2016
			Revenues		Adjusted EBITDA			Revenues		Adjusted EBITDA
Americas			$	1,565	$	96		$	1,593	$	163
International			673		59			650		57
Corporate and Other ^(a)			—		(15		)	—		(16		)
	Total Company		$	2,238	$	140		$	2,243	$	204

Reconciliation of Adjusted EBITDA to income before income taxes
Adjusted EBITDA					$	140				$	204
Less:		Non-vehicle related depreciation and amortization			65					65
		Interest expense related to corporate debt, net			48					56
		Early extinguishment of corporate debt			—					10
		Restructuring and other related charges			38					5
		Transaction-related costs, net			5					5
		Charges for legal matter, net ^(b)			(27		)			—
Income before income taxes					$	11				$	63

__________


^(a)	Includes unallocated corporate overhead which is not attributable to a particular segment.


^(b)	Reported within operating expenses in our Consolidated Condensed Statements of Comprehensive Income.



			Six Months Ended June 30,
			2017					2016
			Revenues		Adjusted EBITDA			Revenues		Adjusted EBITDA
Americas			$	2,879	$	76		$	2,957	$	226
International			1,198		66			1,167		58
Corporate and Other ^(a)			—		(29		)	—		(36		)
	Total Company		$	4,077	$	113		$	4,124	$	248

Reconciliation of Adjusted EBITDA to loss before income taxes
Adjusted EBITDA					$	113				$	248
Less:		Non-vehicle related depreciation and amortization			128					126
		Interest expense related to corporate debt, net			97					106
		Early extinguishment of corporate debt			3					10
		Restructuring and other related charges			45					20
		Transaction-related costs, net			8					9
		Charges for legal matter, net ^(b)			(14		)			—
Loss before income taxes					$	(154	)			$	(23	)

__________


^(a)	Includes unallocated corporate overhead which is not attributable to a particular segment.


^(b)	Reported within operating expenses in our Consolidated Condensed Statements of Comprehensive Income.

Since December 31, 2016, there have been no significant changes in Americas segment assets exclusive of assets under vehicle programs, and as of June 30, 2017 and December 31, 2016, Americas segment assets under vehicle programs were approximately $10.6 billion and $9.2 billion, respectively. As of June 30, 2017 and December 31, 2016, International segment assets exclusive of assets under vehicle programs were approximately $2.6 billion and $2.0 billion, respectively, and International segment assets under vehicle programs were approximately $3.3 billion and $2.4 billion, respectively.