Segment Information

The Company’s chief operating decision-maker assesses performance and allocates resources based upon the separate financial information from each of 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 September 30,
			2017					2016
			Revenues		Adjusted EBITDA			Revenues		Adjusted EBITDA
Americas			$	1,839	$	303		$	1,821	$	306
International			913		194			835		179
Corporate and Other ^(a)			—		(15		)	—		(16		)
	Total Company		$	2,752	$	482		$	2,656	$	469

Reconciliation of Adjusted EBITDA to income before income taxes
					2017					2016
Adjusted EBITDA					$	482				$	469
Less:		Non-vehicle related depreciation and amortization			66					63
		Interest expense related to corporate debt, net			45					51
		Restructuring and other related charges			7					6
		Transaction-related costs, net			—					4
Income before income taxes					$	364				$	345

__________


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



			Nine Months Ended September 30,
			2017					2016
			Revenues		Adjusted EBITDA			Revenues		Adjusted EBITDA
Americas			$	4,718	$	379		$	4,778	$	532
International			2,111		260			2,002		237
Corporate and Other ^(a)			—		(44		)	—		(52		)
	Total Company		$	6,829	$	595		$	6,780	$	717

Reconciliation of Adjusted EBITDA to income before income taxes
					2017					2016
Adjusted EBITDA					$	595				$	717
Less:		Non-vehicle related depreciation and amortization			194					189
		Interest expense related to corporate debt, net			142					157
		Early extinguishment of corporate debt			3					10
		Restructuring and other related charges			52					26
		Transaction-related costs, net			8					13
		Charges for legal matter, net ^(b)			(14		)			—
Income before income taxes					$	210				$	322

__________


^(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 segment assets other than the Company’s International segment assets. As of September 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 $3.5 billion and $2.4 billion, respectively, due to seasonality.