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 revenues and “Adjusted EBITDA,” which the Company defines as income (loss) 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, non-operational charges related to shareholder activist activity 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. Non-operational charges related to shareholder activist activity include third party advisory, legal and other professional service fees and are recorded within selling, general and administrative expenses in the Company’s Consolidated Condensed Statement of Comprehensive Income. The Company’s presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies.



			Three Months Ended March 31,
			2019					2018
			Revenues		Adjusted EBITDA			Revenues		Adjusted EBITDA
Americas			$	1,327	$	35		$	1,348	$	15
International			593		(21		)	620		3
Corporate and Other ^(a)			—		(15		)	—		(16		)
	Total Company		$	1,920	$	(1	)	$	1,968	$	2

Reconciliation of Adjusted EBITDA to loss before income taxes
					2019					2018
Adjusted EBITDA					$	(1	)			$	2
Less:		Non-vehicle related depreciation and amortization			67					61
		Interest expense related to corporate debt, net:
		Interest expense			42					46
		Early extinguishment of debt			—					5
		Restructuring and other related charges			21					6
		Transaction-related costs, net			5					4
		Non-operational charges related to shareholder activist activity			—					9
Loss before income taxes					$	(136	)			$	(129	)

__________


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

As of March 31, 2019 and December 31, 2018, Americas’ segment assets exclusive of assets under vehicle programs were approximately $5.8 billion and $3.8 billion, respectively, and International segment assets exclusive of assets under vehicle programs were approximately $3.0 billion and $2.5 billion, respectively. The increases in assets exclusive of assets under vehicle programs is due to the adoption of ASU 2016-02 (see Note 1-Basis of Presentation).

As of March 31, 2019 and December 31, 2018, Americas’ assets under vehicle programs were approximately $11.0 billion and $9.7 billion, due to seasonality. Since December 31, 2018, there have been no significant changes in International segment assets under vehicle programs.