Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2019	Apr. 30, 2019
Document Documentand Entity Information [Abstract]
Document Period End Date	Mar. 31, 2019
Document Type	10-Q
Amendment Flag	false
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Trading Symbol	CAR
Entity Registrant Name	AVIS BUDGET GROUP, INC.
Entity Central Index Key	0000723612
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		75,912,038

CONSOLIDATED CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Revenues
Revenues	$ 1,920	$ 1,968
Expenses
Operating	1,071	1,092
Vehicle depreciation and lease charges, net	485	515
Selling, general and administrative	284	296
Vehicle interest, net	81	72
Non-vehicle related depreciation and amortization	67	61
Interest expense	42	46
Early extinguishment of debt	0	5
Restructuring and other related charges	21	6
Transaction-related costs, net	5	4
Total expenses	2,056	2,097
Loss before income taxes	(136)	(129)
Benefit from income taxes	(45)	(42)
Net loss	(91)	(87)
Comprehensive loss	$ (96)	$ (79)
Loss per share
Basic	$ (1.20)	$ (1.08)
Diluted	$ (1.20)	$ (1.08)

CONSOLIDATED CONDENSED BALANCE SHEETS - USD ($) $ in Millions	Mar. 31, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 540	$ 615
Receivables, net	915	955
Other current assets	682	604
Total current assets	2,137	2,174
Property and equipment, net	737	736
Operating lease right-of-use assets	2,506	0
Deferred income taxes	1,389	1,301
Goodwill	1,086	1,092
Other intangibles, net	809	825
Other non-current assets	258	242
Total assets exclusive of assets under vehicle programs	8,922	6,370
Assets under vehicle programs:
Program cash	131	115
Vehicles, net	12,585	11,474
Receivables from vehicle manufacturers and other	627	631
Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party	637	559
Total assets under vehicle programs:	13,980	12,779
Total assets	22,902	19,149
Current liabilities:
Accounts payable and other current liabilities	2,235	1,693
Short-term debt and current portion of long-term debt	23	23
Total current liabilities	2,258	1,716
Long-term debt	3,501	3,528
Long-term operating lease liabilities	2,046	0
Other non-current liabilities	739	767
Total liabilities exclusive of liabilities under vehicle programs	8,544	6,011
Liabilities under vehicle programs:
Debt	2,665	2,874
Debt due to Avis Budget Rental Car Funding (AESOP) LLC—related party	8,540	7,358
Deferred income taxes	1,995	1,961
Other	834	531
Total Liabilities under vehicle programs	14,034	12,724
Commitments and contingencies (Note 12)
Stockholders’ equity:
Preferred stock, $0.01 par value—authorized 10 shares; none issued and outstanding, respectively	0	0
Common stock, $0.01 par value—authorized 250 shares; issued 137 shares, respectively	1	1
Additional paid-in capital	6,737	6,771
Accumulated deficit	(1,178)	(1,091)
Accumulated other comprehensive loss	(137)	(133)
Treasury stock, at cost—61 shares, respectively	(5,099)	(5,134)
Total stockholders’ equity	324	414
Total liabilities and stockholders’ equity	$ 22,902	$ 19,149

CONSOLIDATED CONDENSED BALANCE SHEETS (Parenthetical) - $ / shares shares in Millions	Mar. 31, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	10	10
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	250	250
Common stock, shares issued	137	137
Treasury stock, shares	61	61

CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Statement of Cash Flows [Abstract]
Document Fiscal Year Focus	2019
Operating activities
Net loss	$ (91)	$ (87)
Adjustments to reconcile net loss to net cash provided by operating activities:
Vehicle depreciation	436	460
Amortization of right-of-use assets	215	0
(Gain) loss on sale of vehicles, net	(8)	(1)
Non-vehicle related depreciation and amortization	67	61
Stock-based compensation	5	5
Amortization of debt financing fees	8	8
Early extinguishment of debt	0	5
Net change in assets and liabilities:
Receivables	2	16
Income taxes and deferred income taxes	(51)	(44)
Accounts payable and other current liabilities	97	109
Operating lease liabilities	(216)	0
Other, net	(24)	(29)
Net cash provided by operating activities	440	503
Investing activities
Property and equipment additions	(57)	(57)
Proceeds received on asset sales	2	4
Net assets acquired (net of cash acquired)	5	10
Other, net	(3)	(19)
Net cash used in investing activities exclusive of vehicle programs	(63)	(82)
Vehicle programs:
Investment in vehicles	(4,376)	(4,226)
Proceeds received on disposition of vehicles	3,083	2,572
Repayments of Related Party Debt	(78)	0
Net cash used in investing activities of vehicle programs	1,371	1,654
Net cash used in investing activities	(1,434)	(1,736)
Financing activities
Proceeds from long-term borrowings	0	81
Payments on long-term borrowings	(5)	(89)
Proceeds from (Repayments of) Short-term Debt	0	(1)
Repurchases of common stock	(4)	(14)
Debt financing fees	0	(8)
Other, net	0	1
Net cash used in financing activities exclusive of vehicle programs	(9)	(30)
Vehicle programs:
Proceeds from borrowings	5,989	5,100
Payments on borrowings	(5,038)	(4,045)
Debt financing fees	(5)	(1)
Net cash provided by financing activities of vehicle programs	946	1,054
Net cash provided by financing activities	937	1,024
Effect of changes in exchange rates on cash and cash equivalents, program and restricted cash	(2)	9
Net decrease in cash and cash equivalents, program and restricted cash	(59)	(200)
Cash and cash equivalents, program and restricted cash, beginning of period	735	901
Cash and cash equivalents, program and restricted cash, end of period	$ 676	$ 701

CONSOLIDATED CONDENSED STATEMENTS OF STOCKHOLDERS' EQUITY Statement - USD ($) shares in Thousands, $ in Millions	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Treasury Stock [Member]
Stockholders Equity [Line Items]
Shares, Issued		(137,100)				56,300
Total stockholders’ equity	$ 573	$ 1	$ 6,820	$ (1,222)	$ (24)	$ (5,002)
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets	(41)			(35)	(6)
Net loss	(87)
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest	(79)
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period			(27)			$ 27
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period						200
Stock Issued During Period, Value, Stock Options Exercised	2		(13)			$ 15
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period						200
Other Comprehensive Income (Loss), Net of Tax					8
Shares, Issued		(137,100)				(55,900)
Total stockholders’ equity	455	$ 1	6,780	(1,344)	(22)	$ (4,960)
Shares, Issued		(137,100)				(61,500)
Total stockholders’ equity	414	$ 1	6,771	(1,091)	(133)	$ (5,134)
New Accounting Pronouncement or Change in Accounting Principle, Cumulative Effect of Change on Equity or Net Assets	5			4	1
Net loss	(91)
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest	(96)
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period	$ 1		(29)			$ (30)
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period						300
Stock Issued During Period, Value, Stock Options Exercised			(5)			$ 5
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period	57					100
Other Comprehensive Income (Loss), Net of Tax					(5)
Shares, Issued		(137,100)				61,100
Total stockholders’ equity	$ 324	$ 1	$ 6,737	$ (1,178)	$ (137)	$ (5,099)

Basis of Presentation Basis of Presentation (Notes)

3 Months Ended

Mar. 31, 2019

Basis of Presentation [Abstract]

Basis of Presentation and Significant Accounting Policies [Text Block]

Basis of Presentation

Avis Budget Group, Inc. provides mobility solutions to businesses and consumers worldwide. The accompanying unaudited Consolidated Condensed Financial Statements include the accounts and transactions of Avis Budget Group, Inc. and its subsidiaries, as well as entities in which Avis Budget Group, Inc. directly or indirectly has a controlling financial interest (collectively, the “Company”), and have been prepared pursuant to the rules and regulations of the U.S. Securities and Exchange Commission for interim financial reporting.

The Company operates the following reportable business segments:


•	Americas—consisting primarily of (i) vehicle rental operations in North America, South America, Central America and the Caribbean, (ii) car sharing operations in certain of these markets, and (iii) licensees in the areas in which the Company does not operate directly.


•	International—consisting primarily of (i) vehicle rental operations in Europe, the Middle East, Africa, Asia and Australasia, (ii) car sharing operations in certain of these markets, and (iii) licensees in the areas in which the Company does not operate directly.

The operating results of acquired businesses are included in the accompanying Consolidated Condensed Financial Statements from the dates of acquisition. The fair value of the assets acquired and liabilities assumed in connection with the Company’s 2018 acquisitions of Turiscar Group, Morini S.p.A and various licensees in Europe and North America have not yet been finalized; however, there have been no significant changes to the preliminary allocation of the purchase price during the three months ended March 31, 2019.

In presenting the Consolidated Condensed Financial Statements in accordance with accounting principles generally accepted in the United States of America (“GAAP”), management makes estimates and assumptions that affect the amounts reported and related disclosures. Estimates, by their nature, are based on judgment and available information. Accordingly, actual results could differ from those estimates. In management’s opinion, the Consolidated Condensed Financial Statements contain all adjustments necessary for a fair presentation of interim results reported. The results of operations reported for interim periods are not necessarily indicative of the results of operations for the entire year or any subsequent interim period. These financial statements should be read in conjunction with the Company’s 2018 Form 10-K.

Summary of Significant Accounting Policies

The Company’s significant accounting policies are fully described in Note 2, “Summary of Significant Accounting Policies,” in the Company’s Annual Report on Form 10-K for fiscal year 2018.

Cash and cash equivalents, Program cash and Restricted cash. The following table provides a detail of cash and cash equivalents, program and restricted cash reported within the Consolidated Condensed Balance Sheets to the amounts shown in the Consolidated Condensed Statements of Cash Flows.



	As of March 31,
	2019		2018
Cash and cash equivalents	$	540	$	544
Program cash	131		147
Restricted cash ^(a)	5		10
Total cash and cash equivalents, program and restricted cash	$	676	$	701

________


^(a)	Included within other current assets.

Vehicle Programs. The Company presents separately the financial data of its vehicle programs. These programs are distinct from the Company’s other activities since the assets under vehicle programs are generally funded through the issuance of debt that is collateralized by such assets. The income generated by these assets is used, in part, to repay the principal and interest associated with the debt. Cash inflows and outflows relating to the acquisition of such assets and the principal debt repayment or financing of such assets are classified as activities of the Company’s vehicle programs. The Company believes it is appropriate to segregate the financial data of its vehicle programs because, ultimately, the source of repayment of such debt is the realization of such assets.

Transaction-related costs, net. Transaction-related costs, net are classified separately in the Consolidated Condensed Statements of Comprehensive Income. These costs are comprised of expenses related to acquisition-related activities such as due diligence and other advisory costs, expenses related to the integration of the acquiree’s operations with those of the Company, including the implementation of best practices and process improvements, non-cash gains and losses related to re-acquired rights, expenses related to pre-acquisition contingencies and contingent consideration related to acquisitions.

Currency Transactions. The Company records the gain or loss on foreign-currency transactions on certain intercompany loans and the gain or loss on intercompany loan hedges within interest expense related to corporate debt, net. During the three months ended March 31, 2019 and 2018, the Company recorded a gain of $5 million and $1 million, respectively, related to such items.

Divestitures. During 2018, the Company, entered into a definitive stock purchase agreement “Purchase Agreement” to sell the Company’s 50% equity method investment in Anji Car Rental & Leasing Company Limited (“Anji”), located in China, to Shanghai Automotive Industry Sales Company, Ltd., a 50% owner of Anji. Anji’s operations are reported within the Company’s International segment. The sale closed in the second quarter of 2019 upon receiving clearance from applicable regulatory authorities in China (see Note 18 - Subsequent Events). As of March 31, 2019 and December 31, 2018, the carrying value of the Company’s 50% equity method investment in Anji was $24 million and $25 million, respectively, and is recorded as assets held for sale, which is included in other non-current assets on the Consolidated Condensed Balance Sheets.

Other Investments. In March 2018, the Company made an initial equity investment of $20 million in its licensee in Greece (“Greece”), for a 20% ownership stake. In June 2018, the Company purchased an additional 20% ownership stake for $19 million, including an acceleration premium. The Company’s equity investment is recorded within other non-current assets. The Company’s share of Greece’s results are reported within operating expenses and were not material for the three months ended March 31, 2019 and 2018.

Nonmarketable Equity Securities. As of March 31, 2019 and December 31, 2018, the Company’s carrying amount of nonmarketable equity securities was $20 million and $8 million, respectively, and are recorded within other non-current assets. During the three months ended March 31, 2019, the Company recorded a $12 million favorable adjustment to the carrying amount of nonmarketable equity securities within operating expenses. No adjustments were made to the carrying amount during the three months ended March 31, 2018.

Revenues. From January 1, 2018 through December 31, 2018, the Company’s revenues were recognized in accordance with ASU 2014-09, “Revenue from Contracts with Customers (Topic 606)”. Effective January 1, 2019, revenues are recognized under ASU 2016-02, “Leases (Topic 842)” with the exception of royalty fee revenue derived from the Company’s licensees and revenue related to the Company’s customer loyalty program, which was approximately $30 million during the three months ended March 31, 2019. The following table presents the Company’s revenues disaggregated by geography.



	Three Months Ended March 31,
	2019		2018
Americas	$	1,327	$	1,348
Europe, Middle East and Africa	433		447
Asia and Australasia	160		173
Total revenues	$	1,920	$	1,968

The following table presents the Company’s revenues disaggregated by brand.



	Three Months Ended March 31,
	2019		2018
Avis	$	1,100	$	1,145
Budget	651		642
Other	169		181
Total revenues	$	1,920	$	1,968

________

Other includes Zipcar and other operating brands.

Deferred Revenue. The following table presents changes in deferred revenue associated with the Company’s customer loyalty program.



	Three Months Ended March 31,
	2019			2018
Balance, January 1	$	64		$	69
Revenue deferred	5			7
Revenue recognized	(6		)	(4		)
Balance, March 31	$	63		$	72

_______

At March 31, 2019 and 2018, $18 million was included in accounts payable and other current liabilities, in each period, and $45 million and $54 million, respectively, in other non-current liabilities. Non-current amounts are expected to be recognized as revenue within two to three years.

At January 1, 2018, the Company’s prepaid rentals and membership fees related to its car sharing business were $125 million. During the three months ended March 31, 2018, additional revenues of $412 million were deferred and revenues of $359 million were recognized. At March 31, 2018, the ending prepaid rentals and car sharing membership fees were $178 million, of which $176 million was included in accounts payable and other current liabilities and $2 million was included in other non-current liabilities.

Adoption of New Accounting Pronouncements

Nonemployee Share-Based Payment Accounting

On January 1, 2019, as a result of a new accounting pronouncement, the Company adopted Accounting Standards Update (“ASU”) 2018-02, “Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting,” which simplifies the accounting for share-based payments granted to nonemployees for goods and services and aligns most of the guidance on such payments to nonemployees with the requirements for share-based payments granted to employees. The adoption of this accounting pronouncement did not have an impact on the Company's Consolidated Condensed Financial Statements.

Accounting for Hedging Activities

On January 1, 2019, as the result of a new accounting pronouncement, the Company adopted ASU 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities,” which amends the existing guidance to allow companies to more accurately present the economic results of an entity’s risk management activities in the financial statements. The adoption of this standard did not have a material impact on the Company’s Consolidated Condensed Financial Statements.

Leases

On January 1, 2019, as the result of a new accounting pronouncement, the Company adopted Topic 842 along with related updates, which require a lessee to recognize all long-term leases on its balance sheet as a liability for its lease obligation, measured at the present value of lease payments not yet paid, and a corresponding asset representing its right to use the underlying asset over the lease term and expands disclosure of key information about leasing arrangements. Topic 842 does not significantly change a lessee’s recognition, measurement and presentation of expenses and cash flows. Additionally, Topic 842 aligns key aspects of lessor accounting with the revenue recognition guidance in Topic 606.

The Company elected available practical expedients for existing or expired contracts of lessees and lessors wherein the Company is not required to reassess whether such contracts contain leases, the lease classification or the initial direct costs. The Company is not utilizing the practical expedient which allows the use of hindsight by lessees and lessors in determining the lease term and in assessing impairment of its right-of-use (“ROU”) assets. Additionally, the Company elected as accounting policies to not recognize ROU assets or lease liabilities for short-term leases (i.e. those with a term of 12 months or less at lease commencement) and, by class of underlying asset, to combine lease and nonlease components in the contract. The Company utilized the transition method allowing entities to only apply the new lease standard in the year of adoption.

Lessor

The Company has determined that revenues derived by providing vehicle rentals and other related products and mobility services to customers are within the scope of the accounting guidance contained in Topic 842 with the exception of royalty fee revenue derived from the Company’s licensees and revenue related to the Company’s customer loyalty program. The Company’s rental related revenues have been accounted for under the revenue accounting standard Topic 606, until the adoption of Topic 842.

The Company excludes from the measurement of its lease revenues any tax assessed by a governmental authority that is both imposed on and concurrent with a specific revenue-producing transaction and collected from a customer. As a result, lease revenues exclude such taxes collected. Fees collected from customers for which the Company is the primary obligor such as airport concessions and vehicle licensing are recorded within revenues and corresponding remittances of these fees by the Company are recorded within operating expenses.

Lessee

The Company determines if an arrangement is a lease at inception. Operating leases, other than those associated with the Company’s vehicle rental programs, are included in operating lease ROU assets, accounts payable and other current liabilities, and long-term operating lease liabilities in the Company’s Consolidated Condensed Balance Sheets. Finance leases, other than those associated with the Company’s vehicle rental programs, are included in property and equipment, net, short-term debt and current portion of long-term debt, and long-term debt in the Company’s Consolidated Condensed Balance Sheets.

ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on information available at commencement date in determining the present value of lease payments. The operating lease ROU assets are reduced by any lease incentives. The Company’s lease terms may include options to extend or terminate the lease, which are included in the calculation of ROU assets when it is reasonably certain that the Company will exercise those options. Lease expense for lease payments is usually recognized on a straight-line basis over the lease term.

The Company has lease agreements with lease and non-lease components, which are generally not accounted for separately. Additionally, for certain leases, the Company applies a portfolio approach to account for the operating lease ROU assets and liabilities as the leases are similar in nature and have nearly identical contract provisions.

Adoption of this standard resulted in most of the Company’s operating lease commitments being recognized as operating lease liabilities and right-of-use assets, which increased total assets and total liabilities by approximately $2,811 million related to property operating leases and $183 million related to vehicle operating leases. The Company recorded a beginning accumulated deficit adjustment of $5 million, net of tax, related to the adoption of this standard.

Recently Issued Accounting Pronouncements

Intangibles—Goodwill and Other—Internal—Use Software

In August 2018, the Financial Accounting Standards Board (“FASB”) issued ASU 2018-15 “Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement That Is a Service Contract”, which provides guidance for determining when the arrangement includes a software license. The amendments align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal use software (and hosting arrangements that include an internal use software license). The amendments in this update also require the entity to expense the capitalized implementation costs of a hosting arrangement that is a service contract over the term of the hosting arrangement, to present the expense in the same line in its statement of income as the fees associated with the hosting element (service) of the arrangement and classify payments for capitalized implementation costs in its statement of cash flows in the same manner as payments made for fees associated with the hosting element. The entity is also required to present the capitalized implementation costs in its balance sheet in the same line that a prepayment for the fees of the associated hosting arrangement would be presented. ASU 2018-15 becomes effective for the Company on January 1, 2020. Early adoption is permitted. The Company is currently evaluating the impact of adopting this accounting pronouncement on its Consolidated Condensed Financial Statements.

Compensation—Retirement Benefits—Defined Benefit Plans

In August 2018, the FASB issued ASU 2018-14, “Disclosure Framework—Changes to the Disclosure Requirements for Defined Benefit Plans,” which adds, removes, and clarifies disclosure requirements related to defined benefit pension and other postretirement plans. These changes are part of the FASB’s disclosure framework project, which the Board launched in 2014 to improve the effectiveness of disclosures in notes to financial statements. ASU 2018-14 becomes effective for the Company on January 1, 2021. Early adoption is permitted. The adoption of this accounting pronouncement is not expected to have a material impact on the Company's Consolidated Condensed Financial Statements.

Fair Value Measurement

In August 2018, the FASB issued ASU 2018-13, “Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement,” which adds, removes, and modifies disclosure requirements related to fair value measurements. ASU 2018-13 becomes effective for the Company on January 1, 2020. Early adoption is permitted. The adoption of this accounting pronouncement is not expected to have a material impact on the Company's Consolidated Condensed Financial Statements.

Measurement of Credit Losses on Financial Instruments

In June 2016, the FASB issued ASU 2016-13, “Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which sets forth a current expected credit loss impairment model for financial assets that replaces the current incurred loss model. This model requires a financial asset (or group of financial assets), including trade receivables, measured at amortized cost to be presented at the net amount expected to be collected with an allowance for credit losses deducted from the amortized cost basis. The allowance for credit losses should reflect management’s current estimate of credit losses that are expected to occur over the remaining life of a financial asset. ASU 2016-13 becomes effective for the Company on January 1, 2020. Early adoption is permitted as of January 1, 2019. The adoption of this accounting pronouncement is not expected to have a material impact on the Company's Consolidated Condensed Financial Statements.

Leases (Notes)

3 Months Ended

Mar. 31, 2019

Leases [Abstract]

Leases [Text Block]


2.	Leases

Lessor

For periods after January 1, 2019, the Company combines all lease and nonlease components of its vehicle rental contracts for which the timing and pattern of transfer are the same and the lease component meets the classification of an operating lease, and accounts for them in accordance with Topic 842. The Company derives revenues primarily by providing vehicle rentals and other related products and mobility services to commercial and leisure customers. Other related products and mobility services include sales of collision and loss damage waivers under which a customer is relieved from financial responsibility arising from vehicle damage incurred during the rental; products and services for driving convenience such as fuel service options, chauffeur drive services, roadside safety net, electronic toll collection, tablet rentals, access to satellite radio, portable navigation units and child safety seat rentals; and rentals of other supplemental items including automobile towing equipment and other moving accessories and supplies. The Company also receives payment from customers for certain operating expenses that it incurs, including airport concession fees that are paid by the Company in exchange for the right to operate at airports and other locations, as well as vehicle licensing fees. Vehicle rentals and other related products and mobility services are recognized evenly over the period of rental, which is on average four days. In addition, the Company collects membership leasing fees in connection with its car sharing business. Membership leasing fees are generally nonrefundable, are deferred and recognized ratably over the period of membership.

The following table presents the Company’s lease revenues disaggregated by geography.



	Three Months Ended March 31, 2019
Americas	$	1,319
Europe, Middle East and Africa	414
Asia and Australasia	157
Total lease revenues	$	1,890

The following table presents the Company’s lease revenues disaggregated by brand.



	Three Months Ended March 31, 2019
Avis	$	1,083
Budget	640
Other	167
Total lease revenues	$	1,890

________

Other includes Zipcar and other operating brands.

Lessee

The Company has operating and finance leases for rental locations, corporate offices, vehicle rental fleet and equipment. Many of the Company’s operating leases for rental locations contain concession agreements with various airport authorities that allow the Company to conduct its vehicle rental operations on site. In general, concession fees for airport locations are based on a percentage of total commissionable revenue (as defined by each airport authority), some of which are subject to minimum annual guaranteed amounts. Concession fees other than minimum annual guaranteed amounts are not included in the measurement of operating lease ROU assets and operating lease liabilities, and are recorded as variable lease expense as incurred. The Company’s operating leases for rental locations often also require the Company to pay or reimburse operating expenses.

The Company leases a portion of its vehicles under operating leases, some of which extend through 2025. As of March 31, 2019, the Company has guaranteed up to $292 million of residual values for these vehicles at the end of their respective lease terms. The Company believes that, based on current market conditions, the net proceeds from the sale of these vehicles at the end of their lease terms will equal or exceed their net book values and therefore has not recorded a liability related to guaranteed residual values.

The components of lease expense are as follows:



	Three Months Ended March 31, 2019
Property leases ^(a)
Operating lease expense	$	177
Variable lease expense	51
Total property lease expense	$	228

Vehicle leases
Finance lease expense:
Amortization of ROU assets ^(b)	$	11
Interest on lease liabilities ^(c)	1
Operating lease expense ^(b)	57
Total vehicle lease expense	$	69

__________


^(a)	Primarily included in operating expense.


^(b)	Included in vehicle depreciation and lease charges, net.


^(c)	Included in vehicle interest, net.

Supplemental balance sheet information related to leases is as follows:



	As of March 31, 2019
Property leases
Operating lease ROU assets	$	2,506

Short-term operating lease liabilities ^(a)	$	474
Long-term operating lease liabilities	2,046
Operating lease liabilities	$	2,520

Weighted average remaining lease term	9.5 years
Weighted average discount rate	4.58		%

Vehicle leases
Finance
Finance lease ROU assets, gross	$	282
Accumulated amortization	(50		)
Finance lease ROU assets, net ^(b)	$	232

Short-term vehicle finance lease liabilities	$	82
Long-term vehicle finance lease liabilities	117
Vehicle finance lease liabilities^(c)	$	199

Weighted average remaining lease term	1.8 years
Weighted average discount rate	1.40		%

Operating
Vehicle operating lease ROU assets ^(d)	$	147

Short-term vehicle operating lease liabilities	$	82
Long-term vehicle operating lease liabilities	65
Vehicle operating lease liabilities ^(e)	$	147

Weighted average remaining lease term	2.8 years
Weighted average discount rate	3.09		%

Other leases
Finance property and equipment lease ROU assets, gross	$	25
Accumulated amortization	(2		)
Finance property and equipment lease ROU assets, net ^(f)	$	23

Short-term finance lease liabilities ^(g)	$	8
Long-term finance lease liabilities ^(h)	15
Finance lease liabilities	$	23

Weighted average remaining lease term	4.0 years
Weighted average discount rate	5.86		%

_________


^(a)	Included in Accounts payable and other current liabilities.


^(b)	Included in Vehicles, net within Assets under vehicle programs.


^(c)	Included in Debt within Liabilities under vehicle programs.


^(d)	Included in Receivables from vehicle manufacturers and other within Assets under vehicle programs.


^(e)	Included in Other within Liabilities under vehicle programs.


^(f)	Included in Property and equipment, net.


^(g)	Included in Short-term debt and current portion of long-term debt.


^(h)	Included in Long-term debt.

Supplemental cash flow information related to leases is as follows:



	Three Months Ended March 31, 2019
Cash payments for lease liabilities within operating activities:
Property operating leases	$	189
Vehicle operating leases	27
Vehicle finance leases	1
Cash payments for lease liabilities within financing activities:
Vehicle finance leases	38
Non-cash activities - increase (decrease) in ROU assets in exchange for lease liabilities:
Property operating leases ^(a)	(113		)
Vehicle operating leases ^(a)	(8		)
Vehicle finance leases	35

_________


^(a)	ROU assets obtained in exchange for lease liabilities from initial recognition.

Maturities of lease liabilities as of March 31, 2019 are as follows:



	Property Operating leases			Vehicle Finance leases		Vehicle Operating leases			Other Finance leases
Within 1 year	$	615		$	82	$	87		$	9
Between 1 and 2 years	404			12		43			6
Between 2 and 3 years	359			100		16			3
Between 3 and 4 years	304			5		6			3
Between 4 and 5 years	252			—		—			2
Thereafter	1,220			—		—			3
Total lease payments	3,154			199		152			26
Less: imputed interest	(634		)	—		(5		)	(3		)
Total	$	2,520		$	199	$	147		$	23

Future minimum lease payments required under noncancelable operating leases, including minimum concession fees charged by airport authorities, which in many locations are recoverable from vehicle rental customers, as of December 31, 2018, were as follows:



	Amount
2019	$	835
2020	476
2021	345
2022	253
2023	162
Thereafter	590
	$	2,661

Restructuring

3 Months Ended

Mar. 31, 2019

Restructuring and Related Activities [Abstract]

Restructuring Activities


3.	Restructuring and Other Related Charges

Restructuring

During first quarter 2019, the Company initiated a restructuring plan to drive global efficiency by improving processes and consolidating functions, and to create new objectives and strategies for its U.S. truck rental operations by reducing headcount, large vehicles and rental locations (“T19”). During the three months ended March 31, 2019, as part of this process, the Company formally communicated the termination of employment to approximately 160 employees, and as of March 31, 2019, the Company had terminated approximately 130 of these employees. The Company expects further restructuring expense of approximately $40 million related to this initiative to be incurred in 2019.

During first quarter 2018, the Company initiated a strategic restructuring plan to improve processes and reduce headcount in response to its new workforce planning technology that allows more effective management of staff levels (“Workforce planning”). The costs associated with this initiative primarily represent severance, outplacement services and other costs associated with employee terminations, the majority of which have been settled in cash. This initiative is complete.

The following tables summarize the changes to our restructuring-related liabilities and identify the amounts recorded within the Company’s reporting segments for restructuring charges and corresponding payments and utilizations:



		Americas			International			Total
Balance as of January 1, 2019		$	—		$	2		$	2
	Restructuring expense:
	T19	14			4			18
	Restructuring payment/utilization:
	T19	(14		)	(2		)	(16		)
	Workforce planning	—			(1		)	(1		)
Balance as of March 31, 2019		$	—		$	3		$	3

		Personnel Related			Other ^(a)			Total
Balance as of January 1, 2019		$	1		$	1		$	2
	Restructuring expense:
	T19	8			10			18
	Restructuring payment/utilization:
	T19	(7		)	(9		)	(16		)
	Workforce planning	(1		)	—			(1		)
Balance as of March 31, 2019		$	1		$	2		$	3

__________


^(a)	Includes expenses primarily related to the disposition of vehicles.

Other Related Charges

Officer Separation Costs

On March 18, 2019, the Company announced the resignation of Mark J. Servodidio as the Company’s President, International effective June 14, 2019. In connection with Mr. Servodidio’s departure, the Company recorded other related charges of approximately $3 million, inclusive of accelerated stock-based compensation expense.

Intangible Assets

3 Months Ended

Mar. 31, 2019

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets

Intangible assets consisted of:



	As of March 31, 2019						As of December 31, 2018
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Amortized Intangible Assets
License agreements	$	306	$	177	$	129	$	305	$	168	$	137
Customer relationships	248		145		103		251		141		110
Other	51		22		29		52		21		31
Total	$	605	$	344	$	261	$	608	$	330	$	278

Unamortized Intangible Assets
Goodwill ^(a)	$	1,086					$	1,092
Trademarks	$	548					$	547

__________


^(a)	The change in the carrying amount since December 31, 2018, primarily reflects currency translation.

For the three months ended March 31, 2019 and 2018, amortization expense related to amortizable intangible assets was approximately $17 million and $14 million, respectively. Based on the Company’s amortizable intangible assets at March 31, 2019, the Company expects amortization expense of approximately $41 million for the remainder of 2019, $48 million for 2020, $34 million for 2021, $25 million for 2022, $22 million for 2023 and $20 million for 2024, excluding effects of currency exchange rates.

Vehicle Rental Activities

3 Months Ended

Mar. 31, 2019

Vehicle Rental Activities [Abstract]

Vehicle Rental Activities

The components of vehicles, net within assets under vehicle programs were as follows:



	As of			As of
	March 31,			December 31,
	2019			2018
Rental vehicles	$	13,601		$	12,548
Less: Accumulated depreciation	(1,480		)	(1,670		)
	12,121			10,878
Vehicles held for sale	464			596
Vehicles, net	$	12,585		$	11,474

The components of vehicle depreciation and lease charges, net are summarized below:



	Three Months Ended March 31,
	2019			2018
Depreciation expense	$	436		$	460
Lease charges	57			56
(Gain) loss on sale of vehicles, net	(8		)	(1		)
Vehicle depreciation and lease charges, net	$	485		$	515

At March 31, 2019 and 2018, the Company had payables related to vehicle purchases included in liabilities under vehicle programs - other of $632 million and $641 million, respectively, and receivables related to vehicle sales included in assets under vehicle programs - receivables from vehicle manufacturers and other of $474 million and $329 million, respectively.

Income Taxes

3 Months Ended

Mar. 31, 2019

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]


8.	Income Taxes

The Company’s effective tax rate for the three months ended March 31, 2019 was a benefit of 33.1%. Such rate differed from the Federal statutory rate of 21.0% primarily due to foreign taxes on our international operations and state taxes.

The Company’s effective tax rate for the three months ended March 31, 2018 was a benefit of 32.6%. Such rate differed from the Federal statutory rate of 21.0% primarily due to U.S. and foreign taxes on our international operations and state taxes. Tax benefits associated with stock-based compensation increased the benefit for income taxes recorded in the period.

Long-term Debt and Borrowing Arrangements

3 Months Ended

Mar. 31, 2019

Debt Disclosure [Abstract]

Long-term Debt and Borrowing Arrangements

Long-term Corporate Debt and Borrowing Arrangements

Long-term corporate debt and borrowing arrangements consisted of:



		As of			As of
	Maturity Dates	March 31,			December 31,
	Maturity Dates	2019			2018
5½% Senior Notes	April 2023	$	675		$	675
6⅜% Senior Notes	April 2024	350			350
4⅛% euro-denominated Senior Notes	November 2024	337			344
Floating Rate Term Loan ^(a)	February 2025	1,120			1,123
5¼% Senior Notes	March 2025	375			375
4½% euro-denominated Senior Notes	May 2025	280			287
4¾% euro-denominated Senior Notes	January 2026	393			401
Other ^(b)		36			41
Deferred financing fees		(42		)	(45		)
Total		3,524			3,551
Less: Short-term debt and current portion of long-term debt		23			23
Long-term debt		$	3,501		$	3,528

__________

^(a)

The floating rate term loan is part of the Company’s senior revolving credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. As of March 31, 2019, the floating rate term loan due 2025 bears interest at one-month LIBOR plus 200 basis points, for an aggregate rate of 4.50%. The Company has entered into a swap to hedge $700 million of its interest rate exposure related to the floating rate term loan at an aggregate rate of 3.67%.


^(b)	Primarily includes finance leases which are secured by liens on the related assets.

Committed Credit Facilities and Available Funding Arrangements

At March 31, 2019, the committed corporate credit facilities available to the Company and/or its subsidiaries were as follows:



	Total Capacity		Outstanding Borrowings		Letters of Credit Issued		Available Capacity
Senior revolving credit facility maturing 2023 ^(a)	$	1,800	$	—	$	1,163	$	637

__________


^(a)	The senior revolving credit facility bears interest at one-month LIBOR plus 200 basis points and is part of the Company’s senior credit facility, which is secured by pledges of capital stock of certain subsidiaries of the Company, and liens on substantially all of the Company’s intellectual property and certain other real and personal property.

At March 31, 2019, the Company had various uncommitted credit facilities available, under which it had drawn approximately $1 million, which bear interest at rates between 0.73% and 1.53%.

Debt Covenants

The agreements governing the Company’s indebtedness contain restrictive covenants, including restrictions on dividends paid to the Company by certain of its subsidiaries, the incurrence of additional indebtedness by the Company and certain of its subsidiaries, acquisitions, mergers, liquidations, and sale and leaseback transactions. The Company’s senior credit facility also contains a consolidated first lien leverage ratio requirement. As of March 31, 2019, the Company was in compliance with the financial covenants governing its indebtedness.

Debt Under Vehicle Programs and Borrowing Arrangements

3 Months Ended

Mar. 31, 2019

Debt Disclosure [Abstract]

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
	March 31,			December 31,
	2019			2018
Americas - Debt due to Avis Budget Rental Car Funding ^(a)	$	8,576		$	7,393
Americas - Debt borrowings	655			635
International - Debt borrowings	1,835			2,060
International - Finance leases	186			191
Other	1			2
Deferred financing fees ^(b)	(48		)	(49		)
Total	$	11,205		$	10,232

__________


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


^(b)	Deferred financing fees related to Debt due to Avis Budget Rental Car Funding as of March 31, 2019 and December 31, 2018 was $36 million and $35 million, respectively.

In February 2019, the Company’s Avis Budget Rental Car Funding subsidiary issued approximately $600 million in asset-backed notes with an expected final payment date of March 2022 incurring interest at a weighted average rate of 3.56%.

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 March 31, 2019.



	Debt under Vehicle Programs ^(a)
Within 1 year	$	1,559
Between 1 and 2 years ^(b)	4,430
Between 2 and 3 years ^(c)	2,693
Between 3 and 4 years	1,264
Between 4 and 5 years	1,078
Thereafter	229
Total	$	11,253

__________


^(a)	Vehicle-backed debt primarily represents asset-backed securities.


^(b)	Includes $3.0 billion of bank and bank-sponsored facilities.


^(c)	Includes $1.3 billion of bank and bank-sponsored facilities.

Committed Credit Facilities and Available Funding Arrangements

As of March 31, 2019, 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 ^(b)		Available Capacity
Americas - Debt due to Avis Budget Rental Car Funding	$	9,236	$	8,576	$	660
Americas - Debt borrowings	926		655		271
International - Debt borrowings	2,985		1,835		1,150
International - Finance leases	207		186		21
Other	1		1		—
Total	$	13,355	$	11,253	$	2,102

__________


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


^(b)	The outstanding debt is collateralized by vehicles and related assets of $9.9 billion for Americas - Debt due to Avis Budget Rental Car Funding; $0.7 billion for Americas - Debt borrowings; $2.0 billion for International - Debt borrowings; and $0.2 billion for International - Finance leases.

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 March 31, 2019, 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.

Commitments and Contingencies	3 Months Ended
Commitments and Contingencies	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Contingencies In 2006, the Company completed the spin-offs of its Realogy and Wyndham subsidiaries. The Company does not believe that the impact of any resolution of pre-existing contingent liabilities in connection with the spin-offs should result in a material liability to the Company in relation to its consolidated financial position or liquidity, as Realogy and Wyndham each have agreed to assume responsibility for these liabilities. The Company is also named in litigation that is primarily related to the businesses of its former subsidiaries, including Realogy and Wyndham. The Company is entitled to indemnification from such entities for any liability resulting from such litigation. In February 2017, following a state court trial in Georgia, a jury found the Company liable for damages in a case brought by a plaintiff who was injured in a vehicle accident allegedly caused by an employee of an independent contractor of the Company who was acting outside of the scope of employment. In March 2017, the Company was also found liable for damages in a companion case arising from the same incident. The Company is appealing both verdicts and considers the attribution of liability to the Company, and the amount of damages awarded, to be unsupported by the facts of these cases. The Company has recognized a liability for the expected loss related to these cases, net of recoverable insurance proceeds, of approximately $12 million. The Company is involved in claims, legal proceedings and governmental inquiries that are incidental to its vehicle rental and car sharing operations, including, among others, contract and licensee disputes, competition matters, employment and wage-and-hour claims, insurance and liability claims, intellectual property claims, business practice disputes and other regulatory, environmental, commercial and tax matters. Litigation is inherently unpredictable and, although the Company believes that its accruals are adequate and/or that it has valid defenses in these matters, unfavorable resolutions could occur. The Company estimates that the potential exposure resulting from adverse outcomes of legal proceedings in which it is reasonably possible that a loss may be incurred could, in the aggregate, be up to approximately $45 million in excess of amounts accrued as of March 31, 2019. The Company does not believe that the impact should result in a material liability to the Company in relation to its consolidated financial condition or results of operations. Commitments to Purchase Vehicles The Company maintains agreements with vehicle manufacturers under which the Company has agreed to purchase approximately $6.0 billion of vehicles from manufacturers over the next 12 months financed primarily through the issuance of vehicle-backed debt and cash received upon the disposition of vehicles. Certain of these commitments are subject to the vehicle manufacturers satisfying their obligations under their respective repurchase and guaranteed depreciation agreements. Concentrations Concentrations of credit risk at March 31, 2019 include (i) risks related to the Company’s repurchase and guaranteed depreciation agreements with domestic and foreign car manufacturers, primarily with respect to receivables for program cars that have been disposed but for which the Company has not yet received payment from the manufacturers and (ii) risks related to Realogy and Wyndham, including receivables of $29 million and $18 million, respectively, related to certain contingent, income tax and other corporate liabilities assumed by Realogy and Wyndham in connection with their disposition.

Stockholders' Equity

3 Months Ended

Mar. 31, 2019

Equity [Abstract]

Stockholders' Equity

Stockholders’ Equity

Share Repurchases

The Company’s Board of Directors has authorized the repurchase of up to $1.7 billion of its common stock under a plan originally approved in 2013 and subsequently expanded, most recently in August 2018. During the three months ended March 31, 2019 and 2018, the Company did not repurchase any shares of common stock under the program. As of March 31, 2019, approximately $150 million of authorization remains available to repurchase common stock under this plan.

Total Comprehensive Income (Loss)

Comprehensive income (loss) consists of net income (loss) and other gains and losses affecting stockholders’ equity that, under GAAP, are excluded from net income (loss).

The components of other comprehensive income (loss) were as follows:



		Three Months Ended March 31,
		2019			2018
Net loss		$	(91	)	$	(87	)
Other comprehensive income (loss):
	Currency translation adjustments (net of tax of $(6) and $5, respectively)	1			1
	Net unrealized gain (loss) on cash flow hedges (net of tax of $3 and $(2), respectively)	(8		)	6
	Minimum pension liability adjustment (net of tax of $0 and $(1), respectively)	2			1
		(5		)	8
Comprehensive loss		$	(96	)	$	(79	)

__________

Currency translation adjustments exclude income taxes related to indefinite investments in foreign subsidiaries.

Accumulated Other Comprehensive Income (Loss)

The components of accumulated other comprehensive income (loss) were as follows:



		Currency Translation Adjustments			Net Unrealized Gains (Losses) on Cash Flow Hedges^(a)			Net Unrealized Gains (Losses) on Available-for Sale Securities		Minimum Pension Liability Adjustment^(b)			Accumulated Other Comprehensive Income (Loss)
Balance, December 31, 2018		$	(3	)	$	2		$	—	$	(132	)	$	(133	)
	Cumulative effect of accounting change ^(c)	—			1			—		—			1
Balance, January 1, 2019		$	(3	)	$	3		$	—	$	(132	)	$	(132	)
	Other comprehensive income (loss) before reclassifications	1			(7		)	—		1			(5		)
	Amounts reclassified from accumulated other comprehensive income (loss)	—			(1		)	—		1			—
Net current-period other comprehensive income (loss)		1			(8		)	—		2			(5		)
Balance, March 31, 2019		$	(2	)