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Document And Entity Information - USD ($)	6 Months Ended
Document And Entity Information - USD ($)	Jun. 30, 2011	Dec. 31, 2010	Jun. 30, 2010
Entity Registrant Name	AVIS BUDGET GROUP, INC.
Entity Central Index Key	0000723612
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float			$ 1,001,279,006
Entity Common Stock, Shares Outstanding		105,022,453
Document Fiscal Year Focus	2011
Document Fiscal Period Focus	Q2
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2011

CONSOLIDATED STATEMENTS OF OPERATIONS $ in Millions	3 Months Ended				6 Months Ended
CONSOLIDATED STATEMENTS OF OPERATIONS $ in Millions	Jun. 30, 2011 shares	Jun. 30, 2011 USD ($)	Jun. 30, 2010 shares	Jun. 30, 2010 USD ($)	Jun. 30, 2011 shares	Jun. 30, 2011 USD ($)	Jun. 30, 2010 shares	Jun. 30, 2010 USD ($)
Revenues
Vehicle rental		$ 1,034		$ 961		$ 1,952		$ 1,827
Other		378		333		694		619
Net revenues		1,412		1,294		2,646		2,446
Expenses
Operating		725		639		1,383		1,251
Vehicle depreciation and lease charges, net		259		339		535		636
Selling, general and administrative		169		143		322		274
Vehicle interest, net		68		76		132		150
Non-vehicle related depreciation and amortization		21		23		44		46
Interest expense related to corporate debt, net
Interest expense		47		41		94		81
Early extinguishment of debt		0		0		0		40
Transaction-related costs		34		2		36		2
Restructuring charges		0		2		0		3
Total expenses		1,323		1,265		2,546		2,483
Income (loss) before income taxes		89		29		100		(37)
Provision for (benefit from) income taxes		37		3		41		(25)
Net income (loss)		$ 52		$ 26		$ 59		$ (12)
Earnings (loss) per share
Basic (in dollars per share) \| shares	shares 0.49		shares 0.25		shares 0.56		shares (0.12)
Diluted (in dollars per share) \| shares	shares 0.42		shares 0.22		shares 0.49		shares (0.12)

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions	Jun. 30, 2011	Dec. 31, 2010
Current assets:
Cash and cash equivalents	$ 645	$ 911
Restricted cash	406	10
Receivables	417	315
Deferred income taxes	132	130
Other current assets	306	272
Total current assets	1,906	1,638
Property and equipment, net	405	425
Deferred income taxes	639	587
Goodwill	76	76
Other intangibles, net	484	481
Other non-current assets	275	255
Total assets exclusive of assets under vehicle programs	3,785	3,462
Assets under vehicle programs:
Program cash	76	4
Vehicles, net	8,185	6,422
Receivables from vehicle manufacturers and other	79	149
Investment in Avis Budget Rental Car Funding (AESOP) LLC-related party	316	290
Total Assets under vehicle programs	8,656	6,865
Total assets	12,441	10,327
Current liabilities:
Accounts payable and other current liabilities	1,006	925
Current portion of long-term debt	6	8
Total current liabilities	1,012	933
Long-term debt	2,492	2,494
Other non-current liabilities	530	535
Total liabilities exclusive of liabilities under vehicle programs	4,034	3,962
Liabilities under vehicle programs:
Debt	831	528
Debt due to Avis Budget Rental Car Funding (AESOP) LLC-related party	5,456	3,987
Deferred income taxes	1,430	1,333
Other	158	107
Total liabilities under vehicle programs	7,875	5,955
Commitments and contingencies (Note 11)
Stockholders' equity:
Preferred stock, $.01 par value-authorized 10 million shares; none issued and outstanding	0	0
Common stock, $.01 par value-authorized 250 million shares; issued 137,003,327 and 136,982,068 shares	1	1
Additional paid-in capital	8,500	8,828
Accumulated deficit	(2,578)	(2,637)
Accumulated other comprehensive income	148	92
Treasury stock, at cost-31,581,615 and 33,247,139 shares	(5,539)	(5,874)
Total stockholders' equity	532	410
Total liabilities and stockholders' equity	$ 12,441	$ 10,327

CONSOLIDATED BALANCE SHEETS Parenthetical - $ / shares	Jun. 30, 2011	Dec. 31, 2010
Stockholders' equity:
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	250,000,000	250,000,000
Common stock, shares issued (in shares)	137,003,237	136,982,068
Treasury stock, shares (in shares)	31,581,615	33,247,139

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010
Operating Activities
Net income (loss)	$ 59	$ (12)
Adjustments to reconcile net income (loss) to net cash provided by operating activities exclusive of vehicle programs:
Non-vehicle related depreciation and amortization	44	46
Net change in assets and liabilities, excluding the impact of acquisitions and dispositions:
Receivables	(24)	(26)
Income taxes and deferred income taxes	6	(41)
Accounts payable and other current liabilities	78	109
Other, net	(124)	(42)
Net cash provided by operating activities exclusive of vehicle programs	39	34
Vehicle programs:
Vehicle depreciation	663	626
Net cash provided by operating activities of vehicle programs	663	626
Net cash provided by operating activities	702	660
Investing Activities
Property and equipment additions	(17)	(23)
Proceeds received on asset sales	6	8
Acquisition-related restricted cash	(401)	0
Other, net	(3)	(4)
Net cash used in investing activities exclusive of vehicle programs	(415)	(19)
Vehicle programs:
Decrease (increase) in program cash	(71)	113
Investment in vehicles	(5,242)	(5,448)
Proceeds received on disposition of vehicles	3,039	3,127
Investment in debt securities of Avis Budget Rental Car Funding (AESOP) LLC - related party	(400)	(280)
Proceeds from debt securities of Avis Budget Rental Car Funding (AESOP) LLC - related party	400	280
Net cash used in investing activities of vehicle programs	(2,274)	(2,208)
Net cash used in investing activities	(2,689)	(2,227)
Financing Activities
Proceeds from borrowings	0	444
Principal payments on borrowings	(5)	(457)
Debt financing fees	(30)	(30)
Other, net	1	4
Net cash used in financing activities exclusive of vehicle programs	(34)	(39)
Vehicle programs:
Proceeds from borrowings	5,974	5,626
Principal payments on borrowings	(4,213)	(4,229)
Net change in short-term borrowings	0	202
Debt financing fees	(11)	(12)
Net cash provided by financing activities of vehicle programs	1,750	1,587
Net cash provided by financing activities	1,716	1,548
Effect of changes in exchange rates on cash and cash equivalents	5	(5)
Net increase (decrease) in cash and cash equivalents	(266)	(24)
Cash and cash equivalents, beginning of period	911	482
Cash and cash equivalents, end of period	$ 645	$ 458

Basis of Presentation and Recently Issued Accounting Pronouncements - 6 months ended Jun. 30, 2011 £ in Millions, $ in Billions	GBP (£)	USD ($)
Basis of Presentation and Recently Issued Accounting Pronouncements:
Agreed Purchase Price For Future Business Acquisitions In GBP	£ 635
Agreed Purchase Price For Future Business Acquisitions In USD \| $		$ 1.0
Cash Placed In Escrow For Avis Europe Acquisition (in GBP)	£ 246

Restructuring Charges

6 Months Ended

Jun. 30, 2011

Restructuring Charges:

Restructuring Charges

2.Restructuring Charges

Beginning in late 2008, the Company implemented initiatives within the Company’s Domestic Car Rental, International Car Rental and Truck Rental segments to reduce costs, enhance organizational efficiency and consolidate and rationalize existing processes and facilities.

As of June 30, 2011, the remaining liability relating to restructuring actions amounted to $1 million, for Domestic Car Rental facility-related lease obligation costs for vacated locations which are expected to be paid through 2015. The Company has substantially completed its activities under this plan.

The utilization of the restructuring liability is recorded within the Company’s segments as follows:

	Domestic Car Rental		Total
Balance as of January 1, 2011	$	6	$	6
Cash payment/utilization		(5)		(5)
Balance as of June 30, 2011	$	1	$	1

- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

+ References + Details

Earnings Per Share

6 Months Ended

Jun. 30, 2011

Earnings Per Share Footnote

Earnings Per Share

3. Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share (“EPS”):

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Net income (loss) for basic EPS	$	52	$	26	$	59	$	(12)
Convertible debt interest, net of tax		2		2		3		0
Net income (loss) for diluted EPS	$	54	$	28	$	62	$	(12)

Basic weighted average shares outstanding ^(a)		105.4		103.1		105.0		102.8
Options, warrants and non-vested stock		2.4		2.3		2.5		0
Convertible debt		21.2		21.2		21.2		0
Diluted weighted average shares outstanding		129.0		126.6		128.7		102.8

Earnings per share:
Basic	$	0.49	$	0.25	$	0.56	$	(0.12)
Diluted	$	0.42	$	0.22	$	0.49	$	(0.12)

__________

^(a)

As the Company incurred a net loss for the six months ended June 30, 2010, all outstanding stock options, stock units, warrants and issuable shares underlying the 3½% convertible notes have an anti-dilutive effect and therefore are excluded from the computation of diluted weighted average shares outstanding for the period. Accordingly, basic and diluted weighted average shares outstanding are equal for the period.

The following table summarizes the Company’s outstanding common stock equivalents that were anti-dilutive and therefore excluded from the computation of diluted EPS:

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Options ^(a)		1.0		2.1		1.1		5.7
Warrants ^(b)		21.2		21.2		21.2		21.2
Shares underlying 3½% Convertible Senior Notes ^(c)		0		0		0		21.2

__________

^(a)	The weighted average exercise price for anti-dilutive options for the three and six months ended June 30, 2011 was $25.56 and $24.80, respectively. For the three months ended June 30, 2010, the weighted average exercise price for anti dilutive options was $20.97. For the six months ended June 30, 2010, all outstanding stock options were anti-dilutive, as the Company incurred a net loss.
^(b)	Represents all outstanding warrants for the three and six months ended June 30, 2011 and 2010. The exercise price for the warrants outstanding for the three and six months ended June 30, 2011 and 2010 was $22.50.
^(c)	Represents the number of shares issuable pursuant to the 3½% convertible senior notes.

Intangible Assets

6 Months Ended

Jun. 30, 2011

Intangible Assets

Intangible Assets

4.Intangible Assets

Intangible assets consisted of:

	As of June 30, 2011								As of December 31, 2010
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount			Gross Carrying Amount			Accumulated Amortization			Net Carrying Amount
Amortizable Intangible Assets
Franchise agreements	$	73		$	25		$	48		$	73		$	24		$	49
Customer lists		19			10			9			19			10			9
Other		2			1			1			2			1			1
	$	94		$	36		$	58		$	94		$	35		$	59
Unamortizable Intangible Assets
Goodwill	$	76								$	76
Trademarks ^(a)	$	426								$	422

__________

^(a)	The increase in trademarks is primarily due to fluctuations in foreign currency.

Amortization expense relating to all intangible assets was approximately $1 million during second quarter 2011 and 2010. For the six months ended June 30, 2011 and 2010, amortization expense was approximately$1 million and $2 million, respectively.

Based on the Company’s amortizable intangible assets at June 30, 2011, the Company expects amortization expense of approximately $2 million for the remainder of 2011 and approximately $3 million for each of the five fiscal years thereafter.

Financial Instruments

6 Months Ended

Jun. 30, 2011

Financial Instruments

Financial Instruments

5.Financial Instruments

The fair value of the Company’s financial instruments is generally determined by reference to market values resulting from trading on a national securities exchange or in an over-the-counter market. In some cases where quoted market prices are not available, prices are derived by considering the yield of the benchmark security that was issued to initially price the instruments and adjusting this rate by the credit spread that market participants would demand for the instruments as of the measurement date. The carrying amounts of cash and cash equivalents, restricted cash, available-for-sale securities, accounts receivable, program cash and accounts payable and accrued liabilities approximate fair value due to the short-term maturities of these assets and liabilities.

Debt Instruments

The carrying amounts and estimated fair values of debt instruments are as follows:

	As of June 30, 2011				As of December 31, 2010
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Corporate debt
Current portion of long-term debt	$	6	$	6	$	8	$	8
Long-term debt, excluding convertible debt		2,147		2,194		2,149		2,211
Convertible debt		345		440		345		407

Debt under vehicle programs
Vehicle-backed debt due to Avis Budget Rental Car Funding
(AESOP) LLC	$	5,456	$	5,564	$	3,987	$	4,045
Vehicle-backed debt		828		840		521		526

Derivative Instruments and Hedging Activities

The Company uses foreign exchange forward contracts to manage its exposure to changes in foreign currency exchange rates associated with its foreign currency denominated receivables and forecasted royalties, forecasted earnings of foreign subsidiaries and forecasted foreign currency denominated acquisitions, including the announced agreement to acquire Avis Europe. The Company primarily hedges its foreign currency exposure to the Canadian, Australian and New Zealand dollars and the British pound sterling. The majority of forward contracts do not qualify for hedge accounting treatment. With the exception of forecasted foreign currency denominated acquisitions, fluctuations in the value of these forward contracts largely offset the impact of changes in the value of the underlying risk they economically hedge. Forward contracts used to hedge forecasted third party receipts and disbursements up to twelve months are designated and do qualify as cash flow hedges. The amount of gains or losses reclassified from accumulated other comprehensive income to earnings resulting from ineffectiveness or from excluding a component of the forward contracts’ gain or loss from the effectiveness calculation for cash flow hedges during the three and six months ended June 30, 2011 and 2010 was not material, nor is the amount of gains or losses the Company expects to reclassify from accumulated other comprehensive income to earnings over the next twelve months.

The Company uses various hedging strategies including interest rate swaps and interest rate caps to create an appropriate mix of fixed and floating rate assets and liabilities. The Company uses interest rate swaps, designated as cash flow hedges, to manage the risk related to its floating rate corporate debt. In connection with such cash flow hedges, the Company records the effective portion of changes in the fair value of these cash flow hedges to other comprehensive income, net of tax, and subsequently reclassifies these amounts into earnings in the period during which the hedged transaction is recognized. The changes in fair values of hedges that were determined to be ineffective are immediately reclassified from accumulated other comprehensive income into earnings. During the six months ended June 30, 2010, the Company reclassified $36 million from accumulated other comprehensive income to earnings in connection with the early termination of certain interest rate swaps related to the repayment of a portion of the Company’s floating rate term loan. The Company estimates that approximately $50 million of losses deferred in accumulated other comprehensive income will be recognized over the next twelve months, which is expected to be offset in earnings by the impact of the underlying hedged items.

To manage the risk associated with its floating rate vehicle-backed debt, the Company uses derivatives. These derivatives include freestanding derivatives and derivatives designated as cash flow hedges. In connection with such cash flow hedges, the Company records the effective portion of the change in fair value in other comprehensive income, net of tax. The Company records the gains or losses related to freestanding derivatives in its consolidated results of operations.

The Company periodically enters into derivative commodity contracts to manage its exposure to changes in the price of unleaded gasoline. Changes in the fair value of these freestanding derivatives are recorded in the Company’s consolidated results of operations.

Certain of the Company’s derivative instruments contain collateral support provisions that require the Company to post cash collateral to the extent that these derivatives are in a liability position. The aggregate fair value of such derivatives that are in a liability position and the aggregate fair value of assets needed to settle these derivatives as of June 30, 2011 was approximately $10 million, for which the Company has posted cash collateral in the same amount in the normal course of business.

As of June 30, 2011, the Company held derivative instruments with notional values as follows: interest rate caps of approximately $4.9 billion, interest rate swaps of $135 million, foreign exchange forward contracts of $715 million, foreign exchange swaps of $213 million and commodity contracts for the purchase of 12 million gallons of unleaded gasoline.

The Company used significant observable inputs (Level 2 inputs) to determine the fair value of its derivative assets and liabilities. Derivatives entered into by the Company are typically executed over-the-counter and are valued using various valuation techniques, as no quoted market prices exist for such instruments. The valuation technique and inputs depend on the type of derivative and the nature of the underlying exposure. The principal techniques used to value these instruments are discounted cash flows and Black-Scholes option valuation models. These models take into account a variety of factors including, where applicable, maturity, commodity prices, interest rate yield curves of the Company and counterparties, credit curves, counterparty creditworthiness and currency exchange rates. These factors are applied on a consistent basis and are based upon observable inputs where available.

Fair values of derivative instruments are as follows:

	As of June 30, 2011				As of December 31, 2010
	Fair Value, Asset Derivatives		Fair Value, Liability Derivatives		Fair Value, Asset Derivatives		Fair Value, Liability Derivatives
Derivatives designated as hedging instruments ^(a)
Interest rate swaps ^(b)	$	0	$	4	$	0	$	4

Derivatives not designated as hedging instruments ^(a)
Foreign exchange forward contracts ^(c)		0		22		0		3
Foreign exchange swaps ^(e)		1		0		0		0
Interest rate swaps ^(b)		0		0		0		1
Interest rate contracts ^(d)		1		3		1		7
Commodity contracts ^(e)		1		0		0		0
Total	$	3	$	29	$	1	$	15

____________

^(a)	Amounts in this table exclude derivatives issued by Avis Budget Rental Car Funding (AESOP) LLC (“Avis Budget Rental Car Funding”), as it is not consolidated by the Company; however, certain amounts related to the derivatives held by Avis Budget Rental Car Funding are included within accumulated other comprehensive income, as discussed in Note 12—Stockholders’ Equity.
^(b)	Included in other non-current liabilities.
^(c)	Included in other current liabilities.
^(d)	Included in assets under vehicle programs and liabilities under vehicle programs.
^(e)	Included in other current assets.

The effect of derivatives recognized in the Company’s Consolidated Condensed Financial Statements are as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Derivatives designated as hedging instruments
Interest rate swaps ^(a)	$	6	$	8	$	16	$	14

Derivatives not designated as hedging instruments
Foreign exchange forward contracts ^(b)	$	(19)	$	2	$	(21)	$	1
Foreign exchange swaps ^(c)		3		(2)		4		(2)
Interest rate contracts ^(d)		0		0		0		1
Commodity contracts ^(c)		0		(2)		1		0

____________

^(a)	Amounts are recognized as a component of other comprehensive income within stockholders’ equity, net of tax.
^(b)	For the three months ended June 30, 2011, includes a $17 million loss in transaction-related costs and a $2 million loss in operating expenses. For the six months ended June 30, 2011, includes a $17 million loss in transaction-related costs and $4 million loss in operating expenses. For the three and six months ended June 30, 2010, the amounts are included in operating expenses.
^(c)	Included in operating expenses.
^(d)	Included in interest expense.

- Definition

The entire disclosure for the entity's entire derivative instruments and hedging activities. Describes an entity's risk management strategies, derivatives in hedging activities and non-hedging derivative instruments, the assets, obligations, liabilities, revenues and expenses arising therefrom, and the amounts of and methodologies and assumptions used in determining the amounts of such items.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 133
-Paragraph 45
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

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-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
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-Paragraph 44
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

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-URI http://asc.fasb.org/extlink&oid=6441202&loc=d3e80720-113993

+ Details

Vehicle Rental Activities

6 Months Ended

Jun. 30, 2011

Vehicle Rental Activities

Vehicle Rental Activities

6.Vehicle Rental Activities

The components of the Company’s vehicles, net within assets under vehicle programs are as follows:

	As of June 30, 2011		As of December 31, 2010
Rental vehicles	$	9,144	$	7,007
Less: Accumulated depreciation		(1,239)		(1,135)
		7,905		5,872
Vehicles held for sale		280		550
Vehicles, net	$	8,185	$	6,422

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

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Depreciation expense	$	358	$	336	$	663	$	626
Lease charges		10		4		20		19
Gain on sales of vehicles, net and vehicle disposition costs		(109)		(1)		(148)		(9)
Vehicle depreciation and lease charges, net	$	259	$	339	$	535	$	636

For the three months ended June 30, 2011 and 2010, vehicle interest, net, on the accompanying Consolidated Condensed Statements of Operations excludes $50 million and $43 million, respectively, and for the six months ended June 30, 2011 and 2010, vehicle interest, net excludes $101 million and $84 million, respectively, of interest expense related to the Company’s convertible senior notes and the fixed and floating rate borrowings of the Company’s Avis Budget Car Rental, LLC (“Avis Budget Car Rental”) subsidiary.

Income Taxes

6 Months Ended

Jun. 30, 2011

Income Taxes

Income Taxes

7.Income Taxes

The Company’s effective tax rate for the six months ended June 30, 2011 is a provision of 41.0%. Such rate differs from the Federal statutory rate of 35.0% primarily due to state taxes and the non-deductibility of certain transaction-related costs.

The Company’s effective tax rate for the six months ended June 30, 2010 is a benefit of 67.6%. Such rate differs from the Federal statutory rate of 35.0% primarily due to an $11 million benefit relating to additional tax depreciation within the Company’s operations in Australia.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Paragraph h
-Article 4

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 109
-Paragraph 136, 172
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 109
-Paragraph 43, 44, 45, 46, 47, 48, 49
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(h))
-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319

+ Details

Accounts Payable and Other Current Liabilities

6 Months Ended

Jun. 30, 2011

Accounts Payable and Other Current Liabilities

Accounts Payable and Other Current Liabilities

8.Accounts Payable and Other Current Liabilities

Accounts payable and other current liabilities consisted of:

	As of June 30, 2011		As of December 31, 2010
Accounts payable	$	237	$	209
Accrued payroll and related		149		155
Public liability and property damage insurance liabilities − current		94		93
Advertising and marketing		60		53
Other		466		415
	$	1,006	$	925

Long Term Debt and Borrowing Arrangements

6 Months Ended

Jun. 30, 2011

Long Term Debt and Borrowing Arrangements

Long Term Debt and Borrowing Arrangements

9.Long-term Debt and Borrowing Arrangements

Long-term debt consisted of:

	Maturity Dates	As of June 30, 2011		As of December 31, 2010
Floating rate term loan ^(a)	April 2014	$	269	$	271
Floating rate notes	May 2014		250		250
7⅝% notes	May 2014		200		200
3½% convertible notes	October 2014		345		345
7¾% notes	May 2016		375		375
9⅝% notes	March 2018		445		444
8¼% notes	January 2019		602		602
			2,486		2,487
Other			12		15
Total long-term debt			2,498		2,502
Less: Current portion			6		8
Long-term debt			2,492		2,494

__________

^(a)

The floating rate term loan and our revolving credit facility are secured by pledges of all of the capital stock of all of the Company’s direct or indirect domestic subsidiaries and up to 66% of the capital stock of each direct foreign subsidiary, subject to certain exceptions, and liens on substantially all of the Company’s intellectual property and certain other real and personal property. The floating rate term loan bears interest at the greater of three month LIBOR or 1.50%, plus 425 basis points, for a rate of 5.75% at June 30, 2011.

Committed Credit Facilities and Available Funding Arrangements

At June 30, 2011, the committed credit facilities available to the Company and/or its subsidiaries included:

	Total Capacity		Outstanding Borrowings		Letters of Credit Issued		Available Capacity
Revolving credit facility maturing 2016 ^(a)	$	1,200	$	0	$	651	$	549

__________

^(a)

This revolving credit facility matures in 2016 and bears interest of one month LIBOR plus 300 basis points. The senior credit facility, which encompasses the floating rate term loan and the revolving credit facility, is secured by pledges of all of the capital stock of all of the Company’s direct or indirect domestic subsidiaries and up to 66% of the capital stock of each foreign subsidiary directly owned by the Company’s domestic subsidiaries, subject to certain exceptions, and liens on substantially all of the Company’s intellectual property and certain other real and personal property.

In June 2011, the Company entered into a Senior Secured Interim Loan Agreement and a Senior Unsecured Interim Loan Agreement in connection with the planned acquisition of Avis Europe. The Senior Secured Interim Loan Agreement provides for a commitment of up to €694 million. It initially bears interest at the greater of EURIBOR or 1.50% plus 700 basis points, for a rate of 8.50% at June 30, 2011. Any borrowings under this loan agreement would mature on the seven-year anniversary of the funding date. The Senior Unsecured Interim Loan Agreement provides for a commitment of up to $400 million. It initially bears interest at an interest rate of, at the Company’s election, either the greater of Eurodollar rate or 1.50% plus a margin of 900 basis points, or the alternate base rate plus a margin of 800 basis points. Any borrowings under this loan agreement would mature on the five-year anniversary of the funding date. The availability of these funding arrangements is subject to, and contingent upon, the completion of the acquisition of Avis Europe and may be used to fund the acquisition of Avis Europe, refinance existing indebtedness of Avis Europe or to pay related acquisition costs. The Company intends to seek to replace the Senior Secured Interim Loan Agreement and the Senior Unsecured Interim Loan Agreement with lower-cost financing and, subject to obtaining such replacement financing, does not expect to borrow under the existing agreements.

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 facilities contain maximum leverage and minimum interest coverage ratio requirements. As of June 30, 2011, the Company was in compliance with the financial covenants of its senior credit facilities.

Debt Under Vehicle Programs and Borrowing Arrangements

6 Months Ended

Jun. 30, 2011

Debt Under Vehicle Programs and Borrowing Arrangements

Debt Under Vehicle Programs and Borrowing Arrangements

10.Debt Under Vehicle Programs and Borrowing Arrangements

Debt under vehicle programs (including related party debt due to Avis Budget Rental Car Funding (AESOP) LLC) consisted of:

	As of June 30, 2011		As of December 31, 2010
Debt due to Avis Budget Rental Car Funding ^(a)	$	5,456	$	3,987
Budget Truck Funding program		208		244
Other ^(b)		623		284
	$	6,287	$	4,515

__________

^(a)	The increase reflects increased borrowing within Domestic Car Rental operations to fund an increase in the size of the Company’s domestic car rental fleet.
^(b)	The increase principally reflects increased borrowing within International Car Rental operations due to an increase in the size of the Company’s international vehicle rental fleet.

During 2010, the Company established a variable funding note program with a maximum capacity of $400 million of notes to be issued by Avis Budget Rental Car Funding to the Company to finance the purchase of vehicles. These variable funding notes pay interest of 4.5% at June 30, 2011 and mature in March 2012. As of June 30, 2011, there were no outstanding amounts due to the Company from Avis Budget Rental Car Funding under the program; however, for the three and six months ended June 30, 2011, the Company earned interest income of $2 million and $4 million, respectively, and incurred equal amounts of interest expense on these notes, which was eliminated in consolidation in the Company’s financial statements. As of June 30, 2011, the Company’s related interest receivable from Avis Budget Rental Car Funding was insignificant.

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 June 30, 2011:

		Vehicle- Backed Debt
Within 1 year ^(a)	$	2,518
Between 1 and 2 years		1,192
Between 2 and 3 years		649
Between 3 and 4 years		936
Between 4 and 5 years		538
Thereafter		454
	$	6,287

__________

^(a)	Vehicle-backed debt maturing within one year includes term asset-backed securities maturities of approximately $1.1 billion and bank and bank-sponsored borrowings of $1.4 billion.

As of June 30, 2011, 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		Available Capacity
Debt due to Avis Budget Rental Car Funding ^(b)	$	6,591	$	5,456	$	1,135
Budget Truck financing ^(c)		208		208		0
Other ^(d)		913		623		290
	$	7,712	$	6,287	$	1,425

_____________

^(a)	Capacity is subject to maintaining sufficient assets to collateralize debt.
^(b)	The outstanding debt is collateralized by approximately $7.0 billion of underlying vehicles and related assets.
^(c)	The outstanding debt is collateralized by $366 million of underlying vehicles and related assets.
^(d)	The outstanding debt is collateralized by approximately $1.3 billion of underlying vehicles and related assets.

Debt 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 June 30, 2011, the Company is not aware of any instances of non-compliance with any of the financial or restrictive covenants contained in the debt agreements under its vehicle-backed funding programs.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References + Details

Commitments and Contingencies

6 Months Ended

Jun. 30, 2011

Commitments and Contingencies

Commitments and Contingencies

11.Commitments and Contingencies

Contingencies

Separation. In connection with the separation of Cendant Corporation (as the Company was formerly known) into four independent companies (the “Separation”), the Company completed the spin-offs of Realogy Corporation (“Realogy”) and Wyndham Worldwide Corporation (“Wyndham”) on July 31, 2006 and completed the sale of Travelport, Inc. (“Travelport”) on August 23, 2006. In connection with the spin-offs of Realogy and Wyndham, the Company entered into the Separation Agreement, pursuant to which Realogy assumed 62.5% and Wyndham assumed 37.5% of certain contingent and other corporate liabilities of the Company or its subsidiaries, which are not primarily related to any of the respective businesses of Realogy, Wyndham, Travelport and/or the Company’s vehicle rental operations, in each case incurred or allegedly incurred on or prior to the separation of Travelport from the Company (“Assumed Liabilities”). If Realogy or Wyndham were to default on its payment of costs or expenses to the Company related to any Assumed Liabilities, the Company would be responsible for 50% of the defaulting party’s obligation.

The Company does not believe that the impact of any contingent liabilities constituting Assumed Liabilities should result in a material liability to the Company in relation to its consolidated financial position or liquidity, as Realogy and Wyndham have agreed to assume responsibility for these liabilities. The Company is also named in various litigation matters that are primarily related to the businesses of its former subsidiaries, including Realogy, Wyndham and Travelport and their current or former subsidiaries. The Company is entitled to indemnification under the Separation Agreement from such entities for any liability resulting from such litigation.

In April 2007, Realogy was acquired by an affiliate of Apollo Management VI, L.P. The acquisition does not affect Realogy’s obligation to satisfy 62.5% of the contingent and other corporate liabilities of the Company or its subsidiaries pursuant to the terms of the Separation Agreement. As a result of the acquisition, Realogy has greater debt obligations and its ability to satisfy its portion of the contingent and other corporate liabilities may be adversely impacted. In accordance with the terms of the Separation Agreement, Realogy posted a letter of credit in April 2007 for the benefit of the Company to cover its estimated share of the Assumed Liabilities discussed above, subject to adjustment, although there can be no assurance that such letter of credit will be sufficient or effective to cover Realogy’s actual obligations if and when they arise.

Litigation. In October 2009, a judgment was entered against the Company in the amount of $16 million following the completion of a jury trial for damages in the United States District Court for the District of Alaska. The lawsuit, which was filed in 2003, involved breach of contract and other claims by one of the Company’s licensees related to the acquisition of the Budget vehicle rental business in 2002. The Company believes the verdict in this case is unsupported by the evidence. In addition to the judgment for damages, in June 2010, the district court also entered an order against the Company in the amount of $3 million, in favor of the plaintiff’s motions for pre-judgment interest and attorneys’ fees. The Company has filed an appeal of the judgment and attorneys’ fees awarded with the United States Court of Appeals for the Ninth Circuit.

In addition to the matters discussed above, the Company is also involved in claims, legal proceedings and governmental inquiries related to its vehicle rental operations, including with respect to contract disputes, business practices including wage and hour claims, insurance claims, intellectual property claims, environmental issues and other commercial, employment and tax matters, and breach of contract claims by licensees. The Company believes that it has adequately accrued for such matters as appropriate. However, litigation is inherently unpredictable and, although the Company believes that its accruals are appropriate, unfavorable resolutions could occur, which could materially impact the Company’s results of operations or cash flows in a particular reporting period.

Commitment for the Acquisition of Avis Europe

On June 14, 2011, the Company and Avis Europe announced that they had reached an agreement on the terms of an acquisition by the Company of all outstanding shares of Avis Europe in exchange for £3.15 in cash per Avis Europe share, which values Avis Europe’s ordinary equity at approximately £635 million, or approximately $1.0 billion. The acquisition by the Company is expected to be effected by means of a scheme of arrangement between Avis Europe and its shareholders pursuant to Part 26 of the UK Companies Act 2006. The scheme of arrangement requires the approval of a majority in number and 75% by value of voting Avis Europe shareholders, which was obtained on August 1, 2011. The Company expects to fund the acquisition using a combination of its own cash resources, debt financing which has been arranged by a syndicate of banks and/or proceeds from the issuance of debt securities. The acquisition is scheduled to close in October 2011, subject to required court approvals and regulatory clearances.

Commitments to Purchase Vehicles

The Company maintains agreements with vehicle manufacturers under which the Company has agreed to purchase approximately $2.9 billion of vehicles from manufacturers over the next twelve months. The majority of these commitments are subject to the vehicle manufacturers’ satisfying their obligations under the repurchase and guaranteed depreciation agreements. The purchase of such vehicles is financed primarily through the issuance of vehicle-backed debt in addition to cash received upon the sale of vehicles in the used car market and under repurchase and guaranteed depreciation programs.

Concentrations

Concentrations of credit risk at June 30, 2011 include (i) risks related to the Company’s repurchase and guaranteed depreciation agreements with domestic and foreign car manufacturers, including General Motors Company, Ford Motor Company, Hyundai Motor America, Chrysler Group LLC, and Kia Motors America, Inc. and (ii) risks related to Realogy and Wyndham, including receivables of $96 million and $60 million, respectively, related to certain contingent, income tax and other corporate liabilities assumed by Realogy and Wyndham in connection with the Separation.

Subsidiaries of Morgan Stanley and Citigroup have provided approximately $1.4 billion in financing commitments to the Company in connection with the Company’s planned acquisition of Avis Europe. In the event that either lender were to default on such financing commitments, the Company would need to pursue replacement sources of financing for the acquisition. The Company intends to seek to replace the Senior Secured Interim Loan Agreement and the Senior Unsecured Interim Loan Agreement with lower-cost financing and, subject to obtaining such replacement financing, does not expect to borrow under the existing agreements.

Other Guarantees

The Company has provided certain guarantees to, or for the benefit of, subsidiaries of Realogy, Wyndham and Travelport. These guarantees primarily relate to various real estate operating leases that were entered into prior to the Separation. The maximum potential amount of future payments that the Company may be required to make under the guarantees relating to the various real estate operating leases is estimated to be approximately $145 million, the majority of which expire by the end of 2014. At June 30, 2011, the liability recorded by the Company in connection with these guarantees was approximately $3 million. To the extent that the Company would be required to perform under any of these guarantees, the Company is entitled to indemnification by Realogy, Wyndham and Travelport, as applicable. The Company monitors the credit ratings and other relevant information for Realogy, Wyndham and Travelport’s parent company in order to assess the status of the payment/performance risk of these guarantees.

- Definition

The entire disclosure for commitments and contingencies.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name FASB Interpretation (FIN)
-Number 14
-Paragraph 3
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 5
-Paragraph 9, 10, 11, 12
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.25)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6952336&loc=d3e14435-108349

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 460
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6398077&loc=d3e12565-110249

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 440
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6394976&loc=d3e25287-109308

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6449706&loc=d3e16207-108621

+ Details

Stockholders' Equity

6 Months Ended

Jun. 30, 2011

Stockholders' Equity

Stockholders' Equity

12.Stockholders’ Equity

Accumulated Other Comprehensive Income

The components of accumulated other comprehensive income were as follows:

	Currency Translation Adjustments		Net Unrealized Gains (Losses) on Cash Flow Hedges		Net Unrealized Gains on Available-for Sale Securities		Minimum Pension Liability Adjustment		Accumulated Other Comprehensive Income
Balance, January 1, 2011	$	182	$	(46)	$	0	$	(44)	$	92
Current period change		38		16		2		0		56
Balance, June 30, 2011	$	220	$	(30)	$	2	$	(44)	$	148

__________

All components of accumulated other comprehensive income are net of tax, except currency translation adjustments, which exclude income taxes related to indefinite investments in foreign subsidiaries.

Total Comprehensive Income

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

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

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Net income (loss)	$	52	$	26	$	59	$	(12)

Other comprehensive income (loss):
Currency translation adjustment		29		(39)		38		(27)
Reclassification of unrealized losses on
cash flow hedges to net loss, net of tax		0		0		0		22
Unrealized gains on available-for-sale securities		1		0		2		0
Unrealized gains on cash flow hedges, net of tax		6		8		16		14
		36		(31)		56		9
Total comprehensive income (loss)	$	88	$	(5)	$	115	$	(3)

During the six months ended June 30, 2011 and 2010, the Company recorded unrealized gains on cash flow hedges of $26 million and $23 million ($16 million and $14 million, net of tax), respectively, in other comprehensive income (loss), which primarily related to the derivatives used to manage the interest-rate risk associated with the Company’s vehicle-backed debt and the Company’s floating rate corporate debt. Such amount during the six months ended June 30, 2011 and 2010 included $26 million and $28 million of unrealized gains ($16 million and $17 million, net of tax), respectively, on cash flow hedges related to the Company’s vehicle-backed debt and is offset by a corresponding change in the Company’s Investment in Avis Budget Rental Car Funding on the Consolidated Condensed Balance Sheets.

In first quarter 2010, the Company reclassified $36 million ($22 million, net of tax) of unrealized losses on certain interest rate swaps to early extinguishment of debt in connection with the repayment of a portion of the Company’s floating rate term loan and the settlement of such hedges.

- Definition

The entire disclosure for shareholders' equity, comprised of portions attributable to the parent entity and noncontrolling interest, if any, including other comprehensive income (as applicable). Including, but not limited to: (1) balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings; (2) accumulated balance for each classification of other comprehensive income and total amount of comprehensive income; (3) amount and nature of changes in separate accounts, including the number of shares authorized and outstanding, number of shares issued upon exercise and conversion, and for other comprehensive income, the adjustments for reclassifications to net income; (4) rights and privileges of each class of stock authorized; (5) basis of treasury stock, if other than cost, and amounts paid and accounting treatment for treasury stock purchased significantly in excess of market; (6) dividends paid or payable per share and in the aggregate for each class of stock for each period presented; (7) dividend restrictions and accumulated preferred dividends in arrears (in aggregate and per share amount); (8) retained earnings appropriations or restrictions, such as dividend restrictions; (9) impact of change in accounting principle, initial adoption of new accounting principle and correction of an error in previously issued financial statements; (10) shares held in trust for Employee Stock Ownership Plan (ESOP); (11) deferred compensation related to issuance of capital stock; (12) note received for issuance of stock; (13) unamortized discount on shares; (14) description, terms, and number of warrants or rights outstanding; (15) shares under subscription and subscription receivables, effective date of new retained earnings after quasi-reorganization and deficit eliminated by quasi-reorganization and, for a period of at least ten years after the effective date, the point in time from which the new retained dates; and (16) retroactive effective of subsequent change in capital structure.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Principles Board Opinion (APB)
-Number 12
-Paragraph 10
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Article 3

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Article 4
-Section 08
-Paragraph d

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 43
-Chapter 1
-Section B
-Paragraph 7, 11A
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 129
-Paragraph 2, 3, 4, 5, 6, 7, 8
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Article 4

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 5
-Paragraph 15
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 29, 30, 31
-Article 5

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section E

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
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+ Details

Stock Based Compensation

6 Months Ended

Jun. 30, 2011

Stock Based Compensation

Stock Based Compensation

13.Stock-Based Compensation

The Company records compensation expense for all outstanding employee stock awards based on the estimated fair value of the award at the grant date, which is recognized over the requisite service period. The Company recorded stock-based compensation expense of $6 million and $4 million ($4 million and $3 million, net of tax) during second quarter 2011 and 2010, respectively, and $10 million and $8 million ($6 million and $5 million, net of tax) during the six months ended June 30, 2011 and 2010, respectively, related to employee stock awards that were granted by the Company.

The Company applies the direct method and tax law ordering approach to calculate the tax effects of stock-based compensation. In jurisdictions with net operating loss carryforwards, tax deductions for 2011 and 2010 exercises of stock-based awards did not generate a cash benefit. Approximately $40 million of tax benefits will be recorded in additional paid-in capital when realized in these jurisdictions.

Restricted Stock and Stock Unit Awards

During the six months ended June 30, 2011 and 2010, the Company granted 350,000 and 968,000 market-vesting restricted stock units, respectively, and 636,000 and 982,000 time-based restricted stock units, respectively, under the Company’s amended 2007 Equity and Incentive Plan. The number of market-vesting restricted stock units which will ultimately vest is based on the Company’s common stock achieving certain price targets for a specified number of trading days. Of the market-vesting restricted stock units granted during the six months ended June 30, 2011, 257,000 units cliff vest after three years and 93,000 units vest 50% on each of the third and fourth anniversary of the date of grant. Of the time-based restricted stock units granted during the six months ended June 30, 2011, 605,000 vest ratably on the first three anniversaries of the grant date and 31,000 vest on the first anniversary of the date of the grant. For the market-vesting restricted stock units granted during the six months ended June 30, 2010, 600,000 units vest ratably over years two through five following the date of grant and 368,000 cliff vest after three years. Of the time-based restricted stock units granted during the six months ended June 30, 2010, 782,000 vest ratably on the first three anniversaries of the grant date and 200,000 vest on the first anniversary of the date of the grant.

The Company determined the fair value of its market-vesting restricted stock units granted in 2011 and 2010 using a Monte Carlo simulation model. The fair value of each of the Company’s market-vesting restricted stock units which contain three- and four-year vesting periods, issued in 2011, was estimated to be approximately $11.38 and $12.53, respectively. The fair value of each of the Company’s market-vesting restricted stock units which contain three- and five-year vesting periods, issued in 2010, was estimated to be approximately $8.88 and $9.57, respectively. The assumptions used to estimate the fair values of the market-vesting restricted stock awards using the Monte Carlo simulation model in 2011 and 2010 were as follows:

	Six Months Ended June 30,
	2011	2010
Expected volatility of stock price	48%	54%
Risk-free interest rate	0.97% - 1.21%	1.47% - 1.74%
Valuation period	3-4 years	3-5 years
Dividend yield	0.0%	0.0%

Stock Options

During first quarter 2010, the Company granted 160,000 stock options under the Company’s amended 2007 Equity and Incentive Plan. The stock options (i) vest ratably over a five-year term, (ii) expire ten years from the date of grant and (iii) have an exercise price that was set at the closing price of the Company’s common stock on the date of the grant.

The Company used the Black-Scholes option pricing model to calculate the fair value of the time-vesting stock options granted in first quarter 2010. Based on facts and circumstances at the time of the grant, the Company used the implied volatility of its publicly traded, near-the-money stock options with a remaining maturity of at least one year. The Company considered several factors in estimating the life of the options granted, including the historical option exercise behavior of employees and the option vesting periods. The risk-free interest rate is derived from the U.S. Treasury yield curve in effect at the time of grant and, since the Company does not currently pay or plan to pay a dividend on its common stock, the expected dividend yield was zero. The fair value of the Company’s time-vesting stock options issued in first quarter 2010 was estimated to be $6.16. The assumptions used to estimate the fair value using the Black-Scholes simulation option pricing in first quarter 2010 were as follows:

	Three Months Ended March 31, 2010
Expected volatility of stock price	54%
Risk-free interest rate	2.82%
Expected life of options	6 years
Dividend yield	0.0%

The activity related to the Company’s restricted stock units (“RSUs”) and stock option plans consisted of (in thousands of shares):

	RSUs				Options
	Number of RSUs		Weighted Average Grant Price		Number of Options		Weighted Average Exercise Price
Balance at January 1, 2011		3,059	$	13.64		5,026	$	7.22
Granted at fair market value		986		14.44		0		0
Vested/exercised ^(a)		(723)		14.42		(1,205)		0.98
Canceled		(303)		23.50		(235)		20.35
Balance at June 30, 2011 ^{(b) (c)}		3,019		12.72		3,586		8.46

__________

^(a)	During the six months ended June 30, 2011, zero performance-based RSUs vested. Stock options exercised during the six months ended June 30, 2011 had intrinsic value of $18 million.
^(b)	As of June 30, 2011, the Company’s outstanding RSUs had aggregate intrinsic value of $52 million; aggregate unrecognized compensation expense related to RSUs amounted to $24 million; and the balance of RSUs at June 30, 2011 consists of 1,279,000 related to time-based awards and 1,740,000 related to market-vesting and performance-based awards. Approximately 6,000 time-based and 3,000 performance-based RSUs are eligible to vest in 2011, if applicable service and performance criteria are satisfied.
^(c)	As of June 30, 2011, the Company’s outstanding stock options had aggregate intrinsic value of $40 million; there were 2.6 million “in-the-money” stock options; aggregate unrecognized compensation expense related to unvested stock options amounted to $1 million. Approximately 3.5 million stock options are exercisable as of June 30, 2011.

The table below summarizes information regarding the Company’s outstanding stock options as of June 30, 2011 (in thousands of shares):

Range of Exercise Prices	Weighted Average Contractual Life (years)	Number of Options
Less than $10.00	7.6	2,402
$10.01 to $15.00	8.6	160
$15.01 to $20.00	1.4	157
$20.01 to $25.00	0	0
$25.01 to $30.00	0.6	857
$30.01 and above	3.2	10
	5.7	3,586

As of June 30, 2011, the Company also had approximately 0.5 million outstanding stock appreciation rights with a weighted average exercise price of $24.40, and a weighted average remaining contractual life of 2.1 years.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
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-Name Statement of Financial Accounting Standard (FAS)
-Number 123R
-Paragraph 64, 65, A240
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 2: http://www.xbrl.org/2003/role/presentationRef
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+ Details

Segment Information

6 Months Ended

Jun. 30, 2011

Segment Information

Segment Information

14.Segment Information

The reportable segments presented below represent the Company’s operating segments for which separate financial information is available and is utilized on a regular basis by its chief operating decision maker, the Company’s chief executive officer, to assess performance and to allocate resources. In identifying its reportable segments, the Company also considers the nature of services provided by its operating segments. Management evaluates the operating results of each of its reportable segments based upon revenue and “Adjusted EBITDA”, which is defined as income from continuing operations before non-vehicle related depreciation and amortization, any impairment charge, transaction-related costs, non-vehicle related interest and income taxes. As of June 30, 2011 management revised the manner in which it evaluates the operating results by excluding transaction-related costs from “Adjusted EBITDA” for all periods presented. The Company’s presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies.

	Three Months Ended June 30,
	2011				2010
	Revenues		Adjusted EBITDA		Revenues		Adjusted EBITDA
Domestic Car Rental	$	1,055	$	144	$	981	$	52
International Car Rental		254		32		212		32
Truck Rental		103		18		100		16
Corporate and Other ^(a)		0		(3)		1		(5)
Total Company	$	1,412		191	$	1,294		95

Less: Non-vehicle related depreciation and amortization				21				23
Interest expense related to corporate debt, net				47				41
Transaction-related costs ^(b)				34				2
Income before income taxes			$	89			$	29

	Six Months Ended June 30,
	2011				2010
	Revenues		Adjusted EBITDA		Revenues		Adjusted EBITDA
Domestic Car Rental	$	1,984	$	201	$	1,861	$	68
International Car Rental		484		62		413		62
Truck Rental		178		18		171		11
Corporate and Other ^(a)		0		(7)		1		(9)
Total Company	$	2,646		274	$	2,446		132

Less: Non-vehicle related depreciation and amortization				44				46
Interest expense related to corporate debt, net
Interest expense				94				81
Early extinguishment of debt				0				40
Transaction-related costs ^(b)				36				2
Income (loss) before income taxes			$	100			$	(37)

__________

^(a)	Includes unallocated corporate overhead and the elimination of transactions between segments.
^(b)	During the three and six months ended June 30, 2011, the Company incurred $34 million and $36 million, respectively, in transaction-related costs related to due diligence, financing and other expenses associated with its announced agreement to acquire Avis Europe, including $23 million of losses on foreign-currency transactions related to the purchase price, and the potential acquisition of Dollar Thrifty. During the three and six months ended June 30, 2010, the Company incurred $2 million of expenses related to the potential acquisition of Dollar Thrifty.

Since December 31, 2010, there have been no significant changes in segment assets with the exception of the Company’s Domestic Car Rental segment assets under vehicle programs and International Car Rental segment assets under vehicle programs. As of June 30, 2011 and December 31, 2010, Domestic Car Rental segment assets under vehicle programs were approximately $7.0 billion and approximately $5.5 billion, respectively. International Car Rental segment assets under vehicle programs were approximately $1.3 billion as of June 30, 2011 and $966 million as of December 31, 2010.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 131
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

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+ Details

Guarantor and Non Guarantor Consolidating Condensed Financial Statements

6 Months Ended

Jun. 30, 2011

Guarantor and Non Guarantor Consolidating Condensed Financial Statements

Guarantor and Non Guarantor Consolidating Condensed Financial Statements

15.Guarantor and Non-Guarantor Consolidating Condensed Financial Statements

The following consolidating financial information presents Consolidating Condensed Statements of Operations for the three months and six months ended June 30, 2011 and 2010, Consolidating Condensed Balance Sheets as of June 30, 2011 and December 31, 2010, and Consolidating Condensed Statements of Cash Flows for the six months ended June 30, 2011 and 2010 for: (i) Avis Budget Group, Inc. (the “Parent”); (ii) Avis Budget Car Rental and Avis Budget Finance, Inc. (the “Subsidiary Issuers”); (iii) the guarantor subsidiaries; (iv) the non-guarantor subsidiaries; (v) elimination entries necessary to consolidate the Parent with the Subsidiary Issuers, and the guarantor and non-guarantor subsidiaries; and (vi) the Company on a consolidated basis. The Subsidiary Issuers and the guarantor and non-guarantor subsidiaries are 100% owned by the Parent, either directly or indirectly. All guarantees are full and unconditional and joint and several. This financial information is being presented in relation to the Company’s guarantee of the payment of principal, premium (if any) and interest on the senior notes issued by Avis Budget Car Rental. These senior notes consist of Avis Budget Car Rental’s 7⅝% Notes due 2014, 7¾% Notes due 2016, Floating Rate Notes due 2014, 9⅝% Notes due 2018 and 8¼% Notes due 2019 (collectively, the “Notes”). See Note 9—Long-term Debt and Borrowing Arrangements for additional information regarding these Notes. The Notes are guaranteed by the Parent and certain subsidiaries.

Investments in subsidiaries are accounted for using the equity method of accounting for purposes of the consolidating presentation. The principal elimination entries relate to investments in subsidiaries and intercompany balances and transactions. For purposes of the accompanying Consolidating Condensed Statements of Income, certain expenses incurred by the Subsidiary Issuers are allocated to the guarantor and non-guarantor subsidiaries.

Consolidating Condensed Statements of Operations

Three Months Ended June 30, 2011

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Revenues
Vehicle rental	$	-	$	-	$	867	$	167	$	-	$	1,034
Other		-		-		269		473		(364)		378
Net revenues		-		-		1,136		640		(364)		1,412

Expenses
Operating		1		1		576		147		-		725
Vehicle depreciation and lease
charges, net		-		-		209		294		(244)		259
Selling, general and administrative		2		-		142		25		-		169
Vehicle interest, net		-		-		55		47		(34)		68
Non-vehicle related depreciation
and amortization		-		-		19		2		-		21
Interest expense related to corporate
debt, net:
Interest expense (income)		2		46		-		(1)		-		47
Intercompany interest
expense (income)		(3)		(46)		49		-		-		-
Transaction-related costs		34		-		-		-		-		34
Total expenses		36		1		1,050		514		(278)		1,323
Income (loss) before income taxes
and equity in earnings of
subsidiaries		(36)		(1)		86		126		(86)		89
Provision for (benefit from) income
taxes		(11)		-		36		12		-		37
Equity in earnings (loss) of
subsidiaries		77		78		28		-		(183)		-
Net income (loss)	$	52	$	77	$	78	$	114	$	(269)	$	52

Six Months Ended June 30, 2011

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Revenues
Vehicle rental	$	-	$	-	$	1,628	$	324	$	-	$	1,952
Other		-		-		490		879		(675)		694
Net revenues		-		-		2,118		1,203		(675)		2,646

Expenses
Operating		1		3		1,095		284		-		1,383
Vehicle depreciation and lease
charges, net		-		-		431		548		(444)		535
Selling, general and administrative		6		-		268		48		-		322
Vehicle interest, net		-		-		115		87		(70)		132
Non-vehicle related depreciation
and amortization		-		-		40		4		-		44
Interest expense related to corporate
debt, net:
Interest expense (income)		3		92		-		(1)		-		94
Intercompany interest
expense (income)		(8)		(92)		100		-		-		-
Transaction-related costs		36		-		-		-		-		36
Total expenses		38		3		2,049		970		(514)		2,546
Income (loss) before income taxes
and equity in earnings of
subsidiaries		(38)		(3)		69		233		(161)		100
Provision for (benefit from) income
taxes		(12)		(1)		32		22		-		41
Equity in earnings (loss) of
subsidiaries		85		87		50		-		(222)		-
Net income (loss)	$	59	$	85	$	87	$	211	$	(383)	$	59

Three Months Ended June 30, 2010

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Revenues
Vehicle rental	$	-	$	-	$	822	$	139	$	-	$	961
Other		1		-		243		437		(348)		333
Net revenues		1		-		1,065		576		(348)		1,294

Expenses
Operating		2		3		515		119		-		639
Vehicle depreciation and lease
charges, net		-		-		290		281		(232)		339
Selling, general and administrative		3		-		120		20		-		143
Vehicle interest, net		-		-		72		37		(33)		76
Non-vehicle related depreciation
and amortization		-		-		21		2		-		23
Interest expense related to corporate
debt, net:
Interest expense (income)		3		39		-		(1)		-		41
Intercompany interest
expense (income)		(4)		(39)		43		-		-		-
Transaction-related costs		2		-		-		-		-		2
Restructuring charges		-		-		2		-		-		2
Total expenses		6		3		1,063		458		(265)		1,265
Income (loss) before income taxes
and equity in earnings of
subsidiaries		(5)		(3)		2		118		(83)		29
Provision for (benefit from) income
taxes		(2)		-		2		3		-		3
Equity in earnings (loss) of
subsidiaries		29		32		32		-		(93)		-
Net income (loss)	$	26	$	29	$	32	$	115	$	(176)	$	26

Six Months Ended June 30, 2010

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Revenues
Vehicle rental	$	-	$	-	$	1,550	$	277	$	-	$	1,827
Other		1		-		445		807		(634)		619
Net revenues		1		-		1,995		1,084		(634)		2,446

Expenses
Operating		3		5		1,003		240		-		1,251
Vehicle depreciation and lease
charges, net		-		-		544		500		(408)		636
Selling, general and administrative		6		-		228		40		-		274
Vehicle interest, net		-		-		141		67		(58)		150
Non-vehicle related depreciation
and amortization		-		-		43		3		-		46
Interest expense related to corporate
debt, net:
Interest expense (income)		5		77		-		(1)		-		81
Intercompany interest
expense (income)		(6)		(77)		83		-		-		-
Early extinguishment of debt		-		40		-		-		-		40
Transaction-related costs		2		-		-		-		-		2
Restructuring charges		-		-		3		-		-		3
Total expenses		10		45		2,045		849		(466)		2,483
Income (loss) before income taxes
and equity in earnings of
subsidiaries		(9)		(45)		(50)		235		(168)		(37)
Provision for (benefit from) income
taxes		(4)		1		(31)		9		-		(25)
Equity in earnings (loss) of
subsidiaries		(7)		39		58		-		(90)		-
Net income (loss)	$	(12)	$	(7)	$	39	$	226	$	(258)	$	(12)

Consolidating Condensed Balance Sheets

As of June 30, 2011

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Assets
Current assets:
Cash and cash equivalents	$	7	$	486	$	2	$	150	$	-	$	645
Restricted cash		395		-		1		10		-		406
Receivables, net		-		136		168		113		-		417
Deferred income taxes		8		-		122		5		(3)		132
Other current assets		30		105		71		135		(35)		306
Total current assets		440		727		364		413		(38)		1,906

Property and equipment, net		-		64		297		44		-		405
Deferred income taxes		40		362		223		14		-		639
Goodwill		-		-		74		2		-		76
Other intangibles, net		-		7		382		95		-		484
Other non-current assets		151		106		6		12		-		275
Intercompany receivables (payables)		(38)		411		(564)		191		-		-
Investment in subsidiaries		485		1,251		2,495		-		(4,231)		-
Total assets exclusive of assets under
vehicle programs		1,078		2,928		3,277		771		(4,269)		3,785

Assets under vehicle programs:
Program cash		-		-		-		76		-		76
Vehicles, net		-		8		5		8,172		-		8,185
Receivables from vehicle manufacturers
and other		-		-		-		79		-		79
Investment in Avis Budget Rental Car
Funding (AESOP) LLC-related party		-		-		-		316		-		316
		-		8		5		8,643		-		8,656
Total assets	$	1,078	$	2,936	$	3,282	$	9,414	$	(4,269)	$	12,441

Liabilities and stockholders’ equity
Current liabilities:
Accounts payable and other current
liabilities	$	69	$	271	$	552	$	144	$	(30)	$	1,006
Current portion of long-term debt		-		3		3		-		-		6
Total current liabilities		69		274		555		144		(30)		1,012

Long-term debt		345		2,137		10		-		-		2,492
Other non-current liabilities		132		54		224		120		-		530
Total liabilities exclusive of liabilities
under vehicle programs		546		2,465		789		264		(30)		4,034

Liabilities under vehicle programs:
Debt		-		3		-		828		-		831
Due to Avis Budget Rental Car
Funding (AESOP) LLC-related party		-		-		-		5,456		-		5,456
Deferred income taxes		-		-		1,241		189		-		1,430
Other		-		-		1		157		-		158
		-		3		1,242		6,630		-		7,875
Total stockholders’ equity		532		468		1,251		2,520		(4,239)		532
Total liabilities and stockholders’
equity	$	1,078	$	2,936	$	3,282	$	9,414	$	(4,269)	$	12,441

As of December 31, 2010

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Assets
Current assets:
Cash and cash equivalents	$	257	$	513	$	3	$	138	$	-	$	911
Restricted cash		-		10		-		-		-		10
Receivables, net		-		77		148		90		-		315
Deferred income taxes		8		-		122		5		(5)		130
Other current assets		70		55		84		97		(34)		272
Total current assets		335		655		357		330		(39)		1,638

Property and equipment, net		-		61		321		43		-		425
Deferred income taxes		44		300		229		14		-		587
Goodwill		-		-		74		2		-		76
Other intangibles, net		-		7		382		92		-		481
Other non-current assets		140		97		11		24		(17)		255
Intercompany receivables (payables)		105		539		(792)		148		-		-
Investment in subsidiaries		337		1,112		2,392		-		(3,841)		-
Total assets exclusive of assets under
vehicle programs		961		2,771		2,974		653		(3,897)		3,462

Assets under vehicle programs:
Program cash		-		-		-		4		-		4
Vehicles, net		-		8		24		6,390		-		6,422
Receivables from vehicle manufacturers
and other		-		-		-		149		-		149
Investment in Avis Budget Rental Car
Funding (AESOP) LLC-related party		-		-		-		290		-		290
		-		8		24		6,833		-		6,865
Total assets	$	961	$	2,779	$	2,998	$	7,486	$	(3,897)	$	10,327

Liabilities and stockholders’ equity
Current liabilities:
Accounts payable and other current
liabilities	$	72	$	250	$	488	$	148	$	(33)	$	925
Current portion of long-term debt		-		4		4		-		-		8
Total current liabilities		72		254		492		148		(33)		933

Long-term debt		345		2,139		10		-		-		2,494
Other non-current liabilities		134		58		237		120		(14)		535
Total liabilities exclusive of liabilities
under vehicle programs		551		2,451		739		268		(47)		3,962

Liabilities under vehicle programs:
Debt		-		7		-		521		-		528
Due to Avis Budget Rental Car
Funding (AESOP) LLC-related party		-		-		-		3,987		-		3,987
Deferred income taxes		-		-		1,147		186		-		1,333
Other		-		-		-		107		-		107
		-		7		1,147		4,801		-		5,955
Total stockholders’ equity		410		321		1,112		2,417		(3,850)		410
Total liabilities and stockholders’
equity	$	961	$	2,779	$	2,998	$	7,486	$	(3,897)	$	10,327

Consolidating Condensed Statements of Cash Flows

Six Months Ended June 30, 2011

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total

Net cash provided by (used in) operating
activities	$	16	$	64	$	(112)	$	545	$	189	$	702

Investing activities
Property and equipment additions		-		(5)		(9)		(3)		-		(17)
Proceeds received on asset sales		-		4		2		-		-		6
Acquisition-related restricted cash		(401)		-		-		-		-		(401)
Other, net		-		(2)		-		(1)		-		(3)
Net cash used in investing activities
exclusive of vehicle programs		(401)		(3)		(7)		(4)		-		(415)

Vehicle programs:
Decrease (increase) in program cash		-		-		-		(71)		-		(71)
Investment in vehicles		-		(9)		(2)		(5,231)		-		(5,242)
Proceeds received on disposition
of vehicles		-		8		6		3,025		-		3,039
Investment in debt securities of AESOP
- related party		(400)		-		-		-		-		(400)
Proceeds from debt securities of AESOP
- related party		400		-		-		-		-		400
		-		(1)		4		(2,277)		-		(2,274)
Net cash used in investing activities		(401)		(4)		(3)		(2,281)		-		(2,689)

Financing activities
Principal payments on borrowings		-		(2)		(3)		-		-		(5)
Net intercompany transactions		148		(61)		118		(16)		(189)		-
Debt financing fees		(14)		(16)		-		-		-		(30)
Other, net		1		-		-		-		-		1
Net cash provided by (used in)
financing activities exclusive of
vehicle programs		135		(79)		115		(16)		(189)		(34)

Vehicle programs:
Proceeds from borrowings		-		-		-		5,974		-		5,974
Principal payments on borrowings		-		-		-		(4,213)		-		(4,213)
Other, net		-		(8)		(1)		(2)		-		(11)
		-		(8)		(1)		1,759		-		1,750
Net cash provided by (used in)
financing activities		135		(87)		114		1,743		(189)		1,716

Effect of changes in exchange rates
on cash and cash equivalents		-		-		-		5		-		5
Net (decrease) increase in cash and cash
equivalents		(250)		(27)		(1)		12		-		(266)
Cash and cash equivalents, beginning
of period		257		513		3		138		-		911
Cash and cash equivalents, end of period	$	7	$	486	$	2	$	150	$	-	$	645

Six Months Ended June 30, 2010

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total

Net cash provided by (used in) operating
activities	$	4	$	(64)	$	(10)	$	654	$	76	$	660

Investing activities
Property and equipment additions		-		(6)		(15)		(2)		-		(23)
Proceeds received on asset sales		-		7		-		1		-		8
Other, net		(3)		(1)		-		-		-		(4)
Net cash used in investing activities
exclusive of vehicle programs		(3)		-		(15)		(1)		-		(19)

Vehicle programs:
Decrease (increase) in program cash		-		-		-		113		-		113
Investment in vehicles		-		(11)		-		(5,437)		-		(5,448)
Proceeds received on disposition
of vehicles		-		11		6		3,110		-		3,127
Investment in debt securities of AESOP
- related party		(280)		-		-		-		-		(280)
Proceeds from debt securities of AESOP
- related party		280		-		-		-		-		280
		-		-		6		(2,214)		-		(2,208)
Net cash used in investing activities		(3)		-		(9)		(2,215)		-		(2,227)

Financing activities
Proceeds from borrowings		-		444		-		-		-		444
Principal payments on borrowings		-		(455)		(2)		-		-		(457)
Net intercompany transactions		(82)		119		38		1		(76)		-
Debt financing fees		-		(30)		-		-		-		(30)
Other, net		2		2		-		-		-		4
Net cash provided by (used in)
financing activities exclusive of
vehicle programs		(80)		80		36		1		(76)		(39)

Vehicle programs:
Proceeds from borrowings		-		-		-		5,626		-		5,626
Principal payments on borrowings		-		(1)		(12)		(4,216)		-		(4,229)
Net change in short-term borrowing		-		-		-		202		-		202
Other, net		-		(8)		(4)		-		-		(12)
		-		(9)		(16)		1,612		-		1,587
Net cash provided by (used in)
financing activities		(80)		71		20		1,613		(76)		1,548

Effect of changes in exchange rates
on cash and cash equivalents		-		-		-		(5)		-		(5)
Net (decrease) increase in cash and cash
equivalents		(79)		7		1		47		-		(24)
Cash and cash equivalents, beginning
of period		242		70		7		163		-		482
Cash and cash equivalents, end of period	$	163	$	77	$	8	$	210	$	-	$	458

- Definition

The entire disclosure for condensed financial information, including the financial position, cash flows, and the results of operations of the registrant (parent company) as of the same dates or for the same periods for which audited consolidated financial statements are being presented. Alternatively, the details of this disclosure can be reported by the specific parent company taxonomy elements, indicating the appropriate date and period contexts in an instance document.

+ References + Details

Subsequent Events

6 Months Ended

Jun. 30, 2011

Subsequent Events

Subsequent Events

16.Subsequent Events

On August 1, 2011, the shareholders of Avis Europe voted to approve the acquisition of Avis Europe by the Company.

* * * *

Basis of Presentation and Recently Issued Accounting Pronouncements (Tables)	6 Months Ended
	Jun. 30, 2011
Basis of Presentation and Recently Issued Accounting Pronouncements:
Basis of Presentation and Recently Issued Accounting Pronouncements	<p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";text-align:justify;text-justify:inter-ideograph;"><b>1.</b><b>Basis of Presentation and Recently Issued Accounting Pronouncements</b> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";text-align:justify;text-justify:inter-ideograph;"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><b><i>Basis of Presentation</i></b> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";">Avis Budget Group, Inc. provides car and truck rentals and ancillary services to businesses and consumers in the United States and internationally. The accompanying unaudited Consolidated Condensed Financial Statements include the accounts and transactions of Avis Budget Group, Inc. and its subsidiaries (“Avis Budget”), as well as entities in which Avis Budget 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 (“SEC”) for interim financial reporting.</p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";">The Company operates in the following business segments: </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><table cellspacing="0" style="vertical-align:top;font-family:Calibri;;border-collapse:collapse;margin-left:32.2pt;"><tr style=""><td style="vertical-align:top;font-family:Calibri;;width:18pt;padding:0 0.7pt 0 0.7pt;"><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><b></b><b>•</b></p></td><td style="vertical-align:top;font-family:Calibri;;width:455.2pt;vertical-align:bottom;padding:0 0.7pt 0 0.7pt;"><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><b>Domestic Car Rental</b>—provides car rentals and ancillary products and services in the United States.<br clear="all" /></p></td></tr><tr style=""><td style="vertical-align:top;font-family:Calibri;;width:18pt;padding:0 0.7pt 0 0.7pt;"><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><b></b><b>•</b></p></td><td style="vertical-align:top;font-family:Calibri;;width:455.2pt;vertical-align:bottom;padding:0 0.7pt 0 0.7pt;"><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><b>International Car Rental</b>—provides vehicle rentals and ancillary products and services primarily in Argentina, Australia, Canada, New Zealand, Puerto Rico and the U.S. Virgin Islands.<br clear="all" /></p></td></tr><tr style=""><td style="vertical-align:top;font-family:Calibri;;width:18pt;padding:0 0.7pt 0 0.7pt;"><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><b></b><b>•</b></p></td><td style="vertical-align:top;font-family:Calibri;;width:455.2pt;vertical-align:bottom;padding:0 0.7pt 0 0.7pt;"><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><b>Truck Rental</b>—provides truck rentals and related services to consumers and commercial users in the United States.</p></td></tr><tr><td style="margin:0;padding:0;border:none;width:16.85pt;" /><td style="margin:0;padding:0;border:none;width:420.35pt;" /></tr></table><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";">In presenting the Consolidated Condensed Financial Statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”), management makes estimates and assumptions that affect the amounts reported and related disclosures. Estimates, by their nature, are based on judgments and available information. Accordingly, actual results could differ from those estimates. In management’s opinion, the Consolidated Condensed Financial Statements contain all normal recurring 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 2010 Annual Report on Form 10-K. </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><i>Vehicle Programs.</i> 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 generation or 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.</p><p style="margin-left:0pt;margin-right:0pt;font-size:10.0pt;font-family:"Times New Roman";"><b><i></i></b> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><b><i></i></b><b><i>Pending Acquisition</i></b></p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";">In June 2011, the Company reached an agreement with Avis Europe plc (“Avis Europe”) to acquire all outstanding shares of Avis Europe for £635 million (approximately $1 billion). In August 2011, the shareholders of Avis Europe voted to approve the acquisition and the Company expects the acquisition to be completed in October 2011, subject to court approvals and regulatory clearances. As part of the agreement to acquire Avis Europe, the Company established an escrow account and purchased £246 million to be used in the funding of the acquisition. As a result, this cash has been classified as restricted cash on the Company’s Consolidated Condensed Balance Sheets as of June 30, 2011.</p><p style="margin-left:0pt;margin-right:0pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"><b><i></i></b><b><i>Transaction-related Costs</i></b></p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";">In conjunction with the Company’s announced agreement to acquire Avis Europe and potential acquisition of Dollar Thrifty Automotive Group (“Dollar Thrifty”), transaction-related costs including due-diligence, financing and other costs are now being classified separately in the Consolidated Condensed Statement of Operations for the three and six months ended June 30, 2011 and 2010. Certain related costs from the three and six months ended June 30, 2010 have been reclassified from selling, general and administrative expenses to transaction-related costs to conform to the current presentation. This reclassification had no impact on total expenses, income (loss) before income taxes, net income (loss) or earnings per share. Transaction-related costs in the future are also expected to include costs for the integration of the acquired business.</p><p style="margin-left:0pt;margin-right:0pt;font-size:10.0pt;font-family:"Times New Roman";"><i></i><b><i><br clear="all" style="page-break-before:always" /></i></b><b><i>Adoption of New Accounting Standards </i></b></p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";">In May 2011, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2011-04, “Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and International Financial Reporting Standards (“IFRS”)”, to “improve the comparability of fair value measurements presented and disclosed in financial statements prepared in accordance with U.S. GAAP and IFRS.” The Company will adopt this guidance on January 1, 2012, as required, and it is not expected to have a significant impact on its financial statements.</p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";"> </p><p style="margin-left:0pt;margin-right:0pt;margin-top:0pt;margin-bottom:.0001pt;font-size:10.0pt;font-family:"Times New Roman";">In June 2011, the FASB issued ASU No. 2011-05, “Presentation of Comprehensive Income”, which requires companies to present the total of comprehensive income, the components of net income, and the components of other comprehensive income either in a single continuous statement of comprehensive income or in two separate but consecutive statements. The Company plans to adopt this guidance on January 1, 2012, as required, and is assessing the manner in which it will present the required information.</p>

Restructuring Charges (Tables)

6 Months Ended

Jun. 30, 2011

Restructuring Charges:

Change in restructuring reserve

The utilization of the restructuring liability is recorded within the Company’s segments as follows:

	Domestic Car Rental		Total
Balance as of January 1, 2011	$	6	$	6
Cash payment/utilization		(5)		(5)
Balance as of June 30, 2011	$	1	$	1

Earnings Per Share (Tables)

6 Months Ended

Jun. 30, 2011

Earnings Per Share Footnote

Computation of basic and diluted earnings per share

The following table sets forth the computation of basic and diluted earnings per share (“EPS”):

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Net income (loss) for basic EPS	$	52	$	26	$	59	$	(12)
Convertible debt interest, net of tax		2		2		3		0
Net income (loss) for diluted EPS	$	54	$	28	$	62	$	(12)

Basic weighted average shares outstanding ^(a)		105.4		103.1		105.0		102.8
Options, warrants and non-vested stock		2.4		2.3		2.5		0
Convertible debt		21.2		21.2		21.2		0
Diluted weighted average shares outstanding		129.0		126.6		128.7		102.8

Earnings per share:
Basic	$	0.49	$	0.25	$	0.56	$	(0.12)
Diluted	$	0.42	$	0.22	$	0.49	$	(0.12)

__________

^(a)

Outstanding common stock equivalents that were anti-dilutive

The following table summarizes the Company’s outstanding common stock equivalents that were anti-dilutive and therefore excluded from the computation of diluted EPS:

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Options ^(a)		1.0		2.1		1.1		5.7
Warrants ^(b)		21.2		21.2		21.2		21.2
Shares underlying 3½% Convertible Senior Notes ^(c)		0		0		0		21.2

__________

^(a)	The weighted average exercise price for anti-dilutive options for the three and six months ended June 30, 2011 was $25.56 and $24.80, respectively. For the three months ended June 30, 2010, the weighted average exercise price for anti dilutive options was $20.97. For the six months ended June 30, 2010, all outstanding stock options were anti-dilutive, as the Company incurred a net loss.
^(b)	Represents all outstanding warrants for the three and six months ended June 30, 2011 and 2010. The exercise price for the warrants outstanding for the three and six months ended June 30, 2011 and 2010 was $22.50.
^(c)	Represents the number of shares issuable pursuant to the 3½% convertible senior notes.

Intangible Assets (Tables)

6 Months Ended

Jun. 30, 2011

Intangible Assets

Intangible assets

Intangible assets consisted of:

	As of June 30, 2011								As of December 31, 2010
	Gross Carrying Amount		Accumulated Amortization			Net Carrying Amount			Gross Carrying Amount			Accumulated Amortization			Net Carrying Amount
Amortizable Intangible Assets
Franchise agreements	$	73		$	25		$	48		$	73		$	24		$	49
Customer lists		19			10			9			19			10			9
Other		2			1			1			2			1			1
	$	94		$	36		$	58		$	94		$	35		$	59
Unamortizable Intangible Assets
Goodwill	$	76								$	76
Trademarks ^(a)	$	426								$	422

__________

^(a)	The increase in trademarks is primarily due to fluctuations in foreign currency.

Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2011

Financial Instruments

Carrying amounts and estimated fair values of debt instruments

The carrying amounts and estimated fair values of debt instruments are as follows:

	As of June 30, 2011				As of December 31, 2010
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Corporate debt
Current portion of long-term debt	$	6	$	6	$	8	$	8
Long-term debt, excluding convertible debt		2,147		2,194		2,149		2,211
Convertible debt		345		440		345		407

Debt under vehicle programs
Vehicle-backed debt due to Avis Budget Rental Car Funding
(AESOP) LLC	$	5,456	$	5,564	$	3,987	$	4,045
Vehicle-backed debt		828		840		521		526

Fair value of derivative instruments, by balance sheet location

Fair values of derivative instruments are as follows:

	As of June 30, 2011				As of December 31, 2010
	Fair Value, Asset Derivatives		Fair Value, Liability Derivatives		Fair Value, Asset Derivatives		Fair Value, Liability Derivatives
Derivatives designated as hedging instruments ^(a)
Interest rate swaps ^(b)	$	0	$	4	$	0	$	4

Derivatives not designated as hedging instruments ^(a)
Foreign exchange forward contracts ^(c)		0		22		0		3
Foreign exchange swaps ^(e)		1		0		0		0
Interest rate swaps ^(b)		0		0		0		1
Interest rate contracts ^(d)		1		3		1		7
Commodity contracts ^(e)		1		0		0		0
Total	$	3	$	29	$	1	$	15

____________

^(a)	Amounts in this table exclude derivatives issued by Avis Budget Rental Car Funding (AESOP) LLC (“Avis Budget Rental Car Funding”), as it is not consolidated by the Company; however, certain amounts related to the derivatives held by Avis Budget Rental Car Funding are included within accumulated other comprehensive income, as discussed in Note 12—Stockholders’ Equity.
^(b)	Included in other non-current liabilities.
^(c)	Included in other current liabilities.
^(d)	Included in assets under vehicle programs and liabilities under vehicle programs.
^(e)	Included in other current assets.

Schedule of Derivative Instruments Gain Loss in Statement of Financial Statements

The effect of derivatives recognized in the Company’s Consolidated Condensed Financial Statements are as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Derivatives designated as hedging instruments
Interest rate swaps ^(a)	$	6	$	8	$	16	$	14

Derivatives not designated as hedging instruments
Foreign exchange forward contracts ^(b)	$	(19)	$	2	$	(21)	$	1
Foreign exchange swaps ^(c)		3		(2)		4		(2)
Interest rate contracts ^(d)		0		0		0		1
Commodity contracts ^(c)		0		(2)		1		0

____________

^(a)	Amounts are recognized as a component of other comprehensive income within stockholders’ equity, net of tax.
^(b)	For the three months ended June 30, 2011, includes a $17 million loss in transaction-related costs and a $2 million loss in operating expenses. For the six months ended June 30, 2011, includes a $17 million loss in transaction-related costs and $4 million loss in operating expenses. For the three and six months ended June 30, 2010, the amounts are included in operating expenses.
^(c)	Included in operating expenses.
^(d)	Included in interest expense.

- Definition

Tabular disclosure of the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments, assets, and liabilities. Such certain disclosures about the financial instruments, assets, and liabilities include: (1) the fair value of the required items together with their carrying amounts (as appropriate) and (2) the methodology and assumptions used in developing such estimates of fair value.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 10
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 14
-Subparagraph a
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 15
-Subparagraph b-d
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 157
-Paragraph 32
-Subparagraph a, c(1), c(2), c(3), d
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 159
-Paragraph 18
-Subparagraph c(2), d, e, f
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 159
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-Subparagraph a, b, c(1), d(1)
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
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Reference 12: http://www.xbrl.org/2003/role/presentationRef
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-Topic 825
-SubTopic 10
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-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6447952&loc=d3e13220-108610

+ Details

- Definition

Tabular disclosure of the location and amount of gains and losses reported in the statement of financial performance, or when applicable, the statement of financial position. For example, (a) gains and losses recognized in the income statement on derivative instruments designated and qualifying as hedging instruments in fair value hedges and related hedged items designated and qualifying in fair value hedges and (b) gains and losses initially recognized in other comprehensive income on derivative instruments designated and qualifying as cash flow hedges.

+ References + Details

Vehicle Rental Activities (Tables)

6 Months Ended

Jun. 30, 2011

Vehicle Rental Activities

Components of the Company's vehicles

The components of the Company’s vehicles, net within assets under vehicle programs are as follows:

	As of June 30, 2011		As of December 31, 2010
Rental vehicles	$	9,144	$	7,007
Less: Accumulated depreciation		(1,239)		(1,135)
		7,905		5,872
Vehicles held for sale		280		550
Vehicles, net	$	8,185	$	6,422

Components of vehicle depreciation and lease charges

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

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Depreciation expense	$	358	$	336	$	663	$	626
Lease charges		10		4		20		19
Gain on sales of vehicles, net and vehicle disposition costs		(109)		(1)		(148)		(9)
Vehicle depreciation and lease charges, net	$	259	$	339	$	535	$	636

Accounts Payable and Other Current Liabilities (Tables)

6 Months Ended

Jun. 30, 2011

Accounts Payable and Other Current Liabilities

Schedule of accounts payable and other current liabilities

Accounts payable and other current liabilities consisted of:

	As of June 30, 2011		As of December 31, 2010
Accounts payable	$	237	$	209
Accrued payroll and related		149		155
Public liability and property damage insurance liabilities − current		94		93
Advertising and marketing		60		53
Other		466		415
	$	1,006	$	925

Long Term Debt and Borrowing Arrangements (Tables)

6 Months Ended

Jun. 30, 2011

Long Term Debt and Borrowing Arrangements

Schedule of long-term debt

Long-term debt consisted of:

	Maturity Dates	As of June 30, 2011		As of December 31, 2010
Floating rate term loan ^(a)	April 2014	$	269	$	271
Floating rate notes	May 2014		250		250
7⅝% notes	May 2014		200		200
3½% convertible notes	October 2014		345		345
7¾% notes	May 2016		375		375
9⅝% notes	March 2018		445		444
8¼% notes	January 2019		602		602
			2,486		2,487
Other			12		15
Total long-term debt			2,498		2,502
Less: Current portion			6		8
Long-term debt			2,492		2,494

__________

^(a)

Schedule of committed credit facilities

At June 30, 2011, the committed credit facilities available to the Company and/or its subsidiaries included:

	Total Capacity		Outstanding Borrowings		Letters of Credit Issued		Available Capacity
Revolving credit facility maturing 2016 ^(a)	$	1,200	$	0	$	651	$	549

__________

^(a)

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 22
-Article 5

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
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-Name Accounting Standards Codification
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-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
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-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
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-Publisher FASB
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-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690

+ Details

Debt Under Vehicle Programs and Borrowing Arrangements (Tables)

6 Months Ended

Jun. 30, 2011

Debt Under Vehicle Programs and Borrowing Arrangements

Schedule of debt under vehicle programs

Debt under vehicle programs (including related party debt due to Avis Budget Rental Car Funding (AESOP) LLC) consisted of:

	As of June 30, 2011		As of December 31, 2010
Debt due to Avis Budget Rental Car Funding ^(a)	$	5,456	$	3,987
Budget Truck Funding program		208		244
Other ^(b)		623		284
	$	6,287	$	4,515

__________

^(a)	The increase reflects increased borrowing within Domestic Car Rental operations to fund an increase in the size of the Company’s domestic car rental fleet.
^(b)	The increase principally reflects increased borrowing within International Car Rental operations due to an increase in the size of the Company’s international vehicle rental fleet.

Schedule of contractual 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 June 30, 2011:

		Vehicle- Backed Debt
Within 1 year ^(a)	$	2,518
Between 1 and 2 years		1,192
Between 2 and 3 years		649
Between 3 and 4 years		936
Between 4 and 5 years		538
Thereafter		454
	$	6,287

__________

^(a)	Vehicle-backed debt maturing within one year includes term asset-backed securities maturities of approximately $1.1 billion and bank and bank-sponsored borrowings of $1.4 billion.

Schedule of available funding under the vehicle program

As of June 30, 2011, 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		Available Capacity
Debt due to Avis Budget Rental Car Funding ^(b)	$	6,591	$	5,456	$	1,135
Budget Truck financing ^(c)		208		208		0
Other ^(d)		913		623		290
	$	7,712	$	6,287	$	1,425

_____________

^(a)	Capacity is subject to maintaining sufficient assets to collateralize debt.
^(b)	The outstanding debt is collateralized by approximately $7.0 billion of underlying vehicles and related assets.
^(c)	The outstanding debt is collateralized by $366 million of underlying vehicles and related assets.
^(d)	The outstanding debt is collateralized by approximately $1.3 billion of underlying vehicles and related assets.

Stockholders' Equity (Tables)

6 Months Ended

Jun. 30, 2011

Stockholders' Equity

Accumulated Other Comprehensive Income

	Currency Translation Adjustments		Net Unrealized Gains (Losses) on Cash Flow Hedges		Net Unrealized Gains on Available-for Sale Securities		Minimum Pension Liability Adjustment		Accumulated Other Comprehensive Income
Balance, January 1, 2011	$	182	$	(46)	$	0	$	(44)	$	92
Current period change		38		16		2		0		56
Balance, June 30, 2011	$	220	$	(30)	$	2	$	(44)	$	148

Total comprehensive income

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
Net income (loss)	$	52	$	26	$	59	$	(12)

Other comprehensive income (loss):
Currency translation adjustment		29		(39)		38		(27)
Reclassification of unrealized losses on
cash flow hedges to net loss, net of tax		0		0		0		22
Unrealized gains on available-for-sale securities		1		0		2		0
Unrealized gains on cash flow hedges, net of tax		6		8		16		14
		36		(31)		56		9
Total comprehensive income (loss)	$	88	$	(5)	$	115	$	(3)

Stock Based Compensation (Tables)

3 Months Ended

6 Months Ended

Mar. 31, 2010

Jun. 30, 2011

Stock Based Compensation

Assumptions used to estimate the fair values of the market-vesting restricted stock awards

	Six Months Ended June 30,
	2011	2010
Expected volatility of stock price	48%	54%
Risk-free interest rate	0.97% - 1.21%	1.47% - 1.74%
Valuation period	3-4 years	3-5 years
Dividend yield	0.0%	0.0%

Schedule Of Share-Based Payment Award Stock Options Valuation Assumptions

	Three Months Ended March 31, 2010
Expected volatility of stock price	54%
Risk-free interest rate	2.82%
Expected life of options	6 years
Dividend yield	0.0%

Stock Based Compensation Activity

The activity related to the Company’s restricted stock units (“RSUs”) and stock option plans consisted of (in thousands of shares):

	RSUs				Options
	Number of RSUs		Weighted Average Grant Price		Number of Options		Weighted Average Exercise Price
Balance at January 1, 2011		3,059	$	13.64		5,026	$	7.22
Granted at fair market value		986		14.44		0		0
Vested/exercised ^(a)		(723)		14.42		(1,205)		0.98
Canceled		(303)		23.50		(235)		20.35
Balance at June 30, 2011 ^{(b) (c)}		3,019		12.72		3,586		8.46

__________

^(a)	During the six months ended June 30, 2011, zero performance-based RSUs vested. Stock options exercised during the six months ended June 30, 2011 had intrinsic value of $18 million.
^(b)	As of June 30, 2011, the Company’s outstanding RSUs had aggregate intrinsic value of $52 million; aggregate unrecognized compensation expense related to RSUs amounted to $24 million; and the balance of RSUs at June 30, 2011 consists of 1,279,000 related to time-based awards and 1,740,000 related to market-vesting and performance-based awards. Approximately 6,000 time-based and 3,000 performance-based RSUs are eligible to vest in 2011, if applicable service and performance criteria are satisfied.
^(c)	As of June 30, 2011, the Company’s outstanding stock options had aggregate intrinsic value of $40 million; there were 2.6 million “in-the-money” stock options; aggregate unrecognized compensation expense related to unvested stock options amounted to $1 million. Approximately 3.5 million stock options are exercisable as of June 30, 2011.

Schedule of Share-Based Compensation Shares Authorized Under Stock Option Plans by Exercise Price Range

Range of Exercise Prices	Weighted Average Contractual Life (years)	Number of Options
Less than $10.00	7.6	2,402
$10.01 to $15.00	8.6	160
$15.01 to $20.00	1.4	157
$20.01 to $25.00	0	0
$25.01 to $30.00	0.6	857
$30.01 and above	3.2	10
	5.7	3,586

Segment Information (Tables)

6 Months Ended

Jun. 30, 2011

Segment Information

Segment information

	Three Months Ended June 30,
	2011				2010
	Revenues		Adjusted EBITDA		Revenues		Adjusted EBITDA
Domestic Car Rental	$	1,055	$	144	$	981	$	52
International Car Rental		254		32		212		32
Truck Rental		103		18		100		16
Corporate and Other ^(a)		0		(3)		1		(5)
Total Company	$	1,412		191	$	1,294		95

Less: Non-vehicle related depreciation and amortization				21				23
Interest expense related to corporate debt, net				47				41
Transaction-related costs ^(b)				34				2
Income before income taxes			$	89			$	29

	Six Months Ended June 30,
	2011				2010
	Revenues		Adjusted EBITDA		Revenues		Adjusted EBITDA
Domestic Car Rental	$	1,984	$	201	$	1,861	$	68
International Car Rental		484		62		413		62
Truck Rental		178		18		171		11
Corporate and Other ^(a)		0		(7)		1		(9)
Total Company	$	2,646		274	$	2,446		132

Less: Non-vehicle related depreciation and amortization				44				46
Interest expense related to corporate debt, net
Interest expense				94				81
Early extinguishment of debt				0				40
Transaction-related costs ^(b)				36				2
Income (loss) before income taxes			$	100			$	(37)

__________

^(a)	Includes unallocated corporate overhead and the elimination of transactions between segments.
^(b)	During the three and six months ended June 30, 2011, the Company incurred $34 million and $36 million, respectively, in transaction-related costs related to due diligence, financing and other expenses associated with its announced agreement to acquire Avis Europe, including $23 million of losses on foreign-currency transactions related to the purchase price, and the potential acquisition of Dollar Thrifty. During the three and six months ended June 30, 2010, the Company incurred $2 million of expenses related to the potential acquisition of Dollar Thrifty.

- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

+ References + Details

Guarantor and Non Guarantor Consolidating Condensed Financial Statements (Tables)

6 Months Ended

Jun. 30, 2011

Guarantor and Non Guarantor Consolidating Condensed Financial Statements

Consolidating Condensed Statements of Operations

Consolidating Condensed Statements of Operations

Three Months Ended June 30, 2011

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Revenues
Vehicle rental	$	-	$	-	$	867	$	167	$	-	$	1,034
Other		-		-		269		473		(364)		378
Net revenues		-		-		1,136		640		(364)		1,412

Expenses
Operating		1		1		576		147		-		725
Vehicle depreciation and lease
charges, net		-		-		209		294		(244)		259
Selling, general and administrative		2		-		142		25		-		169
Vehicle interest, net		-		-		55		47		(34)		68
Non-vehicle related depreciation
and amortization		-		-		19		2		-		21
Interest expense related to corporate
debt, net:
Interest expense (income)		2		46		-		(1)		-		47
Intercompany interest
expense (income)		(3)		(46)		49		-		-		-
Transaction-related costs		34		-		-		-		-		34
Total expenses		36		1		1,050		514		(278)		1,323
Income (loss) before income taxes
and equity in earnings of
subsidiaries		(36)		(1)		86		126		(86)		89
Provision for (benefit from) income
taxes		(11)		-		36		12		-		37
Equity in earnings (loss) of
subsidiaries		77		78		28		-		(183)		-
Net income (loss)	$	52	$	77	$	78	$	114	$	(269)	$	52

Six Months Ended June 30, 2011

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Revenues
Vehicle rental	$	-	$	-	$	1,628	$	324	$	-	$	1,952
Other		-		-		490		879		(675)		694
Net revenues		-		-		2,118		1,203		(675)		2,646

Expenses
Operating		1		3		1,095		284		-		1,383
Vehicle depreciation and lease
charges, net		-		-		431		548		(444)		535
Selling, general and administrative		6		-		268		48		-		322
Vehicle interest, net		-		-		115		87		(70)		132
Non-vehicle related depreciation
and amortization		-		-		40		4		-		44
Interest expense related to corporate
debt, net:
Interest expense (income)		3		92		-		(1)		-		94
Intercompany interest
expense (income)		(8)		(92)		100		-		-		-
Transaction-related costs		36		-		-		-		-		36
Total expenses		38		3		2,049		970		(514)		2,546
Income (loss) before income taxes
and equity in earnings of
subsidiaries		(38)		(3)		69		233		(161)		100
Provision for (benefit from) income
taxes		(12)		(1)		32		22		-		41
Equity in earnings (loss) of
subsidiaries		85		87		50		-		(222)		-
Net income (loss)	$	59	$	85	$	87	$	211	$	(383)	$	59

Three Months Ended June 30, 2010

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Revenues
Vehicle rental	$	-	$	-	$	822	$	139	$	-	$	961
Other		1		-		243		437		(348)		333
Net revenues		1		-		1,065		576		(348)		1,294

Expenses
Operating		2		3		515		119		-		639
Vehicle depreciation and lease
charges, net		-		-		290		281		(232)		339
Selling, general and administrative		3		-		120		20		-		143
Vehicle interest, net		-		-		72		37		(33)		76
Non-vehicle related depreciation
and amortization		-		-		21		2		-		23
Interest expense related to corporate
debt, net:
Interest expense (income)		3		39		-		(1)		-		41
Intercompany interest
expense (income)		(4)		(39)		43		-		-		-
Transaction-related costs		2		-		-		-		-		2
Restructuring charges		-		-		2		-		-		2
Total expenses		6		3		1,063		458		(265)		1,265
Income (loss) before income taxes
and equity in earnings of
subsidiaries		(5)		(3)		2		118		(83)		29
Provision for (benefit from) income
taxes		(2)		-		2		3		-		3
Equity in earnings (loss) of
subsidiaries		29		32		32		-		(93)		-
Net income (loss)	$	26	$	29	$	32	$	115	$	(176)	$	26

Six Months Ended June 30, 2010

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Revenues
Vehicle rental	$	-	$	-	$	1,550	$	277	$	-	$	1,827
Other		1		-		445		807		(634)		619
Net revenues		1		-		1,995		1,084		(634)		2,446

Expenses
Operating		3		5		1,003		240		-		1,251
Vehicle depreciation and lease
charges, net		-		-		544		500		(408)		636
Selling, general and administrative		6		-		228		40		-		274
Vehicle interest, net		-		-		141		67		(58)		150
Non-vehicle related depreciation
and amortization		-		-		43		3		-		46
Interest expense related to corporate
debt, net:
Interest expense (income)		5		77		-		(1)		-		81
Intercompany interest
expense (income)		(6)		(77)		83		-		-		-
Early extinguishment of debt		-		40		-		-		-		40
Transaction-related costs		2		-		-		-		-		2
Restructuring charges		-		-		3		-		-		3
Total expenses		10		45		2,045		849		(466)		2,483
Income (loss) before income taxes
and equity in earnings of
subsidiaries		(9)		(45)		(50)		235		(168)		(37)
Provision for (benefit from) income
taxes		(4)		1		(31)		9		-		(25)
Equity in earnings (loss) of
subsidiaries		(7)		39		58		-		(90)		-
Net income (loss)	$	(12)	$	(7)	$	39	$	226	$	(258)	$	(12)

Consolidating Condensed Balance Sheets

Consolidating Condensed Balance Sheets

As of June 30, 2011

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Assets
Current assets:
Cash and cash equivalents	$	7	$	486	$	2	$	150	$	-	$	645
Restricted cash		395		-		1		10		-		406
Receivables, net		-		136		168		113		-		417
Deferred income taxes		8		-		122		5		(3)		132
Other current assets		30		105		71		135		(35)		306
Total current assets		440		727		364		413		(38)		1,906

Property and equipment, net		-		64		297		44		-		405
Deferred income taxes		40		362		223		14		-		639
Goodwill		-		-		74		2		-		76
Other intangibles, net		-		7		382		95		-		484
Other non-current assets		151		106		6		12		-		275
Intercompany receivables (payables)		(38)		411		(564)		191		-		-
Investment in subsidiaries		485		1,251		2,495		-		(4,231)		-
Total assets exclusive of assets under
vehicle programs		1,078		2,928		3,277		771		(4,269)		3,785

Assets under vehicle programs:
Program cash		-		-		-		76		-		76
Vehicles, net		-		8		5		8,172		-		8,185
Receivables from vehicle manufacturers
and other		-		-		-		79		-		79
Investment in Avis Budget Rental Car
Funding (AESOP) LLC-related party		-		-		-		316		-		316
		-		8		5		8,643		-		8,656
Total assets	$	1,078	$	2,936	$	3,282	$	9,414	$	(4,269)	$	12,441

Liabilities and stockholders’ equity
Current liabilities:
Accounts payable and other current
liabilities	$	69	$	271	$	552	$	144	$	(30)	$	1,006
Current portion of long-term debt		-		3		3		-		-		6
Total current liabilities		69		274		555		144		(30)		1,012

Long-term debt		345		2,137		10		-		-		2,492
Other non-current liabilities		132		54		224		120		-		530
Total liabilities exclusive of liabilities
under vehicle programs		546		2,465		789		264		(30)		4,034

Liabilities under vehicle programs:
Debt		-		3		-		828		-		831
Due to Avis Budget Rental Car
Funding (AESOP) LLC-related party		-		-		-		5,456		-		5,456
Deferred income taxes		-		-		1,241		189		-		1,430
Other		-		-		1		157		-		158
		-		3		1,242		6,630		-		7,875
Total stockholders’ equity		532		468		1,251		2,520		(4,239)		532
Total liabilities and stockholders’
equity	$	1,078	$	2,936	$	3,282	$	9,414	$	(4,269)	$	12,441

As of December 31, 2010

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total
Assets
Current assets:
Cash and cash equivalents	$	257	$	513	$	3	$	138	$	-	$	911
Restricted cash		-		10		-		-		-		10
Receivables, net		-		77		148		90		-		315
Deferred income taxes		8		-		122		5		(5)		130
Other current assets		70		55		84		97		(34)		272
Total current assets		335		655		357		330		(39)		1,638

Property and equipment, net		-		61		321		43		-		425
Deferred income taxes		44		300		229		14		-		587
Goodwill		-		-		74		2		-		76
Other intangibles, net		-		7		382		92		-		481
Other non-current assets		140		97		11		24		(17)		255
Intercompany receivables (payables)		105		539		(792)		148		-		-
Investment in subsidiaries		337		1,112		2,392		-		(3,841)		-
Total assets exclusive of assets under
vehicle programs		961		2,771		2,974		653		(3,897)		3,462

Assets under vehicle programs:
Program cash		-		-		-		4		-		4
Vehicles, net		-		8		24		6,390		-		6,422
Receivables from vehicle manufacturers
and other		-		-		-		149		-		149
Investment in Avis Budget Rental Car
Funding (AESOP) LLC-related party		-		-		-		290		-		290
		-		8		24		6,833		-		6,865
Total assets	$	961	$	2,779	$	2,998	$	7,486	$	(3,897)	$	10,327

Liabilities and stockholders’ equity
Current liabilities:
Accounts payable and other current
liabilities	$	72	$	250	$	488	$	148	$	(33)	$	925
Current portion of long-term debt		-		4		4		-		-		8
Total current liabilities		72		254		492		148		(33)		933

Long-term debt		345		2,139		10		-		-		2,494
Other non-current liabilities		134		58		237		120		(14)		535
Total liabilities exclusive of liabilities
under vehicle programs		551		2,451		739		268		(47)		3,962

Liabilities under vehicle programs:
Debt		-		7		-		521		-		528
Due to Avis Budget Rental Car
Funding (AESOP) LLC-related party		-		-		-		3,987		-		3,987
Deferred income taxes		-		-		1,147		186		-		1,333
Other		-		-		-		107		-		107
		-		7		1,147		4,801		-		5,955
Total stockholders’ equity		410		321		1,112		2,417		(3,850)		410
Total liabilities and stockholders’
equity	$	961	$	2,779	$	2,998	$	7,486	$	(3,897)	$	10,327

Consolidating Condensed Statements of Cash Flows

Consolidating Condensed Statements of Cash Flows

Six Months Ended June 30, 2011

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total

Net cash provided by (used in) operating
activities	$	16	$	64	$	(112)	$	545	$	189	$	702

Investing activities
Property and equipment additions		-		(5)		(9)		(3)		-		(17)
Proceeds received on asset sales		-		4		2		-		-		6
Acquisition-related restricted cash		(401)		-		-		-		-		(401)
Other, net		-		(2)		-		(1)		-		(3)
Net cash used in investing activities
exclusive of vehicle programs		(401)		(3)		(7)		(4)		-		(415)

Vehicle programs:
Decrease (increase) in program cash		-		-		-		(71)		-		(71)
Investment in vehicles		-		(9)		(2)		(5,231)		-		(5,242)
Proceeds received on disposition
of vehicles		-		8		6		3,025		-		3,039
Investment in debt securities of AESOP
- related party		(400)		-		-		-		-		(400)
Proceeds from debt securities of AESOP
- related party		400		-		-		-		-		400
		-		(1)		4		(2,277)		-		(2,274)
Net cash used in investing activities		(401)		(4)		(3)		(2,281)		-		(2,689)

Financing activities
Principal payments on borrowings		-		(2)		(3)		-		-		(5)
Net intercompany transactions		148		(61)		118		(16)		(189)		-
Debt financing fees		(14)		(16)		-		-		-		(30)
Other, net		1		-		-		-		-		1
Net cash provided by (used in)
financing activities exclusive of
vehicle programs		135		(79)		115		(16)		(189)		(34)

Vehicle programs:
Proceeds from borrowings		-		-		-		5,974		-		5,974
Principal payments on borrowings		-		-		-		(4,213)		-		(4,213)
Other, net		-		(8)		(1)		(2)		-		(11)
		-		(8)		(1)		1,759		-		1,750
Net cash provided by (used in)
financing activities		135		(87)		114		1,743		(189)		1,716

Effect of changes in exchange rates
on cash and cash equivalents		-		-		-		5		-		5
Net (decrease) increase in cash and cash
equivalents		(250)		(27)		(1)		12		-		(266)
Cash and cash equivalents, beginning
of period		257		513		3		138		-		911
Cash and cash equivalents, end of period	$	7	$	486	$	2	$	150	$	-	$	645

Six Months Ended June 30, 2010

	Parent		Subsidiary Issuers		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Total

Net cash provided by (used in) operating
activities	$	4	$	(64)	$	(10)	$	654	$	76	$	660

Investing activities
Property and equipment additions		-		(6)		(15)		(2)		-		(23)
Proceeds received on asset sales		-		7		-		1		-		8
Other, net		(3)		(1)		-		-		-		(4)
Net cash used in investing activities
exclusive of vehicle programs		(3)		-		(15)		(1)		-		(19)

Vehicle programs:
Decrease (increase) in program cash		-		-		-		113		-		113
Investment in vehicles		-		(11)		-		(5,437)		-		(5,448)
Proceeds received on disposition
of vehicles		-		11		6		3,110		-		3,127
Investment in debt securities of AESOP
- related party		(280)		-		-		-		-		(280)
Proceeds from debt securities of AESOP
- related party		280		-		-		-		-		280
		-		-		6		(2,214)		-		(2,208)
Net cash used in investing activities		(3)		-		(9)		(2,215)		-		(2,227)

Financing activities
Proceeds from borrowings		-		444		-		-		-		444
Principal payments on borrowings		-		(455)		(2)		-		-		(457)
Net intercompany transactions		(82)		119		38		1		(76)		-
Debt financing fees		-		(30)		-		-		-		(30)
Other, net		2		2		-		-		-		4
Net cash provided by (used in)
financing activities exclusive of
vehicle programs		(80)		80		36		1		(76)		(39)

Vehicle programs:
Proceeds from borrowings		-		-		-		5,626		-		5,626
Principal payments on borrowings		-		(1)		(12)		(4,216)		-		(4,229)
Net change in short-term borrowing		-		-		-		202		-		202
Other, net		-		(8)		(4)		-		-		(12)
		-		(9)		(16)		1,612		-		1,587
Net cash provided by (used in)
financing activities		(80)		71		20		1,613		(76)		1,548

Effect of changes in exchange rates
on cash and cash equivalents		-		-		-		(5)		-		(5)
Net (decrease) increase in cash and cash
equivalents		(79)		7		1		47		-		(24)
Cash and cash equivalents, beginning
of period		242		70		7		163		-		482
Cash and cash equivalents, end of period	$	163	$	77	$	8	$	210	$	-	$	458

Restructuring Charges (Details) - DomesticCarRentalMember[Member] $ in Millions	6 Months Ended
	Jun. 30, 2011 USD ($)
Restructuring Charges:
Remaining liability relating to restructuring actions	$ 1
Restructuring Cost and Reserve
Balance, beginning	6
Cash payment/utilization	(5)
Balance, ending	$ 1

Earnings Per Share (Details)	3 Months Ended				6 Months Ended
Earnings Per Share (Details)	Jun. 30, 2011 shares	Jun. 30, 2011 USD ($) $ / shares	Jun. 30, 2010 shares	Jun. 30, 2010 USD ($) $ / shares	Jun. 30, 2011 shares	Jun. 30, 2011 USD ($) $ / shares	Jun. 30, 2010 shares	Jun. 30, 2010 USD ($)
Earnings Per Share Footnote
Net income (loss) for basic EPS \| $		$ 52,000,000		$ 26,000,000		$ 59,000,000		$ (12,000,000)
Convertible debt interest, net of tax \| $		2,000,000		2,000,000		3,000,000		0
Net income (loss) for diluted EPS \| $		54,000,000		28,000,000		62,000,000		(12,000,000)
Basic weighted average shares outstanding (in shares)	105.4		103.1		105.0		102.8
Options, warrants and non-vested stock (in shares)	2.4		2.3		2.5		0
Convertible debt (in shares)	21.2		21.2		21.2		0
Diluted weighted average shares outstanding (in shares)	129.0		126.6		128.7		102.8
Earnings per share:
Basic (in dollars per share)	shares 0.49		shares 0.25		shares 0.56		shares (0.12)
Diluted (in dollars per share)	shares 0.42		shares 0.22		shares 0.49		shares (0.12)
Antidilutive Securities Excluded from Computation of Earnings Per Share
Exercise price for the warrants outstanding (in dollars per share) \| $		$ 22.50		$ 22.50		$ 22.50		$ 22.50
Weighted average exercise price for anti-dilutive options (in dollars per share) \| $ / shares		$ 25.56		$ 20.97		$ 24.80
Antidilutive Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share
Anti-dilutive shares (in shares)	1.0		2.1		1.1		5.7
Warrants [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share
Anti-dilutive shares (in shares)	21.2		21.2		21.2		21.2
Convertible Debt Securities [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share
Anti-dilutive shares (in shares)	0		0		0		21.2

Other Current Assets (Details) - USD ($) $ in Millions	Jun. 30, 2011	Dec. 31, 2010
Other Current Assets
Restricted cash	$ 406	$ 10
Total Other Current Assets	$ 306	$ 272

Intangible Assets (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended			12 Months Ended
Intangible Assets (Details) - USD ($) $ in Millions	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2011	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2010
Finite-Lived Intangible Assets
Amortization expense relating to all intangible assets	$ 1	$ 1		$ 1	$ 2
Amortization expense for remainder of the year			$ 2
Amortization expense for each of the five fiscal years						$ 3	$ 3	$ 3	$ 3	$ 3
Indefinite-lived Intangible Assets by Major Class
Goodwill	76			76							$ 76
Trademarks	426			426							422
Franchise Rights [Member]
Finite-Lived Intangible Assets
Gross Carrying Amount	73			73							73
Accumulated Amortization	25			25							24
Net Carrying Amount	48			48							49
Customer Lists [Member]
Finite-Lived Intangible Assets
Gross Carrying Amount	19			19							19
Accumulated Amortization	10			10							10
Net Carrying Amount	9			9							9
Other Intangible Assets [Member]
Finite-Lived Intangible Assets
Gross Carrying Amount	2			2							2
Accumulated Amortization	1			1							1
Net Carrying Amount	$ 1			$ 1							$ 1

Financial Instruments (Details) - USD ($) $ in Millions	6 Months Ended	12 Months Ended
Financial Instruments (Details) - USD ($) $ in Millions	Jun. 30, 2010	Jun. 30, 2012	Jun. 30, 2011	Dec. 31, 2010
Corporate debt
Current portion of long-term debt			$ 6	$ 8
Debt under vehicle programs
Vehicle-backed debt due to Avis Budget Rental Car Funding (AESOP) LLC			5,456	3,987
Amount estimated to be reclassified from accumulated other comprehensive income to earnings over the next 12 months		$ 50
Amount Reclassified From Other Comprehensive Income To Earnings	$ 36
Amount of derivatives offset against cash collateral			10
Carrying (Reported) Amount, Fair Value Disclosure [Member]
Corporate debt
Long-term debt, excluding convertible debt			2,147	2,149
Convertible debt			345	345
Debt under vehicle programs
Vehicle-backed debt			828	521
Estimate of Fair Value, Fair Value Disclosure [Member]
Corporate debt
Current portion of long-term debt			6	8
Long-term debt, excluding convertible debt			2,194	2,211
Convertible debt			440	407
Debt under vehicle programs
Vehicle-backed debt due to Avis Budget Rental Car Funding (AESOP) LLC			5,564	4,045
Vehicle-backed debt			$ 840	$ 526

Financial Instruments, Fair Value Derivatives (Details) gallon in Millions, $ in Millions	Jun. 30, 2011 USD ($) gallon	Dec. 31, 2010 USD ($)
Derivatives, Fair Value
Nonmonetary notional amount of derivative instruments \| gallon	12
Interest Rate Swap [Member]
Derivatives, Fair Value
Fair Value Asset Derivatives	$ 0	$ 0
Fair Value Liability Derivatives	4	4
Absolute notional values of derivative instruments	135
Foreign Exchange Forward [Member]
Derivatives, Fair Value
Fair Value Liability Derivatives	22	3
Absolute notional values of derivative instruments	715
Interest Rate Contract [Member]
Derivatives, Fair Value
Fair Value Asset Derivatives	1	1
Fair Value Liability Derivatives	3	7
Commodity Contract [Member]
Derivatives, Fair Value
Fair Value Asset Derivatives	1
Interest Rate Cap [Member]
Derivatives, Fair Value
Fair Value Liability Derivatives		$ 1
Absolute notional values of derivative instruments	4,900
Currency Swap [Member]
Derivatives, Fair Value
Fair Value Asset Derivatives	1
Absolute notional values of derivative instruments	$ 213

Financial Instruments, Derivative Instruments (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Foreign Exchange Forward [Member] \| Operating Expense [Member]
Derivative Instruments, Gain (Loss)
Component of operating expense			$ (4)
Designated as Hedging Instrument [Member] \| Cash Flow Hedging [Member]
Derivative Instruments, Gain (Loss)
Unrealized gains on cash flow hedges, net of tax	$ 6	$ 8	16	$ 14
Not Designated as Hedging Instrument [Member] \| Interest Expense [Member]
Derivative Instruments, Gain (Loss)
Component of interest expense related to interest rate swaps and interest rate caps				1
Not Designated as Hedging Instrument [Member] \| Foreign Exchange Forward [Member]
Derivative Instruments, Gain (Loss)
Component of operating expense	(19)	2	(21)	1
Unrealized gain (loss) Fx Forward Contracts Acquisition Hedge	(17)		(17)
Not Designated as Hedging Instrument [Member] \| Foreign Exchange Forward [Member] \| Operating Expense [Member]
Derivative Instruments, Gain (Loss)
Component of operating expense	(2)
Not Designated as Hedging Instrument [Member] \| Commodity Contract [Member]
Derivative Instruments, Gain (Loss)
Component of operating expense		(2)	1
Not Designated as Hedging Instrument [Member] \| Currency Swap [Member]
Derivative Instruments, Gain (Loss)
Component of operating expense	$ 3	$ (2)	$ 4	$ (2)

Vehicle Rental Activities (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Vehicle Rental Activities (Details) - USD ($) $ in Millions	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2010
Vehicle Rental Activities
Rental vehicles	$ 9,144		$ 9,144		$ 7,007
Less: Accumulated depreciation	(1,239)		(1,239)		(1,135)
Rental vehicles, net	7,905		7,905		5,872
Vehicles held for sale	280		280		550
Vehicles, net	8,185		8,185		$ 6,422
Vehicle Depreciated and Lease Charge Summary
Depreciation expense	358	$ 336	663	$ 626
Lease charges	10	4	20	19
Gain on sales of vehicles, net including cost of vehicle disposition	(109)	(1)	(148)	(9)
Vehicle depreciation and lease charges, net	259	339	535	636
Amount of vehicle interest excluded as related to borrowings from subsidiary	$ 50	$ 43	$ 101	$ 84

Income Taxes (Details)	6 Months Ended
Income Taxes (Details)	Jun. 30, 2011	Jun. 30, 2010
Income Taxes
Effective tax rate (in hundredths)	41.00%	67.60%
Federal statutory rate (in hundredths)	35.00%	35.00%

Accounts Payable and Other Current Liabilities (Details) - USD ($) $ in Millions	Jun. 30, 2011	Dec. 31, 2010
Accounts Payable and Other Current Liabilities
Accounts payable	$ 237	$ 209
Accrued payroll and related	149	155
Public liability and property damage insurance liabilities - current	94	93
Advertising and marketing	60	53
Other	466	415
Accounts payable and other current liabilities	$ 1,006	$ 925

- Definition

Carrying value as of the balance sheet date of obligations incurred through that date and payable to insurance entities to mitigate potential loss from various risks or to satisfy a promise to provide certain coverage's to employees. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).

+ References + Details

- Definition

Carrying value as of the balance sheet date of obligations incurred through that date and payable arising from transactions not otherwise specified in the taxonomy. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).

+ References + Details

Long Term Debt and Borrowing Arrangements (Details) - USD ($) $ in Millions	Jun. 30, 2011	Dec. 31, 2010
Debt Instrument
Total long-term debt	$ 2,498	$ 2,502
Less: current portion	6	8
Long-term debt	2,492	2,494
Revolving credit facility due 2016[Member]
Line of Credit Facility
Total Capacity	1,200
Outstanding Borrowings	0
Letters of Credit Issued	651
Available Capacity	549
Floating rate term loan [Member]
Debt Instrument
Long-term debt	269	271
Floating rate notes [Member]
Debt Instrument
Long-term debt	250	250
Notes due May 2014 [Member]
Debt Instrument
Long-term debt	200	200
Convertible Notes due October 2014 [Member]
Debt Instrument
Long-term debt	345	345
Notes due May 2016 [Member]
Debt Instrument
Long-term debt	375	375
Notes due March 2018 [Member]
Debt Instrument
Long-term debt	445	444
Notes due January 2019 [Member]
Debt Instrument
Long-term debt	602	602
Subtotal of Notes [Member]
Debt Instrument
Long-term debt	2,486	2,487
Other long-term notes [Member]
Debt Instrument
Long-term debt	$ 12	$ 15

Debt Under Vehicle Programs and Borrowing Arrangements (Details) - USD ($) $ in Millions	3 Months Ended	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2011	Dec. 31, 2010
Contractual maturities
Within 1 year	$ 2,518	$ 2,518
Between 1 and 2 years	1,192	1,192
Between 2 and 3 years	649	649
Between 3 and 4 years	936	936
Between 4 and 5 years	538	538
Thereafter	454	454
Maximum capacity of variable funding note program to finance vehicle purchases	$ 400	$ 400
Interest rate on variable funding notes issued under the vehicle program (in hundredths)	4.50%	4.50%
Interest income earned	$ 2	$ 4
Amount of vehicle-backed debt covered by asset-backed securities	1,100	1,100
Amount of vehicle-backed debt covered by bank and bank-sponsored borrowings	1,400	1,400
Debt due to Avis Budget Rental Car Funding [Member]
Debt under Vehicle Programs and Borrowing Arrangements
Total capacity	6,591	6,591
Outstanding borrowings	5,456	5,456
Available Capacity	1,135	1,135
Debt Under Vehicle Programs	5,456	5,456	$ 3,987
Collateralized assets for vehicle backed debt	7,000	7,000
Contractual maturities
Vehicle Program Debt, Amount Outstanding	5,456	5,456
Budget Truck Funding program [Member]
Debt under Vehicle Programs and Borrowing Arrangements
Total capacity	208	208
Outstanding borrowings	208	208
Available Capacity	0	0
Debt Under Vehicle Programs	208	208	244
Collateralized assets for vehicle backed debt	366	366
Contractual maturities
Vehicle Program Debt, Amount Outstanding	208	208
Other debt under Vehicle Program [Member]
Debt under Vehicle Programs and Borrowing Arrangements
Total capacity	913	913
Outstanding borrowings	623	623
Available Capacity	290	290
Debt Under Vehicle Programs	623	623	$ 284
Collateralized assets for vehicle backed debt	1,300	1,300
Contractual maturities
Vehicle Program Debt, Amount Outstanding	$ 623	$ 623

Commitments and Contingencies (Details) $ in Millions	Jun. 30, 2011 USD ($)
Loss Contingencies
Amount of judgment was entered against Company	$ 16
Additional amount of order against Company for pre-judgment interest and attorneys' fees	3
Amount of agreements with vehicle manufacturers to purchase vehicles over the next 12 months	2,900
Maximum potential amount of future payments under the guarantees relating to the various real estate operating leases	145
Liability recorded in connection with real estate operating lease guarantees	$ 3
Realogy Corporation [Member]
Loss Contingencies
Percentage of certain contingent and other corporate liabilities assumed in connection with the Separation Agreement (in hundredths)	62.50%
Percentage of any Assumed Liabilities for which the Company would be responsible in the event of a default (in hundredths)	50.00%
Amount of receivables related to certain contingent, income tax and other corporate liabilities assumed in separation	$ 96
Wyndham Worldwide Corporation [Member]
Loss Contingencies
Percentage of certain contingent and other corporate liabilities assumed in connection with the Separation Agreement (in hundredths)	37.50%
Percentage of any Assumed Liabilities for which the Company would be responsible in the event of a default (in hundredths)	50.00%
Amount of receivables related to certain contingent, income tax and other corporate liabilities assumed in separation	$ 60

Stockholders' Equity (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Stockholders' Equity (Details) - USD ($) $ in Millions	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2010
Balance of Accumulated Comprehensive Income
Currency Translation Adjustments	$ 220		$ 220		$ 182
Net Unrealized Gains (Losses) on Cash Flow Hedges	(30)		(30)		(46)
Net Unrealized Gains on Available-for Sale Securities	2		2		0
Minimum Pension Liability Adjustment	(44)		(44)		(44)
Accumulated Other Comprehensive Income	148		148		$ 92
Currency translation adjustments	29	$ (39)	38	$ (27)
Unrealized gains on cash flow hedges, net of tax	6	8	16	14
Unrealized gains on available-for-sale securities	1	0	2	0
Total comprehensive Income
Net income (loss)	52	26	59	(12)
Other comprehensive income:
Reclassification of unrealized losses on cash flow hedges to net loss, net of tax	0	0	0	22
Unrealized gains on cash flow hedges, net of tax	6	8	16	14
Unrealized gains on available-for-sale securities	1	0	2	0
Currency translation adjustments	29	(39)	38	(27)
Total comprehensive income	88	(5)	115	(3)
Unrealized gains on cash flow hedges, before tax			26	23
Unrealized gain (loss) on cash flow hedges related to vehicle-backed debt, before tax			26	28
Unrealized gain (loss) on cash flow hedges related to vehicle-backed debt, net of tax			16	17
Reclassification of unrealized losses on cash flow hedges to net loss, before tax				36
Reclassification of unrealized losses on cash flow hedges to net loss, net of tax	$ 0	$ 0	$ 0	$ 22

Stock Based Compensation (Details) $ / shares in Units, $ in Millions	3 Months Ended			6 Months Ended
	Jun. 30, 2011 USD ($) $ / shares shares	Jun. 30, 2010 USD ($)	Mar. 31, 2010 shares	Jun. 30, 2011 USD ($) $ / shares shares	Jun. 30, 2010 USD ($) $ / shares shares	Jun. 30, 2011 USD ($) $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award
Stock-based compensation expense \| $	$ 6	$ 4		$ 10	$ 8
Stock-based compensation expense (net of tax) \| $	$ 4	$ 3		6	$ 5
Tax benefits from compensation expense \| $				$ 40
Assumptions Used to Estimate Fair Value of Stock-based Awards
Fair value of award \| $ / shares	$ 12.72			$ 12.72		$ 12.72
Equity instruments other than options, nonvested [Roll Forward]
Weighted average grant date fair value, beginning of period (in dollars per unit) \| $ / shares				13.64
Weighted average grant date fair value, end of period (in dollars per unit) \| $ / shares	$ 12.72			$ 12.72
Equity instruments other than options, additional disclosures
Time Based Restricted Stock Units Outstanding				1,279,000
Number Of Performance-Based and Market-Based Stock Units Outstanding				1,740,000
Time-based vesting schedule [Member]
Equity instruments other than options, additional disclosures
Other than options expected to vest, exercisable number (in number of units)						6,000
Number of units that vest ratably over a three-year period (in number of units)				605,000	782,000
Number of units that vest on the first anniversary of the date of the grant (in number of units)				31,000	200,000
Market-based vesting schedule [Member]
Equity instruments other than options, additional disclosures
Number of units that cliff vest after three years (in number of units)				257,000	368,000
Number of units that vest 50% on each of the third and fourth anniversary of the date of grant (in number of units)				93,000
Number of units that vest ratably over years two through five following the date of grant (in number of units)					600,000
Fair value of restricted stock units which contain three-year vesting periods \| $ / shares				$ 11.38	$ 8.88
Fair value of restricted stock units which contain four-year vesting periods \| $ / shares				$ 12.53
Fair value of restricted stock units which contain five-year vesting periods (in dollars per unit) \| $ / shares					$ 9.57
Performance-based vesting schedule [Member]
Equity instruments other than options, additional disclosures
Other than options expected to vest, exercisable number (in number of units)						3,000
Less than $10.00
Share-based payment award, options, additional disclosures
Number of Options						2,402,000
Stock Option Excercise Price Range
Weighted Average Contractual Life (years)						7.6
Number of Options						2,402,000
$10.01 to $15.00
Share-based payment award, options, additional disclosures
Number of Options						160,000
Stock Option Excercise Price Range
Weighted Average Contractual Life (years)						8.6
Number of Options						160,000
$15.01 to $20.00
Share-based payment award, options, additional disclosures
Number of Options						157,000
Stock Option Excercise Price Range
Weighted Average Contractual Life (years)						1.4
Number of Options						157,000
$20.01 to $25.00
Share-based payment award, options, additional disclosures
Number of Options						0
Stock Option Excercise Price Range
Weighted Average Contractual Life (years)						0
Number of Options						0
$25.01 to $30.00
Share-based payment award, options, additional disclosures
Number of Options						857,000
Stock Option Excercise Price Range
Weighted Average Contractual Life (years)						0.6
Number of Options						857,000
$30.01 and above
Share-based payment award, options, additional disclosures
Number of Options						10,000
Stock Option Excercise Price Range
Weighted Average Contractual Life (years)						3.2
Number of Options						10,000
Total Outstanding Stock Options
Share-based payment award, options, additional disclosures
Number of Options						3,586,000
Stock Option Excercise Price Range
Weighted Average Contractual Life (years)						5.7
Number of Options						3,586,000
Restricted Stock Units (RSUs) [Member]
Assumptions Used to Estimate Fair Value of Stock-based Awards
Expected volatility of stock price (in hundredths)				48.00%	54.00%
Risk-free interest rate - minimum (in hundredths)				0.97%	1.47%
Risk-free interest rate - maximum (in hundredths)				1.21%	1.74%
Valuation period range (in years)				3-4 years	3-5 years
Dividend yield (in hundredths)				0.00%	0.00%
Equity instruments other than options, nonvested [Roll Forward]
Beginning balance (in number of RSUs)				3,059,000
Granted at fair market value (in number of RSUs)				986,000
Vested/exercised (in number of RSUs)				(723,000)
Cancelled (in number of RSUs)				(303,000)
Ending balance (in number of RSUs)	3,019,000			3,019,000
Weighted average grant date fair value, grants in period (in dollars per unit) \| $ / shares				$ 14.44
Weighted average grant date fair value, vested/exercised in period (in dollars per unit) \| $ / shares				$ 14.42
Weighted average grant date fair value, cancelled in period (in dollars per unit) \| $ / shares						$ 23.50
Equity instruments other than options, additional disclosures
Equity instruments, other than options, nonvested, intrinsic value \| $						$ 52
Aggregate unrecognized compensation expense related to awards \| $						24
Number of units granted (in number of units)				986,000
Share-based payment award, options, additional disclosures
Aggregate unrecognized compensation expense related to awards \| $						24
Stock Options [Member]
Assumptions Used to Estimate Fair Value of Stock-based Awards
Expected volatility of stock price (in hundredths)			54.00%
Risk-free interest rate (in hundredths)			2.82%
Expected life of options (in years)			6
Dividend yield (in hundredths)			0.00%
Estimated Fair Value of Stock Option \| $ / shares				$ 6.16
Equity instruments other than options, additional disclosures
Aggregate unrecognized compensation expense related to awards \| $						$ 1
Share based payment award, options outstanding [Roll Forward]
Beginning balance (in number of options)				5,026,000
Granted at fair market value (in number of options)			160,000	0
Vested/exercised (in number of options)				(1,205,000)
Cancelled (in number of options)				(235,000)
Ending balance (in number of options)	3,586,000			3,586,000
Weighted average exercise price, beginning balance (in dollars per option) \| $ / shares				$ 7.22
Weighted average exercise price, grants in period (in dollars per option) \| $ / shares						$ 0
Weighted average exercise price, cancelled in period (in dollars per option) \| $ / shares				20.35
Options outstanding, weighted average exercise price, ending balance (in dollars per option) \| $ / shares	$ 8.46			8.46
Weighted average exercise price, vested/exercised in period (in dollars per option) \| $ / shares				$ 0.98
Share-based payment award, options, additional disclosures
Stock options exercised during the period, intrinsic value \| $				$ 18
Aggregate unrecognized compensation expense related to awards \| $						$ 1
Number of stock options exercisable at period end (in number of options)	3,500,000			3,500,000
'In-the-money' stock options (in number of options)						2,600,000
Options outstanding, intrinsic value \| $						$ 40
Stock Appreciation Rights (SARs) [Member]
Share-based payment award, options, additional disclosures
Number of SARS Outstanding				500,000
Weighted Average Exercise Price SARS \| $ / shares				$ 24.40
Weighted average remaining contractual life (in years)				2.1

Segment Information (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
Segment Information (Details) - USD ($) $ in Millions	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010	Dec. 31, 2010
Segment Reporting Information
Revenues	$ 1,412	$ 1,294	$ 2,646	$ 2,446
Less: Non-vehicle related depreciation and amortization	21	23	44	46
Interest expense related to corporate debt, net
Interest expense	47	41	94	81
Early extinguishment of debt	0	0	0	40
Transaction-related costs	34	2	36	2
Income (loss) before income taxes	89	29	100	(37)
Segment Assets	8,656		8,656		$ 6,865
Domestic Car Rental [Member]
Segment Reporting Information
Revenues	1,055	981	1,984	1,861
Adjusted EBITDA	144	52	201	68
International Car Rental [Member]
Segment Reporting Information
Revenues	254	212	484	413
Adjusted EBITDA	32	32	62	62
Truck Rental [Member]
Segment Reporting Information
Revenues	103	100	178	171
Adjusted EBITDA	18	16	18	11
Corporate and Other [Member]
Segment Reporting Information
Revenues	0	1	0	1
Adjusted EBITDA	$ (3)	$ (5)	$ (7)	$ (9)

Guarantor and Non Guarantor Consolidating Condensed Financial Statements (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Dec. 31, 2010
Revenues
Vehicle rental	$ 1,034	$ 961	$ 1,952	$ 1,827
Other	378	333	694	619
Net revenues	1,412	1,294	2,646	2,446
Expenses
Operating	725	639	1,383	1,251
Vehicle depreciation and lease charges, net	259	339	535	636
Selling, general and administrative	169	143	322	274
Vehicle interest, net	68	76	132	150
Non-vehicle related depreciation and amortization	21	23	44	46
Interest expense related to corporate debt, net
Interest expense (income)	47	41	94	81
Early extinguishment of debt	0	0	0	40
Transaction-related costs	34	2	36	2
Restructuring charges	0	2	0	3
Total expenses	1,323	1,265	2,546	2,483
Income (loss) before income taxes and equity in earnings of subsidiaries	89	29	100	(37)
Provision for (benefit from) income taxes	37	3	41	(25)
Net income (loss)	52	26	59	(12)
Current assets
Cash and cash equivalents	645	458	911	458	$ 645	$ 911
Restricted cash					406	10
Receivables, net					417	315
Deferred income taxes					132	130
Other current assets					306	272
Total current assets					1,906	1,638
Property and equipment, net					405	425
Deferred income taxes					639	587
Goodwill					76	76
Other intangibles, net					484	481
Other non-current assets					275	255
Total assets exclusive of assets under vehicle programs					3,785	3,462
Assets under vehicle programs: [Abstract]
Program cash					76	4
Vehicles, net					8,185	6,422
Receivables from vehicle manufacturers and other					79	149
Investment in Avis Budget Rental Car Funding (AESOP) LLC-related party					316	290
Total Assets under vehicle programs					8,656	6,865
Total assets					12,441	10,327
Current liabilities:
Accounts payable and other current liabilities					1,006	925
Current portion of long-term debt					6	8
Total current liabilities					1,012	933
Long-term debt					2,492	2,494
Other non-current liabilities					530	535
Total liabilities exclusive of liabilities under vehicle programs					4,034	3,962
Liabilities under vehicle programs: [Abstract]
Debt					831	528
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party					5,456	3,987
Deferred income taxes					1,430	1,333
Other					158	107
Total liabilities under vehicle programs					7,875	5,955
Total stockholders' equity					532	410
Total liabilities and stockholders' equity					12,441	10,327
Consolidating Condensed Statements of Cash Flows:
Net cash provided by operating activities			702	660
Investing activities
Property and equipment additions			(17)	(23)
Proceeds received on asset sales			6	8
Acquisition-related restricted cash			(401)	0
Other, net			(3)	(4)
Net cash used in investing activities exclusive of vehicle programs			(415)	(19)
Vehicle programs: [Abstract]
Decrease (increase) in program cash			(71)	113
Investment in vehicles			(5,242)	(5,448)
Proceeds received on disposition of vehicles			3,039	3,127
Net cash used in investing activities of vehicle programs			(2,274)	(2,208)
Net cash provided by (used in) Investing activities			(2,689)	(2,227)
Financing activities
Proceeds from borrowings			0	444
Principal payments on borrowings			(5)	(457)
Debt financing fees			(30)	(30)
Other, net			1	4
Net cash used in financing activities exclusive of vehicle programs			(34)	(39)
Vehicle programs: [Abstract]
Proceeds from borrowings			5,974	5,626
Principal payments on borrowings			(4,213)	(4,229)
Net change in short-term borrowing			0	202
Debt financing fees			(11)	(12)
Net cash provided by financing activities of vehicle programs			1,750	1,587
Net cash provided by financing activities			1,716	1,548
Effect of changes in exchange rates on cash and cash equivalents			5	(5)
Net increase (decrease) in cash and cash equivalents			(266)	(24)
Cash and cash equivalents, beginning of period			911	482
Cash and cash equivalents, end of period	645	458	645	458
Parent Company [Member]
Revenues
Vehicle rental		0	0	0
Other		1	0	1
Net revenues		1	0	1
Expenses
Operating	1	2	1	3
Vehicle depreciation and lease charges, net		0	0	0
Selling, general and administrative	2	3	6	6
Vehicle interest, net		0	0	0
Non-vehicle related depreciation and amortization		0	0	0
Interest expense related to corporate debt, net
Interest expense (income)	2	3	3	5
Intercompany interest expense (income)	(3)	(4)	(8)	(6)
Early extinguishment of debt				0
Transaction-related costs	34	2	36	2
Restructuring charges		0		0
Total expenses	36	6	38	10
Income (loss) before income taxes and equity in earnings of subsidiaries	(36)	(5)	(38)	(9)
Provision for (benefit from) income taxes	(11)	(2)	(12)	(4)
Equity in earnings (loss) of subsidiaries	77	29	85	(7)
Net income (loss)	52	26	59	(12)
Current assets
Cash and cash equivalents	7	163	7	163	7	257
Restricted cash					395
Deferred income taxes					8	8
Other current assets					30	70
Total current assets					440	335
Deferred income taxes					40	44
Other non-current assets					151	140
Intercompany receivables (payables)					(38)	105
Investment in subsidiaries					485	337
Total assets exclusive of assets under vehicle programs					1,078	961
Assets under vehicle programs: [Abstract]
Total assets					1,078	961
Current liabilities:
Accounts payable and other current liabilities					69	72
Total current liabilities					69	72
Long-term debt					345	345
Other non-current liabilities					132	134
Total liabilities exclusive of liabilities under vehicle programs					546	551
Liabilities under vehicle programs: [Abstract]
Total stockholders' equity					532	410
Total liabilities and stockholders' equity					1,078	961
Consolidating Condensed Statements of Cash Flows:
Net cash provided by operating activities			16	4
Investing activities
Property and equipment additions			0
Proceeds received on asset sales			0
Acquisition-related restricted cash			(401)
Other, net			0	(3)
Net cash used in investing activities exclusive of vehicle programs			(401)	(3)
Vehicle programs: [Abstract]
Decrease (increase) in program cash			0
Investment in vehicles			0
Proceeds received on disposition of vehicles			0
Investment in AESOP debt securities - related party			(400)	(280)
Proceeds from AESOP debt securities - related party			400	280
Net cash used in investing activities of vehicle programs			0
Net cash provided by (used in) Investing activities			(401)	(3)
Financing activities
Principal payments on borrowings			0
Net intercompany transactions			148	(82)
Debt financing fees			(14)
Other, net			1	2
Net cash used in financing activities exclusive of vehicle programs			135	(80)
Vehicle programs: [Abstract]
Proceeds from borrowings			0
Principal payments on borrowings			0
Debt financing fees			0
Net cash provided by financing activities of vehicle programs			0
Net cash provided by financing activities			135	(80)
Effect of changes in exchange rates on cash and cash equivalents			0
Net increase (decrease) in cash and cash equivalents			(250)	(79)
Cash and cash equivalents, beginning of period			257	242
Cash and cash equivalents, end of period	7	163	7	163
Subsidiary Issuers [Member]
Revenues
Vehicle rental		0	0	0
Other		0	0	0
Net revenues		0	0	0
Expenses
Operating	1	3	3	5
Vehicle depreciation and lease charges, net		0	0	0
Selling, general and administrative		0	0	0
Vehicle interest, net		0	0	0
Non-vehicle related depreciation and amortization		0	0	0
Interest expense related to corporate debt, net
Interest expense (income)	46	39	92	77
Intercompany interest expense (income)	(46)	(39)	(92)	(77)
Early extinguishment of debt				40
Transaction-related costs	0	0	0	0
Restructuring charges		0		0
Total expenses	1	3	3	45
Income (loss) before income taxes and equity in earnings of subsidiaries	(1)	(3)	(3)	(45)
Provision for (benefit from) income taxes	0	0	(1)	1
Equity in earnings (loss) of subsidiaries	78	32	87	39
Net income (loss)	77	29	85	(7)
Current assets
Cash and cash equivalents	486	77	486	77	486	513
Restricted cash						10
Receivables, net					136	77
Other current assets					105	55
Total current assets					727	655
Property and equipment, net					64	61
Deferred income taxes					362	300
Other intangibles, net					7	7
Other non-current assets					106	97
Intercompany receivables (payables)					411	539
Investment in subsidiaries					1,251	1,112
Total assets exclusive of assets under vehicle programs					2,928	2,771
Assets under vehicle programs: [Abstract]
Vehicles, net					8	8
Total Assets under vehicle programs					8	8
Total assets					2,936	2,779
Current liabilities:
Accounts payable and other current liabilities					271	250
Current portion of long-term debt					3	4
Total current liabilities					274	254
Long-term debt					2,137	2,139
Other non-current liabilities					54	58
Total liabilities exclusive of liabilities under vehicle programs					2,465	2,451
Liabilities under vehicle programs: [Abstract]
Debt					3	7
Total liabilities under vehicle programs					3	7
Total stockholders' equity					468	321
Total liabilities and stockholders' equity					2,936	2,779
Consolidating Condensed Statements of Cash Flows:
Net cash provided by operating activities			64	(64)
Investing activities
Property and equipment additions			(5)	(6)
Proceeds received on asset sales			4	7
Other, net			(2)	(1)
Net cash used in investing activities exclusive of vehicle programs			(3)
Vehicle programs: [Abstract]
Decrease (increase) in program cash			0
Investment in vehicles			(9)	(11)
Proceeds received on disposition of vehicles			8	11
Investment in AESOP debt securities - related party			0
Proceeds from AESOP debt securities - related party			0
Net cash used in investing activities of vehicle programs			(1)
Net cash provided by (used in) Investing activities			(4)
Financing activities
Proceeds from borrowings				444
Principal payments on borrowings			(2)	(455)
Net intercompany transactions			(61)	119
Debt financing fees			(16)	(30)
Other, net			0	2
Net cash used in financing activities exclusive of vehicle programs			(79)	80
Vehicle programs: [Abstract]
Proceeds from borrowings			0
Principal payments on borrowings			0	(1)
Debt financing fees			(8)	(8)
Net cash provided by financing activities of vehicle programs			(8)	(9)
Net cash provided by financing activities			(87)	71
Effect of changes in exchange rates on cash and cash equivalents			0
Net increase (decrease) in cash and cash equivalents			(27)	7
Cash and cash equivalents, beginning of period			513	70
Cash and cash equivalents, end of period	486	77	486	77
Guarantor Subsidiaries [Member]
Revenues
Vehicle rental	867	822	1,628	1,550
Other	269	243	490	445
Net revenues	1,136	1,065	2,118	1,995
Expenses
Operating	576	515	1,095	1,003
Vehicle depreciation and lease charges, net	209	290	431	544
Selling, general and administrative	142	120	268	228
Vehicle interest, net	55	72	115	141
Non-vehicle related depreciation and amortization	19	21	40	43
Interest expense related to corporate debt, net
Interest expense (income)	0	0	0	0
Intercompany interest expense (income)	49	43	100	83
Early extinguishment of debt				0
Transaction-related costs	0	0	0	0
Restructuring charges		2		3
Total expenses	1,050	1,063	2,049	2,045
Income (loss) before income taxes and equity in earnings of subsidiaries	86	2	69	(50)
Provision for (benefit from) income taxes	36	2	32	(31)
Equity in earnings (loss) of subsidiaries	28	32	50	58
Net income (loss)	78	32	87	39
Current assets
Cash and cash equivalents	2	8	2	8	2	3
Restricted cash					1
Receivables, net					168	148
Deferred income taxes					122	122
Other current assets					71	84
Total current assets					364	357
Property and equipment, net					297	321
Deferred income taxes					223	229
Goodwill					74	74
Other intangibles, net					382	382
Other non-current assets					6	11
Intercompany receivables (payables)					(564)	(792)
Investment in subsidiaries					2,495	2,392
Total assets exclusive of assets under vehicle programs					3,277	2,974
Assets under vehicle programs: [Abstract]
Vehicles, net					5	24
Total Assets under vehicle programs					5	24
Total assets					3,282	2,998
Current liabilities:
Accounts payable and other current liabilities					552	488
Current portion of long-term debt					3	4
Total current liabilities					555	492
Long-term debt					10	10
Other non-current liabilities					224	237
Total liabilities exclusive of liabilities under vehicle programs					789	739
Liabilities under vehicle programs: [Abstract]
Deferred income taxes					1,241	1,147
Other					1
Total liabilities under vehicle programs					1,242	1,147
Total stockholders' equity					1,251	1,112
Total liabilities and stockholders' equity					3,282	2,998
Consolidating Condensed Statements of Cash Flows:
Net cash provided by operating activities			(112)	(10)
Investing activities
Property and equipment additions			(9)	(15)
Proceeds received on asset sales			2
Other, net			0
Net cash used in investing activities exclusive of vehicle programs			(7)	(15)
Vehicle programs: [Abstract]
Decrease (increase) in program cash			0
Investment in vehicles			(2)
Proceeds received on disposition of vehicles			6	6
Investment in AESOP debt securities - related party			0
Proceeds from AESOP debt securities - related party			0
Net cash used in investing activities of vehicle programs			4	6
Net cash provided by (used in) Investing activities			(3)	(9)
Financing activities
Principal payments on borrowings			(3)	(2)
Net intercompany transactions			118	38
Debt financing fees			0
Other, net			0
Net cash used in financing activities exclusive of vehicle programs			115	36
Vehicle programs: [Abstract]
Proceeds from borrowings			0
Principal payments on borrowings			0	(12)
Debt financing fees			(1)	(4)
Net cash provided by financing activities of vehicle programs			(1)	(16)
Net cash provided by financing activities			114	20
Effect of changes in exchange rates on cash and cash equivalents			0
Net increase (decrease) in cash and cash equivalents			(1)	1
Cash and cash equivalents, beginning of period			3	7
Cash and cash equivalents, end of period	2	8	2	8
Subsidiaries - Non-Guarantor [Member]
Revenues
Vehicle rental	167	139	324	277
Other	473	437	879	807
Net revenues	640	576	1,203	1,084
Expenses
Operating	147	119	284	240
Vehicle depreciation and lease charges, net	294	281	548	500
Selling, general and administrative	25	20	48	40
Vehicle interest, net	47	37	87	67
Non-vehicle related depreciation and amortization	2	2	4	3
Interest expense related to corporate debt, net
Interest expense (income)	(1)	(1)	(1)	(1)
Intercompany interest expense (income)	0	0	0	0
Early extinguishment of debt				0
Transaction-related costs	0	0	0	0
Restructuring charges		0		0
Total expenses	514	458	970	849
Income (loss) before income taxes and equity in earnings of subsidiaries	126	118	233	235
Provision for (benefit from) income taxes	12	3	22	9
Equity in earnings (loss) of subsidiaries	0	0	0	0
Net income (loss)	114	115	211	226
Current assets
Cash and cash equivalents	150	210	150	210	150	138
Restricted cash					10
Receivables, net					113	90
Deferred income taxes					5	5
Other current assets					135	97
Total current assets					413	330
Property and equipment, net					44	43
Deferred income taxes					14	14
Goodwill					2	2
Other intangibles, net					95	92
Other non-current assets					12	24
Intercompany receivables (payables)					191	148
Total assets exclusive of assets under vehicle programs					771	653
Assets under vehicle programs: [Abstract]
Program cash					76	4
Vehicles, net					8,172	6,390
Receivables from vehicle manufacturers and other					79	149
Investment in Avis Budget Rental Car Funding (AESOP) LLC-related party					316	290
Total Assets under vehicle programs					8,643	6,833
Total assets					9,414	7,486
Current liabilities:
Accounts payable and other current liabilities					144	148
Total current liabilities					144	148
Other non-current liabilities					120	120
Total liabilities exclusive of liabilities under vehicle programs					264	268
Liabilities under vehicle programs: [Abstract]
Debt					828	521
Due to Avis Budget Rental Car Funding (AESOP) LLC-related party					5,456	3,987
Deferred income taxes					189	186
Other					157	107
Total liabilities under vehicle programs					6,630	4,801
Total stockholders' equity					2,520	2,417
Total liabilities and stockholders' equity					9,414	7,486
Consolidating Condensed Statements of Cash Flows:
Net cash provided by operating activities			545	654
Investing activities
Property and equipment additions			(3)	(2)
Proceeds received on asset sales			0	1
Other, net			(1)
Net cash used in investing activities exclusive of vehicle programs			(4)	(1)
Vehicle programs: [Abstract]
Decrease (increase) in program cash			(71)	113
Investment in vehicles			(5,231)	(5,437)
Proceeds received on disposition of vehicles			3,025	3,110
Investment in AESOP debt securities - related party			0
Proceeds from AESOP debt securities - related party			0
Net cash used in investing activities of vehicle programs			(2,277)	(2,214)
Net cash provided by (used in) Investing activities			(2,281)	(2,215)
Financing activities
Principal payments on borrowings			0
Net intercompany transactions			(16)	1
Debt financing fees			0
Other, net			0
Net cash used in financing activities exclusive of vehicle programs			(16)	1
Vehicle programs: [Abstract]
Proceeds from borrowings			5,974	5,626
Principal payments on borrowings			(4,213)	(4,216)
Net change in short-term borrowing				202
Debt financing fees			(2)
Net cash provided by financing activities of vehicle programs			1,759	1,612
Net cash provided by financing activities			1,743	1,613
Effect of changes in exchange rates on cash and cash equivalents			5	(5)
Net increase (decrease) in cash and cash equivalents			12	47
Cash and cash equivalents, beginning of period			138	163
Cash and cash equivalents, end of period	150	210	150	210
Eliminations [Member]
Revenues
Vehicle rental		0	0	0
Other	(364)	(348)	(675)	(634)
Net revenues	(364)	(348)	(675)	(634)
Expenses
Operating		0	0	0
Vehicle depreciation and lease charges, net	(244)	(232)	(444)	(408)
Selling, general and administrative		0	0	0
Vehicle interest, net	(34)	(33)	(70)	(58)
Non-vehicle related depreciation and amortization		0	0	0
Interest expense related to corporate debt, net
Interest expense (income)	0	0	0	0
Intercompany interest expense (income)	0	0	0	0
Early extinguishment of debt				0
Transaction-related costs	0	0	0	0
Restructuring charges		0		0
Total expenses	(278)	(265)	(514)	(466)
Income (loss) before income taxes and equity in earnings of subsidiaries	(86)	(83)	(161)	(168)
Provision for (benefit from) income taxes	0	0	0	0
Equity in earnings (loss) of subsidiaries	(183)	(93)	(222)	(90)
Net income (loss)	(269)	$ (176)	(383)	(258)
Current assets
Cash and cash equivalents	0		0		0	0
Deferred income taxes					(3)	(5)
Other current assets					(35)	(34)
Total current assets					(38)	(39)
Other non-current assets						(17)
Investment in subsidiaries					(4,231)	(3,841)
Total assets exclusive of assets under vehicle programs					(4,269)	(3,897)
Assets under vehicle programs: [Abstract]
Total assets					(4,269)	(3,897)
Current liabilities:
Accounts payable and other current liabilities					(30)	(33)
Total current liabilities					(30)	(33)
Other non-current liabilities						(14)
Total liabilities exclusive of liabilities under vehicle programs					(30)	(47)
Liabilities under vehicle programs: [Abstract]
Total stockholders' equity					(4,239)	(3,850)
Total liabilities and stockholders' equity					$ (4,269)	$ (3,897)
Consolidating Condensed Statements of Cash Flows:
Net cash provided by operating activities			189	76
Investing activities
Property and equipment additions			0
Proceeds received on asset sales			0
Other, net			0
Net cash used in investing activities exclusive of vehicle programs			0
Vehicle programs: [Abstract]
Decrease (increase) in program cash			0
Investment in vehicles			0
Proceeds received on disposition of vehicles			0
Investment in AESOP debt securities - related party			0
Net cash used in investing activities of vehicle programs			0
Net cash provided by (used in) Investing activities			0
Financing activities
Principal payments on borrowings			0
Net intercompany transactions			(189)	(76)
Debt financing fees			0
Other, net			0
Net cash used in financing activities exclusive of vehicle programs			(189)	(76)
Vehicle programs: [Abstract]
Proceeds from borrowings			0
Principal payments on borrowings			0
Debt financing fees			0
Net cash provided by financing activities of vehicle programs			0
Net cash provided by financing activities			(189)	$ (76)
Effect of changes in exchange rates on cash and cash equivalents			0
Net increase (decrease) in cash and cash equivalents			0
Cash and cash equivalents, beginning of period			0
Cash and cash equivalents, end of period	$ 0		$ 0