| | |
Per Share
|
| |
Total
|
| ||||||
Public offering price
|
| | | $ | 29.000 | | | | | $ | 1,291,080,000 | | |
Underwriting discount(1)
|
| | | $ | 1.305 | | | | | $ | 58,098,600 | | |
Proceeds, before expenses, to selling stockholders(2)
|
| | | $ | 27.695 | | | | | $ | 1,232,981,400 | | |
|
Goldman Sachs & Co. LLC
|
| |
J.P. Morgan
|
| |
Morgan Stanley
|
|
| Barclays | | | | | |
Deutsche Bank Securities
|
|
|
Guggenheim Securities
|
| |
BTIG
|
| |
AmeriVet Securites
|
|
|
Loop Capital Markets
|
| | | | |
Tigress Financial Partners
|
|
| | | | | ii | | | |
| | | | | 1 | | | |
| | | | | 5 | | | |
| | | | | 11 | | | |
| | | | | 12 | | | |
| | | | | 19 | | | |
| | | | | 20 | | | |
| | | | | 21 | | | |
| | | | | 23 | | | |
| | | | | 25 | | | |
| | | | | 28 | | | |
| | | | | 30 | | | |
| | | | | 37 | | | |
| | | | | 39 | | | |
| | | | | 47 | | | |
| | | | | 51 | | | |
| | | | | 51 | | | |
| | | | | 52 | | | |
| | | | | 53 | | |
| | |
Nine Months Ended September 30,
|
| |
Year Ended December 31,
|
| ||||||||||||||||||||||||
| | |
2021
|
| |
2020
|
| |
2020
|
| |
2019
|
| |
2018
|
| |||||||||||||||
| | |
(in millions, except per share data)
|
| |||||||||||||||||||||||||||
Statements of Operations Data: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Revenues
|
| | | $ | 5,387 | | | | | $ | 4,023 | | | | | $ | 5,258 | | | | | $ | 9,779 | | | | | $ | 9,504 | | |
Expenses: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Direct vehicle and operating
|
| | | | 2,855 | | | | | | 2,624 | | | | | | 3,627 | | | | | | 5,486 | | | | | | 5,355 | | |
Depreciation of revenue earning vehicles and
lease charges |
| | | | 420 | | | | | | 1,632 | | | | | | 2,032 | | | | | | 2,565 | | | | | | 2,690 | | |
Non-vehicle depreciation and amortization(a)
|
| | | | 153 | | | | | | 168 | | | | | | — | | | | | | — | | | | | | — | | |
Selling, general and administrative
|
| | | | 498 | | | | | | 506 | | | | | | 664 | | | | | | 969 | | | | | | 1,017 | | |
Interest expense, net:
|
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Vehicle
|
| | | | 243 | | | | | | 360 | | | | | | 455 | | | | | | 494 | | | | | | 448 | | |
Non-vehicle (excludes contractual interest
of $75 million for the nine months ended September 30, 2020 and $129 million for the year ended December 31, 2020) |
| | | | 157 | | | | | | 118 | | | | | | 153 | | | | | | 311 | | | | | | 291 | | |
Total interest expense, net
|
| | | | 400 | | | | | | 478 | | | | | | 608 | | | | | | 805 | | | | | | 739 | | |
Technology-related intangible and other asset
impairments |
| | | | — | | | | | | 193 | | | | | | 213 | | | | | | — | | | | | | — | | |
Other (income) expense, net
|
| | | | (20) | | | | | | (15) | | | | | | (9) | | | | | | (59) | | | | | | (40) | | |
Reorganization items, net
|
| | | | 677 | | | | | | 101 | | | | | | 175 | | | | | | — | | | | | | — | | |
(Gain) from the sale of a business
|
| | | | (400) | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Change in fair value of Public Warrants
|
| | | | (16) | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Total expenses
|
| | | | 4,567 | | | | | | 5,687 | | | | | | 7,310 | | | | | | 9,766 | | | | | | 9,761 | | |
Income (loss) before income taxes
|
| | | | 820 | | | | | | (1,664) | | | | | | (2,052) | | | | | | 13 | | | | | | (257) | | |
Income tax (provision) benefit
|
| | | | (193) | | | | | | 232 | | | | | | 329 | | | | | | (63) | | | | | | 30 | | |
Net income (loss)
|
| | | | 627 | | | | | | (1,432) | | | | | | (1,723) | | | | | | (50) | | | | | | (227) | | |
Net (income) loss attributable to noncontrolling
interests |
| | | | (1) | | | | | | 7 | | | | | | 9 | | | | | | (8) | | | | | | 2 | | |
Net income (loss) attributable to Hertz Global
|
| | | | 626 | | | | | | (1,425) | | | | | | (1,714) | | | | | | (58) | | | | | | (225) | | |
Dividends on Series A Preferred Stock
|
| | | | (34) | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Net income (loss) available to Hertz Global common stockholders
|
| | | $ | 592 | | | | | $ | (1,425) | | | | | $ | (1,714) | | | | | $ | (58) | | | | | $ | (225) | | |
| | |
Nine Months Ended September 30,
|
| |
Year Ended December 31,
|
| ||||||||||||||||||||||||
| | |
2021
|
| |
2020
|
| |
2020
|
| |
2019
|
| |
2018
|
| |||||||||||||||
| | |
(in millions, except per share data)
|
| |||||||||||||||||||||||||||
Weighted-average shares outstanding: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Basic
|
| | | | 264 | | | | | | 148 | | | | | | 150 | | | | | | 117 | | | | | | 96 | | |
Diluted
|
| | | | 270 | | | | | | 148 | | | | | | 150 | | | | | | 117 | | | | | | 96 | | |
Earnings (loss) per share: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Basic earnings (loss) per share
|
| | | $ | 2.25 | | | | | $ | (9.65) | | | | | $ | (11.44) | | | | | $ | (0.49) | | | | | $ | (2.35) | | |
Diluted earnings (loss) per share
|
| | | $ | 2.14 | | | | | $ | (9.65) | | | | | $ | (11.44) | | | | | $ | (0.49) | | | | | $ | (2.35) | | |
| | |
As of
September 30, 2021 |
| |
As of December 31,
|
| ||||||||||||
| | |
2020
|
| |
2019
|
| ||||||||||||
| | |
(in millions)
|
| |||||||||||||||
Balance Sheet Data: | | | | | | | | | | | | | | | | | | | |
Cash and cash equivalents
|
| | | $ | 2,703 | | | | | $ | 1,096 | | | | | $ | 865 | | |
Revenue earning vehicles, net
|
| | | | 8,563 | | | | | | 6,062 | | | | | | 13,789 | | |
Total assets
|
| | | | 19,593 | | | | | | 16,908 | | | | | | 24,627 | | |
Total debt
|
| | | | 8,718 | | | | | | 6,267 | | | | | | 17,089 | | |
Total stockholders’ equity attributable to Hertz Global
|
| | | | 4,206 | | | | | | 56 | | | | | | 1,769 | | |
| | |
Nine Months Ended
September 30, |
| |
Years Ended December 31,
|
| ||||||||||||||||||||||||
| | |
2021
|
| |
2020
|
| |
2020
|
| |
2019
|
| |
2018
|
| |||||||||||||||
Other Financial and Operating Data: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Adjusted Corporate EBITDA (millions)(1)
|
| | | $ | 1,502 | | | | | $ | (855) | | | | | $ | (995) | | | | | $ | 649 | | | | | $ | 433 | | |
Transaction Days (thousands)(2)
|
| | | | 88,023 | | | | | | 81,813 | | | | | | 107,299 | | | | | | 205,998 | | | | | | 199,880 | | |
Total RPD(3)
|
| | | $ | 59.75 | | | | | $ | 43.98 | | | | | $ | 43.09 | | | | | $ | 44.26 | | | | | $ | 43.32 | | |
Total RPU(4)
|
| | | $ | 1,389 | | | | | $ | 674 | | | | | $ | 713 | | | | | $ | 1,062 | | | | | $ | 1,050 | | |
Depreciation per Unit per Month(5)
|
| | | $ | 111 | | | | | $ | 244 | | | | | $ | 246 | | | | | $ | 244 | | | | | $ | 255 | | |
Vehicle Utilization(6)
|
| | | | 77% | | | | | | 50% | | | | | | 54% | | | | | | 79% | | | | | | 80% | | |
| | |
Nine Months Ended
September 30, |
| |
Years Ended December 31,
|
| ||||||||||||||||||||||||
| | |
2021
|
| |
2020
|
| |
2020
|
| |
2019
|
| |
2018
|
| |||||||||||||||
| | |
(in millions)
|
| |||||||||||||||||||||||||||
Net income (loss) attributable to Hertz Global
|
| | | $ | 626 | | | | | $ | (1,425) | | | | | $ | (1,714) | | | | | $ | (58) | | | | | $ | (225) | | |
Adjustments: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Income tax provision (benefit)
|
| | | | 193 | | | | | | (232) | | | | | | (329) | | | | | | 63 | | | | | | (30) | | |
Non-vehicle depreciation and amortization
|
| | | | 153 | | | | | | 168 | | | | | | 225 | | | | | | 203 | | | | | | 218 | | |
Non-vehicle debt interest, net(a)
|
| | | | 157 | | | | | | 118 | | | | | | 153 | | | | | | 311 | | | | | | 291 | | |
Vehicle debt-related charges(b)
|
| | | | 62 | | | | | | 37 | | | | | | 50 | | | | | | 38 | | | | | | 36 | | |
Loss on extinguishment of vehicle debt(c)
|
| | | | — | | | | | | — | | | | | | 5 | | | | | | — | | | | | | 22 | | |
Restructuring and restructuring related charges(d)
|
| | | | 72 | | | | | | 54 | | | | | | 64 | | | | | | 14 | | | | | | 32 | | |
Technology-related intangible and other asset impairments(e)
|
| | | | — | | | | | | 193 | | | | | | 213 | | | | | | — | | | | | | — | | |
Information technology and finance transformation costs(f)
|
| | | | 13 | | | | | | 34 | | | | | | 42 | | | | | | 114 | | | | | | 98 | | |
Reorganization items, net(g)
|
| | | | 677 | | | | | | 101 | | | | | | 175 | | | | | | — | | | | | | — | | |
Pre-reorganization and non-debtor financing charges(h)
|
| | | | 41 | | | | | | 89 | | | | | | 109 | | | | | | — | | | | | | — | | |
Gain from the Donlen Sale(i)
|
| | | | (400) | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Change in fair value of Public Warrants(j)
|
| | | | (16) | | | | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Other items(k)
|
| | | | (76) | | | | | | 8 | | | | | | 12 | | | | | | (36) | | | | | | (9) | | |
Adjusted Corporate EBITDA
|
| | | $ | 1,502 | | | | | $ | (855) | | | | | $ | (995) | | | | | $ | 649 | | | | | $ | 433 | | |
| | |
Nine Months Ended
September 30, |
| |
Years Ended December 31,
|
| ||||||||||||||||||||||||
| | |
2021
|
| |
2020
|
| |
2020
|
| |
2019
|
| |
2018
|
| |||||||||||||||
| | |
(in millions, except where noted)
|
| |||||||||||||||||||||||||||
Total RPD: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Revenues
|
| | | $ | 5,251 | | | | | $ | 3,535 | | | | | $ | 4,628 | | | | | $ | 9,107 | | | | | $ | 8,756 | | |
Foreign currency adjustment(a)
|
| | | | 9 | | | | | | 62 | | | | | | (5) | | | | | | 11 | | | | | | (97) | | |
Total Revenues – adjusted for foreign currency
|
| | | $ | 5,260 | | | | | $ | 3,597 | | | | | $ | 4,623 | | | | | $ | 9,118 | | | | | $ | 8,659 | | |
Transaction Days (in thousands)
|
| | | | 88,023 | | | | | | 81,813 | | | | | | 107,299 | | | | | | 205,998 | | | | | | 199,880 | | |
Total RPD (in whole dollars)
|
| | | $ | 59.75 | | | | | $ | 43.98 | | | | | $ | 43.09 | | | | | $ | 44.26 | | | | | $ | 43.32 | | |
| | |
Nine Months Ended
September 30, |
| |
Years Ended December 31,
|
| ||||||||||||||||||||||||
| | |
2021
|
| |
2020
|
| |
2020
|
| |
2019
|
| |
2018
|
| |||||||||||||||
| | |
(in millions, except where noted)
|
| |||||||||||||||||||||||||||
Total Revenue Per Unit Per Month: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total Revenues – adjusted for foreign currency(a)(b)
|
| | | $ | 5,260 | | | | | $ | 3,597 | | | | | $ | 4,623 | | | | | $ | 9,118 | | | | | $ | 8,659 | | |
Average Vehicles (in whole units)
|
| | | | 420,753 | | | | | | 593,145 | | | | | | 540,340 | | | | | | 715,602 | | | | | | 687,300 | | |
Total revenue per unit (in whole dollars)
|
| | | $ | 12,501 | | | | | $ | 6,064 | | | | | $ | 8,556 | | | | | $ | 12,742 | | | | | $ | 12,599 | | |
Number of months in period (in whole units)
|
| | | | 9 | | | | | | 9 | | | | | | 12 | | | | | | 12 | | | | | | 12 | | |
Total RPU Per Month (in whole dollars)
|
| | | $ | 1,389 | | | | | $ | 674 | | | | | $ | 713 | | | | | $ | 1,062 | | | | | $ | 1,050 | | |
| | |
Nine Months Ended
September 30, |
| |
Years Ended December 31,
|
| ||||||||||||||||||||||||
| | |
2021
|
| |
2020
|
| |
2020
|
| |
2019
|
| |
2018
|
| |||||||||||||||
| | |
(in millions, except where noted)
|
| |||||||||||||||||||||||||||
Depreciation Per Unit Per Month: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Depreciation of revenue earning vehicles and lease charges
|
| | | $ | 420 | | | | | $ | 1,280 | | | | | $ | 1,597 | | | | | $ | 2,096 | | | | | $ | 2,126 | | |
Foreign currency adjustment(a)
|
| | | | 2 | | | | | | 21 | | | | | | 1 | | | | | | — | | | | | | (19) | | |
Adjusted depreciation of revenue earning vehicles and lease charges
|
| | | $ | 422 | | | | | $ | 1,301 | | | | | $ | 1,598 | | | | | $ | 2,096 | | | | | $ | 2,107 | | |
Average Vehicles (in whole units)
|
| | | | 420,753 | | | | | | 593,145 | | | | | | 540,340 | | | | | | 715,602 | | | | | | 687,300 | | |
Depreciation of revenue earning vehicles and lease charges divided by Average Vehicles (in whole dollars)
|
| | | $ | 1,003 | | | | | $ | 2,193 | | | | | $ | 2,957 | | | | | $ | 2,929 | | | | | $ | 3,066 | | |
Number of months in period (in whole units)
|
| | | | 9 | | | | | | 9 | | | | | | 12 | | | | | | 12 | | | | | | 12 | | |
Depreciation Per Unit Per Month (in whole
dollars) |
| | | $ | 111 | | | | | $ | 244 | | | | | $ | 246 | | | | | $ | 244 | | | | | $ | 255 | | |
| | |
Nine Months Ended
September 30, |
| |
Years Ended December 31,
|
| ||||||||||||||||||||||||
| | |
2021
|
| |
2020
|
| |
2020
|
| |
2019
|
| |
2018
|
| |||||||||||||||
Vehicle Utilization: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Transaction Days (in thousands)
|
| | | | 88,023 | | | | | | 81,813 | | | | | | 107,299 | | | | | | 205,998 | | | | | | 199,880 | | |
Average Vehicles (in whole units)
|
| | | | 420,753 | | | | | | 593,145 | | | | | | 540,340 | | | | | | 715,602 | | | | | | 687,300 | | |
Number of days in period (in whole units)
|
| | | | 273 | | | | | | 274 | | | | | | 366 | | | | | | 365 | | | | | | 365 | | |
Available Car Days (in thousands)
|
| | | | 114,866 | | | | | | 162,522 | | | | | | 197,764 | | | | | | 261,195 | | | | | | 250,865 | | |
Vehicle Utilization
|
| | | | 77% | | | | | | 50% | | | | | | 54% | | | | | | 79% | | | | | | 80% | | |
| | |
As of
September 30, 2021 |
| |||
| | |
(in millions, except
per share data) |
| |||
Cash and cash equivalents(1)
|
| | | $ | 2,703 | | |
Debt: | | | | | | | |
Vehicle Debt(2)
|
| | | $ | 7,241 | | |
Unamortized Debt Issuance Costs and Net (Discount) Premium
|
| | | | (34) | | |
Total Vehicle Debt
|
| | | | 7,207 | | |
Non-Vehicle Debt: | | | | | | | |
Term B Loan(3)
|
| | | | 1,297 | | |
Term C Loan(3)
|
| | | | 245 | | |
Revolving Loan Facility(3)(4)
|
| | | | — | | |
Unamortized Debt Issuance Costs and Net (Discount) Premium
|
| | | | (45) | | |
Other Non-Vehicle Debt
|
| | | | 14 | | |
Total Non-Vehicle Debt
|
| | | | 1,511 | | |
Total Debt
|
| | | | 8,718 | | |
Public Warrants(5)
|
| | | | 783 | | |
Mezzanine Equity: | | | | | | | |
Series A preferred stock (par value $0.01 per share; 1,500,000 shares issued and outstanding)(6)
|
| | | | 1,433 | | |
Stockholders’ Equity: | | | | | | | |
Preferred Stock (par value $0.01 per share; 100,000,000 shares authorized; no shares issued and outstanding)
|
| | | | — | | |
Common stock (par value $0.01 per share; 1,000,000,000 shares authorized; 471,528,459 shares issued and outstanding)(7)
|
| | | | 5 | | |
Additional paid-in-capital
|
| | | | 6,482 | | |
Accumulated deficit
|
| | | | (2,055) | | |
Accumulated other comprehensive loss
|
| | | | (226) | | |
Stockholders’ equity attributable to Hertz Global(5)
|
| | | | 4,206 | | |
Noncontrolling interests
|
| | | | 12 | | |
Total stockholders’ equity
|
| | | | 4,218 | | |
Total capitalization
|
| | | $ | 15,152 | | |
| | |
Shares
Beneficially Owned(1) |
| |||||||||
Name
|
| |
Number
|
| |
Percent
|
| ||||||
5% Stockholders | | | | | | | | | | | | | |
CK Amarillo LP(2)
|
| | | | 196,673,104 | | | | | | 41.5% | | |
Executive Officers and Directors | | | | | | | | | | | | | |
M. Gregory O’Hara
|
| | | | — | | | | | | — | | |
Thomas Wagner
|
| | | | — | | | | | | — | | |
Christopher Lahoud
|
| | | | — | | | | | | — | | |
Colin Farmer
|
| | | | — | | | | | | — | | |
Jennifer Feikin
|
| | | | — | | | | | | — | | |
Mark Fields
|
| | | | — | | | | | | — | | |
Vincent Intrieri(3)
|
| | | | 42,367 | | | | | | * | | |
Evelina Vougessis Machas
|
| | | | — | | | | | | — | | |
Andrew Shannahan
|
| | | | — | | | | | | — | | |
Paul Stone(3)
|
| | | | 4,012 | | | | | | * | | |
Kenny Cheung
|
| | | | — | | | | | | — | | |
Angela I. Brav
|
| | | | — | | | | | | — | | |
M. David Galainena
|
| | | | — | | | | | | — | | |
All executive officers and directors as a group (19 persons)(3)
|
| | | | 49,032 | | | | | | * | | |
| | |
Shares
|
| |
%
|
| ||||||||||||||||||||||||||||||
| | |
Beneficially
Owned Before Offering |
| |
To be Sold in
Offering |
| |
Maximum
Number to be Sold Upon Exercise of the Underwriters’ Option |
| |
Beneficially
Owned Before Offering |
| |
Beneficially
Owned After Offering |
| |
Beneficially
Owned After Offering Assuming Exercise in Full of the Underwriters’ Option |
| ||||||||||||||||||
CK Amarillo LP(1)
|
| | | | 196,673,104 | | | | | | 15,217,635 | | | | | | 6,678,000 | | | | | | 41.5% | | | | | | 39.2% | | | | | | 37.7% | | |
Cougar Capital(2)
|
| | | | 110,000 | | | | | | 63,044 | | | | | | — | | | | | | * | | | | | | * | | | | | | * | | |
Diameter Capital(3)
|
| | | | 7,900,000 | | | | | | 1,245,125 | | | | | | — | | | | | | 1.7% | | | | | | 1.4% | | | | | | 1.4% | | |
Eaton Vance(4)
|
| | | | 3,034,104 | | | | | | 441,309 | | | | | | — | | | | | | * | | | | | | * | | | | | | * | | |
Fortress(5) | | | | | 12,380,406 | | | | | | 4,476,146 | | | | | | — | | | | | | 2.6% | | | | | | 1.7% | | | | | | 1.7% | | |
HBK(6) | | | | | 4,817,000 | | | | | | 1,631,587 | | | | | | — | | | | | | 1.0% | | | | | | * | | | | | | * | | |
HG Vora(7)
|
| | | | 14,000,000 | | | | | | 8,826,203 | | | | | | — | | | | | | 3.0% | | | | | | 1.1% | | | | | | 1.1% | | |
King Street(8)
|
| | | | 17,238,075 | | | | | | 5,623,996 | | | | | | — | | | | | | 3.6% | | | | | | 2.5% | | | | | | 2.5% | | |
Livello Capital(9)
|
| | | | 319,481 | | | | | | 188,806 | | | | | | — | | | | | | * | | | | | | * | | | | | | * | | |
Oaktree(10) | | | | | 17,692,340 | | | | | | 2,897,402 | | | | | | — | | | | | | 3.7% | | | | | | 3.2% | | | | | | 3.2% | | |
Paloma(11) | | | | | 1,600,000 | | | | | | 756,532 | | | | | | — | | | | | | * | | | | | | * | | | | | | * | | |
Sachem Head(12)
|
| | | | 8,210,268 | | | | | | 3,152,215 | | | | | | — | | | | | | 1.7% | | | | | | 1.1% | | | | | | 1.1% | | |
Name
|
| |
Number of Shares
|
| |||
Goldman Sachs & Co. LLC
|
| | | | 10,313,846 | | |
J.P. Morgan Securities LLC
|
| | | | 10,313,845 | | |
Morgan Stanley & Co. LLC
|
| | | | 10,313,845 | | |
Barclays Capital Inc.
|
| | | | 6,677,933 | | |
Deutsche Bank Securities Inc.
|
| | | | 4,006,760 | | |
Guggenheim Securities, LLC
|
| | | | 1,335,587 | | |
BTIG, LLC
|
| | | | 445,196 | | |
AmeriVet Securities, Inc.
|
| | | | 370,996 | | |
Loop Capital Markets LLC
|
| | | | 370,996 | | |
Tigress Financial Partners LLC
|
| | | | 370,996 | | |
Total
|
| | | | 44,520,000 | | |
| | |
No Exercise
|
| |
Full Exercise
|
| ||||||
Per Share
|
| | | $ | 1.305 | | | | | $ | 1.305 | | |
Total
|
| | | $ | 58,098,600 | | | | | $ | 66,813,390 | | |