Hertz 2009 Annual Report Download - page 152

HERTZ GLOBAL HOLDINGS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
Contributions
Our policy for funded plans is to contribute annually, at a minimum, amounts required by applicable
laws, regulations and union agreements. From time to time we make contributions beyond those legally
required. In 2009, we made discretionary cash contributions to our U.S. qualified pension plan of
$42.6 million. In 2008, we made a discretionary cash contribution to our U.S. qualified pension plan of
$1.5 million. Based upon the significant decline in asset values in 2008, which were in line with the overall
market declines, it is likely we will have to make cash contributions in 2010 and future years. We expect
to contribute between $25 million and $95 million to our U.S. plan during 2010. The level of 2010 and
future contributions will vary, and is dependent on a number of factors including investment returns,
interest rate fluctuations, plan demographics, funding regulations and the results of the final actuarial
valuation.
Estimated Future Benefit Payments
The following table presents estimated future benefit payments (in millions of dollars):
Postretirement
Pension Benefits Benefits (U.S.)
2010 .............................................. $ 30.7 $0.9
2011 .............................................. 29.6 0.9
2012 .............................................. 34.3 0.9
2013 .............................................. 37.4 1.0
2014 .............................................. 36.4 1.0
2015-2018 .......................................... 230.7 5.4
Note 5—Stock-Based Compensation
Plans
On February 28, 2008, our Board of Directors adopted the Hertz Global Holdings, Inc. 2008 Omnibus
Incentive Plan, or the ‘‘Omnibus Plan’’, which was approved by our stockholders at the annual meeting
of stockholders held on May 15, 2008. A maximum of 17.7 million shares are reserved for issuance under
the Omnibus Plan. The Omnibus Plan provides for grants of both equity and cash awards, including
non-qualified stock options, incentive stock options, stock appreciation rights, performance awards
(shares and units), restricted stock, restricted stock units and deferred stock units to key executives,
employees and non-management directors. We also granted awards under the Hertz Global
Holdings, Inc. Stock Incentive Plan, or the ‘‘Stock Incentive Plan,’’ and the Hertz Global Holdings, Inc.
Director Stock Incentive Plan, or the ‘‘Director Plan’’, or the ‘‘Prior Plans.’’
The Omnibus Plan provides that no further awards will be granted pursuant to the Prior Plans. However,
awards that had been previously granted pursuant to the Prior Plans will continue to be subject to and
governed by the terms of the Prior Plans. As of December 31, 2009, there were 13.0 million shares of our
common stock underlying awards outstanding under the Prior Plans. In addition, as of December 31,
2009, there were 8.1 million shares of our common stock underlying awards outstanding under the
Omnibus Plan.
In addition to the 21.1 million shares underlying outstanding awards as of December 31, 2009, we had
8.9 million shares of our common stock available for issuance under the Omnibus Plan. The shares of
common stock to be delivered under the Omnibus Plan may consist, in whole or in part, of common
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