Hertz 2011 Annual Report Download - page 98

ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS (Continued)
During the year ended December 31, 2011, we used $1,620.4 million more cash for financing activities
compared with the same period in 2010. The increase was primarily due to a decrease in proceeds
under the revolving lines of credit, net, payment of long-term debt (includes redemption of $518.5 million
principal amount of 10.5% Senior Subordinated Notes, redemption of $1,585 million principal amount of
our outstanding 8.875% Senior Notes and a payment of $1.3 billion for the 2005 Senior Term Facility) and
payments of short-term borrowings, partly offset by an increase in proceeds from the issuance of
long-term debt (includes $1.4 billion Senior Term Facility issued March 2011 and $1 billion of 6.75%
Senior Notes issued in February and March 2011). During the year ended December 31, 2010, we
generated $262.8 million more cash from financing activities compared with the same period in 2009.
The increase was primarily due to increases in net proceeds under the revolving lines of credit and
proceeds from the issuance of long-term debt (includes $700 million Senior Notes issued in September
2010 and $500 million Senior Notes issued in December 2010), partly offset by the payment of long-term
debt and short-term borrowings and prior year’s proceeds from the sale of common stock and
convertible debt offering.
Capital Expenditures
The tables below set forth the revenue earning equipment and property and equipment capital
expenditures and related disposal proceeds, on a cash basis consistent with our consolidated
statements of cash flows, by quarter for 2011, 2010 and 2009 (in millions of dollars).
Revenue Earning Equipment Property and Equipment
Net Capital
Expenditures
Capital Disposal (Disposal Capital Disposal Net Capital
Expenditures Proceeds Proceeds) Expenditures Proceeds Expenditures
2011
First Quarter ........ $1,963.8 $(1,690.2) $ 273.6 $ 56.8 $(14.5) $ 42.3
Second Quarter ..... 3,503.0 (1,798.7) 1,704.3 68.6 (13.9) 54.7
Third Quarter ....... 2,397.8 (1,443.5) 954.3 76.9 (19.7) 57.2
Fourth Quarter ...... 1,589.7 (2,918.0) (1,328.3) 79.4 (5.7) 73.7
Total Year ........ $9,454.3 $(7,850.4) $ 1,603.9 $281.7 $(53.8) $227.9
2010
First Quarter ........ $2,214.5 $(1,606.4) $ 608.1 $ 51.3 $ (6.7) $ 44.6
Second Quarter ..... 3,102.8 (1,836.8) 1,266.0 40.7 (8.5) 32.2
Third Quarter ....... 1,796.4 (1,702.8) 93.6 42.3 (10.3) 32.0
Fourth Quarter ...... 1,327.2 (2,372.4) (1,045.2) 44.9 (13.4) 31.5
Total Year ........ $8,440.9 $(7,518.4) $ 922.5 $179.2 $(38.9) $140.3
2009
First Quarter ........ $1,399.6 $(2,045.1) $ (645.5) $ 26.7 $ (5.2) $ 21.5
Second Quarter ..... 2,140.9 (1,195.1) 945.8 21.6 0.2 21.8
Third Quarter ....... 1,654.0 (986.6) 667.4 20.7 (1.1) 19.6
Fourth Quarter ...... 2,332.8 (1,879.8) 453.0 31.7 (17.6) 14.1
Total Year ........ $7,527.3 $(6,106.6) $ 1,420.7 $100.7 $(23.7) $ 77.0
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