Hertz 2014 Annual Report Download - page 24

Table of Contents



Our worldwide equipment rental operation is a seasonal business, with demand for our rental equipment tending to be lower in the winter months.
We have the ability to manage fleet capacity, the most significant portion of our cost structure, to meet market demand. For instance, to
accommodate increased demand, we increase our available fleet and staff during the second and third quarters of the year. A number of our other
major operating costs are directly related to revenues or transaction volumes, however, certain operating expenses, including rent, insurance, and
administrative overhead, remain fixed and cannot be adjusted for seasonal demand.
The following chart sets forth this seasonal effect of our equipment rental operations by providing quarterly revenues for each of the years ended
December 31, 2014, 2013 and 2012. Amounts are computed independently each quarter, therefore, the s um of the quarterly amounts may not
equal the total amount for the respective year due to rounding.

Through our Donlen subsidiary, we provide fleet leasing and management services for corporate fleets and through HCM, we provide claim
management services. Our All Other Operations segment generated $568 million in revenues during the year ended December 31, 2014.

Donlen provides a comprehensive array of fleet leasing, financing, telematics, and management services to commercial fleets in the U.S. and
Canada. Products offered by Donlen include:
• Vehicle financing, acquisition and remarketing;
• License, title and registration;
• Maintenance consultation;
• Fuel management;
• Accident management;
• Toll management;
• Telematics-based location, driver performance and scorecard reporting; and
• Equipment financing,
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Source: HERTZ GLOBAL HOLDINGS INC, 10-K, July 16, 2015 Powered by Morningstar® Document Research℠
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