Hertz 2014 Annual Report Download - page 28

Table of Contents
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have a material effect on our earnings or financial condition. However, it is difficult to predict with certainty the potential impact of future
compliance efforts and environmental remedial actions and thus future costs associated with such matters may exceed the amount of the current
accrual.
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In the U.S., car and equipment rental transactions are generally subject to Article 2A of the Uniform Commercial Code, which governs “leases” of
tangible personal property. Car rental is also specifically regulated in more than half of the states of the U.S. and many other international
jurisdictions. The subjects of these regulations include the methods by which we advertise, quote and charge prices, the consequences of failing
to honor reservations, the terms on which we deal with vehicle loss or damage (including the protections we provide to renters purchasing loss or
damage waivers) and the terms and method of sale of the optional insurance coverage that we offer. Some states (including California, New York,
Nevada and Illinois) regulate the price at which we may sell loss or damage waivers, and many state insurance regulators have authority over the
prices and terms of the optional insurance coverage we offer. See “Risk Management-Damage to Our Property” above for further discussion
regarding the loss or damage waivers and optional insurance coverages that we offer renters. In addition, various consumer protection laws and
regulations may generally apply to our business operations. Internationally, regulatory regimes vary greatly by jurisdiction, but they do not
generally prevent us from dealing with customers in a manner similar to that employed in the U.S.
Both in the U.S. and internationally, we are subject to increasing regulation relating to customer privacy and data protection. In general, we are
limited in the uses to which we may put data that we collect about renters, including the circumstances in which we may communicate with them.
In addition, we are generally obligated to take reasonable steps to protect customer data while it is in our possession. Our failure to do so could
subject us to substantial legal liability or seriously damage our reputation.
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Changes in government regulation of our businesses have the potential to materially alter our business practices, or our profitability. Depending on
the jurisdiction, those changes may come about through new legislation, the issuance of new laws and regulations or changes in the interpretation
of existing laws and regulations by a court, regulatory body or governmental official. Sometimes those changes may have not just prospective but
also retroactive effect; this is particularly true when a change is made through reinterpretation of laws or regulations that have been in effect for
some time. Moreover, changes in regulation that may seem neutral on their face may have either more or less impact on us than on our
competitors, depending on the circumstances. Several U.S. State Attorneys General have taken the position that car rental companies either may
not pass through to customers, by means of separate charges, expenses such as vehicle licensing and concession fees or may do so only in
certain limited circumstances. Recent or potential changes in law or regulation that affect us relate to insurance intermediaries, customer privacy
and data security and rate regulation.
In addition, our operations, as well as those of our competitors, also could be affected by any limitation in the fuel supply or by any imposition of
mandatory allocation or rationing regulations. We are not aware of any current proposal to impose such a regime in the U.S. or internationally.
Such a regime could, however, be quickly imposed if there was a serious disruption in supply for any reason, including an act of war, terrorist
incident or other problem affecting petroleum supply, refining, distribution or pricing.
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We file annual, quarterly and current reports and other information with the SEC, though, due to the restatement matters discussed herein, we did
not file any quarterly reports for the year ended December 31, 2014. You may read and copy any documents that we file at the SEC's public
reference room at 100 F Street, N.E., Washington, D.C. 20549. You may call the SEC at 1-800-SEC-0330 to obtain further information about the
public reference room. In addition, the SEC maintains an internet website (www.sec.gov) that contains reports, proxy and information statements
and other information about issuers that file electronically with the SEC, including Hertz Holdings. You may also access, free of charge, our
reports filed with the SEC (for example, our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q and our Current Reports on Form 8-
K and any amendments to those forms) indirectly through our internet website (www.hertz.com). Reports filed with or furnished to the SEC will be
available as soon as reasonably practicable after
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Source: HERTZ GLOBAL HOLDINGS INC, 10-K, July 16, 2015 Powered by Morningstar® Document Research℠
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