Hertz 2015 Annual Report Download - page 37

Table of Contents


                    
       

We could face a significant withdrawal liability if we withdraw from participation in one or more multiemployer pension plans in which we participate
or in the event other employers in such plans become insolvent, any of which could have a material adverse effect on our financial position,
results of operations or cash flows.
We participate in various "multiemployer" pension plans. In the event that we withdraw from participation in one of these plans, then applicable law
could require us to make an additional lump-sum contribution to the plan, and we would have to reflect that as an expense in our consolidated
statement of operations and as a liability on our consolidated balance sheet. Our withdrawal liability for any multiemployer plan would depend on
the extent of the plan's funding of vested benefits. Our multiemployer plans could have significant underfunded liabilities. Such underfunding may
increase in the event other employers become insolvent or withdraw from the applicable plan or upon the inability or failure of withdrawing
employers to pay their withdrawal liability. In addition, such underfunding may increase as a result of lower than expected returns on pension fund
assets or other funding deficiencies. The occurrence of any of these events could have a material adverse effect on our consolidated financial
position, results of operations or cash flows. See Note 7, "Employee Retirement Benefits," to the Notes to our consolidated financial statements
included in this Annual Report under the caption Item 8, ‘‘Financial Statements and Supplementary Data."
                   

We are subject to federal, state, local and foreign environmental laws and regulations in connection with our operations, including with respect to
the ownership and operation of tanks for the storage of petroleum products, such as gasoline, diesel fuel and motor and waste oils. We cannot
assure you that our tanks will at all times remain free from leaks or that the use of these tanks will not result in significant spills or leakage. If
leakage or a spill occurs, it is possible that the resulting costs of cleanup, investigation and remediation, as well as any resulting fines, could be
significant. We cannot assure you that compliance with existing or future environmental laws and regulations will not require material expenditures
by us or otherwise have a material adverse effect on our consolidated financial position, results of operations or cash flows. See Item 1,
‘‘Business—Governmental Regulation and Environmental Matters’’ in this Annual Report.
The U.S. Congress and other legislative and regulatory authorities in the U.S. and internationally have considered, and will likely continue to
consider, numerous measures related to climate change and greenhouse gas emissions. Should rules establishing limitations on greenhouse gas
emissions or rules imposing fees on entities deemed to be responsible for greenhouse gas emissions become effective, demand for our services
could be affected, our fleet and/or other costs could increase, and our business could be adversely affected.
                  
             


We are subject to a wide variety of U.S. laws and regulations and changes in the level of government regulation of our business have the potential
to materially alter our business practices and materially adversely affect our financial position and results of operations, including our profitability.
Those changes may come about through new laws and regulations or changes in the interpretation of existing laws and regulations.
Any new, or change in existing, U.S. law and regulation with respect to optional insurance products or policies could increase our costs of
compliance or make it uneconomical to offer such products, which would lead to a reduction in revenue and profitability. For further discussion
regarding how changes in the regulation of insurance intermediaries may affect us, see Item 1, ‘‘Business—Insurance and Risk Management’’ in
this Annual Report. If customers decline
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 ℠
The information contained herein may not be copied, adapted or distributed and is not warranted to be accurate, complete or timely. The user assumes all risks for any damages or losses arising from any use of this information,
except to the extent such damages or losses cannot be limited or excluded by applicable law. Past financial performance is no guarantee of future results.