Thrifty Car Rental 2009 Annual Report Download - page 11

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are building consolidated airport rental car facilities to alleviate congestion at the airport. These
consolidated rental facilities may eliminate certain competitive advantages among the brands as
competitors operate out of one centralized facility for both customer rental and return operations, share
consolidated bussing operations and maintain image standards mandated by the airports.
Summary of Corporate Operations Data
2009 2008 2007
Rental revenues:
United States - Dollar 835,935$ 933,072$ 964,416$
United States - Thrifty 576,230 602,653 621,043
Total U.S. rental revenues 1,412,165 1,535,725 1,585,459
Canada - Dollar 9,178 15,642 16,635
Canada - Thrifty 51,575 64,786 74,255
Total Canada rental revenues 60,753 80,428 90,890
Total rental revenues 1,472,918 1,616,153 1,676,349
Other 18,681 20,966 17,715
Total revenues from U.S. and
Canadian Corporate Operations 1,491,599$ 1,637,119$ 1,694,064$
2009 2008 2007
Rental locations (U.S. and Canada):
Dollar 151 181 213
Thrifty 145 219 253
Total corporate rental locations 296 400 466
Year Ended December 31,
(in thousands)
As of December 31,
Franchising
United States and Canada
Both Dollar and Thrifty sell U.S. franchises on an exclusive basis for specific geographic areas, generally
outside the top 75 U.S. airport markets. Most franchisees are located at or near airports that generate a
lower volume of vehicle rentals than the airports served by company-owned stores. In Canada, Dollar
and Thrifty sell franchises in markets generally outside the top eight airport markets. The typical length of
a franchise is ten years with a renewal option for five years if certain conditions are met. The franchisee
may terminate the franchise for convenience upon 120 days written notice and Dollar and Thrifty may
terminate upon breach of the agreement or for cause as defined in the agreement.
Dollar and Thrifty offer franchisees the opportunity to dual franchise in smaller U.S. and Canadian
markets. Under a dual franchise, one franchisee can operate both the Dollar and the Thrifty brand, thus
allowing them to generate more business in their market while leveraging fixed costs.
Dollar and Thrifty license to franchisees the use of their respective brand service marks in the vehicle
rental and leasing and parking businesses. Franchisees of Dollar and Thrifty pay an initial franchise fee
generally based on the population, number of airline passengers, total airport vehicle rental revenues and
the level of any other vehicle rental activity in the franchised territory, as well as other factors. Dollar and
Thrifty offer their respective franchisees a wide range of products and services which may not be easily or
cost effectively available from other sources.
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