Avis 2014 Annual Report Download - page 55

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48
and used proceeds from these borrowings, as well as cash generated from our operations, to:
• retire the entire $687 million principal amount outstanding of our 8¼% Senior Notes due 2019;
• fund our Budget Licensee Acquisitions; and
• repurchase approximately 5.7 million shares of our outstanding common stock.
During 2014, we also increased our borrowings under vehicle programs by $779 million to fund an increase in our
assets under vehicle programs.
Cash Flows
Year Ended December 31, 2014 vs. Year Ended December 31, 2013
The following table summarizes our cash flows:
Year Ended December 31,
2014 2013 Change
Cash provided by (used in):
Operating activities $ 2,579 $ 2,253 $ 326
Investing activities (2,807) (2,234) (573)
Financing activities 182 76 106
Effects of exchange rate changes (23) (8) (15)
Net change in cash and cash equivalents (69) 87 (156)
Cash and cash equivalents, beginning of period 693 606 87
Cash and cash equivalents, end of period $ 624 $ 693 $ (69)
The increase in cash provided by operating activities during 2014 compared with 2013 is principally due to an
increase in revenues and our continued cost reduction efforts.
The increase in cash used in investing activities during 2014 compared with 2013 is primarily due to an increase
in vehicle purchases and our Budget Licensee Acquisitions during 2014, partially offset by the acquisition of
Zipcar in 2013.
The increase in cash provided by financing activities in 2014 compared with 2013 is primarily due to an increase
in borrowings under vehicle programs to fund an increase in vehicle assets in 2014, partially offset by increased
corporate borrowings to fund the purchase of Zipcar in 2013 and an increase in common stock repurchases in
2014.
We anticipate that our non-vehicle property and equipment additions will be approximately $200 million in 2015
and plan to refinance our remaining $223 million of 9¾% Senior Notes due 2020, which become callable in
September. As of December 31, 2014, we had approximately $284 million of authorized share repurchase
capacity, and we currently anticipate that we will utilize most or all of such capacity to repurchase common stock
in 2015.