Avis 2014 Annual Report Download - page 88
Download and view the complete annual report
Please find page 88 of the 2014 Avis annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2
-
3
-
4
-
5
-
6
-
7
-
8
-
9
-
10
-
11
-
12
-
13
-
14
-
15
-
16
-
17
-
18
-
19
-
20
-
21
-
22
-
23
-
24
-
25
-
26
-
27
-
28
-
29
-
30
-
31
-
32
-
33
-
34
-
35
-
36
-
37
-
38
-
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68
-
69
-
70
-
71
-
72
-
73
-
74
-
75
-
76
-
77
-
78 -
79 -
80 -
81 -
82 -
83 -
84 -
85 -
86 -
87 -
88 -
89 -
90 -
91 -
92 -
93 -
94 -
95 -
96 -
97 -
98 -
99
-
100
-
101
-
102
-
103
-
104
-
105
-
106
-
107
-
108
-
109
-
110
-
111
-
112
-
113
-
114
-
115
-
116
-
117
-
118
-
119
-
120
-
121
-
122
-
123
-
124
-
125
-
126
-
127
-
128
-
129
-
130
-
131
-
132
-
133
-
134
-
135
-
136
-
137
 |
 |
F-21
Current and non-current deferred income tax assets and liabilities are comprised of the following:
As of December 31,
2014 2013
Current deferred income tax assets:
Accrued liabilities and deferred revenue $ 188 $ 209
Provision for doubtful accounts 7 12
Acquisition and integration-related liabilities 6 10
Unrealized hedge loss 1 —
Convertible note hedge — 1
Valuation allowance (a) (22) (28)
Current deferred income tax assets 180 204
Current deferred income tax liabilities:
Accrued liabilities and deferred revenue — 5
Prepaid expenses 21 22
Current deferred income tax liabilities 21 27
Current deferred income tax assets, net $ 159 $ 177
Non-current deferred income tax assets:
Net tax loss carryforwards $ 1,483 $ 1,431
Accrued liabilities and deferred revenue 109 137
Depreciation and amortization 23 15
Tax credits 75 75
Acquisition and integration-related liabilities 2 16
Other 57 46
Valuation allowance (a) (297) (319)
Non-current deferred income tax assets 1,452 1,401
Non-current deferred income tax liabilities:
Depreciation and amortization 96 101
Other 41
Non-current deferred income tax liabilities 100 102
Non-current deferred income tax assets, net $ 1,352 $ 1,299
__________
(a) The valuation allowance of $319 million at December 31, 2014 relates to tax loss carryforwards, foreign tax credits
and certain deferred tax assets of $249 million, $46 million and $24 million, respectively. The valuation allowance
will be reduced when and if the Company determines it is more likely than not that the related deferred income tax
assets will be realized. The valuation allowance of $347 million at December 31, 2013 relates to tax loss
carryforwards, foreign tax credits and certain deferred tax assets of $279 million, $46 million and $22 million,
respectively.
Deferred income tax assets and liabilities related to vehicle programs are comprised of the following:
As of December 31,
2014 2013
Deferred income tax assets:
Depreciation and amortization $ 54 $ 51
54 51
Deferred income tax liabilities:
Depreciation and amortization 2,321 2,228
2,321 2,228
Deferred income tax liabilities under vehicle programs, net $ 2,267 $ 2,177
At December 31, 2014, the Company had U.S. federal net operating loss carryforwards of approximately
$3.5 billion, most of which expire in 2031. Such net operating loss carryforwards are primarily related to
accelerated depreciation of the Company’s U.S. vehicles. Currently, the Company does not record valuation
allowances on the majority of its U.S. federal tax loss carryforwards as there are adequate deferred tax
liabilities that could be realized within the carryforward period. At December 31, 2014, the Company had
foreign net operating loss carryforwards of approximately $459 million with an indefinite utilization period. No