Dollar Rent A Car 2007 Annual Report Download - page 15

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As of December 31, 2007, Thrifty’s vehicle rental system included 472 rental locations in the United
States and Canada, consisting of 253 company-owned stores and 219 franchisee locations. Thrifty’s total
rental revenue generated by company-owned stores was $695 million for the year ended December 31,
2007.
Corporate Operations
United States
The Company’s operating model for U.S. Dollar and Thrifty company-owned stores includes generally
maintaining separate airport counters, bussing, reservations, marketing and all other customer contact
activities, while using a single management team for both brands. In addition, this operating model
includes sharing vehicles, back-office employees and service facilities, where possible.
As of December 31, 2007, the Company operates the Dollar brand in 58 and the Thrifty brand in 59 of the
top 75 airport markets in the United States and operates both brands in 50 of these top 75 airport
markets. During 2007, the Company added the Thrifty brand in six of the top 75 airport markets by
acquiring franchisee locations.
Canada
The Company operates in Canada through DTG Canada. The Company currently operates corporate
stores in seven of the eight largest airport markets in Canada, which includes Calgary, Winnipeg,
Toronto, Montreal, Halifax, Edmonton and Vancouver. The majority of the markets are operated under
the Company’s co-branding strategy in Canada where both the Dollar and Thrifty brands are represented
at one shared location.
Franchise Acquisition Program
The Company continues to evaluate both Dollar and Thrifty franchise operations in the top 75 U.S. airport
markets and other key leisure markets. In 2007, the Company continued this strategy by acquiring the
Thrifty franchise operations in sixteen U.S. markets: Seattle, Washington; Portland, Oregon; Pittsburgh,
Allentown, Harrisburg, and Erie, Pennsylvania; Burlington, Vermont; Louisville, Kentucky; Knoxville,
Tennessee; Providence, Rhode Island; Kansas City and Springfield, Missouri; Wichita, Kansas; Omaha
and Lincoln, Nebraska; and Des Moines, Iowa and the Dollar franchise operations in two U.S. markets:
Allentown, Pennsylvania and Wichita, Kansas. Dollar and Thrifty generally have the right of first refusal
on the sale of a franchise operation.
Tour Rentals
Vehicle rentals by customers of foreign and U.S. tour operators generated approximately $189 million or
11.3% of the Company’s rental revenues for the year ended December 31, 2007. These rentals are
usually part of tour packages that can also include air travel and hotel accommodations. No single tour
operator account generated in excess of 2% of the Company’s 2007 rental revenues.
Other
As of December 31, 2007, the Company had 156 vehicle rental concessions for company-owned stores
at 102 airports in the United States. Its payments for these concessions are usually based upon a
specified percentage of airport-generated revenue, subject to a minimum annual fee, and typically include
fixed rent for terminal counters or other leased properties and facilities. A growing number of larger
airports are building consolidated airport rental car facilities to eliminate congestion at the airport which
also facilitates additional growth for the rental car industry.
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