One of the largest U.S. car rental companies Operations typically generate adequate cash flow due to large noncash depreciation component. Limited access to capital at higher borrowing costs; Limited geographical diversity, with most of its operations located in North America; Highly leveraged financial profile; and All assets pledged to financings. Standard&Poor's Ratings Services' ratings on Avis Budget Group Inc. remain on CreditWatch with negative implications, where they were placed on Jan. 25, 2008. We have lowered our ratings twice to current levels since the initial CreditWatch placement. The negative CreditWatch status reflects the company's continuing poor earnings outlook, due to weaker demand, pressure on pricing and on automobile resale values, and limited access to capital at higher prices.
