What was the minimum pension liability adjustment for Budget on January 1, 2022?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
noome (1855) attributable to Avis Budget Group, Inc. | * | (1,021) | 1,002 | 2,104 | | Earnings (loss) per share | | | | | | Basic | $ | (51.23) | $ 42.57 | $ 58,41 | | Diluted | $ | (51.23) | $ 42.08 | $ 57.16 |
Avis Budget Group, Inc. CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (In millions)
| Year Ended December 31, | ||||
|---|---|---|---|---|
| 2024 | 2023 | 2022 | ||
| Net income (loss) | $ | (1,817) $ | 1,635 | $ 2,756 |
| Less: Net income (loss) attributable to non-controlling interests | 4 | 3 | (8) | |
| Net income (loss) attributable to Avis Budget Group, Inc. | (1,821) | 1,632 | 2,764 | |
| Other comprehensive income (loss), net of tax | ||||
| Currency translation adjustments: | (122) | 27 | (46) | |
| Currency translation adjustments, net of tax of $(19), $7 and $(11), respectively | (122) | 21 | (40) | |
| Cash flow hedges: | 15 | 5 | 57 | |
| Net unrealized holding gains (losses), net of tax of $(5), $(2), and $(20), respectively | (21) | (13) | 7 | |
| Reclassification of cash flow hedges to earnings, net of tax of $7, $5, and $(2), respectively | (21) | (.0) | • | |
| Minimum pension liability adjustment: | 10 | (18) | 11 | |
| Pension and post-retirement benefits, net of tax of $(4), $6, and $ |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 79)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, the minimum pension liability adjustment for the year ended December 31, 2022, was $11. This figure is part of the broader "Other comprehensive income (loss), net of tax" section within Budget's financial statements.
This adjustment reflects changes in Budget's pension liabilities and post-retirement benefits. It is a component of the company's overall financial health and is reported net of tax. For prospective franchisees, understanding these adjustments is crucial as they provide insight into the company's long-term financial obligations and how these obligations might impact the franchisor's stability.
While this specific figure might not directly impact day-to-day franchise operations, it contributes to the overall financial picture of Budget. Franchisees should consider these figures in conjunction with other financial metrics to assess the financial strength and stability of the franchisor. Reviewing these figures over several years, as presented in the table, can reveal trends and potential risks or opportunities.