What were Budget's non-current liabilities as of December 31, 20?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
y. For the year ended December 31, 2022, $1 million was included in selling, general and administrative
expenses. (b) Included in selling, general and administrative expenses.
Net funded status
We use a measurement date of December 31st for our pension plans. The funded status of the pension plans were as follows:
| As of December 31, | |||||||
|---|---|---|---|---|---|---|---|
| 20 | 2023 | ||||||
| Change in Benefit Obligation | $ | 620 $ | 575 | ||||
| Benefit obligation at end of prior year | • | 3 | 3 | ||||
| Service cost | 28 | 27 | |||||
| Interest cost | (43) | 30 | |||||
| Actuarial (gain) loss | (1) | _ | |||||
| Plan amendments | (11) | 15 | |||||
| Currency translation adjustment | (31) | (30) | |||||
| Net benefits paid | $ | 565 $ | 620 | ||||
| Benefit obligation at end of current year | |||||||
| Change in Plan Assets | _ | ^ | E14 | ||||
| Fair value of assets at end of prior year | $ | 540 $ | 514 35 | ||||
| Actual return on plan assets | 3 | 6 | |||||
| Employer contributions | 4 | 15 | |||||
| Currency translation adjustment | (6) | (30) | |||||
| Net benefits paid | (31) | 540 | |||||
| Fair value of assets at end of current year | $ | 510 $ | 540 | ||||
| Amounts recognized in the statement of financial position consist of the following: | As of December 31, | ||||||
| Funded Status | 20 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 79)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, the company's balance sheet includes specific figures for non-current liabilities as of December 31, 2024, and December 31, 2023. The non-current liabilities were ($90) as of December 31, 2024, and ($100) as of December 31, 2023. These figures represent the amounts recognized in the statement of financial position related to non-current liabilities.
These values are part of a broader presentation of Budget's financial status, specifically within the context of benefit obligations and plan assets. The amounts are classified to show the net balance sheet assets and liabilities, distinguishing between current and non-current items. This classification is essential for understanding the long-term financial commitments and obligations of Budget.
Potential franchisees should understand that non-current liabilities typically include obligations not expected to be settled within one year. These can include long-term debt, deferred tax liabilities, and other extended payment terms. Reviewing these figures in the context of Budget's overall financial health, including assets, other liabilities, and equity, is crucial for assessing the financial stability and long-term prospects of the franchise. It is advisable to consult with a financial advisor to fully understand the implications of these liabilities.