Where can I find more information about Dollar Rent A Car's stock-based compensation?
Dollar_Rent_A_Car Franchise · 2025 FDDAnswer from 2025 FDD Document
Note 9—Stock-Based Compensation
The stock-based compensation expense associated with the Hertz Holdings stock-based compensation plans is pushed down from Hertz Global and recorded at Hertz.
2021 Omnibus Incentive Plan
During 2021, Hertz Global's Board approved the Hertz Global Holdings, Inc. 2021 Omnibus Incentive Plan (the "2021 Omnibus Plan"). Hertz Global initially authorized 62,250,055 shares of its common stock pursuant to awards granted under the 2021 Omnibus Plan. In addition, beginning on June 30, 2022, and ending on June 20, 2031 (the "Evergreen Date"), the total authorized shares under the 2021 Omnibus Plan will automatically increase by a number of shares equal to 2% of the total number of shares of Hertz Global's common stock outstanding on the June 29th immediately preceding the applicable Evergreen Date (the "Evergreen Increase"). Notwithstanding the foregoing, Hertz Global's Board may act prior to the Evergreen Date of a given year to provide that there will be no Evergreen Increase for such year, or that the increase for such year will be a lesser number of shares. As of December 31, 2024, 43,816,240 shares of the Hertz Global's common stock are authorized and remain available for future grants under the 2021 Omnibus Plan, which reflects application of the Evergreen Increase as prescribed by the 2021 Omnibus Plan in each of June 2024 and 2023. Vesting of the outstanding equity awards is also subject to accelerated vesting as set forth in the 2021 Omnibus Plan.
Source: Item 23 — RECEIPTS (FDD pages 102–301)
What This Means (2025 FDD)
According to the 2025 Dollar Rent A Car FDD, details regarding stock-based compensation can be found in the notes to the consolidated financial statements. Specifically, Note 9 addresses stock-based compensation related to Hertz Holdings. The expense is pushed down from Hertz Global and recorded at Hertz.
The 2021 Omnibus Incentive Plan, approved by Hertz Global's Board in 2021, initially authorized 62,250,055 shares of common stock for awards. The plan includes an "Evergreen Increase" beginning June 30, 2022, and ending June 20, 2031, which automatically increases the authorized shares by 2% of the total outstanding shares of Hertz Global's common stock on the preceding June 29th. The board can, however, decide to forgo or reduce this increase in any given year.
As of December 31, 2024, 43,816,240 shares of Hertz Global's common stock are authorized and remain available for future grants under the 2021 Omnibus Plan. This figure reflects the Evergreen Increase applied in June 2024 and 2023. The vesting of outstanding equity awards may be accelerated as outlined in the 2021 Omnibus Plan. Prospective franchisees should note that this compensation is tied to Hertz Global, the parent company, and is subject to the terms and conditions of the 2021 Omnibus Plan.