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Avis Budget Group

2009
Environmental
Strategy & Initiatives
Executive Summary

A s a responsible corporate citizen,


Avis Budget Group is committed to
monitoring, measuring and managing
our environmental impact, and working to
reduce it where practicable on an ongoing basis.

The Company has four primary initiatives under way


to achieve its environmental management goals:

n Operations: Establishing Environmental


Management Systems for key operating locations
to measure environmental impacts and implement
plans for managing and reducing these impacts;

n Fleet: Offering our customers a wide variety


of vehicles that are environmentally friendly
as defined by the U.S. Environmental Protection
Agency’s SmartWay Certification program;

n Outreach: Partnering with our corporate


customers to help them measure and manage
the environmental impact of Avis and Budget
rental vehicles used by their employees;

n Compliance: Meeting or voluntarily exceeding


the requirements of all federal, state and local
health, safety and environmental protection laws.

Through these initiatives, we have improved the


environmental profile of our fleet and reduced our
consumption of natural resources. Through our
“continuous improvement” approach, we remain
committed to further managing and reducing our
environmental impact in 2009 and beyond.

2009 Avis Budget Group Environmental Strategy & Initiatives I Page 1


Avis Budget Group Environmental Strategy & Initiatives
Operations and those where improvement may be sought
Avis Budget Group measures and manages its over time. The assessment also identifies areas
environmental impact through the creation of Envi- where the Company is performing at a “best prac-
ronmental Management Systems (EMS) at major tices” level with positive environmental impact.
airport locations in the United States in accordance An example of the latter was identified during an
with International Organization for Standardization assessment of Avis Budget Group operations at
(ISO) 14001 guidelines. ISO 14001 is a set of inter- Bradley International Airport at Hartford, Conn.,
national standards used by businesses to establish, where used tire disposal is handled by having
a third party transport the tires to an
electricity generation plant that runs
on used automobile tires.
Using the ISO 14001 standards for
ongoing assessment of our operations,
and the establishment of Environmental
Management Systems, are the core of our
environmental initiatives, and an example
of our commitment to measurement as
the first step towards the ongoing goal
of management and impact reduction.

Avis Budget Group strives to reduce


the Company’s environmental impact
at field operations in many different
ways, including:
Used motor oil, oil filters, parts and brake n Used motor oil, oil filters, parts and brake
cleaner fluids are collected by Avis Budget Group
cleaner fluids are recycled at licensed facilities. vendors and recycled at licensed facilities.
implement, maintain and improve environmental n All diesel engine shuttle buses operated by
management systems. Avis Budget Group at airports utilize clean diesel
Avis and Budget airport locations, including technology. “Clean diesel” refers to diesel fuel with re-
counter areas, offices, maintenance and damage duced sulfur content which, combined with advanced
facilities, car washing facilities, storage areas and engines and effective exhaust-control technology, pro-
parking lots, are assessed using ISO 14001 proce- duces fewer emissions than standard diesel engines.
dures. This process assesses the location across n Avis Budget Group is the first in the car
more than 100 different potential environmental rental industry to add the new puraDYN® oil filtra-
impacts, from how tires and motor oil are disposed tion system to its fleet of heavy-duty shuttle buses.
to how cleaning materials used for small spills The puraDYN system removes solid, liquid and
are handled. Each potential impact is rated for gaseous contaminants from engine oil before they
frequency of occurrence, level of severity, level accumulate and cause damage, and is expected to
of control and stakeholder impact. reduce motor oil use and oil-related bus engine
By viewing every single environmental impact maintenance by as much as 90 percent. The pura-
in this method, the Company is able to identify DYN system has been selected to be standard
potential areas in need of immediate attention, equipment on Avis Budget Group’s North American

2009 Avis Budget Group Environmental Strategy & Initiatives I Page 2


fleet of nearly 300 heavy-duty buses following a The Company’s efforts to reduce, reuse and
successful test on 15 Avis and Budget heavy duty recycle also extend to its headquarters facilities
buses at Los Angeles International Airport (LAX) that and field offices. Examples of recent initiatives that
demonstrated the environmental benefits of the are reducing our use of natural resources include:
n At the Company’s World Headquarters in
At World Headquarters, employees recycle office Parsippany, N.J., employees recycle office paper,
paper, cans and bottles. Printer toner cartridges cans and bottles. Printer toner cartridges and obso-
lete computer hardware are collected and processed
and obsolete computer hardware are collected to minimize landfill contribution.
and processed to minimize landfill contribution. n The Company has eliminated printed pro-
motional material used in Avis cars and at rental
system under actual-use conditions. The roll-out will counters, saving 100 tons of paper and 1,500 trees
begin with installation of the puraDYN system on the per year (a similar effort was not necessary for
Company’s 22 additional heavy duty buses at LAX. Budget Rent A Car as marketing materials have
n All of the car washes installed at Avis and not been placed in Budget vehicles).
Budget facilities recycle and reuse at least 80 percent n Avis Budget Group manages its document
of their wastewater. The remaining 20 percent is used storage needs through an online billing repository,
in the final rinse to avoid streaks and spots that could giving corporate customers secure access to electronic
impair driver visibility. versions of their billing statements. This Web-based
n Avis Budget Group maintenance facilities solution significantly reduces the amount of paper
at major locations in the Northeast United States required to generate thousands of statements and
are heated by clean-burning furnaces built to run invoices each month.
on used motor oil. These facilities no longer have n Avis Budget Group claims processing has
to ship used oil to recycling facilities, thus avoiding likewise been streamlined to eliminate paper use
the risk of spills and also eliminating the need to and speed service to customers.
consume external energy for heating. In addition, n Avis Budget Group World Headquarters
these facilities have been equipped with high-speed in Parsippany, N.J. has received the U.S. Environ-
doors to minimize warm air leakage and enhance mental Protection Agency’s EnergyStar recognition
the efficiency of the clean-burning furnaces. for superior energy performance in a single building.

2009 Avis Budget Group Environmental Strategy & Initiatives I Page 3


Fleet coast locations and at major market airport locations
Avis Budget Group operates a single fleet of vehicles such as New York, Boston, Chicago and Miami.
that serves customers of both Avis Rent A Car and In addition to hybrids, Avis Budget Group offers
Budget Rent A Car. Out of the total fleet of more than Avis and Budget customers a broad variety of Smart-
350,000 Avis Budget Group vehicles in the 2009 Way Certified vehicles. SmartWay Certification is a
model year, more than half are rated 28 miles per program of the U.S. Environmental Protection Agency
gallon or better (highway); more than one-third have (EPA) established to show consumers which vehicles
a fuel efficiency rating of 30 miles per
gallon or better (highway); and one-
Avis/Budget Car Class % of SmartWay Certified Vehicles
fourth of the Company’s fleet is rated
A. Subcompact . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .100 percent
at 32 miles per gallon. One-fourth
B. Compact . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .100 percent
of the Company’s fleet is rated at C. Intermediate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .100 percent
32 miles per gallon. This represents D. Standard . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .98 percent
nearly an 18 percent increase from E. Full size . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .98 percent
the 2008 model year in the number F. Small SUV. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .66 percent
of vehicles in the Company’s fleet rat-
ed at 32 miles per gallon or better.
The 2009 Avis Budget fleet includes gas/electric are the best environmental performers. The EPA certi-
hybrid vehicles available in multiple car classes. fies each make and model based on an Air Pollution
Available models include the Toyota Prius, the Nissan Score and a Greenhouse Gas Score, ranked on a scale
Altima, the Toyota Camry and Ford Escape hybrids. All of 1-10. To receive SmartWay Certification, a vehicle
hybrid vehicles can be reserved by specific make and must receive a six or better on both scores, and have
model. Hybrid vehicles are primarily available at West a total score of at least 13. Virtually 100 percent of

The 2009
Avis Budget fleet
includes new
gas/electric
hybrid vehicles.

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Outreach
Avis Budget Group is committed to helping to educate
both consumers and travel professionals in the ways
that the environmental impact from rental car use
can be reduced.
For example, Avis Budget Group is the official
car rental category sponsor of the American Society
of Travel Agents’ (ASTA) Green Member Program.
The aim of this program is to help agents and sup-
pliers learn more about responsible environmental
practices within the travel industry, and help inter-
ested consumers book travel with environmentally
responsible providers.
Avis Budget Group also works closely with
its corporate customers to help them achieve
their environmental impact reduction targets.
The Company has a five-part program to help
corporate customers reduce the environmental
impact from their employees’ rental car use, which
includes the following:
n Driver Education: Avis Budget Group and
Carbonfund.org have created a list of tips on smart
driving habits that corporate customers can recom-
mend to their employees to reduce environmental
impact from car rental use. The Company also pro-
vides suggestions on how to communicate these
Avis and Budget car classes for compacts, subcom- tips for maximum effectiveness.
pacts, intermediates, standards and full-size cars n eToll: Avis Budget Group offers customers
are SmartWay Certified, as are 66 percent of the electronic toll collection services in more cities than
Company’s small SUVs. any other car
Maintenance is another important aspect in Proper maintenance rental compa-
reducing the environmental impact from rental car plays an important ny. Travelers
use. Newer, well-maintained vehicles have been can skip cash
shown to be more energy-efficient than older or
role in reducing the payment
poorly maintained vehicles. The average age of the environmental impact lines and use
Avis Budget Group car rental fleet is approximately from rental car use. automated
five months. Vehicles are checked periodically to en- toll collection
sure that the vehicle is in optimal running condition. lanes to save valuable time while helping the envi-
In addition, the Company conducts regular preventive ronment. Studies have found that paying for tolls
maintenance including emissions systems, tire pres- electronically significantly reduces fuel consumption
sure and other measures to ensure that the fleet is due to reduced waiting at toll plazas. It also reduces
running at maximum fuel efficiency. hydrocarbons and carbon monoxide emissions by
Avis and Budget also offer flex fuel cars for rent 40 to 63 percent, and reduces emissions of nitrogen
for those seeking to minimize environmental impact oxides by 16 percent1.
through use of E-85 ethanol fuel, which is sold at gas n where2 GPS: Avis and Budget’s where2®
stations primarily in the Midwestern United States. global positioning system (GPS) device provides
All Avis Budget Group vehicles are disposed of real-time traffic alerts that help drivers avoid traffic
via resale. Vehicles that have sustained damage, for jams and road construction, reducing unnecessary
which repairs are judged to be financially excessive, driving time, thus lowering emissions. Turn-by-turn
are disposed of through wholesale vehicle auctions navigation assistance ensures drivers can take the
specifically for damaged vehicles. fastest or shortest route, saving time, fuel expense

2009 Avis Budget Group Environmental Strategy & Initiatives I Page 5


and reducing emissions. This service can easily be renters can learn about carbon offsets and purchase
included in travelers’ Avis Preferred profiles. credits which make their rental 100 percent carbon
n Carbon Footprint Calculations: For Avis neutral. Offset purchases are tax deductible donations.
Budget Group’s corporate customers, the Company Customers can purchase offsets online at Avis.com
utilizes a sophisticated set of formulae based upon or Budget.com for daily, weekly or monthly rentals.
car classes and the infor-
Avis Budget Group can calculate mation stored in its data Compliance
the greenhouse gas emissions warehouse that allow Avis Budget Group operations are managed to ensure
the Company to calcu- that we comply with or exceed all federal, state and
for any customer, for specific late the greenhouse local regulations relating to health, safety and envi-
locations, over any time period. gas emissions for any ronmental impact. Examples of measures we have
customer, for specific taken to ensure regulatory compliance and employee
locations, countries or globally, over any particular safety include:
time period. The Calculator can be used to determine n Spill Prevention Control and Countermeasure
a benchmark and from that point, track the corporate (SPCC) plans that have been developed to prevent
customer’s progress over time. Once the customer’s fuel spills from storage and during fuel loading events

annual emissions and their carbon footprint reduction at Avis and Budget locations. Staff receives training
goal are determined, Avis Budget Group helps the in SPCC plans and procedures as well as the use of
customer reduce their emissions in a number of ways. spill kits with absorbent pads, which are conspicuously
Many companies are now publicly announcing CO2 placed by fueling islands to manage spills. A special
and greenhouse gas emission reduction goals. Avis spill hotline is staffed 24/7 and posted at all facilities.
Budget Group can help these customers achieve their n Special technology, equipment and systems
goals with respect to vehicle rental use. are used to prevent petroleum products from being
n Carbon Offset Credits: All standard motor released from storage tanks.
vehicles, and even hybrids, emit greenhouse gases. n To prevent spilling or overfilling during fuel
Through carbon offset credits, Avis Budget Group storage tank refilling, double wall or secondary
can help any customer make its car rental program containment overfill protection is used along with
100 percent carbon neutral. Carbon offset credits corrosion-resistant tank materials.
are created through projects that remove or reduce n Redundant fuel leak detection methods
greenhouse gas emissions in various ways such as include automatic line leak detectors, inventory
renewable energy generation, energy efficiency and control and reconciliation procedures and remote
reforestation programs. leak detection systems.
Avis and Budget are also helping to educate con- n Vapor recovery controls, under-dispenser
sumers on how to be “green” when they travel. With pans and inventory controls to minimize air emissions,
Avis Budget Group’s alliance with Carbonfund.org, which were all installed prior to being required by law,
a leading non-profit provider of carbon offset credits, are also used.

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Around the World electricity, gas, oil, propane, landfill and incinerated
Avis Europe Plc, which operates the Avis brand in waste by headquarters and rental locations along
Europe, Africa, the Middle East and Asia, and the with business travel by staff.
Budget brand in Europe, the Middle East and Africa, Other steps taken include changing fleets regu-
under license from Avis Budget Group, has a long- larly to ensure they operate as efficiently as possible
standing commitment to environmental responsi- and introducing
bility. Since 2002 Avis Europe has offset greenhouse An agricultural more environ-
gas emissions through innovative renewable energy methane capture mentally-friendly
and technology projects as well as via tree planting. vehicles in more
For every metric tonne of CO2 produced, Avis
project is among the locations. In
Europe pays for one metric tonne to be saved carbon reduction 2007 this includ-
through climate-friendly carbon offsetting initiatives. initiatives supported ed Ford Flexi-fuel
Over the past decade, these initiatives have included: cars in France,
n Planting over 138 hectares of new woodland
by Avis Europe. Liquified Petrole-
in nine European locations; um Gas (LPG) fueled Volkswagens in Italy, BMW 1
n Part-financing a small-scale hydro power series cars with stop-start technology in Spain,
project in Bulgaria; and, Honda Civic hybrids in Germany and Portugal and
n Supporting an agricultural methane capture Toyota Prius hybrid vehicles in the UK. Avis Europe
project in Germany. also continues to operate efficient systems to mini-
Avis Europe’s track record in this area was ac- mize CO2 emissions from its headquarters facilities.
knowledged in the report for the UK Government on
the Economics of Climate Change in autumn 2006.
The report cited Avis as being a private sector leader
in climate change programs.
Avis Europe measures environmental impacts
internally and the data are reviewed and analyzed
1 Saka, A. and Agbob, D. (2002). Assessment of the Impact of Electronic Toll Collection on
by the independent Edinburgh Centre for Carbon Mobile Emissions in the Baltimore Area. Morgan State University. Available online: http://www.
Management. The analysis covers emissions from eng.morgan.edu/~ntc/Research _Projects/Completed_Projects/copy_SakaFinal00-01.htm.

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