Financing Obligations

3 Months Ended

Mar. 31, 2024

Leases [Abstract]

Financing Obligations

Financing Obligations

In prior years, Herc entered into sale-leaseback transactions pursuant to which it sold 44 properties located in the U.S. and certain service vehicles. The sale of the properties and service vehicles did not qualify for sale-leaseback accounting; therefore, the book value of the assets remain on the Company's consolidated balance sheet. The Company's financing obligations consist of the following (in millions):

	Weighted Average Effective Interest Rate at March 31, 2024	Maturities	March 31, 2024		December 31, 2023
Financing obligations	5.38%	2026-2038	$	109	$	110
Unamortized financing issuance costs			(2)		(2)
Total financing obligations			107		108
Less: Current maturities of financing obligations			(4)		(4)
Financing obligations, net			$	103	$	104