Stockholders' Equity

6 Months Ended

Jun. 30, 2021

Equity [Abstract]

Stockholders' Equity

Stockholders’ Equity

Share Repurchases

The Company’s Board of Directors has authorized the repurchase of up to $2.1 billion of its common stock under a plan originally approved in 2013 and subsequently expanded most recently in June 2021 (the “Stock Repurchase Program”). During the six months ended June 30, 2021, the Company repurchased approximately 0.1 million shares of common stock at a cost of approximately $10 million under the program. As of June 30, 2021, approximately $391 million of authorization remains available to repurchase common stock under the program.

Share Issuances

On February 10, 2020, the Company announced it had appointed a new Chairman of the Board of Directors and in connection with this appointment, the new Chairman purchased an aggregate $15 million of unregistered shares of the Company’s common stock at a price per share equal to the closing price of the Company’s common stock on February 7, 2020.

Total Comprehensive Income (Loss)

Comprehensive income (loss) consists of net income (loss) and other gains and losses affecting stockholders’ equity that, under GAAP, are excluded from net income (loss).

The components of other comprehensive income (loss) were as follows: 

		Three Months Ended  June 30,				Six Months Ended  June 30,
		2021		2020		2021		2020
Net income (loss)		$	398	$	(481)	$	228	$	(639)
Other comprehensive income (loss):
	Currency translation adjustments (net of tax of $3, $4, $(9) and $0, respectively)	15		39		1		(44)
	Net unrealized gain (loss) on cash flow hedges (net of tax of $(10), $3, $(7) and $9, respectively)	(14)		(8)		21		(26)
	Minimum pension liability adjustment (net of tax of $0, $0, $0 and $0, respectively)	1		2		4		4
		2		33		26		(66)
Comprehensive income (loss)		$	400	$	(448)	$	254	$	(705)

Currency translation adjustments exclude income taxes related to indefinite investments in foreign subsidiaries.

Accumulated Other Comprehensive Income (Loss)

The components of accumulated other comprehensive income (loss) were as follows: 

		Currency Translation Adjustments (a)		Net Unrealized Gains (Losses) on Cash Flow Hedges(b)		Minimum Pension Liability Adjustment(c)		Accumulated Other Comprehensive Income (Loss)
Balance, January 1, 2021		$	40	$	(51)	$	(176)	$	(187)
	Other comprehensive income (loss) before reclassifications	(10)		14		1		5
	Amounts reclassified from accumulated other comprehensive income (loss)	11		7		3		21
Net current-period other comprehensive income (loss)		1		21		4		26
Balance, June 30, 2021		$	41	$	(30)	$	(172)	$	(161)
Balance, January 1, 2020		$	9	$	(20)	$	(146)	$	(157)
	Other comprehensive income (loss) before reclassifications	(44)		(28)		1		(71)
	Amounts reclassified from accumulated other comprehensive income (loss)	—		2		3		5
Net current-period other comprehensive income (loss)		(44)		(26)		4		(66)
Balance, June 30, 2020		$	(35)	$	(46)	$	(142)	$	(223)

All components of accumulated other comprehensive income (loss) are net of tax, except currency translation adjustments, which exclude income taxes related to indefinite investments in foreign subsidiaries and include $37 million gain, net of tax, as of June 30, 2021 related to the Company’s hedge of its investment in euro-denominated foreign operations (see Note 15–Financial Instruments).

(a)For the six months ended June 30, 2021, the amount was reclassified from accumulated other comprehensive income (loss) into restructuring and other related charges.

(b)For the three and six months ended June 30, 2021, the amount reclassified from accumulated other comprehensive income (loss) into corporate interest expense was $4 million ($3 million, net of tax) and $8 million ($6 million, net of tax), respectively. For the three and six months ended June 30, 2021, the amount reclassified from accumulated other comprehensive income (loss) into vehicle interest expense was $1 million ($1 million net of tax) and $2 million ($1 million, net of tax), respectively. For the three and six months ended June 30, 2020, the amount reclassified from accumulated other comprehensive income (loss) into corporate interest expense and vehicle interest expense was $2 million ($1 million net of tax) and $1 million ($1 million, net of tax), respectively, in each period.

(c)For the three and six months ended June 30, 2021, amounts reclassified from accumulated other comprehensive income (loss) into selling, general and administrative expenses were $2 million ($1 million, net of tax) and $5 million ($3 million, net of tax), respectively. For the three and six months ended June 30, 2020, the amount reclassified from accumulated other comprehensive income (loss) into selling, general and administrative expenses was $2 million ($2 million net of tax) and $4 million ($3 million, net of tax), respectively.