v3.26.1
Debt (Tables)
 6 Months Ended
Jun. 30, 2026
Debt Disclosure [Abstract]  
Schedule of Debt
The Company's debt, including its credit facilities, consists of the following ($ in millions) as of June 30, 2026 and December 31, 2025:
Facility
Weighted-Average Interest Rate
as of
June 30, 2026
Fixed or
Floating
Interest
Rate		MaturityJune 30,
2026		December 31,
2025
Non-Vehicle Debt
First Lien RCF7.23%Floating3/2028816 $395 
Term B Loan7.43%Floating6/20281,235 1,242 
Incremental Term B Loan7.41%Floating6/2028488 490 
Term C Loan7.43%Floating6/2028245 245 
First Lien Senior Notes12.63%Fixed7/20291,250 1,250 
Exchangeable First Lien Notes Due 2030(1)(2)
6.75%Fixed7/2030350 — 
Exchangeable Notes Due 2029(3)
8.00%Fixed7/2029282 271 
Exchangeable Notes Due 2030(4)
5.50%Fixed10/2030425 425 
Senior Notes Due 2026(5)
4.63%Fixed12/2026200 200 
Senior Notes Due 20295.00%Fixed12/20291,000 1,000 
Other Non-Vehicle Debt(6)(7)
7.47%FixedVarious12 6 
Fair Value of the Exchange Features 2029(8)
N/AN/AN/A26 78 
Facility
Weighted-Average Interest Rate
as of
June 30, 2026
Fixed or
Floating
Interest
Rate		MaturityJune 30,
2026		December 31,
2025
Fair Value of the Exchange Feature 2030(9)
N/AN/AN/A21 54 
Fair Value of the First Lien Exchangeable Feature 2030(10)
N/AN/AN/A110 — 
Unamortized Debt Issuance Costs(11) and Net (Discount) Premium(12)(13)
(338)(231)
Total Non-Vehicle Debt - Hertz6,122 5,425 
Unamortized Debt Issuance Cost - Share Lending Agreement(14)
(85)— 
Total Non-Vehicle Debt - Hertz Global6,037 5,425 
Vehicle Debt
HVF III U.S. ABS Program
HVF III U.S. Vehicle Variable Funding Notes
HVF III Series 2021-A Class A(15)
5.28%Floating5/20281,347 1,237 
HVF III Series 2021-A Class B(15)
9.28%Fixed8/2027300 300 
1,647 1,537 
HVF III U.S. Vehicle Medium Term Notes
HVF III Series 2021-2(15)
2.12%Fixed12/20262,000 2,000 
HVF III Series 2022-2(15)
2.78%Fixed6/2027750 750 
HVF III Series 2022-5(15)
4.67%Fixed9/2027382 364 
HVF III Series 2023-1(15)
N/AN/AN/A— 500 
HVF III Series 2023-2(15)
6.52%Fixed9/2028314 300 
HVF III Series 2023-3(15)
6.46%Fixed2/2027500 500 
HVF III Series 2023-4(15)
6.88%Fixed3/2029524 500 
HVF III Series 2024-1(15)
6.21%Fixed1/2028393 375 
HVF III Series 2024-2(15)
6.31%Fixed1/2030393 375 
HVF III Series 2025-1(15)
5.62%Fixed9/2028524 500 
HVF III Series 2025-2(15)
5.92%Fixed9/2030524 500 
HVF III Series 2025-3(15)
5.81%Fixed12/2028393 375 
HVF III Series 2025-4(15)
6.21%Fixed12/2030325 310 
HVF III Series 2025-5(15)
5.32%Fixed5/2029472 450 
HVF III Series 2025-6(15)
5.65%Fixed5/2031577 550 
HVF III Series 2026-1(15)
5.74%Fixed11/2029500 — 
HVF III Series 2026-2(15)
6.12%Fixed11/2031500 — 
9,071 8,349 
Vehicle Debt - Other
European ABS(15)
4.67%Floating4/20281,081 965 
Hertz Canadian Securitization(15)
4.07%Floating4/2028419 307 
Australian Securitization(15)
5.96%Floating6/2027226 228 
New Zealand RCF5.50%Floating8/202763 64 
U.K. ABS5.56%Floating3/2028119 109 
Other Vehicle Debt(16)
6.18%Floating7/2026 - 7/2028151 120 
2,059 1,793 
Facility
Weighted-Average Interest Rate
as of
June 30, 2026
Fixed or
Floating
Interest
Rate		MaturityJune 30,
2026		December 31,
2025
Unamortized Debt Issuance Costs and Net (Discount) Premium (67)(50)
Total Vehicle Debt - Hertz and Hertz Global12,710 11,629 
Total Debt - Hertz$18,832 $17,054 
Total Debt - Hertz Global$18,747 $17,054 
(1)    The effective interest rate of the Exchangeable First Lien Notes Due 2030, as defined and disclosed below, inclusive of the bifurcated First Lien Exchangeable Feature 2030, as defined and disclosed below, and PIK interest, was approximately 17.7% as of June 30, 2026.
(2)    In July 2026, Hertz issued an additional $30 million aggregate principal amount pursuant to the Greenshoe Option, as further defined and disclosed below.
(3)    The effective interest rate of the Exchangeable Notes Due 2029, inclusive of the bifurcated Exchange Features 2029, as defined and disclosed in Note 11, "Fair Value Measurements," and PIK interest, was approximately 16.9% and 16.4% as of June 30, 2026 and December 31, 2025, respectively.
(4)    The effective interest rate of the Exchangeable Notes Due 2030, inclusive of the bifurcated Exchange Feature 2030, as defined and disclosed in Note 11, "Fair Value Measurements," was approximately 12.0% as of June 30, 2026 and December 31, 2025.
(5)    In December 2025, Hertz redeemed $300 million aggregate amount of the principal outstanding.
(6)    Other non-vehicle debt is comprised of financial liabilities recognized from the sales of certain non-vehicle capital assets in the second quarters of 2026 and 2025, as disclosed in Note 3, "Divestitures."
(7)    Reflects the effective interest rate of other non-vehicle debt.
(8)    Reflects the fair value of the Exchange Features 2029, as defined and disclosed in Note 11, "Fair Value Measurements."
(9)    Reflects the fair value of the Exchange Feature 2030, as defined and disclosed in Note 11, "Fair Value Measurements."
(10)    Reflects the fair value of the First Lien Exchangeable Feature 2030, as disclosed in Note 11, "Fair Value Measurements."
(11)    Includes unamortized debt issuance costs of $7 million and $8 million associated with the Exchangeable Notes Due 2029 as of June 30, 2026 and December 31, 2025, respectively. Also, includes $18 million and $20 million of unamortized debt issuance costs associated with the Exchangeable Notes Due 2030 as of June 30, 2026 and December 31, 2025, respectively. Additionally, includes unamortized debt issuance costs, exclusive of the Share Lending Agreement, of $12 million associated with the Exchangeable First Lien Notes Due 2030 as of June 30, 2026.
(12)    Includes $83 million and $79 million as of June 30, 2026 and December 31, 2025, respectively, of unamortized debt discounts associated with the initial recognition of the Exchange Features 2029, as defined and disclosed in Note 11, "Fair Value Measurements." Also, includes $103 million as of June 30, 2026 and December 31, 2025, of unamortized debt discount associated with the initial recognition of the Exchange Feature 2030, as defined and disclosed in Note 11, "Fair Value Measurements." Additionally, includes $115 million as of June 30, 2026, of unamortized debt discount associated with the initial recognition of the First Lien Exchangeable Feature 2030, as disclosed in Note 11, "Fair Value Measurements."
(13)    Includes $3 million and $4 million of unamortized debt discount associated with the Exchangeable Notes Due 2029 as of June 30, 2026 and December 31, 2025, respectively.
(14)    Reflects the fair value of the Share Lending Agreement entered into concurrently with the Exchangeable First Lien Notes Due 2030.
(15)    Maturity reference is to the earlier "expected final maturity date" as opposed to the subsequent "legal final maturity date." The expected final maturity date is the date by which Hertz and investors in the relevant indebtedness originally expect the outstanding principal of the relevant indebtedness to be repaid in full. The legal final maturity date is the date on which the outstanding principal of the relevant indebtedness is legally due and payable in full.
(16)    Other vehicle debt is primarily comprised of $102 million and $105 million in finance lease obligations as of June 30, 2026 and December 31, 2025, respectively.
Schedule of Net Carrying Amount
The net carrying amount of the Exchangeable Notes Due 2029 consists of the following as of:
(In millions)June 30, 2026December 31, 2025
Principal$250 $250 
Non-cash PIK interest32 21 
Unamortized debt discounts and issuance costs(1)
(10)(12)
Unamortized discounts associated with the Exchange Features 2029(2)
(64)(67)
Fair value of the Exchange Features 2029(3)
26 78 
Net carrying amount$234 $270 
(1)    Debt issuance costs are amortized to non-vehicle interest expense over the term of the Exchangeable Notes Due 2029 using the effective interest method.
(2)    Reflects the unamortized discount associated with the Exchange Features 2029, as defined and disclosed in Note 11, "Fair Value Measurements," net of accretive interest, which is amortized to non-vehicle interest expense over the term of the Exchangeable Notes Due 2029 using the effective interest method.
(3)    As defined and further disclosed in Note 11, "Fair Value Measurements."
The net carrying amount of the Exchangeable Notes Due 2030 consists of the following as of:
(In millions)June 30, 2026December 31, 2025
Principal$425 $425 
Unamortized debt issuance costs(1)
(18)(20)
Unamortized discounts associated with the Exchange Feature 2030(2)
(91)(99)
Fair value of the Exchange Feature 2030(3)
21 54 
Net carrying amount$337 $360 
(1)    Debt issuance costs are amortized to non-vehicle interest expense over the term of the Exchangeable Notes Due 2030 using the effective interest method.
(2)    Reflects the unamortized discount associated with the Exchange Feature 2030, as defined and disclosed in Note 11, "Fair Value Measurements," net of accretive interest, which is amortized to non-vehicle interest expense over the term of the Exchangeable Notes Due 2030 using the effective interest method.
(3)    As defined and further disclosed in Note 11, "Fair Value Measurements."
The net carrying amount of the Exchangeable First Lien Notes Due 2030 consists of the following as of:
(In millions)June 30, 2026
Principal$350 
Unamortized debt discounts and issuance costs(1)
(12)
Unamortized discounts associated with the First Lien Exchangeable Feature 20302)
(115)
Fair value of the First Lien Exchangeable Feature 2030(3)
110 
Net carrying amount - Hertz333 
Unamortized debt issuance cost - Share Lending Agreement(4)
(85)
Net carrying amount - Hertz Global$248 
(1)    Debt issuance costs, exclusive of the Share Lending Agreement, are amortized to non-vehicle interest expense over the term of the Exchangeable First Lien Notes Due 2030 using the effective interest method.
(2)    Reflects the unamortized discount associated with the First Lien Exchangeable Feature 2030, net of accretive interest, which is amortized to non-vehicle interest expense over the term of the Exchangeable First Lien Notes Due 2030 using the effective interest method.
(3)    As further disclosed in Note 11, "Fair Value Measurements."
(4)    The fair value of the Share Lending Agreement is recognized by Hertz Global as a debt issuance cost of the Exchangeable First Lien Notes Due 2030 and is amortized to non-vehicle interest expense over the term of the Exchangeable First Lien Notes Due 2030 using the effective interest method.
In April 2026, HVF III issued Class E notes for certain of the outstanding series of notes under the HVF III MTN program (the "Class E Notes") in an aggregate principal amount of $221 million as detailed in the table below.
($ in millions)PrincipalInterest RateMaturity
Class E Notes
HVF III Series 2022-5$17 10.67 %9/2027
HVF III Series 2023-214 10.99 %9/2028
HVF III Series 2023-424 11.48 %3/2029
HVF III Series 2024-118 10.95 %1/2028
HVF III Series 2024-218 11.99 %1/2030
HVF III Series 2025-124 10.99 %9/2028
HVF III Series 2025-224 12.26 %9/2030
HVF III Series 2025-318 11.47 %12/2028
HVF III Series 2025-415 12.28 %12/2030
HVF III Series 2025-522 11.72 %5/2029
HVF III Series 2025-627 12.54 %5/2031
Total Class E Notes$221 
Schedule of Interest Expense Associated with Exchangeable Notes
Interest expense recognized for the Exchangeable Notes Due 2029 consists of the following:
Three Months Ended
June 30,		Six Months Ended
June 30,
(In millions)2026202520262025
Non-cash PIK interest$6 $5 $11 $10 
Amortization of debt discounts and debt issuance costs1 1 2 1 
Accretive interest4 2 7 4 
(Gain) loss on fair value of the Exchange Features 2029(1)
(37)105 (56)111 
Total$(26)$113 $(36)$126 
(1)    As defined and further disclosed in Note 11, "Fair Value Measurements."
Interest expense recognized for the Exchangeable Notes Due 2030 consists of the following:
Three Months Ended
June 30,		Six Months Ended
June 30,
(In millions)2026202520262025
Contractual interest expense$5 $— $12 $— 
Amortization of debt issuance costs1 — 2 — 
Accretive interest4 — 8 — 
(Gain) loss on fair value of the Exchange Feature 2030(1)
(19)— (33)— 
Total$(9)$— $(11)$— 
(1)    As defined and further disclosed in Note 11, "Fair Value Measurements."
Schedule of Facilities Available Net of Outstanding Letters of Credit
The following facilities were available to the Company as of June 30, 2026 and are presented net of any outstanding letters of credit:
(In millions)Remaining
Capacity		Availability Under
Borrowing Base
Limitation
Non-Vehicle Debt
First Lien RCF$356 $356 
Total Non-Vehicle Debt356 356 
Vehicle Debt
HVF III Series 2021-A1,893 — 
European ABS538 — 
Hertz Canadian Securitization21 — 
Australian Securitization9 — 
New Zealand RCF5 — 
U.K. ABS164 — 
Other Vehicle Debt6 — 
Total Vehicle Debt2,636 — 
Total$2,992 $356 
Schedule of Nominal Amounts of the Company's Debt Maturities
The table below reflects the nominal amounts of the Company's debt maturities for each of the years ending December 31 as of June 30, 2026.
(In millions)Total20262027202820292030After 2030
Other Non-Vehicle Debt$5,246 $209 $18 $2,757 $2,251 $— $11 
Exchangeable Notes Due 2029
282 — — — 282 — — 
Exchangeable Notes Due 2030
425 — — — — 425 — 
Exchangeable First Lien Notes Due 2030
350 — — — — 350 — 
Total Non-Vehicle Debt6,303 209 18 2,757 2,533 775 11 
Vehicle Debt12,777 2,383 2,299 4,621 1,482 1,011 981 
Total$19,080 $2,592 $2,317 $7,378 $4,015 $1,786 $992