Avis Budget Group, Inc. and Pentwater Capital Management LP have agreed to settle litigation concerning short swing profits, with Pentwater set to pay $650,000,000 in cash to resolve the dispute. The settlement addresses the Section 16(b) Litigation Avis filed on June 16, 2026, against Pentwater and certain affiliated persons. Avis has filed a motion in the United States District Court for the Southern District of New York, case no. 1:26-cv-05512-CM, seeking court approval for the agreement.

The litigation sought recovery of profits under Section 16(b) of the Securities Exchange Act of 1934. By reaching this agreement, the parties avoid the need for further legal proceedings. Avis acknowledged Pentwater’s willingness to resolve the matter efficiently.

Settlement Terms

The terms of the settlement require Pentwater to pay a total cash amount to Avis Budget Group. The table below outlines the key financial details of the agreement:

The payment constitutes the full settlement amount agreed upon by the parties. The motion filed by Avis requests the court to approve the settlement to finalize the resolution.

Avis Budget Group, Inc. will announce its second quarter 2026 financial results after the market close on Tuesday, July 28, 2026. The company will host a conference call for institutional investors to discuss these results on Wednesday, July 29, 2026, at 8:30 a.m. Eastern time.

Investors can access the call via the company’s Investor Relations website at ir.avisbudgetgroup.com or by dialing 877-407-2991. Participants are encouraged to dial in approximately 10 minutes before the start time.

A webcast replay will be available on the Investor Relations website following the call. A telephone replay will be accessible from 12:30 p.m. Eastern time on July 29, 2026, until 10:00 p.m. Eastern time on August 12, 2026, by dialing 877-660-6853 and using conference code 13761808.

Key Event Details

Avis Budget Group is a leading global provider of mobility solutions through its brands Avis, Budget, and Zipcar. The company operates approximately 10,000 rental locations in around 180 countries, with a strong presence in North America, Europe, and Australasia. It is headquartered in Parsippany, N.J.