Dollar Thrifty Automotive Group Reports 2008 Results

TULSA, Okla., February 18, 2009: Dollar Thrifty Automotive Group, Inc. today reported results for the fourth quarter and year ended December 31, 2008. The net loss for the 2008 fourth quarter was $72.2 million, or $3.36 per diluted share, compared to a net loss of $30.6 million, or $1.45 per diluted share, for the comparable 2007 quarter. The net loss for the fourth quarter of 2008 included a loss of $0.93 per diluted share related to a decrease in fair value of derivatives, as compared to a loss of $0.57 per diluted share in last year's fourth quarter. In addition, the fourth quarter loss for 2008 included non-cash charges of $0.61 per diluted share related to the write-off of capitalized costs associated with certain information technology initiatives and substantially all the long-lived assets utilized in the Company's Canadian operations. Non-cash charges totaled $0.01 in the fourth quarter of 2007.

The Non-GAAP net loss for the 2008 fourth quarter was $39.1 million, or $1.82 loss per diluted share, compared to a net loss of $18.2 million, or $0.86 loss per diluted share for the 2007 fourth quarter. Non-GAAP net income (loss) excludes the (increase) decrease in fair value of derivatives and the non-cash charges related to the impairment of goodwill and long-lived assets, net of related tax impact. A reconciliation of non-GAAP to GAAP results is included in Table 3.

"In our third quarter press release dated November 5, 2008 we disclosed that the Company expected a significant loss during the fourth quarter. As expected, the new management team found the operating environment extremely difficult as the overall deterioration in the economy resulted in a significant decline in consumer demand, while industry-wide de-fleeting issues negatively impacted revenue per day. The combination resulted in a nine percent revenue decline on a year over year basis. On the cost side, the lack of liquidity in the retail credit market depressed demand levels at used vehicle auctions, resulting in further deterioration of vehicle residual values, driving our fleet depreciation costs above expectations and historical levels," said Scott L. Thompson, President and Chief Executive Officer.

For the quarter ended December 31, 2008, the Company's total revenue was $355.1 million, as compared to $389.2 million for the comparable 2007 period. Rental revenue for the quarter was $336.7 million, a decrease of 9.8 percent, as compared to the same period in 2007. The decline was driven by a 6.8 percent decrease in revenue per day and a 3.2 percent deterioration in rental days.

Per vehicle depreciation costs increased approximately 16.0 percent in the fourth quarter of 2008 compared to the fourth quarter of 2007 due to the decline in residual values resulting from the deterioration of the used vehicle market. The fourth quarter average fleet was down approximately 3 percent compared with last year's fourth quarter. Vehicle utilization, a measure of fleet efficiency, was 80.3 percent, consistent with last year's fourth quarter.

Full Year Results

For the year ended December 31, 2008, the net loss was $340.4 million, or $15.93 loss per diluted share. For the year ended December 31, 2007, net income was $1.2 million, or $0.05 per diluted share. The 2008 results included a $13.02 loss per diluted share related to the impairment of goodwill and long-lived assets compared to a $0.09 loss per diluted share in the 2007 results. Total revenue for the period was $1.7 billion, a decrease of 3.6 percent over the comparable period in 2007.

The non-GAAP loss per diluted share for the year ended December 31, 2008, was $1.91 compared to non-GAAP income per diluted share of $1.11 for the same time period in 2007. Non-GAAP net income (loss) excludes the (increase) decrease in fair value of derivatives and the non-cash charges related to the impairment of goodwill and long-lived assets, net of related tax impact. A reconciliation of non-GAAP to GAAP results is included in Table 3.

As of December 31, 2008, the Company had tangible net worth of approximately $185 million, or $8.56 per share.