Vanguard Car Rental Group Inc. Files Registration Statement for Initial Public Offering of Common Stock

TULSA, Okla., Aug. 2, 2006 -- Vanguard Car Rental Group Inc. ("Vanguard") announced today that it has filed a registration statement with the Securities and Exchange Commission for a proposed initial public offering of its common stock. The securities to be offered in the proposed initial public offering will include shares to be issued and sold by Vanguard as well as shares to be sold by certain shareholders of Vanguard.

Vanguard and its subsidiaries operate car rental businesses primarily under the National Car Rental and Alamo Rent A Car brands.

Vanguard intends to use the net proceeds it receives from the offering to repay a portion of the indebtedness outstanding under its $800 million term loan facility entered into on June 14, 2006, with the remainder of the net proceeds to be used for general corporate purposes, including to fund working capital requirements and to pay fees and expenses.

J.P. Morgan Securities Inc. and Morgan Stanley & Co. Incorporated are the joint global coordinating bookrunners for the proposed offering. Bear, Stearns & Co. Inc. and Goldman, Sachs & Co. are joint bookrunners. The selling shareholders of Vanguard will also grant the underwriters an option to purchase additional shares at the initial public offering price. The offering of common stock will be made only by means of a prospectus. When available, a copy of the preliminary prospectus relating to this offering may be obtained from:

   J.P. Morgan Securities Inc.
   Distribution & Support Service
   Northeast Statement Processing
   4 Chase Metrotech Center, CS Level
   Brooklyn, NY 11245
   Phone: (718) 242-8002

   Morgan Stanley & Co. Incorporated
   180 Varick Street
   New York, New York 10014
   Attention: Prospectus Department
   Phone:  (212) 761-6775

A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities, in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.