administration fees and service revenue attributable to the company 's donlen operations are recognized as services are rendered and any subscription fees are recognized ratably over the subscription life . cash and cash equivalents cash and cash equivalents include cash on hand and highly liquid investments with an original maturity of three months or less . restricted cash and cash equivalents restricted cash and cash equivalents includes cash and cash equivalents that are not readily available for the company 's normal disbursements . restricted cash and cash equivalents are restricted primarily for the purchase of revenue earning vehicles and other specified uses under the company 's fleet debt facilities , for its like-kind exchange program ( `` lke program `` ) and to satisfy certain of its self-insurance regulatory reserve requirements . these funds are primarily held in highly rated money market funds with investments primarily in government and corporate obligations . receivables receivables are stated net of allowances and primarily represent credit extended to car manufacturers and customers that satisfy defined credit criteria . the estimate of the allowance for doubtful accounts is based on the company 's historical experience and its judgment as to the likelihood of ultimate payment . actual receivables are written-off against the allowance for doubtful accounts when the company determines the balance will not be collected . estimates for future credit memos are based on historical experience and are reflected as reductions to revenue , while bad debt expense is reflected as a component of `` direct operating `` in the consolidated statements of operations . property and equipment property and equipment are stated at cost and are depreciated utilizing the straight-line method over the estimated useful lives of the related assets . useful lives are as follows : buildings 5 to 50 years furniture and fixtures 1 to 15 years service cars and service equipment 1 to 13 years leasehold improvements the lesser of the economic life or the lease term 87 hertz global holdings , inc. and subsidiaries notes to consolidated financial statements ( continued ) the company follows the practice of charging maintenance and repairs , including the cost of minor replacements , to maintenance expense . costs of major replacements of units of property are capitalized to property and equipment accounts and depreciated . fair value measurements generally accepted accounting principles define fair value as the price that would be received to sell an asset or be paid to transfer a story_separator_special_tag the assumed volatility for our stock is based on our historical stock price data . the assumed dividend yield is zero . the risk-free interest rate is the implied zero-coupon yield for u.s. treasury securities having a maturity approximately equal to the expected term of the options , as of the grant dates . the non-cash stock-based compensation expense associated with the hertz global holdings , inc. stock incentive plan ( “ stock incentive plan ” ) the hertz global holdings , inc. director stock incentive plan ( “ director plan ” ) and the hertz global holdings , inc. 2008 omnibus incentive plan ( “ omnibus plan ” ) are pushed down from hertz holdings and recorded on the books at the hertz level . see note 8 , `` stock-based compensation , `` to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data . ” acquisition accounting we record acquisitions resulting in the consolidation of an enterprise using the acquisition method of accounting . under this method , the acquiring company records the assets acquired , including intangible assets that can be identified and named , and liabilities assumed based on their estimated fair values at the date of acquisition . the purchase price in excess of the fair value of the assets acquired and liabilities assumed is recorded as goodwill . if the assets acquired , net of liabilities assumed , are greater than the purchase price paid then a bargain purchase has occurred and we will recognize the gain immediately in earnings . among other sources of relevant information , we may use independent appraisals and actuarial or other valuations to assist in determining the estimated fair values of the assets and liabilities . various assumptions are used in the determination of these estimated fair values including discount rates , market and volume growth rates , expected royalty rates , ebitda margins and other prospective financial information . transaction costs associated with acquisitions are expensed as incurred . recent accounting pronouncements for a discussion of recent accounting pronouncements , see note 2 , `` summary of critical and significant accounting policies , `` — `` recent accounting pronouncements , `` to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data . ” item 7a . quantitative and qualitative disclosures about market risk risk management for a discussion of additional risks arising from our operations , including vehicle liability , general liability and property damage insurable risks , see “ item 1—business—risk management ” in this annual report . market risks we are exposed to a variety of market risks , including the effects of changes in interest rates ( including credit spreads ) , foreign currency exchange rates and fluctuations in fuel prices . we manage our exposure to these market risks through our regular operating and financing activities and , when deemed appropriate , through the use of derivative financial instruments . derivative financial instruments are viewed as risk management tools and have not been used for speculative or trading purposes . in addition , derivative financial instruments are entered into with a diversified group of major financial institutions in order to manage our exposure to counterparty nonperformance on such instruments . interest rate risk we have a significant amount of debt with a mix of fixed and variable rates of interest . story_separator_special_tag administration fees and service revenue attributable to the company 's donlen operations are recognized as services are rendered and any subscription fees are recognized ratably over the subscription life . cash and cash equivalents cash and cash equivalents include cash on hand and highly liquid investments with an original maturity of three months or less . restricted cash and cash equivalents restricted cash and cash equivalents includes cash and cash equivalents that are not readily available for the company 's normal disbursements . restricted cash and cash equivalents are restricted primarily for the purchase of revenue earning vehicles and other specified uses under the company 's fleet debt facilities , for its like-kind exchange program ( `` lke program `` ) and to satisfy certain of its self-insurance regulatory reserve requirements . these funds are primarily held in highly rated money market funds with investments primarily in government and corporate obligations . receivables receivables are stated net of allowances and primarily represent credit extended to car manufacturers and customers that satisfy defined credit criteria . the estimate of the allowance for doubtful accounts is based on the company 's historical experience and its judgment as to the likelihood of ultimate payment . actual receivables are written-off against the allowance for doubtful accounts when the company determines the balance will not be collected . estimates for future credit memos are based on historical experience and are reflected as reductions to revenue , while bad debt expense is reflected as a component of `` direct operating `` in the consolidated statements of operations . property and equipment property and equipment are stated at cost and are depreciated utilizing the straight-line method over the estimated useful lives of the related assets . useful lives are as follows : buildings 5 to 50 years furniture and fixtures 1 to 15 years service cars and service equipment 1 to 13 years leasehold improvements the lesser of the economic life or the lease term 87 hertz global holdings , inc. and subsidiaries notes to consolidated financial statements ( continued ) the company follows the practice of charging maintenance and repairs , including the cost of minor replacements , to maintenance expense . costs of major replacements of units of property are capitalized to property and equipment accounts and depreciated . fair value measurements generally accepted accounting principles define fair value as the price that would be received to sell an asset or be paid to transfer a story_separator_special_tag the assumed volatility for our stock is based on our historical stock price data . the assumed dividend yield is zero . the risk-free interest rate is the implied zero-coupon yield for u.s. treasury securities having a maturity approximately equal to the expected term of the options , as of the grant dates . the non-cash stock-based compensation expense associated with the hertz global holdings , inc. stock incentive plan ( “ stock incentive plan ” ) the hertz global holdings , inc. director stock incentive plan ( “ director plan ” ) and the hertz global holdings , inc. 2008 omnibus incentive plan ( “ omnibus plan ” ) are pushed down from hertz holdings and recorded on the books at the hertz level . see note 8 , `` stock-based compensation , `` to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data . ” acquisition accounting we record acquisitions resulting in the consolidation of an enterprise using the acquisition method of accounting . under this method , the acquiring company records the assets acquired , including intangible assets that can be identified and named , and liabilities assumed based on their estimated fair values at the date of acquisition . the purchase price in excess of the fair value of the assets acquired and liabilities assumed is recorded as goodwill . if the assets acquired , net of liabilities assumed , are greater than the purchase price paid then a bargain purchase has occurred and we will recognize the gain immediately in earnings . among other sources of relevant information , we may use independent appraisals and actuarial or other valuations to assist in determining the estimated fair values of the assets and liabilities . various assumptions are used in the determination of these estimated fair values including discount rates , market and volume growth rates , expected royalty rates , ebitda margins and other prospective financial information . transaction costs associated with acquisitions are expensed as incurred . recent accounting pronouncements for a discussion of recent accounting pronouncements , see note 2 , `` summary of critical and significant accounting policies , `` — `` recent accounting pronouncements , `` to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data . ” item 7a . quantitative and qualitative disclosures about market risk risk management for a discussion of additional risks arising from our operations , including vehicle liability , general liability and property damage insurable risks , see “ item 1—business—risk management ” in this annual report . market risks we are exposed to a variety of market risks , including the effects of changes in interest rates ( including credit spreads ) , foreign currency exchange rates and fluctuations in fuel prices . we manage our exposure to these market risks through our regular operating and financing activities and , when deemed appropriate , through the use of derivative financial instruments . derivative financial instruments are viewed as risk management tools and have not been used for speculative or trading purposes . in addition , derivative financial instruments are entered into with a diversified group of major financial institutions in order to manage our exposure to counterparty nonperformance on such instruments . interest rate risk we have a significant amount of debt with a mix of fixed and variable rates of interest .

debt , '' to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data. ” we have assessed our exposure to changes in interest rates by analyzing the sensitivity to our earnings assuming various changes in market interest rates . assuming a hypothetical increase of one percentage point in interest rates 71 hertz global holdings , inc. and subsidiaries item 7a . quantitative and qualitative disclosures about market risk ( continued ) on our debt portfolio and cash equivalents and investments as of december 31 , 2015 , our pre-tax earnings would decrease by an estimated $ 74 million over a twelve-month period . from time to time , we may enter into interest rate swap agreements and or interest rate cap agreements to manage interest rate risk and our mix of fixed and floating rate debt . see note 13 , `` financial instruments , '' to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data. ” consistent with the terms of certain agreements governing the respective debt obligations , we may be required to hedge a portion of the floating rate interest exposure under the various debt facilities to provide protection in respect of such exposure .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```debt , '' to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data. ” we have assessed our exposure to changes in interest rates by analyzing the sensitivity to our earnings assuming various changes in market interest rates . assuming a hypothetical increase of one percentage point in interest rates 71 hertz global holdings , inc. and subsidiaries item 7a . quantitative and qualitative disclosures about market risk ( continued ) on our debt portfolio and cash equivalents and investments as of december 31 , 2015 , our pre-tax earnings would decrease by an estimated $ 74 million over a twelve-month period . from time to time , we may enter into interest rate swap agreements and or interest rate cap agreements to manage interest rate risk and our mix of fixed and floating rate debt . see note 13 , `` financial instruments , '' to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data. ” consistent with the terms of certain agreements governing the respective debt obligations , we may be required to hedge a portion of the floating rate interest exposure under the various debt facilities to provide protection in respect of such exposure .
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 Suspicious Activity Report : administration fees and service revenue attributable to the company 's donlen operations are recognized as services are rendered and any subscription fees are recognized ratably over the subscription life . cash and cash equivalents cash and cash equivalents include cash on hand and highly liquid investments with an original maturity of three months or less . restricted cash and cash equivalents restricted cash and cash equivalents includes cash and cash equivalents that are not readily available for the company 's normal disbursements . restricted cash and cash equivalents are restricted primarily for the purchase of revenue earning vehicles and other specified uses under the company 's fleet debt facilities , for its like-kind exchange program ( `` lke program `` ) and to satisfy certain of its self-insurance regulatory reserve requirements . these funds are primarily held in highly rated money market funds with investments primarily in government and corporate obligations . receivables receivables are stated net of allowances and primarily represent credit extended to car manufacturers and customers that satisfy defined credit criteria . the estimate of the allowance for doubtful accounts is based on the company 's historical experience and its judgment as to the likelihood of ultimate payment . actual receivables are written-off against the allowance for doubtful accounts when the company determines the balance will not be collected . estimates for future credit memos are based on historical experience and are reflected as reductions to revenue , while bad debt expense is reflected as a component of `` direct operating `` in the consolidated statements of operations . property and equipment property and equipment are stated at cost and are depreciated utilizing the straight-line method over the estimated useful lives of the related assets . useful lives are as follows : buildings 5 to 50 years furniture and fixtures 1 to 15 years service cars and service equipment 1 to 13 years leasehold improvements the lesser of the economic life or the lease term 87 hertz global holdings , inc. and subsidiaries notes to consolidated financial statements ( continued ) the company follows the practice of charging maintenance and repairs , including the cost of minor replacements , to maintenance expense . costs of major replacements of units of property are capitalized to property and equipment accounts and depreciated . fair value measurements generally accepted accounting principles define fair value as the price that would be received to sell an asset or be paid to transfer a story_separator_special_tag the assumed volatility for our stock is based on our historical stock price data . the assumed dividend yield is zero . the risk-free interest rate is the implied zero-coupon yield for u.s. treasury securities having a maturity approximately equal to the expected term of the options , as of the grant dates . the non-cash stock-based compensation expense associated with the hertz global holdings , inc. stock incentive plan ( “ stock incentive plan ” ) the hertz global holdings , inc. director stock incentive plan ( “ director plan ” ) and the hertz global holdings , inc. 2008 omnibus incentive plan ( “ omnibus plan ” ) are pushed down from hertz holdings and recorded on the books at the hertz level . see note 8 , `` stock-based compensation , `` to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data . ” acquisition accounting we record acquisitions resulting in the consolidation of an enterprise using the acquisition method of accounting . under this method , the acquiring company records the assets acquired , including intangible assets that can be identified and named , and liabilities assumed based on their estimated fair values at the date of acquisition . the purchase price in excess of the fair value of the assets acquired and liabilities assumed is recorded as goodwill . if the assets acquired , net of liabilities assumed , are greater than the purchase price paid then a bargain purchase has occurred and we will recognize the gain immediately in earnings . among other sources of relevant information , we may use independent appraisals and actuarial or other valuations to assist in determining the estimated fair values of the assets and liabilities . various assumptions are used in the determination of these estimated fair values including discount rates , market and volume growth rates , expected royalty rates , ebitda margins and other prospective financial information . transaction costs associated with acquisitions are expensed as incurred . recent accounting pronouncements for a discussion of recent accounting pronouncements , see note 2 , `` summary of critical and significant accounting policies , `` — `` recent accounting pronouncements , `` to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data . ” item 7a . quantitative and qualitative disclosures about market risk risk management for a discussion of additional risks arising from our operations , including vehicle liability , general liability and property damage insurable risks , see “ item 1—business—risk management ” in this annual report . market risks we are exposed to a variety of market risks , including the effects of changes in interest rates ( including credit spreads ) , foreign currency exchange rates and fluctuations in fuel prices . we manage our exposure to these market risks through our regular operating and financing activities and , when deemed appropriate , through the use of derivative financial instruments . derivative financial instruments are viewed as risk management tools and have not been used for speculative or trading purposes . in addition , derivative financial instruments are entered into with a diversified group of major financial institutions in order to manage our exposure to counterparty nonperformance on such instruments . interest rate risk we have a significant amount of debt with a mix of fixed and variable rates of interest . story_separator_special_tag administration fees and service revenue attributable to the company 's donlen operations are recognized as services are rendered and any subscription fees are recognized ratably over the subscription life . cash and cash equivalents cash and cash equivalents include cash on hand and highly liquid investments with an original maturity of three months or less . restricted cash and cash equivalents restricted cash and cash equivalents includes cash and cash equivalents that are not readily available for the company 's normal disbursements . restricted cash and cash equivalents are restricted primarily for the purchase of revenue earning vehicles and other specified uses under the company 's fleet debt facilities , for its like-kind exchange program ( `` lke program `` ) and to satisfy certain of its self-insurance regulatory reserve requirements . these funds are primarily held in highly rated money market funds with investments primarily in government and corporate obligations . receivables receivables are stated net of allowances and primarily represent credit extended to car manufacturers and customers that satisfy defined credit criteria . the estimate of the allowance for doubtful accounts is based on the company 's historical experience and its judgment as to the likelihood of ultimate payment . actual receivables are written-off against the allowance for doubtful accounts when the company determines the balance will not be collected . estimates for future credit memos are based on historical experience and are reflected as reductions to revenue , while bad debt expense is reflected as a component of `` direct operating `` in the consolidated statements of operations . property and equipment property and equipment are stated at cost and are depreciated utilizing the straight-line method over the estimated useful lives of the related assets . useful lives are as follows : buildings 5 to 50 years furniture and fixtures 1 to 15 years service cars and service equipment 1 to 13 years leasehold improvements the lesser of the economic life or the lease term 87 hertz global holdings , inc. and subsidiaries notes to consolidated financial statements ( continued ) the company follows the practice of charging maintenance and repairs , including the cost of minor replacements , to maintenance expense . costs of major replacements of units of property are capitalized to property and equipment accounts and depreciated . fair value measurements generally accepted accounting principles define fair value as the price that would be received to sell an asset or be paid to transfer a story_separator_special_tag the assumed volatility for our stock is based on our historical stock price data . the assumed dividend yield is zero . the risk-free interest rate is the implied zero-coupon yield for u.s. treasury securities having a maturity approximately equal to the expected term of the options , as of the grant dates . the non-cash stock-based compensation expense associated with the hertz global holdings , inc. stock incentive plan ( “ stock incentive plan ” ) the hertz global holdings , inc. director stock incentive plan ( “ director plan ” ) and the hertz global holdings , inc. 2008 omnibus incentive plan ( “ omnibus plan ” ) are pushed down from hertz holdings and recorded on the books at the hertz level . see note 8 , `` stock-based compensation , `` to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data . ” acquisition accounting we record acquisitions resulting in the consolidation of an enterprise using the acquisition method of accounting . under this method , the acquiring company records the assets acquired , including intangible assets that can be identified and named , and liabilities assumed based on their estimated fair values at the date of acquisition . the purchase price in excess of the fair value of the assets acquired and liabilities assumed is recorded as goodwill . if the assets acquired , net of liabilities assumed , are greater than the purchase price paid then a bargain purchase has occurred and we will recognize the gain immediately in earnings . among other sources of relevant information , we may use independent appraisals and actuarial or other valuations to assist in determining the estimated fair values of the assets and liabilities . various assumptions are used in the determination of these estimated fair values including discount rates , market and volume growth rates , expected royalty rates , ebitda margins and other prospective financial information . transaction costs associated with acquisitions are expensed as incurred . recent accounting pronouncements for a discussion of recent accounting pronouncements , see note 2 , `` summary of critical and significant accounting policies , `` — `` recent accounting pronouncements , `` to the notes to our consolidated financial statements included in this annual report under the caption item 8 , `` financial statements and supplementary data . ” item 7a . quantitative and qualitative disclosures about market risk risk management for a discussion of additional risks arising from our operations , including vehicle liability , general liability and property damage insurable risks , see “ item 1—business—risk management ” in this annual report . market risks we are exposed to a variety of market risks , including the effects of changes in interest rates ( including credit spreads ) , foreign currency exchange rates and fluctuations in fuel prices . we manage our exposure to these market risks through our regular operating and financing activities and , when deemed appropriate , through the use of derivative financial instruments . derivative financial instruments are viewed as risk management tools and have not been used for speculative or trading purposes . in addition , derivative financial instruments are entered into with a diversified group of major financial institutions in order to manage our exposure to counterparty nonperformance on such instruments . interest rate risk we have a significant amount of debt with a mix of fixed and variable rates of interest .

