Apollo Global Management Investor Day Presentation Deck
Long Track Record Demonstrates De Minimis Credit Loss Experience
Legacy Wheels Charge-Offs (bps)
0.4 0.1
0.1 0.1 0.3 0.0
Donlen Charge-Offs (bps)
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
YTD
LeasePlan Charge-Offs (bps)
0.6
2016
0.0
2017
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
YTD
2018
6.2
2019
0.6
0.3
0.1
2020
0.0
0.5
2021
2022
2023 YTD
Why Are Losses So Low?
Credit losses only occur when there is both a
customer default and residual value loss on the
vehicle. Both of these events are very low probability
given (i) customer guarantee from strong credits &
(ii) secured collateral
PROTECTION #1
Customer Guarantee (Triple Net Lease Obligations)
Given ~95% of the Wheels portfolio is open-end TRAC¹ leases, the
customer is generally responsible for any residual risk on the vehicle
●
W
WHEELS™
PROTECTION #2
Secured Liquid Collateral
Leases are structured to build residual value cushion as they season
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Average charge-offs of less than 1bp since 2006
Note: Fiscal year for legacy Wheels is August 31 through 2021 and December 31 for 2022 (vs. Donlen & LeasePlan fiscal year is December 31 for all years). 1. TRAC stands for terminal rental adjustment clause.
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