that has crippled global travel and with it, the heavily indebted 102-year-old car rental company’s business.
By the end of March, Hertz Global Holdings Inc. had racked up $18.7 billion in debt with only $1 billion of available cash. In late March, Hertz shed 12,000 workers and put another 4,000 on furlough, cut vehicle acquisitions by 90% and stopped all nonessential spending. The company said the moves would save $2.5 billion per year.
On May 18, Hertz named operations chief Paul Stone as CEO and announced that Marinello would step down as CEO and from the company’s board. Mazari called the step unusual just days before a potential bankruptcy filing. He also noted that CEO changes have been common at Hertz since financier Carl Icahn entered the company in 2014.
Hertz’s bankruptcy protection filing was hardly a surprise. In its first-quarter report filed earlier in May with securities regulators, the company said it may not be able to repay or refinance debt and may not have enough cash to keep operating.
If anyone needs a used car cheap, he market will soon be flooded.
Is anybody investigating whether the fire less than a month ago that destroyed 1500 rental cars was an insurance fraud? Seems a little too coincidental
This company WAS the top rental car company in the U.S. at one time. Now they're the Sears of the car rentals industry. I'm funked about all their workers covid reopening to no jobs.
Do they still have any of the high end mustang's for sale?
Stop paying OJ!!!
Awesome. Lots of well maintained cars gunna be for sale for cheap
Не круто..
Maybe they should drop their prices a little. Just saying.
Consumer and corporate debt were already at record levels. Great planning. Borrow money to buy back stock thats the ticket. Only the beginning.
Bring in Mark Frissora!!
Nice , I'm not returning my rental
And so it begins
Unable to withstand, or don't want to tap into their cash reserves. How is a business in operation for 100yrs and not have the funds to withstand this?
102 years? Where are their savings? Probably should have laid off on the lattes and avocado toast.
anyone who used to work for this company is smiling. Douchebags that liken themselves ruthless, shark investment bankers based entirely on ripping old ladies off by selling unnecessary insurance—and if they do that well enough and show enhanced moral turpitude, they become execs
Good Riddance.
Most doubtbly more to come.
Shitty management before is the real blame.
Smh is anyone not check to check 😂
A company that old that does not have cash reserves to keep them afloat during times of recession, what a fucking scam capitalism is.
It was the governor lockdowns not the virus
How did a 102 year old company, founded the year of the Spanish Flu btw, not make it a full 3 months into a pandemic?
Note: the CEO, Paul Stone, received total compensation of around $2 million in 2019 and 2018. Wonder what that did to the company’s bottom line. 🤔🤔🤔
Now this is something the president has extensive expertise in
Another American firm killed by greed. I feel sorry for its employees.
Sad
I hope this trend of companies filing bankruptcy and closing ends soon. We all need to get back to work!
Hope they bought the insurance
RIP
Man that Hertz
Too much avocado toast?
They dont know how to run a business after 102 years? No financial backup? Stuuuuupid.
Well it happens when you have a president with bankruptcy experience
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