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Hertz, Car Rental Pioneer, Files for Bankruptcy Protection
New York Times ^ | May 22, 2020 | Niraj Chokshi

Posted on 05/22/2020 8:15:29 PM PDT by John W

Hertz, which started with a fleet of a dozen Ford Model T’s a century ago and became one of the world’s largest car rental companies, filed for bankruptcy protection on Friday after falling victim to its mountain of debt.

The coronavirus pandemic has devastated Hertz by grounding business travelers and tourists, making it impossible for the company to continue paying its lenders. A sharp drop in used car prices has also decreased the value of its fleet.

“They were doing quite well, but when you turn off the revenues and you own all these cars and all of a sudden the cars are worth less it’s a very tough business,” said John Healy, an analyst and managing director with Northcoast Research in Cleveland.

By the end of March, Hertz Global Holdings Inc. had racked up $18.7 billion in debt with only $1 billion of available cash.

(Excerpt) Read more at google.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: automotive; bankruptcy; economy; hertz; rentals
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1 posted on 05/22/2020 8:15:29 PM PDT by John W
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To: John W

WOW!!!!

What scares me is if the masses are asses and blame this well planned, man made destruction of the US economy on Trump.

PLEASE GOD let 51 percent of Americans use their brains


2 posted on 05/22/2020 8:16:52 PM PDT by dp0622 (Radicals N racists dont point ftingers at me I'm a small town white boy Just tryin to make ends meet)
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To: John W

Avis is really savoring this.


3 posted on 05/22/2020 8:19:57 PM PDT by x
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To: John W

I guess this means there will be a glut of 1-3 year old used cars available in the near future for very reasonable prices.


4 posted on 05/22/2020 8:21:22 PM PDT by rllngrk33 (The only thing government does effieciently is waste taxpayer money.)
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To: John W

5 posted on 05/22/2020 8:22:02 PM PDT by dfwgator (Endut! Hoch Hech!)
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To: John W

there is a simple solution to this.

the stock should be zeroed, and the
Board of Directors executed.


6 posted on 05/22/2020 8:22:29 PM PDT by RockyTx
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To: dfwgator

Rates were too high for my taste at Hertz. They relied on the corporate market and then Enterprise/Avis ate their lunch.


7 posted on 05/22/2020 8:23:11 PM PDT by lodi90
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To: RockyTx

I want the Hertz Penske Mustang throughback


8 posted on 05/22/2020 8:24:25 PM PDT by ofcrob2237
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To: John W

well, they filed a chapter 11 bankruptcy

which means they will most likely propose a restructuring plan while continuing operations as best they can

chapter 7 is a liquidation bankruptcy, which would mean its pretty much over as a company


9 posted on 05/22/2020 8:25:02 PM PDT by Secret Agent Man (Gone Galt; Not Averse to Going Bronson.)
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To: John W

There will be other companies to follow. The biggest economic suicide in history.


10 posted on 05/22/2020 8:25:42 PM PDT by HighSierra5
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To: rllngrk33

Best car my family ever had (until my grandmother died and left us hers) was a 1969 Impala Dad bought from Hertz in 1972. The cross-country moves and daily trips that car made over the next 10 years would be a ... rather boring book :)


11 posted on 05/22/2020 8:25:59 PM PDT by ExGeeEye (For dark is the suede that mows like a harvest.)
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To: John W

The individual(s) who came up with the idea of shutting this nation’s economy down...even for a day...should be hanged.


12 posted on 05/22/2020 8:26:18 PM PDT by Gay State Conservative (The Rats Just Can't Get Over The Fact That They Lost A Rigged Election!)
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To: x

Will they continue to try harder when they are #1?


13 posted on 05/22/2020 8:27:15 PM PDT by kosciusko51
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To: Gay State Conservative

“...The individual(s) who came up with the idea of shutting this nation’s economy down...even for a day...should be hanged....”

Without a doubt. And they get no last cigarette, no last meal, no blindfold and the hanging is made public and televised. The communist RATs that colluded and are behind this mess should also follow suit.


14 posted on 05/22/2020 8:30:56 PM PDT by lgjhn23 (Libs are a virus.....the DemoVirus!!)
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To: John W
They were being stun by uber, etc anyhoo.

That said, I hate to see them file; and, I hope they can recover.

15 posted on 05/22/2020 8:32:30 PM PDT by Seaplaner
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To: ExGeeEye

My buddy had a ‘72 Impala convertible. Before it got ‘liquidated’ by some drunk while it was parked on a curve, it was a tank. We took out the OEM engine and dropped a 400 small block in it that already had a four barrel carb and headers. We got into some mischief in that thing. Even I miss that car.


16 posted on 05/22/2020 8:34:00 PM PDT by Viking2002 (Why should I walk into the great unknown, when I can sit here, and throw my bones?)
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saw a picture of Dodger Stadium in Los Angeles...the parking lot was completely full of unused rental cars...put in storage. Thousands....smh.


17 posted on 05/22/2020 8:34:46 PM PDT by basalt (a.m.)
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To: John W

Sucks to be them.

https://thehill.com/blogs/blog-briefing-room/375334-hertz-cuts-ties-with-nra


18 posted on 05/22/2020 8:36:42 PM PDT by Yogafist
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To: John W
Hertz -- Driver's Seat.

There was a movie that came out back then — I can't remember which one, might have had Jack Lemmon in it — where the main character works for an ad agency, and he attends the filming sessions for the famous "Driver's Seat" ad (famous if your a baby boomer anyway). The movie shows them running take after take, and the husband and wife who are being dropped into the car via overhead wires keep missing the target, shins hitting the windshield, landing on the hood, crashing into the rear of the front seats, etc.

19 posted on 05/22/2020 8:37:23 PM PDT by Steely Tom ([Seth Rich] == [the Democrats' John Dean])
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To: dfwgator

A competing car rental company should have made counter-OJ commercials that said, “At XYZ car rental you won’t have to run through the airport to secure your car rental, we’ll hold it for you”.


20 posted on 05/22/2020 8:41:01 PM PDT by Rebelbase (The Church of BBQ does not discriminate. All meat is welcome.)
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