Car Rental Goliath Hertz has seen its core business virtually disappear over the last three months due to pressure from ‘ride-hailing-rivalry’ and the effects of the coronavirus pandemic.
THE more than a century old car rental firm Hertz Global Holdings Inc filed for bankruptcy protection on Friday after its business was decimated during the coronavirus pandemic and talks with creditors failed to result in much-needed relief.
“The impact of Covid-19 on travel demand was sudden and dramatic, causing an abrupt decline in the company’s revenue and future bookings,” Hertz said on Friday.
Hertz’s board had earlier in the day approved the company seeking Chapter 11 protection in a US bankruptcy court in Delaware, its international operating regions including Europe, Australia, and New Zealand were not included in the US proceedings, the company said.
Hertz had $19 billion of debt and roughly 38,000 employees worldwide at the end of 2019 and is among one of the largest companies to be undone by the pandemic.