Car Rental firm Hertz files for bankruptcy
ESTERO, Fla., May 22, 2020-- Car rantel firm Hertz today announced that its U.S. and Canadian subsidiaries have filed voluntary petitions for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the District of Delaware.
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 took immediate actions to prioritize the health and safety of employees and customers, eliminate all non-essential spending, and preserve liquidity. However, uncertainty remains as to when revenue will return, and when the used-car market will fully re-open for sales, which necessitated today's action.
The financial reorganization will provide Hertz a path toward a more robust financial structure that best pos...