Car rental giant Hertz reportedly files for Chapter 11 bankruptcy
According to The Wall Street Journal, Hertz, one of the largest car rental companies in the United States, has filed for Chapter 11 bankruptcy Friday, as the coronavirus pandemic has decimated rental demand.
Hertz Global Holdings Inc. was reportedly seeking Chapter 11 protection throughout the day, according to WSJ. And that means Hertz won’t necessarily be going out of business, but could have an opportunity to restructure or reorganize its debt or possibly liquidate assets.
The move comes after Hertz failed to come to terms with its lenders, WSJ reported.
Hertz recently announced plans to lay off 10,000 employees in North America as the pandemic all but wiped out demand for rental cars.
Despite the thousands of layoffs across the country because of the pandemic, Estero Mayor Bill Ribble says he has a message of hope to the employees still here.
“I’d just tell them, even at this late time, in the eleventh hour, we’re still rooting for them. We hope the best for them and hope they can turn this thing around,” Ribble told WINK News. “It would be a shame to see an icon like Hertz, after all they’ve been through over 102 year, to end in this fashion. So we’re still hoping they can turn this thing around.”
Ribble said he has not spoken to Hertz about what the company is going through or the decisions Hertz leaders face. He did say, if there is any way the Village of Estero can help, it would do so.