World's Largest Rent-a-car Agency Hertz Announces Bankruptcy – Serbian Branch Operates Without Problems

Hertz Global Holdings has announced that, being considerably affected by the pandemic and movement restrictions in the past three months, it filed a request for protection from bankruptcy proceedings on May 22, based on Chapter 11, both for the parent company in the U.S.A. and the subsidiaries in Canada.

Based on the official announcements by Hertz Global Holdings, during the restructuring period, its global network will remain fully operational for all the brands owned by Hertz (Hertz, Thrifty, Dollar and Firefly), without any additional consequences to reservations or loyalty programs.

– The company Autohellas, which owns the franchise rights for the Hertz brands in Greece and 7 other countries, including Serbia (Autotechnica Serbia DOO) in the Balkans, has no ownership relations over the shares or credit/borrowing relations with Hertz Global Holdings. Therefore, in the financial sense, Autohellas is not directly affected by these developments – Hertz-Autotechnica Serbia DOO announced.

Provided that the process of restructuring of Hertz Global, under Chapter 11, is successful, the estimate is that the company will end up being even more efficient within its global network.

– Short-term renting (the core activity of Hertz Global) makes up 16% of the consolidated revenues of Autohellas, whereas 84% of the consolidated income of the group comes from long-term renting, sale of used vehicles and car trade. At the same time, the ownership capital of Autohellas, on the date of December 31, 2019, was at EUR 294 million, providing it with the lowest debt and ownership coefficient of all companies in Europe which provide the service of on-road help or operating leasing – the press release says.

Autotechnica Serbia d.o.o. Beograd

Hertz Global Holdings

Autohellas

Hertz

Thrifty

Dollar

Firefly

bankruptcy

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