Nobody is buying cars right now. Terrible time to flood the market. They won't get what they are worth.I wonder why auto rental companies have yet to take a more aggressive approach to selling their rental cars that are getting close to the end of their service period with the company. With rental car demand gone, it stands to reason a large number of higher mileage vehicles will have very little service life left to the company. Why not get aggressive in making more reasonable sales of these vehicles while paring down fleet size?
While COVID may have hastened this, my stock advisory recommended selling puts on Hertz with 2021 expiration dates about 6 months ago, and considered it a near sure thing. The had determined Hertz had no way to avoid bankruptcy by then. And that was before there was any COVID. The question now is whether, in light of COVID, they'll be able to get out of 11, or if they're going to be acquired by someone.It may be a "good move" but not so good for their shareholders, bond holders and banks
Thanks for this update. Very helpful and one less thing to think about !!!I have my rental reservation for August in Hawaii with Hertz through Priceline. I received this email today:
"Our records indicate that you have an upcoming rental car reservation with Hertz Corporation in KONA.
You may have heard news reports that The Hertz Corporation, operator of the Hertz, Dollar, Thrifty and Firefly brands, has filed for bankruptcy. Recent information from Hertz indicates that there will be no impact to existing reservations as locations will continue to operate and service customers. If anything changes, we will reach out to you again.
If you have any questions or concerns, please reach out to our customer care team. We appreciate your business and look forward to serving your future travel needs.
The Customer Care Team"
So we'll see what happens.
I am aware of their sales, @turkel but in their current state of financial affairs, it would seem to be prudent to trim off their oldest assets they will not likely be able to use for quite some time. Not only would this reduce their inventory, it would also reduce their maintenance costs with respect to those vehicles.Hertz does actively sell their fleet. My son bought his first car from them. They advertise online and have sales lots.