Posted on 12/26/2021 1:21:49 PM PST by blam
So they sold cars to take advantage of high resell values now claim it is high demand.
Someone in the Hertz executive suite made a brilliant decision ,at the beginning of the lockdown ,to sell half their fleet. Now they can’t replace the cars because of the chip shortage.
They’ve become the United Airlines of the rental car industry.
Yep, that happened to us. My hubs car needed some parts that were on back order, and he wanted to drive to a town about 4 hours away - but I didn’t want him to take MY car (LOL), so he had to rent one for that trip.
Three months later, and the parts just came in. For a Honda. Exhaust. Those are usually a two day wait, or a week if you want OEM. We couldn’t even get OEM, because no one knows how long those are on back order, but probably longer than after-market. This has been such a pain.
My mechanic said he’s even having trouble getting tires.
The sell down of the Hertz fleet was beyond their control. They had financed a large part of the fleet with securities - one term of the securities said that any bankruptcy filing accelerated repayment - that led the trustee of the securities to seize and liquidate the cars.
Exactly. They had to sell 182,500 vehicles by the end of December 2020.
https://www.thedrive.com/news/35109/hertz-must-sell-nearly-200000-cars-by-december-to-pay-back-creditors
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