Financial and business news from Bulgaria

“Hertz” declares bankruptcy in US, ruined by pandemic

One of the world's most prominent car hire firms, Hertz, declared bankruptcy proceedings and demanded protection in a US court in the state of Delaware after its business was ruined by the coronavirus pandemic, Reuters reported.
Talks with the creditors of Hertz proved to be fruitless, BTA reported.

The company's international regional branches, including those in Europe, Australia and New Zealand, are not included in the procedure started in the US, the company said.

"Hertz,” whose biggest shareholder is billionaire investor Carl Aicahn, owner of almost 39 percent of the shares, suffered fatally from US travel bans that blocked people in their homes. Much of Hertz's revenue came from the rent-a-car offices at the airports, which practically stalled after air traffic was blocked.

With nearly $19 billion in debt and about 38,000 employees worldwide at the end of 2019, Hertz is among the largest companies to fall victim to the pandemic.

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