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Rental Car Industry

All articles tagged with #rental car industry

business2 years ago•4 min saved

Hertz CEO Resigns Amid Tesla EV Purchase Debacle

Hertz is replacing its CEO after facing challenges with its electric vehicle fleet, resulting in a $245 million hit to its earnings. The company's struggles with the EVs were attributed to a drop in their value, high collision and damage repair costs, and a lack of charging infrastructure at rental locations. The decision to invest heavily in EVs was made by the previous CEO, Mark Fields, and the company also faced legal issues related to falsely reporting rental cars as stolen. Despite the challenges, Hertz aims to recover under new leadership and address its reputation and financial setbacks.

via CNN|

#business #ceo #electric-cars

business-automotive2 years ago•2 min saved

Hertz's U-turn: From EV Champion to Gas Car Advocate

Hertz plans to sell 20,000 electric vehicles from its fleet due to higher repair costs, depreciation, and lower resale values, with Tesla's price reductions being a major factor. The company will use the proceeds to purchase more gasoline-powered vehicles. Executives cited higher repair costs, increased crash incidents, and Tesla's limited parts supply network as reasons for the decision. Hertz expects a $245 million loss due to depreciation on the EVs and acknowledges the impact of Tesla's aggressive pricing strategy on the used car market.

via KABC-TV|

#business-automotive #depreciation #electric-vehicles