One of the world’s largest car rental companies in the United States went bankrupt because of COVID-19


One of the world’s most famous car rental companies, Hertz, has filed for bankruptcy and sought legal redress in a U.S. court in the state of Delaware after its business was ruined by the coronavirus pandemic, Reuters reported. Talks with Hertz’s creditors proved fruitless.

The company’s international regional branches, including those in Europe, Australia and New Zealand, are not included in the procedure, which began in the United States, the company said.

Hertz, whose largest shareholder is billionaire investor Carl Icahn, who owns nearly 39 percent of the shares, has been fatally damaged by US travel bans that have blocked people in their homes. Much of Hertz’s revenue came from airport car rentals, which virtually 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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