This is no big surprise, Hertz has had a large presence in OKC for operations centers and they've dumped a lot of real estate and buildings here.

I've had several friends get laid off in the last couple of weeks from Hertz.

Link to story

People keep talking about small business getting hurt. Many big businesses are going to go under also.

I am fairly sure OKC is going to take another huge soon, I expect Chesapeake Enegy will file for bankruptcy.

OKC?

^^^^^ Oklahoma City is OKC ^^^^^

And regarding Chesapeake, I'm surprised bankruptcy hasn't happened yet.

I used to work for Enterprise after I graduated undergrad. They are also taking a huge hit too. What do you do with cars not being rented and you have to downsize? Sell them. Problem is, nobody is buying cars either. Selling a depreciated asset isn't going to generate the income stream needed to support a business like that.

Say good bye to the used car market for the foreseeable future. When you completely flood the used car market with thousands of rental cars and SUV's, it should push the value for all used cars and SUV's into the toilet. That's 'once' the market starts to recover. Upside I guess is 'if' you have any money to spend, you should be able to buy a nice car really cheap.

I have 2017 and 2018 Subarus. Between the 2, we have driven 106 miles since March 12. I won't need a new car for a looooong time, and I'm eyeing a 2020 Vette for that occasion.

No one is traveling, no one is renting cars.

The huge parking lots outside of Philadelphia’s sports stadiums are filled with rental cars from these companies right now.

You can just imagine the fixed costs, insurance, titles, registration and the rest. Not to mention the usual expense with buildings, employees and infrastructure.

quote:

Originally posted by bigdeal:
Say good bye to the used car market for the foreseeable future. When you completely flood the used car market with thousands of rental cars and SUV's, it should push the value for all used cars and SUV's into the toilet. That's 'once' the market starts to recover. Upside I guess is 'if' you have any money to spend, you should be able to buy a nice car really cheap.

I would also say this has a domino affect on the new car market. If people are seeing great deals on used cars, what's the incentive to pay thousands more for a new car? I mean, there are many out there who want new but is it worth thousands more? I always tell people don't be afraid of mileage/driving on a car, that's what it's meant to do. "Oh it has 50,000 miles!" Yes but most modern cars will drive to 150,000 miles these days (unless it's a Dodge... ) so I wouldn't worry about miles.

I picked up a 2018 Honda Civic EX for $15k a couple months ago with 24k miles. Bought it in Alabama and they delivered it. This is to replace my 2003 Honda Civic base model with 205k miles. 2003 still runs but is getting a little rough and it's been my work car for the past 2 years.

Bankruptcy doesn't necessarily mean going out of business. A Chapter 11 bankruptcy allows them to still operate, which is mentioned in the article under the "key facts." At least for the time being. How long that will last is another question.

Yeah, hard to say but this could a move to keep creditors off their back until they can restructure their debt. I would hate to see them totally go under. Gosh, they have been around a long time.

quote:

Originally posted by PASig:
No one is traveling, no one is renting cars.

The huge parking lots outside of Philadelphia’s sports stadiums are filled with rental cars from these companies right now.

This and Uber and Lyft were killing them already.

Probably my fault.... I've used Hertz at least once a year for the last 5 or 10 years...

this past Fall wife and I did a two week trip around South Dakota.... car was rented from Hertz.. during that trip there was a hail storm that did some minor damage to the car... few dings in the hood which you could see if you squatted down at just the right angle with the sun in the right place... got a big thick letter from Hertz a few weeks later... they wanted $15,000 to fix......

The ripple effects of the shutdowns will take a couple of months to trickle down so they're just starting.

Plus the Uber effect. We went through about 12 millennials at work last year and I remember 1 asking the other- "Do you drive?". These guys were in their late 20's and he wasn't asking if the other millennial had a car- He was asking if he had a drivers license.

I have to rent for travel for work. My normal Enterprise is currently closed and they don’t know when it will reopen. Aside from the implications for the rental business (they’ve furloughed a bunch of workers), I have to drive twice as far to get a rental, which is usually twice a week.

I have President's Circle status with Hertz. They are my preferred car rental joint. I hope they are able to restructure and keep going. I've been happy with them.

I certainly hope they bounce back. Hertz is far and away my favorite rental company.

-Rob

quote:

Originally posted by BurtonRW:
I certainly hope they bounce back. Hertz is far and away my favorite rental company.

-Rob

Yup. Once I started using Hertz, I never again looked at another rental company.

Been using them since the late 70's.For the most part they've been pretty good except for getting the right car at HLE locations...Can't really complain thou.