Changes for page Hertz Global Holdings

Last modified by Asif Farooqui on 2019/11/05 07:39

From version < 4.1

edited by Asif Farooqui
on 2019/11/05 07:39

To version < 1.5 >

edited by Asif Farooqui
on 2019/11/05 07:19

Change comment: There is no comment for this version

Raw
Rendered

Summary

Page properties (2 modified, 0 added, 0 removed)

Details

Page properties

Tags

...	...	@@ -1,1 +1,0 @@
1		-US:HTZ

Content

@@ -4,7
+4,7 @@
  = BUSINESS =
--Hertz Holdings (HTZ) was incorporated in Delaware in 2015 to serve as the top-level holding company for Rental Car Intermediate Holdings, LLC, which wholly owns Hertz, Hertz Global's primary operating company. Hertz was incorporated in Delaware in 1967 and is a successor to corporations that have been engaged in the vehicle rental and leasing business since 1918.{{footnote}}https://fintel.io/doc/sec-htz-hertz-global-holdings-10k-2018-february-27-17947{{/footnote}}
++Hertz Holdings was incorporated in Delaware in 2015 to serve as the top-level holding company for Rental Car Intermediate Holdings, LLC, which wholly owns Hertz, Hertz Global's primary operating company. Hertz was incorporated in Delaware in 1967 and is a successor to corporations that have been engaged in the vehicle rental and leasing business since 1918.
  The company operate its vehicle rental business globally through the Hertz, Dollar and Thrifty brands from approximately 10,200 corporate and franchisee locations in North America, Europe, Latin America, Africa, Asia, Australia, The Caribbean, the Middle East and New Zealand. Hertz Global Holdings is one of the largest worldwide airport general use vehicle rental companies and its Hertz brand name is one of the most recognized in the world, signifying leadership in quality rental services and products. Hertz Global Holdings has an extensive network of rental locations in the U.S. and in all major European markets. The company believe that the company maintain one of the leading airport vehicle rental brand market shares, by overall reported revenues, in the U.S. and at major airports in Europe where data regarding vehicle rental concessionaire activity is available. Hertz Global Holdings is a leading provider of comprehensive, integrated vehicle leasing and fleet management solutions through its Donlen subsidiary.
@@ -78,11
+78,11 @@
  = Operations =
--== Locations ==
++**Locations**
  The company operate both airport and off airport locations which utilize common vehicle fleets, are supervised by common country, regional and local area management, use many common systems and rely on common maintenance and administrative centers. Additionally, its airport and off airport locations utilize common marketing activities and have many of the same customers. The company regard both types of locations as aspects of a single, unitary, vehicle rental business. Off airport revenues comprised approximately 33% of its worldwide rental vehicle revenues in 2017 and approximately 32% in 2016.
--== Airport ==
++**Airport**
  Hertz Global Holdings has approximately 1,600 airport rental locations in the U.S. and approximately 1,500 airport rental locations internationally. The company's international vehicle rental operations have company-operated locations in Australia, Belgium, Canada, the Czech Republic, France, Germany, Italy, Luxembourg, the Netherlands, New Zealand, Puerto Rico, Slovakia, Spain, the United Kingdom and the U.S. Virgin Islands. The company believe that its extensive U.S. and international network of company-operated locations contributes to the consistency of its service, cost control, vehicle utilization, yield management, competitive pricing and its ability to offer one-way rentals.
@@ -90,7
+90,7 @@
  The terms of its concessions typically do not forbid it from seeking, and in a few instances actually require it to seek, reimbursement from customers for concession fees the company pay; however, in certain jurisdictions the law limits or forbids its doing so. Where Hertz Global Holdings is required or permitted to seek such reimbursement, it is its general practice to do so. Certain of its concession agreements may require the consent of the airport's operator in connection with material changes in its ownership. A growing number of larger airports are building consolidated airport vehicle rental facilities to alleviate congestion at the airport. These consolidated rental facilities provide a more common customer experience and may eliminate certain competitive advantages among the brands as competitors operate out of one centralized facility for both customer rental and return operations, share consolidated busing operations and maintain image standards mandated by the airports. See Item 1A, "Risk Factors” in this 2017 Annual Report.
--== Off Airport ==
++**Off Airport**
  Hertz Global Holdings has approximately 2,600 off airport locations in the U.S. and approximately 4,500 off airport rental locations internationally. The company's off airport rental customers include people who prefer to rent vehicles closer to their home or place of work for business or leisure purposes, as well as those needing to travel to or from airports. The company's off airport customers also include people who have been referred by, or whose rental costs are being wholly or partially reimbursed by, insurance companies following accidents in which their vehicles were damaged, those expecting to lease vehicles that are not yet available from their leasing companies and replacement renters. In addition, its off airport customers
@@ -106,11
+106,11 @@
  * Insurance replacement rental volume is less seasonal than that of other business and leisure rentals, which permits efficiencies in both vehicle and labor planning; and
  * Cross-selling opportunities exist for it to promote off airport rentals among frequent airport Hertz Gold Plus Rewards program renters and, conversely, to promote airport rentals to off airport renters.
--== Rates ==
++**Rates**
  The company rent a wide variety of makes and models of vehicles. The company rent vehicles on an hourly (in select International markets), daily, weekend, weekly, monthly or multi-month basis, with rental charges computed on a limited or unlimited mileage rate, or on a time rate plus a mileage charge. The company's rates vary by brand and at different locations depending on local market conditions and other competitive and cost factors. While vehicles are usually returned to the locations from which they are rented, the company also allow one-way rentals from and to certain locations. In addition to vehicle rentals and franchisee fees, the company generate revenues from reimbursements by customers of airport concession fees and vehicle licensing costs, fueling charges, and charges for value-added products and services such as supplemental equipment (child seats and ski racks), loss or collision damage waiver, theft protection, liability and personal accident/effects insurance coverage, premium emergency roadside service and satellite radio services.
--== Reservations ==
++**Reservations**
  The company accept reservations for its vehicles on a brand-by-brand basis, with each of its brands maintaining, and accepting reservations through, an independent internet site. The company's brands generally accept reservations only for a class of vehicles, although Hertz accepts reservations for specific makes and models of vehicles in its Prestige Collection, its Adrenaline Collection, its Green Traveler Collection and its Dream Cars collection with a limited number of models in high-volume, leisure-oriented destinations.
@@ -118,7
+118,7 @@
  In major countries, including the U.S. and all other countries with company-operated locations, customers may also reserve vehicles for rental from it and its franchisees worldwide through local, national or toll-free telephone calls to its reservations center, directly through its rental locations or, in the case of replacement rentals, through proprietary automated systems serving the insurance industry. Additionally, the company accept reservations for rentals worldwide through its websites, for it and its franchisees. The company also offer the ability to reserve vehicles through its smartphone apps for the Hertz, Dollar and Thrifty brands.
--== Customer Service Offerings ==
++**Customer Service Offerings**
  At its major airport rental locations, as well as at some smaller airport and off airport locations, customers participating in its Hertz Gold Plus Rewards program are able to rent vehicles in an expedited manner. Participants in its Hertz Gold Plus Rewards program often bypass the rental counter entirely and proceed directly to their vehicle upon arrival at its facility. Participants in its Hertz Gold Plus Rewards program are also eligible to earn Hertz Gold Plus Rewards points that may be redeemed for free rental days or converted to awards of other companies' loyalty programs. For the year ended December 31, 2017, rentals by Hertz Gold Plus Rewards members accounted for approximately 34% of its worldwide rental transactions. The company believe the Hertz Gold Plus Rewards program provides a significant competitive advantage to it, particularly among frequent travelers, and Hertz Global Holdings has targeted such travelers for participation in the program. The company offer electronic rental agreements and returns for its Hertz, Dollar and Thrifty customers in the U.S. Simplifying the rental transaction saves customers time and provides greater convenience through access to digitally available rental contracts.
@@ -126,15
+126,15 @@
  The company also offer a Mobile Gold Alerts service, known as Carfirmations, through which an SMS text message and/or email is sent with the vehicle information and location, with the option to choose another vehicle from their smart phone prior to arrival. It is available to participating Hertz Gold Plus Rewards customers approximately 30 minutes prior to their arrival. The company also offer Hertz e-Return, which allows customers to drop off their vehicle and go at the time of rental return. Additionally, in select locations customers can bypass the rental line through its ExpressRent Kiosks, and customers can use cashless toll lanes with its PlatePass offering where the license plate acts as a transponder.
--== TNC ==
++**TNC**
  Hertz Global Holdings has partnered with certain companies in the TNC market and offer vehicle rentals to their drivers in approximately 80 locations in select U.S. cities across 14 states. The company's participation in this market provides for an additional selection of higher mileage, and thus more economical used cars in its retail sales outlets. During 2017, the company dedicated approximately 15,200 average vehicles for use by its TNC Partners. Drivers for its TNC Partners reserve vehicles online, through TNC Partner websites, and pick up vehicles from select off airport locations where rentals can be extended for up to four weeks on a weekly basis.
--== Hertz 24/7 ==
++**Hertz 24/7**
  The company offer a car-sharing membership service, referred to as Hertz 24/7, which rents vehicles by the hour and/or by the day, at various locations internationally, primarily in Europe and Australia. Members reserve vehicles online, then pick up the vehicles at various locations, such as a university, corporate campus or a retailer, without the need to visit a Hertz rental office. Members are charged an hourly or daily vehicle-rental fee which includes fuel, insurance, 24/7 roadside assistance and in-vehicle customer service.
--== Customers and Business Mix ==
++**Customers and Business Mix**
  The company conduct active sales and marketing programs to attract and retain customers. The company's sales force calls on companies and other organizations whose employees and associates need to rent vehicles for business purposes. In addition, its sales force works with membership associations, tour operators, travel companies and other groups whose members, participants and customers rent vehicles for either business or leisure purposes. The company's specialized sales force calls on companies with replacement rental needs, including insurance and leasing companies, automobile repair companies, and vehicle dealers. The company also advertise its vehicle rental offerings through a variety of traditional media channels, such as partner publications, direct mail and digital marketing. In addition to advertising, the company conduct a variety of other forms of marketing and promotion, including travel industry business partnerships and press and public relations activities.
@@ -160,7
+160,7 @@
  (Airport/Off airport)
--= Fleet =
++==== Fleet ====
  The company believe Hertz Global Holdings is one of the largest private sector purchasers of new vehicles in the world. During the year ended December 31, 2017, the company operated a peak rental fleet in the U.S. of approximately 504,300 vehicles and a peak rental fleet in its international operations of approximately 201,500 vehicles, and in each case exclusive of its franchisees' fleet and Donlen's leasing fleet. During the year ended December 31, 2017, its approximate average holding period for a rental vehicle was 17 months in the U.S. and 14 months in its international operations.
@@ -190,7
+190,7 @@
  The company maintain automobile maintenance centers at or near certain airports and in certain urban and off airport areas, which provide maintenance for its vehicles. Many of these facilities include sophisticated vehicle diagnostic and repair equipment and are accepted by automobile manufacturers as eligible to perform and receive reimbursement for warranty work. Collision damage and major repairs are generally performed by independent contractors.
--= Franchisees =
++==== Franchisees ====
  In certain U.S. and international markets, Hertz Global Holdings has found it efficient to utilize independent franchisees, which rent vehicles that they own, primarily under its Hertz, Dollar, or Thrifty brands. In certain markets and under certain circumstances, franchisees are given the opportunity to acquire franchises for multiple brands.
@@ -233,10
+233,6 @@
  The commercial fleet market is one of the largest segments of the U.S. automotive industry, primarily consisting of vehicles utilized in a sales, service, or delivery application. The fleet management industry has experienced significant consolidation over the years and today its principal fleet management competitors in the U.S. and Canada are Enterprise, Automotive Resources International, Element Financial Corporation, Wheels, Inc. and LeasePlan Corporation N.V.
--= EMPLOYEES =
++==== EMPLOYEES ====
  As of December 31, 2017, the company employed approximately 37,000 persons, consisting of approximately 28,000 persons in its U.S. operations and approximately 9,000 persons in its international operations. International employees are covered by a wide variety of union contracts and governmental regulations affecting, among other things, compensation, job retention rights and pensions. Labor contracts covering the terms of employment of approximately 25% of its workforce in the U.S. (including those in the U.S. territories) are presently in effect under active contracts with local unions, affiliated primarily with the International Brotherhood of Teamsters and the International Association of Machinists. Labor contracts covering almost 15% of these employees will expire during 2018. Hertz Global Holdings has had no material work stoppage as a result of labor problems during the last ten years, and the company believe its labor relations to be good. Nevertheless, the company may be unable to negotiate new labor contracts on terms advantageous to it, or without labor interruption.
--
--= References =
--
--{{putFootnotes/}}