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When equity is gone and debt financing is onerous, loaning yourself revenue against a class action lawsuit you will definitely lose in a decade might still be a
by hermannj314 1y ago
When equity is gone and debt financing is onerous, loaning yourself revenue against a class action lawsuit you will definitely lose in a decade might still be a rational choice for a business to make.
These are the sounds a business makes as it is dying.
- kjellsbells 1y agoYes, this smells like an attempt to get some kind of reflected glory from AI while not recognizing that consumers, who already hold car rental companies in low regard, are likely to assume that the move is hostile to them. (Many other sources discuss this aspect of AI: the necessity of trust from the consumer. I think we'll see a lot more of this in the coming years, either because big tech simply ignores the problem and overrides the objections by volume, as in the case of online reviews, or because there'll be some high profile flameouts.) Of course, this is the same Hertz that torched 2 billion dollars on an EV gamble that failed, and whose stock price has been on a slide ever since the pandemic. Back in 2020, Hertz was trading just above Avis. Five years later, and Avis is $176 and Hertz is $7. [0] https://archive.is/iG4M1 https://archive.is/iG4M1 (Bloomberg)
- alwa 1y ago> the sounds a business makes as it is dying. After already having been resurrected! With a “significantly deleveraged balance sheet and right-sized, efficient operations,” no less! https://newsroom.hertz.com/press-releases/press-release-details/hertz-exits-chapter-11-as-a-much-stronger-company-successful-restructuring-provides-the-co/ https://newsroom.hertz.com/press-releases/press-release-deta...