Hertz global holding Inc Rental Car company filed for Bankruptcy protection

Hertz global holding Inc (HTZ) operates a car rental service and it's been around since 1918. The company is trading under stock symbol HTZ, its market cap is $404 million. Hertz stock was trading at $20.32 before the stock market started seeing the effect of the coronavirus. The stock is now trading at just $2.84 per share. Also, today Friday May 22, Hertz announced that it's filing for bankruptcy protection. 

The company has about $1 billion in cash and it plans to use it to keep the business running.  Paul E. Stone, the chief executive at Hertz, said “Today’s action will protect the value of our business, allow us to continue our operations and serve our customers, and provide the time to put in place a new, stronger financial foundation to move successfully through this pandemic and to better position us for the future. The bankruptcy filing excludes operations in Australia, Europe, and New Zealand as well as the company’s franchisee locations. Hertz also said that it had sought aid from the federal government, but that funding for its industry “did not become available.”

"The impact of Covid-19 on travel demand was sudden and dramatic, causing an abrupt decline in the company's revenue and future bookings," Hertz said on Friday

Hertz's debt amount: $17 Billion 

Other companies that Hertz owns: Dollar and Thrifty brands

According to Wall Street Journal, “Hertz Global Holdings Inc., one of the nation’s largest car-rental companies, filed for bankruptcy protection Friday, saddled with about $19 billion in debt and nearly 700,000 vehicles that have been largely idled because of the coronavirus.” The company has lost money for the past four consecutive years, including $58 million in 2019.