Ford Completes Hertz Sale, Sees Pretax Gain

DETROIT -- Ford Motor Co. has completed the sale of Hertz Corp. to a private equity group, and plans to report a fourth-quarter pretax gain from the transaction of $1.1 billion to $1.3 billion, according to Reuters.

Under the terms of the agreement, reached last September, Ford received $5.6 billion in cash from a group composed of Clayton Dubilier & Rice, The Carlyle Group and Merill Lynch Global Private Equity for the sale of 100 % ownership interest in Hertz.

The cash infusion comes as Ford’s core automotive unit is losing money and the company continues to face a deepening financial crisis. Upon the announcement, shares of the Detroit-based automaker rose more than 2% on the New York Stock Exchange.

Comment On This Story

Name:  
Email:  
Comment: (Max. 10000 characters)  
Please leave blank:
* Please note that every comment is moderated.

 
 

Newsletter: Sign up to receive latest news, articles, and much more.

Read the latest

Auto Focus Blog: A blog covering fleets, auto rental and the business of cars

Will Cars Become Transportation Appliances?

The cars are still the stars, but this year’s L.A. Auto Show revealed an auto industry at a crossroads.

U.S. Car Rental: Sanity in the Face of Disruption

A newfound austerity in fleeting is producing a domino effect of benefits for 2018.

Understanding The Fleetification of Everything

As fleet miles increase exponentially, and as new stratum of fleet enter both consumer and business use cases, the "founding fathers" who gathered at Fleet Forward in Miami last week have some work to do.

Job Finder: Access Top Talent. Fill Key Positions.

>