S&P Raises Outlook on Hertz to Positive

Standard & Poor's raised its ratings outlook on Hertz Global Holdings Inc. to positive from negative this week, citing reduced concerns about refinancing risk. Last week Hertz announced the refinancing of $1.2 billion in debt.

"We are likely to raise the ratings on Hertz within the year if the company successfully addresses its remaining 2010 debt maturities, or if its profitability improves such that the adjusted operating margin approaches the 10 percent area," said credit analyst Lisa Jenkins in a statement.

"Although considered less likely, we could revise the outlook to negative or lower the ratings if the company cannot refinance its 2010 remaining maturities and the expected improvement in profitability does not occur," Jenkins said.

S&P affirmed Hertz Corp. at ‘B’ corporate credit rating.

Hertz still has $1.5 billion of non-U.S. debt to refinance over the next year, S&P reports.

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

A Shared Mobility Model Takes Shape for Fleets

Technology that allows cab drivers flexible access to a shared fleet is leveling the playing field for an 89-year-old taxi company.

Safety Tech: Crash Avoidance or Sensory Overload?

As advanced safety technologies become even more pervasive on mainstream vehicles, are we creating “stupid drivers?"

Own the Fleet, Own the Future

In the dialogue surrounding new transportation paradigms, fleets have been off the public radar until recently. Here’s what’s going on, and a way for you to participate in the conversation.

Job Finder: Access Top Talent. Fill Key Positions.

>