Auto Rental News
MenuMENU
SearchSEARCH

Dollar Thrifty Updates Exposure to Chrysler and GM

Dollar Thrifty Automotive Group says it has no credit exposure to GM but has potential exposure to Chrysler.

by Staff
April 29, 2009
2 min to read


Dollar Thrifty Automotive Group Inc. provided an update on its credit exposure to Chrysler LLC and General Motors (GM). The company announced that it has no credit exposure to GM and has potential exposure to Chrysler, its principal supplier, comprised of the following:

  • Approximately $11 million in trade receivables from Chrysler under incentive and vehicle repurchase programs.


  • Approximately $5 million in estimated exposure for residual value guarantees provided by Chrysler on approximately 690 program vehicles that have been returned to auction but not yet sold. Vehicles have been at auction an average of 172 days. At the time of sale, Chrysler will be obligated to pay the company the difference between the auction price of the vehicle and the residual value agreed by the parties at the time of purchase. Auction proceeds will be paid directly to the company by the auction.


  • Approximately $23 million in estimated exposure for residual value guarantees on approximately 3,600 program vehicles currently in the company's rental fleet. These vehicles are subject to return to auction in the third and fourth quarters of 2009. In the event of a Chrysler bankruptcy, the company has the ability to extend the holding period of these vehicles by converting them to risk vehicles. This would allow the company to generate additional revenue over the useful life of the vehicle to offset the cost of the loss of the residual value guarantee.

Ad Loading...

"These are extremely difficult times in the automotive industry and there is significant uncertainty surrounding the impact of a bankruptcy of GM or Chrysler. We have aggressively reduced our exposure to Chrysler from over $215 million as of Dec. 31, 2008 to a more manageable level, and we expect additional reductions going forward," said Scott L. Thompson, president and CEO. "Our reduced exposure is a result of decisive actions over the last six months to reposition the company. These actions included changing our fleet mix from high program vehicle content to a predominately risk vehicle fleet, ceasing orders of certain program vehicles, modifying the timing of vehicle incentive payments, extending holding periods and executing a secondary supply agreement with Ford Motor Co. We believe these actions will significantly mitigate the direct impact on us in the event of a Chrysler bankruptcy."

More Rental Operations

Two execs hold up a sign with Southwest and CarTrawler logos

Southwest Airlines Selects CarTrawler For Its Car Rental Booking Platform

The platform is designed to allow customers to compare and book rental vehicles more easily during the travel booking process.

Read More →
Speaker John Healy on stage with a podium, screen, and red curtains in the background.
Rental Operationsby Martin RomjueMay 27, 2026

Cross-Pressures, Evolving Trends Drive 2026 Rental Car Industry

A combination of cautious economic behavior, shifts in the rental vehicle market, and technological influences are shaping car rental operator decisions.

Read More →
Award winner on stage with presenters in front of yellow curtain.
Rental Operationsby Martin RomjueMay 27, 2026

Government Affairs Executive Wins Leading Rental Car Industry Award

Robert Muhs started in the car rental industry with Avis Budget Group two years before the first International Car Rental Show.

Read More →
Ad Loading...
The rental car team at the Green Motion franchise office near the Maputo International Airport in Mozambique.

Green Motion Expands Its African Presence with Mozambique Launch

This new rental car outlet reflects the growing demand for reliable transportation and the emphasis on sustainable travel across the continent.

Read More →
Photos of CEOs Colm Brady and Francois Kruger on a blue background and above a headline.
Telematicsby News/Media ReleaseMay 22, 2026

RentalMatics, GeoInt Partner On Rental Car Speed Tracking Tech

Rental operators can now detect and act on speeding while vehicles are still on rent, thereby reducing fines, admin workload, vehicle wear, and safety risks.

Read More →
NextPass 407 ETR

NextPass Expands Toll Payment Service to Highway In Toronto

Fleets and consumer can use a transponder-less option when traveling between Canada and the U.S.

Read More →
Ad Loading...
A black Jeep is displayed at the Zubie-Bosch-TSD exhibit during the International Car Rental Show.

Zubie, PurCo Integrate Rental Damage Detection With Telematics

The combination brings actionable vehicle insights into PurCo’s PurInspect platform, improving damage detection and operational efficiency for rental fleets.

Read More →
50 states map showing LOR rates for each state with different shades of light to dark green

U.S. Length Of Rental (LOR) Declines Slightly in Q1 2026

LOR related to insurance claims overall continues to trend downward, but ongoing market and economic conditions could affect future results while the industry deals with staffing and productivity challenges.

Read More →
Illustration of a driverless futuristic front seat/dashboard view of other cars on a freeway with city skyline on horizon.

Hertz, Uber Deepen Roles In Self-Driving And Driver-Led Fleet Services

The business arrangement connects demand with scalable fleet management services and supports a range of mobility uses.

Read More →
Ad Loading...
A tech collage of electronic devices against a computer chip blueprint map.
Rental OperationsMay 1, 2026

Why Car Rental Can No Longer Run On Workarounds

The shift from branch-based software to connected operations is turning rental technology into strategic infrastructure.

Read More →
Ad Loading...