Franchise Services of North America Inc. announced on Dec. 10 that Sanford Miller has resigned from his position on the board.
Tom McDonnell will be the company's sole chief executive officer and chairman. Sanford Miller, the former co-chief executive officer and co-chairman, will not continue in an executive capacity with the company but will continue to serve as a director.
As fleet sales and the used car market finally get back to normal, the land rush for vacated airport locations will produce a ground war on rates.
As a result of the FTC consent order, Hertz will be required to provide the company, or another FTC-approved buyer, with the right to operate on-airport concessions at an additional 13 airports.
Hertz revised earlier statements on the number of on-airport Dollar Thrifty locations it will have to divest, but said it has completed purchasing 99.6% of the shares of Dollar Thrifty common stock.
Who will get the vacated Dollar Thrifty airport counters and what will happen to rates?
According to the FTC’s complaint, Hertz’s original proposed acquisition of Dollar Thrifty would be anticompetitive and would violate both Section 5 of the FTC Act and Section 7 of the Clayton Act, in a number of airport car rental markets.
Franchise Services of North America (FSNA) reported a net loss of $348,097 in the third quarter of 2012 compared to $20,131 in the same quarter last year.
FSNA said that Hertz’s completion of carving out Advantage’s financial statements, which is pursuant to the Advantage Purchase Agreement, is not expected until after November.
The devil is in the details, especially as it relates to Dollar and Thrifty licensees.