Hertz raises impact of accounting errors
Southfield, Michigan
HERTZ Global Holdings estimated an additional US$125 million of errors in its ongoing review of financial statements and doubled its cost-saving target to US$200 million. The errors had a cumulative effect on pretax income under generally accepted accounting principles of about US$28 million in 2013, US$74 million in 2012 and US$51 million in 2011, including US$28 million that had been previously disclosed. Those figures may change before the investigation is complete, which probably won't happen before July, the company said on Wednesday.
Chief executive officer John Tague, who was hired in November, said the company is attacking waste in the organisation, adding US$100 million to the annual cost-saving target. The Naples, Florida-based company said it's also reviewing its leadership, organisational talent, data integrity and decision-support systems. "While the full benefit of these and other actions will take time, I am confident that Hertz is on the right path to deliver improved performance and value creation," Mr Tague said.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Transport & Logistics
EV automakers get reprieve in US tax credit rules
Abu Dhabi hub carrier Etihad adds banks to US$1 billion IPO
Luminar to cut nearly 20% jobs as part of restructuring
Chinese share of French EV market slumps after incentives curbed
Ferrari unveils US$423,000 sports car with 1960s bloodline
Airbus called for compensation to take on money-losing Spirit operations: sources