Hertz Files for Bankruptcy

Hertz Files for Bankruptcy Hertz has been renting cars since 1918, but on Friday night, the company filed for bankruptcy.

Hertz, via statement Hertz, via statement According to CNN Business, two-thirds of rental car industry revenue comes from rentals at airports.

These types of rentals have seen a major decline since travel has halted across the globe due to the coronavirus pandemic.

Hertz says the bankruptcy process will provide "a more robust financial structure that best positions the company for the future as it navigates what could be a prolonged travel and overall global economic recovery." The drop in rental car business will also likely affect the automakers of the world.

According to Cox Automotive, rental car companies purchased 1.7 million U.S. cars last year.

Hertz joins a growing list of big name retailers who have filed for bankruptcy, including JCPenney, Neiman Marcus, J.Crew, Whiting Petroleum and Diamond Offshore Drilling.