Friday, January 12, 2024

That Tom Brady/Hertz Ad? History.

You might have noticed that the Tom Brady/Hertz Rent-a-Car ad hasn't run this football season.

Brady's status as the GOAT Q-back hasn't gone away.  Hertz Rent-a-Car has not gone away.

But the EV's Brady puffed are going away.

...Auto rental giant Hertz has announced plans to sell off about one-third of its global electric vehicle fleet and use a portion of the proceeds to purchase vehicles with internal combustion engines to fill the gaps. ...

...Hertz believes the move will eliminate a number of lower margin rentals and reduce expenses related to costly collision and damage repairs.

That said, Hertz isn't totally abandoning EVs. The rental agency reiterated plans to continue to improve the profitability of its remaining EV fleet including expanding charging infrastructure and growing relationships with electric vehicle makers
in hopes of securing more affordable access to parts and labor.

Hertz said it expects approximately
$245 million of incremental net depreciation expense related to the sale....

They're taking nearly a quarter-billion dollar write-down.

Think that the "expense" of repairing those cars is going to go down?

No comments: