Hertz Global Holdings successfully completed the chapter 11 restructuring process.According to the car rental business, it is now financially and operationally more successful than ever before. It is now well-positioned for the future.Hertz has seen its corporate debt drop by almost 80 percent thanks to the addition of over $5.9 million in equity capital from a new investor group. This includes Certares Opportunities, Knighthead Capital Management and Certares Opportunities.The company has significantly increased its liquidity to finance future growth and operations.Hertz Europe's corporate debt has been eliminated by $5 billion.ADVERTISEMENTHertz also has a $2.8 billion exit credit facility. This includes an undrawn $1.3B revolving credit facility and a $7B asset-backed vehicle financing option. Each of these terms is extremely favorable.Henry Keizer, Chairman of Hertz's Outgoing Board, stated: Faced by the immense and unprecedented challenges presented to us by the Covid-19 pandemic and unfazed early leadership changes, our focus remained on stabilising the company and seizing opportunities that mitigate losses and create value.We were perfectly placed to lead a competitive process to maximize recovery when the economy showed signs of recovery early in this year.It is amazing that we were able to pay our creditors nearly $19 billion in full and return substantial value for our shareholders.Hertz executed a number of operational initiatives in conjunction with its financial restructuring to make the company more profitable and focused.Hertz began a cost-reduction program that is generating substantial savings, right-sized its US and international fleets, reduced its footprint, and sold its Donlen fleet leasing company for $891 million cash.Paul Stone, chief executive of Hertz, stated that today marks a significant milestone for Hertz's 103-year history.We are in a strong place with an exciting road ahead thanks to the tireless efforts of our board members and team.Hertz is poised to achieve long-term, profitable growth with its solid financial foundation and a more efficient, leaner operating model.We are poised to capitalize on our industry leadership and deep operational expertise, as well as our iconic global brand, both in the United States, and worldwide.Hertz filed for Chapter 11 in May 2013 for United States operations.
