Hertz

[CityFarmer]

Carl Icahn current project, after Apple(?)...

(not vested)

Carl Icahn raises stake in car rental company Hertz

Activist investor Carl Icahn raised his stake in U.S. car rental company Hertz Global Holdings Inc to 10.77 percent from 8.48 percent.

The billionaire was already Hertz's largest shareholder and in the past few months had successfully pushed for management changes and won board seats on the company.

Hertz shares rose 1.7 percent to $25.68 in trading after the bell on Tuesday.

Hertz has owned up to a string of accounting errors, originating in 2011, that will require it to restate or correct its financial results for the past three years.

Earlier this month, Icahn-backed John Tague was named as Hertz's chief executive, fending off a challenge from Dollar Thrifty CEO Scott Thomson, who was backed by Jana Partners, the company's second-largest shareholder.

The role had fallen vacant in September after Mark Frissora stepped down citing personal reasons, about a month after the accounting issues came to light.

Up to Tuesday's close, Hertz's stock had fallen 20 percent since Icahn revealed his stake in the company on Aug. 20. REUTERS
http://www.todayonline.com/business/carl...pany-hertz

[weijian]

Well, betting on new technology is risky - sometimes we all forget that.

The old adage of "let your competitors pay the lessons of adopting new technology before you learn FOC to adopt it yourself" works here. But sometimes, it doesn't - For example, Intel decided not to go with EUV with ASML probably cost it a few years - and a few years is at least 2 technology nodes. But one key difference is that for EVs, you got a lot of suppliers (that should be evident 2 years ago) but for EUV, there is only ASML (whether 2 years ago, now or 2 years later!)

How Hertz’s bet on Teslas went horribly sideways

With electric motors and drivetrains, Teslas were indeed cheaper to maintain than a traditional car, as Wagner and O’Hara predicted in their financial models. The problem was how often they crashed. Newbie Tesla drivers who were not used to the car’s instantaneous acceleration and immediate braking were running into obstacles or getting rear-ended, sometimes even before they left the rental lot. Hertz’s Teslas got into accidents four times more often than the company’s other vehicles.

Unlike major automakers, Tesla does not have an extensive network of franchised dealers to help with service and repair, leaving owners subject to the company’s availability and schedule. Some of Hertz’s Teslas were idled for extended periods as a result. “They couldn’t get parts, even simple things like an outside mirror,” says Alex Rojas, the business agent representing Hertz workers for Teamsters Local 222 in Salt Lake City. “They just sat there for weeks not getting rented and not making money.”

https://www.businesstimes.com.sg/compani...y-sideways