Hertz will give up some airport locations in exchange for the FTC’s approval to buy Dollar Thrifty
A Hertz car rental shuttle pulls away from Los Angeles International Airport. Atomic Taco / Flickr.com
Hertz has offered various concessions to snag its competitor, but the FTC’s fears transcend this one deal, which is serving as a prime example of the extreme consolidation of the rental car industry over the past decade.
Excerpt from Wall Street Journal
Hertz Global Holdings Inc. (HTZ +7.26%) has tentatively agreed to shed about a dozen locations at U.S. airports in a concession aimed at winning U.S. regulatory approval for its proposed acquisition of rival Dollar Thrifty Automotive Group Inc., (DTG +5.40%) according to people familiar with the negotiations.
By offloading airport locations, Hertz aims to allay Federal Trade Commission concerns that a combination of the rental-car giants could hurt consumers by giving the joint company too much control over the rental-car market, particularly at airports.