Hertz Global Holdings Inc. named John Tague as its new chief executive officer, spurning the former CEO of Dollar Thrifty, who had been a favorite among some of the car-rental company’s largest investors.
Tague, who was formerly president and chief operating officer of United Airlines, will also become president, the company said in a statement. His appointment is effective Nov. 21. Tague was most recently CEO of transportation and logistics provider Cardinal Logistics Holdings.
Hertz chose Tague over Scott Thompson, the former Dollar Thrifty CEO, whom investor Jana Partners called the “obvious choice” to succeed Mark Frissora. Hertz, which said in September that Frissora resigned for “personal reasons,” has yet to report financial results for 2014 and has told investors not to rely on its last three years of financial statements.
Hertz investors had sought to replace Frissora for operating and accounting missteps. The day after Hertz withdrew its 2014 forecasts on Aug. 19, Fir Tree Partners, which holds more than 3 percent of the stock, urged the board to replace Frissora, and Carl Icahn disclosed a stake of more than 8 percent and said he may seek board representation. Hertz reached an agreement with Icahn in September, replacing some of the company’s directors with his associates.
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