Car Rental Service
Service:Chief Restructuring Officer
Company:Nationwide Car Rental Service
A nationwide car rental service was experiencing a severe liquidity crisis and extensive pressure from creditors, after Chrysler Financial advised they were going to take back 60% of the fleet. The Company went from a 15,000 car fleet to 6,000 cars.
Focus Management Group was hired as the Chief Restructuring Officer to run and guide the company through the bankruptcy process.
- Provided advisory services and de-facto management of company during the six months the company was in Chapter 11.
- Rationalized the business while complying with bank requirements by reporting on any preference payments, litigation rights and reclamation claims.
- Worked with the debtor and counsel to devise a plan which resulted in a 363 sale.
Completed the sale of the Company.
- The Company was sold to Hertz Rental Car for $30.3 million which was a significant increase from the original bid of $13 million.