Hertz hires ex-Goldman Sachs CFO as CEO
Hertz, the car rental company that went bankrupt at the start of the pandemic, has chosen a prominent banker, Stephen M. Scherr, as its next chief executive.
Mr. Scherr, who served as Goldman Sachs’ chief financial officer until the end of last year, will take over Hertz and join its board on Feb. 28, the company said in a statement Friday.
“I am excited to join Hertz and lead the team as we put our customers at the center of our business,” said Mr. Scherr.
Mr. Scherr spent nearly three decades at Goldman Sachs, helping to steer the Wall Street powerhouse’s foray into consumer banking with the advent of his Marcus division and a credit card partnership with Apple. He was reportedly considered for a role in New York City Mayor Eric Adams’ administration before taking up his new post.
Mr. Scherr takes over a business disrupted by the pandemic. After racking up a mountain of debt, Hertz filed for bankruptcy in May 2020, with most of the world avoiding travel as much as possible. But the rapid economic recovery and a rebound in travel have provided a lifeline, sparking a bidding war for the company, which emerged from bankruptcy early last summer to become a hot market for passenger cars. rental. In October, Hertz announced a bold plan to add 100,000 Teslas to its fleet.
“Stephen is the leader Hertz needs to grow its business and be in a formidable position in the future of mobility and fleet management,” said Greg O’Hara, chairman of Hertz’s board of directors, in a statement. the press release. “He is a proven strategist, innovator and leader with a proven track record of building customer loyalty.”
Shares of Hertz, which has nearly 25,000 employees worldwide, were trading higher on Friday, but the stock has fallen more than 20% in the past month.
Hertz reported stronger-than-expected third-quarter earnings, and its next quarterly report, along with its 2021 financial results, is due out Feb. 23.