Hertz Global Holdings Inc. is preparing to file for bankruptcy soon if the company fails to rework its debt and can’t get lenders to extend a grace period on a missed payment, Bloomberg News reported. The rental-car company has been talking to some of its creditors about how to ease its burden without going through bankruptcy, but negotiations have been a struggle and the company is preparing to file for chapter 11 court protection. Hertz could file for bankruptcy today if a deal isn’t reached. The situation could still change and a filing isn’t definite, according to sources. The company expanded its roster of advisers to include FTI Consulting Inc., which specializes in restructuring and bankruptcy cases. Sweeping travel restrictions tied to the Covid-19 outbreak and the global economic collapse have hammered revenue, particularly in the rental-car business. While the U.S. government has a $50 billion bailout plan for airlines, Hertz hasn’t been able to access that program, and its chief rival, Avis Budget Group Inc., had a stronger balance sheet going into the crisis.
