Rental Fleets Respond to Price Increase in Program Cars
Automakers have stopped selling vehicles to rental fleets at a loss and are now forcing the purchase of vehicles with better option packages at profitable prices. Rental fleets are responding by holding vehicles a few months longer and increasing their percentage of discounted risk vehicles instead of program cars.
A Slide in Ratings for Hertz
Banc of America just downgraded Hertz stock from "Buy" to "Neutral" because of a dip in resale values. Its earnings forecast for 2008 was cut from $1.60 per share to $1.40 per share by analyst Jairam Nathan.
AIG Fined for ‘Short Paying’ Crash Repair Costs
Minnesota body repair shops documented dozens of cases of insurer AIG and others underpaying for repairs and passing the unpaid balance onto consumers. Failure of the insurer to cover the full cost violated Minnesota state law and resulted in fines, repayment of consumer out-of-pocket expenses, and an order to discontinue the practice.
