Hertz Global Holdings is reportedly preparing for a potential bankruptcy filing.
The vehicle rental company was unable to make lease payments due to the coronavirus-induced a shutdown, according to The Wall Street Journal .Citing people familiar with the matter, WSJ reported that Hertz is in talks with lenders on a forbearance agreement to waive a default and to potentially avoid bankruptcy.
In a regulatory filing , Hertz mentioned that it had not made certain operating lease payments and it could be materially impacted if the payments are not made by the end of a grace period on May 4, and an adequate number of creditors don’t agree to waive any default by the end of the grace period.