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Penske takes over Hertz car rental locations in Indiana

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Michigan-based Penske Automotive Group Inc. has acquired 20 Hertz car rental locations around Indiana and will operate them as franchises of New Jersey-based Hertz Corp.

The companies declined to disclose the acquisition price. But Penske, which is led by legendary IndyCar owner Roger Penske, said it intends to add as many as five locations in the next year and boost overall employment at the franchises by 15 to 20 jobs.

“We’re going to grow this business,” Bud Danker, president of Penske car rental operations, said in an interview. “We’re excited about being in Indiana, especially with our heritage there.”

The franchise deal took effect over the weekend. Penske hired 160—or about 96 percent—of Hertz’s Indiana employees.

The deal gives Penske control of Hertz rental operations at three airports—Indianapolis International, Fort Wayne and South Bend. But Danker said Penske is particularly focused on growing the “off-airport” market, with the potential for new or expanded locations in Fort Wayne, Goshen, Kokomo, Bloomington and Richmond.

Perhaps a “half-dozen” locations will be co-located at some of the 58 existing truck-rental locations around Indiana, which are owned by Penske Corp., an affiliate of Penske Automotive, Danker said.

Penske also is purchasing 1,000 new cars to freshen up Hertz’ rental fleet. Danker said it will later transfer those cars to the used-car operations at the two Penske Honda and Chevrolet auto dealerships it operates in Indiana.

While the car-rental locations will still be branded Hertz, and will use the Hertz website for reservations, Penske will add its brand name to employee uniforms, to check-out booths and in other subtle ways.

“You will see some sub-branding of Penske car rental,” Danker said. “We’ve got a strong brand, particularly in Indianapolis.”

Eight of Hertz's 20 locations are in the Indianapolis area. Roger Penske is well known here because his IndyCar team has won the Indianapolis 500 race 15 times, more than any other owner.

The Indiana deal between Penske and Hertz mirrors a similar one the companies made in October, which gave Penske the Hertz franchise rights in Memphis, Tenn.

Penske Automotive Group is a Fortune 500 company with $13.2 billion in revenue and more than 16,000 employees.

Penske shares rose 69 cents, or 2.3 percent, to $30.74 each, in Tuesday morning trading.
 

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  1. Why should I a home owner pay for this"car sharing" ????

  2. By the way, the right to work law is intended to prevent forced union membership, not as a way to keep workers in bondage as you make it sound, Italiano. If union leadership would spend all of their funding on the workers, who they are supposed to be representing, instead of trying to buy political favor and living lavish lifestyles as a result of the forced membership, this law would never had been necessary.

  3. Unions once served a noble purpose before greed and apathy took over. Now most unions are just as bad or even worse than the ills they sought to correct. I don't believe I have seen a positive comment posted by you. If you don't like the way things are done here, why do you live here? It would seem a more liberal environment like New York or California would suit you better?

  4. just to clear it up... Straight No Chaser is an a capella group that formed at IU. They've toured nationally typically doing a capella arangements of everything from Old Songbook Standards to current hits on the radio.

  5. This surprises you? Mayor Marine pulled the same crap whenhe levered the assets of the water co up by half a billion $$$ then he created his GRAFTER PROGRAM called REBUILDINDY. That program did not do anything for the Ratepayors Water Infrastructure Assets except encumber them and FORCE invitable higher water and sewer rates on Ratepayors to cover debt coverage on the dough he stole FROM THE PUBLIC TRUST. The guy is morally bankrupt to the average taxpayer and Ratepayor.

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