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Hertz CEO Mark Frissora on the company's interest in Dollar Thrifty, growth and who it targets for jobs.
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All other company -- talking about hurts.
They are living life in the fast -- record third quarter mixed with increasing demand in growth equals more jobs.
At the world's largest car rental company joining us now is Mark Frissora he's the chairman and the CEO.
I've heard some markets great to have you on the show it to be I first talked about the third quarter because net income -- -- -- grew by 33%.
For the quarter was strong income -- strong.
If the stock has been.
Lagging over the past several months do you feel that the -- that investors the Wall Street community per say don't really understand.
The true business model of -- what's going.
Where they don't understand and I think there's just were very frustrated we.
Increased guidance twice this year -- beat estimates eighteen -- nineteen quarters.
We have worldwide.
Record revenues and rent a car ever in the history of the company worldwide record profit.
And the problem is people worried that the discretionary.
Spending of the consumers gonna go down -- -- business model.
We're still seeing double digit growth into the fourth quarter we expect to record.
Double digit revenues growth in the fourth quarter and we have a lot of growth drivers and are fairly inflation resistant so.
We feel free -- positive about are -- track record and what's going forward as well.
-- you mentioned -- by revenues you are of course the global company the largest at the same time Europe is an important part of the world for you.
I know that you've seen some some of the slowdown in demand.
With regards to Europe operations how concerned that the next year ability of the problem for overall.
But we think that Europe is kind of bottomed out it was double digit in May it's come down to single digit in the third quarter.
It's now in some countries it may be flat up two or 3%.
And it we see a bottoming so we're hopeful that next year once a sovereign debt crisis gets some resolution that -- -- upside you know eventually at some point when this.
Crisis gets gets resolved how important is the holiday season for you and what are your estimates right now -- very -- -- pick up all the yes we do tactics giving an end of the year holiday as well we see double digit advance reservations so it's pretty robust right now.
-- -- let's talk also about the potential acquisition of dollar thrifty this has been in the have -- lines.
You've been going after this company for what a year and a half now the FCC is reviewing the case.
At the same time you pulled the exchange -- off of the table but you're still interest ahead.
And dollar -- correct.
Yes yes we are we hope to get FTC approval and get a consent decree.
And once we get that we'll take it to the dollar thrifty board of directors and -- to negotiate a deal.
Relative to the did do a share buyback you're not concerned that they're trying to hang on which would make sense obviously you know actually this year buyback doesn't impact the deal we -- pretty good about it there's not a real issue there something.
Most of about the cars the fun part of a -- side of the business.
Technology in vehicles.
You know everybody wants everything now on a TV -- public to develop lab on everything hooked in of my vehicle.
-- -- rental side of the business how important is that to you do you invest money to upgrade the technology the vehicles are now.
Down one of the things we're trying to do we called virtual rent -- cars were trying to take -- -- And all the systems that are in it and put it into the rental car itself and by doing that were able to give.
Consumers a different experience without having to go to the -- wait.
So we've done two things one is called a what we called virtual kiosk.
You can walk up to a kiosk pick up the phone and someone alive on the other end of the -- -- video monitor talks to you can tell you by your reservation.
And actually drop -- activate an RFID card in the bottom of the slot you can take that to the -- the door -- pop open and you drive away with a virtual experience is.
It is a bit like make it together out of actually -- -- volatile long I'm sure.
Let me ask you real quick about jobs you have been on -- hiring tear this year -- and several other rental car companies.
What is it that you were looking for for employees that want to come to work it hurts.
Well actually we target a lot of military ex military personnel.
Because -- typically have good leadership skills they've been trained well only step up.
And that's kind of what we're looking for -- work we're typically looking for people again that have great communication skills that have been under.
Stress because it's a fairly fast pace environment.
And some and -- -- the actual hiring that's gone on we've actually hired 6000 people this year.
Vs a thousand people last year so it's been a very strong environment -- For -- standpoint and from hiring standpoint.
Level -- let -- go hurts for heroes program you're not investing not just time marketing dollars but true dollars.
End of this program told me about.
Yes so -- for heroes is to honor all of the war heroes coming home from the Middle East 40000 of them.
And our plan by accruing and if for every -- by the end of the year were -- you know -- pot.
And the pot should be big enough to cover 40000 we -- Reynolds for all of those heroes coming back.
And we're hopeful that you know just by giving away four point six million dollars which is about what -- cost us.
Wish to get that back in terms of the way people feel about hurts and and our our true all -- two ways so giving back and also may be getting -- job market for certain CEO -- thank you for coming and great to me -- thank you.
