Hertz is Hiring Delta Air Lines Veterans to Fill Out Its Executive Ranks
In a strategic move to bolster its leadership team, Hertz has tapped into a familiar talent pool, hiring several former Delta Air Lines executives. CEO Gil West, himself a former Delta executive, has brought on board four of his old colleagues to fill key positions.
A Legacy of Leadership
Before joining Hertz, Gil West served as the Chief Operating Officer at Delta Air Lines for 12 years. Now at the helm of the car rental giant, West is bringing his airline expertise to Hertz by recruiting former Delta colleagues. This move signifies a shift towards incorporating proven aviation industry strategies into the car rental business.
New Leadership Appointments
- Sandeep Dube: Joining Hertz as Chief Commercial Officer, Dube comes from Intuit Mailchimp but has an extensive background with Delta, where he held various roles from 2015 to 2021.
- Henry Kuykendall: With a 33-year tenure at Delta, Kuykendall steps in as the Executive Vice President overseeing North American operations.
- Mike Moore: Appointed to an executive position overseeing fleet maintenance, Moore has a diverse background, including leading Delta’s TechOps division and heading Spaceline Technical Operations at Virgin Galactic.
- Greg May: Overseeing fleet management, May brings decades of experience from Delta, Northwest Airlines, and United Airlines. He also founded an aircraft investment firm for Blackstone and an aircraft leasing company.
A New Direction for Hertz
The new hires come as Hertz faces challenges with its fleet of electric vehicles (EVs). High repair costs and renter unfamiliarity with EVs led to the sale of tens of thousands of these vehicles. To navigate these challenges and drive future growth, Hertz has also brought on former Spirit Airlines CFO Scott Haralson as a financial overseer.
Strategic Vision
“Our enhanced executive team, and the added resilience and flexibility afforded by the capital we recently raised, enable us to pursue our fleet rotation plan on an accelerated timeline, deliver our cost and revenue improvement initiatives, and allow Hertz to reach its full potential,” said West in a statement.
Financial Moves
Last month, Hertz entered agreements to sell $1 billion worth of notes to pay down part of its $2 billion committed revolving credit facility. The company’s financial health and future plans will be clearer when it announces its second-quarter earnings on August 1.
Market Response
Despite these strategic moves, Hertz’s stock fell more than 2% in trading on Monday and has dropped over 65% year-to-date. The company’s performance and the impact of its new leadership will be closely watched in the coming months.