Hertz Global Holdings
[Updated] Want To Own an EV?
Now is your chance
11 Jan — Rental firm Hertz Global Holdings (HTZ.O) said on Thursday it would sell about 20,000 electric vehicles from its U.S. fleet due to higher expenses related to collision and damage and will opt for gas-powered vehicles.
Shares of the company, which operates vehicles from Tesla Inc (TSLA.O) and Swedish EV maker Polestar, among others, fell about 3% at market open.
Hertz had said it would order 100,000 Teslas by the end of 2022 and followed that with a decision to buy up to 65,000 units from Polestar over five years.
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Some used EVs are eligible for a federal tax credit of up to $4,000, which further sweetens the deal for buyers.
But to qualify for that credit, the EV must be a model from 2022 or earlier and can’t have a sale price of more than $25,000. There are also income limits for the credit. To qualify, individual buyers can only make up to $75,000, or twice that for married couples filing jointly.
In many cases, the cars Hertz is selling already have 50,000 to 60,000 miles on them, even in vehicles that are about a year old. That’s a lot of miles to pack on over a short period, Kelly Blue Book Senior Editor Sean Tucker noted.
