ANC Rental Corporation to Assess Airline Loyalty Programs; Company to Consult Customers and Business Partners

    FORT LAUDERDALE, Fla.--Dec. 3, 2002-- Acknowledging that not all Frequent Flyer programs offer the competitive advantages they once did, ANC Rental Corporation, parent of National Car Rental and Alamo Rent A Car, announced today that it would begin reviewing the value of its participation in Airline Loyalty Programs. Committed to reviewing all options, the company will begin meeting with travel partners and commercial accounts over the next 30 days. A decision is expected during the first quarter of 2003.
    "Not all frequent flyer programs offer the marketing advantage they once did," said Michael Going, Sr. VP of Sales for ANC. "It is also apparent that the cost of the programs benefits the airlines, not the customer or the car rental industry due to the breakage component in unredeemed miles."
    ANC's move follows closely on the heels of a similar decision by Hertz. There will be one key difference, however.
    "While we support the direction of the recent Hertz decision to improve margins," said Going, "we do not believe that a change forced on customers with no advance notice or informed discussion is an appropriate path. We will move to become competitive in programs that benefit our customers, while yielding an acceptable rate of return. We differ, though, in that our customers and business partners will be involved in our decision."
    To that end, ANC will convene an advisory group to weigh the effects of various plan modifications on its corporate travel partners. The advisory group will consist of representatives from various commercial travel accounts and airline partners.
    ANC Rental Corporation, headquartered in Fort Lauderdale, is one of the world's largest car rental companies with annual revenue of approximately $3.2 billion in 2001. ANC Rental Corporation, the parent company of Alamo and National, has more than 3,000 locations in 69 countries. Its more than 17,000 global associates serve customers worldwide with an average daily fleet of more than 275,000 automobiles.