Avis Chairman and Chief Executive Officer Steps Down
17 December 1998
Avis Chairman and Chief Executive Officer Steps Down; Martin L. Edelman, Board Member, Named Interim Chairman
GARDEN CITY, N.Y., Dec. 16 -- Avis Rent A Car, Inc.
today announced that R. Craig Hoenshell will step down as chairman
and chief executive officer of the company. He will remain an employee of
Avis, serving the company in an advisory capacity, and will remain on the Avis
board of directors. The Board has named Martin L. Edelman, an Avis Board
member, to serve as Avis' chairman on an interim basis. Mr. Edelman is of
counsel at Battle Fowler LLP.
Mr. Hoenshell said, "At the time I came to Avis in March, 1997, the
company faced some serious challenges and I set certain goals. Today, I feel
those goals have been largely accomplished and so I am stepping down. We have
successfully led the company through its transition from an employee owned
company to publicly traded company and we have overseen five consecutive
quarters in which earnings exceeded Wall Street estimates. We have
successfully instituted a series of programs designed to strengthen Avis'
workforce and the position of the company in the marketplace. And we have
successfully dealt with charges of discrimination against the company. I look
forward to continuing my relationship with Avis, helping to guide the company
through this transition period."
Mr. Edelman said, "We are grateful for Craig's contributions to Avis. A
search for Craig's successor is already underway. We are looking for a CEO
who will lead Avis to even greater success and realize the company's long-term
potential. Following a record 3rd quarter, Avis continues to show improved
revenue and earnings over the prior year. The 4th quarter results are
anticipated to meet or exceed the company's previous expectations."
Prior to joining Avis, Mr. Hoenshell, 54, was president of American
Express International and also served as president of American Express
Travelers Cheques and American Express Centurion Bank. Before American
Express, he spent 7 years as a principal and senior executive of First Data
Resources, Inc., which provides back office data processing services to
financial institutions that issue debit and credit cards. The company was
sold to American Express in 1980.
Avis Rent A Car, Inc., with locations in the United States, Canada,
Australia, New Zealand, Argentina, Puerto Rico and the U.S. Virgin Islands is
one of the leading rental car companies in the world. Annually, the company
completes approximately 15 million rental transactions with a fleet averaging
approximately 200,000 vehicles, generating over $2.3 billion in total revenue.
Certain matters discussed in the news release that are not historical
facts are forward-looking statements that are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. Forward-
looking statements involve risks and uncertainties including the impact of
competitive products and pricing, changing market conditions, the ability of
the company and its vendors to complete the necessary actions to achieve a
Year 2000 conversion for its computer systems and applications; and other
risks which were detailed from time to time in the company's publicly-filed
documents, including its annual report on Form 10-K for the period ended
December 31, 1997. Actual results may differ materially from those projected.
These forward-looking statements represent the company's judgment as of the
date of this release.
For corporate background information and recent news releases, please log
onto the Avis Web site at http://www.avis.com or call Company News at 1-800-758-5804
access code #078975.