Hertz Global Holdings hired John Tague as president and CEO of the company and named to the company’s board of directors, effective Nov. 21. Tague’s appointment follows an extensive search conducted by the Hertz board of directors after previous chairman and CEO Mark Frissora resigned in the wake of the company’s accounting issues.
The search process was conducted by Hertz’ board of directors including two recently appointed as part of an agreement with activist investor Carl Icahn.
Tague is a travel and transportation industry veteran known for delivering results in revenue generation, operational excellence and corporate transformation, according to Hertz. A former president and chief operating officer of United Airlines, Tague is credited with innovative product and pricing programs that drove strong financial performance as well as improved customer satisfaction. Most recently, he served as chairman and CEO of Cardinal Logistics Holdings, a transportation and logistics provider and private equity backed company.
“John is a leader whose record shows a relentless focus on execution and high performance, having driven the successful turnaround of other large, complex consumer-facing companies such as United Airlines,” said Linda Fayne Levinson, independent non-executive chair of the Hertz board. “The board was very clear about what we needed in a new CEO for Hertz. We were looking for a world-class global leader who knows the travel industry and its players, has an intimate understanding of the revenue optimization equation, drives operational excellence, has driven turnarounds, is a superb people leader, and most of all, understands how to create shareholder value. In John we have found that leader.”
Icahn also praised the selection of Tague. “I have been involved in a number of CEO searches during the last decade and have been quite impressed by the knowledge and imagination of a number of these candidates, many of whom have turned into very successful CEOs,” said Icahn. “After listening to John’s ideas concerning Hertz and evaluating what he has accomplished at United, I believe he ranks at or near the top of the group. Importantly, Glenn Tilton, the former chairman and CEO of United Airlines, informed me that John Tague was a key player in the United Airlines turnaround.”
It is expected that Brian MacDonald, who served as interim CEO beginning several months after being hired as CEO of Hertz Equipment Rental Corp., will return to his position at HERC.
