Hertz says to change CEO in January, Icahn approves replacement


U.S. car rental company Hertz Global Holdings Inc said on Tuesday that Chief Executive Officer John Tague will retire in January, a little over two years since he got the role with backing from activist investor Carl Icahn.

Hertz said Kathryn Marinello, and who sits on the boards of AB Volvo and General Motors Co , would replace Tague, an appointment that given a vote of confidence by Icahn.

Continue Reading Below

"Kathy has a history as a proven CEO and I believe she is the right person to lead Hertz as we move forward," Icahn, Hertz's largest shareholder, said in the company's statement.

Hertz said Tague would retire on Jan. 2 and Marinello would take over a day later.

Hertz also said its three longest serving directors, Linda Fayne Levinson, Carl Berquist and Michael Durham, would leave the board, effective Jan. 2.

Icahn-backed Tague was named Hertz's CEO in November 2014, after fending off a challenge from Dollar Thrifty CEO Scott Thomson, who was backed by Jana Partners, Hertz's second-largest shareholder at the time.

Marinello has been a senior advisor of Ares Management LLC since March 2014 and was CEO of customer management services provider Stream Global Services Inc from 2010 to March 2014.

She has worked for more than 10 years at General Electric Co .

(Reporting by Anya George Tharakan in Bengaluru; Editing by Savio D'Souza)