Avis Rent A Car Chairman to Step Down

Avis Rent A Car Inc. said Chairman and Chief Executive R. Craig Hoenshell will resign after overseeing the No. 2 U.S. car rental company’s transition from an employee-owned firm to a publicly traded one. The company also said it expects fourth-quarter earnings to meet or exceed expectations. Avis is expected to earn 7 cents a share based on the average estimate of analysts polled by First Call Corp. It earned 2 cents a share in the same period a year ago. Hoenshell, 54, will remain as an advisor and member of its board of directors. Avis appointed Martin Edelman, an Avis board member, to temporarily replace Hoenshell. Hoenshell said he accomplished his goals of helping Avis make the transition in March 1997 to a publicly traded company. He noted also that Garden City, N.Y.-based Avis has exceeded analysts’ expectations for five consecutive quarters. Meg Saegebarth, an analyst with Goldman, Sachs & Co., said that Hoenshell’s retirement was a surprise but that “Avis has deep enough management that it’s not a problem.” Avis shares rose 13 cents to close at $21.38 on the NYSE. The announcement was made after the close of U.S. trading.