DBRS confirms Dollar Thrifty

DBRS said it confirmed the ratings of Dollar Thrifty Automotive Group, Inc., including its issuer rating of B (high) and senior unsecured debt rating of B, and removed the ratings from under review with positive implications, where they were placed on April 28.

The trend is stable.

The company's shareholders rejected the offer to be acquired by Hertz Corp., so Dollar Thrifty's ratings will no longer benefit from the uplift of being acquired by a higher-rated entity. DBRS recognizes that there are other potential suitors for the company, but the outcome is less than certain.

The current ratings reflect Dollar Thrifty's strengthening balance sheet metrics, its solid financial performance and the overall stable franchise, DBRS said.

The ratings also consider the company's reliance on secured sources of funding and limited diversification of revenues, the agency said.

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