Dollar and Thrifty Middle East franchisees unveil major expansion plans
- United Arab Emirates: Monday, July 19 - 2004 at 10:53
- PRESS RELEASE
Dollar Thrifty Automotive Group, Inc. (NYSE:DTG), one of the region's leading car rental companies, today announced that its franchisees in the Middle East and North Africa (MENA) for the Dollar Rent A Car and Thrifty Car Rental brands have unveiled a major expansion program.
New Offices, Larger Rental Car Fleet, and Regional Coverage Builds Leadership Position for Dollar Thrifty Automotive Group Franchisees
The expansion program will include new offices, a significant expansion of its car fleet, and a broader franchise program throughout the region.
The number of rental cars on the roads of the region has risen sharply over the past year, driven by rising numbers of tourists and business travelers, increasing levels of intra-regional travel within the Middle East, and growing recognition of the comparative ease and price competitiveness of hiring a car rather than buying one.
As part of the expansion plan announced today, DTG franchisees intend to add approximately 2,000 cars to its existing fleet of 14,000 over the next 18 months to meet this surge in demand. In addition, it will open 40 new Dollar Rent A Car and Thrifty Car Rental outlets in airports, city centers, and hotels in the same time period.
"Our plan is for the whole MENA Dollar Thrifty Automotive Group, which includes the Dollar and Thrifty brands, to benefit from our significantly expanded presence in the Middle East, supported by new outlets and an increased fleet of cars," said Sam Eltibi, regional director, MENA, Dollar Thrifty Automotive Group, Inc.
As part of its regional expansion program, Dollar plans to open 20 new franchise outlets in the MENA region, including three in the United Arab Emirates. In addition, Dollar intends to recruit new franchisees in Qatar, Kuwait, Oman, Saudi Arabia, Lebanon, Jordan and Bahrain.
This significant expansion program will be supported by a comprehensive branding program, which will aim to raise the profile of DTG as a whole, and draw upon the strength of its Thrifty Car Rental brand. Thrifty has already won a strong market share through its network of franchises in Bahrain, Jordan, Kuwait, Lebanon, Oman, Qatar, Saudi Arabia, Turkey and the United Arab Emirates.
In addition, as part of this expansion program, the DTG franchisees plan to open 20 new Thrifty franchise outlets.
"We're unveiling an aggressive plan that will ensure that DTG is prepared to serve the expanding population of customers in the Middle East and North Africa," said Eltibi. "We believe that the car rental market is poised for major growth alongside the business travel and tourism sectors of the Middle East, and we want to ensure that we have the resources, vehicles, and presence necessary to fully exploit these opportunities.
"We have won a number one position in many countries within the Middle East market because of strong service and the compelling value proposition we offer our customers. In order to build upon our success, we will invest directly into country markets," said Eltibi.
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Notes and Media Contacts »
Dollar Thrifty Automotive Group, Inc. is a Fortune 1000 Company headquartered in Tulsa, Oklahoma. Driven by the mission "Value Every Time", the Company's brands, Dollar Rent A Car and Thrifty Car Rental, serve value- conscious travelers in approximately 70 countries. Dollar and Thrifty have approximately 800 corporate and franchised locations in the United States and Canada, and they have operations at most major airports. The Company's more than 7,000 employees are located mainly in North America, but global service capabilities exist through an ever expanding franchise network.
Some of the statements contained in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although Dollar Thrifty Automotive Group, Inc. believes such forward-looking statements are based upon reasonable assumptions, such statements are not guarantees of future performance and certain factors could cause results to differ materially from current expectations. These factors include: price and product competition; economic and competitive conditions in markets and countries where the companies' customers reside and where the companies and their franchisees operate; airline travel patterns; changes in capital availability or cost; costs and other terms related to the acquisition and disposition of automobiles; costs of conducting business and changes in structure or operations; and certain regulatory and environmental matters. Should one or more of these risks or uncertainties, among others, materialize, actual results could vary from those estimated, anticipated or projected. Dollar Thrifty Automotive Group, Inc. undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time.
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