Hertz focuses on power rentals in Spain

Hertz Equipment Rental Company (HERC) has closed three of its six depots in Spain and will focus on power generation and climate control rentals until the general construction market improves.

The company has closed its depots in Malaga, Valencia and Seville and is now operating solely from two Barcelona locations and one depot in Madrid. In March 2008 HERC acquired Quilovat, a Barcelona-based power/temperature control rental company.

"We have shifted our focus in Spain toward power generation and climate control, with significantly less emphasis on construction rentals", a spokesperson for HERC told IRN, "The construction segment in Spain has become very difficult, including credit availability, forcing us to scale back our operations supporting this segment, including closing several branches.

"We are focused on providing our customers with the highest level of service in the power generation segments and will remain ready to expand our Spanish operations, including the construction rental segment as soon as the situation improves. We have built a very flexible operating model, which can be adjusted to significant changes (up and down) in the economy, supported by a large global network of operations in North America, Europe and Asia."

Hertz recently said it was looking at opportunities to expand its equipment rental business in developing markets such as the Middle East. It established its first Chinese equipment rental operation in Shanghai last year.