Business

Hertz deal is on, but LGA is out

Hertz will gain regulatory approval to buy Dollar Thrifty by Friday, which will reduce the number of major national car-rental agencies from four to three, The Post has learned.

To get the nod from the Federal Trade Commission, Hertz will have to make its best effort to divest newly acquired Dollar Thrifty at 12 airports, including LaGuardia, two sources close to the situation said.

The FTC is concerned that too much concentration at airports will result in supply issues and price increases.

Hertz and Dollar Thrifty will have a 38 percent airport market share, before forced divestitures. Enterprise has a 31 percent share and Avis 29 percent.

Hertz in the last several days has reached a deal with the FTC to share counter space at roughly 15 airports — including the two New York City locations — to win approval, sources said.

Already, Hertz had agreed to sell its 62 Advantage brand locations.

Hertz will sell counter space where buying Dollar Thrifty reduces the number of car rental options from four to three, even after factoring in the Advantage sale.

At LaGuardia, Avis and its lower-priced Budget arm, Enterprise’s National, and Hertz and Dollar are the only options besides Internet service Zoom.

The New York/New Jersey Port Authority, which operates LaGuardia and JFK, will force Hertz to also divest its Dollar location at JFK, even though competition is less of an issue at the larger airport, a source said.

This last step completes major consolidation in the car-rental industry. In 1994, there were 16 sizable independent brands. Now, mergers have whittled them down to three.

Hertz and The Port Authority did not return calls seeking comment. The FTC declined comment.