Avis Budget Group(US:CAR) Prnewswireยท2025-05-31 12:50Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Avis Budget Group, Inc. due to allegations of false and misleading statements related to significant financial losses and impairment charges resulting from a strategic change in fleet rotation [2][4]. Group 1: Legal Investigation and Class Action - The law firm is encouraging investors who suffered losses in Avis between February 16, 2024, and February 10, 2025, to discuss their legal rights [1]. - A federal securities class action has been filed against Avis, with a deadline of June 24, 2025, for investors to seek the role of lead plaintiff [2][6]. - The lead plaintiff is defined as the investor with the largest financial interest who directs the litigation on behalf of the class [6]. Group 2: Financial Results and Impact - Avis Budget reported a loss of $1.96 billion, or $55.66 per share, for the fourth quarter of 2024, a significant decline from a profit of $259 million, or $7.10 per share, in the same period the previous year [5]. - The loss was attributed to a strategic decision to accelerate fleet rotations, leading to a one-time non-cash impairment of $2.3 billion and additional non-cash charges of $180 million [5]. - Following the announcement of these results, Avis Budget's stock price fell by $6.12 per share, or 6.82%, closing at $83.59 per share on February 11, 2025 [5]. Group 3: Management Changes - The CEO of Avis Budget, Joseph A. Ferraro, will transition to a Board Advisor role effective June 30, 2025, with Brian Choi taking over as CEO on July 1, 2025 [5].