Avis Tumbles After Cutting Outlook Because of Currency Rates
- Exchange rates erode rental-car company's profit, sales
- Avis expanded its overseas revenue with 2011 acquisition
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Avis Budget Group Inc., the second-largest publicly traded rental-car company in the U.S., fell the most in more than three years after narrowing its annual profit outlook because of currency exchange rates.
Earnings this year will be $3.10 to $3.25 a share, down from an earlier forecast of $3.15 to $3.45, the company said in a statement Monday after the close in New York. The average of nine analysts in a Bloomberg survey was $3.36. Currency rates will reduce profit by about 20 cents a share, Avis said.