LONDON, Oct 30 (Reuters) - General Motors Corp said on Thursday it would supply car rental firm Avis Europe Plc with more than 350,000 vehicles over the next five years in the largest European fleet agreement.
The partnership also involved shared fleet cost savings, joint marketing of GM brands in Europe and both sides helping to sell Avis vehicles to used car buyers, the U.S. automaker and Europe's biggest car rental firm said in a statement.
"This is the largest and most far-reaching fleet deal in Europe, with the new agreement on fleet buying and selling and the efficiency review of processing over 350,000 vehicles, providing real cost benefits for both parties," said Dieter Woitscheck, Chief Operating Director, Avis Europe.
Jonathan Browning, vice president of sales, marketing and aftersales at GM Europe, said: "This agreement leverages Avis's strong footprint and fleet management expertise and provides us with a tremendous opportunity to get a broad spectrum of potential customers into vehicles from each of our brands."
Shares in Avis Europe, in which Belgian car retailer D'Ieteren owns about 59 percent, were down 0.5 percent 108 pence by 0937 GMT in a slightly weaker market.
Avis Europe has been hit hard by sluggish economies and competition eroding prices as well as the airline industry recession, particularly in the market for long-haul travellers who rent cars at airports,