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OEM News

The announcement by Chrysler that it is rejecting 789 of its Chrysler, Dodge and Jeep dealers marks a very sad day in retail automotive history.

TREASURY DEPARTMENT STATEMENT ON CHRYSLER DEALER CONSOLIDATION

Chrysler announced the specifics of its planned dealer consolidation [on May 14]. This announcement, which has been part of Chrysler's plan for some time, is one of several steps the Company is taking to restructure to achieve financial viability.

Chrysler announced May 14 that 789 dealerships would be officially off the books as of June 9, 2009, but over 100 of them have already recruited counsel to oppose their franchise's termination. One attorney was quoted as saying a grass roots opposition campaign would work, and was being pursued by the terminated dealers.

GM has about 12 potential buyers of the endangered Saturn brand, which could include an asking price and a list of assets that might be included in the sale.

Wednesday, 13 May 2009 09:59

Dealers Fight to Slow Store Closings

More than 100 dealers met with House and Senate members to encourage them to ask President Obama's auto task force to slow down plans to reduce General Motors' and Chrysler's dealer networks.

Wednesday, 13 May 2009 09:56

Edmunds.com Tests Top Full-Size Pickups

In its recent head-to-head evaluation of four full-size pickup trucks, Edmunds.com's Inside Line gave top honors to the 2009 Dodge Ram 1500, which beat out the Ford F-150, Chevrolet Silverado and Toyota Tundra.

Lear Corporation, a leading global supplier of automotive seating systems, electrical distribution systems and electronic products, announced May 13 that it has reached an agreement with its lenders to extend the waiver under its primary credit facility.

Using robots to ram shopping cars and bicycle wheels into car doors, and blasting water cannons to force vehicle into skids, Ford  engineers are using extreme tests to fine tune new, industry-leading safety technologies for its vehicles. Used to test technologies like the Collision Warning with Brake Support crash-avoidance system, these tests are part of Ford's efforts to accelerate new collision protection and avoidance technologies. Ford's safety leadership is built on having more Insurance Institute-rated "Top Safety Pick" vehicles than any other automaker and the most U.S. government 5-star test ratings of any brand.

Wednesday, 13 May 2009 08:53

GM preparing to cut 40% of dealer network

GM plans to tell approximately 1,000 dealerships that they are being dropped for not meeting standards for capitalization and profitability. GM will send letters to these "underperforming" dealers for arrival May 15, reported Automotive News.

Sources close to the bankruptcy are reporting that Chrysler will announce cuts to its dealership base on May 14. Between 800-1000 dealers will no longer be "on the list"

Chrysler filed for bankruptcy on April 30. It will tell up to 1,000 of its 3,189 U.S. dealers it is terminating their franchise agreements. Remaing dealers will work with GMAC, not Chrylsel Financial.