Autoblog http://www.autoblog.com Autoblog http://www.blogsmithmedia.com/www.autoblog.com/media/feedlogo.gif Autoblog http://www.autoblog.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[GM offering dealers up to $1 million to 'wind-down' retailers?]]>http://www.autoblog.com/2009/06/04/report-gm-offering-dealers-up-to-1-million-to-wind-down-reta/http://www.autoblog.com/2009/06/04/report-gm-offering-dealers-up-to-1-million-to-wind-down-reta/http://www.autoblog.com/2009/06/04/report-gm-offering-dealers-up-to-1-million-to-wind-down-reta/#commentsFiled under: , , , ,



General Motor is attempting to cushion the blow of dealers losing their franchises as part of the automaker's bid to pare down its network. According to Automotive News, the bankrupt automaker is offering some dealerships between $100,000 to $1 million to assist in the "wind down" of their businesses. In the case of Pontiac-specific dealers, GM is offering between $10,000 and $200,000.

The money is apparently intended to help dealers (whose franchises won't be renewed following their Oct. 31 expiration dates) sell off their remaining inventory. Interestingly, as part of accepting the funding, dealers must agree to stay open until January (yet they cannot order new product), and they must agree not to sue The General until after their franchise agreement expires.

Source: Automotive News | Image: Scott Olson/Getty]

GM offering dealers up to $1 million to 'wind-down' retailers? originally appeared on Autoblog on Thu, 04 Jun 2009 09:58:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>dealer bodydealer networkDealerBodyDealerNetworkGeneral MotorsGeneralMotorsGMPontiacThu, 04 Jun 2009 09:58:00 EST http://www.autoblog.com/feed/19056450/article-comments.xml http://www.autoblog.com/feed/2009/06/04/report-gm-offering-dealers-up-to-1-million-to-wind-down-reta/19056450/article-detail.xml 19056450 http://www.blogcdn.com/www.autoblog.com/media/2009/06/pontiac-dealer-scott-olson-getty-580_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2009/06/pontiac-dealer-scott-olson-getty-580.jpg <![CDATA[GM slashes Canadian dealership network by 42%]]>http://www.autoblog.com/2009/05/21/gm-slashes-canadian-dealership-network-by-42/http://www.autoblog.com/2009/05/21/gm-slashes-canadian-dealership-network-by-42/http://www.autoblog.com/2009/05/21/gm-slashes-canadian-dealership-network-by-42/#commentsFiled under: , , ,



General Motors Canada has announced that it has begun notifying its dealer body that it will be culling its sales networks by some 42 percent. The massive cut means that GM's 709 dealers will be trimmed by around 245 stores. The cuts will come as the restructuring automaker will elect to not renew its sales and service contracts come October 2010.

It is not immediately clear how many of those stores are from marques that GM is looking to divest or fold (Hummer, Pontiac, Saab, Saturn), but it is estimated by the Canada Automobile Dealers Association that some 10,000 jobs related may be affected by the cuts. Official press release after the jump.

[Sources: CBCNews; General Motors]

Continue reading GM slashes Canadian dealership network by 42%

GM slashes Canadian dealership network by 42% originally appeared on Autoblog on Thu, 21 May 2009 10:57:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>auto dealerAutoDealerCanadacar dealercar salesCarDealerCarSalesdealer bodydealer networkDealerBodyDealerNetworkGeneral MotorsGeneralMotorsGMThu, 21 May 2009 10:57:00 EST http://www.autoblog.com/feed/1552789/article-comments.xml http://www.autoblog.com/feed/2009/05/21/gm-slashes-canadian-dealership-network-by-42/1552789/article-detail.xml 1552789 http://www.blogcdn.com/www.autoblog.com/media/2009/05/pontiac-showroom-hood-up-getty-580_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2009/05/pontiac-showroom-hood-up-getty-580.jpg <![CDATA[REPORT: Opel/Vauxhall dealers want to help, plan to raise 500M euros]]>http://www.autoblog.com/2009/05/16/report-opel-vauxhall-dealers-want-to-help-plan-to-raise-500m-e/http://www.autoblog.com/2009/05/16/report-opel-vauxhall-dealers-want-to-help-plan-to-raise-500m-e/http://www.autoblog.com/2009/05/16/report-opel-vauxhall-dealers-want-to-help-plan-to-raise-500m-e/#commentsFiled under: , ,



While General Motors dealers here in the States are awaiting 1,100 retail store losses, Opel/Vauxhall dealers in Europe have opted to take matters into their own hands. Euroda, the Opel/Vauxhall dealer association, is raising 500 million Euros ($667 million US dollars) in exchange for a 10-20% stake in the brand, plus representation on the brand's board of directors.

The 4,000 dealers will raise the money by contributing €150 for every vehicle sold for the next three years. Dealers realize that the move will be a tough one given the fact that Opel/Vauxhall sales are down 21.8% on the year, but the alternative is far less attractive. Without a brand, the 4,000 dealers would be forced to pick up a new franchise, sell and service only used vehicles, or close altogether.

The money raised by dealers would likely come in addition to the €3.3 million GM Europe is seeking from other European governments. Canadian supplier Magna and Italian automaker Fiat are among the entities vying for a chunk of GM's European operations. A buyer is expected to be announced as soon as next week.

[Source: Automotive News subs req'd]

REPORT: Opel/Vauxhall dealers want to help, plan to raise 500M euros originally appeared on Autoblog on Sat, 16 May 2009 14:02:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>dealer bodyDealerBodyeurogeneral motorsGeneralMotorsgmopel salesOpelSalesvauxhallSat, 16 May 2009 14:02:00 EST http://www.autoblog.com/feed/1547229/article-comments.xml http://www.autoblog.com/feed/2009/05/16/report-opel-vauxhall-dealers-want-to-help-plan-to-raise-500m-e/1547229/article-detail.xml 1547229 http://www.blogcdn.com/www.autoblog.com/media/2009/05/opel-logo-580x_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2009/05/opel-logo-580x.jpg <![CDATA[Sign o' the Times: Even Lexus cancels their annual dealer meeting]]>http://www.autoblog.com/2009/01/19/sign-o-the-times-even-lexus-cancels-their-annual-dealer-meetin/http://www.autoblog.com/2009/01/19/sign-o-the-times-even-lexus-cancels-their-annual-dealer-meetin/http://www.autoblog.com/2009/01/19/sign-o-the-times-even-lexus-cancels-their-annual-dealer-meetin/#commentsFiled under: ,

Lexus has been on a roll for over a decade, but a 21% sales drop has prompted the automaker to cut back on superfluous spending. Lexus canceled its annual dealer meeting to concentrate on selling more luxury automobiles by boosting spending on additional marketing initiatives. The extra marketing capital will be needed, with Lexus launching two all-new vehicles and a refresh in 2009. The extremely successful RX350 has been given a redesign, and the IS250 C convertible and HS250h will arrive later in the year. Lexus GM Mark Templin insists, though, that customers won't feel the pinch of Toyota's pennies. Amenities like top-notch customer service and free vehicles loaners will carry over in 2009. Toyota will also skip their dealer meeting, saving $1 million in the process.

[Source: Automotive News - Sub. Req.]

Sign o' the Times: Even Lexus cancels their annual dealer meeting originally appeared on Autoblog on Mon, 19 Jan 2009 07:59:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>annual meetingAnnualMeetingdealer bodyDealerBodyhs250his coupeIsCoupelexusMon, 19 Jan 2009 07:59:00 EST http://www.autoblog.com/feed/1428583/article-comments.xml http://www.autoblog.com/feed/2009/01/19/sign-o-the-times-even-lexus-cancels-their-annual-dealer-meetin/1428583/article-detail.xml 1428583 http://www.blogcdn.com/www.autoblog.com/media/2009/01/lexus_logo_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2009/01/lexus_logo.jpg <![CDATA[In the name of faith: GM dealers buy $1M in GM stock]]>http://www.autoblog.com/2008/07/17/in-the-name-of-faith-gm-dealers-buy-1m-in-gm-stock/http://www.autoblog.com/2008/07/17/in-the-name-of-faith-gm-dealers-buy-1m-in-gm-stock/http://www.autoblog.com/2008/07/17/in-the-name-of-faith-gm-dealers-buy-1m-in-gm-stock/#commentsFiled under: ,

GM has had what can be conservatively called a difficult week. In a live press conference, CEO Rick Wagoner delivered sobering news about health care cuts, asset sales, retirement and separation packages, and the elimination of GM stock dividend. The doom and gloom hasn't scared off the General's Dealer Council, as 20 retailers purchased a combined $1m in GM stock to show their support. Of course $1m isn't going to help much in the face of $15 billion in cuts, but co-chair Duane Paddock wanted to make the gesture to show GM and its massive dealer body that the council believes in the struggling automaker.

The move could be considered risky in light of the fact GM stock has dropped like a rock over the past couple months, and when the stock dropped to below $9 per share, it was a 50-year low point. So far the council looks both loyal and fiscally prudent. After Wagoner's press conference, GM stock rose by 16.6%. That translates into about $170k in earnings in just under a week. The way vehicle sales have been at GM dealerships, the dealers may want to try their hand in the market more often.

[Source: Automotive News (subs req'd)]

In the name of faith: GM dealers buy $1M in GM stock originally appeared on Autoblog on Thu, 17 Jul 2008 14:52:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>Dealer bodyDealerBodyGeneral MotorsGeneralMotorsGMGM stockGmStockThu, 17 Jul 2008 14:52:00 EST http://www.autoblog.com/feed/1259325/article-comments.xml http://www.autoblog.com/feed/2008/07/17/in-the-name-of-faith-gm-dealers-buy-1m-in-gm-stock/1259325/article-detail.xml 1259325 http://www.blogcdn.com/www.autoblog.com/media/2008/07/gm-logo_250op_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2008/07/gm-logo_250op.jpg -1 2