Back in June of 2009, Chrysler terminated relationships with 789 dealerships in an effort to cut its dealer network down by 25 percent. A few of those dealerships didn't think too highly of the move, which was orchestrated in part by the federal government. As a result, 64 former Chrysler franchisees have reportedly filed a suit against the United States Treasury and are seeking at least $130 million in damages.
According to Automotive News, some Lincoln dealers aren't willing to put up the cash for expensive showroom updates until their company shows them physical proof of future products. Ford has asked some dealers to spend as much as $1 million on facility upgrades, even while admitting that there won't be any new products for up to two years. With Ford tight-lipped about what exactly their new luxury lineup will look like, many dealers aren't sure whether or not a large investment in their showroom
Any hopes that Suzuki might have had a year ago that the Kizashi would revive its U.S. sales prospects were quickly dashed once the car went on sale in late 2009. The attractively style Kizashi has not made any noticeable dent in the hyper-competitive mid-size segment, however, and Suzuki's sales through July are down by 48 percent compared to its already terrible first half of 2009. After peaking at 101,884 units in 2007, Suzuki has only moved 13,501 vehicles through July of this year.
Jim Press left Chrysler at the end of last year, and other than taking a moment to speak up for Akio Toyoda earlier this year, Press has stayed away from the lights. Turns out he's been on the job for Renault-Nissan since about March, when he was hired as a consultant on the company's sales and marketing operations.
We have no proof that General Motors is getting payback on the three dealers who founded the Committee to Restore Dealer Rights (CRDR), Tammy Darvish, Jack Fitzgerald and Alan Spitzer. But we do know that retribution is a game often played by all sides, and that Darvish, Fitzgerald and Spitzer definitely believe GM has taken the first shot.
Back in May, General Motors announced plans to close down a large portion of its dealership network. Since then, a number of those franchisees have lodged complaints to both the automaker itself and appropriate policymakers, leading to possible legislation on how GM is allowed to handle the closing of dealerships. This being the case, The General is proactively drafting a new set of rules as to how it will deal with these to-be-shuttered dealerships, and it promises that some are likely to be re