DETROIT (AP) — General Motors Corp. says it will force 1,000 to 1,200 underperforming dealerships to close their doors as the automaker tries to thin dealer ranks to make the remaining outlets stronger.Sphere: Related Content Print this post
Dealers were told of the move in a video conference Monday.
In addition, the company expects to lose 500 Hummer and Saturn dealers when the brands close or are sold, and it expects 400 dealers to close voluntarily. Another 500 would be consolidated into other dealers.
A dealer who watched the conference told The Associated Press about the changes, and company spokeswoman Susan Garantakos confirmed the numbers.
The company announced Monday it plans to reduce dealerships by 42 percent from 2008 to 2010, cutting them from 6,246 to 3,605.
Tuesday, April 28, 2009
Posted by Tyler Durden at 1:50 PM
Just out from the Associated Press. Not sure how this gets done in practice absent massive state-specific lawsuits. Also, some good insight on why Obama being the biggest shareholder in General Motors will create numerous and material conflicts of interest for the administration.
Labels: Government Motors