General Motors confirmed today that it will alert about 1,100 of its United States dealers that it does not intend to renew its contracts after October 2010. Though the automaker says it does not plan to release a list of dealers to be closed – like Chrysler had to do as part of a court filing – the dealers themselves will be free to make announcements.
The well-publicized dealership cut is in addition to the 470 Saturn, Hummer and Saab retail outlets that will be removed from the automaker’s umbrella when those brands are sold later this year. A buyer is expected for Saab in the next six weeks and Saturn and Hummer are both negotiating with a number of interested parties.
“It is imperative that a healthy, viable GM have a healthy, viable dealer body that can not only survive but prosper during cyclical downturns. It is obvious that almost all parts of GM, including the dealer body, must get smaller and more efficient.†said Mark LaNeve, GM Vice President of Sales Service and Marketing, in a statement released by the automaker.
GM says it plans to reduce its network from 5,969 dealers to 3,600 by the end of 2010. The automaker says that the 1,100 dealers it will cut are “underperforming and very small sales volume” retail outlets.
05/15, 12:03 PM
posted by:
monte
I want the list!
05/15, 12:17 PM
posted by:
DanJP98
They are not immediately terminating dealers like Chrysler. They have mailed out a letter informing a “whine down” process over the next two years. There will be no list of the dealers, each dealer will have the option of revealing if they will be “transitioning”.
05/15, 12:19 PM
posted by:
TomF
There are plenty of GM shops in my area with no inventory on the lot — they’ve had their floorplan financing yanked. They’re as good as dead already.
05/15, 12:33 PM
posted by:
MercMark
The longer they wait the less dealers there will be to even worry about cutting.
05/15, 12:42 PM
posted by:
Borat
I am sure that this list will be publicly available once bankruptcy hearing starts.
05/15, 1:34 PM
posted by:
abu4y8
well the good news is that the the dealership employees will have time to find new jobs !
05/15, 2:10 PM
posted by:
jandrews90
Any news on what Canadian dealers will be closed? I havn’t seen anything on that from either chrysler or gm.
05/15, 2:59 PM
posted by:
American_Cars_Crap
American cars suck ass like gay people suck ass
05/15, 8:20 PM
posted by:
sharpie
^^ That kind of comment adds NOTHING to the discussion. Go hide in your cave.
05/15, 10:05 PM
posted by:
Struggle
Okay…here goes…
A_C_C: You are a Chimp.
05/15, 10:14 PM
posted by:
tripleonefive
No the good news is that the there will be less unreliable crappy GMs on the road …I hope Im guessing the dealerships will be practiclaly giving these crap cars away If they outsell Honda and Toyota this months it iis because of rebates but Idiots like Caddy will spin it like it is a positive thing ha
Injuraiv- How are you buddy ???
05/16, 10:28 AM
posted by:
eal2009
That’s why Toyota said it is increasing the size of it’s rebate. To keep up with everyone else?
It’s because Toyota’s are not any better.
05/16, 10:35 AM
posted by:
carstuff
Should we start a list of “contributors” that do not contribute meaningful comments/discussion and agree not to respond to their comments? You know, do not feed the trolls.
05/17, 2:48 AM
posted by:
A4
1115 word on the street is toyota gave you the pink slip and a pinky in your butt.
05/18, 1:10 PM
posted by:
The Stig
Once GM files Chapter 11 in a few days the list will become public. All you have to do is wait a little.
05/19, 11:09 AM
posted by:
injunraiv
You should know better than call me out, you frigging dumbass…