More than one third of General Motors’ Canadian dealership network will find out the fate of their future relationship with the Detroit automaker later today. Like the 1,100 United States dealers told of the cut off last week, 250 of Canada’s 705 GM outlets will be told that their franchise agreements will not be renewed in fall of 2010.
Unlike Chrysler , GM won’t drop the dealerships immediately, but rather will wait until fall of 2010 to axe the dealerships. GM expects that most of the stores will begin winding down operations well before that point, however.
Early reports indicate that 264 of GM’s Canadian dealers will be eliminated, according to a Toronto TV station. The cuts go farther than the roughly one-sixth of its U.S. dealers the automaker alerted on Friday.
