GM Forces closure of Newark, OH Pontiac-GMC-Buick-Cadillac 50 yr dealer

[jake75]

Interesting story.May 2, 2009Chesrown Motors, a Newark car dealership since 1959, closed its doors for the last time yesterday.Dave Chesrown, 75, said he was forced to close when GMAC, General Motors' financing arm, demanded that he pay to cover the almost $9 million of inventory and real estate he owed. He said GM had forced him to take on more debt when it all but demanded that he take over a local Pontiac dealership that was going out of business."They told us it was going to be the crown jewel of our franchise," he said. "They said Pontiacs will be your best-selling cars."That was seven months ago. GM announced this week that it would phase out the Pontiac line by the end of 2010.Chesrown said his troubles began when GM shed Oldsmobile several years ago. He said the car line had been a good seller and a reliable make for him.He said that after trying unsuccessfully to meet with GMAC for more than a week, he was informed Thursday that he was losing his financing. Semitrailers arrived yesterday morning to begin hauling away vehicles from the Cadillac, Buick-Pontiac, GMC and Kia dealerships he owned on Mount Vernon Road.

[Ol' Timer]

Here's a "better" story. So Sad! http://www.nytimes.com/2009/05...biles"The dealership sits exactly where the Arnold family began a car business back in 1916"Hail to the Chief

[jake75]

Or a worse story!

[ColonelPanic]

I hate seeing GM toss out these small, long lived dealerships just like it was yesterday's garbage. In a few years - if GM is still around - I see their dealer body being nothing but megadealers owned by the same few people across the country. It's a real stab at the little guy.

[silvrhawk7]

I couldnt agree more with Mr. Arnold on this Quote:"It’s all about the Buick market in China, which comes at the expense of American jobs. In the end, G.M. betrayed its family."I couldn't agree more...

[michaelgt]

I hope everybody recalls that on February 17, 2009, GM presented a viability plan to the government to get LOANS. The government task force (financial executives with no manufacturing experience) told GM that they did not like the plan. GM had to develop another plan. That plan forced the demise of the Pontiac brand. The automotive task force was directing GM on what was necessary. If you recall, they told GM that they could not support the number of brands. If you also recall, Obama had a noon press conference on April 30. In the conference, Obama said that bankruptcy was the way for Chrysler to rid itself of obligations. What Obama did not realize, that one persons obligations is another persons investments. Somebody always wins, another loses.I ask for loyal GM customers to realize that GM is trying to remain viable. I know we may be hurt by the brands that are closed, but please look at the other vehicles that will be offered in the future.

[breezd]

This is really sad. Such a shame that they would get rid of a great brand to save another brand that is big in another country. (I know its been said a million times) What do we need GMC for? And have Saturn and Hummer been purchased yet, is anyone even interested?? They really do not realize how much they are hurting the people.I always said I would never buy a car with a foreign name. But now that GM just sucks, and Chrysler is worthless, and I won't buy a Ford, thats it. Guess I'm going foreign next...

[Vibe2009]

didn't want to start another thread... but will there be a 2010 vibe this year?

[tnpartsguy]

There will be a limited run of all current Pontiac nameplates with 2 exceptions; no G8 and no Torrent. Also, no GXP G6 or G5 models (Chevy loses it's SS Impala and Cobalt as well). I would say that 2010 production will be about 1/3 or 1/4 of 2008, because they just won't sell as well, being a 'doomed' brand.

[Houston]

Quote, originally posted by Vibe2009 »will there be a 2010 vibe this year?2010 Vibes are already in dealer lots.

[scherry2]

Quote, originally posted by breezd »GM just sucks, and Chrysler is worthlesswhy do you think that way? what has GM done other than try to stay viable while FOREIGN nameplates make a killing in subsidies. A few facts:•With a yen valued at 118 to the dollar, Japanese automakers enjoy an average windfall $4,000 cost advantage per vehicle more than they would if the yen traded at its true value. The overall subsidy Japanese automakers gain for the 2.2 million vehicles they import totaled $8.8 billion in 2006.•The total yen subsidy provided to Japanese automakers in 2006 was $13.4 billion – $8.8 billion for car & truck exports to the U.S. and $ 4.6 billion for imported parts used in American-made Japanese cars.have your foreign nameplate, make mine a Union assembled in the U.S.A. D3 it keeps Americans working and keeps the $$$ in America.

[ned23]

Quote, originally posted by breezd »This is really sad. Such a shame that they would get rid of a great brand to save another brand that is big in another country. (I know its been said a million times) What do we need GMC for? And have Saturn and Hummer been purchased yet, is anyone even interested?? I think most people agree GM has had too many brands. That doesn't mean they can't keep the best vehicle models and consolidate them under a single brand, though. As for buicks, have you ridden in one lately? Man, those things are getting to be pretty nice, all things considered. You get probably 85% of the value of a luxury car at half of the price.

[ned23]

Quote, originally posted by ColonelPanic »I hate seeing GM toss out these small, long lived dealerships just like it was yesterday's garbage. In a few years - if GM is still around - I see their dealer body being nothing but megadealers owned by the same few people across the country. It's a real stab at the little guy.I see the current concept of dealers becoming less and less relevant over time. Between the internet, and places like Costco selling cars, and other options, people will be buying cars a lot differently 50 years from now. Even dealer service is likely to be replaced by "authorized service centers"The one constant in life is change. Anyone who thinks the way things are now will be that way in 100 years is likely to be wrong.

[michaelgt]

Quote, originally posted by ned23 »I think most people agree GM has had too many brands. That doesn't mean they can't keep the best vehicle models and consolidate them under a single brand, though. As for buicks, have you ridden in one lately? Man, those things are getting to be pretty nice, all things considered. You get probably 85% of the value of a luxury car at half of the price. I am currently driving a Buick Lucerne. The sticker price is $35k. It has almost every option (no cooled seats, no lane departure warning system, no blind spot warning system, but 6cd, 9 speaker, ipod input radio,; rain-sensing wipers, chrome 17 in wheels), is extremely quiet, and is getting me 25 mpg. For comparison, I was getting around 23 mpg in a G8 in Feb and Mar. I know that it looks like an old man car, but I know that you can force Accord's and Camry's into this price range. The new Lacrosse looks fantastic. I would love to be driving one of them!

[dtana117]

Should be an interesting weekend.

[ramenboy...]

Quote, originally posted by dtana117 »Should be an interesting weekend. dan! haven't heard from you in a while!!!!any 'inside' info on this stuff?