Letter from a Texas Dodge dealer.

Very interesting letter.

County’s only new car dealership survives two corporate cuts

Stressful, emotional toll on agency owners across Arkansas

Howard County’s only new car dealership survived two curtain calls, last week when General Motors and Chrysler notified dealerships across the nation that their affiliations were being cancelled.

Gary Dan Futrell, dealer/operator of York Gary Autoplex, said that recent weeks had been stressful and emotional as he watched friends across the state lose their dealerships --- some longtime held family businesses.

First, Chrysler notified eight Arkansas dealerships that they were cancelling the franchise in early June. That was public information because Chrysler was in bankruptcy.

On Friday of last week, letters from General Motors carried the bad news to almost 20 dealerships. Among towns losing dealerships was Mena where former Nashville resident Bob Carver lost both his GM and his Chrysler dealerships.


Futrell said that both automakers used similar formulas to determine which dealerships stayed and which were left in the cold. The criteria, although slightly different for each line, includes records of customer satisfaction; sales; working capital and profitability. Futrell said that the manufacturers developed a “stress test” to determine which dealerships could best weather possible coming economic storms.“We have to be able to face uncertain economic times.”

The local dealership sells Chevrolet, Buick, Pontiac, GMC, Dodge and Chrysler vehicles. The Chevrolet line is the oldest here, dating back to the early 1920s when Passwater Chevrolet was established.

Gary Dan Futrell began selling cars in 1985, and joined his grandfather, York Gary, at the agency. Chrysler and Dodge were added by the agency in 1988, and Futrell became the agency head at York Gary’s death in 1993. The agency added GMC, Buick and Pontiac lines in 1995, and added Jeep in 1998.

Futrell is active in a state agency, the Arkansas Motor Vehicle Commission, and the automobile dealers’ state association. It is through those institutions that he has seen some fellow dealers get the bad news about their own businesses.

The agency employs 25 persons here.

GM dealerships which got bad news will be able to appeal, and will be able to conduct business under the GM banner until 2010. The Chrysler impact is immediate with little chance to appeal, Futrell said.

Previous post from "The Nashville Leader" Nashville Arkansas

The same thing is happening here in Florida.

http://www.tothepointnews.com/content/view/36...

"My name is George C. Joseph. I am the sole owner of Sunshine Dodge-Isuzu, a family owned and operated business in Melbourne, Florida. My family bought and paid for this automobile franchise 35 years ago in 1974. I am the second generation to manage this business.

We currently employ 50+ people and before the economic slowdown we employed over 70 local people. We are active in the community and the local chamber of commerce. We deal with several dozen local vendors on a day to day basis and many more during a month. All depend on our business for part of their livelihood.

We are financially strong with great respect in the market place and community. We have strong local presence and stability. I work every day the store is open, nine to ten hours a day. I know most of our customers and all our employees. Sunshine Dodge is my life.

On Thursday, May 14, 2009 I was notified that my Dodge franchise, that we purchased, will be taken away from my family on June 9, 2009 without compensation and given to another dealer at no cost to them.

My new vehicle inventory consists of 125 vehicles with a financed balance of 3 million dollars. This inventory becomes impossible to sell with no factory incentives beyond June 9, 2009. Without the Dodge franchise we can no longer sell a new Dodge as "new," nor will we be able to do any warranty service work.

Additionally, my Dodge parts inventory,(approximately $300,000) is virtually worthless without the ability to perform warranty service. There is no offer from Chrysler to buy back the vehicles or parts inventory.

Our facility was recently totally renovated at Chrysler's insistence, incurring a multi-million dollar debt in the form of a mortgage at Sun Trust Bank.

HOW IN THE UNITED STATES OF AMERICA CAN THIS HAPPEN?

THIS IS A PRIVATE BUSINESS NOT A GOVERNMENT ENTITY.

This is beyond imagination! My business is being stolen from me through NO FAULT OF OUR OWN. We did NOTHING wrong."

we need to kick the bums out of office.the crooks are running a great nation in the ground.

Looks like its all in who you know... "Futrell is active in a state agency, the Arkansas Motor Vehicle Commission, and the automobile dealers’ state association."

Fairornot wrote:

Looks like its all in who you know... "Futrell is active in a state agency, the Arkansas Motor Vehicle Commission, and the automobile dealers’ state association."

Where did you get that quote?

I will not buy a Government Motors. Anything Obama and the Union has touch, it will turns to shit. What union job has not moved to Mexico or China. You can blame the Democraps and the Unions for that.

Our government at work! Get used to it. Unless the people of this great nation stand up and have their voices heard this sort of thing will continue. Remember...he wants to share the wealth...and it's the hard working, honest Americans that are getting shafted.

And if you like what's happening in the government-run automobile industry -

You're just going to LOVE the healthcare industry!

Telstar wrote:

And if you like what's happening in the government-run automobile industry -
You're just going to LOVE the healthcare industry!

I know. It is down right scary!! The people need to speak up. You know, I still cannot figure out how he was elected!!!