| Due to a sharp downturn in the global economy and | | | | brand new automobiles of all types. Some stores |
| record low auto sales, American automakers have | | | | offered brand new vehicles at up to 30-40% off the |
| suffered mind blowing financial losses over the past | | | | manufacturer's suggested retail price. |
| few years. Both General Motors and Chrysler were | | | | If you're in the market to buy a new automobile, you |
| forced to undergo government-backed Chapter 11 | | | | may want to consider purchasing from one of the |
| bankruptcy proceedings in order to stay afloat. A | | | | General Motors dealerships scheduled to close by the |
| number of cost-cutting measures were implemented | | | | end of the year. GM has decided not to release a |
| with the goal of helping the automakers return to | | | | complete list of stores that will close in order to allow |
| profitability, including plant closures and layoffs. As the | | | | each dealer the freedom to go public with the news. |
| final component of their respective corporate | | | | Although there haven't been too many reports of |
| restructuring plans, both companies were forced to | | | | dealerships offering amazing deals just yet, it is |
| trim a number of their franchise dealers. | | | | expected that you'll see prices being lowered as they |
| This move makes sense when you consider the | | | | wind down operations. |
| numbers. The average dealer of the 1,100 General | | | | For consumers concerned about warranties and |
| Motors has slated for closure sold only 38 vehicles in | | | | purchasing from one of the troubled automakers, |
| 2008. Chrysler has reported that more than half of | | | | there are a number of things you should keep in |
| their dealers that will be closed have sold less than | | | | mind. During bankruptcy proceedings, the U.S. |
| 100 units annually. | | | | government decided to back any existing and new |
| When Chrysler announced the closure of 789 of its | | | | warranties. Now that both GM and Chrysler have |
| dealerships, salesmen were told they had until June | | | | emerged from Chapter 11, they are fully capable of |
| 9th to liquidate their entire inventory. Although the | | | | resuming responsibility for these warranties. The |
| automaker announced plans to redistribute any | | | | automakers have assured potential buyers that |
| remaining vehicles, no specific details were provided | | | | every warranty will be honored. |
| to the dealers. This spurred a massive sales effort at | | | | Both companies are working around the clock to |
| many of these dealerships. Consumers nationwide | | | | restore consumer confidence in their products and |
| flocked to the lots in hopes of landing a good deal. | | | | increase future sales. |
| Many folks reported receiving deep discounts on | | | | |