Today’s the day- oh boy, I’ll bet the workers at the Chrysler dealerships who voted for Hussein are feeling a bit betrayed by the beloved leader. Oops— his bad. Yep, today, at least one third of all Chrysler Dealerships, with their salesmen, repair crews, make ready and body repair people, all are out on the street. Hussein must be so proud. Yes, in one bold stroke, he put another several hundred thousand people onto welfare. Democracy at work, as he does that voodoo he does so well.
As of today, those dealerships may not operate as Chrysler new-car showrooms, nor may they provide warranty service.The two courtroom triumphs were clear wins for the automaker, which filed for bankruptcy April 30 and has been blazing through what can be a drawn-out process.
They are also a victory for the Obama administration.It has lent Chrysler $8.6 billion in bailout funds and has pushed the automaker’s bankruptcy on a fast track, arguing that time is of the essence in ensuring the company stays in business. Under terms of its deal with Fiat, the sale of Chrysler into a new entity must be completed by Monday.
latimes.com
This is a total of 789 dealerships, and the reasons given are murky at best, and completely dishonest at worst. The fact that the dealerships have to actually buy the automobiles makes this a case of the government hindering commerce, something that should be unthinkable in a free market system, but as we have seen, Hussein wants to redistribute the wealth. You could see it in the way the government restructured the bankruptcy of Chrysler, and that of GM, giving the unions first grab at the candy, and shorting the creditors who by contract law rights, should have been first in line.
And now comes the flood- stuff flows downhill, and the dealers are at the bottom, and if you think Hussein cares about the dealers, think again.
The original motion to reject the dealers’ contracts was, in our view, extremely overreaching and appeared to preempt multiple state franchise laws,” said Stephen Lerner, an attorney representing roughly 340 of the targeted dealers.He and other lawyers argued for several hours Tuesday that the automaker’s decision to eliminate a quarter of its dealer body was capricious, unwarranted and arbitrary. Further, they contended, the automaker had not shown that doing so would improve its financial situation.
On May 14, the automaker notified the dealers slated for elimination that it would use the bankruptcy process to terminate their franchises Tuesday. Chrysler argued that its network of roughly 3,200 dealers was far too large, affecting profitability and customer service.In response, dealers sought to nullify the terminations or at least extend the deadline, giving them more time to unload inventories of vehicles and parts. But the bankruptcy judge, Arthur Gonzalez, soured those hopes. His ruling dictated that as of close of business Tuesday, those dealers would no longer be allowed to sell new Chrysler, Jeep and Dodge vehicles, perform factory warranty service or display signage indicating that they are Chrysler retail showrooms.
latimes.com
This is just another in the series of “Let’s see just how badly we can run this Nation.” Between this action, and the “Czars”, people Hussein appointed, who have noone but Hussein to be accountable to, we are on the way down the hill, with Hussein greasing the slide.
What will now happen, is that the jobless numbers will increase, and Hussein will use this CRISIS OF HIS OWN MAKING to ask for more power and more money, so he can do other stuff that doesn’t work either.
The man isn’t a man- he is ignorant, he is spineless (Yes, Virginia, he DID just tell Iran they could have nukes), and he is dedicated to the destruction of the Capitalistic system in this country. If you do nor believe this, just ask any dealer of American cars today- if they are not out of business, they are scared that they will be next.
And they will- no doubt of that- it’s only a matter of time.
On Friday, the automaker sent those dealers contracts guaranteeing reallocation of their remaining stock — amounting to roughly 26,000 vehicles as of last week, according to spokeswoman Carrie McElwee.But the automaker will charge dealers $350 for each car and truck that is reallocated, and in some cases the loss on the vehicles could be larger than that. McElwee said that closed dealers also would have the option of selling any remaining new cars on their own, but that they would not have access to any sales incentives, nor would they be able to advertise as Chrysler dealers.
But because dealers had been scrambling to unload vehicles, many had sold cars for a larger loss, leading to frustration among those selected for closure.
“We had another dealer come by who basically wanted us to lose 10% of invoice price on every car,” said Gary Kihs, general manager of Larry Menke Inc., a Chrysler dealer in Seaside, Calif.
latimes.com
Don’t you just love it when the government orders you to lose money on YOUR cars- talk about arm- twisting- I can tell that Hussein simply must have our best interests in mind when he hurts us so lovingly.
He amputates our businesses with all the subtlety of a Civil War Surgeon using an axe on someone’s leg.
At least give them something to bite down on.
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