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Hernando Today

Local Dealers Undaunted By Woes In Detroit

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By TONY HOLT

Hernando Today

Published: April 1, 2009

BROOKSVILLE - Tom Wiley didn't have a lot to say at first.

The general manager at Register Chevrolet was hearing on CNN what General Motors executives were doing to bolster sales.

The public was getting the news before him.

General Motors usually notifies him of any announcements or changes via e-mail. His inbox was still empty as of 11 a.m. Tuesday.

He insisted he wasn't worried. All he can control is what happens inside his Brooksville dealership.

"My people are all fine," Wiley said when asked whether the mood had changed among his sales staff. "I honestly think the government is helping white-collar workers more than blue collars. They're taking care of Wall Street, but when it comes to Detroit ... They're just making lives miserable."

Ford announced Tuesday morning it would offer 0 percent financing and cover payments for up to 12 months on any new Ford, Lincoln or Mercury if a customer lost his or her job this year. The offer is called the Ford Advantage Plan.

"This program is meant to help the sagging confidence consumers have right now," said Benny Robles, a manager at Bartow Ford, one of the largest car dealerships in Central Florida. "I think this is going to be good. It will bolster confidence."

GM followed with its own plan. It provides payment protection for the first two years of ownership. If a buyer loses his or her job, the company would pay up to nine months of that customer's car payment.

The maximum GM would pay would be $500 per month. Ford's plan would cover a monthly car payment of up to $700.

GM has 12 active brands, including Chevrolet, GMC, Buick, Pontiac, Cadillac, Saab and Saturn. Wiley thinks that is too many.

"GM competes with (itself)," he said.

He hopes most of them will get cut or sold.

"Eventually, we might just get down to selling Chevrolets and Cadillacs," Wiley said. "We might shut some plants down, but we could (expand) in other places ... Chevrolet always was the bowtie brand to begin with. People like buying Cadillacs because of the prestige."

Local dealerships are making profits in spite of the recession and the gloomy outlook in Detroit. Managers say their pre-owned sales and service numbers are carrying them.

"We're on the rise, actually," said Steve Farrell, a sales manager at Crystal Chrysler Dodge Jeep of Brooksville. "None of this should affect us at all. We've had cutbacks before."

Chrysler, the nation's third-largest automaker, began offering 0 percent financing and rebates in January, but it wasn't enough to boost sales.

The Obama administration has given the auto company 30 days to forge an alliance with Fiat, an Italian automaker that withdrew from the U.S. market 25 years ago.

Reporter Tony Holt can be reached at 352-544-5283 or wholt@hernandotoday.com.

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