For optimal viewing through your web browser or PDA, click here.

SPONSORED BY
Click Here
NADA.org
Friday, April 3, 2009 RSSSEND TO A FRIENDPRINT
Home | AdvocacyAffiliates | Convention | Jobs | Programs | Publications | Training | Services
At a Glance...
Top Stories
Dealers Urged to Press Senators Today to Sign 'Shaheen Auto Credit' Letter to Fix Floorplanning, Deadline Extended
Dealers Discuss Floorplan Crisis with Hill Caucus
Stocks Leap as Fears Ebb
G.M. Willing to Consider Bankruptcy
Delphi, GM and Auto Task Force to Hold Talks in DC
Senate Goes on Record to Lower Estate Tax
Top Stories
Dealers Urged to Press Senators Today to Sign 'Shaheen Auto Credit' Letter to Fix Floorplanning, Deadline Extended

Key senators cosign letter, more needed
Dealers are strongly urged to call their senators today and ask them to sign the “Shaheen Auto Credit” letter to President Obama, which requests that he expand the availability of auto credit for floorplanning. Understanding that the auto industry cannot recover until the retail credit and floorplan problem is fixed, many senior and influential senators have already agreed to sign the letter.

The deadline for senators to sign the “Shaheen Auto Credit” letter has been extended until close of business today, Friday, April 3.

To date, 11 senators have signed the letter. They include: Sens. Jeanne Shaheen (D-N.H.), Jeff Bingaman (D-N.M.), Sam Brownback (R-Kan.), Bob Corker (R-Tenn.), Barbara Mikulski (D-Md.), Chuck Schumer (D-N.Y.), Richard Shelby (R-Ala.), Debbie Stabenow (D-Mich.), Jon Tester (D-Mont.), Jim Webb (D-Va.) and Ron Wyden (D-Ore.)

DEALERS MUST CALL THEIR SENATORS TODAY!
Step 1: Contact your senators through the Capitol Switchboard at (202) 224-3121 or www.senate.gov.

Step 2: Tell your story so senators understand the problems with accessing retail credit and credit to purchase inventory from automakers. Explain the impact on jobs and the community.

Step 3: Explain how dire the situation is and that unless action is taken immediately, many more dealers will have to close their doors.

Step 4: Have your senators contact Sen. Shaheen’s office to sign the “Shaheen Auto Credit” letter, which will be sent to the President. Click here for the letter.

If you have further questions, contact NADA's Legislative Office at (800) 563-1556 or legislative@nada.org.
Source: NADA Newswire

[back to top]

Dealers Discuss Floorplan Crisis with Hill Caucus

WASHINGTON -- NADA and the National Association of Minority Automobile Dealers participated in a roundtable discussion Thursday with the Congressional Hispanic Caucus to draw attention to the dealer retail and floorplan problems. Dealers Sil Gonzales (Calif.), Randy Henderson (N.Y.) and Gus Palmer (Pa.) told the caucus how the credit crisis has devastated dealers across the country. "Because of a frozen credit market, many otherwise healthy dealerships are being forced to close and other dealers are using their life savings to stay afloat," the dealers stated. The dealers also shared the difficulties faced by long time employees that have been have laid off and the impact that a closed dealership has on a local community. It was noted that dealers have been ordering vehicles to keep the auto plants running yet this oversupply of vehicles has contributed to dealer credit problems. The caucus expressed strong interest in pressing the Obama administration to expand dealer access to credit for retail and wholesale vehicle purchases. NADA and NAMAD are urgently working with Congress on recommendations related to SBA loans and TALF to revitalize the securitization of retail auto and floorplan loans.
Source: NADA Newswire

[back to top]

Stocks Leap as Fears Ebb

Investors Show Stomach for Risk on European Rate Cut, U.S. Accounting Rule Changes
A wave of stock buying swept across the globe, as upbeat economic news from China, an interest-rate cut in Europe and a change in U.S. accounting rules spurred new investor appetite for risk. In London, the heads of the world's leading economies concluded their summit with agreement on extra support for the International Monetary Fund, tighter global regulation of hedge funds, and widespread expressions of optimism that the worst of the economic downturn might be over.
Source: The Wall Street Journal

[back to top]

G.M. Willing to Consider Bankruptcy

DETROIT — General Motors stated in a regulatory filing to the Treasury Department on Thursday that it is prepared to file for bankruptcy protection if it cannot restructure out of court. It echoes what G.M.’s new chief executive, Fritz Henderson, said this week, but marks the first time G.M. has officially disclosed to President Obama’s auto task force that it was willing to consider such a step. Mr. Henderson said Tuesday that a Chapter 11 filing was “certainly more probable” unless G.M. can reach agreements with bondholders and the United Automobile Workers union.
Source: The New York Times

[back to top]

Delphi, GM and Auto Task Force to Hold Talks in DC

NEW YORK — Officials from Delphi Corp. and its former parent General Motors Corp. will meet with representatives from President Barack Obama's auto task force on Monday for talks that could get the struggling auto supplier out of bankruptcy protection. [Delphi attorney Jack Butler] said he expects the talks in Washington to focus on resolving Detroit-based GM's role in Delphi's restructuring ... Delphi has been operating under Chapter 11 bankruptcy protection since October 2005.
Source: The Associated Press

[back to top]

Senate Goes on Record to Lower Estate Tax

WASHINGTON — The Senate has voted to cut taxes on multimillion-dollar estates as it gets ready to pass a budget backed by President Barack Obama. By a 51-48 vote, the Senate embraced a nonbinding but symbolically important amendment by Arkansas Democrat Blanche Lincoln and Arizona Republican Jon Kyl to exempt estates up to $10 million from the estate tax. Estates larger than that would be taxed at a 35 percent rate.
Source: The Associated Press

[Editor's Note: While the Lincoln-Kyl amendment does not have the force of law, NADA is encouraged that this bipartisan coalition of senators voted to protect family businesses from an unreasonably high estate tax. Dealers should thank key Democrats: Sens. Lincoln (Ark.), Mark Pryor (Ark.), Ben Nelson (Neb.), Mary Landrieu (La.), Max Baucus (Mont.), Jon Tester (Mont.), Patty Murray (Wash.), Maria Cantwell (Wash.), Bill Nelson (Fla.) and Evan Bayh (Ind.), who joined Republicans in voting for the Lincoln-Kyl estate tax compromise. NADA’s Legislative Office will work to ensure this "reasonable compromise" is included in the final budget. Contact your members of Congress and urge them to support this compromise. To see how your senators voted, click here.]

[back to top]

 
Quotable
 
“The change in language reflects the changed situation. We still prefer to do this out of court, but if we can’t, we will do it in court.”

    -- Tom Wilkinson, G.M. spokesman, on the automaker's disclosure to President Obama’s auto task force that it is willing to consider court-protected bankruptcy, The New York Times, April 3

Video Highlights
 
  
New Mexico Dealer Testifies Before Senate Committee on Floorplan Loans (NADA-TV)


 
Banks Turning on American Car Dealers? (WTNH-TV)


 
McEleney: Meeting With Obama Auto Task Force 'Productive'  (NADA-TV)


 
NADA Testifies at EPA Hearing on Fuel Economy (NADA-TV) 


 NADA Tackles Industry Crisis
 NADA Chairman Speaks at the Convention in New Orleans
NBC: "Demise of Local Dealerships Leaves Big Dent"
2009 Convention in New Orleans
NADA on the Front Lines


Click here for more video reports.

 
Click Here
Search Back Issues | Unsubscribe | Subscribe | Manage your subscription | email us
NADA For more information on NADA, visit www.nada.org or contact NADA, 8400 Westpark Drive, McLean, VA 22102. This email may contain an advertisement of NADA products and services. Any opinions or statements contained herein do not necessarily reflect the views of NADA. Factual errors are the responsibility of the listed publication. If you are a franchised new-car or -truck dealer and would like to become a member of NADA, please visit the Join NADA section of www.nada.org. Questions or comments concerning NADA Headlines content may be directed to media@nada.org.