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Top Stories
'Cash-For-Clunkers' Plan Attracts 16,000 Auto [Franchises]
Let the Clunkers Roll! After Rules Come Deals
'Clunker' Rebates Stir Car Buyers
Task Force Head Says Gov't Wants to Sell Car Stock
Fuel Rules to Spare BMW, Daimler
Toyota, Nissan Cut Output as U.S. Auto Demand Drops
Online Registration for 2010 Convention in Orlando Now Open
Top Stories
'Cash-For-Clunkers' Plan Attracts 16,000 Auto [Franchises]

Transportation Secretary Ray LaHood speaks at a news conference Monday to outline the "cash-for-clunkers" program.

Almost 16,000 U.S. auto [franchises] have applied to participate in the “cash-for-clunkers” vehicle trade-in program, or about 80 percent of the nation’s new-vehicle retailers, Transportation Secretary Ray LaHood said. “We’re very excited about the tremendous interest in this program,” LaHood said today at a news conference to outline the program. “We think it’s going to turn into a good news story for many communities that have been hit hard by the recession.” “With the tremendous public interest leading up to today, we anticipate that the $1 billion in funding for the cash for clunkers program will go quickly,” John McEleney, chairman of the McLean, Virginia-based National Automobile Dealers Association, said in a statement today. Representatives Sander Levin of Michigan and Betty Sutton of Ohio, both Democrats, said at the press conference that they may try to extend the program if the initial allotment is exhausted swiftly.
Source: Bloomberg News

Editor's Note: Transportation Secretary LaHood recognized NADA President Phil Brady at Monday's news conference, which marked almost a year of work by the association and the U.S. Department of Transportation. NADA began promoting a “cash for clunkers” initiative last November. Since then, the association has worked with Congress, the White House and transportation officials to craft a fleet modernization program that made sense for consumers and the auto industry. In a news release Monday, McEleney applauded the efforts of transportation officials responsible for getting the CARS program up and running in just a few short weeks. "A lot of work went into getting us to where we are today," McEleney said. "Dealers, lawmakers and federal officials deserve a great deal of credit for putting this program together in such a short period."

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Let the Clunkers Roll! After Rules Come Deals

Dealers say clunker trade-ins piled up on their lots as they awaited rules for the government's $1 billion scrappage program. Jerry Golinvaux says his Roseville, Minn., Chrysler-Jeep store sold 27 new vehicles over three days last week, when he normally would have sold about nine. "People are realizing it's a first-come, first-served deal," he said. "They can't wait around for another month because that vehicle might not be available. This deal is good as long as that $1 billion holds out."
Source: Automotive News

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'Clunker' Rebates Stir Car Buyers

Dealers Say Turnout Is Strong; Some Worry Sales Merely Pulled Ahead
The first weekend of "cash for clunkers" rebates boosted new-vehicle sales, despite minor snags and worries the program might not have a long-lasting effect. It is unclear, however, whether the $1 billion program -- officially the Cash Allowance Rebate System -- is going to boost sales over time or merely pull forward purchases by customers planning to buy new vehicles in the weeks or months ahead. Mike Adamson, who owns three franchises around Rochester, Minn., has seen the clunkers program triple overall sales at his Lincoln Mercury, Hyundai and Chrysler Dodge dealerships. "It's way more than I could have anticipated," said Mr. Adamson.
Source: The Wall Street Journal

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Task Force Head Says Gov't Wants to Sell Car Stock

The federal government plans to sell its shares in General Motors Co. and Chrysler Group LLC as soon as it can, the head of the autos task force told a congressional panel Monday. "We are very eager to dispose of them as soon as possible," said Ron Bloom, chairman of the Treasury Department task force overseeing GM and Chrysler. Bloom would not articulate any particular financial or operational milestones GM or Chrysler have to reach before the government would cash out its stock. "It's going to be based on the situation," he said, adding that success would be measured in the taxpayers' ability to get their money back.
Source: The Associated Press

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Fuel Rules to Spare BMW, Daimler

German luxury auto makers including BMW AG and Daimler AG's Mercedes-Benz are close to benefitting from a U.S. concession that will allow them and a few other foreign makers to keep selling cars that emit more greenhouse gases than those made by mass-market rivals such as General Motors Co. and Toyota Motor Corp. Under a provision of a plan to curb greenhouse gas emissions, the Obama administration has proposed to set less stringent standards for car makers that sell fewer than 400,000 vehicles a year in the U.S. That target defines the major German brands as well as a few smaller Asian manufacturers such as Suzuki Motor Corp. and Mitsubishi Motors Corp. The easier targets are expected to apply to a limited portion of a car maker's sales volume, and last for about four years -- unless the government grants an extension.
Source: The Wall Street Journal

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Toyota, Nissan Cut Output as U.S. Auto Demand Drops

Toyota Motor Corp., Japan’s largest automaker, and Nissan Motor Co., the nation’s third-largest, led a drop in production among the country’s carmakers in June as rising unemployment sapped North American sales. Toyota’s production fell for an eleventh straight month, falling 24 percent to 565,541 units from a year earlier, the company said in a statement today. Nissan made 240,827 autos, 22 percent less. Honda Motor Co., Japan’s second-largest automaker, built 257,852 vehicles, down 20 percent, it said.
Source: Bloomberg News

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Online Registration for 2010 Convention in Orlando Now Open


Registration and housing for NADA’s Convention & Exposition in Orlando, Fla., Feb. 13-15, 2010, is now open. In light of the tough economic environment, NADA is offering an “early bird” special to attendees who register online before Sept. 18. A selection of moderately priced hotels is also available on a first-come-first-served basis. All convention activities, including two full workshop tracks on Friday, Feb. 12, will take place at the Orange County Convention Center in Orlando, unless otherwise noted. For more information about the 2010 convention or to register, visit www.nada.org/convention.
Source: NADA Newswire

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Quotable
 
"With the tremendous public interest leading up to today, we anticipate that the $1 billion in funding for the cash for clunkers program will go quickly."
    -- NADA Chairman John McEleney, Bloomberg News, July 27


"We think it’s going to turn into a good news story for many communities that have been hit hard by the recession."

    -- Transportation Secretary Ray LaHood, on the "cash-for-clunkers" program, Bloomberg News, July 27

Video Highlights
 

GM Still Government Motors? (Fox Business)


Helping Dealers Left Out of New GM (Fox Business)



Media Coverage: The Tragedy of Dealer Closings (NADA-TV)



NADA's New Buy Now Campaign



No Dent in Demand for Some U.S. Cars (NBC)



Fighting the Dealers' Fight (CNBC)



Cutting Dealers a Mistake (Fox Business)



Vice Chairman Tonkin on Chrysler Closures (Bloomberg)



NADA on Floorplan Credit Crisis (NADA-TV)


John McEleney's Testimony to Senate Committee (CNBC)
 Senate Testimony on Floorplan Loans (NADA-TV)
 Banks Turning on American Car Dealers? (WTNH-TV)
 NADA Tackles Industry Crisis (NADA-TV)
 McEleney Speaks at NADA Convention (NADA-TV)
 Demise of Dealerships Leaves Big Dent (NBC)
NADA on the Front Lines  (NADA-TV)


Click here for more video reports.

 


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