Chrysler dealers fight on
By: Kristin Mazur
Updated: June 4, 2009
For over 400 Chrysler dealers, the fight for their franchises continues on.
"We participated with a group of other dealers who have more or less been rejected by Chrysler as a sort of class in a bankruptcy proceeding" says J.R. Tomkinson.
Initially their objection was overruled, yet is in appeal as we speak.
For now, Tomkinson Dodge continues to do what it does best, sell cars…lots of them.
Tomkinson says they’ve reduced their stock “by 80 percent.”
Tomkinson also notes that in the past few weeks theyve had a great flow of traffic and an amazing response from customers.
And their sales last month were the highest theyve ever been.
For now, Tomkinson awaits the results of the hearing, with two possible outcomes waiting in the wings.
Tomkinson says that if the judge accepts the dealers’ objection, they will hopefully continue to operate as a Dodge franchise and bring in more stock of Dodge vehicles.
But should the objection be overruled Tomkinson says “We will treat business as usual whether we have new Dodge cars out here or not."
For now, the fight continues and questions for Chrysler still linger.
"Their take is that there are too many unprofitable dealers, but that doesnt apply to us” says Tomkinson.
J.R. Tomkinson also notes that, although he has had little communication with Chrysler, a plan is in place to deal with their remaining Dodge stock, should they need it. Any remaining vehicles will be dispersed to various dealerships, yet with a substantial loss to Tomkinson Dodge.
