A large-scale culling of Cadillac dealers won’t come to pass, but that doesn’t mean franchise owners are giddy about joining the automaker’s controversial Project Pinnacle.
An overwhelming majority of the brand’s 925 U.S. dealers have opted to sign on to the program, ignoring company president Johan de Nysschen’s last-minute buyout offer to 400 low-volume locations. (Read More…)
A new wrinkle has cropped up in the lawsuit filed against Fiat Chrysler Automobiles by the parents of late Star Trek actor Anton Yelchin.
Yelchin died in June after being pinned against a gatepost by his 2015 Jeep Cherokee, which was subject to a recall for its confusing Monostable shift lever. According to documents obtained by TMZ, the dealer that sold him the vehicle blames the victim for the accident. (Read More…)
The lawsuit that sparked federal investigations of Fiat Chrysler Automobiles and changed the way it reports sales is going ahead, minus a racketeering charge.
A federal judge has dismissed allegations that FCA offered payments to dealers in exchange for false sales, but the automaker still faces allegations of antitrust law violation and breach of contract, Bloomberg reports. (Read More…)
Volkswagen AG is making nice with its once-ornery U.S. dealer network to the tune of $1.85 million per dealer.
The automaker announced details of its $1.21 billion dealer settlement late yesterday, Reuters reports, with cash payouts to its 652 dealers spread out over the next 18 months. Meanwhile, once-loyal Volkswagen owners have hopped on the buyout bandwagon in big numbers. (Read More…)
If dealership owners spring for a recent offer by the president of Cadillac, expect to see a vastly reduced brand presence in towns and cities across the U.S.
Johan de Nysschen is offering 400 low-volume Cadillac dealers cash to close up shop and walk away, Automotive News reports. (Read More…)
A dealer association in California is the latest group to go after Cadillac, demanding the automaker make changes to its controversial “Project Pinnacle” sales incentive program.
The California New Car Dealers Association, acting at the request of 52 dealers in that state, has sent a letter to General Motors CEO Mary Barra in a bid to delay (and alter) the project, Automotive News reports. (Read More…)
It didn’t take long for sources to squeal about the size of the settlement forged yesterday between Volkswagen and its ornery U.S. dealer network.
According to people familiar with the deal, 652 VW dealers will share about $1.2 billion to offset losses from unsold vehicles and sunk costs, Bloomberg reports. But cash is only one part of the company’s plan. The other involves its customers’ wallets. (Read More…)
America’s Volkswagen dealers took the brunt of the automaker’s diesel emissions scandal, but a cash payout designed to ease their troubles is on the way.
Lawyers for the dealers, who were once poised to revolt against their employer, announced a tentative settlement deal with the automaker today, Reuters reports. (Read More…)
With memories of the 2008 financial meltdown still fresh, American consumers aren’t borrowing wildly anymore — except when it comes to cars and credit card purchases.
As of the end of June, car buyers racked up the highest auto loan debt in U.S. history — $1.1 trillion, according to a quarterly report from the Federal Reserve Bank of New York. Also on the rise? Credit risk. (Read More…)
In response to media reports, a lawsuit, and federal investigations into potential sales figure tampering, Fiat Chrysler Automobiles is changing the way it records sales.
This means that the automaker’s much-touted 75-month sales streak is dead. FCA admits that under the new method, its year-over-year monthly sales gains ended in September 2013. Ad copy is likely being rewritten as you read this. (Read More…)