Chrysler will eliminate one-quarter of its American dealerships. By June 9th, Chrysler will have begun eliminating 789 dealerships, a quarter of the total 3,200. Unsuspected dealerships received word yesterday via UPS mail. With the option to appeal, many of these dealerships were quite involved with there small town communities and losing such a big business will definitely affect the city as a whole.
The car-maker released the list today as part of its restructuring plan.
Chrysler spokeswoman Kathy Graham would not comment other than to say the company will notify dealers before speaking publicly. A hearing is scheduled for June 3 in U.S. Bankruptcy Court in New York to determine whether to approve Chrysler’s motion.
Judges often rely on companies in bankruptcy to help determine what is in their best business interest, such as the closure of dealerships or cancellation of contracts.