Changes on auto row
GM pulls out from one dealership
By JENNIFER HUFFMAN
Register Business Writer
November 18th, 2009
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Beginning in late 2010, Napans looking to buy a new Cadillac or Buick will have to travel out of town.
This month GM informed local operator Jenson Motor Center that it wouldn’t renew the dealer’s Buick and Cadillac franchises. The change becomes effective Oct. 31, 2010.
“We’re all disappointed,” said owner Scott Jenson. But the loss isn’t as bad as it might seem. “GM has not been a big part of our business for many years,” said Jenson. Buick and Cadillac make up only 5 percent of his sales, he said. His other two franchises, Volkswagen and Subaru, move more vehicles by far.
“The big deal is the emotional connection,” he said. Napa has been home to a Buick dealership since 1903 and a Cadillac dealership since the 1920s. Jenson Motor Center began selling Buick and Cadillac in 1965, said Jenson.
“People still refer to us as Jenson Cadillac,” he said. “We used to have a Cadillac limousine to shuttle our customers.”
Jenson appealed GM’s decision, but he doesn’t expect a reversal. “We’re going to focus on Subaru and Volkswagen as, quite frankly, we have been for the last couple years.”
Even after the Buick and Cadillac franchises close, he said, “We can keep servicing and doing warranty work on any GM vehicle in town.”
Bill Kastner Jr. of Kastner GMC Honda, received a different letter from GM. He can continue selling GMC automobiles, but must do so in a separate building from his Honda inventory.
Kastner originally predicted either he would lose his GMC franchise or Jenson would lose Buick. “It was one of us that was going to go,” said Kastner. “I feel terrible for Jenson.”
Kastner hopes to find a new building to fulfill GM’s requirements. He believes that GM may ultimately combine GMC and Buick franchises. “They have not offered (Buick) to us but we know that’s their goal,” he said.
Meanwhile, at GM franchisee Jimmy Vasser Chevrolet-Toyota, “It’s very much business as usual,” said General Manager Bob Kleis.
As required by his GM participation agreement, separate buildings already house Vasser’s Chevrolet and Toyota dealerships. If the dealership hadn’t already done so, “we’d be in the same position” as Kastner, he said.
“At some point down the line we’ll be looking at doing a remodel or upgrade of our existing Chevy dealership,” also required by GM, said Kleis.
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justhefacts wrote on Jun 22, 2009 7:33 AM:
Cowboy wrote on Jun 22, 2009 8:29 AM:
But it's okay, because Obama has so much charisma. "
MP wrote on Jun 22, 2009 8:40 AM:
Ruff Limblog wrote on Jun 22, 2009 8:49 AM:
It is 'just the facts' that GM is broke and retrenching dealerships. No bailout would mean even fewer dealerships.
Close attention to comments by dealers losing franchises involved shows their sales don't justify having separate buildings for those cars. These dealers are not closing because they have other car lines selling better than the names being closed out.
There were many horse-drawn carriage manufacturing retrenchments when the automobile came along. You can't find a 'horse-drawn carriage dealership row' anywhere in California today.
My wife and I own hybrids and we are not interested in cars that doesn't get 50MPG or better, because that is the best hybrid technology available now.
Fair warning to automakers and dealers; our family is really in the market for a full-electric car to replace one of our hybrids when the time comes. Fully 100% of our driving needs would be met in our two-car family with one hybrid (or plug-in hybrid) and one full-electric car.
'Better Place' plans to be making battery-exchange cars available for 'early-adopters' and fleet testing in 2010, and largely available in 2011.
Since no 'American Mis-Management' automaker is making a full electric 'battery exchange' car yet, the number of 'American' dealerships available in Napa is irrelevant to us.
Hello, American carmakers! It's time to get with making plug-in hybrids and full-electric cars.
Hello, Napa dealers! When we see a plug-in hybrid on your lot, or, even better, a 'battery exchange' electric car, we will be there to buy.
Otherwise, we will be going where we can find what we're looking for.
~Ruff "
Ruff Limblog wrote on Jun 22, 2009 8:54 AM:
Do you REALLY believe that the White House has a map of dealerships in Napa they want closed?
I suspect the price of gasoline, back at $3.00 a gallon and rising is more to blame than a White House cabal to close car dealerships.
~Ruff "
Cowboy wrote on Jun 22, 2009 10:01 AM:
It's just more Chicago-style politics meant to stomp the opposition into oblivion. It's surely giving much satisfaction to Democrats, just like the bully on the playground giving bloody noses. Some fun for the bully, huh. "
Sassy1 wrote on Jun 22, 2009 10:42 AM:
Is this a free country or did things change while I was sleeping? "
andy wrote on Jun 22, 2009 11:16 AM:
Ferrarigtc wrote on Jun 22, 2009 11:18 AM:
Honda has produced a graph about their new Honda Insight that suggests that making the Insight is only marginally more energy-hungry than making a normal car. And that the slight difference is more than negated by the resultant fuel savings.
Hmmm. I would not accuse Honda of telling porkies. That would be foolish. But I cannot see how making a car with two motors costs the same in terms of resources as making a car with one.
The nickel for the battery has to come from somewhere. Canada, usually. It has to be shipped to Japan, not on a sailing boat, I presume. And then it must be converted, not in a tree house, into a battery, and then that battery must be transported, not on an ox cart, to the Insight production plant in Suzuka. And then the finished car has to be shipped, not by Al Gore, to America, where it can be transported, not by wind, to the home of a man with a beard who thinks he’s doing the world a favor.
Why doesn’t he just buy a Ford or GM which is made from local components, just down the road? No, really — weird-beards buy locally produced meat and vegetables for eco-reasons. So why not apply the same logic to cars?
At this point you will probably dismiss what I’m saying as the rantings of a motor head, and think that I have my head in the sand.
~Continued "
Ferrarigtc wrote on Jun 22, 2009 11:25 AM:
But let me be clear that hybrid cars are designed solely to milk the guilt genes of the smug and the foolish. And that pure electric cars, such as the G-Wiz and the Tesla, don’t work at all because they are just too inconvenient.
Since about 1917 the car industry has not had a technological revolution — unlike, say, the world of communications or film.
But now comes the need to throw away the heart of the beast, the internal combustion engine, and start again. And, critically, the first of the new cars with their new power systems must be better than the last of the old ones. Or no one will buy them.
And here’s the kicker. That’s exactly what Honda has done with its other eco-car, the Clarity. Instead of using a petrol engine to charge up the electric motor’s batteries, as happens on the Insight, the Clarity uses hydrogen: the most abundant gas in the universe.
The only waste product is water. The car feels like a car and best of all, the power it produces is so enormous, it can be used by day to get you to 120mph and by and by night to run all the electrical appliances in your house. This is not science fiction. There is a fleet of Claritys running around in California as we speak. "
vocal-de-local wrote on Jun 22, 2009 12:14 PM:
aaanapa wrote on Jun 22, 2009 12:50 PM:
I don't think Sassy was asking for a hand-out, but simply stating that those of us who DO drive large suv's/trucks get criticised for it. I completely agree that we choose how many children we have, and also that we CHOOSE what car we drive, but we shouldnt be given slack about it! Personally I LOVE my suburban that only get 13 miles to the gallon! I love it as much as you love your hybrid/small"fuel efficient" car! Also after reading the safety reports and crash ratings on small cars, I will drive knowing that my family has a much better chance of walking away from an accident if God forbid we were ever involved in one!
By the way does this discussion remind anyone else of an episode of South Park??? "
justnana wrote on Jun 22, 2009 12:51 PM:
HappyHomemaker wrote on Jun 22, 2009 2:47 PM:
fedupinnapa wrote on Jun 22, 2009 3:16 PM:
As to Sassy and others comments in regards to a hybrid not accommodating the needs of a SUV this is true but the point is it is not supposed to be a direct replacement it is one factor in a changed lifestyle that departs from the bug car with mom dad three kids and two dogs. On another note i drive a small station wagon that easily fits my 4-5 people and my two dogs while getting around 30 mpg. Not the 50 of a hybrid but substantially better than the 15-20 mpg. It's simply a matter of learning to live with a little bit less. "
Sassy1 wrote on Jun 22, 2009 3:25 PM:
No slack here ... South Park yeah thats it !!!! "
Sassy1 wrote on Jun 22, 2009 4:02 PM:
les wrote on Jun 22, 2009 4:04 PM:
Realist2 wrote on Jun 22, 2009 4:36 PM:
As far as the collapse of GM you should look to the collapse of the housing market. Yes, it is all tied together. When people had their 0% rates, 100% financing and ARMs there was plenty of money to buy new cars. Some people took out equity from their home every year. SPEND...SPEND...SPEND...Then burst!!! There goes the bubble. Homes foreclosed, cars repossessed and certainly no money to buy new. Was GM perfectly managed? Not by any means but they were producing what the public wanted. SUVs. You would not have seen the collapse of GM and many others if the government had not turned its head on the corruption in the mortgage market and on Wall Street. Somebody should have been paying attention...I saw it coming just didn't understand the extent of the devastation we would endure. "
Raven wrote on Jun 22, 2009 4:53 PM:
marktallis wrote on Jun 22, 2009 5:58 PM:
The government has sealed their death, what has the government ever ran correctly?
Oh and by the way wait till they run our healthcare!!!!!!! "
Fedupinnapa wrote on Jun 22, 2009 8:35 PM:
mamyt wrote on Jun 22, 2009 9:08 PM: