What if someone told you, you can reinvent yourself with a clean slate? What would you do? I am guessing you are like most people and would take the opportunity to become the best at something. So, why are so many people upset about Chrysler taking the opportunity to reinvent themselves? Chrysler has a once in a life time chance to start again by losing "dead weight", trimming debt and creating vehicles people want.
In our auto group we have 3 Chrysler Dodge and Jeep locations and we are all very excited about the changes that Chrysler is performing. All of us feel it will make us more competitive and will bring in a well built mid-size line to the Chrysler family. It is actually what we needed.
So, to all the customer who are concerned about Chrysler Future, don't be. Chrysler is here to stay. It is an American Icon.
Wednesday, May 13, 2009
Friday, May 1, 2009
Chrysler Bankruptcy
Down by four with :59 seconds to go, no time outs, on
your own 2 yard line and your starting quarterback just got
knocked out of the game; if you win you’re in the Super
Bowl, if you loose you’re all done. That’s exactly how
Chrysler executives, employees and dealers must have felt
thirty days ago. But what nobody new is that a young
hot shot quarterback from Italy was being put in the game
and he was going to play a major role in pulling out the
improbable victory.
Thirty days ago President Obama and his automotive
task force gave Chrysler and Fiat executives an almost
impossible set of objectives to accomplish in order to
receive any more government assistance to survive
and restructure the American icon. In the end they
accomplished those objectives. On Thursday President
Obama congratulated Chrysler on reaching a deal with
Fiat, receiving major concessions from the UAW and CAW,
reaching agreements with their major bond holders, and
on deciding to seek bankruptcy protection under the 363
debt reorganization, saying these moves will allow the
automaker to “not only survive, but thrive.” According to
Aaron Zeigler, President of the Harold Zeigler Auto Group,
“This has been a historic week for the auto industry. Thirty
years from now we will look back and remember this as
the week the auto industry changed forever.
What does chapter 11 bankruptcy protections mean? Well
for Continental airlines it let them fundamentally change
their policies and corporate culture to be come an employee driven
customer-centered organization which now enjoys
the highest customer loyalty in the airline industry.
According to Zeigler, “As everyone’s heard Chrysler
announced a 363 bankruptcy today which will reduce their
debt to bond holders and allow them to reduce their dealer
ranks by approximately 1000 dealerships. Most of these
are dealerships that do not sell all 3 brands like we do.
This is also an important piece of the puzzle for Chrysler
to be able to thrive going forward. I’m very excited about
the things that have happened this week and believe that
we are setup very well for a prosperous future.
How does bankruptcy affect warranties and vehicle values?
Chrysler warranties are completely valid and even backed
by the government for added security. All warranty work
at dealerships will be business as usual for dealers and
owners. According to Brad Dodge, General Sales Manager
at Harold Zeigler Chrysler Dodge Jeep in Grandville, “If the
brand or maker of a vehicle just goes away we certainly
see an additional loss of value in many of those vehicles,
however, Chrysler will be healthier around for a long time
so we actually expect an increase in future market value.”
What does a Chrysler Fiat Alliance mean? According
to NADA (National Automotive Dealers Association) is
means:
1. The alliance creates the 6th largest global automaker
which will retain Chrysler’s existing factory footprint to
continue producing cars in U.S factories.
2. Fiat contributes billions of dollars in advanced
technology and intellectual property, plus offers Chrysler
access to a global distribution network. This will allow
Chrysler to build new fuel efficient cars and engines in U.S
factories.
3. Fiat will acquire 20% of Chrysler immediately with
additional percentages being added as the government
loan is repaid and set accomplishments are achieved.
What does the combining of Chrysler Financial and GMAC
mean for auto loans? Both CFC and GMAC applied to
become for bank status last year. GMAC was granted
bank status and Chrysler was not, and all the benefits that
brings. Benefits like lower cost of funds and a much larger
pool of money to be able to lend from. This is a huge win
for Chrysler dealers and their customers, because loans
are going to be much more accessible.
What does this mean for local dealers? According to Scott
Comar, General Manager at Harold Zeigler in Grandville,
“It means we can be sure that Chrysler-Dodge-Jeep will
continue to be the product we sell and service for many
years to come.” Comar added, “A lot of tough decisions
have already been made, but some tough ones are still to
come - which dealers will stay and which will go are still to
come. We are fortunate to all ready be one of the biggest
Genesis dealers in the country, which means having all 3
brands under one roof in the best location, so we know
we are in great shape. But I would imagine small remote
dealers or dealers that don’t have all three franchises may
be nervous.” “The bottom line is successful dealers are
now going to be backed by a successful manufacture and
will be able to continue to provide top quality vehicles at
even prices on par with all the competition.”
What does this mean in the short term for potential
customers? Bob Seitz, New Car Manager at Zeigler,
“Chrysler will be shutting production down while they
go thru this process, we expect about 30 to 60 days, and
when the re-open plants they will be building a lot of 2010
models. Their goal is to aggressively market and put big
rebates on all the vehicles currently in stock so dealers
can clear out their existing stock and then we will be
able to order a lot of inventory under the New Chrysler.”
Seitz continued, “We expect that once people understand
that this is actually a good thing for Chrysler and that
the products we have today are some of the best in the
industry, that pent up demand will bring a lot of people in
to the showroom. We know we are going to have to prove
to everyone that comes in that Chrysler is a good decision
and that our dealership is going to be here for them. So
fortunately we have 32 years of Harold Zeigler tradition
behind us and a lot of information to back up what a solid
company Chrysler will now be.”
Bottom Line: The new Chrysler-Fiat alliance provided
the American Icon with the game winning drive it needed
to march on for generations to come. Chrysler and the
thousands of people they employ, the communities they
support and the thousands of small business that rely on
them are a big part of what makes this country great and
are worth investing in. This is an American company that
now has worldwide reach and is the kind of company that
puts money back into the country that supports it. Now is
the time for anyone in the market to get out and seriously
consider an American made Chrysler Dodge or Jeep sold
at solid local dealer like Harold Zeigler Chrysler Dodge
Jeep in Grandville
your own 2 yard line and your starting quarterback just got
knocked out of the game; if you win you’re in the Super
Bowl, if you loose you’re all done. That’s exactly how
Chrysler executives, employees and dealers must have felt
thirty days ago. But what nobody new is that a young
hot shot quarterback from Italy was being put in the game
and he was going to play a major role in pulling out the
improbable victory.
Thirty days ago President Obama and his automotive
task force gave Chrysler and Fiat executives an almost
impossible set of objectives to accomplish in order to
receive any more government assistance to survive
and restructure the American icon. In the end they
accomplished those objectives. On Thursday President
Obama congratulated Chrysler on reaching a deal with
Fiat, receiving major concessions from the UAW and CAW,
reaching agreements with their major bond holders, and
on deciding to seek bankruptcy protection under the 363
debt reorganization, saying these moves will allow the
automaker to “not only survive, but thrive.” According to
Aaron Zeigler, President of the Harold Zeigler Auto Group,
“This has been a historic week for the auto industry. Thirty
years from now we will look back and remember this as
the week the auto industry changed forever.
What does chapter 11 bankruptcy protections mean? Well
for Continental airlines it let them fundamentally change
their policies and corporate culture to be come an employee driven
customer-centered organization which now enjoys
the highest customer loyalty in the airline industry.
According to Zeigler, “As everyone’s heard Chrysler
announced a 363 bankruptcy today which will reduce their
debt to bond holders and allow them to reduce their dealer
ranks by approximately 1000 dealerships. Most of these
are dealerships that do not sell all 3 brands like we do.
This is also an important piece of the puzzle for Chrysler
to be able to thrive going forward. I’m very excited about
the things that have happened this week and believe that
we are setup very well for a prosperous future.
How does bankruptcy affect warranties and vehicle values?
Chrysler warranties are completely valid and even backed
by the government for added security. All warranty work
at dealerships will be business as usual for dealers and
owners. According to Brad Dodge, General Sales Manager
at Harold Zeigler Chrysler Dodge Jeep in Grandville, “If the
brand or maker of a vehicle just goes away we certainly
see an additional loss of value in many of those vehicles,
however, Chrysler will be healthier around for a long time
so we actually expect an increase in future market value.”
What does a Chrysler Fiat Alliance mean? According
to NADA (National Automotive Dealers Association) is
means:
1. The alliance creates the 6th largest global automaker
which will retain Chrysler’s existing factory footprint to
continue producing cars in U.S factories.
2. Fiat contributes billions of dollars in advanced
technology and intellectual property, plus offers Chrysler
access to a global distribution network. This will allow
Chrysler to build new fuel efficient cars and engines in U.S
factories.
3. Fiat will acquire 20% of Chrysler immediately with
additional percentages being added as the government
loan is repaid and set accomplishments are achieved.
What does the combining of Chrysler Financial and GMAC
mean for auto loans? Both CFC and GMAC applied to
become for bank status last year. GMAC was granted
bank status and Chrysler was not, and all the benefits that
brings. Benefits like lower cost of funds and a much larger
pool of money to be able to lend from. This is a huge win
for Chrysler dealers and their customers, because loans
are going to be much more accessible.
What does this mean for local dealers? According to Scott
Comar, General Manager at Harold Zeigler in Grandville,
“It means we can be sure that Chrysler-Dodge-Jeep will
continue to be the product we sell and service for many
years to come.” Comar added, “A lot of tough decisions
have already been made, but some tough ones are still to
come - which dealers will stay and which will go are still to
come. We are fortunate to all ready be one of the biggest
Genesis dealers in the country, which means having all 3
brands under one roof in the best location, so we know
we are in great shape. But I would imagine small remote
dealers or dealers that don’t have all three franchises may
be nervous.” “The bottom line is successful dealers are
now going to be backed by a successful manufacture and
will be able to continue to provide top quality vehicles at
even prices on par with all the competition.”
What does this mean in the short term for potential
customers? Bob Seitz, New Car Manager at Zeigler,
“Chrysler will be shutting production down while they
go thru this process, we expect about 30 to 60 days, and
when the re-open plants they will be building a lot of 2010
models. Their goal is to aggressively market and put big
rebates on all the vehicles currently in stock so dealers
can clear out their existing stock and then we will be
able to order a lot of inventory under the New Chrysler.”
Seitz continued, “We expect that once people understand
that this is actually a good thing for Chrysler and that
the products we have today are some of the best in the
industry, that pent up demand will bring a lot of people in
to the showroom. We know we are going to have to prove
to everyone that comes in that Chrysler is a good decision
and that our dealership is going to be here for them. So
fortunately we have 32 years of Harold Zeigler tradition
behind us and a lot of information to back up what a solid
company Chrysler will now be.”
Bottom Line: The new Chrysler-Fiat alliance provided
the American Icon with the game winning drive it needed
to march on for generations to come. Chrysler and the
thousands of people they employ, the communities they
support and the thousands of small business that rely on
them are a big part of what makes this country great and
are worth investing in. This is an American company that
now has worldwide reach and is the kind of company that
puts money back into the country that supports it. Now is
the time for anyone in the market to get out and seriously
consider an American made Chrysler Dodge or Jeep sold
at solid local dealer like Harold Zeigler Chrysler Dodge
Jeep in Grandville
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