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At Least One Local GM Dealer Loses Franchise

Some dealers heard by phone, others by FedEx letters. At least one we talked to hadn’t heard anything by mid afternoon. GM left it to the dealers themselves to disclose how they fared.

Spitzer and Ganley, two of the biggest auto chains in Northeast Ohio, were hit hard by Thursday’s Chrysler closings, but got some better news on the GM front.

Chrysler cut seven Spitzer dealerships yesterday, but Kevin Spitzer says GM was kinder today.

SPITZER: My brother got a phone call from the zone manager saying all of our Chevrolet stores are safe.

Tom Ganley lost three of his Chrysler dealerships in yesterday’s news, but a got a call early this morning saying his GM franchises are safe.

GANLEY: Well, it was a good reaction, as you can imagine after yesterday’s news.

Dick Bigelow Chevrolet in Parma wasn’t so lucky.

REPORTER: I hear you got some unfortunate news today. Is that correct?
BIGELOW: That is correct!

Alan Bigelow and his family have been selling Chevrolets since 1911.

BIGELOW: We got a letter that was FedExed at 10:30, opened it up, read it, and basically what they told me is that I could continue doing business until the end of my franchise agreement which is October 2010, and if I want to appeal this, I have to do so within 30 days.

Bigelow plans to appeal the decision. If GM doesn’t change its mind, his family will have to consider what to do next.

BIGELOW: Probably after we get away for this weekend, clear our heads a bit, have our little meltdowns, we’ll problem have a clearer head on Monday about which direction we’re going to go.

Most GM dealers being cut loose will have until the end of 2010 to wind down their operations, though many may choose to bail out before then.

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