As Dealers Dwindle, Car Prices Set to Balloon

(NEWSER) - A spending bill passed by the House last night includes a provision to reopen hundreds of Chrysler dealerships and prevent the closing of over 2,000 more planned by GM, the Detroit News reports. The measure, opposed by the White House, will force the automakers to give dealers targeted for closing under bankruptcy agreements "a decent review process, a decent appeals process," said the head of the House Appropriations Committee. More»

(NEWSER) - African-American and Latino car dealers will likely take a big hit in the dealership closures announced by Chrysler and planned at GM, the Wall Street Journal reports. The minority dealerships, located mainly in urban areas, have faced stiff competition as business has moved increasingly to suburbia. “We're more vulnerable,” said the president of a minority dealer group. “We were the last ones to come to the table.” More»

Half of those that appealed will be allowed to stay open

(NEWSER) - About 600 GM dealerships are getting a second life. Of the 1,160 dealers who appealed orders to shut down as part of bankruptcy proceedings, approximately half will be allowed to stay open. But one dealer tells the Detroit News that it's no cause for celebration until the conditions are made clear, possibly as soon as today. More»

Comments a 'new low in dishonesty,' Obama campaign says

(NEWSER) - Mitt Romney says he deserves a lot of the credit for saving America's auto industry, despite his vocal opposition to taxpayer help for General Motors and Chrysler in 2008. The Republican, speaking at an auto parts maker in Cleveland yesterday, said Obama followed his lead by allowing both firms to go into a managed bankruptcy—although the course of action Romney suggested was very different from the one Obama took, because both firms were able to file an orderly bankruptcy on the strength of government loans Romney opposed, notes AP . More»

Chrysler, VW saw huge gains

(NEWSER) - Americans may be worried about the economy, but they still need to get where they’re going. Auto sales beat expectations last month, rising 14% to 994,721, their fastest sales pace since August 2009, reports the AP . Chrysler led the pack: The automaker’s sales jumped 45%, Reuters reports. Close behind was Volkswagen, whose sales soared 41%; Hyundai, Nissan, and Ford also saw double-digit gains. More»