Laurel Dodge cut by Chrysler
Dealership to remain open, selling and servicing used cars
Elias Kymingham, general manager of the Laurel Dodge car dealership, wants to know why his North Laurel business is no longer a part of the Chrysler family.
Kymingham was notified on May 14 by Chrysler LLC, the parent company that owns Dodge, that it was one of 789 dealerships nationwide that would be closing. On April 30, Chrysler filed for Chapter 11 bankruptcy with the U.S. Bankruptcy Court in New York as part of their merging with the Italian automotive manufacturer Fiat.
"Here's a company that's fairly healthy, paying taxes and doesn't need bailout, but is getting the plug pulled out," he said. "We own everything here. There's no debt. We're in good shape. We just wanted to stay [with Chrysler]."
Kymingham said the dealership would remain open, with its 20-plus employees selling and servicing used cars. He said the dealership had been selling more used cars than new cars in the past two years and has been selling cars in Laurel since 1964.
In a news release, Steven Landry, executive vice president of North American Sales and Marketing, Global Service and Parts for Chrysler, said the reasons for severing ties with the dealerships "was based on a data-driven matrix that assessed a number of key metrics."
Landry added that the dealers will discontinue selling Dodge, Chrysler or Jeep vehicles on or about June 9.
Kathy Graham, a Chrysler spokesperson, said that of the dealers being axed, 89 percent sold more used cars than new cars, and 44 percent also sell with a competing manufacturer, meaning they sold Chrysler cars with General Motors, Ford, or other car companies.
According to statistics from the National Automobile Dealers Association, dealers sold 13.2 million units in 2008, down 18 percent from 2007. Just 817,287 cars, trucks and SUVs were sold in the month of April, a 4 percent decline from March 2009 and 37 percent decline from April 2008.
On May 15, General Motors also announced it would be closing over 1,100 of its nearly 6,000 Chevrolet, Buick, GMC and Pontiac dealerships nationwide. Fox Chevrolet of Laurel was spared.
"I'm happy for the employees that live in and serve the community," said Kevin Colabucci, general manager of the Fox dealership, who declined further comment.
E-mail Timmy Gelles at tgelles@gazette.net.