Car Dealers Watch Bailout | KXNet.com North Dakota News |
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Car Dealers Watch BailoutNov 21 2008 7:32PM
KXMCTV Minot Congressional leaders say they'll consider helping Ford, GM and Chrysler out if they will, in turn, come up with some plans to help themselves stay solvent. Debbie Kuehn talked with a couple of local dealers about the situation.... If pounding the pavement at the local car lot is the way you earn your paycheck... you don't have to be told how devastating the national automotive crisis could be. But some car dealers say the rest of us may not recognize the influence the auto industry has on our lives... Kathy Gaddy/ Ryan Chevrolet- "The auto industry uses more steel, more aluminum, more copper, more plastics, more rubber, more computer chips than any other industry." Steve Zahn/ Fisher Motors- "If you just take the dealerships alone, you know we've got 69 employees, we're going to be here next week, next month and next year. But certainly, there's other shops that have mechanics and part suppliers and part stores. I mean the business is huge. and it ultimately affects millions and millions of Americans." Representatives from General Motors, Ford and Chrysler have been in Washington this week asking Congress for help to avoid financial ruin. Lawmakers say they'll consider a $25 billion aid package as long as automakers come up with a viable plan to rebuild their industry. Kathy- "And I think the thing that's so important for us to realize is that they're not asking for a 'bailout' and that's how we continue to refer to it is a 'bailiout' and I think what's important is they are asking for a loan." Steve- " I think a loan's a pretty fair way to do it for the American tax payer rather than just handing out cash and saying there you go." US automakers blame a drop in sales, a tight credit market and an overall economic meltdown for this crisis. GM and Chrysler have said they could collapse in weeks. which could cost hundreds of millions of people their jobs. Local dealers are thankful the state's economy is strong... Steve-"The really good news is that right here in Minot... you know we were working on some things this morning and the economy's pretty strong yet. I think the overall sales are up and tax collections are up because of it, of course we've got the oil industry's doing well here and the base is doing well." Kathy- "Of course there's going to be some strings atttached, which there should be... but I think they understand the magnitude of what would happen if one of these would go down." Surely the road ahead is a rocky one, but many fear if Congress doesn't step in with something... Kathy- "The impact is just so widespread." The war in Iraq, a new president and Wallstreet could be taking a backseat to the auto industry. Debbie Kuehn KX News. If the auto dealers can come up with a viable plan, Congress will meet in early December to act on the agreement.
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