Another round of dealer cuts imminent at GM


Just a couple of weeks ago General Motors revealed that it would be cutting ties with over 1,100 dealerships, and the bad news keeps coming for dealers as the struggling automaker is expected to cut a further 450 dealerships in the coming months.

Many dealerships are under franchise agreements with GM that are expected to finish late next year - at which point around 450 dealers will most likely not have their contracts renewed. The dealerships facing the axe from GM have been chosen because they "have very specific issues", the automaker’s sales chief Mark LaNeve revealed to Automotive News. These issues include the fact that certain dealerships may have been exclusively stocking the now-defunct Pontiac brand, or be underperforming in regards to sales targets.
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