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GM ends partnership with Barry Chevrolet

by Bill Stevenson<brLynne Lynch
| May 20, 2009 9:00 PM

EPHRATA — Barry Chevrolet received a letter from General Motors (GM), notifying them the company would end their dealership affiliation in Ephrata.

In Moses Lake, Bud Clary announced they will remain a GM dealership and avoided being one of 1,100 dealerships across the country being told the company will not renew their leases to be dealers of Chevrolet, Buick, Pontiac of GMC lines of vehicles.

The auto manufacturer is reducing the number of dealers from roughly 6,200 to about 3,600 by the end of next year, according to the Associated Press. GM announced they expect about 400 dealers to close voluntarily and another 500 would be consolidated into other dealerships.

The reduction is an effort to save the company from filing for bankruptcy. After receiving $15.4 billion in federal aid, the auto manufacturer is required to reduce operating costs by a federally imposed June 1 deadline or file for bankruptcy.

Some dealers are working to appeal the company’s decision.

Denver Morford, the owner/manager of Barry’s Chevrolet in Ephrata, is working to reverse GM’s decision.

On Monday he asked Grant County PUD commissioners for a support letter and told commissioners Barry received the letter from GM Friday, just one day after learning Chrysler wanted to keep working with the Ephrata business.

Last week, Chrysler asked the U.S. Bankruptcy Court and ended numerous dealer agreements.

In GM’ letter to Barry, certain criteria was measured and listed as reason for ending the partnerships, such as outlying sales, customer satisfaction, profitability, and location.

Morford called the letter “vague and open-ended,” and added information in it didn’t apply to his store, which he claims sells almost 100 GM products annually, not including used, off-lease, GM propriety or used vehicles.

The business sold Grant PUD almost 40 units in the past three years, according to Morford.

“It’s not like I’m a dealership that sells one unit or two units a month,” he said.

He also spoke of working to gather support letters from community members and plans on approaching the City of Ephrata to ask for its support.

Grant PUD commissioners agreed on writing a letter for Morford.

In Moses Lake, Doug Christiansen, general manager of the Bud Clary dealership, said the business hasn’t received any letters from GM, meaning they will continue selling Chevrolet and GM brands of vehicles as a dealer.

“We are doing just fine here,” he said. “We are just continuing on.”

The company is only sending letters to dealers to end partnerships.

“The good news is we didn’t receive any letters,” he said. “They based it on a variety of different factors … customer satisfaction, sales and a few other things.”

He said they have as many Chevrolets as Toyotas available for sale.

“Bud Clary hasn’t been in business for 60 years without making customers happy.” he said. “We’re open for business.”

Recently the dealership was able to obtain and sell a 2010 Chevrolet Camaro. A yellow version car was displayed in the film “Transformers” in 2007 and was manufactured for sale public to the public this year.

“There has been a little bit of a waiting list for them,” Christiansen said. “Every once in a while a manufacturer hits a home run and I believe the Camaro is one of them.”

Bud Clary is located at 12056 N. Frontage Road, in Moses Lake.

For more information on Clary vehicles, call 509-765-4517.

Barry Chevrolet is located at 548 Basin St. N.W., in Ephrata.

For more information on Barry Chevrolet's vehicles, call 509-754-2411.