• Stop being a LURKER - join our dealer community and get involved. Sign up and start a conversation.

Suzuki is leaving the United States

Jump to latest Follow Reply
Alex Snyder

Alex Snyder

President Skroob
Staff member
May 1, 2006
3,734
2,708
Awards
13
First Name
Alex
#1
:goodbye: Ouch...I feel bad for Wichita Suzuki. Going to be interesting to see how they change their brand.


Business Wire said:
American Suzuki Motor Corporation (“ASMC” or “the Company”), the sole distributor in the continental United States of Suzuki Motor Corporation (“SMC”) automobiles, motorcycles, all-terrain vehicles and marine outboard engines, today announced that it plans to realign its business to focus on the long-term growth of its Motorcycles/ATV and Marine divisions. Following a thorough review of its current position and future opportunities in the U.S. automotive market, ASMC will wind down and discontinue new automobile sales in the continental U.S. The Company has determined the best path to achieve this realignment in an efficient and orderly manner is to restructure its operations under chapter 11. The case will be filed in the United States Bankruptcy Court, Central District of California in Santa Ana.
Click to expand...


Read more of the press release.
 
#5
One of my dealers has been effected by this news. I feel really bad for them. They lost the Saturn franchise and replaced it with Mitsubishi and Suzuki and have been quite successful converting Saturn owners to these brands. Ultimately we feel the most for the customers who were Saturn owners that are now Suzuki owners. The communication to those specific customers will be a personal phone call and letter from the GM or the GSM.

I cannot imagine how devastating this must be for Suzuki of Wichita. There is also a stand alone Suzuki point in Denver that has done very well along with a solid store in PA somewhere.
 
#6
#7
I feel for the consumers. Even though Suzuki will continue to pay the warranty claims and provide parts, these vehicles just took a serious hit in resale value. Saturn, Oldsmobile, Pontiac customers received more of the same.

Meanwhile, Mitsubishi has to be in trouble. Fiats are stacking up like cords of wood. GM still has all of that unfunded pension debt plus all the money they still owe the taxpayers. It looks like some areas of the car business are in trouble.
 
#8
Ryan Leslie said:
Tom White Jr. doesn't make it around here much anymore but he tweeted this link to an open letter on their website that I thought was worth sharing. If you had to sum it up in a single line it would be this quote: "It's not about the brand, it's about the people." With that as their focus through the transition, I think they'll be just fine.

Letter regarding ASMC’s Press Release (from Scott Pitman, Operating Partner, Suzuki of Wichita) | Suzuki of Wichita Blog
Click to expand...

I think maybe Tom's going back to SOW.. Just saw his location switch back to Wichita in my news feed? But that was a really great press release. #dealersdoingitright.
 
#9
LOS ANGELES -- Suzuki dealers face a decision: Give up their franchises in exchange for cash or fight the factory in bankruptcy court.

American Suzuki Motor Corp. filed for Chapter 11 bankruptcy on Monday, Nov. 5, to wind down its U.S. automotive division. It seeks to reject the franchise agreements of its 220 U.S. auto dealers.
American Suzuki is asking dealers to surrender their franchise agreements voluntarily in exchange for a cash settlement and new contracts to run Suzuki parts and service outlets.

The question for dealers: Are the offers comparable to what they would have received under state franchise laws?

http://www.autonews.com/apps/pbcs.dll/article?AID=/20121112/RETAIL07/311129956
 
Dominion DMS
Top Bottom
Back
Jump to latest Follow Reply
Jump to latest Follow Reply
Menu