Three Charlotte-area Chrysler dealers are among 789 dealerships nationwide slated to be eliminated as part of the struggling automaker's restructuring plan, the company announced Thursday.
Metrolina Chrysler Jeep Dodge in Charlotte, Bob Mayberry Chrysler Jeep Dodge in Monroe and Lancaster Dodge Chrysler Jeep in Lancaster, S.C., were named in U.S. Bankruptcy Court documents as franchises that would not be part of the restructured company.
Chrysler will close at least 25 dealerships in the Carolinas. In addition, a dealership owned by Charlotte-based Sonic Automotive – Serramonte Chrysler Jeep Dodge in California – will be closed.
Chrysler dealers expected to receive letters today notifying them about the fate of their businesses, they said Wednesday. The affected dealers could not immediately be reached for comment.
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The automaker, which has 3,200 dealerships, plans the closures in an effort to save money. Chrysler filed for bankruptcy protection last month, and a bankruptcy court judge must approve the cuts before they take effect.
General Motors Corp. also plans to cut dealers and has said about 1,000 dealers will receive letters Friday notifying them of their status. GM is planning to cut about 2,600 of its 6,200 dealerships.
Rejected dealers won't necessarily go out of business. Some may continue to operate used-car dealerships or sell other brands.
To read the complete article along with a complete list of dealership closings, visit www.charlotteobserver.com.