P&A Providers & Administrators
MenuMENU
SearchSEARCH

GM to End Year with 4,500 U.S. Dealers

June 30, 2010
2 min to read


General Motors Co. will wind up with about 4,500 dealers in the U.S. later this summer following arbitration hearings mandated by Congress -- about 500 fewer than previously disclosed.


Before bankruptcy, GM had 6,150 dealerships. Once the restructuring is completed this summer, the automaker will have about 4,500, GM North American President Mark Reuss said today.

Ad Loading...


He made the disclosure during a business meeting with bankers and financial analysts at the company's Warren Technical Center. The group gathered to hear a briefing on the automaker's financial plans ahead of a public stock offering expected late this year.


"We are strategically aligning these franchise points so we don't have overlap," Reuss said.


When GM filed bankruptcy last year, it terminated franchise agreements with about 2,000 dealers, arguing that a smaller network would save money and boost the average number of sales, and profits, at remaining locations.


The move triggered complaints from dealers, many of whom said there was no rationale for the closures.


In December, Congress ordered arbitration hearings for rejected GM or Chrysler Group LLC dealers who wanted to pursue it.

Ad Loading...


About 1,160 GM dealers challenged the forced closings and the automaker offered to reinstate 666 of them. About 600 dealers accepted GM's terms and are being reinstated. The remaining dealers are continuing toward arbitration.


Reuss recently told the Associated Press that GM would have about 5,000 dealerships once the arbitration process concludes next month, but the automaker has cautioned the number changes every day as cases are concluded.


The lower 4,500 figure does not necessarily mean GM is winning arbitration cases, spokeswoman Ryndee Carney said today.


In March, GM said the dealership network size would be between 4,100 and 5,300, so the figure mentioned by Reuss today falls within that range, Carney said.

More Industry

Kia Niro SUV in gold color parked outdoors
Industryby Hannah MitchellSeptember 1, 2026

Kia Closes Out Summer With a Bang

Its U.S. subsidiary broke multiple records in August, in part due to a surge of demand for hybrids models.

Read More →
Outside of Auto Park Ford dealership
Industryby Lauren LawrenceSeptember 1, 2026

Indiana Dealership Changes Hands

A 30-year-old Ford dealership in Indiana has a new owner and will soon be undergoing renovations to meet manufacturer requirements.

Read More →
Three men standing in front of two classic cars handing off gift.
Industryby Hannah MitchellAugust 25, 2026

Texas Dealership No Longer in the Family

The Ford store, a longtime cornerstone of the Houston market, is now part of one of the fastest-growing U.S. auto groups.

Read More →
Ad Loading...
Outside of modern car dealership “Genesis of San Bruno
Industryby Lauren LawrenceAugust 25, 2026

Genesis Grows California Presence

The Cardinale Automotive Group opened its third Genesis rooftop in the Golden State, Genesis of San Bruno, a stand-alone dealership serving the San Francisco Bay Area.

Read More →
Red Honda Civic hybrid sedan on two lane road with green hills in background
Industryby Hannah MitchellAugust 21, 2026

August Auto Sales a Mixed Bag

An early forecast shows strong business despite consumer hurdles, and hybrids are a big piece of their affordability coping strategy.

Read More →
EV charger inserted into dark-colored car port
Industryby Hannah MitchellAugust 18, 2026

EV Market Humming Along

July sales show steady growth as the segment stabilizes from last year’s artificial surge following pullback of federal support.

Read More →
Ad Loading...
car in background with hand giving a thumbs up in front
Industryby Lauren LawrenceAugust 14, 2026

Auto Loan Delinquency Rates Stabilize

Auto loans are a main driver of nonmortgage consumer debt, but delinquency rates stabilized in the second quarter across all credit risk tiers.

Read More →
blue sky, yellow and orange rollercoaster with riders going up an incline
Industryby Lauren LawrenceAugust 12, 2026

EV Sales Recover in Q2

The EV sales roller coaster continues as numbers show improvement, but industry experts predict a year-over-year third-quarter decline and fourth-quarter jump.

Read More →
Photo of blue Toyota Prius parked next to body of water with city skyline in background
Industryby Hannah MitchellAugust 5, 2026

The Cheapest Hybrids to Fuel

The powertrain is increasing in popularity, in no small part due to its fuel economy. A new report lists the most efficient hybrids on the market.

Read More →
Ad Loading...
white SUV parked in front of a body of water with a gray sky background
Industryby Lauren LawrenceAugust 5, 2026

Hybrids and SUVs Gaining Ground

The most recent Kelley Blue Book Brand Watch found that only two nonluxury brands increased in shopper consideration, buoyed by their hybrid and SUV offerings.

Read More →