Bill Heard Chevy closes dealerships nationwide

Thu, 09/25/2008 - 3:46pm
By: The Citizen

The Union City location of Bill Heard Chevrolet has closed its doors for good. The abrupt closing came at 1 p.m. Wednesday with employees receiving a only a short notice. A company press release yesterday said all dealerships nationwide have ceased operations.

Union City employees were told Wednesday that the company was filing bankruptcy and that the dealership did not have the money to continue operations, according to a Bill Heard Union City employee that asked not to be identified. The number of employees at the local dealership is not known.

"It's a shame," said Heard’s Plant City, Florida Executive Manager Paul Baker, adding that he thought the era of gigantic dealerships is over. The dealership traces its roots to 1919, just 11 years after Henry Ford first produced the Model T automobile.

Baker declined to elaborate on reasons for the closing, other than to cite financial pressures. He said he doubted the operation would operate under new ownership. "Nobody has the guts to have a big dealership anymore," he said.
The dealership will "take care of any customer's car and live up to any obligations we have as far as sales," he said, "but we closed the sales operation."

Based in Columbus, Ga., Bill Heard Enterprises Inc. operates 13 dealerships nationwide. They all will close, Baker said.

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sniffles5's picture
Submitted by sniffles5 on Thu, 09/25/2008 - 12:41pm.

From the AP newswire:

"Mark Rikess, a Los Angeles-based consultant and trainer, said losing GMAC financing for Heard's floor plans is a critical blow.

"The typical reason for GMAC yanking credit is the store is out of trust," Rikess said. The company audits dealerships and finds "there are less cars on the lots than there should be," Rikess said, "which means they are not reporting all of the sales. Many times, they are accumulating GMAC's money to buy used cars or maybe pay off bills."


Submitted by Jo Anne on Thu, 09/25/2008 - 12:48pm.

You are very correct. I have wokred with car dealerships for over 20 years. GMAC taking back the floor plan is a hugh blow. They were selling cars but not paying off GMAC when the car was sold. Normally a dealership is audited monthly with a "Floor Plan Audit". When you as dealer are "out of trust" is a really bad thing. I have to admit there are not many dealers / dealerships that are honest. I cringe everytime I need to purchase a vehicle.

Submitted by Spyglass on Thu, 09/25/2008 - 12:06pm.

If you asked 10 folks who have dealt with them, you'll find a good many with bad experiences. It was a matter of time.

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