Local dealers doing "just fine'

Rolla’s car dealers escaped the chopping block when both General Motors and Chrysler terminated hundreds of franchises as they began the process of reorganizing and restructuring their companies through bankruptcy proceedings.

But local dealers are more than just relieved to be staying open; some view the upheaval in the industry as having positive repercussions for both the auto manufacturers and their customers.

“The sad truth is that a lot of this has needed to happen for a long time,” said Mark Wood, general manager of Fairground Auto Plaza, Rolla’s GM dealer.
“I hate saying this, but I think this will be good for the company overall,” Wood continued. “Business is pretty good for us here in Rolla. We’ve actually seen an increase in traffic the last couple weeks.”

Lonnie West, who with his brother, Lyle, owns and manages Al West Chrysler-Jeep-Nissan, said they were “happy” to be able to maintain their dealership when Chrysler decided to terminate 25 percent, or 788, of its franchised dealers. West’s late father, Al, opened the Rolla Chrysler dealership in 1969.

“We’ve been here 40 years; that’s our heritage,” West said. “I think the company will be stronger after going through reorganization, and (as time goes on) I think more customers will realize that eventually we’ll be OK.
“Our Chrysler sales are already coming back some.”

Denny LaBantschnig, owner of Denny Ford, is in a slightly different position, since Ford did not accept any of the federal bail-out money and has not filed for reorganization with the bankruptcy courts.

“Our business has picked up dramatically, about 18 to 20 percent, and I think a lot of that (increase) is because Ford didn’t take the bail-out money. Many people come in just to say ‘Thanks,’ and that’s a good feeling.”

LaBantschnig credits Alan Mulally, Ford‘s president and CEO who joined the company in 2006, with steering the company through the rough times with his “brilliance” and hard work.
However, he added, “When the whole auto industry is having problems, it’s not good for anyone; it gives everyone a black eye.

“What’s happening to Chrysler and GM is not good for any of us,” noted LaBantschnig.
“I hope they both come through unscathed. There’s enough business to go around; there’s lots of cars to be sold.”

Kingdom Kia General Manager Lawrence West noted that auto manufacturing is now a global business, with both foreign and domestic brands having plants and headquarters both inside and outside of the country.
“It’s all becoming blended, and it’s changing faster now than it ever has.”

Managing a dealership which has been open not quite one year, West said he’s “happy to be in Rolla.”
“The university, hospital and Fort Leonard Wood are the area’s biggest employers, so our market is fairly stable,” West explained.

“We’re more fortunate than most, here in Rolla,” agreed Wood. “I’m a consumer too, and I’ve been a little scared to spend any money.
“But I think Americans are sick of the gloom and doom and are ready for it to be over.”

One impact of the bankruptcies and struggling national economy will be a drop-off of production of new vehicles, said the managers.
“It doesn’t matter what brand, the number of autos being sold has lessened,” said LaBantschnig.

“We’re not building extra inventory to just sit around, so we might be a little short on supply for awhile,” said Lonnie West.
“But there are some good deals out there right now.
“American cars have a lot of pizazz,” continued West. “This (the United States) is the market all the car manufacturers in the world want to come to.“

The most noticeable obstacle to selling cars in Rolla right now is financing, said Lawrence West.
“Even people with better credit ratings can have trouble getting a loan right now,” he explained.
However, West is looking forward to the Car Allowance Rebate System to be implemented in July.

According to the government web site (www.cars.gov), the “cash for clunkers” legislation, when signed into law, will pay consumers up to $4,500 for their older, less fuel efficient trade-in when purchasing a new, more fuel efficient car or truck from a participating dealer.
Veteran local dealers say the key to their survival is the same as it’s always been: customer service.
“We take care of our customers,” said Lonnie West succinctly.

Wood, who has worked ‘in the car business’ for 25 years, and LaBantschnig, who opened Denny Ford 20 years ago this December, agreed that customer service was crucial to their dealerships’ survival.
“At Fairground, our service and sales departments have remained busy,” said Wood. “I can tell you local customers are pretty loyal as long as you continue to take care of them.”

“We’ve fielded a lot of calls with people wanting to know, “What happens to my warranty?”
“We tell them it won’t matter. There’s a stockpile of parts, plenty of dealerships around, and they’ll continue to get service.”