Friday, August 01, 2008

Chrysler car dealers in disarray

Network concerned over falling sales and investment levels after boss resigns
Chrysler Group dealers have been thrown into disarray following the sudden resignation of managing director Simon Elliott and his subsequent appointment as director of Volkswagen’s commercial vehicles operation.
Elliott returned to head up and restructure UK operations at the beginning of the year after managing the brand’s Chinese operations.

'Sales fell during the first six months of the year with Chrysler dropping by 14 per cent while Jeep sales slipped 11.7 per cent.
Sales in June, the most recent month for SMMT figures, showed Jeep tumbling 50.4 per cent to just 357 units, while Chrysler dropped 28 per cent to 739 units.
In the same period the fledgling Dodge brand saw volumes rise by 73 per cent, but from a low starting point, with year to date sales totalling 3,038 units.
John Rudney, owner and managing director of Horsham Car Centre, one of the UK’s few solus Chrysler Group sites, said he was saddened by Elliott’s exit as he believed he had the “experience and passion” to turn around the business.
“I really regret that he’s gone as I had high hopes for him and I trusted the guy. I am concerned about the future for the franchise.
"It needs someone who can take leadership and secure huge amounts of investment from the US,” he said.
The Chrysler Group was formed last November following the demerger of DamilerChrysler, with the new operation 80 per cent owned by Cerberus, the US private equity firm.
Since then the newly independent operation has been badly hit by the downturn of the US car market.
One dealer who contracted Motor Trader, but wished to remain anonymous, said the departure of Elliott was bad news for the network.
“I’m really concerned especially when you consider he was brought back from China to do a job which he has clearly not been allowed to get on with. Many dealers in the network thought a lot of Simon and his abilities,” he said.
Elliott’s appointment in January this year followed the equally sudden departure of Peter Lambert as UK managing director last October.
Elliott’s starting date at VW, a company he began his career at 27 years ago, has yet to be announced.
Chrysler said it is still in the process of naming a successor.

DATED: 01.08.08

FEED: MT





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