By SETH AUGENSTEIN
saugenstein@njherald.com
On many car dealership lots and in showrooms, shoppers might not notice much of anything happening.
That, salesmen said, is a major problem -- car sales are taking a nose dive in light of financial worries amid an unsteady economy.
Three of the major Sussex County car dealers said they're just trying to survive the economic downturn -- whether that means cutting costs or even the number of employees. Sales problems range from banks' reluctance to offer loans that were shoe-ins just a year ago to worries about gas prices and simple cost of living increases, to the uncertain fate of the Big 3 domestic automakers.
It's a "perfect storm" the dealers see as ushering in a new era of automobile consumerism that could have very real effects from factories to showrooms to garages.
"There's definitely a downturn in new and used car sales," said Sean McGuire, the owner of McGuire Chevrolet Cadillac in downtown Newton. "With everything going on like it has, it's enough to make you yearn for just a simple gas crisis."
"Sales, obviously, are off," said Sam Magarino, owner of Magarino Ford in Sussex Borough.
The pressures are different. McGuire sells Chevrolets and Cadillacs, two General Motors models that have a popularly perceived uncertain future.
He said the problem is not customer interest or loyalty, but getting financing deals cut with reluctant banks. Magarino also sells domestics, but said his problem comes before the number crunching -- foot traffic in his showroom has tapered off to a trickle.
That's just the local tip of a national iceberg, according to statistics.
General Motors Corp. and Chrysler LLC said they have burned through a combined $34.6 billion of cash in the first nine months of this year, as U.S. auto sales have plummeted to the lowest level in more than 25 years.
After an unsuccessful bid before Congress for $25 billion in federal aid two weeks ago ...
By SETH AUGENSTEIN
saugenstein@njherald.com
On many car dealership lots and in showrooms, shoppers might not notice much of anything happening.
That, salesmen said, is a major problem -- car sales are taking a nose dive in light of financial worries amid an unsteady economy.
Three of the major Sussex County car dealers said they're just trying to survive the economic downturn -- whether that means cutting costs or even the number of employees. Sales problems range from banks' reluctance to offer loans that were shoe-ins just a year ago to worries about gas prices and simple cost of living increases, to the uncertain fate of the Big 3 domestic automakers.
It's a "perfect storm" the dealers see as ushering in a new e ...
