25% of Chrysler dealerships and 42% of GM dealerships will close their doors by 2010. Peter Valdes-Dapena at CNN Money has more:
Chrysler LLC will close down 789 dealerships, or roughly 25% of the current number, according to a plan filed in bankruptcy court Thursday.
Chrysler had a total of 3,181 authorized dealers in operation at the time of its April 30 bankruptcy court filing, according to court filings. Just over half of that number accounted for more than 90% of Chrysler sales, according to the filing.
General Motors (GM, Fortune 500) has said it wants to cut 42% of its dealership base to 3,600 by next year. Fritz Henderson, the GM chief executive, said on Monday that it would soon start notifying dealers as soon as this week.
In ordinary circumstances, automakers’ efforts to close dealerships have been stymied by state laws that protect franchisees. Bankruptcy court judges, however, can override such laws.
Below is Chrysler’s full list of dealers to be closed (via NYT/Dealbook):