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Hecker dealerships close

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G. Bedford

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Grim reality...

Quote:
"Ford management in prior meetings has indicated that the Twin Cities is 'overdealered' and ... when dealership vacancies happen they have indicated to the dealer body that they would not be filled and at that point would be terminated," he told the Gazette. "In this case, the Twin Cities is considered an 'overdealered' area. If Ford management is consistent with what they have indicated and vowed to the dealers, then the dealer point would be terminated."
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Yeah, this is right in my 'hood actually. We've had quite a few Ford stores close in the past few years including my previous dealer (R.I.P. Planet Ford of Minneapolis). Denny Hecker is one of the 4 huge dealer groups in my area. He just closed 6 of his dealerships last Saturday - including both of his Ford Dealers. One of the two that closed had my resume on file, and the other one had been trying to recruit me for a while, but was too far of a drive, so I declined until my house sells... So yes, I know them well. I had been planning to change employers for a while, but now I think I'll stick where I'm at. Ironically, both of Denny's Ford stores had non-union service departments, which are definitely minorities in the Twin Cities area - even more so now.

 

I think one of Denny Hecker's big problems is that he has his own finance company, which is heavily involved in the financing of cars, as well as homes. I still remember his cheesy commercials with testimonials from people who said things like "I thought for sure with my credit, that no one would give me a car loan, but Denny Hecker did" or something to that effect. Then the commercials would end with a musical jingle with the lyrics: "Were good people helping good people!!!" I think the combination of the current economic climate, as well as the "special finance" and sub-prime collapse, was finally what made these chickens come home to roost. I already noticed a job application on my svc managers desk from a former Hecker employee, but we've been slow, so odds aren't good for that guy. Denny will be ok, he still owns other car dealers, and he's married in to (or at least used to be) to the family that at one time owned the Minnesota Vikings. I feel bad for all of the techs without jobs now, that's for sure. I still vividly remember what it's like, as I went through it around Christmas 2006.

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I feel bad for all of the techs without jobs now, that's for sure.

Amen. We need to remember that in the end all of this turmoil affects a lot of individual people. We have lost a few dealers in our area, Ford and Lincoln Mercury. With all of the rest of the stores being slow I wonder where all these techs end up. Now, every day I wake up wondering "will it happen to me?" If it does, where would I go? I don't see anyone hiring at dealers in the classifieds ads on line. The only up-side to dealers closing is that there should be an increase in traffic for the dealerships that are still around. The only increase I have noted is more ambulances and Lincolns.

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This is an older article that caught my eye at the time. Along with worker legacy costs, the size of the dealer body is dragging at the Big 3, too. If bankruptcy occurs, the car makers could "bust" the union, but also "bust" their franchise agreements with the dealers. Imagine, instead of gradual buy-outs, the carmakers could decide(by market sales areas)overnight who stays and who goes. http://www.forbes.com/forbes/2006/1016/050.html

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