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03:45 p.m. EDT, May 18, 2009

Despite Chrysler LLC's efforts to forestall the closure of over 25 percent of its dealerships by appealing to bankruptcy court judges, chances are that 789 targeted dealerships will cease operating by June 9. Combine them with the 1,100 dealerships GM plans to vacate, and it is easy to see that the automobile market needs to sell inventory fast.

People who had not thought of buying a new car are having second thoughts in an environment where incentives and dealer motivation make the price of a new car much more tempting for someone who had thoughts of only buying a previously owned car. The Wall Street Journal reports that Chrysler is cutting their prices by 25 percent and savings can go even deeper for large trucks like the Chevrolet Silverado 3500 Heavy Duty or SUV's. .

Chrysler's desire to move 44,000 vehicles to its surviving dealerships will result in an enormous buyer's market across the industry. All manufacturers will want to liquidate as much inventory as possible. While all of this sounds like good fortune for the prospective car buyer, experts caution that buyers should locate a dealer which will be around after the dust settles for future servicing.


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