WTOC, Savannah, Georgia, news, weather and sports | Car dealers and Kingston react to auto bailout
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SAVANNAH, GA (WTOC) - Many car dealerships across the country have already closed up shop.
Local Ford-Lincoln-Mercury dealer OC Welch sounded off on the government and the bailout earlier this week. See New OC Welch radio ads cause controversy.
His radio commercials have sparked water cooler buzz, but what do other dealers think about the bailout?
The bailout isn't very popular, not only with dealers, but also with one Georgia congressman.
Congressmen Jack Kingston voted against the $14 billion bailout. It still passed the House, but stalled in the Senate. Local car dealers say it wouldn't have helped them.
Car sales are off everywhere and not just for Ford, Chrysler and GM.
"For the ten years I have been in the car business, yes, this is as bad as it has been as far as the market," Nathan Moskowitz told WTOC.
Moskowitz has been with Chatham Parkway Toyota the last four years. While the bailout won't impact foreign car makers, he says he understands it.
"They are trying to keep those manufacturing jobs so they can continue to have jobs for American people," Moskowitz said.
"People have a degree of bailout fatigue right now," Kingston said.
Kingston voted against the big three bailout.
"For most people, they are going through hard times, they can't afford to bailout auto workers making $70 an hour," he said. "I don't mean to be callous, but if I am in Savannah making $35 an hour, I don't have the money to give to them."
"When will you Wal-mart shoppers, you import buyers, when are you gonna wake up and do something for the United States of America," OC Welch asked in a new radio ad which started airing this past weekend.
Those ads blast the government bailout and people who don't buy American. Kingston says the message isn't a bad one.
"What OC Welch is doing is getting the message out there, come see my car, and then my competitor. I think I have the best product," Kingston said.
"He's gotta do what he's gotta do to keep his business going," Moskowitz said. "We're not going to say anything bad about him. We just keep on doing what we do."
Moskowitz says he doesn't agree with the bailout out personally. However, he doesn't think foreign auto makers should get a bad wrap either.
"They are building more and more plants here in the United States and more and more cars. It seems the Japanese have a bigger commitment to the US workforce than American automakers do," Moskowitz said.
Congressman Kingston says it's hard to support a bailout when Detroit is paying union workers $70 an hour and companies like Toyota, who are doing well business wise, pay their workers $48 an hour.
He thinks filing Chapter 11 as an option would help them reorganize and would give protection to dealers and warranty holders.
Kingston says the loan would have given the big three breathing room, but not a long term solution.
