Wednesday, March 10, 2010

Doing the UAW's work

Toyota Dealers Fight Back Against "Predatory Tactics" by GM
say they're upset that their tax money is being used to lure away their customers
By Jim Forsyth

The head of the Toyota National Dealer Council today blasted the federal government for using 'taxpayer dollars' to fund incentive campaigns to lure customers away from Toyota, and accused GM of using ‘fear’ in an attempt to lure away its customers, 1200 WOAI news reports.
"As an American citizen, it is tough on my part to pay tax dollars to an entity that can turn around and use those tax dollars to get my fellow American citizens to not do business with me," Paul Atkinson, who owns Atkinson Toyota in Bryan Texas, and is President of the dealer council, tells 1200 WOAI news.
Atkinson says when General Motors was going through bankruptcy last Spring, Toyota behaved in a 'compassionate way,' and did not use GM's uncertain future as a 'lever to steal its customers.' But he says now that GM has been strengthened with taxpayer money, it is using 'low blow tactics' to hurt his business.
"The government owns 60% of General Motors, and these American tax dollars are funding business activity for one company, with the express goal of negatively impacting another company," Atkinson said today.
Atkinson specifically cited GM dealer mailings which he says have been targeted at existing Toyota owners. He called it ‘a nationwide predatory advertising campaign that uses fear in an attempt to lure customers away from Toyota and Lexus dealers.’
"There are some mailing lists which have been given to dealers, and there have been some mailers, in fact, I've seen several of them," he said. "On the outside of the envelope it says 'important Toyota recall information enclosed.' But when you open up that envelope, it is nothing more than an advertisement trying to get you to come trade your Toyota in at a GM store."
Atkinson calls those 'predatory incentives,' which he says should not be allowed to be employed by a company which is majority owned by US taxpayers against another company which employs hundreds of thousands of Americans.
"We will be sending letters out to Senators and Congressmen, as well as (Transportation) Secretary (Ray) LaHood," Atkinson said. "It's really unfair that American citizens have to fund this."
Atkinson also suggested that the recent Congressional hearings and federal government concern over Toyota's accelerator problems may have been sparked less by a desire to protect the public, and more by a desire to protect the federal government's investment in GM.
"There is a list of twenty manufacturers on these recall lists, and Toyota is number 17," he quoted several members of Congress and telling him privately. "If we're having hearings on number 17, what are they doing about numbers 1 through 16?"
Atkinson said business at Toyota dealerships was down 10% in January and down 8% in February, but the dealerships are standing behind Toyota products.
"Despite all of this, we outsold all of the other manufacturers in February except for one," he said. "Let's get these numbers in perspective. Sure, our sales are down, but we are outselling a lot of other brands."

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