August 2, 2010 online at www.uawlocal2250.com
Reminder: Tomorrow is primary election day with many offices up for grabs. Please make an effort to vote.
Toyota is using one of their favorite methods to discount vehicles while trying to avoid watering down their value with cash discounts – cut rate leases. With prices like $189 a month for a Corolla, Toyota is banking on that car retaining 63% of its value after the three-year lease is up. But Automotive Leasing Guide, the industry standard, puts the value of that car at 53% (an $1800 difference) and those estimates are being revised downward as the drumbeat of recalls continues to take their toll on Toyota’s image. According to auto pricing information company Edmunds.com, the average transaction price of a used Toyota fell 1% in June to $15,073 compared with an industry average gain of 9%. Meanwhile, the average price of a used Chevrolet rose 12% to $15,452. The average for a used Fordrose 14% to $14,716. And leasing now makes up 30% of Toyota’s business, up from 21%. Ever in denial, Toyota offered this statement: "We believe strongly that our residual numbers are the most accurate, in large part, because we use more refined data than perhaps other sources."
From the Detroit News: Chrysler Group LLC said Friday it will keep its Sterling Heights Assembly Plant operating and add 900 jobs. That plant, which had been scheduled to shut in 2012, makes the Chrysler Sebring sedan and convertible and the DodgeAvenger. Workers from factories that Chrysler is closing in Twinsburg, Ohio; Racine, Wis., near Milwaukee; and in Detroit will be offered jobs in Sterling Heights, Chrysler spokeswoman Jodi Tinson said. "The achievement is due in large part to the tremendous sacrifices and efforts of UAW members to help productivity at the plant," said UAW President Bob King. He added it is more proof the union and Detroit area plants can "compete in the global marketplace," he said.
No comments:
Post a Comment