The closures are among the 789 dealerships nationwide that are set to close their doors.
TRAVERSE CITY -- Four northern Michigan Chrysler dealerships are among 789 Chrysler franchises across the country set to close their doors.
The auto maker released its closure list today which will eliminate 25% of its dealerships as part of its restructuring plan. The plan is to make the company stronger and more profitable with less dealers.
The four dealerships right here in northern Michigan include: Fletch's of Petoskey, Rivertown Jeep Dealer in Cheboygan, Urka Auto Center in Ludington and Northern Auto in Roger's City.
Bill Marsh Chrysler of Traverse City was not on the list of dealerships to close, but did speak with 7&4 News about Thursday's announcement.
For them surviving the list was something they expected.
"We didn't really expect to be on this list. Primarily because Traverse City is a regional market place and we're strategically well located...We have all three Chrysler franchises, Chrysler, Doge and Jeep which is important criteria that it appears they used in selecting the list of who was to be terminated and who was to stay," says Bill Marsh Jr..
Although the dealership was spared, Marsh says it's still a concern for the almost 800 others that will be eliminated, including those in northern Michigan.
"I feel for them. That's a tough situation. They've had long term investments in these franchises and it's going to be difficult. It's tough for all of the communities nationwide that loose dealerships, but extreme times call for extreme actions and that's what Chrysler has done," says Marsh.
Marsh says the local dealership closures are all part of Chrysler's plan to restructure the industry.
"The primary concern of Chrysler is restructuring and getting the cost in line, but certainly realigning and reducing the number of dealers does save them some costs in terms of managing their distribution network," says Marsh.
Marsh says the northern Michigan dealerships that did make the list of closures will have short term effects on their communities but it's this restructuring plan that will ultimately create long term benefits for the auto industry.
"There's no question that will have a short term negative impact on the communities, there's no question....Everybody's making sacrifices but in the long term the goal is a more healthy, viable corporation and that's good for everybody, for employees, dealers, for suppliers and the consumers," says Marsh.
Urka Auto Center in Ludington which is one dealerships to close its Chrysler franchise, says they will continue business with their other brands. They also say they don't plan on laying off any of their employees at this time.
The other dealerships had no comment at this time.
