DETROIT -- Over the next few weeks, about 430 General Motors dealers will be asked to improve their performance or face the possible loss of their franchise agreements.
Unlike the owners of 1,124 dealerships who received letters from GM on May 15, these dealers will not get termination notices, said GM spokeswoman Susan Garontakos.
But in one-on-one meetings with GM representatives, these dealers will learn what they must do to have their franchise agreements renewed in October 2010.
"We're going to need them to step up," Mark LaNeve, GM's vice president of vehicle sales, service and marketing, said in a May 15 interview. "We're going to need them to pick up the sales of the dealers who are going out around them."
The meetings are part of an effort by GM to get its remaining dealers up to speed on its plans. The meetings will not include Hummer, Saab and Saturn dealers, Garontakos said.
As part of a massive restructuring, GM is trying to cut its dealership count from 5,969 on May 15 to 3,600 by the end of next year.