For Pontiac dealer Robb Brown, cash for clunkers is a mixed blessing. He has sold vehicles at a decent clip. He'd love to order more, but he can't.
The Pontiac franchise at Brown Automotive Group in Toledo, Ohio, was marked for termination by General Motors when GM decided to kill the Pontiac brand.
Brown's agreement is similar to those signed by 1,300 other GM dealers targeted for closure. The agreement prohibits them from placing new orders.
So Brown and the other dealerships that are winding down are in the difficult position of operating with little or perhaps no new inventory in the coming months. Brown had 102 Pontiacs in stock on June 1. He now has about 40, a 55-day supply.
Last week GM offered some relief. The termination agreement originally required dealers to stay open until Jan. 1 to be eligible for a wind-down payment. But on Wednesday, Aug. 5, the company decided to give the wind-down payments to dealers who ask to close before Jan. 1.