Chrysler Group is offering to buy back parts from rejected dealerships for 68 cents on the dollar -- an option some dealers describe as too little, too late.
This month Chrysler sent letters to all 789 rejected dealerships offering to repurchase eligible parts such as oil filters, air filters, wiper blades, starters and engine controllers, said company spokeswoman Kathy Graham. Such parts have had "an active sales history" in the past nine months, she said.
But strings are attached. Parts that don't meet Chrysler's eligibility requirements will be shipped back to the dealer at the dealer's expense. A dealer agreeing to the terms signs away rights to further parts claims against either Old Carco, the entity managing unwanted Chrysler assets in U.S. Bankruptcy Court, or the current Chrysler Group. The offer follows a three-month effort by the company to act as matchmaker between rejected dealers who wanted to sell parts and active dealers interested in buying them.
"We were asked by congressional leaders to consider doing more if dealers were unable to sell their parts inventories through the matchmaker system," Graham said in an e-mail.
Chrysler came up with the price of 68 cents on the dollar by determining the average price for parts sold by rejected dealerships to active stores from June 9 to Sept. 10, Graham said.