Daewoo Motor U.S. Dealers Say They Can't Get Parts for Service
Daewoo Motor Co.'s U.S. dealers said they aren't able to get parts to repair customers' vehicles, after the automaker's U.S. sales unit was excluded from assets General Motors Corp.
and other investors agreed to buy, according to a Bloomberg News story by Alison Fitzgerald.
The dealers are trying to set up an Internet exchange to trade parts among themselves to meet warranty obligations and make repairs, said Breck Sloan, who owns two Daewoo dealerships in Florida.
The bankrupt South Korean automaker has 525 U.S.
dealers and about 160,000 to 170,000 vehicles on the nation's roads.
"There are no parts at the depots from Daewoo," Sloan said. "Even if you sent a check with your order, their warehouses are empty."
General Motors and unnamed partners this week agreed to buy some Daewoo Motor assets for $1.17
billion in cash and assumed debt. The Detroit-based automaker said Daewoo's U.S. customer warranties would be honored. That guarantee doesn't take effect until the transaction closes in July, General Motors spokeswoman Toni
Simonetti said. Until then, service and repairs are the responsibility of Compton, Calif.-based Daewoo Motor America, General Motors said.
Executives at Daewoo Motor America have said they expect to be forced into bankruptcy. Daewoo's U.S. dealers expect to be out of business and have said there probably won't be Daewoo cars to sell in the U.S. The dealers are
trying to sell the vehicles they still have in stock and repair vehicles in their shops.
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