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Jesse Jackson Wants GM to Protect Minority Dealers




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November 18, 2005
Jesse Jackson is asking General Motors to establish an economic program that will protect the company's minority dealers as the giant automaker struggles with declining market share and financial uncertainty.

Jackson offered the proposal following a meeting with the National Association of Minority Automobile Dealers (NAMAD).

The group wants GM to establish an emergency fund to be used for the recapitalization of minority dealerships, bridge loans, market development and technical assistance.

Jackson wants GM to create a committee to focus on the company’s minority dealer development program and to pay special attention to struggling dealers.

The Chicago group has asked GM not to terminate ethnic minority dealers and suppliers for the next 180 days. They hope the moratorium will allow GM officials time to look at the issues that led to having a significant number of minority dealers and suppliers in unprofitable situations.

NAMAD has stated that GM ended 61 franchise agreements with minority dealers in the first half of this year.



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