Chrysler automotive franchises in Tracy and Redwood Falls are among those marked for closing as the company files for bankruptcy. However, franchise owners Jeff Salmon and Scott Preusse said Thursday it doesn't mean they're out of business.
"They are eliminating franchise lines. They're not closing us," said Preusse, owner of Scott-Preusse Inc. in Redwood Falls.
"It wasn't a surprise, given our size and location," Salmon said of Salmon Chrysler's being marked for closing. "Fortunately, we're in the car business, and we will continue to sell cars."
A list of more than 700 Chrysler dealerships marked for closing was made public today. The Minneapolis Star Tribune reported that 19 Minnesota dealerships are on the list for elimination.
Salmon Motors and Scott-Preusse both have a Chrysler and a GM franchise. If the closings are official, Preusse and Salmon said they would be focusing more on their General Motors franchises, auto service and used car sales instead.
Salmon and Preusse said they were notified of the decision via letter around midday Thursday. At this point, it's not certain how their businesses will be impacted.
"Dealerships may still be added to the list, and dealerships may be subtracted," Salmon said.
Preusse said it's unlikely that his dealership will have to cut staff as a result of a closed franchise.
"Most of our business comes from used car sales," Preusse said.
Salmon said he had been cutting back on employees and new inventory in recent years, which would minimize the impact of closing.