Jun 16, 2009 1:22 pm US/Eastern
GM Dealer: Shut Down 'Embarrassing, Heartbreaking'
Downey Chevrolet Was Fixture In Canton For 23 Years
CANTON (WBZ) ―
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Downey Chevrolet was a fixture on Route 138 in Canton for 23 years.
WBZ
For 23 years, Joe Downey Jr. was known in Canton as a major Chevrolet dealer. Now the building sits vacant on Route 138, some say, a sign of the times.
"I think most dealers would agree that their loyalty should have earned them a little more respect so that if you go out, you're allowed to go out with some dignity," Downey said. "This is embarrassing, quite honestly, and heartbreaking."
IT STARTED LAST SUMMER...
It started last summer when gas prices soared. Truck and SUV sales slumped. Then the domestic auto industry's financial troubles began to trickle down. GMAC demanded more payments from Downey for the cars on his lot. At the same time, GM slowed down its payments to him for warranties and rebates. There was less money coming in, and more money owed.
Before long, the company pulled financing from Downey all together. By spring, the business was shuttered with some 30 employees out of work.
"I would never have dreamed this in a million years," said laid off service worker Niall Corbett. He says it put him under tremendous financial stress. "The house and all the stuff you have. I still have college payments for my kids."
FAR REACHING EFFECTS
For the community, the effects were far-reaching. Downey gave to countless charities. He donated cars to area schools for their drivers' education programs, provided equipment for local little leagues, and sponsored teams. No more.
So what's next for Joe Downey? He says he's too young to retire, and worries about finding a new job. Then there are his customers. "I get calls almost every night…'where am I going to go, Joe? Who do I take my car to?'"
He does not have a good answer, he says, because the brand he hung his career on can't be trusted. "It's pretty depressing."
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