GM Ad Campaign Argues Against Dealer Legislation in Kentucky
DETROIT — General Motors has spoken out via newspaper advertisements about a bill in the Kentucky legislature that it believes would be detrimental to the state's economy and the automaker.
GM's $50,000 campaign includes ad spots that were slated to run Sunday in the Louisville Courier-Journal, Lexington Herald-Leader, Ashland Daily Independent, Paducah Sun, Owensboro Messenger-Inquirer and Bowling Green Daily News.
GM argues that the bill "would establish special rights for failed auto dealerships, including an unprecedented 10-year right of first refusal that would allow auto dealerships, no matter how poorly they have performed in the past, to block GM from opening new dealerships that could be more effective in improving customer service and improving sales."
Moreover, the automaker contends that its ability to repay government loans would be "at risk," along with the jobs it provides throughout Kentucky and the rest of the U.S., if it is not able to "realize savings across its dealership network and improve customer service."
"GM provides a lot of horsepower to Kentucky's economy," commented Greg Marti, a spokesman for the automaker. "We want to continue to be a source of good-paying jobs and hope the Kentucky Legislature will reject the attempt of special interests to slow us down."
He continued: "As part of our restructuring, everyone inside the GM family had to make sacrifices to create a new, stronger company. While we understand the frustration that some dealers feel, there is a fair arbitration process established by federal law that allows dealers to have their grievances heard by an independent third party. H.B. 217 is an unnecessary bill that will drive up our costs and threaten auto jobs and future business investment in Kentucky.
"We respectfully urge the Kentucky Legislature to stand up for auto manufacturing, which is a vital part of the state's economy, and oppose this misguided legislation," Marti added.