14 November 2008 | In this issue:
• Treasury in discussions with lenders, banks • Finance affects new car sales • The Global financial crisis hits home • Management initiatives in a tough market • And much more
Treasury in discussions with lenders, banks
While the government has been lauded this week for its decision to invest $6.2 billion in the vehicle-manufacturing sector, it has been looking elsewhere to fix a more immediate problem.
The departure of GE and GMAC from the vehicle finance markets, and their calls on dealers ‘floor plan’ financing have put at risk an estimated 40% of the country’s 3000 dealers.
Finance affects new car sales
The effects of the finance markets slow down – both retail and wholesale – were clearly evident on Australian new cars during October.
Official VFACTS data released this week by the Federal Chamber of Automotive Industries (FCAI) show that 79,105 cars, trucks and buses were sold in October - down 11.4 per cent (10,184 vehicles) compared to the same month last year.
