Suzuki makes final push in U.S.Fri, 21 Dec 2012 00:00:00 -0800
Corrected: The key for Suzuki to sell more cars in the United States, apparently, is to go out of business.
American Suzuki Motor Corp., the bankrupt U.S. distributor, got court permission to bring in 2,500 more cars for the U.S. market.
American Suzuki filed for bankruptcy on Nov. 5 in order to stop selling cars here and reorganize its motorcycle and watercraft businesses. Since then, Suzuki has sold 2,224 vehicles in November and dealers say sales have been strong in December. On Dec. 1, Suzuki had about 3,300 vehicles in inventory, according to Automotive News, sister publication to Autoweek.
Those sales are being helped by incentives to dealers and a seven-year warranty on the vehicles.
The bankruptcy court approved Suzuki borrowing $50 million to bring in the cars from Japan.
Freddie Reiss, American Suzuki's chief restructuring officer, told Bloomberg News, "When we told dealers, 'We have one last chance,' the dealers said, 'Go get them.' "
Those were the last cars built for the U.S. market, Reiss said.
Despite the burst of sales, Suzuki won't change its plans to stop selling cars in the United States. The company will continue to honor warranties and sell parts for several years.
Editor's note: This story has been corrected from its original version to reflect that American Suzuki Motor Corp., not Suzuki Motor, filed for bankruptcy.
By Dale Jewett