Home > Obama, Racism > Where Is NAACP Now? TARP Audit On Dealer Shutdowns Shows Race And Sex Determined Who Lost Jobs.

Where Is NAACP Now? TARP Audit On Dealer Shutdowns Shows Race And Sex Determined Who Lost Jobs.

Of course the NAACP won’t say anything, because it was women and minority owned dealerships that were protected when Obama’s Government Motors started closing dealerships.  Welcome to the real racism in the US.

Racism, promoted and pushed by the Obama administration and his friends.

The difference between private-sector decisions on business consolidation and those under government supervision gets exposed in a portion of Neil Barofsky’s audit of the government-driven closures of GM and Chrysler auto dealerships during the $62 billion bailout.  There may be a question of whether the automakers needed to consolidate in order to shed poorly performing dealerships at all, but we’ll get back to that.  The plan to consolidate dealerships that resulted from the push by the car czar and TARP used rational, objective measures to select the target outlets. In practice, those often got ignored in favor of politics, according to the audit:

GM determined that dealerships with a DPS Score of 100 were average performers; those below 70 were considered poor performers and would not be retained. SIGTARP noted, however, that GM did not uniformly apply the phase one criteria to the entire network. For example, our analysis found that two of the wind-down dealers did not meet either criterion. Furthermore, we found that, of the dealerships that met only one of the two criteria:

GM retained 355 (or approximately 41 percent) of the 858 dealerships that had a DPS score below 70.16

GM retained 9 of the 394 dealerships that sold fewer than 50 new vehicles in 2008.17

An additional 10 dealerships with a DPS score below 70 were in phase two wind-downs.

GM officials attributed these inconsistencies primarily to a desire to maintain coverage in certain rural areas where they have a competitive advantage over import auto companies that are not typically located in rural areas, although ultimately close to half of all of the GM dealerships identified for termination were in rural areas. Other dealerships were retained because they were recently appointed, were key wholesale parts dealers, or were minority- or woman-owned dealerships (emphasis mine).

Hot Air » TARP audit on dealer shutdowns: Ethnic, gender issues trumped economics

  1. No comments yet.
  1. No trackbacks yet.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow

Get every new post delivered to your Inbox.

%d bloggers like this: