GM Remarketing Sending Repair Parts to Dealers for Select Recalled Pontiac Vibes
FREDERICK, Md. — Dan Kennedy, national sales manager for General Motors Remarketing offered an update to the National Auto Auction Association today on the status of 2009 and 2010 Pontiac Vibes impacted by the Toyota recall.
The models covered by the recall have been under a "no sale" hold until they are repaired. And according to Kennedy, GM has begun shipping the replacement parts to Buick, Pontiac and GMC dealers so auctions and dealers can get these vehicles fixed.
"Over the last several days, General Motors has begun shipping the required replacement parts along with the dealer recall bulletin (10018) to Buick, Pontiac and GMC dealers throughout the country," he said. "These dealers have started to complete the required repairs on these vehicles.
"In an effort to expedite the repairs on the vehicles that you have on hold in your inventory, please contact your local GM dealer's service manager to coordinate the required repairs," Kennedy continued. "Any GM dealers may perform this recall."
If an auction has "sufficient volume" then auction officials may be able to get a GM service manager to send a technician to the facility to complete repairs on the property.
"This would require you provide the technician appropriate facilities to operate in and to sequester the vehicles into a single location to facilitate the repair process," Kennedy noted.
"Once the repairs are complete, the vehicles can be offered for sale at the auction," he added. "We would suggest that the vehicle announcements provided during the sale include the fact that the repairs are complete."
For any questions or concerns, Kennedy invites auctions and dealers to contact the GM Fleet and Commercial Action Center at (800) 353-3867, prompt number 4.
Toyota Models Under Recall
On Thursday, Auto Remarketing learned that Toyota Financial Services has rolled out a strategy to get the eight Toyota recalled models moving back through the remarketing lanes both via open and closed sales.
The NAAA supports this strategy and recommends that member auctions adhere to Toyota Financial Services' procedures for repairing these units.
According to Dave Angelicchio, NAAA president, the plan will be carried out on an auction-by-auction basis. For instance, if one auction has a large quantity of recalled Toyota units, then the parts needed for repair work will likely be sent directly to that auction.
"If volumes are sufficient to justify repairs being made at an auction's facilities, they will receive the parts. And for some fleet accounts, where a great deal of vehicles are at a particular site, repairs will be made at that site," Angelicchio told Auto Remarketing Thursday.
On the other hand, auctions that have smaller quantities of the affected units will be pointed in the direction of the closest Toyota dealer to get these vehicles repaired.
"In this instance any grounded units will be transported to a dealership," Angelicchio said.
Non-Toyota franchised dealers and independent dealers who have units they would like to wholesale but cannot because they are not yet repaired can also now get these fixed via their closest Toyota dealer.
Angelicchio said that some auctions throughout the country are working to facilitate the repairs for their dealer clients.
Also, in some instances, an auction will assist dealers who have affected Toyota models at that facility which were grounded when news of the sales halt occurred.
"They are being repaired now, and as they are repaired, they will be sold right away," Angelicchio pointed out. "We're seeing them come in repaired. There is no issue where auctions or dealers do not have adequate parts."
As for closed sales, TFS has developed a strategy to sell the recalled models via TFS Off Lease Dealer Direct and through Closed Online Sales. The auctions that conduct these sales will have been informed of the procedures for selling these units, NAAA indicated.
"Redirecting these vehicles into our dealers as quickly as possible has allowed them to replenish their certified pre-owned inventory and it provides a more efficient process for getting them fixed," Ralph Fisco, national marketing manager for TFS, told Auto Remarketing late Thursday.
"While our first priority is to service the vehicles of current customers to ensure their safety and satisfaction, as time has allowed, technicians from the dealers have really put in the extra effort to get these fixes done at auctions — even working Sundays, evenings and holidays," he added.
Ultimately, Angelicchio said, "I think it's great news for Toyota and the industry as it enables us to start moving these vehicles through the auction chains. The sooner you can get these vehicles remarketed, the better.
"Toyota has worked very diligently to get through this process and in a short period of time we will be able to put this behind us," he reiterated.
Meanwhile, Frank Hackett, executive director of the NAAA, told Auto Remarketing, "We've worked really closely with Toyota on this issue and we feel they've done the best they can to solve it. They've been a good partner and we will continue to partner with them to fix any problems that may occur."