Sandy might send more than 250K cars to scrap heap
Last Thursday, Toyota Motor Corp, No. 3 in U.S. auto sales, said that 30,000 of October industry sales were lost due to less customer traffic or delayed purchases by consumers. Each of the major automakers said they expected those sales to be recovered later in November or in December.
Six of the leading eight automakers in terms of U.S. sales said on Wednesday that at least 16,000 new vehicles were damaged, and the lion's share of those will have to be scrapped.
Counting cars in consumer hands increases the total loss estimated to at least 266,000 vehicles.
We believe that between 100,000 and 250,000 vehicles currently in operation could be removed from used vehicle supply once all is said and done, said Laurence E. Dixon III, senior analyst with the National Automobile Dealers Association.
That compares with the 325,000 cars flooded during Hurricane Katrina, according to the National Insurance Crime Bureau.
AUTOMAKER DEALS ABOUND
All major automakers are offering some form of financial relief, allowing owners to defer payments for up to three months for customers in areas hardest hit until the end of the year.
Nissan Motor Co will offer employee pricing and discounted financing for Nissan and Infiniti vehicles in areas hit by Sandy through Jan. 2. Nissan has 225 dealerships in the affected areas.
GM, Ford and Chrysler are each offering $500 cash toward the purchase or lease of a new vehicle for those who
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