Featured Blog Posts – September 2008 Archive (10)

Bailout Revival Lifts Stocks

Investors remained optimistic this morning that a new bailout package will be presented -- and passed -- by as early as Thursday. After mixed results from Asian and European markets overnight, the Dow Jones opened 200 points higher, and has remained at that level throughout the morning.

While details on Plan B (for Bailout) are still sketchy, the markets are expecting some good news in the near future.

Added by Mike Gibb on September 30, 2008 at 11:00am — No Comments

The Chase-Mazda Hookup: A Golden Opportunity

If the deal inked today with Mazda Motor Corp. works out well, it may very well cement Chase Auto Finance’s role as a private-label finance provider.

Chase will take over Mazda financing operations from Ford Motor Credit on Oct. 1.

Chase Auto already serves as the captive for Subaru of America. In fact, Subaru ditched its own auto finance unit to work with Chase.

Private-label financing is something that Chase Auto Finance Chief Executive Marc Sheinbaum knows… Continue

Added by Marcie Belles on September 26, 2008 at 12:00am — No Comments

Report: GMAC Needs Bailout to Survive

If GMAC is banking on being included in the $700 billion bailout in order to survive, as this article suggests, then word tonight of a Congressional impasse can not be seen as a positive development.

Added by Mike Gibb on September 25, 2008 at 10:38pm — No Comments

Bill Heard Enterprises closes its doors Scottsdale, AZ., Sept. 24, 2008 - According to Automotive News' Chrissie Thompson, Bill Heard Enterprises, the country's top Chevrolet dealer group, is clo…

Bill Heard Enterprises closes its doors

Scottsdale, AZ., Sept. 24, 2008 - According to Automotive News' Chrissie Thompson, Bill Heard Enterprises, the country's top Chevrolet dealer group, is closing the doors at all of its 13 dealerships at the end of business today, according to a person with knowledge of the situation.

The company notified the stores' general managers at 2 p.m. today, the source said, who spoke anonymously because he was not authorized… Continue

Added by Steve Cortes on September 24, 2008 at 3:54pm — 6 Comments

Big Three Lobbyist Pushing for Auto Finance Inclusion in Rescue Plan

Big Three lobbyists are pushing for the inclusion of auto loan-backed securities in the Treasury Department's rescue plan, The Wall Street Journal is reporting this morning.

According to the Journal, "So far, Congress hasn't agreed to include auto-industry finance companies in the bill specifically. Companies are 'working to make it happen,' said the auto-industry lobbyist. 'The finance companies want… Continue

Added by JJ Hornblass on September 23, 2008 at 9:31am — 5 Comments

"The Argument for Sound Business"

During my last 29 years in auto finance, my mantra has always been the

same: Put credit-impaired customers into vehicles that 1) they can

afford; and 2) a unit that won't break down before their first payment is

due. Want to see an example at the opposite end of these principles?

Google "Security Capital Funding" and you'll read outlandish statements

from their customers regarding the collection of payments and units not

being roadworthy.

I truly believe… Continue

Added by Kathleen O'Shaughnessy on September 19, 2008 at 4:21pm — 6 Comments

CREDIT CRISIS: Morning Headline Scan for 09.19.08

The financial crisis is evolving so quickly that we thought it best to simply share some crisis-related wire headlines with you. Viewing them in aggregate gives a good sense of what is happening in the moment. These headlines are as of 8:58 a.m. ET:

[WB] Wachovia shares rise 41% in pre-open trade 8:48 AM ET

[WM] Washington Mutual shares rise 45% in pre-open trade 8:47 AM ET

[MS] Morgan Stanley shares rise 50% in pre-open trade 8:46 AM ET

[GS] Shares of Goldman Sachs… Continue

Added by JJ Hornblass on September 19, 2008 at 9:16am — No Comments

Auto Industry Stocks Rallying

In the wake of near panic in the financial markets since Sunday, automotive stocks are rallying today. AmeriCredit is 2.19% higher at $9.95 a share. Asbury Automotive Group, AutoNation Inc., and Lithia Motors Inc. are all trading higher as well. Additionally, the index of large automotive manufacturers is 1.38% higher as talk of a federal bailout loan for the auto industry intensifies.

Added by JJ Hornblass on September 18, 2008 at 11:20am — No Comments

Porsche Takes Control of VW

Porsche today said it now holds 35.14% of the voting rights in Volkswagen group, Automotive News is reporting. Porsche said that as a result VW has now become a subsidiary of Porsche Automobil Holding under German law. Click here for the full story from Automotive News or here for The Wall Street… Continue

Added by JJ Hornblass on September 16, 2008 at 9:30am — No Comments

Lehman Bankruptcy, BofA-Merrill Deal Changes Auto ABS Landscape

This weekend's remarkable events surrounding Lehman Brothers Holdings, Bank of America Corp., and Merrill Lynch & Co. changes the landscape for automotive securitizations.

BofA just last week spearheaded one of the more important auto loan securitizations of 2008, a $5.7 billion deal. There have been scant auto ABS deals so far in 2008, and this deal also successfully went to market despite a concentration… Continue

Added by JJ Hornblass on September 15, 2008 at 9:30am — No Comments