The death watch continues for Oldsmobile, the 107-year-old General Motors Corp. division that will formally end in about a year.
GM announced three years ago it was ending the 107-year-old brand.
The auto maker has offered special incentives of $1,500 for Olds owners buying another Oldsmobile and $1,000 for those buying another GM brand.
About half of Olds owners have stayed with GM. About 20% went to Chevrolet, 8% to Buick and 10% stayed with Olds.
Oldsmobile dealers have been reimbursed for loss of their franchises under a formula payment of $1,675 to $3,100 per new Olds sold in the dealership's best sales year between 1998-2000.
GM says it's signed phase-out agreements with 2,602 dealers with papers for another 38 drawn up. Sixteen dealers have filed compensation lawsuits.
“It's gone extremely well to be honest,” says Gary Cowger, GM's president of North American operations.
There are still 1,487 active Olds dealers. GM plans to build Oldsmobiles through 2004.
“We'll sell them as long as it's economically feasible,” says Cowger.
