OK….here’s a quick question. Who didn’t know that this was going to happen?
Besides, was it really a good idea to reward people with $4500 for simply having a lousy old car? Hello….we’re broke!
From Bloomberg by entitled: Ford, Nissan Say U.S. Sales Fell as ‘Clunkers’ Ended
“Ford Motor Co. and Nissan Motor Co. said U.S. auto sales fell in September as waning demand after the “cash for clunkers” rebates may have cut industry deliveries to the second-slowest rate this year.
Ford’s total including the Volvo brand declined 5.1 percent to 114,655 cars and trucks from 120,788 a year earlier, the company said in a statement today. The decrease was worse than analysts’ estimates. Nissan said sales dropped 7 percent to 55,393 from 59,565 a year earlier.
“We knew sales would slow down significantly after the cash for clunkers surge,” said Stephen Spivey, senior auto analyst at Frost & Sullivan in San Antonio. “We see sales slowing down for the rest of the year. October will tell you what kind of rebound comes off that dip.”
The seasonally adjusted annual sales rate slid to 9.3 million vehicles, based on the average of 8 analyst estimates compiled by Bloomberg. July and August were the only months in 2009 when the industry benchmark topped 10 million, a level that Ford and researcher J.D. Power & Associates expect the U.S. to surpass for the year.
The industry is coming off an August surge that snapped a streak of monthly sales declines dating to 2007. Buyers responded to the U.S. government’s offer of as much as $4,500 to trade in older, less fuel-efficient light vehicles from July 27 through Aug. 24, with almost 700,000 purchases.
Industrywide light-vehicle sales will be 10.3 million this year and 11.5 million in 2010, Westlake Village, California- based J.D. Power estimates. Last year’s sales were 13.2 million, after averaging 16.8 million this decade through 2007.”
I have got to tell you, instant gratification is wildly overrated.
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