San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-02-11
USED CAR PROBLEM
is DISCUSSED AT
CHICAGO MEETING
Grading Allowance" Sc
uerely Condemned at
NADIA. Convention.

st. Louis, Mo. Feb. 10-COndcmna-
ton of the FUSED car trading allow
ance" by the National Automobile
Dealers Association, one OF the features
of the annual convention in Chicago.
has created an unusual amount Of dis
| cussion throughout the industry. Many
indications of this reached the Gssocia-
ton headquarters in the last week, as
c. A. Vane, general manager, was pre-
pairing for trip that will take him
into practically every large city in the
United States, in the interests OF auto
mobile merchandising. .....
The National Dealer Association rep
resents the largest and most success
full merchants in the distribution of
automobiles. The association declares
the trading allowance" is unfair com
petition and n deceit TO the buying
public. The Grading allowance is an
arrangement between a factory and its
dealers, by which the dealer can trade
used cars, in deals for new cars, at
from 5000 to 5000 more than the old
car actually is worth. 1t is well known
throughout the industry that trading
allowances have been made on cars for
which the list price had been padded
by an amount equal TO the amount of
the trading allowance. The person who
pays cash for such automobiles is pay
ing a penalty that is escaped by the
person who trades in an old car on
the deal.
Resolutions adopted in the convention
condemned "forceful feeding" Of new
cars to the dealer under threat Of can
collation. of his contract; recommended
that dealers study their own territory
market to determine exactly those
automobiles which are in popular de-
mand and to restrict his purchase of
used cars TO that list and at such
prices that will permit of resale with
profit 10 the dealer.
G. g. Peckham, president of the Ohio
Buick company, Cleveland, Ohio, was
elected president of the National Auto
mobile Dealers Association. John But
Ter, head of the Butler Motor company,
Dodge Brothers dealers in Kansas City.
was advanced from second to first vice
president.
Charles +. GambilI. president Of the
MarmOn Chicago company. Chicago.
was named second vice president. +.
W. \. NeSpcr of Vesper Buick Auto
company, st. Louis, was reelected
treasurer. New directors elected are
{. b. Warren, president of the Warren
Nash Motor company, Nash distribu-
tors of New York; w. V. Harrington.
president of Harrington Motor com
pany, Hupmobile distributor Mime
apolls; John i. BOWS, president Of
BOWS Oldsmobile company. Oldsmobilc
distributor at Cincinnati: W. l..
Eaton, president of the W. /. Eaton
company, Dodge Brothers dealer, Seat
tie; Ginder Abbott, president of Abb |
bolt Automobile company, Packard
distributor, New Orleans.
From figures submitted TO the dealer !
association, forecast was made nv Gen |
eral Manager Eane that production and |
sales of automobiles for the first siX |
months of 1923 would be on a basis os !
a 3,OOO,OOO car production for the wear. /
but that some slight slowing down |
might be expected for tie last half of
the year. Sales for the year 1923 can
be safely calculated, he believes. to
reach 100000 if no unforeseen diff |
1lculties arise. This number would be
ABOUT 100000 more than the record !
1922. ''V'O ="
A noticeable feature of 1923 buying \
VIII be the enormous demand for closed II
cars. Recent improvements in design II
and manufacture have made production i
OIL closed cars possible at only a little
increase IN cost over open models and 1
buyers are coming into the market for
closed vehicles a year and sometimes 1
eighteen months earlier than thcv had 1
intended because of this fact.
When Power Declines
II a decline in power is noted, change
he engine oil, Add distilled water 10