Lynchburg, VA - The three major automakers were back on Capitol Hill Thursday, pleading their case to Congress. Of course, it isn't just the manufacturers whose future hinges on Congress. Local car dealers are also crossing their fingers and hoping for the best.

We talked to some dealers, such a tough time for them these days. And not just dealers. Think about the local sales tax revenue that comes from your local dealership. And all of the spin-off jobs. Dealers say it's a domino we can't afford to let fall.

William Farrell, Berglund Automotive - "It's unprecedented times."

William Farrell says business at Berglund Automotive is off 30 to 45 percent.

Farrell - "We try to adjust our inventories, adjust our advertising dollars we spend, combine jobs and so forth."

And Farrell's had to make some tough decisions - like cutting back on advertising or laying off employees.

Farrell - "I certainly go to bed thinking about it and wake up thinking about it."

And Farrell says it's not just about cars, our entire economy depends on the auto industry.

Farrell - "It's going to be devastating to the community, here locally, nationally and it's going to be a whole different picture."

But some economists see things differently, arguing the big three should go ahead and declare bankruptcy.

Joe Prinzinger, Economics Professor, LC - "A lot of economists think that the best thing that can happen is that they go bankrupt and be reorganized and come out of the reorganization process and come out as viable companies.

After all, it worked for the airline industry. But car dealers say it won't work for them.

Farrell - "Customers worry about warranties, parts... what's going to happen to my dealership?"

Prinzinger - "Companies go bankrupt all the time, get reorganized and come out on the other side. I don't see how because these are automobile companies, these are different than any other type of company."

But car makers and dealers say they are different and bankruptcy will hurt consumer confidence, which has already taken a beating.

 Email To Friend           Digg It!