From: john on 1 Aug 2010 14:33 Looks like inventory is piling up, and a good way of doing a fire sale is Low Lease Rates to riskier customers (sub-prime?) instead of Cash Incentives. "For Toyota, the deal could be a financial disaster. To keep customers coming to its showrooms amid a series of embarrassing recalls, Toyota has been offering some of its best leasing terms in years. And now it's offering leases to customers who are greater credit risks. CNW Research noted in a report that one Toyota program requires a credit score of "only 660 to qualify." That's seen as the dividing line between good and poor credit. "Toyota was in a corner. They had the recalls, and their inventory was climbing," said Matt Traylen, chief economist for Automotive Lease Group, or ALG, which analyzes residual and depreciation data. Full article at: http://www.freep.com/article/20100801/BUSINESS01/8010457/1331/business01/Toyota-gambles-on-future-with-low-lease-offers
From: hls on 1 Aug 2010 18:47 "john" <johngdole(a)hotmail.com> wrote in message news:d52dbe8c-90e9-421e-966c-d2d961239309(a)s24g2000pri.googlegroups.com... > Looks like inventory is piling up, and a good way of doing a fire sale > is Low Lease Rates to riskier customers (sub-prime?) instead of Cash > Incentives. Lots of companies are feeling a crunch because people dont have jobs like they once had. Some are still offering 0% interest loans for up to 6 years, just to try to move some inventory. I dont think Toyota is still suffering very much from the recall problem. If people have money to spend, they will continue to buy some cars, but maybe not with the reckless abandon they did a few years ago.
From: Hachiroku ハチロク on 1 Aug 2010 21:06 On Sun, 01 Aug 2010 11:33:01 -0700, john wrote: > Looks like inventory is piling up, and a good way of doing a fire sale > is Low Lease Rates to riskier customers (sub-prime?) instead of Cash > Incentives. > > "For Toyota, the deal could be a financial disaster. To keep customers > coming to its showrooms amid a series of embarrassing recalls, Toyota > has been offering some of its best leasing terms in years. And think of the3 excellent cars people are going to get at these prices! And, once you've had a Toyota, most people never buy anything but again. I'd say it's a good gamble.
From: Mike on 2 Aug 2010 11:03 Apparently you have not been looking on the used car lots of brands other than Toyota. There are oodles of late model Toyotas for sale on GM, Ford,Honda and the Korean brands as well as European brands. Seems plenty of Toyota buyers are switching to other brands. "Hachiroku ????" <Trueno(a)e86.GTS> wrote in message news:i355n4$lgp$1(a)news.albasani.net... > On Sun, 01 Aug 2010 11:33:01 -0700, john wrote: > >> Looks like inventory is piling up, and a good way of doing a fire sale >> is Low Lease Rates to riskier customers (sub-prime?) instead of Cash >> Incentives. >> >> "For Toyota, the deal could be a financial disaster. To keep customers >> coming to its showrooms amid a series of embarrassing recalls, Toyota >> has been offering some of its best leasing terms in years. > > > And think of the3 excellent cars people are going to get at these prices! > > And, once you've had a Toyota, most people never buy anything but again. > I'd say it's a good gamble.
From: ACAR on 4 Aug 2010 07:13
On Aug 1, 2:33 pm, john <johngd...(a)hotmail.com> wrote: > Looks like inventory is piling up, and a good way of doing a fire sale > is Low Lease Rates to riskier customers (sub-prime?) instead of Cash > Incentives. > > "For Toyota, the deal could be a financial disaster. snip "May 11, 2010, 3:16 a.m. EDT TOKYO (MarketWatch) -- Toyota Motor Corp. Tuesday said it swung to a net profit of 209.46 billion yen ($2.26 billion) in the fiscal year which ended in March, reversing a year-ago loss, and predicted the current year would also be more profitable despite its recent plague of recall woes." A $2.26B net profit disaster? Heh. |