Dealers lobby Congress for help with GM, Chrysler

Auto dealers lobbied Congress on Wednesday to try to slow plans by General Motors Corp and Chrysler LLC to cut their ranks.

A rapid cut of dealers is a bad idea, John McEleney, chairman of the National Automobile Dealers Association (NADA), said in a statement.

McEleney said his organization does not oppose dealer consolidation but believes the administration and the companies are moving too fast.

GM wants to cut its dealer network to 3,605 from 6,246. Chrysler's plan remains under wraps.

The industry group is asking members of the House and Senate in select meetings to intervene with the Obama administration's autos task force on planned reductions.

The White House/Treasury task force is driving the restructuring of both companies, which are planning to close plants, cut jobs and restructure dealer lineups to establish viability.