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Old 03-04-2016, 10:34 AM   #7
Join Date: Nov 2007
Posts: 14,861

Originally Posted by Deniset View Post
Most of the dealers who implement the process, after all the legalities and permissions, have also seen an increase in fees/expenses for their incoming new vehicles. This more than offsets the increase in parts profit gained in charging retail for warranty parts.
Thanks for the post - interesting information.

I recall reading a story in Automotive News years ago where one of the OEMs, I think it was Ford, added a line item surcharge to the invoice of the vehicles it shipped to dealers who were getting paid a retail rate for warranty parts.

As I recall the Dealers were frustrated because the charge didn't appear on the Monroney so it came out of their margin.

I would have guessed that OEMs were no longer adding fees or expenses against dealerships that were eligible for retail parts reimbursement - but I've been wrong before....
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