The possible $25 billion bailout for Chrysler, Ford and General Motors is causing some concern in DeKalb. “Dealerships will likely not feel a direct impact if the bailout does not pass unless the manufacturer goes out of business completely,” said assistant economics professor Jeremy Groves. “They will just hurt because the general economy will be weakened, and they are selling goods that many view as luxuries. “If the package were to fail, car companies would be able to file for some type of bankruptcy,” Groves said.

“The most likely case is Chapter 11 which allows the companies to restructure themselves in an attempt to become more profitable,” Groves said. “In this case, they will likely not shut down all of their operations but will close some plants leading to significant job losses.”

Tom Sparks, owner of Tom Sparks Buick Chevrolet, 216 S. First St. is not worried about the future of GM Motors.

“I believe if they go bankrupt, they’ll come back stronger,” Sparks said.

Sparks said he is confident about the future of his dealership as sales have only dropped about 10 percent since last quarter, which he said is nothing to worry about. “Sure we’ll be affected, but I’m not thinking that way,” Sparks said. “If it comes my way, I’ll deal with it.” Mike Mooney, owner of Mike Mooney Chevy, Cadillac, GMC & Pontiac, 204 N. First St., is not so much concerned about sales but more about money that the dealership receives from the manufacturer.

“My main concern for our dealership going forward… is what assurances would be in place for the dealership to receive the monies owed routinely from the manufacturer for a myriad of items,” Mooney said.

These items include rebates given to the customer, gas fill-ups for new vehicle deliveries, warranty repair reimbursements, interest assistance for in-stock vehicles and funds advanced by the dealership to the manufacturer and held in escrow for every vehicle ordered, Mooney said.

“The loan request by the Big Three is prompted by the credit crisis,” Mooney said. “Auto makers, along with those in many other industries, do not have access to funds through traditional borrowing sources, and this is crippling the economy.”