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Election Day Postpones Monthly Sales Posting for Many Automakers

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On: Mon, Nov 1, 2010 at 4:20PM | By: Sherry Christiansen


Election Day Postpones Monthly Sales Posting for Many Automakers

Will automakers postpone monthly reporting for 24 hours when the monthly posting date happens to fall on Election Day? According to automotive news.com “automakers are splitting their ballot.” This year represents the first time the coincidence has happened in 6 years.

Many automotive brands, such as Hyundai, Kia, and Subaru, have decided to stick with Tuesday for posting monthly sales records, which happens to be the same day that the U.S. voters get an opportunity to participate in perhaps the most significant election of the decade. The political party that controls the United States House and Senate (as well as 37 state governorships) will be elected, and automakers fear their earning statements might affect the results.

Detroits' Big 3, including Ford, GM, Chrysler, as well as Toyota, and Honda (along with a few other brands), changed their reporting date to Wednesday this week in order to avoid any conflict with Election Day, which according to automotive news.com “is unusually contentious and partisan this year.”

When October numbers do come in, financial analysts are predicting them to be higher than last month and possibly the highest since August of 2009.

Forecasters expect the industry to report U.S. sales of about 930,000 new cars and light trucks in October. On a “seasonally adjusted, annualized basis,” that indicates sales of just about 12 million vehicles a year.

If the predictions materialize, October be the strongest month in 2010, and just the second time since September 2008 that the monthly annualized sales rate exceeded 12 million, according to Autodata Corporation. The only other time was August 2009, when the federal government's "cash for clunkers" program resulted in a huge boost of U.S. sales.

But the expected news doesn’t indicate recovery for the auto industry, especially when compared to the annual sales pace of about 16 million vehicles seen earlier this decade

In fact, because of the continued slow rate of the auto industry recovery, some forecasters recently lowered their sales estimates for this year as well as 2011. J.D. Power and Associates predicts the end result of 2010 sales coming in at 11.5 million cars and light trucks, down from its previous forecast of 11.6 million. And for 2011 sales the forecast is 12.9 million, down from its previous prediction of 13.2 million.

So while this week's Election Day will complicate reporting of October auto sales, the public can look for final figures to arrive by Wednesday.




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annet1C | 10:32PM (Fri, May 11, 2012)

Hack again?!



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