It Pays to be a Clinton Crony if You're a Chrysler Dealer

A Chrysler dealer from Little Rock, AR did some research into the dealerships chosen for closing and notices that somebody decided to clear the field of competition for a former Clinton chief-of-staff:

Having reviewed the pattern of assumption and rejection of dealers throughout their region, I have detected a pattern: In every market where there is a dealership connected with former Penske Automotive executive Steve Landers, or his new automotive partnership with “Mac” McLarty (former Chief of Staff for President Clinton) and Robert L. Johnson (majority owner of the Charlotte Bobcats), the competitors are rejected.

In the Little Rock, Landers Chrysler Dodge Jeep is located far out of town in Benton, Arkansas. Nevertheless, the two Little Rock dealers, Cook and Crain were rejected.

In the Fayetteville, Arkansas area, Landers-McLarty Dodge Chrysler Jeep is located far out of town in Bentonville, Arkansas. Competitors Springdale Dodge Chrysler, Steve Smith County Jeep and Jones Brothers were all rejected.

In the Shreveport, Louisiana market, Lee’s Summit Dodge Chrysler Jeep (a Landers McLarty dealership) is located in Bossier City, Louisiana. Both competitive dealers, Claude de Beaux in Vivian, Louisiana and Greater Birmingham Dodge Chrysler in Shreveport were rejected.

In the Springfield, Missouri market, Tri-Lakes Motors (a Landers-McLarty dealership) is located in Branson, Missouri. Competitors Heritage Chrysler Jeep in Ozark, Missouri and Ramsay Motor Company in Harrison, Arkansas were rejected. A pattern seems to be emerging. Everywhere there is a Landers-McLarty dealership, Chrysler has rejected the competition.

In the Huntsville, Alabama market, Landers McLarty Dodge Chrysler Jeep, is located in Huntsville. Competitor Cloverleaf Chrysler Dodge Jeep was rejected.

Favoritism and cronyism towards preferred dealer group is not a valid exercise of business judgment.

What I don't understand is the wisdom of closing dealerships that were making money for Chrysler? There are lots of examples of profitable dealers getting the boot while some shops that weren't doing as well were being retained.

There's certainly something unsavory going on with these decisions.

UPDATE: Then there's this from a lawsuit to prevent the dealerships from closing:

“14. As just one of many examples, Quality Jeep Chrysler, in Albuquerque, New Mexico, was designated for rejection. The Dodge dealer down the block was designated for assumption. That was an exceedingly strange decision. The assumed Dodge dealer: i) is insolvent, ii) has been closed for over three months, iii) was publicly accused by the New Mexico Attorney General of conducting an “automotive Ponzi scheme,” and iv) had a contempt order entered against it for fraud and deceptive trade practices. Yet Chrysler seeks to assume that Dodge dealer’s franchise agreement. There is something rotten in the state of Denmark.”