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Article:700 car dealers could go belly up this year:/c/a/2008/10/07/BUD313D7H2.DTL Article:700 car dealers could go belly up this year:/c/a/2008/10/07/BUD313D7H2.DTL Home of the | | Quick links to the best of SFGate | Still can't find it? see Today Sections More Features 700 car dealers could go belly up this year Wednesday, October 8, 2008 Georgia (default) Verdana Times New Roman Arial | Size: 700 car dealers may fail this year, trade group says The chairwoman of the National Automobile Dealers Association says the credit crunch and economic problems are likely to cause 700 auto dealers to go under this year. Get Quote More Business 10.07.08 10.08.08 10.08.08 10.08.08 Speaking to the Automotive Press Association in Detroit, Annette Sykora on Tuesday urged fast government action on putting a $700 billion financial industry rescue plan in place. The Lubbock, Texas, auto dealer says quick action will thaw frozen credit, restore consumer confidence and help the auto industry. "This credit crunch is real on Main Street," she said. "If the country can break the credit freeze on Wall Street, then we can help provide the economy on Main Street." About 94 percent of vehicle buyers in the country finance their purchases, but even those with credit scores in the 700s, previously considered good credit, cannot get financing, Sykora said. Dealers with good credit also are having trouble getting financing for their inventories, Sykora said. There currently are more than 20,000 auto dealers in the country, and even in good times, some go out of business. About 430 dealerships closed last year and 295 closed in 2006, according to the NADA. The estimate of 700 dealers going out of business does not include new dealers that will enter the market. Associated Press Eli Lilly settles over Zyprexa marketing Drugmaker Eli Lilly & Co. announced a $62 million settlement Tuesday over its top-selling drug Zyprexa, an antipsychotic medication. Lilly agreed to pay 32 states and Washington, D.C., to resolve an investigation into the company's marketing practices. California is among the states involved. Attorneys general from several states had accused Lilly of marketing Zyprexa for off-label uses and inadequately disclosing its side effects to health care providers. Lilly was accused of marketing the drug for pediatric care, for use at a high dose and for the treatment of dementia. Doctors are free to prescribe drugs for uses not approved by the FDA, but drug companies cannot market them for those situations. The company did not admit wrongdoing. Associated Press Safeway profit jumps 3% in 3rd quarter Higher sales at its gas stations and upscale stores helped boost grocer Safeway Inc.'s profit nearly 3 percent in its third fiscal quarter. The nation's second-biggest grocery store said Tuesday that its profit rose to $199.7 million, or 46 cents per share, for the three months ended Sept. 6, from $194.6 million, or 44 cents per share, last year. The results sent Safeway shares up nearly 5 percent Tuesday to close at $22.85, gaining $1.08 for the day. Safeway's sales rose nearly 4 percent to $10.2 billion from $9.8 billion. Associated Press Internet advertising revenue off slightly U.S. Internet advertising revenue dipped slightly in the second quarter, likely a ripple effect from the bad economy. According to a report released Tuesday by the Interactive Advertising Bureau and PricewaterhouseCoopers LLP, online advertising revenue totaled $5.7 billion, up from $5.1 billion in the same quarter in 2007, but down from the $5.8 billion reported for the first quarter of this year. This is the market's second straight decline. Ad revenue of $5.9 billion was reported for the fourth quarter of 2007. Associated Press Safeway recognized for hiring disabled Safeway is being honored today by the U.S. Department of Labor for exemplary disability employment practices. The company employs 10,000 people with disabilities, and has for many years hired and encouraged them to progress in the company. Chairman Steve Burd, president and CEO of Safeway, is scheduled to appear on a video shown at the awards ceremony at Grand Hyatt Washington Hotel in Washington, D.C. Jim Abbott, a former major-league baseball pitcher who was born without a right hand, and Safeway are to be awarded the Department of Labor's Spirit Award. Eight other companies or organizations are receiving the New Freedom Initiative, noting their efforts to improve employment opportunities for people with disabilities: the HSC Foundation, Linking Employment Abilities and Potential, Best Buy Co. Inc., Deloitte, Ernst & Young LLP, Lockheed Martin Corp., PepsiCo Inc. and WellPoint Inc. - George Raine This article appeared on page C - 2 of the San Francisco Chronicle Comments Most Recommended Comments Report item as: (required) Comment: (optional) Director discusses the rebirth of Hong Kong cinema. Hef's harem shrinks; Nicole: 'No regrets' about Tom years. What would happen if the entire world could vote in our election? Morford. It's Halle Berry, says Esquire. Buffy died while fending off a gunman robbing her owner in E. Oakland. Local S&L tycoons cry foul after comedy show mocks them. Bottom Line. Coach Nolan thinks the 49ers should be better than this. Is he right? Antiquity's most famous monarch heads to the De Young next year. A gallery of pics from the joyous Hardly Strictly Fest. 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