Thursday, April 8, 2010

AutoNation CEO: “Fat V” Recovery for Auto Sector

Published: Thursday, 1 Apr 2010

1:26 PM ET Text Size By: Brooke Sopelsa


By: Brooke Sopelsa
Writer/Producer, CNBC.com



The automotive sector was handed major setbacks during the recession, but Mike Jackson, CEO of AutoNation, said the industry is in store for a “Fat V” recovery.“We plunged from 16 million (vehicles sold) down to 10 million in two years, and it’s going to take us about four years to get back to 16 million,” Jackson explained.Jackson, who runs the largest chain of auto dealerships in the United States, added that March was an “excellent month” at the retail level.“I think March is going to break through 12 million units,” he said.He noted that 12 million is still a “depression-level number” but said the rise from last year’s sales is a confirmation of the recovery. He also said incentives would enhance March's sales results.

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