Washington (AP) -- General Motors and Chrysler executives are defending the closings of hundreds of dealerships at a house hearing. Auto dealers say the plans will do little to cut costs.
A house panel was reviewing the closing of 789 Chrysler dealerships and plans by GM to shutter about 1,350 by the end of next year as part of their bankruptcies.
Michigan democratic Rep. Bart Stupak, the subcommittee chairman, says he was concerned the dealership closings may damage the brands instead of helping them.
GM CEO Fritz Henderson said in prepared remarks the dealer cuts were "quite painful" but necessary to preserve over 200,000 jobs at GM's remaining dealers.
Chrysler Deputy CEO Jim Press said the cuts were needed to save the company.
(Copyright 2009 by the Associated Press. All rights reserved.)