Urban Science confirms what everyone in auto industry already knew

2009 was worst year on record for dealership closings

Cities w/ largest decline percentage include Charleston, SC; Stockton, CA; Albany, NY

None of 932 markets gained more than 1 dealer last year

States w/ highest percentage of losses includes AK, MS, SC, AR, MO

Dealer count fell by 1,605 or 8% down to 18,841 total stores

Normal attrition is 1%; previous record was 2008 w/ 881 dealers closing

Experts cite GM, Chrysler reducing dealer count for 90% of closings

Also say consolidation will not increase throughput at surviving stores

Remaining dealers still face challenges of economy, credit

"While automaker bankruptcies and bad economic times drove the closures, all dealers have to deal with a market that has dropped from several years of 17 million units in sales to somewhere around 11 million. Automakers and dealers have to reach a greater territory with fewer resources. It's more critical than ever to work together for mutual, profitable growth. With change comes an opportunity to build a stronger network of optimal size and makeup." -- John Frith, VP retail channel solutions, Urban Science

"Dealers are resilient entrepreneurs who survived this year just as they've survived tough times in the past. They reduce variable costs and focus on parts, service and used cars for revenue." -- Randy Berlin, global practice director, Urban Science