Aug. 15, 2005 - In the stock market, if there is bad news for a stock, the price drops like a rock. GM, Ford and Chrysler have all announced Employee Price Programs to clear out excess inventory of most mainstream 2005 models. Millions of marketing dollars have been spent to create the perception of huge savings. This is bad news for the used car market, causing used car prices to plummet.

Automall Network, a Personal Shopper that specializes exclusively in vehicles, has been recommending buying used to their clients for the last two months. "It's simply the law of supply and demand" explains Viraf Baliwalla, President of Automall Network. "We've been telling our clients that it is an OK time to buy new with these Employee Programs. However, it is a great time to buy used". Here's why:

• According to Automotive News, Adesa Inc. (USA), one of the largest wholesale vehicle auctions, reported flat sales of used vehicles in its second quarter.
  
• Adesa says trade-ins pouring into dealerships because of the Big 3's summer blowout sales of new vehicles have curbed dealers' need to buy used-vehicle inventory at auction. Adesa Canada is not commenting on attendance figures or used car values.
  
• If lots of people are buying new, then that means people are not buying as many used while at the same time more used vehicles are being traded in.
  
• This is flooding the retail used car market.
  
• Therefore, there is a lot more room to maneuver now than ever before.

"Employee Pricing is no big deal" claims Baliwalla. "Because of volume and relationships, we get fairly close to employee pricing at any time of the year on any make and model, even on the imports. However, right now, there are many excellent buying opportunities out there for good used vehicles".

Automall Network is an independent expert in buying new and used vehicles. They have been helping consumers and companies buy vehicles at discount prices since 1999. They are also retained by major insurance companies to negotiate replacement costs on total loss claims.