NEWSFLASH

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CAR SALES PLUNGE 51% IN APRIL

Manila, May 11, 1998 - Car sales have remained weak, dropping drastically by 51% in April to hit a new low of 3,705 units sold for the whole month.

Automotive industry sources said the drop was due to high financing rates and increased down payment requirement for auto loans, plus the slow and selective approval of financial applications.

Another heavy factor affecting car sales is the devaluation of the peso, which eventually triggered higher car prices.

For the first four months of 1998, aggregate sales plummeted 48% to 14,160 units from 27,309 units sold in the same period last year.

Least affected by the decline this year is Toyota, with sales of 3,900 units accounting for 27.5% of total foll-outs. Bulk of Toyota's output during the first quarter consisted of the flagship Corolla model.

Honda, which had been sales leader for two years, came in second with sales of 3,199 units in four months, mostly consisting of mid-range Civic and City models.

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