Tricolor executives charged with fraud, Dealer Andy Wright on ‘destructive’ stair-step programs, Stellantis mulls brand cutbacks

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Hey everyone,

We’re putting together a special newsletter breaking down the wildest data points of 2025.

Think EV market share swings, spring tariff sales distortions, delinquency surprises, and any stats that made us stop scrolling.

Before we lock it in, we want your take.

What was the one number this year that really caught your attention…and why?

Let us know!

— CDG

Welcome to The Weekly, a roundup of the top five auto industry headlines of the week.

Former Tricolor executives charged with systematic fraud in federal case

Federal prosecutors charged former Tricolor executives this week, alleging the company’s leadership quietly turned fraud into a business model.

According to the indictment:

Executives at Tricolor Holdings allegedly made delinquent and charged-off auto loans look financeable, double-pledged that collateral to lenders, and used the illusion of performance to raise billions from investors.
That carried on until the company collapsed earlier this year, leaving more than 1,000 employees unpaid.

For now: Two former executives (the CFO and a senior finance leader) have already pled guilty, and prosecutors say the scheme ultimately left lenders, investors, employees, and customers holding the bag.

(Go deeper: 3 min. read)

Mid-Atlantic dealer Andy Wright on why OEMs should scale back ‘destructive’ stair-step programs

Also this week, dealer Andy Wright made an appearance on Daily Dealer Live, arguing the problem with stair-step programs is what they do to pricing.

His claim: The VINART Automotive Group partner argued that volume-based OEM bonuses push dealers into chasing targets instead of customers, creating wild price swings and, ultimately, two-tier pricing in the same market.

Once that cycle starts (dealers discount to hit the stair-step, OEMs read it as demand, production stays elevated), it becomes a self-reinforcing loop that eats away at trust, margins, and brand value.

Still, Wright reiterated that he isn’t calling for a fight with OEMs. Instead, he’s calling for tighter production discipline and real collaboration before incentive programs turn into what he described as a “destructive” race to the bottom.

(Go deeper: 4 min. read)

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Chrysler, Alfa, Maserati in the spotlight as Stellantis once again mulls brand cutbacks

Stellantis is once again taking a hard look at its brand lineup, with CEO Antonio Filosa launching an internal “emergency room” review to figure out which of its 14 badges actually have a future.

From what we can tell, the focus appears to be on underperforming European brands like Alfa Romeo and Maserati, though long-standing questions around Chrysler’s narrow lineup haven’t gone away either.

Looking ahead: Year-end sales results will likely shape what happens next, as Stellantis tries to simplify its portfolio and reassure investors it can grow profitably again.

(Go deeper: 3 min. read)

How Toothman Ford’s 12-to-1 used-car strategy built a small-market powerhouse

In a West Virginia town of ~3,000 people, owner JR Toothman is rebuilding Toothman Ford around used cars by buying heavily from the street and service lane, getting far more selective at auction, and using used volume to feed the rest of the store.

Here’s why:

In a market with limited income growth and tight new-car affordability, stretching price points wasn’t realistic. Margin control mattered more than chasing volume.
Knowing that, Toothman leaned into a model where used inventory fuels everything downstream. Think service traffic, recon scale, technician investment, and F&I production.

As a result: This process, at its worst, gives Toothman tighter cost control and predictable volume. And at its best, it turns used cars into the engine that feeds fixed ops, F&I, and long-term stability across the entire dealership.

(Go deeper: 4 min. read)

Exclusive: Dealer backlash grows over Nissan incentive program

A group calling itself “Concerned Nissan Dealers” is escalating pressure on Nissan over its Nissan One incentive program, arguing it’s paying dealers less while pushing them into volume-driven behavior just to survive

Essentially, in a letter shared with CDG News, dealers say the stair-step structure has weakened franchise value, forced reliance on fleet and broker deals, and left some stores effectively unsellable.

Not because of demand, but simply because of how the program is designed.

The group’s ask is straightforward: Reset targets to reflect real market conditions and restore below-the-line support that actually improves dealer profitability.

(Go deeper: 3 min. read)