With final dealer payments being processed under the enormously successful CARS program, U.S. Transportation Secretary Ray LaHood announced today that the agency has crossed the finish line for paying back eligible and complete dealer submissions. "This is the final curtain call for a program that took the entire nation by storm and succeeded beyond expectations," said Secretary LaHood. "There can be no doubt that this program drummed up more business, for more people, in more places, at a time when our economy needed help the most." With the $3 billion provided by Congress to run the CARS program, consumers turned in gas guzzlers and bought nearly 700,000 more fuel efficient vehicles in fewer than 30 days. In August alone, retail sales rose by 2.7 percent, due in large part to a notable 10.6 percent boost in sales by auto dealers. Ford and General Motors recently announced production increases for both the third and fourth quarters as a result of the demand generated by the program. Honda also said it will be increasing production at its U.S. plants in East Liberty and Marysville, Ohio and in Lincoln, Alabama. In addition, the program provides good news for the environment, a 60 percent improvement in fuel economy between the trade-in and new cars purchased.
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