WATERLOO - On Thursday, 789 Chrysler dealers across the country - including Holdiman Motor Inc. in Cedar Falls - got the word they would be dropped from the ailing automaker's network.

Today, it could be General Motors dealers' turn.

Gary Thomas, president of the Iowa Automobile Dealers Association, said GM was sending letters to as many as 1,100 dealers in its system Thursday, notifying them that their franchise agreements will not be renewed when they expire in October 2010.

Thomas said GM's pink slips would arrive today.

"I think what it means is we're losing jobs in Iowa and across the country, and that's the concern I have," Thomas said. "These people have dedicated their lives to the industry. For the dealers, I don't know what they're going to do. It will be an individual business decision about what it looks like for them going forward."

Iowa franchise laws won't protect the Chrysler dealers, because federal bankruptcy statutes take precedence, Thomas said.

However, the franchise laws would provide some protection to GM dealers, at least until that automaker files for bankruptcy protection - a move GM CEO Fritz Henderson has told reporters was "probable" by June 1.

Holdiman Motor, which also sells new Suzuki vehicles, is the only Chrysler dealer in Waterloo and Cedar Falls. Holdiman was among 22 Iowa Chrysler dealers the bankrupt automaker listed in court papers Thursday as operations is wants to trim from its dealer network.

But that could change, said Tom Holdiman, an owner of the Cedar Falls dealership.

"We understand there's two more cuts at least, so it will be business as usual," Holdiman said Thursday afternoon.

In other words, he said, Chrysler likely will post revised lists that could give his dealership a reprieve.

"There could be people taken off the list, put on the list; a lot of it has to do with the bankruptcy court and the new Chrysler under Fiat's leadership," Holdiman said. "That's what we've been told."

Dealers slated to be closed plan to file an appeal, Holdiman added. He and other dealers hope to get Chrysler to reconsider their decision.

Auburn Hills, Mich.-based Chrysler entered Chapter 11 bankruptcy two weeks ago.

All of its dealers can continue to sell Chrysler vehicles until June 9.

The late Jim Holdiman founded the Cedar Falls dealership, long a staple on University Avenue, in 1967, selling American Motors vehicles. Chrysler bought AMC and its Jeep lineup in 1987.

Tim Friday, owner and lone salesman for Conrad-based Chrysler dealer Friday's Service Inc., in southern Grundy County, said he received his letter from Chrysler Thursday morning.

"I've been kind of anticipating it," he said, adding that his inventory of Chrysler vehicles "is not that large."