Auto sales seen as near bottom

DETROIT, April 30 (UPI) -- Auto industry experts said U.S. sales figures have virtually hit bottom and have started to stabilize.

Auto sales in the first quarter this year fell 37.6 percent compared to the first quarter of 2008, USA Today reported Thursday.

But "industry sales are starting to show signs of stability -- albeit at levels near 30-year lows," says Gary Dilts, senior vice president of global automotive operations at J.D. Power and Associates.

Edmunds.com said the sales rate is slowly making headway, USA Today reported Thursday.

Itay Michaeli at Citigroup Inc. said demand is starting to build as the economy dances around a "tug-of-war between rising replacement needs and job concerns."

As Chrysler LLC closed in on a bankruptcy filing and with General Motors Corp. 31 days away from a federal mandate for restructuring, Ford Motor Co. Chief Executive Officer Alan Mulally said supply issues now loom as a serious concern.

"Clearly, the health of the supply base is the most critical issue as the government helps GM and Chrysler restructure," he said recently.