Automobile Dealerships Begin to Raise HEV Prices

The Wall Street Journal recently reported that some automobile dealerships
have begun introducing premiums of "$5,000 or more" for hybrid electric
vehicles (HEVs) in response to rising consumer demand for HEVs and tight
hybrid supplies.

According to the publication, some dealers have also begun placing
interested HEV owners on six-month or longer waiting lists, as Toyota Motor
Corporation and Honda Motor Company, Ltd., currently the only two automakers
offering hybrids in the U.S., are facing difficulties in manufacturing
enough HEVs to meet consumer demand. For instance, the Wall Street Journal
said Toyota Motor Sales, USA, Inc. currently "has a backlog of 22,000 orders
that it cannot fill at the moment."

The Wall Street Journal noted that while Toyota Motor Sales, USA officials
have requested additional supplies of the Prius HEV, which is manufactured
in Japan, Honda officials have opted to continue monitoring the auto market
before increasing supplies, as lower gasoline prices could potentially
reduce HEV demand.

(WALL STREET JOURNAL: 6/10)