General Motors and Chrysler executives defended the closings of hundreds of dealerships Friday as House lawmakers questioned whether the decisions would save any money or help the troubled companies rebound.

"Many dealers and the communities they serve frankly feel blind-sided," said Rep Greg Walden, an Oregon Republican.

GM CEO Fritz Henderson told a sceptical House panel that the dealer cuts were "quite painful", but necessary to preserve over 200,000 jobs at GM's remaining dealers.

"In essence, this is our last chance," Henderson told the House Energy and Commerce Committee's oversight and investigations subcommittee.

Chrysler Deputy CEO Jim Press said the cuts were "the most difficult business action" of his career, but were among the shared sacrifices by the United Auto Workers union, bondholders and others needed to save the company.

"Going through bankruptcy was not our choice," said Press, who along with Henderson and the other witnesses were required to raise their right hands and testify under oath.

House members expressed dismay at the closing of 789 Chrysler dealerships and plans by GM to shutter about 1,350 of its dealerships by the end of next year.

jobs lost

They said many rural communities would be left without dealerships while thousands of jobs would be lost without any firm guarantees that GM and Chrysler, which have received billions in federal aid, would benefit long term.

"When it comes time to purchase a new vehicle, many of my new constituents will abandon GM or Chrysler and go to whichever brand is still locally sold by a person they trust within their community," said Rep Bart Stupak, a Michigan Democrat and the subcommittee's chairman.

"How does it help to close profitable dealerships?" asked Rep Diana DeGette, a Colorado Democrat who said 14 profitable Chrysler dealerships were closing in her home state.