Here's the math that I think MP is looking at:
For the '02 -
They're making $2,000 off the '02, and they'll make about $3000 selling your '01, for a profit of about $5000. Now they could make probably $3500 more selling the '02 to anyone but you too so subtract that, add back in holdback of $1500, leaving a net difference of $3000. $8400 - $3000 leaves $5400 that goes into Chevy's coffers.
For the '01 -
They're making $1500 off the new '01 counting holdback, and they'll make about $3000 selling your '01, for a profit of about $4500. Now they could make probably $1500 more selling the new '01 to anyone but you too, subtract that, leaving a net difference of $3000.
Prices of '01's have been dropping pretty hard with dealers trying to get rid of old stock, so getting what you paid for it, even if you sold it yourself is pretty unlikely, given that a buyer could get a new one.
Your post is worded where it sounds as if you think that $8400 is a rip off, and I don't think it is. You're getting a year newer car with only 500 less miles, 20 more hp, etc. I can tell you that there are a lot of people selling '01s to get an '02 and you can bet they aren't getting that deal. Given the choice, I'd go the '02 route and be damn glad I got it.
Frank's dealer was certainly the exception, not the rule. Frank - how much previous business had you done with them, did you know the owner, etc.?
Can you post a pic of this damage? Ask them if they want my Orange Peel special and we can do a twofer special! /phpBB/images/smiles/icon_biggrin.gif