GM Might Kill Saturn, Pontiac, Saab Says Rumor Mill
GM Might Kill Saturn, Pontiac, Saab Says Rumor MillAccording to Bloomberg News on Wednesday, by way of Detroit News, GM is considering eliminating its Saturn, Pontiac, and Saab divisions. The move would ostensibly help it receive as much as $12 billion in federal assistance. As of late Wednesday, GM spokesman Steve Harris had no comment on the possible move.
Bloomberg's article quoted sources who came forth only under condition of anonymity. Axing divisions may be a part of GM's formal plan to be presented to Congress this coming Tuesday, December 2, as the Big Three return (hopefully on a commercial airline, or perhaps Greyhound) to make their case once more. After the first monetary request to Congress, Nancy Pelosi and other congressional leaders refused assistance to the Big Three and asked for fiscally responsible plans that show they will be good stewards of loaned monies, able eventually to pay it back.
Part of GM's enormous daily cash burn is supporting a behemoth dealer network--as well as vehicle R&D--for a grand total of eight brands. Paring down to five brands in all will conceivably make GM a leaner, meaner operation, bringing it closer to Ford (four brands) and Chrysler (three).
So what important vehicles might we lose in this scenario? Nothing that couldn't be shifted to another division or that isn't already just a rebadge. The most unique models that come to mind are the Saturn Astra (a rebadged Opel), Saturn Sky/Pontiac Solstice, Saab 9-3 and 9-5, and the Pontiac G8. I think the G8 would be the only significant loss, as it would leave GM without a rear-wheel-drive V-8 performance sedan, apart from the awesome (but twice-the-price) Cadillac CTS-V. Could the G8 be morphed into the next-gen Impala, which should always have a been a rear-driver anyway?--Colin Mathews
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Make sure you check out our partner sites dedicated to focused news, reviews and more for Ford, Chevrolet, Toyota, Honda, and the Toyota Prius. Saturn logoEnlarge Photo Pontiac logoEnlarge Photo Saab LogoEnlarge PhotoAccording to Bloomberg News on Wednesday, by way of Detroit News, GM is considering eliminating its Saturn, Pontiac, and Saab divisions. The move would ostensibly help it receive as much as $12 billion in federal assistance. As of late Wednesday, GM spokesman Steve Harris had no comment on the possible move. Bloomberg's article quoted sources who came forth only under condition of anonymity. Axing divisions may be a part of GM's formal plan to be presented to Congress this coming Tuesday, December 2, as the Big Three return (hopefully on a commercial airline, or perhaps Greyhound) to make their case once more. After the first monetary request to Congress, Nancy Pelosi and other congressional leaders refused assistance to the Big Three and asked for fiscally responsible plans that show they will be good stewards of loaned monies, able eventually to pay it back. Part of GM's enormous daily cash burn is supporting a behemoth dealer network--as well as vehicle R&D--for a grand total of eight brands. Paring down to five brands in all will conceivably make GM a leaner, meaner operation, bringing it closer to Ford (four brands) and Chrysler (three). So what important vehicles might we lose in this scenario? Nothing that couldn't be shifted to another division or that isn't already just a rebadge. The most unique models that come to mind are the Saturn Astra (a rebadged Opel), Saturn Sky/Pontiac Solstice, Saab 9-3 and 9-5, and the Pontiac G8. I think the G8 would be the only significant loss, as it would leave GM without a rear-wheel-drive V-8 performance sedan, apart from the awesome (but twice-the-price) Cadillac CTS-V. Could the G8 be morphed into the next-gen Impala, which should always have a been a rear-driver anyway?--Colin Mathews --- Make sure you check out our partner sites dedicated to focused news, reviews and more for Ford, Chevrolet, Toyota, Honda, and the Toyota Prius.
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Responses (18 total)
By Reece #11, Posted: 12/1/2008
It is a sad day but one that GM has been heading to for some time.
GM did nothing with SAAB, it could and should have a long time a go either killed it off or sold it on or done soemthing with it. It just kept pumping out another 9-3. Problem with selling it is that it is now all based on GM product anyway so who would buy it? It should have developed smaller cars and more than just the the 9-3. Sad also as seemed to be heading in a nice design direction.
Saturn, again bad management, Saturn could have been turned into small car division but wasn't instead became just another badge engineered crap (apart from Sky, badge engineered but not crap). Time to Axe it.
Pontiac, why Axe it? Either sell it or just keep going but at small rate.
SAAB and Saturn I think just kill them off, any value they might have had is gone. Pontiac just park until hoped for better days.
In the end though it isn't going to solve the problem. VW does ok with around 8 brands (if you include Porsche, VW, Audi, Skoda, SEAT, Lambo, Bugatti and Bentley) so it can be done if done properly. GM just needs better management.
I'd do as VW and split into two Divisions with two dealer networks in the US; Chevrolet Division (everyday cars Chevy, Pontiac, & GMC) and Cadillac (upmarket- Caddy, Buick and Hummer). As an upmarket only brand I think Hummer still makes some sense.
I'd keep Pontiac small, maybe 4 vehicle lines built off of other GM products but with unique styling, also would return to names eg Bonneville (for G8), GTO (using Camero parts), Tempest (G6) and Solstice
By Wade #12, Posted: 12/1/2008
I totally agree. Saturn is ready to go I believe. Ditch Saab, I've never seen someone drive a new one anyway, so just do what should've been done along time ago, get rid of it. DO NOT kill Pontiac. Pontiac is just about the only hope left for performance fans such as myself. Of course they won't get rid of Chevy, which they shouldn't. But man do NOT get rid of Pontiac. I could see Hummer leaving though. Maybe even Buick, but Pontiac seems to be doing very well with the G6 and G8, but I agree give it a real name. Not these stupid letters and numbers. That's unidentifiable to me.
By Paul zuercher #13, Posted: 12/2/2008
I think GM should keep SATURN and kill both PONTIAC & BUICK. They could probably sell the HUMMER & SAAB brands to some foolish group of venture capitalists.
This would leave GM with three brands to build upon; CHEVY, SATURN & CADILLAC. This makes sense but they need to file for bankruptcy protection as well.
Ford should eliminate the MERCURY line. When did you last see a Mercury on the road that didn't have a Hertz or Budget bar code in the back window?
By Tony #14, Posted: 12/13/2008
Selling off brand or doing away with them all together will not solve the problem. If the US can not build a better and more affordable car than the foreign car companies they will still be in the same shape they are in now.They need to cut the fat at the top of the companies. Each white collar worker who is not needed could save four or five blue collar workers job. The unions need to open their eyes up as well and renegotiate with car companies to save jobs instead of being stubborn and maybe having thousands lose their jobs.
By Greg #15, Posted: 12/16/2008
Kill Pontiac/Saturn. Sell SAAB. Kill GMC. Keep Chevrolet, Buick, Cadillac. Make the G8 an Impala. Make the Impala a 2dr 4dr and Wagon (Just like it used to be!). Quit building duplicate and triplicate models under different names...this was never smart. Go back to the basics of the 50's and 60's, building fewer/better models with retro designs that will sell to Americans. We like retro...ie, Mustangs, Challenger, HHR, Camaro... Then, reorganize the UAW (b.s.) and find a cheaper health insurance agent. Quit spending millions on ads that don't work and find someone that will make ads for the Big 3 to compete with the foreign Big 3 (Honda/Nissan/Toyota). As far as Ford is concerned, get rid of Mercury and keep Ford/Lincoln brands only. Chrysler has already begun to eliminate cars that don't sell.
GOD BLESS THE US AUTOMOBILE!
By tdogg167 #16, Posted: 2/5/2009
GM Cant Sell Out
Im sorry But i honest think this is a buncha bs gm can sell out pontiac i dunno bout you but where i live every where i look theres a pontiac veichle driven around just cause the markets crashing doesnt mean they should sell out there what i call big seller i garentee ya theres more pontiac's so from gm then chevy it self i honestly thing this would be walking on thin ice for gm if they did that i dont think selling of saturn or PONTIAC! would be the greatest idea essecially with ford kicking with 4 brands of veichles and chrystler kicking with 3 its be bad for gms bisnesss added one meny pissed off gm driver that are driven saturn and pontiac! Worst Mistake gm would ever do is selling those brands off
By Jag #17, Posted: 3/31/2009
GM News
hey does anyone know that Whats happening with Gm Holden Austalia We make the new pontiac here and export to you guys. will we be impacted
By Chris Paquette #18, Posted: 4/24/2009
Mr
I think this is a huge joke! GM needs to look into what consumers are buying. Dump Cadilac,Satarn,Hummer and Saab. I am pissed off with the crap GM keeps pulling. I love my 09 G8 GT and would like to keep buing Pontiacs. If GM dumps Pontiac I will sadly start buying FORDS and say the hell with GM. It is time these jack asses start getting things right.
Proud driver of a Pontiac.
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