GM kills Saturn after Penske ends deal

NEW YORK (CNNMoney.com) -- Car dealership operator Penske Automotive Group announced on Wednesday that it has cancelled plans to acquire General Motors' Saturn unit. As a result, GM said it will wind down the brand and dealer network.

The announcement comes nearly four months after Penske agreed to buy the rights to the 19-year old brand from GM when the automaker was in bankruptcy.

As part of the deal, GM would have continued making Saturn's three highest-selling models: the Aura sedan, as well as the Vue and Outlook cross-over SUVs, for the rest of this year and next. Penske, which is an auto distributor and not a manufacturer, would have sold the cars on behalf of GM. Penske said it would find another third-party manufacturer to make new Saturns in 2011.


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LuxuryFan - 9/30/2009 7:00:34 PM

+4 Boost

So long Saturn, you were one of the few (former) GM brands that I actually halfway liked.

thstone - 9/30/2009 7:05:13 PM

+3 Boost

I am still thinking that Saturn should have been a great opprotunity for the Chinese to gain a foothold in the US market. Anyone know why they didn't jump at the Saturn deal? Will they now?

MSP6 - 9/30/2009 7:46:43 PM

+2 Boost

Not sure GM wants to give the chinese that opportunity...

rubenkincaid - 9/30/2009 8:05:48 PM

+1 Boost

Too bad Penske couldn't have further developed the import of Opel product to the States, especially since GM is getting rid of that brand as well. Penske would have turned Saturn into a strong competitor against GM.

delan - 9/30/2009 10:12:45 PM

+1 Boost

Well this sucks!

EL34 - 9/30/2009 11:44:44 PM

+2 Boost

I think it's fantastic GM is getting rid of Saturn, Hummer and Pontiac.

They'll be lean and mean with Chevy, Caddy and Buick.

Now they need to get rid of GMC.

g2ok - 10/1/2009 12:55:58 AM

+2 Boost

So long Saturn, never really knew you.

GM only needs 2 brands : Chevy + Cadillac.
They need to cancel Buick and GMC also.
Would be even better if they dropped the GM name itself.

antwona2d - 10/1/2009 4:46:09 PM

+1 Boost

I disagree, GM should keep Chevy, Buick and Cadillac. But I believe that all three brands should stay within a the following markets: Chevy ~ $10K - $35K; Buick $30K - $60K; Cadillac $40K - $80K. This way the American people can associate brand with class. Buick needs to clearly compete with Acura, Infiniti, Volvo, and Lexus. Cadillac needs to clearly compete with Jaguar, Audi, Mercedes, and BMW. Ford needs a third brand to separate its bargan cars from the premium cars. Otherwise the $30 - $60K market will be loss.

SpicyMikey - 10/1/2009 9:14:10 AM

+2 Boost

Smart move by Penske. What were they thinking even entertaining the idea? It's not a company, just a brand. What's that brand worth? GM would have still needed to make the cars for them at their plants. How would that have worked. Bye bye!

KZ258 - 10/1/2009 10:13:57 AM

+2 Boost

lol my girl drives a saturn ion. god, i hate riding in that thing

answer - 10/1/2009 11:58:14 AM

+2 Boost

Sad that Penske got people's hopes up.