Well, poo

I figured this would happen.

The writing has been on the wall in Northern NJ for quite some time. One of the larger Saturn dealerships in Morris County, Saturn of Denville, Mount Olive and Livingstone hasn't had anything but used cars on it's lot for almost 6 months. I hear that Stu Lasser, the gentleman that owns the chain of dealerships was getting a lot of flak because he wanted to convert the flagship in Denville to a Kia dealership, but due to contractual obligations, he was unable to.

I guess now that Penske is backing out, he might be able to get his wish.

If I recall the details of the proposed deal correctly, it wasn't a great deal for either side.

Penske would have paid GM for the Saturn brand, and its dealership network agreements, but not for any of the manufacturing facilities. So basically Penske would have paid GM to become a sort of "uber dealer".

On the other hand, GM would have gotten some cash, but would have ended up in an agreement to continue building the same cars for the same dealer network. Well if they couldn't make Saturn profitable before, aside from a one-time capital gain, it doesn't make sense that the deal would have generated any further profits for GM.

When I bought out my lease (don't even GET me started on that, yes, I was an idiot, but with physical damage, it was the best option) the salesman at Saturn of Bellevue was telling me how it was a "done deal" and would be announced by July 1.

He was sorely mistaken. My first bad experience with a Saturn dealership was Saturn of Bellevue. Definitely feel like I got taken to the cleaners, even with my Consumerist knowledge.

I think they felt I was backed into a corner because of my damage.

Sad to hear that, though. I love my car and the brand.

Well, that won't be so hot for my local economy...

@humphrmi: I don't know why GM did not sell Penske the whole shabang. That deal is just terrible all the way around. Now GM get's nothing.

I still plan to buy a 1996-2002 SL2 to compliment my 1995 SL2. Anybody have one fully loaded, preferably dark green?

@SinDex23:

Pretty soon he will be extolling the virtues of how much better the Kia is than Saturn.

Then you may ask him the question of why he was selling Saturns when the Kia was the better car.

Then you may watch him squirm.

@Blueskylaw: Honestly, I used to work for the man and not much phased him. It was standard policy to churn through C techs every 2.5 months so he wouldn't have to pay them benefits or invest in their 401k's.

You might argue that it could be considered good business practice to do this, since the majority of the people hired for this churn already knew how to do oil changes and tire jobs etc etc... But morally it's a dick move.

This just made my day!

It's too bad, because their aesthetics were finally starting to come around with the Aura and Sky.

Their earlier models were less than appealing, to put it very nicely.

I've never owned one, but I've always liked Saturns and considered the Vue before buying my Equinox. And I love the look of the Sky.

So, what about the number-2 bidders for the Saturn rights - the coalition of Saturn dealers? Are they back in the running now?

GM should have offered a 2-for-1 deal when they sold Hummer to the Chinese. LOL.

I think eventually GM will be reduced down to Chevrolet, Cadillac, and GMC. Well, maybe Chevrolet and Cadillac.

@LatherRinseRepeat: GM will never dump GMC - it's one of their most profitable lines. consider this excerpt from a truck trend article:

GMC has often been accused of being redundant, as all of its vehicles can also be found in other GM brands under different sheet metal. Despite that, the brand still makes a good business case for itself. GMC is GM's number-two selling brand behind Chevrolet and well ahead of Buick, Cadillac, Pontiac, Saturn, Saab and Hummer. GMC sold 376,996 vehicles in the U.S. in 2008, outselling the Chrysler brand (335,108), Acura (144,504), Jeep (333,901), BMW (249,113), Infiniti (112,989), Lincoln (107,295), Mercury (120,248), Volvo (73,102), Kia (273,397), Volkswagen (223,128), Mazda (243,949) and Mercedes-Benz (225,128).

GMC's curse is also its blessing. Because GMC vehicles can be found in other brands, it costs GM comparatively little to produce new body panels and badges for the same vehicles, and trucks and SUVs are generally high-profit vehicles compared to passenger cars. It would make little business sense to kill a brand that is comparatively cheap to produce and still outsells a number of other brands.

why would it make any sense to dump a best-selling brand that's highly profitable?

@G.O.B.: Come on!: agreed. the aura & the sky have very sleek lines. even the astra is pretty nice looking for a compact.

GM missed a huge opportunity with saturn. they never really threw the marketing dollars at saturn that they threw into other brands - even the smaller brands like hummer & saab. to this day, i've never seen a single commercial for any of the 3 vehicles mentioned above.

how can you expect a brand to compete without letting people know it exists?

@Dondegroovily: No the brand is dead dead, as in shut down asap with the dealers being closed by the beginning of next year.

@mac-phisto: Dont have to dump them, just dump their administrative overhead which they are careful NOT to talk about.

There is no reason for GMC to be a separate dealership with a separate supply chain and separate management. If you want to keep GMC so bad, kill Chevys commercial line then.

There are lots of ways to cut cost there without actually physically killing the company.

@sonneillon: Risk that Penske would ruin GM at its own game.

There where even specific stipulations baring Penske from getting his cars from Opel even if GM didnt own the company anymore, because GM knew that if Penske sold Opel cars (which Saturn had been moving to anyway) and actually market them (which Saturn never did) then he might make Saturn work.

The problem with Saturn and GM is you had three people (Lutz, Wagoner, and now Fritz Henderson) who have numerous times in the past expressed their disdain for Saturn. Saturn was Roger Smiths baby, and as such when he left as CEO support within GM proper disappeared rapidly in the next 3-6 years, especially when Saturn in its first few years managed to embarrass GM by actually turning a profit while GM reported record losses which many in GM actually BLAMED on Saturn cannibalizing away from GM (never mind there was a small recession going on)

This was basically the culmination right here. Lutz finally got his lifelong wish of killing Saturn, which he over a decade ago specifically set out to do he hated the brand so much and was not shy in stating as such in public.

Dammit so I guess my Saturn Sky is worthless now. :(

@mac-phisto: The Sky really was a great looking car, much better than the Solstice IMO.

The real tragedy is EVERYTHING was in place, except the cars. Penske had already sent the dealers their new contracts, set up the retirement of all the parts suppliers from GM so they could go on to work for him, and hired all the management personnel.

Even Jill Lajdziak had requested an early retirement from GM to go on to work as the GM for Penske-Saturn.

All of that just got thrown away today.

Dammit, the one GM brand worth saving gets dropped anyway.

WHAT THE HELL WERE YOU THINKING, GM?

Oh yeah, that's right. YOU WEREN'T.

@MSUHitman: I will gladly take it off your hands! I just need you to make me a really, really good deal :D

I was looking forward to possibly purchasing one in the future.

Sadly looks like that won't be happening now D:

Don't mess with Roger Penske. He plays hard and wields a giant hammer. He takes no prisoners. You do it his way or you get smashed flat.

Saturn just got pounded into sub-flat.

I'm on my third (and apparently last) Saturn. 2008 Astra. I absolutely love it. If I'm lucky it'll be a collector's item in a few years...but probably not.

@Falcon5768: It must suck to be the CEO of SUVs when your own upstart mini-brand is eating your lunch.
Of course, sensible (i.e., Japanese or European, or for that matter any MBA worth his sheepskin not drinking Detroit Executive Kool-Aid) would have sensed an untapped business opportunity and maximized it.

Now what are people who like lame cars going to buy?

After the myriad electrical, out of warranty problems I had with my fourth (and final) Saturn automobile three years ago, this comes as little surprise. The Aura and Outlook may be finer, but it's too little too late. We started buying Hondas after that fiasco, no regrets here.

My GF has a crappy Saturn, but overall it was good line of cars with poor execution in marketing and design. They would be rolling in cash if they focused on making cars that could go head-to-head with Honda in MPG, ease of maintenance, and long performance life.

To all those folks in Middle TN out of a good US manufacturing jobs, I am sorry about your and our countries loss.

@FooSchnickens: It's good to know that GM is still up to the same types of decisions that put it in the position of needing a bailout in the first place. Heaven forbid they learn anything from this snafu and save Saturn, their one and only brand with some customer loyalty and good will behind it.

My first car was a Saturn. I have to say, I'm not playing the world's smallest violin here.

Worst car ever. I kept having issues with it and it really did become dangerous to drive on the roads, especially when it came to trying to merge into traffic.

@MarcosMaximus: Actually Saturn did.

Its pretty well known that Saturns old SC and SL line of cars hit over 40+ MPG well beyond the government MPG listing or Saturns own estimates. I used to be able to go over a week commuting 60+ miles a day on a tank of gas

Went from a 2003 Saturn L200, which was the best new car I've ever owned, to a 2009 Honda Accord EX-L (to appease the wife). Worst. Decision. Ever. That Honda is horrible in just about every aspect. I have no idea why everyone seems to think they are great cars.

Bring back Saturn so I can go get an Aura.

@MarcosMaximus:

GM had already stopped building Saturns in Tenn.

That plant was building the Chevy Traverese and was going to build a new small car for GM.

GM chose another plant to build the car and the Spring Hill plant is now scheduled to close. Still a loss for Middle TN.

@UniComp: Toyota and Honda are still in the business of making transportation appliances.

@Falcon5768: They started out that way, with efficient and reliable cars for a good price, and then GM started meddling. Then they started turning out crap cars, banking on their previous reputation to sell them. Those cars were dangerous, unreliable, and generally of poor quality. Like the Ion. Saturn killed itself.

@UniComp: Kia Souls? Nissan Cubes?

Well... I guess I'm glad that I was paranoid enough to think Saturn wouldn't survive. Though, if I weren't looking for a hatchback, but a sedan instead, I would have bought an Aura in an instant. I rented an '08 a couple of years ago, and it was the best rental car I have ever had. Power. Styling. Comfort.

Sadly, it looks like Blondie, my '94 gold SL2, will likely die this year along with its brand. Not that I'm sad to see it go. Leaks from every system, a chronic, documented, deteriorating head gasket (I'm on my 3rd one...), and alignment issue that the dealership swears doesn't exist, have made this car uneconomical for me to keep running anymore.

Well, at least us folks less skilled in the art of haggling and navigating commission-driven swindling, can hopefully find comfort in Carmax. It may not be the best, but they're the last one left.

RIP, Saturn. Perhaps if GM had shown you a little more love, you would have survived. I guess that's what happens when you have a brand that competes directly with your other brands...

@AshCatScram: Eh the Ion is certainly not dangerous and unreliable. I didnt like the car, but my mother had it and it worked perfectly fine and only once went in for a recall.

I really am starting to get annoyed at the exaggerations being made against American cars here. There is NO car on the road in the US thats anywhere close to as dangerous pre-80's cars were.

I will say DRIVERS are certainly more dangerous now than they where 30 years ago though. But I would feel just as safe in a Ion as I do in a FIT.

How does this affect people who currently own Saturns who might need repairs or parts? I guess there's always the third party part option, but I don't think that covers everything that could go wrong. How much supply of already manufactured Saturn parts is left?

@Riff-Raff: When we bought our Scion, they had no-haggle pricing. In fact, we priced it out online and brought the sheet to the dealer, who calculated exactly that price based on the options we chose. So it might not be totally hopeless for non-negotiators (I hate playing the game too, quite frankly).

@LastError: Maybe it'll grow into a tree it got buried so deep

Roger's a straight-shooting, no-nonsense SOB that plays hardball and runs a tight, clean-cut operation.
One story goes a crew chief was caught by a race judge trying to cheat and Roger caught wind of it. He fired him on the spot without prejudice or giving the poor bastard a chance to explain why.

GM probably tried to play the BS game with him and he didn't appreciate it.

@LandShark: Saturn ain't got no history to go back on. It'll be a footnote in comparison to the Pontiac family.

@chucklebuck: Scion still does that currently. I have an xB.. Great car for the price.

Finally! Saturn never made a profit....NEVER. GM is a business after all, and they had long enough to prove themselves and didn't. I did admire the dent-resistent panels in the earlier cars, but everything else about them was substandard.

So no one gets to work on the Penske File?

Damn, I wanted an Outlook too (new).