General Motors (GM) announced at the National Auto Dealers Association (NADA) convention being held in New Orleans, LA on Monday January 25, 2009 that it has allocated funding to build Saturn vehicles through 2012 and possibly till 2013. What they didn't say was if they would be building new products or if a decision has been made to kill the brand entirely.Dealers reaction has been mixed for those that attended the meeting being held at the convention, but most are remaining optimistic that a more permanent plan can be achieved. GM's Mark LaNeve, Vice President of vehicle sales, service and marketing told dealers and "Automotive News" that "We have all the current products funded. What we told them was the biggest issue is slimming down our product cadence. We don't have enough finances to fund all these brands", these comments were made after the presentation.
LaNeve went on to say "GM is pushing hard to make a decision on Saturn in February. We're working all the options. But there is nothing definitive."
Saturn needs some options quick as this continued uneasiness among dealers and customers can continue to erode consumer confidence. A clear option is to allow Saturn to merge with GM's Opel brand a German company. The Opel brand has a defined product mix that can blend well with Saturn's appeal to import conscious buyers. In addition it can provide GM real opportunity to reduce redundancy and streamline personnel and other cost associated with operating both brands.
The Opel brand already produces the Saturn Astra and imports that vehicle from Germany, but a retooling of current plants to build some of the other models would save some labor jobs and keep some plants operational.
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That Car Guy
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