Truemors
is reporting from
Member
NP Rank:
NP Rank:
GM Sells Saturn to Penske
Share:
by Jordan Yerman | June 5, 2009 at 07:26 am
344 views | 4 Recommendations | 2 comments
Photos
General Motors (GM) is selling its Saturn brand to Penske Automotive Group. This means that 350 Saturn dealers can keep dealing Saturns. The details aren't entirely clear, but the deal is worth between $100 million and $200 million. Penske will own Saturn outright, and must source a new manufacturer. According to Penske CEO Roger Penske, the deal should close next quarter.
Penske was also responsible for bringing the Smart Car to the US.
Having filed for bankruptcy protection, GM has been sweating down its roster of brands, and has already agreed to sell its Hummer brand to Chinese machinery company Sichuan Tengzhong.
Penske, who runs the Penske Automotive Group (PAG) chain of dealers, will take over the brands, trademarks, service and parts operations and distribution operations related to the Saturn.
The companies are expected to release details of the deal later on Friday.
It’s the next step for cash-strapped GM, which filed for bankruptcy Monday.
Advertisement
NowPublic on Facebook
What is NowPublic?
NowPublic lets people work together to cover news events around the world.
Crowd Power
janeland
San Francisco, California, United States
Most RecentMost Recommended Comments (2)
at 23:58 on June 5th, 2009
It seems that the giant auto-makers is now having a hard time keeping their business on track. Hummer, the controversial brand that General Motors refused to try and discharge after the price of gasoline began to shoot through the ceiling, has been subject of a lot of headlines. Hummer was among the first brands that GM slated for culling after the recession began, with Saturn and Pontiac close behind, but unlike other companies that were simply shuttered, Hummer was able to secure a buyer. It's been announced that Sichuan Tenzhong, or Sichuan Tenzhong Heavy Industrial Machinery Co will purchase the brand with some quick cash to the rescue. The company manufactures heavy machinery in China, and this means debt consolidation for Hummer and a good deal for Sichuan Tenzhong.
at 06:10 on June 12th, 2009
General Motors is working as per the viability plan which it submitted to emerge leaner and stronger. They will retain only four brands in their bandwagon viz Cadillac, Chevrolet, GMC and Buick.
Rahul