General Motors and Roger Penske have reportedly terminated a deal for the Saturn brand. Penske agreed to purchase the Saturn brand from General Motors earlier this year – essentially saving the brand from extinction – but negotiations fell apart after Penske couldn’t find and automaker to supply vehicles for the Saturn brand.
The news of the contract termination throws into doubt the future of the Saturn brand. Penske’s purchase would have saved the brand from certain demise, but now it looks as though Saturn will follow Pontiac into the history books.
“We will be working closely with our dealers to ensure Saturn customers are cared for as we transition them to other GM dealers in the months ahead,” GM CEO Fritz Henderson said in a statement released by the automaker.
It remains possible that a new bidder could save the Saturn brand in the eleventh hour, but that scenario is looking highly unlikely at this point. With the global auto market still struggle with record-low sales, not many companies are willing to take a risk on an auto venture, as shown by the difficult sale of Ford ’s Volvo brand.
Stay tuned for the latest news on this breaking development.
