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Breaking: Penske Cancels Plan to Buy Saturn

GM announces plans to dismantle Saturn network in the near future.

 |  Sep 30 2009, 4:08 PM

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Penske’s deal to buy the Saturn arm of General Motors has reportedly fallen through. Back in June the Penske Automotive Group (PAG) had announced it would buy the brand from GM, along with its dealer network.

“This is very disappointing news and comes after months of hard work by hundreds of dedicated employees and Saturn retailers who tried to make the new Saturn a reality,” said CEO Fritz Henderson in a statement, commenting that the issue was that Penske Automotive Group could not solidify a deal with another automaker to supply vehicles after the contract with GM was scheduled to run out.

Many sources had pointed to Penske rebadging vehicles from French automaker Renault to sell in the U.S., but that appears to have not come to fruition.

GM has announced that it will close the remaining Saturn dealerships and that owners will be able to purchase (hahaha!) or have vehicles serviced at retailers until that point. Afterwards, owners will continue to be able to have their vehicles serviced at a GM facility.

[Source: Globe & Mail]

  • Tommy Williams

    I am extremely disappointed to learn that Penske backed out of the deal to buy Saturn. I just recently bought a new Limited Edition Sky Roadster and I really like it so far. I get a lot of looks. I took it over to my old neighborhood a few weeks back to “show it off” and one of the neighbors thought that it was an $80,000 car. Imagine that….to be compared to a $80,000 car. He even thought at first that it was a Corvette. I really wish that GM could find another buyer or just keep the brand; as I think once the economy turns around fully that the saturn would be a great car and especially if they were to start producing the sky again.