Auto news highlights – June 5, 2009

Penske Automotive Group to buy Saturn
General Motors is cleaning house this week, first announcing an intended buyer for Hummer, and now one for Saturn. Under the deal, GM would provide cars to Penske for at least two years.
Read: “GM to sell Saturn to Penske Automotive Group.”

Court approves Chrysler sale to Fiat
A three-judge federal appeals court panel has approved the sale of Chrysler to Fiat, but the 2nd U.S. Circuit Court of Appeals says it will hold the sale until 4 p.m. Monday to allow appellants a chance to address the U.S. Supreme Court. [Detroit Free Press, Detroit News.]

Court hears appeals to Chrysler deal
A federal appeals court heard arguments today related to the sale of Chrysler to Fiat. Among the objections, one stems from an Indiana pension fund group that holds $42 million in Chrysler’s secured loans and the issues is focused on the “new” Chrysler paying just 29 cents on the dollar. According to BusinessWeek, the fund paid 43 cents on the dollar for their shares last July. [Reuters, BusinessWeek.]

Cheap Tata Nano may be sold in U.S.
Within two years, the world’s cheapest car, the Tata Nano, may be sold in the United States. The Nano is offered in native India in strikingly barebones and modestly equipped variations—the latter being the end of the model spectrum most likely to be seen in the United States. No word on the distribution channel, but hard to imagine a Nano being sold alongside Jaguars and Land Rovers. [Reuters.]
Read “Dawn of the $2,000 Car – Tata Nano.”

Cash for Clunkers – Still sitting on Capitol Hill
Despite interest in the “cash for clunkers” legislation that would encourage the trade-in of old, gas-guzzlers for new, more fuel-efficient vehicles has stalled in Senate. The latest effort to cruise through Congress had it attached to tobacco-related legislation, reports Detroit News. However, CQ Politics reports that Rep. Betty Sutton may introduce a final version of a bill on June 8th for voting the next day. [Detroit News, CQ Politics.]

Consumer Reports Autos team in the media
This has been a significant week in automotive history, and several of our staff experts have been busy responding to media queries about the ongoing changes at Chrysler and General Motors and impact on consumers. Some examples include:
Jeff Bartlett: CNN, Detroit News, MSNBC, and WTOP (mp3)
David Champion: Detroit Free Press, Wall Street Journal
Jon Linkov: CBS Early Show, Fox Business
Rik Paul: Business News Network, LA Times, MSNBC, Philadelphia Inquirer, San Francisco Chronicle, Newsday
Mike Quincy: Tampa Tribune