GM to sell Saturn to Penske Automotive Group

General Motors announced a proposed deal for Penske Automotive Group to buy Saturn, just two days after announcing an intended buyer for its Hummer brand.

Penske is one of the largest dealer networks in the country. In a joint news conference Penske chairman Roger Penske and Saturn general manager Jill Lajdziak said the sale will save more than 350 Saturn dealerships and 13,000 related jobs.

Under the agreement, Saturn stores will continue to sell the Aura sedan, Vue SUV and three-row Outlook SUV through at least 2011. Beyond that, trade publication AutoWeek has reported that Penske plans a deal to sell cars built by Renault-Samsung motors of Korea. In the press conference today, however, Penske said he hopes to continue building Saturns in the United States.

The deal is expected to be completed by the third quarter of 2009. Once completed, it should resolve issues of where Saturn owners can get warranty service for their cars.

Penske Automotive Group operates 310 retail automotive franchises, representing 40 different brands and 25 collision repair centers. In addition, it is the exclusive distributor of the Smart ForTwo in the United States and Puerto Rico.

No word on whether future Saturns may show up in Penske’s NASCAR racing operation.

Read "What does the GM bankruptcy mean to you?" To get more answers to the most common questions and concerns about GM’s bankruptcy, visit our Auto Crisis hub.

—Eric Evarts

Comments

[Billl Mollring]

If Penske is building cars. I want One!

[Greg]

Let's hope GM management doesn't hand the Penske file to George Costanza.

[Debbie Roberts]

I really hope Penske can help Saturn. Two of the closest Saturn dealerships that were within 45 miles have closed. I purchased my Vue in 2008-- I have had SEVERAL issues with it that have fell under warranty and they have been cooperative BUT now they expect me to travel 100 miles one way for any warranty work when I have a certified GM dealer TWO miles away that would be willing to do this warranty work. I cannot take time off work (which I am fortunate to still have a job) not too mention --GAS $$$ This is very frustrating and I get no cooperation with the Saturn company now. I have a case open and have been dealing with their Customer Care Center in ARGENTINA!!!!!!BELIEVE IT OR NOT. I would appreaciate anyones help out there!!!
Thanking you in advance for any assistance anyone can give. I have case #'s,contact names & ###, a diary since 2/09 of day by day descriptions of these "issues".

[Gerard]

Frankly, I thought Magna would be a much better fit for Saturn, since they got Opel. They could have then finished the conversion of Saturn into the US outlet for Opel vehicles (although, I suspect, Saturn's biggest sellers were the units rebadged from other US divisions).