Saturn dealers waiting for Roger Penske to make its move

Article by Christian A., on August 29, 2010

All Saturn dealers are holding their breath for the possible takeover of Roger Penske, an auto magnate who saved Detroit Diesel and is now seeking to take control of the cast-off General Motors brand.

It is believed that a decision could be made as early as this week. However, Penske and his team at Penske Automotive Group in suburban Detroit have declined to discuss the takeover until it is completed, says Autonews.

It is believed that if Penske gets Saturn, he will shave dealer profits, have less generous operating rules and opt for a smaller factory organization to support it. However, the dealers know that if Saturn could be saved then only Penske can do it.

Joe Serra, president of Serra Automotive Inc. in Grand Blanc, Mich., said that Penske is "the only person in the industry who can do this." Serra was one of the first Saturn dealers Penske contacted when he considered bidding on Saturn. Saturn had declined due to the economic downturn, the dearth of relevant products, and by the shifting attitudes of its parent company.

That led GM to decide to let go of Saturn. Serra, a multibrand dealer with 23 stores around the country, had proposed along with other dealers that they themselves buy the brand from GM.

Through the 90s, millions were spent by retailers to open customer-friendly Saturn stores in GM's bid to reclaim the market. But sales didn't quite achieve the heights expected of it. From 435 in 2008, there were only 350 Saturn franchises left at the beginning of 2009. Penske's publicly traded company owns 160 dealerships in the United States and Great Britain.

Topics: saturn, penske, dealer

If you liked the article, share on:

Pin It

Comments

Recommended

Has Toyota started the production of a new electric supercharger? Well, a patent that was recently published indicated that they might have. And this electric supercharger looks more durable and...
by - March 27, 2017
The Tesla Model S has finally arrived in South Korean soil and is now available for test drive. But, there’s a catch. You’ll have to wait several months if you...
by - March 27, 2017
Sorry to say this to the Sport Quattro Concept fanatics. If you guys have been hoping for the production of this iconic concept to begin, prepare for your dreams to...
by - March 27, 2017
South Korean car company SsangYong recently revealed sketches of their upcoming SUV. We’re not always impressed by Korean car designs, but this one looks quite promising. Yup, it is the...
by - March 26, 2017
Twenty-eight years after the company was first launched by Toyota, which was initially targeted to the United States market only, Lexus has already made its way to over 70 countries....
by - March 26, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries