Women are from Venus and men are from Mars, but new cars aren”™t from Saturn, not anymore.
According to General Motors, in the first week of October it shut down its Saturn automobile manufacturing after an agreement with Michigan-based Penske Automotive Group to acquire the brand fell apart. No new products will be made.
Dealerships throughout the country including those in Westchester, the Hudson Valley and Fairfield County, Conn., will be phasing out their inventories over the next year.
“We”™re just going to play out what”™s going on,” said Tom Waurishuk, general manager of Saturn of White Plains. “We”™re winding down with GM, the longest you can stay open is a year, but most places won”™t because you do have any new car product. Product was very light because they were waiting to see what Penske was going to do and then the ”˜cash-for-clunkers”™ took a lot of cars off the lot. Everyone”™s inventory is very light.”
In a statement released from Saturn, an agreement with another manufacturer to continue producing Saturn vehicles after GM stopped making them fell through, leading Penske to terminate talks with GM.
The agreement between Penske and GM had called for GM to continue building Saturn vehicles only until 2011; the deal was to close as soon as this week. The other manufacturer was not identified.
“We were excited about things,” said Waurishuk. “Business was picking up, last fall and through the spring was tough but by May, June things were turning.”
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Waurishuk said up until the deal was dropped by Penske, he was under the impression the talks were going ahead in good faith.
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Penske cited apprehensions about whether it could continue to supply vehicles after a manufacturing contract with GM ran out as its reason for ending the talks.
Saturn of White Plains has been open since 1994; it absorbed employees from Saturn of Larchmont when it closed in 2004 as part of a consolidation.
“A lot of guys have been here since Saturn opened in ”™91, ”™92,” said Waurishuk.
Saturn of White Plains is owned by Dan Perkins who owns a Chevrolet and Subaru dealerships in Milford, Conn., a Honda dealership in Westport, Conn., and a Cadillac dealership in Stratford, Conn.
Waurishuk said they would try to place as many employees as they could at those dealerships.
“Right now we”™re down to 32,” said Waurishuk. “We had a little bit more last year, but we made some staff cuts. Most of the guys that have been here have been here for a long time. I don”™t suspect that too many of them will have problems getting jobs, even though it”™s a tough market out there.”
In the restructuring plan submitted to the federal government in February, G.M. said it intended to close about one-third of its dealerships by 2014, but the presidential administration”™s rejection of that plan meant the company had to make deeper cuts sooner.
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“Bottom-line is when you play with the government, you”™re going to get burned,” said Waurishuk. “When you have to have the government come in they”™re going to tell you what to do and they did. The government says we”™re not doing Pontiac; they”™re not going to do it. That was a brand for over 100 years. Why would a guy like Roger Penske go this far to the point of hiring his Saturn team? They had the backdrop, but who knows?”
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Henderson said he is disappointed in the deals fallout but will be working closely with dealers to ensure Saturn customers are cared for as they transition.
“I”™d also like to thank every GM employee and Saturn retailer who worked so hard to try to make this new beginning happen for Saturn,” said Henderson.
GM dealers already have begun downsizing or consolidating their operations and many are trying to get rid of troubled stores now, in case G.M. files for bankruptcy protection and they have fewer options.
Stamford”™s Saturn dealership on Magee Ave ?quietly closed last year. In late July, Saturn of Poughkeepsie changed brands and became Mazda of Poughkeepsie, though it still services Saturns by working in conjunction with Saturn of West Nyack, which remains an operating Saturn dealership. The Saturn dealership in Danbury, Conn., is still in operation.
“I”™ve just got to make sure as much of my team gets taken care of,” said Waurishuk. “If it”™s three months or five months we”™re here to sell and service cars. We have loyal customers.”
Waurishuk said he has even seen car enthusiasts come looking for the Saturn sports car Sky model speculating its future as a collectible car.
“In 20 or 30 years people will go, ”˜Saturn ”“ yeah, I remember those cars,”™” said Waurishuk.
GM also will finish shutting down Pontiac by the end of this year. It recently sold Saab to a Swedish company and is talking to a Chinese manufacturer about buying Hummer.
