Penske's Saturn Under NYT Macroscope

Robert Farago
by Robert Farago

So, Roger Penske is going to buy Saturn from GM. “Is going to” being the operative words. With the US automotive market sinking to record lows, musical chairing towards a long-overdue “contraction,” one wonder if Mr. Penske is playing the “waiting is winning” game. The New York Times article on Penske’s Saturn plans doesn’t pierce the veil surrounding the devilish details. But we re-learn the fact that Saturn is working towards that glorious day when it no longer sells badge-engineered Opels. “’We’re going to have GM to start with in this business, and then we’re going to move on to another manufacturer in the future,’ he said in his call with analysts.” Which raises the obvious question: whom? “Speculation in the industry has centered on the French carmaker Renault, which has ties to both Nissan in Japan and Samsung in South Korea, and several Chinese auto companies as possible partners for Mr. Penske in the venture. But would Saturn loyalists consider a Chinese-made car a Saturn?” Renault, no. But it’s still an excellent question. The answering of which depends upon The Big One: what IS a Saturn?

Where Saturn fits into that [American automotive] landscape is anyone’s guess. Other, newer brands like Hyundai are capturing buyers who once gravitated to Saturn, and G.M. itself is pushing hard to lure Saturn owners into its Chevrolet showrooms. The novelty of the Saturn sales experience may have worn thin, and there’s little to distinguish the products from models in other G.M. dealerships.

Not quite right. Saturn’s sales and service experience didn’t wear thin as much as GM forgot to nurture it, while its competition narrowed the customer satisfaction gap. Point taken though: is the Saturn brand dead, and if it’s not, does Penske have the money (i.e., time) products and people to resurrect it? Enough with the questions, how about some answers? Damn, that was another question.

The Times, rightly, highlights ten-minute GM Board Member Jerry York’s admonition to dump Saturn. Better yet, the Gray lady return to Mr. York for a prognosis. You might want to sit down, Mr. Penske.

Mr. York, the former G.M. director, says he pushed the automaker to unload Saturn three years ago but the company resisted selling off any brands for fear of losing more market share.

Now Saturn has even less value in an increasingly crowded marketplace, Mr. York notes.

“It’s like you go to the grocery store and you have 40 brands of toothpaste,” he says. “Well, the world doesn’t need 40 brands of toothpaste. I think Saturn falls into the same category. The world doesn’t need it.”

Sad. Saturn coulda been a contenda.

Robert Farago
Robert Farago

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  • Anonymous Anonymous on Sep 21, 2009

    "3. Safety of french and norwegian cars;" I am sure France makes a lot of cars, but I never heard of French cars having a reputation for safety. The only thing comes to mind is old Citroens, when they are not in the shop, being able to rider on three tires if you the fourth is shot by a would-be assassin. And... Norwegian Cars? WHAT Norwegian cars? That "THink" golf cart? LOL! MAybe you meant SWEDISH? As in "Volvo"s? "4. Styling and comfort of american cars;" Like the Edsel and its worthy Successor, the Aztec? or such mass produced wonders as the Chevy Lumina?

  • GrandCharles GrandCharles on Sep 22, 2009

    Ear me out mr.Penske, strike a deal with toyota for Nummi, get the recently killed Vibe under Saturn...You win on all front; you get an american construct car, reliable, very fuel efficient(1.8 liter), that already have a non-gm follower (go see GenVibe if you doubt), 6 airbags, 5 star crash test, esp standard, onstar fixed, already approved for sale here. Slap a saturn logo on the front wait for the next redesign to put some plastic panel and Boom you get the bitch slap GM twice (killing Saturn, killing Vibe)...how about that eh?

  • Dartdude The bottom line is that in the new America coming the elites don't want you and me to own cars. They are going to make building cars so expensive that the will only be for the very rich and connected. You will eat bugs and ride the bus and live in a 500sq-ft. apartment and like it. HUD wants to quit giving federal for any development for single family homes and don't be surprised that FHA aren't going to give loans for single family homes in the very near future.
  • Ravenuer The rear view of the Eldo coupe makes it look fat!
  • FreedMike This is before Cadillac styling went full scale nutty...and not particularly attractive, in my opinion.
  • JTiberius1701 Middle of April here in NE Ohio. And that can still be shaky. Also on my Fiesta ST, I use Michelin Pilot Sport A/S tires for the winter and Bridgestone Potenza for my summer tires. No issues at all.
  • TCowner We've had a 64.5 Mustang in the family for the past 40 years. It is all original, Rangoon Red coupe with 289 (one of the first instead of the 260), Rally Pac, 4-speed, factory air, every option. Always gets smiles and thumbs ups.
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