The Auto Writer

Nothing is set in stone just yet concerning the reorganization efforts of General Motors, but one thing we do know is that the Saturn brand will probably be around until at least 2013. This news comes from several reports posted online, including by The Detroit News.

For the past several months, the Saturn brand has been “under review” from General Motors who has stated publicly that the brand may not survive the company’s reorganization plans.

GM has to file a report to the federal government by the end of the first quarter (March 31st) outlining how they will reshape their business, something the company agreed to do in exchange for receiving bail out money last month. Future funding assistance from the U.S. government is contingent on acceptance of GM’s plan by Congress and the Obama administration.

For Saturn dealerships, the news of the reprieve removes a high level of uncertainty that has kept customers away from showrooms and played an important role in limiting the number of vehicles each dealer has ordered. Customers have taken the “under review” language to mean “pending closure” which has significantly impacted the bottomlines of dealers across the country.

With this news, General Motors has not promised to update its Saturn portfolio over the next few years. Apparently, GM has abandoned its earlier move to effectively marry the Saturn and Opel brands, a step which would have allowed Saturn to sell the same cars as GM’s big European brand in addition to select crossover and sport/utility models sold through other U.S. brands.

GM has already committed itself to keeping Chevrolet, Cadillac, GMC and Buick going while also stating that Pontiac would be reduced to secondary brand status, possibly with just one or two cars to sell. As part of the Buick-GMC-Pontiac dealership group, Pontiac’s cut back isn’t much of a big deal as customers will be steered to the other two brand’s models.

Saab and Hummer both remain for sale though the latter company may simply be dissolved if a buyer doesn’t step forward. GM has been working with the Swedish government in a bid to find an investor, but nothing has transpired yet. GM could end up keeping Saab by making it a European only brand, perhaps blending it with Opel.

Perhaps the biggest asset for Saturn is its dealer network. Built back in the days when “no haggle” pricing reigned, the Saturn dealer network continues to get high marks from customers who appreciate a softer seller and much more amiable shopping atmosphere.