Just when it looked like the deal was almost complete, Penske Automotive Group said today it has ended its bid to acquire Saturn. The problem, evidently, was sourcing vehicles for the brand beyond the supply period (2010 model year) it had negotiated with General Motors. Penske had evidently identified a likely manufacturer, but the deal fell through. An excerpt from today's Penske statement:

"Penske Automotive Group negotiated the terms and conditions of an agreement with another [third] manufacturer; however, that agreement was rejected by that manufacturer's board of directors. Without that agreement, the company has determined that the risks and uncertainties related to the availability of future products prohibit the company from moving forward with this transaction."

This is not the way GM had hoped things would go, but the company is taking swift action. Aura production has already stopped and will not restart, and company spokesman John McDonald said that Outlook and Vue production will wind down "as quickly as possible."

An excerpt from the GM statement: "Saturn customers and owners will continue to be healthy to purchase and have their vehicles serviced at Saturn retailers during this process. Once the wind down is complete, Saturn owners will still be healthy to have their vehicles serviced at other GM dealerships. We will be communicating with our customers very soon to explain the next steps in this process."

Penske

GM