The Saturn Corporation, also known as Saturn LLC, was an American automobile manufacturer, a registered trademark established on January 7, 1985, as a subsidiary of General Motors.[1] The company marketed itself as a "different kind of car company" and operated somewhat independently from its parent company for a time with its own assembly plant in Spring Hill, Tennessee, unique models, and a separate retailer network,[2] and was GM's attempt to compete with Japanese imports and transplants in the US compact car market.
Following the withdrawal of a bid by Penske Automotive to acquire Saturn in September 2009, General Motors discontinued the Saturn brand and ended its outstanding franchises on October 31, 2010.[3][4] All new production had already been halted on October 7, 2009.[5]
Following the withdrawal of a bid by Penske Automotive to acquire Saturn in September 2009, General Motors discontinued the Saturn brand and ended its outstanding franchises on October 31, 2010.[3][4] All new production had already been halted on October 7, 2009.[5]
On July 30, 1990, the first Saturn was built, a red 1991 model-year Saturn SL2. The first Saturn dealership opened in Memphis, Tennessee. Saturn Corporation was launched as a "different kind of car company", and Satur
In the mid-1980s, GM released the Saturn Concept Car. The car, which resembled the first Saturn SL, was not originally meant to start up a brand; however, GM planned to release the Saturn car under one of its brands, which, at the time, were Chevrolet, Pontiac, Oldsmobile, Buick, Cadillac and GMC. In 1985, GM changed their plan and founded Saturn as its own brand, with its first cars being the Saturn SC and Saturn SL. Production of both Saturn vehicles started in 1990 as early 1991 model year vehicles. The Saturn SW was later added for 1993. GM had plans for a sedan, a coupe, a convertible, a wagon, and even a sport utility vehicle; however, Saturn's first sport utility vehicle, the Vue did not appear until the 2002 model year. and Saturn's first convertible the Sky did not appear until the 2006 model year.
On July 30, 1990, the first Saturn was built, a red 1991 model-year Saturn SL2. The first Saturn dealership opened in Memphis, Tennessee. Saturn Corporation was launched as a "different kind of car company", and Saturn even had its own unique car models (although later models shared platforms with other GM vehicles to be more cost effective in the market), and their own dealership network that was separate from the rest of GM.
Results at Saturn, however, were more doubtful than positive. According to The Wall Street Journal, the project was too ambitious, as "everything at Saturn is new: the car, the plant, the workforce, the dealer network and the manufacturing process. Not even Toyota, a highly successful and experienced automaker, tackles more than two new items on any single project." While Saturn cars proved very popular with buyers,[citation needed] actual sales never met the optimistic projected targets, in part because of the early 1990s recession. It also proved cannibalistic as 41% of Saturn buyers already owned a GM car. Its separation from the rest of its GM parent, plus the fact that it drained $5 billion from other car projects, stirred discontent within GM's other divisions. Also, Saturn opened at considerably higher
Results at Saturn, however, were more doubtful than positive. According to The Wall Street Journal, the project was too ambitious, as "everything at Saturn is new: the car, the plant, the workforce, the dealer network and the manufacturing process. Not even Toyota, a highly successful and experienced automaker, tackles more than two new items on any single project." While Saturn cars proved very popular with buyers,[citation needed] actual sales never met the optimistic projected targets, in part because of the early 1990s recession. It also proved cannibalistic as 41% of Saturn buyers already owned a GM car. Its separation from the rest of its GM parent, plus the fact that it drained $5 billion from other car projects, stirred discontent within GM's other divisions. Also, Saturn opened at considerably higher cost than the Japanese transplants (factories that Japanese automakers established in the United States).[7][8]
Nonetheless, the brand was immediately known for its "no haggle" prices. The first Saturn model, the S-Series, was significantly successful.[citation needed] A year later, Saturn hit the Canadian market. In 1993, Saturn's 500,000th car, "Carla", was built. In May 1995, Saturn's one millionth car entered the market. In 1996, Saturn dealerships distributed the electric GM EV1, the first electric car released under the GM marque. In 1997, Saturn became the first General Motors North American vehicle to be fully built with right-hand-drive on the same assembly line as the left-hand-drive vehicles (the previous right-hand-drive GM North American vehicle were built in countries with left-hand road rule using knock-down kit and customized dashboard and steering components) as it entered the Japanese market.[citation needed] In January 1999, Saturn rolled out its two millionth car. Also in 1999, Saturn began production of its all new L-Series for the 2000 model year.
By the time the Saturn brand was launched in Japan, however, the Japanese economy was already in a sharp decline following the 1990 collapse of the Japanese asset price bubble.
Saturn's first compact crossover SUV was introduced in 2001 for the 2002 model year as the VUE based on a globally used GM design. In 2002 for the 2003 model year, Saturn introduced the ION as a replacement for the S-Series. In 2004 for the 2005 model year Saturn began selling the RELAY, a minivan and the first Saturn based on similar models fro
Saturn's first compact crossover SUV was introduced in 2001 for the 2002 model year as the VUE based on a globally used GM design. In 2002 for the 2003 model year, Saturn introduced the ION as a replacement for the S-Series. In 2004 for the 2005 model year Saturn began selling the RELAY, a minivan and the first Saturn based on similar models from other GM brands. That same year, the L-Series was discontinued. The Sky roadster was introduced in 2006 as a 2007 model. In 2006 for the 2007 model year, the AURA midsize sedan made its way to dealerships, alongside the Outlook, a larger CUV than the Vue, and 2006 was the last year that the Ion was produced. The Ion was replaced by the European-built Astra in 2008. During the 2008 North American International Auto Show (NAIAS), Saturn revealed its Flextreme concept vehicle, which was a rebadged Opel Flextreme.[6]
Saturn was believed to have had a disagreement with GM and was not very accepting of the company closing. In 2004, GM and the United Auto Workers dissolved their unique labor contract for the Spring Hill manufacturing plant, allowing Saturn operations to be integrated with the rest of GM.[9]< Saturn was believed to have had a disagreement with GM and was not very accepting of the company closing. In 2004, GM and the United Auto Workers dissolved their unique labor contract for the Spring Hill manufacturing plant, allowing Saturn operations to be integrated with the rest of GM.[9]
In US Congressional hearings on December 2, 2008, General Motors announced its intentions to focus on their four core brands (Chevrolet, Buick, Cadillac and GMC), with the sale, consolidation, or closure of Saturn and the remaining brands (Pontiac, Hummer, and Saab, with Oldsmobile having already discontinued production in 2004).[10] General Motors chairman and former CEO Rick Wagoner announced during a news conference on February 17, 2009, that Saturn would remain in operation through the end of the planned life cycle for all Saturn products (2010–2011).
In February 2009, GM declared its intent to part with this brand by closing or selling the division, either to investors or to dealers, as part of restructuring plans dependent upon the receipt of a second round of government loans ("bailout" funding).[11] It was the third such action for GM in the 21st century, following those of Olds In February 2009, GM declared its intent to part with this brand by closing or selling the division, either to investors or to dealers, as part of restructuring plans dependent upon the receipt of a second round of government loans ("bailout" funding).[11] It was the third such action for GM in the 21st century, following those of Oldsmobile, which ceased production in 2004, and Pontiac, which ended production for the 2010 model year by the end of 2009.[12]
General Motors announced in June 2009 that it was selling the Saturn brand to Penske Automotive Group.[13] The arrangement was similar to the deal under which Penske distributes Daimler AG's Smart Car in the United States.[14] Penske was not planning to buy the factories so it would eventually have had to contract other car companies to build cars sold as Saturns. GM would have built the Aura, Vue, and Outlook for Penske for the first two years. To replace GM as the brand's manufacturer, Penske was in discussions with several global automakers, including Renault Samsung Motors of Korea, and the Renault-Nissan Alliance.
By the end of 2009, GM closed all of its 46 Saturn dealerships in Canada, even those Saturn dealerships also selling Saab vehicles. GM and Penske decided that they could no longer make a business case to distribute Saturn vehicles in Canada after the sale of the brand. Saturn's customer service, parts, and warranty operations moved to other GM dealerships in Canada.[15]
On September 30, 2009, Penske ended its deal with General Motors because of Penske not finding another manufacturer to manufacture the Saturn cars. At one point Penske was in talks with some car manufacturers including Renault Samsung Motors and the Renault-Nissan Alliance, however talks with the Renault-Nissan Alliance had ended mainly because of objections from the Nissan part of the alliance.
Another part of the deal between Penske and GM was for GM to continue making the Aura, the Outlook, and the Vue until 2011, and then another manufacturer would take over, but since Penske didn't find another car manufacturer that was willing to continue production of Saturn vehicles, the deal between Penske and GM ended. As a result of this, General Motors announced that the Saturn brand would be discontinued in 2010, and that all Saturn dealerships would be closed by October 31, 2010, or until all of their inventory had been sold.
In February 2010, as a means of customer retention, GM announced that it was offering existing Saturn owners up to US$2,000 in incentives to purchase a new Chevrolet, Buick, Cadillac or GMC vehicle until March 31. Customers were required to have owned their Saturns for at least six months and were not required to trade them in to be eligible for the incentives.[16]
Saturn Authorized Service Providers were introduced since the closing of the Saturn brand, available at GM dealers. Saturn Authorized Service Providers are responsible for all aspects of service, including warranty service, on Saturn vehicles.
Saturn's last vehicle models were the Saturn Aura, the Saturn Outlook, the Sky, and the Saturn Vue. GM had continued to produce the Aura, the Outlook, the Sky, and the Vue into the 2010 model year.
In 2012, General Motors rebadged and reintroduced the discontinued Saturn Vue as the 2012 Chevrolet Captiva Sport. The Captiva Sport was mostly unchanged from the discontinued Saturn Vue. However, the Captiva Sport did not have a hybrid version available, like the Vue did.
Models
Earlier models
Plants
References