GM to Keep GMC and Pontiac

[z28luvr01]

Automotive News is reporting that GM is NOT going to be dumping Pontiac or GMC.

clicky (hopefully someone with a subscription can post the text.)

[Robert Hall]

Automotive News is reporting that GM is NOT going to be dumping Pontiac or GMC.

clicky (hopefully someone with a subscription can post the text.)

Well, BPG wouldn't make much sense without P and G. Things are moving very fast, lots of rumours and very little fact in press..will be interesting to see how everything shakes out in a few months.

[CaddyXLR-V]

I hope so. I have seriously considered buying a G8, but wont as long as GM is considering dropping Pontiac. That, and I'm trying to reduce my monthly payments as much as possible right now. Though I plan on being ready to buy within 6mo-2 years. If GM gets committed to Pontiac by then, there's a strong chance I will buy one.

I've already taken a hit on the value of my GTO, and I'm not going to buy a new G8 just to take an additional hit if Pontiac is dropped.

Edited April 17, 2009 by CaddyXLR-V

[Croc]

MSN Autos / Autoweek Story (Google is my bitch)

INDUSTRY INSIDER

AutoWeek

GM to Keep Pontiac, GMC

A senior GM executive denies rumors that President Obama's auto task force demanded the automaker dump both brands.

A senior General Motors executive today denied reports that President Barack Obama's automotive task force has pressured the automaker to dump GMC and Pontiac.

Company sales chief Mark LaNeve also denied rumors that GM plans to terminate the franchise agreements of poorly performing dealers before June 1 to accelerate its dealership consolidation campaign.

"The strategy we laid out for you [in February] is still the strategy," LaNeve, GM's vice president of vehicle sales, service and marketing, said today in an interview with Automotive News.

"Are we working it, tweaking it, examining every aspect of it? Yes, but nothing has changed with our strategy," he said. Reports that "GMC is going away are just unfounded, unsubstantiated and untrue," LaNeve said.

In a Feb. 17 report to the U.S. Treasury Department, GM said it planned to go to market with four core brands: Chevrolet, Cadillac, Buick and GMC. Pontiac would remain as a much smaller brand. GM is trying to sell Hummer, Saab and Saturn.

And that is still the plan, LaNeve said. "They're not pressuring us to give up on anything," he said. "Buick and GMC are very profitable brands, and we have plans to make them even more profitable."

Targeting Metro Markets

LaNeve confirmed that GM will target metro markets to consolidate dealerships, but the company does not have a June 1 timetable to do so.

As part of its consolidation effort, GM will consider such criteria as the operator's effectiveness, location and working capital when it targets those stores for closure.

Meanwhile, GM's new CEO Fritz Henderson has scheduled a conference call with journalists tomorrow at 10:15 a.m. to update the company's restructuring plans.

"We anticipate that this will be the first of a series of updates designed to provide perspective on GM's situation, decisions and actions," according to a statement released by GM.

Philip Nussel contributed to this report.

Content provided by AutoWeek.

[Robert Hall]

Funny how LaNeve mentions Buick and GMC as 'very profitable', but doesn't mention Pontiac.

I would think Pontiac would be very profitable, with it's volume and the rebadges (G3,G5) and the old models (G6).

Edited April 17, 2009 by moltar

[CaddyXLR-V]

"Reports that "GMC is going away are just unfounded, unsubstantiated and untrue," LaNeve said."

That's still not very reassuring about Pontiac.

[balthazar]

Best course of action by far, as opposed to officially discontinuing Pontiac, is to never say it's gone & offer whatever portfolio they can make a case for, even if that's only 1 model for a time period.

[pow]

Speaking of metro market dealers, there still are a ton of them - I have 25 Chevy dealers to choose from within an hour's driving (<30 mi) in the L.A. metro region. That's great for consumers, good for employees, not necessarily great for GM or the dealers themselves.

Edited April 17, 2009 by empowah

[Drew Dowdell]

GM as Chevy, Pontiac/Buick/GMC, Cadillac makes sense and easy to reduce/eliminate model overlap.

[daves87rs]

I don't believe it.

The auto task force owns GM. Whatever they say, goes.

They have to do it to stay alive.

We'll see.

[Croc]

Well, the people who seem to enjoy freaking out over everythng on this site will still find whatever excuse they can latch onto to continue crying that the sky is falling...but those Canucks have that crazy Pontiac fetish, and it wouldn't surprise me if GM would like to keep Pontiac--even small and focused in the US--if only for the opportunity to rebadge Chevrolets up north.

Seriously, people paid good money for this over a Cavalier:

Edited April 17, 2009 by Croc

[G. David Felt]

It only makes sense to those with a Business sense to keep a 3 teir company.

Entery level = Chevy

Mid Lux Level = BPG

Luxury = Caddilac

[Robert Hall]

It only makes sense to those with a Business sense to keep a 3 tier company.

Entery level = Chevy

Mid Lux Level = BPG

Luxury = Cadillac

And such a range, C/BPG/C, gets GM back to the classic brand structure, sans Oldsmobile, once you jettison Saturn/HUMMER/SAAB. The big distinction from the classic structure is (ideally) less redundancy/overlap and more focused brands.

Edited April 17, 2009 by moltar

[Robert Hall]

Well, the people who seem to enjoy freaking out over everythng on this site will still find whatever excuse they can latch onto to continue crying that the sky is falling...but those Canucks have that crazy Pontiac fetish, and it wouldn't surprise me if GM would like to keep Pontiac--even small and focused in the US--if only for the opportunity to rebadge Chevrolets up north.

Seriously, people paid good money for this over a Cavalier:

Interesting..for some reason, the Canadian Sunfire looks different than the US version did..the taillights, maybe?

[Oracle of Delphi]

Sure they are! Watch and see what happens by June 1st ...

[vonVeezelsnider]

I don't believe it.

The auto task force owns GM. Whatever they say, goes.

They have to do it to stay alive.

Agreed

Interesting..for some reason, the Canadian Sunfire looks different than the US version did..the taillights, maybe?

There was no Sunfire sedan in the USA after 2002... in Canada however, as pictured they continued to live.

[Robert Hall]

Agreed

There was no Sunfire sedan in the USA after 2002... in Canada however, as pictured they continued to live.

Ah... I remember that hideous front end from the later US coupes, didn't realize they stopped making the sedans. I guess Avis didn't want any.

[balthazar]

>>"The big distinction from the classic structure is (ideally) less redundancy/overlap and more focused brands."<<

You're not going to have less redundancy with corporate-wide platforms & powertrains PLUS global equivalents in numerous instances, so the big distinction there goes the other way, unfortunately for casual perception...

Edited April 17, 2009 by balthazar

[Robert Hall]

>>"The big distinction from the classic structure is (ideally) less redundancy/overlap and more focused brands."<<

You're not going to have less redundancy with corporate-wide platforms & powertrains PLUS global equivalents in numerous instances, so the big distinction there goes the other way....

?

There was a lot more redundancy in past times than now(80s-90s, for instance)...CPOB all had slightly differentiated models across each platform--think J-, X-, A-, N-, W- bodies...

Even now, there is still plenty of redundancy...3 midsize Epslions, 3 compact Deltas (with badge engineering w/ the G5), the Canyon and Colorado, etc..

Edited April 17, 2009 by moltar

[G. David Felt]

And such a range, C/BPG/C, gets GM back to the classic brand structure, sans Oldsmobile, once you jettison Saturn/HUMMER/SAAB. The big distinction from the classic structure is (ideally) less redundancy/overlap and more focused brands.

I agree, I hope they truly get focused and start making each division compete with the other companies out there and NOT with themselves.

[Croc]

Interesting..for some reason, the Canadian Sunfire looks different than the US version did..the taillights, maybe?

Sedan-exclusive rear treatment. It looks really tacked-on in person.

[hyperv6]

Just buying time.

They have aq lot of Pontiacs to dump before they can say they are shutting her down. Say like 2 years worth of G3's LOL!!

I will be convinced they are saving Pontiac when we see a Pontiac of the future show car. Anyone see one this year on the Pontiac display???? Anyone????

[balthazar]

>>"? There was a lot more redundancy in past times than now(80s-90s, for instance)..."<<

I realize you can only relate to what you recall personally, but the '80s is a decade there's NO reason to revisit except as an example of what NOT to do, and there's another 70 years of business case examples before that. Don't give me any crap about 'no one remembers that'; if we as armchair analysts can only learn from what we remember- we have no business opening our mouths. '09 is as far removed from 1980 as it is from 1960.

Thru the bulk of GM, back when GM was, you know; ragingly successful - there was far LESS overlap & redundancy vs. today. Isn't any of this in 'Why GM Matters' ??

[Robert Hall]

>>"? There was a lot more redundancy in past times than now(80s-90s, for instance)..."<<

I realize you can only relate to what you recall personally, but the '80s is a decade there's NO reason to revisit except as an example of what NOT to do, and there's another 70 years of business case examples before that. Don't give me any crap about 'no one remembers that'; if we as armchair analysts can only learn from what we remember- we have no business opening our mouths.

The general public/average car buyer couldn't care less about GM's first 70 years..they only know what has happened in their lifetimes...so the distant past is irrelevant for this issue. Again, what counts is what they are doing NOW...not in the past. If GM is going to have a future, they have to look forward..this is no time for sentimentality or excessive nostalgia. The Sloan structure worked in the '60s and other decades because GM had a lot less competition than they do now, different time, different place.

Thru the bulk of GM, back when GM was, you know; ragingly successful - there was far LESS overlap & redundancy vs. today. Isn't any of this in 'Why GM Matters' ??

Again, irrelevant. The generic public/average car buyer doesn't read business books...

Edited April 18, 2009 by moltar

[daves87rs]

Well, the people who seem to enjoy freaking out over everythng on this site will still find whatever excuse they can latch onto to continue crying that the sky is falling...but those Canucks have that crazy Pontiac fetish, and it wouldn't surprise me if GM would like to keep Pontiac--even small and focused in the US--if only for the opportunity to rebadge Chevrolets up north.

Seriously, people paid good money for this over a Cavalier:

Looks okay to me..

[daves87rs]

Just buying time.

They have aq lot of Pontiacs to dump before they can say they are shutting her down. Say like 2 years worth of G3's LOL!!

I will be convinced they are saving Pontiac when we see a Pontiac of the future show car. Anyone see one this year on the Pontiac display???? Anyone????

+1

Anybody ever wonder why the G6 got such a half assed update? Not planning on spending that cash.

The signs are there!

Edited April 18, 2009 by daves87rs

[z28luvr01]

Just buying time.

They have aq lot of Pontiacs to dump before they can say they are shutting her down. Say like 2 years worth of G3's LOL!!

I will be convinced they are saving Pontiac when we see a Pontiac of the future show car. Anyone see one this year on the Pontiac display???? Anyone????

At NYIAS, the Pontiac display had the most traffic of any place in the GM section that didn't have a Camaro on the floor. To boot, most of the traffic was from younger people. You had to wait in line to sit in any of the three G8s on the floor. Solstice Targe display was pretty packed. G6 coupe and vert got their share of looks. G3, G5, and Vibe? They might as well not have been there.

[ShadowDog]

It only makes sense to those with a Business sense to keep a 3 teir company.

Entery level = Chevy

Mid Lux Level = BPG

Luxury = Caddilac

Around here, Pontiac is on the same level as Chevrolet. There's a ways to go before they could begin to appear mid-lux. The only Pontiac that's worth keeping is one with NO badge engineered models. I know you all would like that; however, the Pontiac dealerships don't want to be anything different. They want to cater to the same clients as Chevrolet. They don't want to miss out on those sales because they flippin' need them. Until they accept the changes in order to provide a clear strategy to market towards the niche market buyers, GM will continue to be watered down with the same issues and lack-lustre public perception. If Pontiac is to make its mark as a competitor to the European manufacturers, they'll have to let go of their 'me too' cars and leave them to Chevrolet. To me, this is the only way to remove the perception that consumers could have about Pontiac; i.e.: 'Nice G8... but what's it doing next to that Aveo...er G3?'

I get it, you get it, GM would 'appear' to get it, but Pontiac dealers keep pissing and moaning and end up selling a Chevrolet because they think they need to.

[Robert Hall]

I get it, you get it, GM would 'appear' to get it, but Pontiac dealers keep pissing and moaning and end up selling a Chevrolet because they think they need to.

Ya, I think a Pontiac brand of the Solstice, the G8 sedan and maybe a restyled, sportier 2nd gen (Alpha-based?) G6 w/ the coupe and convertible would give Pontiac a focused line. Leave Chevy to the broad, entry level mainstream market, and Buick to the entry lux, and Cadillac as the lux brand.

[ZL-1]

Anybody ever wonder why the G6 got such a half assed update?

I was thinking they were spending that money on the Alpha Pontiac, but then I woke up...

Edited April 18, 2009 by ZL-1

[SAmadei]

Sedan-exclusive rear treatment. It looks really tacked-on in person.

Funny, I've seen lots of these, and they didn't strike me as odd or tacked on. Now that I realize that the sedan treatment was Canadian exclusive, it makes sense... The Jersey Shore is very popular with Canadians on vacation.

[SAmadei]

Looks okay to me..

Same here. In fact, considering there is a '98 Sunfire parked in front of my house (not actually mine), which I think it is a _very_ good looking little car. Granted, I prefer the pre-2002 look... but at the time, there was nothing else on the market like it.

However, to several members here, its just another crappy rebadge. To them, so was the entire Firebird history, the LeMans/GTO, the Bonneville and the Grand Prix. They think every person to buy a Pontiac since WW2 is a fool... to paraphrase an old saying... Poor Old Nitwit Thinks Its A Cadillac.

Well, if I was in the market for a small car, I'd buy that over the Sunfire over the Cavalier, Cobalt or Cruze... because they are all boring looking crap.

[longtooth]

Funny, I've seen lots of these, and they didn't strike me as odd or tacked on. Now that I realize that the sedan treatment was Canadian exclusive, it makes sense... The Jersey Shore is very popular with Canadians on vacation.

Is it still?

In the day, say 25 years or so ago, the 'Wildwoods' were bursting at the seams or so it seemed to me. Every other vehicle had the "Je me souviens" inscribed Quebec vehicle plates. Then we more or less shifted more northerly up the coast. I see one or two in Summer and may be even missing more since I must've stopped looking for them.