Jump to content

Saturn Corporation

From Wikipedia, the free encyclopedia

This is an old revision of this page, as edited by 192.88.212.43 (talk) at 12:37, 10 September 2010 (Plants). The present address (URL) is a permanent link to this revision, which may differ significantly from the current revision.

Saturn LLC
Company typeSubsidiary, LLC
IndustryAutomotive
FoundedJanuary 7, 1985
DefunctSeptember 30, 2009
HeadquartersSpring Hill, Tennessee (1985–2007)
Detroit, Michigan, (2007-2010)
Area served
United States, Canada
Key people
ProductsAutomobiles
ParentMotors Liquidation Company
General Motors
WebsiteSaturn.com


Saturn Corporation is an automobile manufacturer and marque, established on January 7, 1985 as a subsidiary of General Motors in response to the success of Japanese automobile imports in the United States.[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]

Following the withdrawal of a bid by Penske Automotive to acquire Saturn in September, 2009, General Motors is expected to shut down Saturn by October, 2010.[3] All new production was halted on October 1, 2009.[4] Many former Saturn Corporation assets are held by Motors Liquidation Company, although General Motors retains the trademark.

History

1982–90: formation

Alex C. Mair began discussions of a revolutionary new, small-car project codenamed "Saturn" in June, 1982. In November, 1983, the Saturn idea was publicized by General Motors' Chairman Roger B. Smith and GM's President F. James McDonald. Twelve months later, the first Saturn demonstration vehicle was revealed. On January 7, 1985, the Saturn Corporation was officially founded.[5]

1990–2000: "A new kind of car company"

Saturn S-Series

In July 1990, GM Chairman Roger Smith and UAW President Owen Bieber drove the very first Saturn off the assembly line in Spring Hill, Tennessee. The brand was marketed as a "different kind of car company," and Saturn operated outside the GM conglomerate, with its own assembly plant in Spring Hill, unique models and a separate retailer network.

Results at Saturn were mixed. 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, everyone's candidate for the world's best automaker, tackles more than two new items on any single project." While Saturn cars proved very popular with buyers, actual sales never met the optimistic projected targets, in part because of a recession in 1990. 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 resentment within GM ranks. Also, Saturn opened at considerably higher cost than the Japanese transplants (factories that Japanese automakers established in the United States) and despite the emphasis on quality, 35–40% of the car's plastic panels were sent back with defects. [6][7]

Nonetheless, the brand was immediately known for its 'no haggle' prices. The first Saturn model, the S-Series, was significantly successful. A year later, Saturn hit the Canadian market. 499,999 Saturns later, 'Carla' entered the market in 1993. In May 1995, 'Jasper', Saturn's Millionth car is produced. In 1996, the short-lived GM EV1 hit Saturn Showrooms, later becoming the subject of the 2006 documentary film Who Killed the Electric Car?. Almost all EV1s were reclaimed and destroyed by GM by 2005. In 1997, Saturn entered the Japanese market. In January 1999, Saturn rolled out its two millionth car. Later that year, Saturn began production of its all new L-Series.

Saturn L-Series

2000–08: model expansion

Saturn's first compact crossover SUV was introduced in 2002 MY as the Vue, based on a globally used GM design. In 2003 MY, Saturn introduced the Ion as a replacement to the S-Series. In 2005 MY, Saturn began selling the Relay, a minivan. That same year, the L-Series was discontinued. The Sky roadster was introduced in 2006 as a 2007 model. Also in the 2007 MY, the Aura midsize sedan made its way to dealerships, alongside the Outlook, a larger CUV than the Vue, and was the last year 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.[5]

In 2004, GM and the United Auto Workers dissolved their unique labor contract for the Spring Hill manufacturing plant.[8]

2008–09: attempt to sell brand, market changes

In US Congressional hearings on December 2, 2008, General Motors announced its intentions to focus on four core brands (Chevrolet, Cadillac, Buick, GMC), with the sale, consolidation, or closure of Saturn and the remaining brands (Pontiac, Hummer, and Saab).[9] General Motors Chairman and former CEO Rick Wagoner announced during a news conference on February 17, 2009 that Saturn will remain in operation through the end of the planned lifecycle for all Saturn products (2010–11).

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).[10] It is the third such action for GM in the 21st century, following those of Oldsmobile, which ceased production in 2004, and Pontiac, which ended production of the 2010 model year by the end of 2009.[11]

General Motors announced in June 2009 that it was selling the brand to Penske Automotive Group.[12] The arrangement was similar to the deal under which Penske distributes Daimler AG's Smart Car in the United States.[13] Penske was not planning to buy the factories and would eventually have to contract other car companies to build cars sold as Saturns. GM would have built the Aura, Vue, and Outlook for Penske for two years. To replace GM as the brand's manufacturer, Penske was in discussions with several global automakers, including Renault Samsung Motors of Korea.[14]

By the end of 2009, GM closed all of its 46 Saturn dealerships in Canada, even for 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 will move to other GM dealerships in Canada.[15]

2009: sale falls through

On September 30, 2009, Penske terminated its discussions with GM to acquire its Saturn subsidiary. The tentative agreement was for GM to continue to produce the Saturn line until 2011; after that time, an undisclosed third company would assume production responsibilities. Penske's decision to back out of the sale came after an undisclosed company's board rejected plans to take over production of the Saturn line.[16] The undisclosed "company" was later reported to be the Renault-Nissan alliance, reacting mainly to objections from the latter.[17] Subsequently, GM stated they will shut down the division and dealers will have to close by October 2010.[18] Saturn owners will still be able to take their cars to Saturn dealerships for service until closure in 2010, after which point Saturn vehicles will be serviced at other GM dealerships.[16]

In February 2010, as a means of customer retention, GM announced it was offering existing Saturn owners up to US$2,000 in incentives on purchasing a new Chevrolet, Cadillac, Buick or GMC vehicle until March 31. Customers are required to have owned their Saturns for at least six months and are not required to trade them in to be eligible for the incentives.[19]

Saturn Authorized Service Providers have been introduced since the closing of the Saturn brand. Most Saturn Authorized Service Providers are at Cadillac and Chevrolet dealers. Saturn Authorized Service Providers are responsible for all aspects of service, including warranty service, on Saturn vehicles.

Models

Earlier models

Originally, the company's products used a dedicated platform called the Z-body and a dedicated engine, the 1.9 L Saturn I4 engine, and a dedicated plant in Spring Hill, Tennessee. All of the original Saturns featured dent-resistant plastic body panels which were also touted as allowing the company to change the look of the vehicles readily. However, in practice, the company did not often take advantage of this capability.

Saturn S-Series cars were produced from 1991–2002. There were 3 Generations of S-Series Cars. First Generation S-Series cars were produced from 1991–1994. For the 1995 Model year, Saturn implemented a "First Generation" exterior, and "Second Generation" interior. The exterior of the 1995 model year looked the same as the first generation cars, but exhibited larger gauge faces on the instrument cluster, and a redesigned middle console. First Generation engines were rated at 85 horsepower (63 kW) for the Single Overhead Cam Engines, while the Dual Overhead Cam Engines were rated at 124 horsepower (92 kW) for the entire run of S-Series cars (1991–2002). In 1996, the Second Generation S-Series Sedan was introduced and remained virtually unchanged for the rest of the vehicle's production run. In 1997, the Second Generation of the Sport Coupe model was introduced with a more "scooped" headlight front. The S-Series was produced in three variations: Coupe (SC), Sedan (SL), and Wagon (SW). The Wagon was introduced for the 1993 Model year and was produced until 2001.

The first real change came with the 2000 Saturn L-Series mid-size car. It shared the GM2900 platform with the Opel Vectra, along with its engine, and was built at a GM factory in Wilmington, Delaware. The Saturn Sky is now being produced in the Wilmington factory along with the essentially identical Opel GT and the closely related Pontiac Solstice.

In recent years, sales have been in decline. Ion production lines were halted for two weeks in 2003 to allow dealer inventory to reduce. The L-Series was canceled after production of the 2005 models, and the Ion was canceled after 2007.

Final model line

2009 Saturn Vue

As of 2009, the company shared GM's Delta, Epsilon, Kappa, Lambda and Theta platforms, and the company's Ecotec engines—including the new 2.4L LE5 I4, Turbo 2.0L LNF I4, and DCVCP 1.8L I4—and the High Feature LY7 3.6L V6 and High Value LZ4 3.5L V6 engines. The Saturn Vue used a Honda engine in the past, and the plastic body panels have been discontinued on all current vehicles.

The 2009 Saturn models were the Sky roadster, the Aura sedan, the Astra hatchback, the Vue small crossover SUV and the Outlook full-size crossover SUV built off the GM Lambda platform (replacing the Relay minivan).[20]

Some recent Saturns are virtually identical to certain European Opel/Vauxhall models. For example, the 2008 Saturn Vue was a rebadged Opel Antara, while the Opel GT was based on the Saturn Sky. The Opel Astra was imported from Antwerp, Belgium as the Saturn Astra (replacing the Ion as the entry-level car). On the other hand, the Saturn Aura, while based on the same platform as the Opel Vectra, is a unique model for the North American market similar to the Pontiac G6.

The company offered two sub-lines of vehicles: "Red Line" Saturns are performance-oriented, while "Green Line" cars are more environmentally friendly hybrids.[21] The Vue and Ion Red Line models, launched in 2004, have been joined by Vue and Aura Green Lines for the 2007 model year and a Sky Red Line the same model year. Saturn's Green Line vehicles utilize mild hybrid technology.[22]

Model lineup

Saturn Sky
Model Class Production
Saturn S-Series compact sedan and coupe 1991–2002
station wagon 1993–2001
Saturn L-Series mid-size sedan and station wagon 2000–2005
Saturn Vue compact crossover 2002–2009
Saturn Ion compact sedan and quad coupe 2003–2007
Saturn Relay minivan 2005–2007
Saturn Sky roadster 2007–2009
Saturn Outlook full-size crossover 2007–2010
Saturn Aura mid-size sedan 2007–2009
Saturn Astra compact 3– and 5-door hatchback 2008–2009

Concepts

Awards

  • 1991
    • Saturn receives two "Silver Anvil" awards for community and internal relations.
    • Saturn receives Popular Mechanics "Design and Engineering" award for "manufacturing processes that result in exceptionally high quality for an all-new vehicle."
    • Saturn receives "Driver's Choice awards for best small car" from MotorWeek
  • 1992
    • Saturn receives "Driver's Choice awards for best small car" from MotorWeek
    • Saturn is in the "Top Ten Domestic Buys" according to Motor Trend magazine.
    • Saturn receives the "EVE" award for Saturn's attempt to employ women and minorities.
  • 1993
    • Saturn receives the Best American Car Value Under 13,000; Lowest Total Cost To Own—American Car; Best Overall Value—Compact Class under 16,500; from Intellichoice.
    • Saturn receives Technology of the Year from Automobile Magazine
  • 1995
    • Saturn receives Best American Car Value under 13,000; Best Compact Under 17,000; Best Subcompact over 12,500; from Intellichoice.
  • 1996
    • Saturn receives Best American Car Value under 20,000; Best Compact Value under 17,000 (import or domestic); by Intellichoice.
    • Saturn receives the award for Best Small Wagon (import or domestic).
    • Saturn receives the award for Best Subcompact value under 12,000 (import or domestic).
    • Saturn receives the award for Best Subcompact value over 12,500 (import or domestic).
  • 1997
    • Saturn receives Best Car Value Under 20,000; Best Compact Value under 15,000; Best Subcompact Value under 14,000; Best Small Wagon Value; from Intellichoice.
    • Saturn is the Leader in "Brands under 20,000"
  • 1999
    • Saturn receives awards for Best Compact Value under 20,000; Best Small Wagon Value.
    • Saturn S-Series gets a Double 5-Star rating in Driver & Passenger in front-collision tests.
  • 2000
    • Saturn is voted MotorWeek's "Best Family Sedan".
    • Saturn receives "Best Overall Value of the Year" for SL and SL1 from Intellichoice.
    • Saturn in Spring Hill receives "Most Valuable Pollution Prevention."
  • 2007
    • Saturn's 2007 Aura claims North American Car of the Year.
  • 2008
    • Saturn's Outlook receives Parents Magazine/Edmunds.com "Best Family Car 2008", "Best Crossover Utility" by MotorWeek Drivers, "Best New Family Vehicle" from kbb.com.

Advertising slogans

  • 1985
    • "What Kind of Car Is That? It's A Saturn!"
  • 1989–1994:
    • "A Different Kind of Car Company" (US)
    • "We've reinvented the automobile." (Canada)
  • 1994–2002: "A Different Kind of Company, A Different Kind of Car."
  • 2002–2004: "It's Different in a Saturn"
  • 2004–2006: "People First"
  • 2006–2007: "Like Always. Like Never Before."
  • 2007–2010:
    • Formerly "Rethink American.", later "Rethink.", then "We're Still Here." (US)
    • "Like Always. Like Never Before.", later "Rethink." (Canada)
    • "Passion for the Road." (Spanish-speaking US slogan)

Plants

References

  1. ^ "How Saturn Cars Work". howstuffworks.com. Retrieved February 17, 2009. {{cite web}}: External link in |publisher= (help); Unknown parameter |coauthors= ignored (|author= suggested) (help)
  2. ^ "International Directory of Company Histories, Vol. 21". St. James Press. fundinguniverse.com. 1998. Retrieved February 17, 2009.
  3. ^ Reuters. "GM to wind down Saturn brand by October 2010". Montrealgazette.com. Retrieved October 1, 2009. {{cite web}}: |author= has generic name (help)
  4. ^ Nelson Ireson. "Saturn Production Halted, Remaining Cars Sold Off Within 4 Months". Thecarconnection.com. Retrieved October 5, 2009.
  5. ^ a b "History Of The Saturn Car Company – Our Story | About Us". Saturn. Retrieved July 5, 2009.
  6. ^ Robert A.G. Monks (2005). "Corporate Governance case study: General Motors". Corporate Governance. Blackwell Publishers. Retrieved May 17, 2010.
  7. ^ Greenwald, John (November 9, 1992). "What Went Wrong? Everything at Once". TIME. Retrieved October 1, 2009.
  8. ^ "Innovative Saturn-UAW Contract Dismantled". Saturnfans.com. June 26, 2004. Retrieved February 17, 2009. {{cite web}}: External link in |publisher= (help); Unknown parameter |coauthors= ignored (|author= suggested) (help)
  9. ^ Vlasic, Bill (December 2, 2008). "Pursuing U.S. Aid, G.M. Accepts Need for Drastic Cuts". New York Times. Retrieved February 17, 2009.
  10. ^ "GM seeks up to $30B in aid, will cut 47,000 jobs". San Francisco Chronicle. February 17, 2009. Retrieved February 21, 2009. {{cite news}}: Unknown parameter |authors= ignored (help)
  11. ^ http://www.autoevolution.com/news/the-last-pontiac-built-in-the-us-13810.html
  12. ^ "GM to sell Saturn to Penske". CNN Money. June 5, 2009. Retrieved May 23, 2010.
  13. ^ GM to sell Saturn to Penske
  14. ^ 2006 photo by Richard Lee/Detroit Free Press (June 6, 2009). "Saturn deal is called a new business model | Freep.com | Detroit Free Press". Freep.com. Retrieved July 5, 2009.{{cite web}}: CS1 maint: numeric names: authors list (link)
  15. ^ Chrissie Thompson, Automotive News (September 1, 2009). "GM to close 46 Canadian Saturn stores by the end of the year". AutoWeek. Retrieved September 2, 2009.
  16. ^ a b "GM to shut down Saturn after deal with Penske falls apart". USA Today. October 1, 2009. Retrieved May 23, 2010.
  17. ^ Confirmed: Renault-Nissan killed Saturn
  18. ^ "GM to Wind Down Saturn Brand After Penske Halts Talks". Bloomberg. 2009.
  19. ^ The Car Connection – GM Offering Saturn Owners $2,000 to Stay with Company
  20. ^ "Saturn: New 2009 Cars, SUVs, & Crossover Vehicles". Saturn Corporation. Retrieved February 17, 2009.
  21. ^ Deacon, Clinton (February 5, 2007). "Saturn to Debut 2008 Vue Red Line & Green Line Hybrid". Worldcarfans.com. Retrieved February 17, 2009. {{cite web}}: External link in |publisher= (help)
  22. ^ "2008 Saturn Aura Hybrid Review". Edmunds.com. 2008. Retrieved February 17, 2009. {{cite web}}: External link in |publisher= (help)
  23. ^ "Flashback Friday: 1984 Saturn Prototype". SaturnFans.com. May 16, 2008. Retrieved September 3, 2009.
  24. ^ "Flashback Friday: 1988 Saturn Prototype". SaturnFans.com. December 19, 2008. Retrieved July 5, 2009.
  25. ^ "Flashback Friday: 2000 Saturn CV1 Concept". SaturnFans.com. August 8, 2008. Retrieved July 5, 2009.
  26. ^ "GM closes Delaware plant, ceases Solstice, Sky production". Leftlanenews.com. July 29, 2009. Retrieved October 1, 2009.