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Old 05-05-2009, 11:05 AM   #1
ChuckTheGreat
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Default Who will do warranty work?

Here is a question I have not seen on here yet....

If Saturn gets sold off, will the current retailers still be able to service current Saturns and perform warranty work? GM has all their dealerships on the Global Warranty system. Would GM really want a non-GM dealer doing warranty work?

Doesn't it seem that the goodwill Saturn has with its current owners would be totally ruined if they can no longer do warranty work? I think this will be a HUGE issue going forward.

Maybe Obama's new warranty company will underwrite the warranties on outstanding Saturns. I can't imagine whichever private equity firm take over would want to cover the warranties.

And what about recalls? Who would be responsible for those?

Then you get into the whole issue of parts. Would a Saturn retailer continue to stock all the parts they currently do? And how long would it take to get a parts department stocked for a new vehicle?

Right now, a parts department has to stock parts for 10 separate models (from the original S-series through the Astra). Can you imagine having to stock parts for the new vehicles in the small space that most retailers have?

It will be interesting!
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Old 05-05-2009, 11:40 AM   #2
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Default Re: Who will do warranty work?

warranty can still be done by the saturn stores or any gm dealer.
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Old 05-05-2009, 01:51 PM   #3
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Default Re: Who will do warranty work?

I know that as of now, you can get warranty work done at any Saturn retailer. But one of the cornerstones of Saturn's outstanding customer service is how people get treated in the service department. If there is no warranty work that can be done on 2009 and older Saturns once the sale happens, then the retailers will lose a huge customer base.

Saturn's will still be able to have their warranty work done by another GM dealer but what about the experience we have all come to know and love??
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Old 05-05-2009, 05:42 PM   #4
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Default Re: Who will do warranty work?

GM Warranties are backed by GM and now by the US Government subsidizing GM Warranties per President Obama. What direction Saturn takes and how that will affect Saturn performing said warranty work is too premature at this point to answer.

GM backed Oldsmobile warranties throughout thier duration even after the demise of Olds. As it looks at this point like Saturn has many potential suitors, there is a remote possibility that these same stores will still continue to service previous models as they are already trained.

Either way, Current Saturn Warranties are doubly-backed especially in the US.
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Old 05-05-2009, 05:52 PM   #5
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Default Re: Who will do warranty work?

At this point, if we are talking about Saturn staying viable, there is no question that is premature.

Looking from a retailers point of view, I would be asking the warranty question first. So many stores have decided to close already, I would hate to think that a retailer will lose the ability to perform warranty work on their own customer's cars. But they won't belong to Saturn anymore....they will belong to GM. GM will make sure they do the warranty work in one of GM's stores.

When Saturn gets sold, they will cease to be GM stores. The retailer agreement will cease to exist.
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Old 05-05-2009, 09:40 PM   #6
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Default Re: Who will do warranty work?

gm has already told saturn that the dealers can continue to do saturn warranty work as long as any of the gm saturns are still under warranty which can be up to 8 years from the last one sold.
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Old 05-05-2009, 11:45 PM   #7
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Default Re: Who will do warranty work?

Chuck brings up a good point when it comes to warranty and parts. From the sales department side, spinning off Saturn is easy. Sales consultants learn about the new products and sell them. That's not all that complicated. However, on the fixed operations side it's a little more complex. There's part delivery logistics, storage space for parts, tech training, warranty administration, and most of all the computer software to manage all of it.

Do you have two different computer systems to manage warranty?
Do you have one system (GM Global Warranty) for the GM Vehicles that come into your shop for warranty work and another for the new product line?

Some more food for thought….
Remember, Saturn was started in 1985 and it wasn't until 1991 that the first Saturn rolled off the line. While I know we would not be starting from scratch if this deal happens, this thing will not be ready to go by the end of the year. It's Impossible. Next to the federal government there’s probably not another entity that is as bureaucratic as the automobile industry.

This is why Mr. Penske has been quoted that the “time frame concerns him.”

Chuck and I have been at the Saturn Retail Facilities since the beginning. I can’t speak for Chuck, but this is not going to be an easy hill to climb.
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Old 05-05-2009, 11:58 PM   #8
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Default Re: Who will do warranty work?

Quote:
Originally Posted by onefunkar View Post
gm has already told saturn that the dealers can continue to do saturn warranty work as long as any of the gm saturns are still under warranty which can be up to 8 years from the last one sold.
I would take everthing that GM tells it's Saturn retailers with a grain of salt.

December 24, 2008 -
GM's LaNeve Says Automaker is "Completely Behind" Saturn

http://wot.motortrend.com/6409200/au...urn/index.html

Feb 18, 2009
Detroit-based GM said it plans to sell or spin-off its Saturn brand. If those attempts are unsuccessful, GM will phase it out by 2011.

http://www.greenhybrid.com/discuss/f...-2011-a-21050/

April 27, 2009
GM has also announced that it will cease building Saturn and Hummer brand vehicles after the 2009 model year.

http://wot.motortrend.com/6530052/au...ear/index.html


There's a trend here............
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Old 05-06-2009, 12:08 AM   #9
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Default Re: Who will do warranty work?

Quote:
Originally Posted by saturnplace View Post
There's a trend here............
Regardless of what happens in terms of production, Saturn will still perform warranty service on all vehicles sold in their stores -- whether they were built by GM or not. At whatever point Saturn is spun off from General Motors, GM will become a vendor to Saturn. The warranty costs were baked into the purchase price for the car. GM would just reimburse the Saturn for whatever costs were associated with the warranty work that needed to be done. Even though GM may be cutting ties with Saturn from a corporate standpoint, the lines will still be blurred for many years to come due to existing GM-built vehicles that will still need to be supported.

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Old 05-06-2009, 02:01 AM   #10
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Default Re: Who will do warranty work?

Quote:
Originally Posted by Charlie View Post
GM would just reimburse the Saturn for whatever costs were associated with the warranty work that needed to be done.
Yeah, that’s going to be easy. "Just Reimburse" isn't in GM's warranty vocabulary.

<sarcasm>I am sure it will be much easier to get warranty claims paid after the divorce is finalized.</sarcasm>
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Last edited by saturnplace; 05-06-2009 at 02:07 AM.
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Old 05-06-2009, 07:22 AM   #11
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Default Re: Who will do warranty work?

Quote:
Originally Posted by saturnplace View Post
Yeah, that’s going to be easy. "Just Reimburse" isn't in GM's warranty vocabulary.

<sarcasm>I am sure it will be much easier to get warranty claims paid after the divorce is finalized.</sarcasm>
Not any more "difficult" than Oldsmobile owners who had warranty work done at other GM shops long after it's demise. It is not going to be as difficult as you guys are making it seem, really.
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Old 05-06-2009, 07:47 AM   #12
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Default Re: Who will do warranty work?

Quote:
Originally Posted by marx404 View Post
Not any more "difficult" than Oldsmobile owners who had warranty work done at other GM shops long after it's demise. It is not going to be as difficult as you guys are making it seem, really.
Oldsmobile was terminated by GM and its Olds dealers were all heavily reimbursed for the franchise loss. Saturn won't be terminated. It will be SOLD. Any reimbursement to dealers from GM? Not if its sold.. Only the hope of a new beginning from the successful suitor. Very different scenario then the Olds situation. No guarantees. GM can still go bankrupt. Don't forget that scenario.
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Old 05-06-2009, 09:17 AM   #13
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Default Re: Who will do warranty work?

Quote:
Originally Posted by marx404 View Post
Not any more "difficult" than Oldsmobile owners who had warranty work done at other GM shops long after it's demise. It is not going to be as difficult as you guys are making it seem, really.
Are you currently working in fixed operations at a Saturn Facility? Just curious. The comments that I have made in this thread are from experience and not "theory". I am being totally pragmatic here.

Also, Oldsmobile was closed and not sold. GM is divorcing us.

Believe me, I want Saturn to survive. I have a lot at stake if Saturn goes under. But, I am also not going to live in denial of what's happening with the Saturn brand.
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Old 05-06-2009, 10:09 AM   #14
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Default Re: Who will do warranty work?

Quote:
Originally Posted by saturnplace View Post
Are you currently working in fixed operations at a Saturn Facility? Just curious. The comments that I have made in this thread are from experience and not "theory". I am being totally pragmatic here.

Also, Oldsmobile was closed and not sold. GM is divorcing us.

Believe me, I want Saturn to survive. I have a lot at stake if Saturn goes under. But, I am also not going to live in denial of what's happening with the Saturn brand.
If you want to continue to talk about this in marriage terms;
perhaps you should say GM murdered Oldsmobile in a fit of marital rage
but is divorcing Saturn due to the fact that they are now impotent and are so ashamed.....
Actually the impotence angle could explain alot of GM's problems
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