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Old 07-21-2009, 07:11 PM   #1
l57
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Default Canada....Ongoing Observation

Okay...here's a growing observation on my part. If Penske has any plans of continuing Canada (which I now highly, highly doubt) he will have to rebuild the dealer network. Too many vital dealers appear to be bailing out. I guess they are taking GM Canada's financial offer of a few months ago and not waiting anymore. Given the time that's past without any word about Canada, I can't blame them a bit.

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Old 07-21-2009, 07:53 PM   #2
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Default Re: Canada....Ongoing Observation

Quote:
Originally Posted by l57 View Post
Okay...here's a growing observation on my part. If Penske has any plans of continuing Canada (which I now highly, highly doubt) he will have to rebuild the dealer network. Too many vital dealers appear to be bailing out. I guess they are taking GM Canada's financial offer of a few months ago and not waiting anymore. Given the time that's past without any word about Canada, I can't blame them a bit.
Well, from my point of view here in Vancouver, all three Saturn dealers are still going strong.

I think it's still too early to tell. I don't think Penske could have absorbed all of the Saturn dealers that were open across Canada six months ago anyway. He wants the strong stores that are in it for the long haul... not the quitters that took GM's offer and closed up shop.

I think we're going to have to give Penske/Saturn at least too years to really come out as a stand-alone dealer network.

...
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Old 07-21-2009, 08:37 PM   #3
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Default Re: Canada....Ongoing Observation

Asta La Vista....what on earth are you talking about with your comment below ??

"I don't think Penske could have absorbed all of the Saturn dealers that were open across Canada six months ago"

First of all there were only 50 (or so) dealers six months ago and secondly Penske doesn't "absord" anything. He merely looks at the business model for Canada and decides whether the CDN sales numbers warrant his providing cars for the Canadian Market. That model includes number of dealers remaining, dealers left in various markets, cost of production differences such as different instrument clusters, CDN advertising, market preferences (small cars in Canada)....etc...etc.

All I'm saying is given what seems to be happening...(rumour is Saturn Canada will have only 30 or so dealers within a few months).... the weeks of silence about Canada......no small car from Saturn Canada this fall (the Astra is done)....I just don't see it happening.

I hope I'm wrong.

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Old 07-22-2009, 07:13 PM   #4
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Default Re: Canada....Ongoing Observation

Quote:
Originally Posted by l57 View Post
Asta La Vista....what on earth are you talking about with your comment below ??

"I don't think Penske could have absorbed all of the Saturn dealers that were open across Canada six months ago"

First of all there were only 50 (or so) dealers six months ago and secondly Penske doesn't "absord" anything. He merely looks at the business model for Canada and decides whether the CDN sales numbers warrant his providing cars for the Canadian Market. That model includes number of dealers remaining, dealers left in various markets, cost of production differences such as different instrument clusters, CDN advertising, market preferences (small cars in Canada)....etc...etc.

All I'm saying is given what seems to be happening...(rumour is Saturn Canada will have only 30 or so dealers within a few months).... the weeks of silence about Canada......no small car from Saturn Canada this fall (the Astra is done)....I just don't see it happening.

I hope I'm wrong.
I hope you're wrong but too but I am inclined to agree with you. The dead silence from the Penske camp regarding the future of Saturn Canada speaks volumes.

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Old 07-22-2009, 08:19 PM   #5
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Default Re: Canada....Ongoing Observation

For those in Montreal who wish ,maybe get more answers, I found in the current government data base two obscure Saturn dealer associations:

LA CORPORATION DES CONCESSIONNAIRES
SATURN DU GRAND MONTRÉAL..
141, 7E AVENUE
ÎLE-PERROT QUÉBEC
J7V 4T5


ASSOCIATION DES CONCESSIONNAIRES SATURN SAAB
ISUZU DU QUÉBEC INC.
2500, BOUL. DANIEL-JOHNSON, BUR. 300
LAVAL (QUÉBEC)
H7T 2P6

...
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Old 07-22-2009, 08:53 PM   #6
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Default Re: Canada....Ongoing Observation

I've heard talk the Quebec dealer number is dropping from 11 to 4 or 5 very shortly....I guess we'll see. On the subject of "silence" from Panske RE: Canada. As most of you know, the day he announced his potential deal with GM he said his first priority was determining Canada's future. That was ...what...six weeks ago...I've lost track. I wouldn't take his due diligence team this long to ascertain Canada's viability....And I have to believe if news was positive they would have announced it for the sake of Canadian dealers who are in limbo. I really hope I'm wrong but it just doesn't feel good.

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Old 07-22-2009, 09:03 PM   #7
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Default Re: Canada....Ongoing Observation

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Originally Posted by l57 View Post
I've heard talk the Quebec dealer number is dropping from 11 to 4 or 5 very shortly....I guess we'll see. On the subject of "silence" from Panske RE: Canada. As most of you know, the day he announced his potential deal with GM he said his first priority was determining Canada's future. That was ...what...six weeks ago...I've lost track. I wouldn't take his due diligence team this long to ascertain Canada's viability....And I have to believe if news was positive they would have announced it for the sake of Canadian dealers who are in limbo. I really hope I'm wrong but it just doesn't feel good.
So far in Montreal I looks that only one dealer in missing from the Gm list
West-island Saturn. The owner, Mr. Cloutier, own the Chevy/BPG dealers next door.

The Saturn building seems to be empty but they had, during the weekend, a new banner that said : Grand opening.

Opening of what... time will tell.

...
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Old 07-22-2009, 09:17 PM   #8
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Default Re: Canada....Ongoing Observation

And for those in Quebec who worry about their warranties, the government agency says:

Basically the dealers are responsible and/or the finance company
and Gm of course ( Office de la protection du consommateur)

http://www.opc.gouv.qc.ca/WebForms/S...tGarantie.aspx

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Old 07-23-2009, 05:37 AM   #9
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Default Re: Canada....Ongoing Observation

I woudn't worry about warranties in Québec. GM Canada isn't bankrupt and those warranties still hold. What I worry about is service and parts availability (not so much the existence of, but rather delays in getting them if they are held by Penske in the US). I'm also concerned about driving half-way across the province to get something fixed under warranty.

GM Canada has been awfully quiet recently...

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Old 07-23-2009, 06:08 AM   #10
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Default Re: Canada....Ongoing Observation

As much as I hate to think this.....I suppose it could be that GM Canada has been told by Penske they won't be supplying cars and now the silence is being maintained in order to move remaining CDN. inventory.

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Old 07-26-2009, 08:03 AM   #11
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Default Re: Canada....Ongoing Observation

Quote:
Originally Posted by l57 View Post
I've heard talk the Quebec dealer number is dropping from 11 to 4 or 5 very shortly....I guess we'll see. On the subject of "silence" from Panske RE: Canada. As most of you know, the day he announced his potential deal with GM he said his first priority was determining Canada's future. That was ...what...six weeks ago...I've lost track. I wouldn't take his due diligence team this long to ascertain Canada's viability....And I have to believe if news was positive they would have announced it for the sake of Canadian dealers who are in limbo. I really hope I'm wrong but it just doesn't feel good.
I have the same feeling as yourself about the number of Qc Saturn dealers is going to shrink, even if one floor sale rep. (from another dealer than Blainville) seem to be firmly convinced that the Penske deal included some of the (not all of them) Canada's dealers, which I doubt yet, having not seen anything official from GM Canada. Time will tell...

saturnblainville dot com Qc published its closing sale (vente de fermeture, on the french website page)

Last edited by guy_450; 07-26-2009 at 08:14 AM..

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Old 07-26-2009, 09:28 AM   #12
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Default Re: Canada....Ongoing Observation

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The Saturn building seems to be empty but they had, during the weekend, a new banner that said : Grand opening.

Opening of what... time will tell.
Now, I know what is opening in the former West-Island Saturn building.... a used car lot.

We are going to see more closing that's for sure .... the sales volume are going to be to low without a definite plans for the Canadian ops.

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Old 07-26-2009, 09:44 AM   #13
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Default Re: Canada....Ongoing Observation

What's sad about the Canadian situation is the number of salespeople, receptionists, mechanics..etc....who naturally assumed from day one that the Penske memo included Saturn Canada. Some of them are just finding out now that Canada wasn't included (and is still in limbo)....they are outright stunned. On the flip side...I've also heard with my own ears CDN. salespeople telling potential customers that "Roger Penske has bought Saturn" knowing full well that so far Canada is not included....How do they sleep at night?? Even our CDN press hasn't clued in to the fact that so far Canada is not a part of the deal. A lot of unknowing employees & brand new customers are going to be mighty furious if Canada is left to die.

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Old 07-30-2009, 04:19 PM   #14
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Default Re: Canada....Ongoing Observation

Though still no answer one way or another, but at least the possibility of continuing Saturn in Canada still appears to be on the table according to this statement yesterday...

DETROIT, July 29 (Reuters) - Penske Automotive Group (PAG.N) plans to complete a deal to buy Saturn from General Motors Co [GM.UL] by the end of September, the founder and chairman of the No. 2 auto dealership chain said on Wednesday.
Roger Penske also said that he was considering using the Saturn brand for vehicles sold outside North America, but was focused first on the U.S. market and potentially Canada.

http://www.reuters.com/article/marke...0090729?rpc=44

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Old 07-30-2009, 07:54 PM   #15
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Default Re: Canada....Ongoing Observation

I heard the conference call where Roger mentioned Canada and used the word "potentially"....that means we are still in the game...keep your fingers crossed. On a sad note...heard today that Brossard Saturn-Saab just outside Montreal is closing in two months. If I'm not mistaken that dealership was either #1 or #2 in Canada for sales most months....thats a big loss.

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