GM to Kill Pontiac Brand, Reports Say
The speculation first arose in Australia, where GM sources the Pontiac G8 sports sedan from its GM Holden unit.
General Motors Corp., which received another $2 billion in taxpayer loans today as it races to restructure its business against a June 1 deadline from the Obama Admin., reportedly will announce the full discontinuation of its Pontiac brand as early as Monday.
GM previously intended to shrink Pontiac to a niche brand as part of a restructuring strategy outlined in its Feb. 17 viability plan to the U.S. Treasury Dept.
But the Treasury rejected the plan late last month and forced out longtime Chairman and CEO Rick Wagoner. Wagoner’s replacement, Fritz Henderson, says the government wanted “deeper, faster” restructuring.
The 83-year-old Pontiac division now appears to be the first victim of the auto maker’s new urgency.
Pontiac spokesman Jim Hopson calls news of Pontiac’s death “speculation” but admits the new marching orders from Obama places all elements of GM’s business back under crutiny.
“At this point, no announcements have been made,” he tells Ward’s of Pontiac’s future. “But everything is back on the table. Everything is being reviewed.”
Fadi Bidawid, business manager at Superior Pontiac-Buick-GMC in Dearborn, MI, says as late as this afternoon GM had not notified the dealership of any plans.