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PSA's purchase of Opel from GM is expected to be finalized soon

PSA's purchase of the Opel/Vauxhall division from General Motors is expected to be officially announced on Monday, according to The New York Times. PSA, the parent company of European automakers Peugeot and Citroen, will reportedly hold a joint press conference with GM in Paris to announce the deal. GM has worked as part of an alliance with PSA in Europe since 2012. The deal could be a big boon for both companies. For PSA, the addition of Opel and Vauxhall into its fold would catapult the automaker into second place behind Volkswagen for European marketshare, and would allow the company to spend research and development costs across a greater number of vehicles. And GM, which has struggled in recent years to turn a profit with its European division, would be able to focus more squarely on the areas where it's most profitable and to invest in future technologies like automation. But the deal isn't without its potential pitfalls, primarily for PSA. GM hasn't been able to make a success of Opel and Vauxhall, and it's not a sure bet that PSA will, either. What's more, the addition of Opel and Vauxhall doesn't expand PSA's reach any further into new markets, like China or India. The NYT cites data from Ferdinand Dudenhoffer, a professor at the University of Duisburg-Essen in Germany, showing that 70 percent of PSA and Opel business is done in Europe, a market that has been shrinking since 1999. We'll have to wait a few days to see exactly how the deal between PSA and GM will be structured. We're also curious to see how the loss of Opel may affect GM's lineup in the States, especially for Buick, since the company's Regal sedan is based on the European Opel Insignia. In other words, stay tuned. Related Video:

GM investing $167m in Spring Hill for new midsize vehicles

General Motors has announced a large investment in its Spring Hill, Tennessee facility. The former home of Saturn production will be getting a $167 million addition to a previously announced $183 million, to cover a pair of new midsize vehicles. The investment is expected to create 1,800 jobs at the factory.
That $350 million is being divvied up for a pair of programs at Spring Hill. The first will take the bulk of the money ($223 million) and create 1,000 of the 1,800 jobs, while the other will take the remaining $127 million and generate the leftover 800 positions. But GM says the investment will cover "midsize vehicle programs." So what could they be?
The leading candidate in our minds is a new crossover for Buick, called the Anthem, that will slot between the Encore and Enclave, but will be slightly smaller than the Equinox and Terrain. As we've explained, the new model will likely be the first product to sport GM's new D2UX platform, which will eventually replace both the Delta and Theta platforms. Spring Hill is already building the Equinox, so there could be some credence to this theory.

Malaise Era Junkyard Gem: 1979 Buick Electra Limited

In the fall of 1973, the Arab members of OPEC shut off the oil taps, and Detroit got busy making many of their full-sized land yachts a lot smaller. By model year 1977, the downsized fifth-generation Buick Electra was ready to go ... just in time for the 1979 Iranian Revolution to squeeze the supply of the black stuff even further. You won't see many of the 1977-85 Electras these days, but I spotted this faded but solid '79 Limited sedan in a Denver self-service yard last week. General Motors must have bought up the entire world's supply of blue velour around this time, because you'll see this stuff in just about every car they made for the following decade or so. By this time, GM was doing a lot of mixing-and-matching with engines from its various divisions, which meant you could buy an Oldsmobile 88 with a Chevrolet 350 V8 engine, a Chevrolet Monza with a Buick 231 V6 engine, or— as in this case— a Buick Electra with an Oldsmobile 350 V8 engine. Do you want to know how many horses this engine delivered to this 3,631-pound car? 155 horsepower out of 5.7 liters of engine displacement. Times were tough during the Malaise Era. Related Video: Featured Gallery Junked 1979 Buick LeSabre in Colorado Junkyard View 20 Photos Buick Automotive History Luxury Classics Sedan malaise era