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Report: Saturn owners offered $2,000 to stick with GM products

After its decision to euthanize Oldsmobile, General Motors knows exactly what happens when it mothballs one of its brands: GM loses market share to the competition. The General is trying to stop history from repeating itself with Saturn customers by offering $2,000 on the hood of every car and crossover donning the ringed planet badge. Automotive News says the offer actually started on February 2 and runs until the end of March. To be eligible for the $2,000 bounty Saturn owners must have leased or purchased their Saturn at least six months ago. Interestingly, those owners don't even have to turn in their Saturn to be eligible for the cash.
AN reports that research company R.L. Polk says even before Saturn went on the endangered species list, it lagged other GM nameplates in the all-important aspect of customer retention. The mass exodus from Saturn loyalty predictably intensified at the end of 2008 as customers became anxious over the future of the brand. For its part, GM insists that all Saturn warranties will be upheld and customers looking for service can still go to a GMC, Chevy, Buick or Cadillac dealership.
[Source: Automotive News - sub. req.]Read | Permalink | Email this | Comments

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.

First GM ignition switch trial dismissed

Robert Scheuer has agreed to dismiss his ignition switch claims against General Motors to bring a sudden stop to the first federal trial over the automaker's faulty parts. The lawsuit was the first of six cases that were a bellwether to set a precedent in the complaints. Scheuer didn't receive any financial settlement from GM, according to Reuters. Scheuer alleged that he was injured when his 2003 Saturn Ion went off the road and hit the tree. The airbag didn't deploy, which Scheuer claimed was the result of the faulty ignition switch. GM originally attempted to dismiss the trial over a lack of evidence, but US District Judge Jesse Furman set a January 11 start date for the case. During the trial, GM's attorneys accused Scheuer and his wife of lying and presented evidence of an allegedly altered check stub that they used to purchase a house. Scheuer's defense had claimed that the family was evicted from the home after memory loss from the accident caused Robert to lose the down payment check. After the allegations, Furman pushed for a settlement. He called the trial an "outlier" and "almost worthless as a bellwether case," according to Bloomberg. The next of the six trials begins in March, Reuters reports. Related Video: