The announcement came a day before GM and its dealers expected the deal to be finalized. The failure could cost as many as 13,000 jobs at dealerships nationwide and GM.
Penske's plans for Saturn depended on securing another manufacturer to build future vehicles, a critical part of deal. But that fell apart when the board of directors for an unidentified automaker rejected the arrangement. That manufacturer was likely Renault-Nissan, a person close to the talks told the Detroit Free Press .
"Renault has been in contact with Penske to supply cars, parts and technology to Saturn through an (operating) agreement. The conditions for an agreement have not been found," a Renault spokeswoman said. She declined to comment further.
"This is very disappointing news and comes after months of hard work by hundreds of dedicated employees and Saturn retailers who tried to make the new Saturn a reality," Fritz Henderson, GM chief executive officer, said.
While dealers still hope Saturn might be saved, GM expects all the dealerships will be closed by the end of next year, if not sooner.
Saturn vehicle owners will be able to continue to have their vehicles serviced at other remaining GM dealers, and the company will continue to provide parts for those older vehicles.
Asked if GM would seek another buyer, Thomas Pyden, a GM spokesman, said: "I guess never say never, but our focus now is on implementing the wind-down agreements and working with our Saturn retailers to be as transparent and cooperative as possible through the process."
"The Saturn dealership network represented a unique opportunity for Penske," analyst Jeremy Anwyl, CEO of Edmunds.com, said in a statement. "The risk was sourcing product and that proved to be too much to overcome to complete the deal."
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