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Home » News » Opinion » Columnists » Magee: GM should ...
Thursday, Nov. 5, 2009

Magee: GM should take a look at restarting the Saturn brand in Tennessee

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David Magee

Maybe it's because I'm in Tennessee, but when I look at General Motors' decision this week not to sell German automaker Opel, all I can see is Saturn.

GM's board of directors reversed its position on Opel, deciding to restructure the European brand after a year of negotiating wage concessions from German workers. After GM experienced its first sales increase in more than two years last month, the board determined it could make the troubled Opel brand profitable again.

Then there's Saturn, the GM brand once manufactured in Spring Hill, Tenn. That plant is shuttered, and the company eliminated the brand this fall when an attempt to sell it to Roger Penske unraveled.

If better management and brighter prospects for the auto industry are making GM's board change direction on Opel, then perhaps Saturn warrants another look.

Germany's Opel may be important to GM, but Saturn is important to Tennessee -- and to America. When tough times ushered GM into bankruptcy, taxpaying citizens helped the company remain intact with billions in capital. Now, taxpaying citizens facing tough times fueled by rising unemployment could use a nod from the company.

Some will argue Saturn was a broken company that cannot be profitable and that GM shouldn't hang onto it simply to save American jobs. I agree with the latter, but I don't agree that Saturn can't be profitable.

Mr. Penske believed in Saturn, but his plan didn't work because he couldn't find a manufacturer to build the cars. In Spring Hill, though, GM has a plant and workers ready to roll.

Saturn had many loyal customers, and in this age when smaller, more efficient cars are in high demand, a well-managed Saturn brand with well-designed products could be a winner.

Given new life with a better plan and management, Saturn could help GM. Likewise, given new life, Saturn could help Tennessee -- and America.

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