All but for a very few, speculative reports, by reporters who are not on the GM Corporate loop is there any credible news about GM dropping the Pontiac Brand. Not going to happen. And if someone wants to prove my opinion wrong, post something credible from a GM source. Where the Pontiac Brand, along with the vast number of other GM Brands owned worldwide goes next is totally up in the air. My guess, from what I've read directly from the horses mouth,.... downsizing and concentration on sports models. With deals, contracts, commitments to the UAW, and City/State/Country governments, closing Pontiac outright isn't going to happen. As well, the money, engineering, and tooling at their Australian subsidy Holden... And deals and tooling already going on and paid for in Delaware and Kentucky plants would make shutting the brand extremely painful.
The biggest blame I feel is the UAW and the gun they hold to both the Corporations and Government at all levels with their arm twisting Pay Scale contracts and massive political PAC spending. All car companies are hurting because of the economic crunch foreign and domestic. Car sales are down across the board. European plants are going on production hiatus'* as well. Chrysler is faring no better than GM, and Ford is just keeping it'* head at the water line with hopes to have enough cash flow through the next year (If sales pick up.) The Banks refuse to loosen credit standards even with the Bailout moving forward and the Fed pulling back interest rates to basically free money to loan. Honda and Toyota USA are just keeping things profitable and the Key difference here is price control. What it pays employees in salaries and benifits, as well as vendor control in what it will pay for parts to a lesser extent. I have no pity for the US Auto worker or the Unions they support. Unemployment is at nearly all time levels, companies around here advertise for semiskilled workers at less than $20 an hour and the applicants lines are going around the buildings. Sure quality and staying with consumer trends is a big issue as well, but in these times of economic trouble and slumped sales throughout the industry,..... price control is key. And with the UAW and their complete refusal to help the situation might just kill them as well as the Big 3. Bankruptcy and the real ability to face off with the UAW, brought on by Feds who aren't afraid of their Billions in PAC funds over the years is the the bitter pill to swallow that could actually help them survive. The bailout Bush has provided despite the couragous denials of key Senators can only bring one thing. A string on which GM can pulll again and again to throw even more good money after bad. Money is not the issue here, it is how to stop business as usual.