General Motors has finally decided to kills off the Pontiac brand after being hit badly by the aftermaths of recession. The brand will be wiped out completely by the end of 2010. It is a part of cost cutting plan by the company which is seeking a bailout package from the U.S. government. After Pontiac, General Motors will stress on the brands like Hummer, Saab and Saturn.
The closure of these brands was on cards for a long time since General Motors has been hit by financial problems and huge debts. The closing of the brand is one of its attempts to convince the federal government about its seriousness to continue its business. This will help the company receive cash from the government and also help avoid the bankruptcy option.
Pontiac cars have been under production since 1926 and are sold in U.S., Canada, and Mexico. The first Pontiac car was powered by a 39 bhp, 3.1-litre engine. Some of the classic Pontiacs are the GTO, Firebird, Trans-Am, Fiero and the Bonneville. The Fiero is a cult figure among car enthusiasts. Many modern supercar styling is inspired by Fiero. Pontiac car have also been featured in many films and television shows.
The death of some of General Motors brands was imminent because of its redundant policies. The company follows a policy of producing and selling the same car under different brands. Due to this the Cadillac brand was on its death bed a few years ago until it was revived by some fresh models. Many of the GM trucks available under the brand name of Chevrolet, Saturn, Pontiac and Chevy cars are very similar except for some cosmetic changes.
General Motors India is also affected by the troubles faced by its parent company. While investments are still coming in, General Motors India does not sound as upbeat as it was a few years ago about taking over the Indian car market. The Indian arm of company should be careful to avoid such multi-branding of similar cars. Indian customers may not take it lightly.
Labels: Chevrolet-Cars, General-Motors-Cars, Pontiac
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