In a statement released late this afternoon, Penske Automotive announced it was abandoning the idea of purchasing Saturn from General Motors.
<;P class=MsoNormal target="_blank">According to the release, Penske’s decision was based upon an inability to procure vehicles for the division. GM would have been obligated to provide vehicles for a “short-term” period, but Penske was on its own after that.
<;P class=MsoNormal target="_blank">Earlier reports had suggested Penske was eyeing a deal with the Korean Samsung company, which is a subsidiary of Renault S.A. Although Penske doesn’t acknowledge this fact in its release, it does say whichever automaker it was dealing with essentially ended the transaction.
<;P class=MsoNormal target="_blank">“Penske Automotive Group negotiated the terms and conditions of an agreement with another manufacturer,” the release reads. “However, that agreement was rejected by that manufacturer's board of directors.
<;P class=MsoNormal target="_blank">“Without that agreement, the company has determined that the risks and uncertainties related to the availability of future products prohibit the company from moving forward with this transaction.”
<;P class=MsoNormal target="_blank">GM hasn’t yet released a statement on the matter, but had planned on winding down Saturn operations by October 2010 if it didn’t find a buyer for the brand.