Saturn Plans to Double Lineup by 2007

GM's Saturn Brand Plans to Double Lineup Size by End of 2006, Adding Roadster, Mid-Size Car, SUV

MILFORD, Mich. April 19, 2004; John Porretto writing for the AP reported that General Motors Corp.'s Saturn brand plans to double the size of its portfolio by the end of 2006, adding a sporty roadster, mid-size car and larger sport utility vehicle.

GM and Saturn executives discussed some details of the enhanced portfolio Monday at GM's proving grounds northwest of Detroit, where automotive journalists drove two high-performance versions of Saturn's Vue and Ion models.

Saturn's current lineup consists of three models: the Vue SUV, the Ion compact sedan and coupe and the L-300 mid-size car, which Saturn has decided to discontinue.

Later this year Saturn will introduce the Relay minivan, followed in 2006 by the two-seat roadster, the new mid-size car and the larger SUV, which company officials call the Vue's "Big Brother."

"We're going to be more effective against the import makes like Honda, Toyota and Volkswagen," said John Smith, GM's group vice president for sales, service and marketing in North America.

The brand, once billed as "a different kind of company" making "a different kind of car," certainly could use a boost. U.S. sales through March were off 30.4 percent versus the same period last year, according to Autodata Corp.

Last year, overall volume was down 3.2 percent from 2002.

To appeal to performance-focused drivers, Saturn has introduced the more powerful, sportier Red Line series for the Vue and Ion models. The 2004 Vue Red Line went into production in December. Production of the Ion version is scheduled to begin this month.

The Saturn brand was launched in 1990 to compete with low-cost imports such as Toyota, Honda and Nissan. Initially, all cars were built in the small town of Spring Hill, Tenn., and Saturn maintained its own, very distinct identity.

At dealerships, Saturn's no-haggle pricing was intended to eliminate what many buyers find as a stressful experience.

In recent years, Saturn has adopted many of GM's common practices for design, production and labor -- a change that analysts say was inevitable as the brand seeks to cut costs and become more competitive.

Saturn: http://www.saturn.com