GM Announces Merger of Pontiac and GMC Divisions

02/21/96

The Associated Press reported that General Motors announced plans to merge their Pontiac and GMC divisions. The merger would take place as part of a major effort to improve the images of the automaker's car and truck brands. The automaker hopes to have Pontiac cars and Minivans side by side on lots with pickups and sport utility vehicles. The move will give combined dealerships a full range of vehicles to sell to relatively affluent buyers of luxury trucks and sporty cars. Pontiac and GMC are GM's second and fourth largest marketing divisions, respectively. The company expects the merger to eliminate some reduplication of functions at GM headquarters and in their field offices. Company officials started public discussion of the possible merger at the National Automobile Dealers Association convention last week. 1,600 of Pontiac's franchised dealers already own franchises to sell GMC trucks.

Paul Dever -- The Auto Channel