GM Considers Axing Brands to Win Aid

Pontiac, Saab, Saturn could go on chopping block
By Rob Quinn,  Newser Staff
Posted Nov 27, 2008 4:26 AM CST
An unsold H3 sits at a Hummer dealership in Castle Rock, Colo.   (AP Photo/David Zalubowski)
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(Newser) – General Motors is considering eliminating some of its brands in an effort to win federal aid, sources tell the Detroit Free Press. The automaker, sent back to Detroit by Congress and told to come back with a better business plan, is said to be considering all options, including ditching its Pontiac, Saab or Saturn lines.

Critics have long said GM would benefit from getting rid of some of its eight brands to cut costs and reduce overlap. The automaker, which put its Hummer line on the block in June, is seeking $12 billion in federal loans, without which officials say the company will run out of operating cash by the start of next year.