Pontiac’s death to cost Holden $729 million a year

By now, all of you should know that GM has finalized phasing out the Pontiac brand by the end of 2010 and along with it, the Pontiac G8 sedan which is produced by GM’s Australian unit – Holden. Reports say that Holden, which also makes the Vauxhall VXR8, is going to lose up to $729Β million a year from the death of Pontiac.

Holden has reportedly spent millions on converting its factory to build left-hand models and had ambitions to export 30,000 units of the G8 annually to the United States. Holden had hoped to export 70,000 VE Commodores a year, which is the basis for the Vauxhall VXR8 and G8.

The Australian unit is now fearing job cuts and is preparing cost cutting method due to the death of Pontiac.

– By: The Daily Auto Editor

Source: AutoCar