The Real Reason Pontiac Flopped

Who could forget Burt Reynolds and his black-and-gold Pontiac Firebird in the hit 1977 film “Smokey and the Bandit?” But then again, large, heavy cars with thirsty V8 engines fell out of fashion during the ’70s energy crisis (via The New York Times). Suddenly, gasoline prices were shooting through the roof, and numerous environmental concerns like excess pollution, climate change, and global warming were rearing their ugly heads. Consumers were now searching for more compact and fuel-efficient transportation, which is terrible news for a brand that built itself as the forerunner of the glorious muscle car era.

According to GM Authority, there were two main reasons why General Motors got rid of Pontiac (along with Saturn, Saab, and Hummer) during its Chapter 11 reorganization in 2009. First, the Pontiac brand had been unprofitable for a few years by then. Second, Pontiac was losing money for every rebadged Chevy sold. Making matters worse, Pontiac destabilized the Chevy brand since it formerly sold cars at a lower price than the latter. There were reports of GM executives and employees trying their very best until the end to save Pontiac, but the writing was on the wall.

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As a result, General Motors announced on April 27, 2009, that it would formally discontinue Pontiac amidst bankruptcy and corporate restructuring to focus on its four core brands: Chevrolet, Cadillac, GMC, and Buick. Still, the Pontiac Trans Am, Bonneville, Firebird, and GTO are forever alive in the hearts and memories of enthusiasts fortunate enough to live in a glorious, bygone era. However, the Fiero and Aztek remain keynotes in Pontiac’s cherished lineage despite the latter becoming Walter White’s vehicle of choice in “Breaking Bad.”