Some Saturn dealers are closing up shop rather than wait to see what the future holds, according to the Automotive News. The trade newspaper reports that since General Motors announced plans in February to gradually wind down Saturn operations by the 2012 model year, sales have plummeted, and the number of retailers nationwide dropped from 420 at the beginning of the year to 384 by early April. More dealers have closed since, including four in the Midwest last week.  (Read “Saturn dealer says new ‘partner’ will supply cars after GM” and “Saturn may leave General Motors’ orbit.”)

Sales have fallen off at a rate faster even than other brands in what has been a dismal period for the industry, dropping by 59.6 percent in March. Dealers say customers have been scared off by the brand’s uncertain future. (Read “Car buyers hesitant to buy from bankrupt automakers.”) That uncertainty is compounded by the possibility of a GM bankruptcy, and speculation the carmaker might have to spin off or eliminate underperforming brands sooner than originally thought.

Meanwhile, a group of investors, including some Saturn dealers and Oklahoma City-based Black Oak Partners, a private equity group, has announced it is bidding to take over Saturn. The group is one of several Saturn says have expressed interest in buying the division.  The group says its plan would be to begin by selling models produced by GM, but eventually change the product mix to include small cars and more fuel-efficient models from other manufacturers.

Regardless of whether the division is sold or phased out, Saturn owners and car shoppers should not necessarily panic. As we’ve reported before, buyers might not notice any change in day-to-day operations following a bankruptcy, and Saturn service and warranty work would most likely be taken on by other GM dealers if yours goes out of business. (Read “My dealer closed! What do I do?” and “Q&A: What happens if an automaker goes bankrupt?”)

If you’re the kind of buyer who keeps a car for a long time and aren’t afraid of possibly faster depreciation than might be seen with similar models from other brands, now might be a great time to consider Saturn. The Aura sedan has performed well in our testing, and is a Recommended model. Between the slow new-car market and the brand’s uncertain future, it might be a great time to make a deal.  

We will continue to monitor this fast-moving story, reporting here in the Cars blog and also updating advice and news on the Auto Crisis hub.

—Jim Travers