GM CEO Fritz Henderson confirmed this morning that GM is killing Pontiac. "We didn't think we had the resources necessary," GM CEO Fritz Henderson said. GM's "Excitement division," as Pontiac was once called, will be phased out by the end of next year, and its two finest products, the G8 GXP and Solstice won't be sold under another brand–a real tragedy for car enthusiasts.

This latest move from GM is an indication of just how fast and fluid the company's restructuring is. In addition to dropping Pontiac, GM has increased the number of plant closures and layoffs. The company is cutting "quicker and deeper." By 2012, GM plans to shutter 16 of its existing 47 factories and reduce the 61,000-strong hourly workforce by 38 percent. The dealers will not be spared either. GM hopes to have just 3605 dealers in two years, down from 6246.

In the Motor City, there's daily evidence of this painful process. Last week, GM laid off about 3500 hourly workers and announced that it would temporarily close some factories for up to nine weeks. Car sales are still far behind previous levels. GM says that its increasingly aggressive restructuring will allow it to be profitable in a U.S. market that's down by a third.

Across town from GM, Chrysler begins what could be the most critical week in the company's history. The Obama administration gave Chrysler until the end of April to solidify a merger with Fiat. If that deal doesn't happen, the company faces bankruptcy. –Larry Webster