First off, the GTO doesn't suck. The car takes the cake in performance over just about any f-body ever built...
GM didn't market the late 4th gens because they knew the f-body wasn't going to be around much longer. By 1997, GM knew the cars were living on borrowed time.
The best thing to have would be both cars back and selling well. But the more I look at it, it's not going to work. The Camaro really was the Firebird's worst enemy. Everyone says about the 4th gens that the Firebird/Trans Am was better looking and more stylish than the Camaro. So why didn't people buy more Firebirds? Because the Camaro was more affordable. I've met some Camaro owners and they said they wanted a firebird or T/A originally, but the Camaro was cheaper.
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John
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