Autoblog http://www.autoblog.com Autoblog http://www.blogsmithmedia.com/%SiteURL%/media/feedlogo.gif Autoblog http://www.autoblog.com en-us Copyright 2009 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/ Chris Shunk, Sam Abuelsamid and Dan RothThe podcast by the people who obsessively cover the auto industry. <![CDATA[Christmas List 2010: Rattner's book to debut in time for next Christmas]]> http://www.autoblog.com/2009/12/18/christmas-list-2010-rattners-book-to-debut-in-time-for-next-ch/ http://www.autoblog.com/2009/12/18/christmas-list-2010-rattners-book-to-debut-in-time-for-next-ch/ http://www.autoblog.com/2009/12/18/christmas-list-2010-rattners-book-to-debut-in-time-for-next-ch/#comments Filed under: , , , ,



Planning for the future is perhaps an alien concept to big business - even automakers, with their protracted product development cycles. Take a cue of what not to do from them, then, and start planning now for next Christmas. May we suggest that your 2010 wishlist starts with what's destined to be a hotly-anticipated tome: Steven Rattner's memoir of his spearheading the bailout of General Motors and Chrysler. Tentatively titled "Overhaul," the cloyingly-named book will tell the story of the quick-rinse bankruptcies Rattner presided over.

A fascinating piece that Rattner wrote for Fortune Magazine back in October gave us a glimpse of how riveting such a seemingly-dry subject can be. The book is on track for a debut in the fall of 2010, and might be even more interesting in a year depending on how Rattner's deals work out. The hardest part is going to be behaving well enough for an entire year so this thing gets stuffed in our stocking.

[Source: The Detroit News | Image: Neilson Barnard/Getty]

Christmas List 2010: Rattner's book to debut in time for next Christmas originally appeared on Autoblog on Fri, 18 Dec 2009 10:03:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> bailoutbailout planBailoutPlanbailoutsbankruptcychryslerchrysler bankruptchrysler bankruptcyChryslerBankruptChryslerBankruptcygmgm bailoutgm bankruptgm bankruptcyGmBailoutGmBankruptGmBankruptcyrattnerSteven RattnerStevenRattner Fri, 18 Dec 2009 10:03:00 EST <![CDATA[BREAKING: Swedish Patient Succumbs - Deal for Saab is dead on the table, GM to wind down brand]]> http://www.autoblog.com/2009/12/18/breaking-swedish-patient-succumbs-deal-for-saab-is-dead-on-th/ http://www.autoblog.com/2009/12/18/breaking-swedish-patient-succumbs-deal-for-saab-is-dead-on-th/ http://www.autoblog.com/2009/12/18/breaking-swedish-patient-succumbs-deal-for-saab-is-dead-on-th/#comments Filed under: , ,


2010 Saab 9-5 - Click above for high-res image gallery

After a protracted saga that has seen bidders drop in-and-out and old model tooling and assets sold off to the Chinese, the enigmatic brand known as Saab is dead. In a press release issued this morning, General Motors announced that the "intended sale of Saab Automobile AB would not be concluded." GM had been in talks with Dutch exoticmakers Spyker Cars after pursuing a number of other buyer leads (including the aborted sale with Koenigsegg), but The General says that in the course of due diligence, the resolution of certain unspecified issues became impossible in the time frame that they had set for themselves.

As such, GM will immediately begin the "wind down" of the much-loved yet perpetually unprofitable cult brand, but says it will continue to honor warranties and provide spare parts and service - presumably through other GM brand dealers - as Saab dealers go offline. Officials note that this is not a bankruptcy or forced liquidation situation, so outstanding creditors should still expect to receive payment.

It is not clear what will happen to the production-ready 2010 9-5, nor the current 9-3/9-3X model and almost-ready 9-4X. Official death certificate available after the jump, historical slide show of the brand in photographs viewable below.


Gallery: Saab – A History in Pictures


Gallery: 2010 Saab 9-5


[Source: General Motors]

Continue reading BREAKING: Swedish Patient Succumbs - Deal for Saab is dead on the table, GM to wind down brand

BREAKING: Swedish Patient Succumbs - Deal for Saab is dead on the table, GM to wind down brand originally appeared on Autoblog on Fri, 18 Dec 2009 09:36:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]> 2010 Saab 9-32010 Saab 9-3x2010 Saab 9-52010Saab9-32010Saab9-3x2010Saab9-59-39-4x9-5brand closingBrandClosingbreakingbreakingnewsGeneral MotorsGeneralMotorsGMsaabSaab 9-3Saab 9-4xSaab 9-5Saab9-3Saab9-4xSaab9-5spykerwind-downwinddownwindown Fri, 18 Dec 2009 09:36:00 EST <![CDATA[REPORT: Michigan gives GM tax break but automaker to still halve staff at RenCen]]> http://www.autoblog.com/2009/12/18/report-michigan-gives-gm-tax-break-but-automaker-to-still-halve/ http://www.autoblog.com/2009/12/18/report-michigan-gives-gm-tax-break-but-automaker-to-still-halve/ http://www.autoblog.com/2009/12/18/report-michigan-gives-gm-tax-break-but-automaker-to-still-halve/#comments Filed under: , ,



There are roughly 4,000 GM employees working at the company's Renaissance Center headquarters in Detroit. During the restructuring, GM has been working out how many employees to let go and where to put the remainder, and that, for the state of Michigan, meant another few thousand workers unemployed.

To lessen the damage, the Michigan Economic Growth Authority (MEGA) has been in talks with GM to limit the number of retrenched employees. The General had committed to maintaining a workforce of 2,500 at the RenCen in exchange for a $50 million tax break over twenty years, but the number was recently reduced to 2,000. GM simply needs to do all it can to get itself back in contention.

The company will still receive the tax break and talks are continuing, yet while there aren't many details it's an intriguing deal to strike. This could be cynical of us, but GM has white-collar workers in numerous locations in Michigan, and we wonder if the company wouldn't simply shuffle people around to keep the required number at the RenCen but get rid of all the employees it feels it needs to. And when the company gets its new CEO, well, as we've seen before, he or she might plot a very different course than the one being charted now.

[Source: Detroit News | Image: Bill Pugliano/Getty]

REPORT: Michigan gives GM tax break but automaker to still halve staff at RenCen originally appeared on Autoblog on Fri, 18 Dec 2009 08:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> general motorsGeneralMotorsgmmichiganmichigan economic growth authorityMichiganEconomicGrowthAuthorityRenaissance CenterRenaissanceCenter Fri, 18 Dec 2009 08:30:00 EST <![CDATA[Chrysler announces $179 million investment in Dundee plant to build Fiat Multiair engines]]> http://www.autoblog.com/2009/12/17/chrysler-announces-179-million-investment-in-dundee-plant-to-bu/ http://www.autoblog.com/2009/12/17/chrysler-announces-179-million-investment-in-dundee-plant-to-bu/ http://www.autoblog.com/2009/12/17/chrysler-announces-179-million-investment-in-dundee-plant-to-bu/#comments Filed under: , , , ,



In a none-too-shocking announcement, Chrysler announced plans to invest $179 million to convert its engine plant in Dundee, MI, from building the so-called World Engine to Fiat's 1.4-liter Fully Integrated Robotized Engine. Back in September, Chrysler bought out its former partners Hyundai and Mitsubishi so that it could utilize the Dundee facilities to build the new Multiair powerplants.

Both Chrysler and Fiat are likely to use powerplants built at the facility, with the first application being the diminutive Fiat 500 that's slated for North American production by the end of 2010. Fiat's Multiair technology is said to increase power by up to ten percent while offering a similar reduction in fuel consumption and emissions. Later, a turbocharged unit will be built at the plant that will offer V6-level power using 25 percent less fuel. Multiair technology will eventually be added to the rest of the Chrysler engine lineup, including the new Pentastar V6.

Chrysler promises that the Dundee plant will add 573 new jobs to the local economy including 155 directly at the Dundee plant for a single shift of engine production. That was enough to earn a series of incentives from the state of Michigan and tax credits from the Michigan Economic Development Corporation and the Village of Dundee that could add up to $4.6 million over the next ten years. For more, click past the break for the dueling press releases from Chrysler.

[Source: Chrysler]

Continue reading Chrysler announces $179 million investment in Dundee plant to build Fiat Multiair engines

Chrysler announces $179 million investment in Dundee plant to build Fiat Multiair engines originally appeared on Autoblog on Thu, 17 Dec 2009 16:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]> chryslerchrysler multiairChryslerMultiairDundeedundee facilitydundee midundee plantDundeeFacilityDundeeMiDundeePlantfiatfiat multiairfiat multiair chryslerFiatMultiairFiatMultiairChryslerMultiAirMultiair Enginemultiair fiat chryslermultiair technologyMultiairEngineMultiairFiatChryslerMultiairTechnology Thu, 17 Dec 2009 16:00:00 EST <![CDATA[REPORT: Old Carco (read: "Bad Chrysler") to not repay $4B in TARP loans]]> http://www.autoblog.com/2009/12/17/report-old-carco-read-bad-chrysler-to-not-repay-4b-in-tar/ http://www.autoblog.com/2009/12/17/report-old-carco-read-bad-chrysler-to-not-repay-4b-in-tar/ http://www.autoblog.com/2009/12/17/report-old-carco-read-bad-chrysler-to-not-repay-4b-in-tar/#comments Filed under: , ,



Before Fiat and prior to bankruptcy, the old Chrysler, LLC needed $4 billion just to keep the doors open. The Bush Administration came through with the company-saving cash at the 11th hour, keeping the Pentastar solvent long enough to make it to bankruptcy court. Chrysler was reportedly given $15 billion in total aid, and it appears much of that money will be repaid through future payments and through incentives for Fiat to increase its stake in Chrysler from 20 percent to 35 percent. But that original $4 billion? Don't expect that money to come back any time soon - if ever.

The Detroit News reports that what's left of the old Chrysler LLC (which has been renamed Old Carco), has filed court papers saying that the $4 billion will likely never be repaid. New Chrysler is not legally responsible for that debt and Old Carco doesn't exactly have considerable assets. And the government isn't the only debt-holder that isn't going to get its cash. Many secured and unsecured creditors will be unlikely to see their cash, thought some $21 million in secured debt could be paid. Old Carco contains the bad assets not purchased by the new Chrysler when it exited bankruptcy in the spring. The sale of those bad assets, which includes plants, tooling and miscellaneous items like old company cars, will help pay back some of the money creditors lost.

Lawyers working on the bankruptcy case say it take years before the book is finally closed on Old Carco. One item that could help drag matters out is a $25 billion lawsuit Old Carco filed against former owner, Daimler.

[Source: The Detroit News | Image: Bill Pugliano/Getty]

REPORT: Old Carco (read: "Bad Chrysler") to not repay $4B in TARP loans originally appeared on Autoblog on Thu, 17 Dec 2009 11:31:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> bailoutbankruptcychryslerchrysler llcChryslerLlcgovernment loansGovernmentLoansold carcoOldCarco Thu, 17 Dec 2009 11:31:00 EST <![CDATA[REPORT: Honda plans to settle Civic Hybrid mileage suit out of court. Is it a fair deal?]]> http://www.autoblog.com/2009/12/16/honda-plans-to-settle-civic-hybrid-mileage-suit-out-of-court-is/ http://www.autoblog.com/2009/12/16/honda-plans-to-settle-civic-hybrid-mileage-suit-out-of-court-is/ http://www.autoblog.com/2009/12/16/honda-plans-to-settle-civic-hybrid-mileage-suit-out-of-court-is/#comments Filed under: , , , ,

2008 Honda Civic Hybrid - Click above for high-res image gallery

If you buy a hybrid, you'll be rewarded with excellent fuel economy, right? Well, that's the idea, but sometimes things don't turn out exactly as we had hoped. Such is apparently the case with a number of Honda Civic Hybrid owners who claim that their vehicles don't even come close to achieving the mileage figures estimated by the EPA, leading to a class action lawsuit against Honda.

Back in the summer of 2007, we conducted a telephone interview with John True, one of the two men who started the suit. At the time, True claimed he only achieved, at best, 34.6 miles per gallon and had averaged well under that figure. The window sticker showed EPA estimates of 49 city and 51 highway, though the EPA's revised 2008 rating sits at 40 city and 45 highway.

For its part, Honda admits to no wrongdoing and points out that it was the EPA that estimated those mileage figures. Still, according to The New York Times, the Japanese automaker has agreed to settle the case out of court. If approved, owners of 2003-2008 Civic Hybrids will get a voucher worth up to $1,000 to purchase a new Honda or a check for $100 if they can prove they complained to Honda about their car's mileage.

Interestingly, the current Civic Hybrid, Insight and Fit - Honda's three most fuel efficient models - are excluded from the list of vehicles eligible for the trade-in or purchase voucher. The two plaintiffs would receive $12,500 and $10,000 and their lawyers would pocket $2.95 million. So, um, is it a fair deal? Perhaps more importantly, is Honda to blame here? Sound off in the comments.


Gallery: ABG Garage: 2008 Honda Civic Hybrid


[Source: The New York Times]

REPORT: Honda plans to settle Civic Hybrid mileage suit out of court. Is it a fair deal? originally appeared on Autoblog on Wed, 16 Dec 2009 09:01:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> civiccivic hybridcivic hybrid class actioncivic hybrid epacivic hybrid epa mileagecivic hybrid lawsuitcivic hybrid mileageCivicHybridCivicHybridClassActionCivicHybridEpaCivicHybridEpaMileageCivicHybridLawsuitCivicHybridMileagehondahonda civic hybridhonda civic hybrid mileageHondaCivicHybridHondaCivicHybridMileagejohn truejohn true hybridjohn true lawsuitJohnTrueJohnTrueHybridJohnTrueLawsuit Wed, 16 Dec 2009 09:01:00 EST <![CDATA[Zetsche: Maybach "not significant or relevant," but a facelift is coming anyway]]> http://www.autoblog.com/2009/12/15/zetsche-maybach-not-significant-or-relevant-but-a-facelift-i/ http://www.autoblog.com/2009/12/15/zetsche-maybach-not-significant-or-relevant-but-a-facelift-i/ http://www.autoblog.com/2009/12/15/zetsche-maybach-not-significant-or-relevant-but-a-facelift-i/#comments Filed under: , , ,


2010 Maybach Zeppelin - click above for high-res gallery

Maybach's 2009 sales through the first eleven months of this year have declined about 20 percent. That's at the kinder end of the industry average, all the more impressive because the "cheapest" one starts at $358,000. The part that's not so kind is the actual number of sales: 88, versus 110 last year.

Mercedes-Benz boss Dieter Zetsche has told Autocar that there's a facelifted Maybach on the way, but his comments sound like those of a player ready to get out of this game. With an aside that he thinks luxury buyers are becoming more discreet, he admitted that Maybach's addition to the company "is not significant or relevant" and "there are no plans in the long run." Correct us if we aren't remembering correctly, but last we checked Dr. Z wasn't the kind of guy to leave dead weight hanging around.

This is just speculation, but assuming he spoke of Rolls-Royce when he said "there are only two players in this market and we are one of them," (apparently Bentley's Mulsanne doesn't move his needle) perhaps Zetsche sees the top tier luxury race needing only one Maybach hit or a Rolls stumble to even up. Rolls sales have fallen 18 percent this year, but that's from 407 to 330. On the other hand, Zetsche's unwillingness to commit to saying a new Maybach is on the way makes us think you should get one while you can. Or not. Hat tip to Williem D!


Gallery: Maybach Zeppelin


[Source: Autocar]

Zetsche: Maybach "not significant or relevant," but a facelift is coming anyway originally appeared on Autoblog on Tue, 15 Dec 2009 10:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> Dieter ZetscheDieterZetschemaybachmaybach 57Maybach 62Maybach landauletMaybach ZeppelinMaybach57Maybach62MaybachLandauletMaybachZeppelinzetsche Tue, 15 Dec 2009 10:30:00 EST <![CDATA[REPORT: BMW, Mini to let Mercedes-Benz inspect, prep its vehicles at port]]> http://www.autoblog.com/2009/12/15/report-bmw-mini-to-let-mercedes-benz-inspect-prep-their-vehic/ http://www.autoblog.com/2009/12/15/report-bmw-mini-to-let-mercedes-benz-inspect-prep-their-vehic/ http://www.autoblog.com/2009/12/15/report-bmw-mini-to-let-mercedes-benz-inspect-prep-their-vehic/#comments Filed under: , , , ,



The Mercedes-Benz Baltimore vehicle process center has secured a five-year contract to inspect, process, and repair pre-delivery BMW and Mini vehicles arriving in the United States. It's a deal that makes economic sense for both companies, say that automakers. BMW models currently arrive in Charleston, South Carolina, and are shipped to nearby Spartanburg (home of BMWs assembly plant) for inspection and pre-delivery work. That plant is "no longer appropriate" once the X3 starts production next year, says Jim O'Donnell, president of BMW North America. O'Donnell says BMW has been looking for an outside contractor, and it was the company's own purchasing department who proposed the deal.

Ernst Lieb, CEO of Mercedes-Benz USA, called the deal "a win-win situation." The company has both the manpower and space to service the additional BMW vehicles, and this arrangement may create additional opportunities for the two companies down the road. The Baltimore vehicle process center, on track to process 70,000 vehicles this year, currently handles Mercedes-Benz and Smart vehicles. The arrangement with BMW will not begin until March 1, 2010.

[Source: Automotive News - Sub. Req. | Image: Max Nash/Getty]

REPORT: BMW, Mini to let Mercedes-Benz inspect, prep its vehicles at port originally appeared on Autoblog on Tue, 15 Dec 2009 07:59:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]> arrangmentassemblyBaltimoreBMWcontractdealernst liebErnstLiebinspectionJim odonnellJimOdonnellmercedesmercedes-benzMercedesBenzMiniportpre-deliveryprocessrepairSpartanburg Tue, 15 Dec 2009 07:59:00 EST <![CDATA[Fed may reconsider $500k salary cap for new GM CEO, limit pay for 2nd tier execs]]> http://www.autoblog.com/2009/12/14/fed-may-reconsider-500k-salary-cap-for-new-gm-ceo-limit-pay-fo/ http://www.autoblog.com/2009/12/14/fed-may-reconsider-500k-salary-cap-for-new-gm-ceo-limit-pay-fo/ http://www.autoblog.com/2009/12/14/fed-may-reconsider-500k-salary-cap-for-new-gm-ceo-limit-pay-fo/#comments Filed under: ,



It's official: pay czar Kenneth Feinberg's executive compensation rules for companies yet to return their bailout funds means a cap of $500K for second-tier executives. Importantly, that number represents the total compensation allowed, but only 45 percent of it -- $225,000, can be in cold, hard ducats. Stock remuneration must be held or paid out over at least two years, and extracurricular perks like country club memberships and private jet escapades can be valued at no more than $25,000.

Regarding General Motors, to lure the kind of executive the company seeks it will probably need a bit more flexibility with pay than the rules previously enforced on it by the pay committee. Feinberg said he will look at GM's compensation proposal when a suitor is located. It would be nigh on impossible to lure that candidate with the come-on, "Fix everything, here's a million bucks now, you'll get some Scooby Snacks in 2013, let us know when you're done, kthxbai."

Feinberg appeared to refine his pay re-examination statement, though, citing a case where GM brings someone in "laterally," not simply chooses from among the ranks. Like him, we all know that "It is vitally important that GM, under the law, be competitive and be able to compete in the automobile marketplace," especially if we want to get any more of that $30 billion back.

[Source: Automotive News - sub. req. | Image: Win McNamee/Getty]

Fed may reconsider $500k salary cap for new GM CEO, limit pay for 2nd tier execs originally appeared on Autoblog on Mon, 14 Dec 2009 08:27:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> executive compensationexecutive payExecutiveCompensationExecutivePayfinancialsgeneral motorsGeneralMotorsgmkenneth feinbergKennethFeinbergpay czarPayCzar Mon, 14 Dec 2009 08:27:00 EST <![CDATA[REPORT: Fed predicts it will lose $30B on auto industry bailout]]> http://www.autoblog.com/2009/12/10/report-fed-predicts-it-will-lose-30b-on-auto-industry-bailout/ http://www.autoblog.com/2009/12/10/report-fed-predicts-it-will-lose-30b-on-auto-industry-bailout/ http://www.autoblog.com/2009/12/10/report-fed-predicts-it-will-lose-30b-on-auto-industry-bailout/#comments Filed under: , , ,



2009 isn't quite over yet, but we're pretty sure most automakers would rather forget that it ever happened. And while General Motors and Chrysler suffered the pain and humiliation of bankruptcy and workers lost thousands of jobs and many plants and dealerships closed, the good news is that the General and the Pentastar are now more fiscally healthy than they've been in ages. The bad news is that it cost U.S. taxpayers an estimated $82 billion to save what has been called hundreds of thousands of jobs.

The Detroit News is reporting that after wading through the wreckage of the auto bailout, the Obama Administration only expects to get back an estimated $52 billion of its original investment. That's horrible news, right? Not so, says Gene Sperling, the senior counsel to Treasury Secretary Timothy Geithner. He said the $30 billion estimate is better than the $44 billion the government thought it would lose a few months ago. And with the perceived stabilization of the auto industry, Sperling feels the numbers could improve.

The DetNews reports that President Obama stressed during a speech on the economy that while the bailout of the auto industry wasn't politically popular, it was absolutely necessary to save "hundreds of thousands of jobs." The president then added "these were not decisions that were popular or satisfying; these were decisions that were necessary."

There are signs that at least GM will start paying the government back $6.7 billion as early as the end of the year. Chairman and interim CEO Ed Whitacre has reportedly intimated that the company could pay the money back in one lump sum. And once the auto industry is in a little better shape, the government could recoup much more cash when the General goes public. For the moment, though, Uncle Sam (e.g. the U.S. taxpayers) still owns 61 percent of the new GM.

[Source: The Detroit News | Image: Saul Loeb/AFP/Getty]

REPORT: Fed predicts it will lose $30B on auto industry bailout originally appeared on Autoblog on Thu, 10 Dec 2009 13:27:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> 30 billion30Billionauto task forceAutoTaskForcebailoutbarackchryslerEd WhitacreEdWhitacregmgovernment bailoutgovernment task forceGovernmentBailoutGovernmentTaskForceobamaobama administrationObamaAdministrationPresident obamaPresidentObamaWhitacre Thu, 10 Dec 2009 13:27:00 EST <![CDATA[REPORT: Automotive advertising plummets 30.8%]]> http://www.autoblog.com/2009/12/10/report-automotive-advertising-plummets-30-8-percent/ http://www.autoblog.com/2009/12/10/report-automotive-advertising-plummets-30-8-percent/ http://www.autoblog.com/2009/12/10/report-automotive-advertising-plummets-30-8-percent/#comments Filed under: ,

Automobile manufacturers and dealers spent $7.5 billion on advertising during the first six months of 2009, says TNS Media Intelligence. The company that keeps track of nearly every form of advertising for all industries is reporting that the figure represents a 30.8% drop compared to the same period last year, when it was $10.8 billion in spending. Not surprisingly, the plummet nearly mirrors the decline in motor vehicle sales (which dropped 27.4% during the exact same period).

The decline in advertising expenditures isn't is exactly new news as automotive advertising has dropped for seventeen consecutive quarters, reports TNS. Among the nation's top ten advertisers for the same period, General Motors was the only automaker to make the cut in third place behind Proctor and Gamble Co. and Verizon Communications Inc. -although GM only spent $1.4 billion this year (a reduction of 15.5% from last year). Overall, across all industries, advertising is down nearly 15% from last year according to TNS Media.

[Source: Detroit Free Press, image: Productioncars.com]

REPORT: Automotive advertising plummets 30.8% originally appeared on Autoblog on Thu, 10 Dec 2009 09:59:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> AdvertisingAuto IndustryAutoIndustryExpendituresFordGeneral MotorsGeneralMotorsTNS MediaTNS MEDIA INTELLIGENCEtns media researchtns media rsearchTnsMediaTnsMediaIntelligenceTnsMediaResearchTnsMediaRsearch Thu, 10 Dec 2009 09:59:00 EST <![CDATA[Mitsubishi launches big incentives through Sam's Club]]> http://www.autoblog.com/2009/12/09/mitsubishi-launches-big-incentives-through-sams-club/ http://www.autoblog.com/2009/12/09/mitsubishi-launches-big-incentives-through-sams-club/ http://www.autoblog.com/2009/12/09/mitsubishi-launches-big-incentives-through-sams-club/#comments Filed under: , , ,

2010 Mitsubishi Outlander GT - Click above for high-res image gallery

Twin pack of bread, 36 bottles of water, 24 rolls of toilet tissue, a 64-oz. box of cereal and... a 2010 Mitsubishi Galant. That may sound a bit odd, but if you want certain 2009 and 2010 Mitsubishi models with zero percent financing or discounted lease pricing, you'll apparently have to head over to your local Sam's Club. Automotive News is reporting that the discount warehouse is offering special deals on select Mitsubishi models through its Auto Buying Program that could well be better than the offers you'll get at your Mitsubishi dealer. Eligible models for zero percent financing for 60 months include the 2009 Lancer, Eclipse and Outlander and the 2010 Galant and Endeavor. Discounted leases will also be available for the 2010 Lancer Sportback and the 2010 Outlander.

The Japanese automaker reportedly struck a deal with the retail giant to display some of its models at select stores. Mitsubishi Motors Credit America will supply the special financing, which will be reserved for Sam's Club customers with sufficient credit. The discount warehouse club will display the cars through February. With Sam's Club's 500 stores and over 40 million members, this could be a pretty good program for the struggling Mitsubishi, although we don't see it doing anything to combat the brand's discount perception.

[Source: Automotive News - subs req'd]

Mitsubishi launches big incentives through Sam's Club originally appeared on Autoblog on Wed, 09 Dec 2009 15:58:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> 0 financing0 percent0Financing0Percentcar financingCarFinancingmitsubishisams clubsams club auto financingSamsClubSamsClubAutoFinancingwarehouse clubWarehouseClubzero percentzero percent financingZeroPercentZeroPercentFinancing Wed, 09 Dec 2009 15:58:00 EST <![CDATA[Officially Official: VW and Suzuki tie the knot]]> http://www.autoblog.com/2009/12/09/officially-official-vw-and-suzuki-tie-the-knot/ http://www.autoblog.com/2009/12/09/officially-official-vw-and-suzuki-tie-the-knot/ http://www.autoblog.com/2009/12/09/officially-official-vw-and-suzuki-tie-the-knot/#comments Filed under: , ,



As you can see from the image above depicting Osamu Suzuki, chairman and CEO of Suzuki Motor Corp. and Martin Winterkorn, his counterpart at Volkswagen AG, the two auto companies have agreed to link arms. Volkswagen has properly announced that it has "reached a common understanding to establish a close longterm strategic partnership" with Suzuki Motor Corporation. The union means VW will buy 19.9% of Suzuki, then Suzuki will spend half the money they just received from Volkswagen reciprocating by buying VW shares.

Beyond that, Suzuki gains access to VW technology and the comforting warmth of a hugely profitable big brother. Volkswagen gets a nearly turn-key solution to boosting its small car development and piggybacks on Suzuki's presence in India and Southeast Asia. Suzuki, and of course, VW, will remain independent, but unofficial word suggests that VW might increase its stake to 33% or more at some point down the road, which could shift the balance of power.

VW's press release is after the jump, and there will be a press conference and webcast (you'll need a user name and password to watch) at 5 p.m. with more details.

[Source: Volkswagen | Image: Kazuhiro Nogi/AFP/Getty]

Continue reading Officially Official: VW and Suzuki tie the knot

Officially Official: VW and Suzuki tie the knot originally appeared on Autoblog on Wed, 09 Dec 2009 07:32:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]> breakingOsaumu SuzukiOsaumuSuzukishare exchangeShareExchangesuzukisuzuki motor corporationsuzuki volkswagenSuzukiMotorCorporationSuzukiVolkswagentechnology exchangeTechnologyExchangetie uptie-upTieUpvolkswagenvolkswagen AGVolkswagenAgvwvw suzukiVwSuzukiwinterkorn Wed, 09 Dec 2009 07:32:00 EST <![CDATA[REPORT: Volkswagen to take 20% stake in Suzuki]]> http://www.autoblog.com/2009/12/08/report-volkswagen-to-take-20-stake-in-suzuki/ http://www.autoblog.com/2009/12/08/report-volkswagen-to-take-20-stake-in-suzuki/ http://www.autoblog.com/2009/12/08/report-volkswagen-to-take-20-stake-in-suzuki/#comments Filed under: , ,

Where there's smoke, there's fire. Though Suzuki CEO Osamu Suzuki would beg to differ, it seems that the old saying has once again been proven prescient. After a ton of rumor, innuendo and speculation on the matter along with the subsequent denials, a fresh report from Reuters indicates that Volkswagen is indeed on the verge of announcing that it's procuring a 20% stake in Suzuki.

Assuming that the news is accurate, it will cost VW roughly $2.8 billion (250 billion yen) to purchase a fifth of Suzuki. Anonymous sources (aren't they all these days) suggest that the German automaker's share in Suzuki could easily rise to a controlling thirty-percent-plus stake.

[Source: Reuters | Image: Gabriel Bouys/AFP/Getty]

REPORT: Volkswagen to take 20% stake in Suzuki originally appeared on Autoblog on Tue, 08 Dec 2009 18:39:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> suzukivolkswagenvolkswagen suzukiVolkswagenSuzukivwvw suzukiVwSuzuki Tue, 08 Dec 2009 18:39:00 EST <![CDATA[REPORT: Even while pursuing Volvo, Geely again mulling bid for Saab?]]> http://www.autoblog.com/2009/12/07/report-even-while-pursuing-volvo-geely-again-mulling-bid-for-s/ http://www.autoblog.com/2009/12/07/report-even-while-pursuing-volvo-geely-again-mulling-bid-for-s/ http://www.autoblog.com/2009/12/07/report-even-while-pursuing-volvo-geely-again-mulling-bid-for-s/#comments Filed under: , , ,



Just about every time an automaker decides to sell one of its brands, Chinese automaker Geely comes up as one of the potential suitors. Geely executive Lawrence Ang has reportedly told Automotive News that the reason Geely has been present at a lot of negotiating tables is because it wants to grow in part through acquisitions. And while the Chinese automaker has yet to finalize any big-ticket buys, it appears to be the front-runner for Ford's Volvo unit.

Earlier in the year, Geely looked into purchasing the Saab brand, but talks reportedly broke down after Koenigsegg presented what appeared to be the winning bid. But now that Koenigsegg has dropped out of the Saab sweepstakes, the door is open again for Geely. Is the Chinese automaker interested? Ang reportedly gave reporters at a shareholder event the ambiguous "who knows?" as an answer, but he also acknowledged that the company is investigating buying opportunities which have presented themselves during the automotive industry downturns in Europe and the States. Geely is also reportedly interested in purchasing parts and engines, which could be possible if General Motors decides to disband Saab if an adequate bid doesn't present itself by year-end.

While Geely appears to be close to purchasing Volvo and is perhaps in a good position to pick up Saab for a song, the automaker is also looking to increase its presence in its home market. Automotive News is reporting that Geely will increase spending by up to 43% in hopes of increasing sales from 300,000 in 2009 to over 400,000 next year.

[Source: Automotive News - subs req'd | Image: AFP/Getty]

REPORT: Even while pursuing Volvo, Geely again mulling bid for Saab? originally appeared on Autoblog on Mon, 07 Dec 2009 13:58:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> chinachinese automakerChineseAutomakergeelygeneral motorsGeneralMotorsgmgm saab saleGmSaabSalesaabsaab saleSaabSalevolvovolvo saleVolvoSale Mon, 07 Dec 2009 13:58:00 EST <![CDATA[REUTERS: China's BAIC secures $2.1B line of credit... is it for Saab?]]> http://www.autoblog.com/2009/12/06/reuters-chinas-baic-secures-2-1b-line-of-credit-is-it-for/ http://www.autoblog.com/2009/12/06/reuters-chinas-baic-secures-2-1b-line-of-credit-is-it-for/ http://www.autoblog.com/2009/12/06/reuters-chinas-baic-secures-2-1b-line-of-credit-is-it-for/#comments Filed under: , , , ,



Beijing Automotive Industry Corporation (BAIC) could still be in the game for Saab, having secured a $2.93 billion line of credit from the Bank of China. On the other hand, BAIC could just be gearing up for its own home-grown expansion plans, with an eye on ramping up production and putting financial and technological legs underneath its partnerships with Mercedes and Hyundai.

Or... it could be doing both: trying to buy Saab and as well as remodel its business. The deal for Saab between GM and Koenigsegg was for about $1 billion: the European Investment Bank approved a loan for $615 million, and BAIC provided about $400 million by buying a minority stake in the Koenigsegg Group. If BAIC did its own deal with GM for that same amount -- although we have a feeling they could get a Christmas discount -- that would leave nearly $2 billion for BAIC to take care of Saab and invest in its own operations.

This is, of course, pure speculation -- BAIC could have something else in mind entirely. All we know right now is that they've got a lotta yuan just sitting around waiting to be spent, and aborted plans to build the new 9-5 in China. This Saab story isn't finished yet...

[Source: Reuters]

REUTERS: China's BAIC secures $2.1B line of credit... is it for Saab? originally appeared on Autoblog on Sun, 06 Dec 2009 12:37:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> baicBeijing Automotive Industry CorpBeijingAutomotiveIndustryCorpchinafinancialsgeneral motorsGeneralMotorsgmkoenigseggsaab Sun, 06 Dec 2009 12:37:00 EST <![CDATA[Is Peugeot-Citroën on the verge of buying Mitsubishi?]]> http://www.autoblog.com/2009/12/04/is-peugeot-citroen-on-the-verge-of-buying-mitsubishi/ http://www.autoblog.com/2009/12/04/is-peugeot-citroen-on-the-verge-of-buying-mitsubishi/ http://www.autoblog.com/2009/12/04/is-peugeot-citroen-on-the-verge-of-buying-mitsubishi/#comments Filed under: , , , ,


The French and the Japanese have gotten together to form a magic partnership once already with Carlos Ghosn at the helm. The question is, then, can that success be replicated? PSA Peugeot-Citroën seems to hope so, and it is reportedly on the verge of purchasing a controlling stake (somewhere between 30 and 53 percent, depending on the report) in Mitsubishi Motors.

The total price for the acquisition would cost the European automaker over $3 billion and the deal would also include Mitsubishi acquiring a somewhat smaller stake in PSA Peugeot-Citroën - again, similar to the situation between France's Renault and Japan's Nissan.

So, what does Mitsubishi have that Peugeot wants? Three things, apparently: A presence in the States, SUV expertise and, perhaps most importantly, electric vehicle technology. If a deal does indeed take place, the resulting entity would be the sixth largest automaker by sales in the world.

[Source: BusinessWeek]

Is Peugeot-Citroën on the verge of buying Mitsubishi? originally appeared on Autoblog on Fri, 04 Dec 2009 15:59:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]> citroenmergermitsubishiMitsubishi MotorsMitsubishiMotorspeugeotpsapsa peugeot citroenpsa peugeot citroen mitsubishiPsaPeugeotCitroenPsaPeugeotCitroenMitsubishitie-up Fri, 04 Dec 2009 15:59:00 EST <![CDATA[BREAKING: Whitacre to shakeup GM management, put Lutz in product planning <b>[UPDATE: Confirmed]</b>]]> http://www.autoblog.com/2009/12/04/breaking-whitacre-reportedly-to-announce-management-shakeups-at/ http://www.autoblog.com/2009/12/04/breaking-whitacre-reportedly-to-announce-management-shakeups-at/ http://www.autoblog.com/2009/12/04/breaking-whitacre-reportedly-to-announce-management-shakeups-at/#comments Filed under: , ,

Having just been appointed interim CEO at General Motors earlier this week, ex-AT&T man Ed Whitacre isn't wasting any time in exercising his newfound authority. According to The Wall Street Journal, Whitacre is to announce a number of management changes this morning, including moving Vice Chairman Bob Lutz from his role in marketing to a more product planning-focused role. Whitacre is also expected to promote some of the company's younger managers to new positions, although it has not yet been revealed who is targeted.

According to the WSJ, Whitacre "drew up the new management blueprint in a matter of four hours," suggesting to us that he already had a number of changes in mind. Further, he is also expected to combine GM's sales and marketing divisions

While Whitacre has only been on the job since Tuesday and he is technically only considered an interim appointment at this time, the search for a new CEO is thought likely to take months, if not a year. From the looks of things, Whitacre isn't looking at himself as simply a placeholder, though, and we wouldn't be surprised to see more changes as the weeks and months roll by.

*UPDATE: Changes confirmed: GM has issued a press release (viewable after the jump). Among the moves, Bob Lutz will be an 'advisor' on design and global product - he will retain his title of vice chairman. Other changes include Mark Reuss named as president of GM North America, Susan Docherty appointed VP, vehicle sales, service, and marketing operations. For a full list of changes, click past the jump for the release.

[Source: The Wall Street Journal I Image: Bill Pugliano/Getty]

Continue reading BREAKING: Whitacre to shakeup GM management, put Lutz in product planning [UPDATE: Confirmed]

BREAKING: Whitacre to shakeup GM management, put Lutz in product planning [UPDATE: Confirmed] originally appeared on Autoblog on Fri, 04 Dec 2009 10:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]> Bob LutzBobLutzbreakingbreakingnewsEd WhitacreEdWhitacreGeneral MotorsGeneralMotorsGMGM CEOGmCeomanagement changesmanagement shakeupManagementChangesManagementShakeupmark reussMarkReusssusan dochertySusanDochertyWhitacre Fri, 04 Dec 2009 10:00:00 EST <![CDATA[REPORT: GM selling control of Chinese joint venture to SAIC, half of India operations]]> http://www.autoblog.com/2009/12/04/report-gm-selling-control-of-chinese-joint-venture-to-saic-hal/ http://www.autoblog.com/2009/12/04/report-gm-selling-control-of-chinese-joint-venture-to-saic-hal/ http://www.autoblog.com/2009/12/04/report-gm-selling-control-of-chinese-joint-venture-to-saic-hal/#comments Filed under: , ,

It has been a busy week at General Motors. The week started off with CEO Fritz Henderson's abrupt resignation, then executives converged on the LA Auto Show where Bob Lutz was the keynote speaker and then the U.S. market Chevy Cruze was revealed. Now, the General is reportedly deep in negotiations halfway around the world with its Chinese partner, SAIC, to sell its partnership stake in what is now the largest auto market in the world.

Here is how the deal will reportedly break down: According to Reuters, GM will give SAIC a scant one percent of its interest in the China venture and 50% of GM's India operations. In exchange, the General would receive what amounts to about 20% of the value of the China venture. Sounds like a pretty sweet deal considering the fact that GM isn't exactly a big player in the Indian market - but there is a very big downside. If GM cedes one percent of its joint venture with SAIC, then the Detroit, MI-based automaker would no longer control its China operations. The rumored deal will contain a proviso that the General can later buy back its lost percentage for a "premium price." That sounds a little like GM just got a loan from SAIC and put up one percent of its ownership as collateral.

While GM currently has over $40 billion in its cash coffers courtesy of its recent bailout and bankruptcy, The General is in a big hurry to pay back the money it owes the government. It also has to contend with what is still a very soft auto market - not to mention Opel restructuring costs that could tally $5 billion or more. But China is also a monster part of GM's business plan, so any money gained from this deal could come at an even greater cost. We have to wonder if this deal had anything to do with Mr. Henderson's abrupt exit stage left...

[Source: Reuters]

REPORT: GM selling control of Chinese joint venture to SAIC, half of India operations originally appeared on Autoblog on Fri, 04 Dec 2009 09:00:00 EST. Please see our terms for use of feeds.

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Just about a month ago, news hit the interwebs that Chinese automaker Geely officially became Ford's preferred bidder for Volvo once concerns over intellectual property were sorted out. Today, though, we're hearing that Crown, a consortium led by former Ford director Michael Dingman, former Ford and Chrysler LLC executive Shamel Rushwin and ex-Volvo CEO Roger Holtback, is gaining momentum in its bid for the Swedish automaker after submitting a revised proposal.

If reports from The Wall Street Journal and Reuters are accurate, Crown's new bid is "on par" with Geely's $1.8 billion offer and is backed by both Swedish and Chinese investors and banks. Not surprisingly, Ford has yet to comment on the speculation, though it has said that talks with Geely are already at an advanced stage. Stay tuned.

[Sources: The Wall Street Journal; Reuters]

REPORT: U.S consortium now in lead for Volvo purchase originally appeared on Autoblog on Thu, 03 Dec 2009 15:40:00 EST. Please see our terms for use of feeds.

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