March 2, 2011
GM. Editor-in-Chief's Note: The February sales numbers were gaudy, with GM up 46 percent, Toyota rebounding and up almost 42 percent, Nissan up over 31 percent, Hyundai up 28 percent, etc., etc. But the ugly undertone beneath GM's numbers in particular are because of ramped-up incentives -- as much as $1150 more than the industry average -- which is roiling this business and basically pissing every other automaker off because once this industry goes down this road, everybody loses. What's even worse, GM's public statements about it can basically be summed up by "Who, us?" when in fact in the trenches they are employing a "scorched earth" offensive to move the metal and move the sales needle. This is a direct result of "Lt. Dan" Akerson's impetus to show short-term results -- the Wall Street mentality, if you will -- and also CFO Chris Liddell's industry inexperience. As executives in this business learned long before these two came along -- and the hard way, I might add -- you can play this incentive game all you want and you can end up with little shards of blue sky here and there, but the ultimate result is extremely negative, especially to resale performance, which has been a particular bane of the domestic automakers for a long, long time. It's dismal, short-sighted thinking on GM's part and it will bite them in the ass, big-time. - PMD
Fiat. Sergio Marchionne's stop-gap plan to help Fiat hang on before it gets new models at the end of this year is to re-badge three U.S. Chrysler models as Fiat and Lancia models including the Chrysler 200 (which becomes the Lancia Flavia), the Chrysler 300 (which becomes the Lancia Thema) and the Dodge Journey (which becomes the Fiat Freemont). Not even the most optimistic of analysts can muster more than a blase response to this idea. It could help if the planets get aligned just so, but really, why sugarcoat it? This is nothing more than throwing stuff up against the wall to see what will stick.
Honda, Subaru, Toyota and Ford. The three Japanese automakers were named the top three car companies overall in the latest Consumer Reports new car report. This is a notable rebound for Toyota, which had fallen off of the list in the midst of the recall frenzy, and it's continued good news for Subaru and Honda. Ford was named the most improved of all of the automakers.
(Images courtesy of Saab)
Calling it "sleek, innovative and exceptionally efficient" the Saab PhoeniX concept car introduced in Geneva showcases design features and technologies which will shape the next generation of cars from Saab, according to the automaker. Based on an new architecture which will underpin the next Saab 9-3, the PhoeniX introduces what Saab calls "aeromotional’ design: a visual evocation of the aerodynamic design principles and passion for innovation that inspired the creators of Saab’s first car, the iconic Ursaab." The shape enables an exceptionally low drag co-efficient of just 0.25 and also explores the potential for airflow management through the use of distinctive, side-mounted ‘winglets’. “The PhoeniX establishes a new reference point for the future of Saab product design,” says Jason Castriota, Saab Automobile’s Executive Design Director. “It symbolizes a renaissance of the innovative spirit and passion that drove Saab to build its first car. We’re now taking the visual DNA forward with what we call ‘aeromotional’ design, adding emotion, power and fluidity. This design aesthetic will shape and differentiate future models in the Saab portfolio.” And what does all of this have to do with any future Saabs? We'll see.
(All photos courtesy of VW)
Volkswagen is taking another whack at bringing its famous bus back -- after blowing the opportunity ten years ago with its Microbus concept -- with the introduction of this next-gen T1 (for Transporter 1) concept at the Geneva auto show. Affectionately dubbed the "Bulli" by German consumers 60 years ago, VW's new Bulli concept is powered by an electric motor and fitted with six seats and infotainment control via iPad. The Bulli’s electric motor -- powered by a lithium-ion battery -- delivers 85 kW of power and 199 lb.-ft of torque, with a range of up to 186.4 miles. VW claims a 0 to 62 mph time of 11.5 seconds and a top speed of 87 mph (electronically limited). The concept can also accommodate VW’s efficient gas and diesel direct injection engines as alternative powertrains, which will obviously power the majority of the production versions if they do build it. The Bulli is 156 inches long, 68.4 inches wide and 66 inches tall and it sits on a wheelbase of 102 inches with a 54 inch track front and rear. Hopefully VW won't blow the opportunity this time.
(BMW)
On the weekend of May 20-22, 2011, the magnificent grounds of the Grand Hotel Villa d’Este and neighboring Villa Erba in Cernobbio on Lake Como will once again serve as a unique stage for the most beautiful cars and motorcycles from the past and the most extravagant concept cars of today. First held in 1929 at the same venue, the Concorso d’Eleganza Villa d’Este ranks today as one of the most spectacular events of its kind. The event opens for invited guests on the grounds of the Grand Hotel Villa d’Este on Saturday, and the Concorso gives enthusiasts an opportunity to experience the two and four wheeled art in the park of the adjacent Villa Erba on Saturday and Sunday. One car that will be showcased at this year's event will be the 1965 Alfa Romeo TZ2 Coupé Zagato. Alfa Romeo presented the TZ model at the 1962 Turin Motor Show as a road going racing car. It derived the T in its nomenclature from tubolare, a reference to its tubular spaceframe, and the Z from Zagato, the coachbuilders. No more than 102 were built until 1965, before the Alfa Romeo TZ2 would prove far more successful on the race track. Output for the TZ2 was raised to 165 HP while its weight was reduced to 620 kg. Alfa Romeo clocked a top speed of 265 km/h with the TZ2. Thanks to the talents of Zagato, the TZ2 marked a significant example of Italian car design from the 1960s. By the time production ended in 1967, just 12 examples had left the construction hall.
