ON THE TABLE
Monday, June 6, 2011 at 06:55PM June 8, 2011
The GM Board. Editor-in-Chief’s Note: Here’s a memo to all the board members who will be in attendance at GM’s annual shareholder’s meeting on Tuesday, June 7th in Detroit. While you’re beholding your Esteemed Leader (Lt. Dan) and shouting the obligatory "huzzahs!" welcome to the cold, hard, High-Octane Truth. You’re a bunch of carpetbagging enablers who have no business being associated with what was once one of America’s glittering corporate icons. Instead of Doing the Right Thing when you had the chance your abject refusal to seek out and find the proper, credentialed executive leader to run this company all but ensures that “three or four years from now” (according to Lt. Dan's timetable) you’re going to find yourselves right back in the thick of it trying to figure out how best to get this company jump-started again. Congratulations, because there has never been a time in American business history when so few have done so much damage to so many in the guise of corporate governance. Unforgivable. And flat-out inexcusable. - PMD
Dan Akerson. Editor-in-Chief's Note: Lt. Dan also told The Detroit News in last week's now famous interview that he wants to boost sales of luxury cars, and revealed GM's plan to launch two new Cadillac models next summer as 2013 models: the XTS large sedan (which replaces the DTS and STS) and the ATS compact sedan. "They're not going to blow the doors off," he said, "but they will be very competitive." On the one hand I applaud Akerson's honesty, but on the other hand "good enough" hasn't been good enough in this business for oh, at least a decade. And particularly for American car companies emerging from bankruptcy, good enough will never be "good enough." - PMD
Cynthia Brinkley. The good news? You've just been tapped by CEO Dan Akerson to run GM's HR function. The bad news? You've just been tapped by CEO Dan Akerson to run GM's HR function. We know Lt. Dan is big on plucking executives from the telecom world (Brinkley comes from AT&T, where she's worked since 1986) to help him "fix" GM but trust on this one, Cynthia, you have no idea what you're getting yourself into. So good luck, because you'll need it and oh by the way, welcome to "the jungle" that defines Detroit and GM at this point in time. And remember, this idyllic view of GM that Lt. Dan has spun for you - and our beautiful summer weather while we're on the subject - will look shockingly different in February.
Volvo. On the one hand, the Chinese investment into Volvo by Li Shufu's Zhejiang Geely Holding Group will save the brand from extinction. On the other, according to The Wall Street Journal, there's a whole raft of new issues that have cropped up in the process. Li Shufu wants Volvo to go upscale and embrace the luxury class in the Chinese market. Volvo's chief in Europe, Stefan Jacoby, wants Volvo to concentrate on more mainstream car sales before they can attack the luxury market. Who do you think's gonna win this argument?
(BMW)
BMW is starting to beat the drums for the latest addition to its MINI brand, as the new Coupe is being readied for production. Geared specifically for "maximizing driving fun," the MINI Coupe "indulges the keen driver with a level of agility unmatched in the small car segment, along with a unique body and interior concept and the brand’s customary commitment to premium levels of quality and equipment," according to BMW. It is said to be the fastest accelerating MINI ever and has the highest top speed, which makes sense since it's also the lightest. We expect to see non-camouflaged photos soon.
Editor-in-Chief's Note: Our "Quick Take" this week covers the 2012 Ford Focus SEL 5-Door Hatchback. We found the Sterling Gray Metallic/Charcoal Black tester to be an exceptional all-around performer and more important, it scored high on the fun-to-drive meter. Having recently driven the Chevrolet Cruze - a direct competitor to the Focus - a comparison was inevitable. The Focus definitely has more design "reach" and feels more avant garde in its presentation inside and out. The Cruze, though nicely rendered, is decidedly more conservative in its overall look and feel, but admittedly for some buyers that will be a definite plus. For us? We prefer the Ford design execution, it just feels more contemporary and suits us. Both are solid cars and well thought-out in every respect, but we found the Focus to be that much more lively and "alive" through the steering wheel and with the seamless way its 6-speed automatic worked, traits enthusiasts will naturally prefer. The Focus is not only fun to drive it feels like it's carved out of a solid piece of metal as it exudes solidity in its composure and poise in the urban flog. We found it to be a very impressive machine not only for the money, but by any measure. For the first time in memory - and in history for that matter - Detroit has two excellent entries in the compact class. The Chevrolet Cruze and the Ford Focus are two superbly-executed cars that are worth looking at if you're in the market for a car in this segment, and as we well know that wasn't the case as recently as eighteen months ago. We prefer the more exuberant Focus but as we said a couple of weeks ago Chevy Cruze vs. Ford Focus is shaping up to be the battle in the U.S. market for the foreseeable future. And the best part? Everybody wins because they're both excellent machines. - PMD
2012 Ford Focus SEL 5-Door Hatchback: $22,285, ($21,065 Base Price; 2.0-liter Direct-injected I4, 6-speed dual-clutch automatic transmission; Rapid Spec 300A; 17" polished alloy wheels, $495; Destination & delivery, $725).
