William Maley

Where in Texas, if I may ask? Plano, Texas

This morning, we reported on the rumor that Toyota was planning to its North American headquarters from California to Texas. Well this afternoon, the company has made it official. In a statement, Toyota announced that it will be moving from Torrance, California to Plano, Texas. The move will take about three years and affect around 4,000 people. Those 4,000 people include, 2,000 from Toyota Motor Sales, U.S.A., Inc. Headquarters in Torrance, CA 1,000 from Toyota Financial Services in Torrance, CA 1,000 from Toyota Motor Engineering & Manufacturing North America in Erlanger, KY Some employees of Toyota Motor North America based in New York "With our major North American business affiliates and leaders together in one location for the first time, we will be better equipped to speed decision making, share best practices, and leverage the combined strength of our employees. This, in turn, will strengthen our ability to put customers first and to continue making great products that exceed their expectations. Ultimately, enabling greater collaboration and efficiencies across Toyota will help us become a more dynamic, innovative and successful organization in North America. This is the most significant change we’ve made to our North American operations in the past 50 years, and we are excited for what the future holds,” said Jim Lentz, Toyota North America CEO. As part of the plans, Toyota will offer all their full-time employees and their spouses an expenses-paid site visit to Plano, and a relocation payment if they decide to move. No word on how many of Toyota's current employees plan to move to Texas. Source: Toyota, Automotive News (Subscription Required), Wards Auto William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] you can follow him on twitter at @realmudmonster. Press Release is on Page 2 Toyota to Establish New North American Headquarters Manufacturing, Sales and Marketing, Corporate and Financial Services Headquarters to Unify in New, Shared Campus in Plano, Texas Toyota Technical Center in Michigan to Expand as Part of Increased Investment in Engineering Capabilities Torrance, Calif., Erlanger, Ky., New York, N.Y., and Ann Arbor, Mich., April 28, 2014 –Toyota today announced that it is establishing a new headquarters in North Dallas (Plano), Texas for its North American operations in a move designed to better serve customers and position Toyota for sustainable, long-term growth. Within the next three years, Toyota’s three separate North American headquarters for manufacturing, sales and marketing, and corporate operations will relocate to a single, state-of-the-art campus in Plano. Toyota’s North American finance arm also plans to move its headquarters to this new shared campus. Altogether, these moves will affect approximately 4,000 employees. At the same time, Toyota will expand the Toyota Technical Center (TTC) in Michigan to accommodate the relocation of direct procurement from Erlanger, Ky., to its campus in York Township near Ann Arbor. This expansion is part of an increased investment in engineering capabilities and will accommodate future growth in product development. The transition to Plano from three current headquarters locations – affecting approximately 2,000 employees at Toyota Motor Sales, U.S.A., Inc. (TMS) in Torrance, Calif.; about 1,000 employees at Toyota Motor Engineering & Manufacturing North America, Inc. (TEMA) in Erlanger, Ky.; and certain employees at Toyota Motor North America (TMA) in New York, N.Y. – will begin with initial small groups this summer. However, the majority of these employees will not move until construction of Toyota’s new headquarters is completed in late 2016 or early 2017. Toyota Financial Services (TFS) is not expected to transition to Plano from its current headquarters in Torrance, Calif., until 2017, which will affect around 1,000 employees. Jim Lentz, who was named Toyota’s first chief executive officer for the North America Region in 2013, said: “With our major North American business affiliates and leaders together in one location for the first time, we will be better equipped to speed decision making, share best practices, and leverage the combined strength of our employees. This, in turn, will strengthen our ability to put customers first and to continue making great products that exceed their expectations. Ultimately, enabling greater collaboration and efficiencies across Toyota will help us become a more dynamic, innovative and successful organization in North America. This is the most significant change we’ve made to our North American operations in the past 50 years, and we are excited for what the future holds.” In support of the communities in California and Kentucky, Toyota also announced a $10 million philanthropic commitment to provide continued funding for local non-profits and community organizations in these states over a five-year period beginning in 2017, over and above existing commitments. The establishment of a new headquarters builds upon previous efforts by Toyota to enhance regional autonomy, self-reliance and responsibility. While the sales and marketing, manufacturing and corporate business units will retain their responsibilities and operating names, Toyota expects that new cross-functional teams will identify and execute on ways to serve the broader North American organization. Toyota will construct a new, environmentally-sustainable campus facility in Plano, which is expected to take two or more years to construct after groundbreaking in the fall of 2014. Until the new campus facility is complete, initial small groups of employees will work from a temporary location in the Plano area. Toyota will also build a new facility on TTC’s York campus (subject to final approval of state and local incentives) to accommodate approximately 250 direct procurement positions currently based at TEMA in Erlanger. In addition, about 300 production engineering positions based in Erlanger will be relocated to a new facility to be built at Toyota Motor Manufacturing Kentucky (TMMK) in Georgetown, Ky., while approximately 1,000 TEMA administrative positions will transition to Plano. Toyota’s 10 manufacturing plants in the U.S. will not be impacted by these changes. Also, the following Toyota units will not be impacted at this time: Toyota regional field offices and Lexus area offices Operating units in Canada, Mexico and Puerto Rico Toyota Financial Service’s regional offices, sales offices, service centers and its bank Calty Design Research facilities Toyota InfoTechnology Center Toyota Racing Development AirFlite Inc. Logistics Services Field Locations Distribution centers After moving from its existing headquarters, Toyota will continue to have approximately 2,300 employees in California and 8,200 employees in Kentucky. This includes 750 new jobs being added at TMMK for production of the Lexus ES, which begins in 2015. Toyota will also continue to maintain offices in the New York City area and Washington, DC. The move will not impact Toyota’s relationship with Gulf States Toyota, Inc. (GST), a private distributor of Toyota vehicles based in Houston, Texas. Toyota Financial Services (TFS) is a service mark used to refer to a number of entities, including Toyota Motor Credit Corporation (TMCC), Toyota Financial Savings Bank (TFSB), and Toyota Motor Insurance Services, Inc. (TMIS). View full article

Another chapter in the Alfa Romeo story appears to be forming. Automotive News Europe has learned from sources that Fiat-Chrysler CEO Sergio Marchionne is considering making Alfa Romeo a standalone firm, much like Ferarri and Maserati. This means Alfa Romeo would have its own management team and headquarters. "To make this new relaunch attempt into a credible business proposition, Marchionne needs to make Alfa's P&L clearly visible," a source said. Marchionne is expected to announce this on May 6th, the day where he'll present a new five-year plan for the company. Source: Automotive News (Subscription Required) William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster. View full article

Toyota is considering moving substantial parts of its U.S. headquarters from California to Texas. Bloomberg has learned from sources from the automaker that certain high-level employees were told of the move on Friday and that the company will make an announcement today. “It would be very consequential for Southern California. There might be some brain drain and tumult for employees, though it should be largely seamless to the consumer. This kind of thing can create some disruption of momentum,” said Jack Nerad, executive market analyst for Kelly Blue Book. Reasons for this move include putting Toyota USA's executives close by their manufacturing plants in San Antonio, Kentucky, and Mississippi. However, another reason for this move comes down to how expensive it is to live and work in California. Automotive News pulled some stats on California and they aren't pretty. Expatistan rates the Los Angeles metropolitan area as the ninth most-expensive place to live California is third in Tax Foundation's study in which states have the worst complex, non-neutral taxes with comparatively high rates Forbes rates California 36th in which states are best to do business Meanwhile, Texas has been rated seventh in the same study done by Forbes. Texas also has a number of tax breaks and lower cost of living. We'll keep you posted on this developing story. Source: Bloomberg, Automotive News (Subscription Required) William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster. View full article

During the late forties and early fifties, Buick had a unique tagline in their ads which was “When better cars are built, Buick will build them’. This was to tell possible buyers that if you wanted a quality vehicle, look at a Buick. But this tagline also poses an interesting question. When General Motors exited bankruptcy just a few years ago, the brand that was the rising star was Buick. Sales were improving and the perceptions of the brand being an old person’s vehicle were changing thanks to two key models: the Enclave and LaCrosse. Within the past two years, Buick has introduced refreshed versions of the two models that have played a key part in its revitalization. This brings up the question of when better cars are built, will Buick build them? To find out, I spent some quality time with a 2014 Buick LaCrosse. The 2014 LaCrosse is very similar to the model introduced back in the 2010 model year. The only real difference between the two is that the 2014 model has gotten some minor surgery here and there. Up front is a new a clip that features a larger grille that has been restyled and reshaped headlights with a strand of LEDs. The back end has a new trunk lid and taillights. Seeing the 2014 LaCrosse for the first time, I wasn’t too keen on the changes as I thought it made it look bloated. But seeing it in person with the Midnight Amethyst paint color, the LaCrosse has begun to grow on me. The LaCrosse’s interior is one that can be best described as handsome and something very different from other competitors in the class. My tester was equipped with a light neutral leather trim with cocoa accents to give the interior a very airy-feeling. Wood trim along the dash and door panels add a nice touch of class. Being a Buick, you would expect high levels of comfort. The LaCrosse delivers on that front with supportive seats for all passengers and power adjustments for the front passengers. The back set has a very generous amount legroom, but headroom is tight thanks to the LaCrosse’s sloping roofline. On the tech front, Buick has fitted a new instrument cluster that now features a screen in the center that displays navigation, audio, telephone, or vehicle information. The center stack has been reworked to feature a larger eight-inch touchscreen with Buick’s IntelliLink infotainment system and touch-pad buttons for the climate control system. The touch-pad controls were somewhat hit and miss when I tried to adjust the temperature or turn on/off the heated or cooled seats. While the controls are nice to look at, I do wish Buick would go back to physical buttons. As for IntelliLink, it still has some performance problems when performing certain tasks such as changing stations. However, GM does deserve a lot of credit for IntelliLink’s voice recognition system. Whatever I said to the system, it was able to figure it out and perform it. For Ride and Drive Impressions, See the Next Page. The LaCrosse is available with two different powertains; a 2.4L eAssist mild-hybrid system or a 3.6L DI V6. My tester was equipped with the latter engine and it packs 304 horsepower and 264 pound-feet of torque. A six-speed automatic is the sole transmission, but you do have the choice of either front-wheel or all-wheel drive. Mine was equipped with front-wheel drive. Much like the Chevrolet Impala I drove for review last summer, the 3.6L is very much up to the job in the LaCrosse. Power came on very smoothly and there was no feeling of the vehicle needing more power. The six-speed automatic is very smooth with shifts being barely felt by anyone. The most impressive feat of the 3.6 though is how refined it is. Compared to the Cadillac XTS and Chevrolet Impala who also use this engine, the LaCrosse’s application is the most quiet yet. Credit the brand’s quiet tuning for this. On the fuel economy front, the EPA rates the 2014 LaCrosse at 18 City/28 Highway/21 Combined. My average for the week landed around 22.1 MPG. On the ride and handling front, the LaCrosse has found a nice middle ground of providing a smooth ride and keeping the body motions in check. This comes down to an optional adaptive suspension suspension which automatically adjusts to keep everything in check and provide passengers a ride that can rival a magic carpet. The driver can adjust the suspension to either provide standard smooth ride or a firmer, sporty ride. While it does firm up the ride somewhat, it doesn’t make into car you want to play around with. The steering had a light feel when you’re turning, but had a nice amount of feedback that was being communicated to the driver. Like every other Buick, the LaCrosse comes with the brand’s QuietTuning which employs such items as dual-pane glass and added insulation. The LaCrosse has a clever trick of using its audio system to help cancel out ambient noise by pumping out white noise. It’s a clever system to make the interior feel like a library. With every iteration of the LaCrosse, Buick has been able to pull out a bit more refinement. The 2014 model shows that with impressive ride manners, quietness, and a interior that could make living room envious. To go back to question of when better vehicles are built, will Buick build them? The 2014 LaCrosse proves they already are. Cheers: The Quietness, Ride, Luxury Appointments Jeers: Infotainment Woes, Capacitive Touch Buttons On The Climate Control Disclaimer: Buick Provided the LaCrosse, Insurance, and One Tank of Gas Year: 2014 Make: Buick Model: LaCrosse Trim: Premium FWD Engine: 3.6L SIDI V6 Driveline: Front-Wheel Drive, Six-Speed Automatic Horsepower @ RPM: 304 @ 6,800 Torque @ RPM: 264 @ 5,300 Fuel Economy: City/Highway/Combined - 18/28/21 Curb Weight: 3,896 lbs Location of Manufacture: Kansas City, Kansas Base Price: $38,810.00 As Tested Price: $45,595.00 (Includes $925.00 Destination Charge) Options: Driver Confidence Package #1: $2,125.00 Driver Confidence Package #2: $1,795.00 Power Sunroof w/ 2nd Row Skylight: $1,195.00 Buick IntelliLink w/ Navigation: $795.00 William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] you can follow him on twitter at @realmudmonster. View full article

In a securities filing today, General Motors revealed that it is currently under five different government investigations into its handling over the ignition switch recall. The five investigations include ones from U.S. Attorney’s Office for the southern district of New York, Congress, NHTSA, the SEC, and a unnamed state attorney general. “We are also the subject of various inquiries, investigations, subpoenas and requests for information from the U.S. Attorney’s Office for the southern district of New York, Congress, NHTSA, the SEC, and a state attorney general in connection with our recent recall. We are investigating these matters internally and believe we are cooperating fully with all requests, notwithstanding NHTSA’s recent fines for failure to respond. Such investigations could in the future result in the imposition of damages, fines or civil and criminal penalties," said GM in its filing. GM also revealed in its filling that it currently is facing faces 55 lawsuits in the United States and 5 lawsuits in Canada over the ignition switch. Source: The Detroit News, Reuters View full article

In a surprising move today, three top officials from the Federal Trade Commission have come out against the laws that ban automakers like Tesla from selling their vehicles directly to consumers. Andrew Gavil, director of the FTC's Office of Policy Planning; Deborah Feinstein, director of the Bureau of Competition; and Martin Gaynor, director of the Bureau of Economics wrote in a blog piece on the FTC site that states the dealer franchise laws are a 'bad idea' since it doesn't allow consumers to shop in new ways. "For decades, local laws in many states have required consumers to purchase their cars solely from local, independent auto dealers," the three said in the post. "Removing these regulatory impediments may be essential to allow consumers access to new ways of shopping that have become available in many other industries." Dealers argue the franchise model works because they compete on price and offer long-term service. However, direct sales offer a threat and could cause other manufacturers to go down the same road. Dealers have turned to lobbyists to sue Tesla in court and urge state representatives to tighten dealer laws. This has only angered the public and legislators from both parties. "How manufacturers choose to supply their products and services to consumers is just as much a function of competition as what they sell--and competition ultimately provides the best protections for consumers and the best chances for new businesses to develop and succeed," the three stated in the piece. "Our point has not been that new methods of sale are necessarily superior to the traditional methods--just that the determination should be made through the competitive process." Now it should be noted that the posting is of the authors and not the FTC. Source: Reuters, FTC William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster. View full article