
NINETY EIGHT REGENCY
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Ford Announces End of the Road for Mercury
NINETY EIGHT REGENCY replied to CSpec's topic in Heritage Marques
I remember when people used to say hateful things about getting over Oldsmobile all over the internet. Well they kept killing brands. Then it hit home when other people's brands were killed. Then the market share for the imports kept increasing. Volkswagen is buying up everything they see in their quest to be number one, Toyota who was untouchable falters, and Hyundai has become the shining star. Here is the scary part. Back in the day the GM brands had fewer models and sold more cars. Do you realize Lincoln had three cars and sold more cars than they have now with the fleet they have. Fords are now overlapping with Lincolns in price and I read where a Lincoln executive said he cannot advertise the Lincoln MKS like he needs to as a luxury car because Ford is comparing the Ford Taurus SHO to Audi. I think the thing is none of the American car companies knows how to market or manage their brands. All of them have rich history and do not use it. It sometimes seems like they have conceded the fight to the imports. Why does every car have to be import in appearance in performance and in ride and in the size? People want American cars that look, act, and drive and feel American. I guess it comes down to marketing, money and the globalization and the times we live in. Just like the middle class got the squeeze so it happened in the car market. I remember when I used to look forward to the new cars. You got exciting to see what the next model was like. You can also predict it now: four cylinder engine maybe a V6 seats five people has bucket seats rides like Euro sports sedan looks European or Asian between 186-194 inches long front wheel drive They have become predictable appliances. It just seems people do not care about cars or have the passion anymore. It was obvious Mercury was starved. As much as I am fan of the Grand Marquis, they kept making it look uglier and cheaper recently. It was like they did it on purpose. Look at this: 1988 Grand Marquis: 2009 Mercury Grand Marquis: Notice it looks stripped and not as luxurious as the 1988 even though it is a loaded LS? -
Ford Announces End of the Road for Mercury
NINETY EIGHT REGENCY replied to CSpec's topic in Heritage Marques
There are no more middle class car or middle car brands anymore. Your choices are now limited. These are your American car brands you can now purchase: Chrysler: Dodge or Chrysler or Jeep or Ram( truck brand) Ford: Ford or Lincoln GM: Chevrolet or Buick or Cadillac and GMC truck Then if you just list the car brands and remove the truck and suv brands: Dodge, Chrysler Ford, Lincoln Chevrolet, Buick, Cadillac -
Pontiac Tribute Day - June 1, 2010
NINETY EIGHT REGENCY replied to GMTruckGuy74's topic in Heritage Marques
Well... This is it for Pontiac today. No matter how you look at it, it is still sad. -
Europe's premium flagship sedans return to health, flaunting new technology Europe's premium top-of-the-range car manufacturers are defying logic as they pick themselves up and dust themselves down after the great slump of 2009. You would think that the days of these massive, gas guzzling, hugely expensive behemoths - like the Mercedes S class, BMW 7 Series, Audi A8 and Jaguar XJ - would be numbered. After all, the days of conspicuous consumption are surely over for a while at least. And new regulations in the European Union and United States will soon start forcing car manufacturers to drastically cut fuel consumption. When these carbon dioxide (CO2) emission rules were being discussed in Brussels and Washington it appeared that there was no way luxury cars would be able to meet them. But the car manufacturers used their lobbying power to some effect, and a new regime emerged which will allow these massive motors to thrive for a while yet. Analysts even expect the sector to start growing again. IHS Global Insight analyst Colin Couchman said the top end of the global luxury executive sedan market, which also includes the Lexus LS as well as the Jaguar, Mercedes, BMW and Audi, did well from the mid-1990s, growing from around 225,000 a year up to the crash of 2009, peaking at around 255,000. Last year sales dived to around 175,000, and would have been much worse without emerging markets in China and Russia taking up the slack. The three German companies and Jaguar have all recently replaced these top-of-the-line models. Cynics might say the manufacturers were anxious to renew their top-end candidates as quickly as possible, before fashion and politics consigned them to history. "They might look like dinosaurs to some but there should be some growth in 2010 -- we reckon about 220,000 (sales) this year. There should be some growth because we now include the Porsche Panamera and now we have about 300,000 annual sales by 2015, although most growth will be outside the U.S. and Europe," Couchman said. The recently launched Panamera took Porsche into the four-seat sedan market for the first time. Euro's slump will help Sales in the U.S. market, which is looking much healthier than Europe, will be helped by the slump of the euro against the dollar. In 2008 the euro peaked at over $1.60. Now the rate is plunging back down toward $1.20, all the while making German and British luxury cars more profitable for the manufacturers and more affordable for U.S. buyers. These cars might represent the worst excesses of consumerism to some, but they do perform a vital task for the manufacturers. They demonstrate the high technology prowess of the manufacturers, and provide test-beds for new technology. "In many ways these cars are the technology pioneers. Look at the Mercedes S class, where you first saw seat belts, disc brakes, air bags, headup displays, computerized braking. All these developments were pioneered in this class and then rolled out down the range. Also, important techniques like aluminum weight-saving technology used by Audi and Jaguar which save masses of weight, meaning that smaller engines are required to move the metal. That saves CO2 as well," said Couchman. Audi's new A8 flagship, being launched in Europe now and appearing in the U.S. in November, has all manner of cutting edge stuff to enhance safety, driving performance and economy. The A8's satellite navigation system talks to the engine management computer so that if you accelerate toward a corner, the computer won't allow a higher gear on the eight-speed automatic to be engaged as it senses the need to slow down imminently. Approaching a junction at night, the lights will automatically spread to illuminate a broader area to identify traffic, which might appear from both sides of a crossroads. As you accelerate to cruising speed on a highway, the lights will focus much further ahead. Adaptive cruise control Driving in town after dark, an infrared, thermal imaging camera will identify people up to 400 yards ahead. People and animals are highlighted as yellow if they stick to the sidewalk, but become red and trigger a buzzer if they step out into the road. The A8's adaptive radar cruise control slows the car when it sees slower moving traffic ahead, then accelerates again when the coast is clear. If you select sports mode for the transmission, the seat belts will tighten a little. The sunroof incorporates solar panels which augment the batteries. Stop-start cuts the engine when the car halts in traffic and restarts when required. Regenerative braking reclaims power when the car is freewheeling down a gradient, and transfers it to the battery. All A8s have four-wheel drive as standard, which gives it a unique selling point compared with the competition. When sales start in the U.S., only one engine will be available - a 4.2 liter V8 gasoline motor which produces 367 horsepower, propelling this huge beast from rest to 60 mph in about 5-1/2 seconds. In Europe, there's a bigger choice of engines, including a supercharged V6 3.0 liter gasoline motor which produces 286 horsepower. This is the shape of things to come. Expect a hybrid next year and a 12-cylinder model too. Al Bedwell, powertrain analyst with J.D.Power, said V6 engines will gradually take over from V8s across the sector, while hybrids will become a necessity for selling in the U.S. He also expects relative health in the sector thanks to China and other emerging markets, although Europe will be stagnant. Lure of technology "Hybrids are not really more frugal (than European diesels) but it's the lure of the technology which people quite like," Bedwell said. Bedwell expects a new diesel hybrid, which appears in a Mercedes E class next year, to find its way into the S class before too long. "That will give you an S class with 50 miles per gallon (that's 60 miles per U.S. gallon). Pretty impressive. In terms of gas engines, the V8s are being replaced by V6s, usually turbo-charged or supercharged; that means you get V8 performance out of a V6," he said. But despite the new, tough CO2 rules, power plants will remain pretty conventional for some time yet. The long promised but elusive fuel cell still remains more of a dream. "Our forecasts don't go out more than about seven years and by then conventional engines are still in the majority; by then it could be 30 or 40 percent hybrid. There will be electric vehicles, and a move towards smaller cars. We will see fuel cells in tiny numbers. Mercedes seems to be taking a bit of a lead there with a vehicle which uses a battery, but has its range extended by a fuel cell engine (like the Chevrolet Volt, although its range is extended by a gasoline engine). But mass commercialization of the fuel cell is probably still 20 years away," Bedwell said. Survive and thrive Jonathon Poskitt, another J.D.Power analyst, agrees with Global Insight's Couchman that the premium luxury sedan sector will not only survive but thrive, despite their tiny overall market share being squeezed a bit. "These models act as flagships, benefitting the brands more than just through the immediate sales revenue they generate and provide a platform to show off the latest technology. The key is that manufacturers continue to improve the emissions of these models, helped by recent/forthcoming hybrid introductions, as well as smaller engines," Poskitt said. John Wormald, analyst with automotive consultancy Autopolis, said he expects this sector to continue to exist because there will probably be buyers with sufficient money and enthusiasm. "It is hard to know if one day it will be seen as deeply anti-social to drive around in cars like this and it goes out of fashion. I don't think so because many sales take place where they are unlikely to care too much. There is more likely to be a problem for more modest luxury cars like the BMW 3 series and Mercedes C class, where people might not want to pay the premium price when cheaper alternatives are just as good," Wormald said. "One thing's for sure. Things aren't going to be easy in Europe for the next few years. I don't think people have realized the scale of the financial mess we're in. For the sake of sales, it's a good job Russia and China are on board," Wormald said. From The Detroit News: http://www.detnews.com/article/20100519/OPINION03/5190301/1148/auto01/Europe-s-premium-flagship-sedans-return-to-health--flaunting-new-technology#ixzz0oNWJaXXN
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Correct sir on the 260 V8: http://www.youtube.com/watch?v=RTIYh9A8QF0&feature=player_embedded#! In reference to the Caprice 4.3 liter V8: I have the brochure in my house: It was a 4300 V8 with sequential port fuel injection rated at 200 hp. It was standard on all Caprices in 1994. It was not offered on the wagon in 1995 and 1996. ENGINES 4.3L V8 Type OHV V8 Bore x Stroke 95.0 x 76.2 mm (3.74 x 3.00") Displacement 4343 cc (265 cu.in.) Compression Ratio 9.4:1 Fuel, Recommended Regular Unleaded Fuel Induction Sequential F.I. Horsepower 200 hp @ 5200 rpm 240 lb.-ft. @ 2400 rpm
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It will be nice to see you on the show should you attend. You will still have to be careful what you say on that show I am sure. We will have to send hat this sedan offers. Caprice is a good start. The Sixteen was a nice concept. I liked the Sixteen it was the right size and more. I guess there has to be a business case for a large car like that. Giving Chevrolet one would give them a business case to build one for Cadillac. I am sure they would be total opposites. I am sure Holden would benefit and this would be used globally in Asia Pacific and China and the Middle East too.
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PCS I heard you the other night on Autoline After Hours. All those people typed your name when they heard you speak. It was nice to put a voice with the the name. As far as what you typed here Apparently you are telling us something.... My question about this the interiors.... If it is based on Holden Caprice/Statesman, I have no problem with the exterior. The interior needs some sort of upgrade. There was a Caprice LTZ and LS before. Personally, Caprice LS Caprice LT/LTZ ( either one)( group options) Impala SS
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I am so sorry. It is annoying when that happens.
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Carlos Ghosn reappointed Renault Chairman, CEO for 4 yrs Press Trust of India / Paris/ New Delhi May 03, 2010, 16:11 IST French carmaker Renault today said it has re-elected Carlos Ghosn as the Chairman and Chief Executive Officer of the company for a four-year period. "Renault's board of directors has re-elected Carlos Ghosn as Chairman and Chief Executive Officer for a four-year period, following the renewal of his directorship by the Annual General Meeting of April 30, 2010," the company said in a statement. The company also renewed the terms of Executive Vice President of Purchasing and Leader of the Asia-Pacific Region Hiroto Saikawa for the next four years. He is also Renault's Japanese partner, Nissan Motor Company's Executive Committee Member. In his address at the AGM, Ghosn said the company will focus on increasing its market share and reducing cost in order to achieve a positive free cash flow in 2010. "We will continue to accelerate synergies with Nissan as part of the Alliance, with new actions that should produce results in 2010," he added. On the company's presence in emerging markets, Ghosn said Renault will leverage from joint operations with its alliance with Nissan. "We are combining our strengths with Nissan, notably in India, Russia, Brazil and Mexico. The Alliance product strategy has been finalised in India and Russia, and Renault and Nissan will pool their production capacities and platforms there to fully deliver on these developments," he added. He said the automotive industry went through the worst crisis in its history in 2009. "We foresaw the arrival of an economic recession. Indeed, Renault was the first automotive manufacturer, as early as July 2008, to take crisis measures," Ghosn said, adding that the crisis triggered in September 2008 surprised the entire economic and political world by its intensity and suddenness. link: http://www.business-standard.com/india/news/carlos-ghosn-reappointed-renault-chairman-ceo-for-4-yrs/93110/on
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European troubles could rattle Fiat Chrysler expects to see April sales jump BY GREG GARDNER FREE PRESS BUSINESS WRITER Chrysler expects to report its first substantial monthly sales increase in the U.S. in more than two years Monday, but CEO Sergio Marchionne is shifting attention to Fiat, where problems are deepening. The European half of this new alliance is facing change nearly as wrenching as Chrysler's government-backed bankruptcy. Car sales in Italy are expected to fall about 15% this year because the government stopped paying consumers to replace dilapidated old vehicles. Fiat is separating its car business from Iveco trucks and CNH farming and construction equipment, both of which have been battered by the global credit crisis. Now Greece's potential bankruptcy, which some experts say could spread to Portugal, Spain and even the U.K, could inflict serious pain throughout Europe. "The harsh reality is that this industry has failed to generate adequate returns on investments," Marchionne said last week as he outlined Fiat's five-year plan. "We're going to have to change the dynamics of this industry." Marchionne's vision is to create a profitable global automaker selling at least 5 million vehicles a year. Chrysler and Fiat can come close to that by 2014 if the global economy recovers and they successfully integrate vehicles across Europe and North and South America. "I was impressed by his belief that Chrysler can help Fiat as much as the other way around," said John Wolkonowicz, an analyst with IHS Global Insight. For example, more Jeep models will be sold in Europe. Some Dodge models could be sold as Fiats in Europe and Chrysler and Lancia brands will share future models to expand each other's product lineups. Select Alfa Romeo models could be offered in the U.S. if they can meet sales targets in Europe. The purpose of separating Iveco and CNH is to raise capital and make Fiat Autos easier for investors and potential future partners to understand. Fiat is a complex industrial holding company, not unlike General Motors when it owned Hughes Electronics, EDS and produced large locomotive engines. Here in the U.S., Chrysler is to launch the 2011 Jeep Grand Cherokee next month, the first of about six new or freshened models to hit showrooms by early 2011. In stark contrast to the old Chrysler of Lee Iacocca and Bob Eaton, Marchionne has discouraged any advance buzz on new products. He also has avoided talking about repaying U.S. and Canadian taxpayers. While GM has blanketed the airwaves with ads touting its early government debt repayment, Chrysler said last November it would repay $8.2 billion in taxpayer assistance by the end of 2014, and virtually nothing since. Bernstein Research analyst Max Warburton recently raised Marchionne's hackles by suggesting Chrysler would eventually be reduced to "Ram, Jeep and a U.S. production base for Fiat." "I will take all the criticism you can throw at me," Marchionne fired back. "But I will not take criticism that doesn't understand the amount and quality of work this house has achieved." link: http://www.freep.com/apps/pbcs.dll/article?AID=/20100502/BUSINESS01/5020411/1210/European-troubles-could-rattle-Fiat&template=fullarticle
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Troubles in Europe challenge new Fiat-Chrysler CEO BY GREG GARDNER FREE PRESS BUSINESS WRITER Chrysler expects to report its first substantial monthly sales increase in the United States more than two years Monday, but CEO Sergio Marchionne is shifting attention to Fiat where problems are deepening. The European half of this new alliance is facing change nearly as wrenching as Chrysler’s government-backed bankruptcy. Car sales in Italy are expected to fall about 15% this year because the government stopped paying consumers to replace dilapidated old vehicles. Fiat is separating its car business from Iveco trucks and CNH farming and construction equipment, both of which have been battered by the global credit crisis. Now Greece’s potential bankruptcy, which some experts fear could spread to Portugal, Spain and even the U.K, could inflict serious pain throughout Europe. “The harsh reality is that this industry has failed to generate adequate returns on investments,” Marchionne said last week as he outlined Fiat’s five-year plan. “We’re going to have to change the dynamics of this industry.” Marchionne’s vision is to create a profitable global automaker selling at least 5 million vehicles a year. Chrysler and Fiat can come close to that by 2014 if the global economy recovers and they successfully integrate vehicles across Europe and North and South America. “I was impressed by his belief that Chrysler can help Fiat as much as the other way around,” said John Wolkonowicz, an analyst with IHS Global Insight. For example, more Jeep models will be sold in Europe. Some Dodge models could be sold as Fiats in Europe and Chrysler and Lancia brands will share future models to expand each other’s product lineups. Select Alfa Romeo models could be offered in the U.S. if they can meet sales targets in Europe. The purpose of separating Iveco and CNH is to raise capital and make Fiat Autos easier for investors and potential future partners to understand. Fiat is a complex industrial holding company, not unlike General Motors when it owned Hughes Electronics and EDS and produced large locomotive engines. In the U.S., Chrysler launches the 2011 Jeep Grand Cherokee next month, the first of about six new or freshened models to hit showrooms by early 2011. In stark contrast to the old Chrysler of Lee Iacocca and Bob Eaton, Marchionne has discouraged any advance buzz on new products. He also has avoided talking about repaying U.S. and Canadian taxpayers. While GM has blanketed the airwaves with ads touting its early government debt repayment, Chrysler said last November it would repay $8.2 billion in taxpayer assistance by the end of 2014, and has uttered virtually nothing since. Bernstein Research analyst Max Warburton raised Marchionne’s hackles recently by suggesting Chrysler would eventually be reduced to “Ram, Jeep and a U.S. production base for Fiat.” “I will take all the criticism you can throw at me,” Marchionne fired back. “But I will not take criticism that doesn’t understand the amount and quality of work this house has achieved.” link: http://www.freep.com/apps/pbcs.dll/article?AID=/20100430/BUSINESS0103/100430034/1331/BUSINESS01/Troubles-in-Europe-challenge-new-Fiat-Chrysler-CEO&template=fullarticle
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Small Japanese SUVs outpacing supply in Beijing 04/28/2010, 2:19 AM BY MARK KLEIS While attending the ongoing Beijing Auto Show, consumers are being presented with seemingly countless options of electric and hybrid gas-electric vehicles. Outside of the show, however, consumers are opting for gas-powered SUVs and shunning hybrids and electric vehicles at dealers. According to Gasgoo, several Toyota and Honda dealers in Beijing are complaining of shortages of small SUVs, while hybrid vehicles are having to be sold at a loss to clear them from dealer lots. Beijing Honda dealers explain that customers in Chaoyang, a district of Beijing, must wait two months to receive the Honda CR-V they ordered, which has fueled dealer price mark-ups. By contrast, the Civic hybrid won’t even sell at sticker its sticker price of $39,550. Toyota is facing similar woes, with one Beijing Toyota dealer telling Gasgoo that it only has two RAV4 SUVs in stock, and urgently needs more supply to meet demand. The dealer explained that the recent recalls by Toyota haven’t resulted in any complaints from customers, nor a slow down in purchasing. The RAV4 was recalled in China for its global faulty gas pedal problem. Executives from both Japense automakers commented at the Beijing Auto Show that they are not overly concerned about the potential for the Chinese government to remove tax cuts on new car sales in the near future as their larger models are selling well enough in the Chinese market. A deputy president of the Honda factory located in Wuhan, China, said that the plant is running overtime in order to produce 1,013 CR-V SUVs each day. link: http://www.leftlanenews.com/small-japanese-suvs-outpacing-supply-in-beijing-china.html
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I am so sorry. I had a day like you are experiencing right now yesterday. It was the whole day and a series of things. It was not all car related. I do understand ....
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PSA resists merger, answers Marchionne with sales growth April 23, 2010 06:01 CET PARIS (Bloomberg) -- PSA/Peugeot-Citroen, the carmaker predicted by Fiat S.p.A. CEO Sergio Marchionne to be the next European candidate for an auto merger, has won more time to prove that it can go it alone. Marchionne announced Wednesday plans to separate carmaking from its industrial units such as trucks and construction equipment to facilitate future alliances, saying he has a “long list” of further candidates for partnerships. PSA CEO Philippe Varin says he plans to build on its looser industrial cooperation with the Japanese carmaker Mitsubishi Motor Corp. and similar pacts with Fiat, BMW AG and Ford Motor Co. PSA, which broke off talks last month over a share swap with Mitsubishi, reported a 28 percent surge in first-quarter sales earlier this week, compared with gains of 15 percent at Fiat and 19 percent at Volkswagen AG. PSA, Europe's second-largest automaker after VW, improved its outlook, predicting “significant” first-half operating profit before one-time gains and losses. PSA "made it very clear that it doesn't think it lacks scale,” said Max Warburton, an analyst at Sanford C. Bernstein in London. Warburton, who rates the carmaker's shares “market perform,” described PSA's message as “Back off Sergio, we're doing OK on our own.” Fiat and PSA spokesmen declined to comment when asked whether there had been any talks or approaches on a possible link-up between the two companies. Fiat makes about 2 million cars annually, while Chrysler Group, in which Fiat acquired a 20 percent stake last June, manufactured 1.3 million last year. PSA sold 3.2 million vehicles in 2009. PSA's first-quarter revenue rose to 14 billion euros ($18.7 billion), beating the 13 billion-euro average estimate of analysts. Sales were helped by the new Peugeot 3008 minivan and Citroen C3 Picasso minivan, which took market share from rivals including VW. In March alone, PSA's European deliveries rose 21 percent to 218,552, more than double the market's growth, while Fiat's fell 3 percent to 133,758, according to figures from the European automobile manufacturers association, ACEA. PSA's first-quarter market share gained 1.1 percentage point to 13.9 percent, compared with declines of 0.3 point to 8.8 percent for Fiat and 0.5 point to 20.3 percent at VW. ‘Tangible results' A sales shift toward pricier models and versions contributed 7 percentage points to Peugeot's revenue increase, according to Natixis Securities analyst Georges Dieng. Improving sales mix is a “first tangible” result of the PSA's "competitive premium" strategy introduced two years ago, said Dieng. “This should offer it resilience in the face of the decline in the market expected in Europe.” PSA forecasts “significant” first-half group operating profit before one-time items, with “positive” contribution from the auto division. In February, the company had predicted that the overall group figure would be positive. Fiat reported a 25 million-euro net loss for the first quarter Wednesday and said the carmaking unit would continue to be a drag on earnings throughout 2010. Marchionne unveiled a five-year business plan, forecasting 6 million in combined car sales between Fiat and Chrysler by 2014. Fiat will spin off its trucks, tractors and industrial operations, leaving its carmaking, powertrain and components businesses in Fiat. The CEO said the separation will make it easier to seek future opportunities through alliances and partnerships. Earlier this month, Renault SA and its Japanese affiliate Nissan Motor Co. announced a 3.1 percent stake swap with Daimler AG to underpin a broad cooperation accord. On April 12, Marchionne told reporters that “the next merger will probably be French.” “They tried with Mitsubishi and they will try with someone else,” he said at the time. Last year, Marchionne said that many viewed a Fiat deal with PSA as a “marriage made in heaven.” The two already have a successful light commercial vehicle venture. While Fiat's Latin American operations would be a “gem” for PSA, there is “very little attraction” in combining the two carmakers' excess European capacity, Bernstein's Warburton said. “A French or Franco-Italian management team would have even more difficulty closing Fiat plants” than Marchionne already does. “With Peugeot now making real gains in Europe, management will be in less of a rush to find a partner,” he said. Read more: http://www.autonews.com/apps/pbcs.dll/article?AID=/20100423/ANE/100429933/1193#ixzz0lvsgJFFo
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U.S. automakers show new cars in China Christine Tierney / The Detroit News Beijing -- General Motors Co. and its Chinese venture partners are displaying 37 production and concept vehicles at the Auto China 2010 show here, including a Chevrolet Volt MPV5 electric crossover making its global debut. GM is introducing a Chevrolet-badged hatchback called the New Sail, too. Its Aveo RS show car, hinting at the next-generation Aveo subcompact, is being shown in China for the first time. GM is showing three Buick models built on the automaker's global platforms: an Excelle XT hatchback, and the Regal and LaCrosse sedans. It will highlight the 1.6-liter and 2.0-liter turbocharged direct-injection engines that will power its Sport Regal 2.0T and Excelle XT 1.6T hatchback. Cadillac is displaying two vehicles in China for the first time: the XTS Platinum concept and electric Converj show car. "We are proud to once again be introducing to the people of China a broad range of vehicles built and sold in China by GM and our joint ventures," said Kevin Wale, president of GM China Group. Ford Motor Co. is showing its Ford Edge crossover, new Fiesta subcompact and the next-generation Focus compact. "Ford is showing the future shape of Focus because it will be the flagship of an important new portfolio of up to 10 vehicles from one new global platform," Ford said. Also at the green-themed Beijing show, Ford will display a new concept car and showcase its EcoBoost technology combining direct fuel injection and turbocharging to save fuel without reducing performance. Chrysler Group LLC will display vehicles from all three brands -- Jeep, Chrysler and Dodge -- but a spokesman said the company was not introducing new models here. GM is showing the EN-V two-wheeler concept, which was first unveiled last month in Shanghai, and will be featured at the SAIC-GM Pavilion in the World Expo 2010 Shanghai. GM's vehicles in Beijing will be displayed on the stands of its joint ventures with SAIC, Wuling and FAW. The SAIC-GM-Wuling venture will display three models, the Hong Guang multipurpose vehicle, and the New Sunshine and Rong Guang minivans, and the Jiefang brand from FAW-GM, GM's light commercial vehicle joint venture, will show a light duty truck. From The Detroit News: http://detnews.com/article/20100422/AUTO01/4220462/1148/auto01/U.S.-automakers-show-new-cars-in-China#ixzz0lvbUEZ9O
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Beijing 2010: Chevrolet Volt MPV5 crossover revealed by Sam Abuelsamid (RSS feed) on Apr 22nd 2010 at 1:26PM Chevrolet Volt MPV5 concept – Click below for high-res image gallery The rumored extended range electric crossover we saw revealed in General Motors' design patent drawings is now a reality. The Chevrolet Volt MPV5 concept will make its debut tomorrow at the Beijing Motor Show, and just as we suspected from seeing Volt design chief Bob Boniface's name on the patent, this five-passenger crossover rides on the same Voltec architecture as the Volt. The new Chevrolet concept integrates design elements from the Volt, including the headlight, taillamps and grille, with a five-door hatch body style very similar to the larger Orlando and a length about four inches longer than the current HHR. Propulsion comes from the same 150 horsepower engine and 16 kilowatt-hour battery used in the Volt. However, its larger frontal area and increased drag mean that this one only has a 32-mile electric range as opposed to the Volt's 40 miles. The Crossover has full seating for five and 30.5 cubic feet of cargo space behind the seats. The dashboard appears to be lifted directly from the Volt, including the dual LCD displays. We wouldn't be at all surprised to see this as the second Voltec product in the GM North American lineup. If built, this would likely be classed as a light truck and do wonders for GM's CAFE numbers on that side of the business. PRESS RELEASE GM Unveils Chevrolet Volt MPV5 Electric Concept at Auto China 2010 Crossover with Extended Range Capability Builds on Volt's Foundation Beijing – Chevrolet has made a major commitment to providing world-class, fuel-efficient vehicles to its customers around the world. In recent months, through GM's Shanghai GM joint venture, Chevrolet has introduced the fuel-efficient Cruze and New Sail in China. It will introduce the Volt electric vehicle with extended range capability in 2011. In preparation for the Volt's arrival, Chevrolet is leveraging Auto China 2010, which starts today in Beijing, to introduce the Volt MPV5 electric concept. The five-passenger multi-purpose crossover concept demonstrates the potential of the Voltec propulsion system by utilizing the same foundation as the Volt, for gas- and tailpipe emissions-free electric driving. Maximizing Efficiency and Style The styling of the Volt MPV5 concept borrows design and aerodynamic cues from the Chevrolet Volt. The front fascia is among the most aerodynamic of any crossover thanks to its closed grille and aero-optimized lower air dam, both of which help improve fuel efficiency. A full-underbody belly pan, along with rocker claddings, creased tail lamps and specially designed blades on the rear quarter, also help the Volt MPV5 concept cut through the wind with ease. The intense focus on improved aerodynamics enables greater all-electric range. The exterior of the Volt MPV5 concept isn't solely about efficiency. Its Sonic Blue Metallic paint provides a contemporary appeal, while the dual skylight panels and 19-inch Volt-inspired wheels build the Volt MPV5 concept's sporty credentials. "The Volt MPV5 concept takes the efficient design of the Chevrolet Volt and adapts it to the family vehicle crossover segment. It's immediately recognizable as a true member of the Chevrolet family," said Bob Boniface, Director of GM North America Crossover Exterior Design, whose team worked in conjunction with members of GM's design studio in Australia on the Volt MPV5 concept. The Volt MPV5 concept's dimensions provide added passenger comfort. While the 2,760-mm wheelbase of the Volt MPV5 concept is a mere 15 mm longer than the wheelbase of the Chevrolet Volt, its body is 181 mm longer (4,585 mm), 73 mm wider (1,871 mm) and 182 mm taller (1,612 mm) than the Volt. Inside, the Volt MPV5 concept adopts the Volt's center stack and gauge cluster along with its striking two-tone leather seats. Thanks to the Volt MPV5 concept's size, passenger comfort doesn't take a backseat. Typical for Chevrolet crossovers, the Volt MPV5 concept's seating position allows for maximum comfort and flexibility, including improved entry and egress. When it comes to cargo, the Volt MPV5 concept carries on the crossover tradition thanks to its flip-and-fold second row seating, which provides up to 1,764.1 liters of cargo space with the seats folded and 863.7 liters of space behind the second row. Voltec Power Boosts Green Credentials The Volt MPV5 concept utilizes the same Voltec propulsion system found in the Chevrolet Volt, including the added capability of an engine generator to extend the driving range and eliminate "range anxiety." A 16-kWh T-shaped lithium-ion battery pack powers the electric drive unit. The flexibility of the Voltec system enables the Volt MPV5 concept to meet full vehicle speed and acceleration requirements while driving the vehicle and its five occupants up to 51.5 km on pure electric propulsion. This is double what the average urban commuter in China travels each day. When the battery is depleted, a 1.4-liter engine generator sustains the battery charge and provides up to 482 km of electric propulsion. "The Volt MPV5 concept demonstrates the flexibility of the Voltec propulsion system, which can produce enough electric power to propel a range of vehicles. from a compact sedan like the Volt to a crossover like the Volt MPV5 concept," said Doug Parks, Global Vehicle Line Executive and Global Vehicle Chief Engineer for Electric Vehicles at GM. "Rapidly growing demand for personal transportation across China is creating new environmental and energy security challenges," said Kevin Wale, President and Managing Director of the GM China Group. "GM is committed to finding and adopting solutions, which include the electrification of the automobile. The world premiere of the Volt MPV5 concept in Beijing demonstrates GM's desire to make China a global focus of its advanced technology strategy." GM continues to advance electrification in China through research and development. It has launched the China Automotive Energy Research Center (CAERC) in Beijing. The venture with SAIC and Tsinghua University is developing a comprehensive automotive energy strategy for China. The GM China Science Lab, which opened last November, is carrying out advanced automotive-related research, including battery development. In March, GM introduced the EN-V (Electric Networked-Vehicle) concepts in Shanghai. A centerpiece of the SAIC-GM Pavilion at World Expo 2010 Shanghai, EN-V embodies GM's vision for personal urban mobility in 2030. In addition, GM is supporting its Shanghai GM joint venture's "Drive to Green" strategy, which is focused on developing green products, supporting green manufacturing and undertaking a green responsibility. General Motors, one of the world's largest automakers, traces its roots back to 1908. With its global headquarters in Detroit, GM employs 204,000 people in every major region of the world and does business in some 140 countries. GM and its strategic partners produce cars and trucks in 34 countries, and sell and service these vehicles through the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Jiefang, Opel, Vauxhall and Wuling. GM is the joint global automobile partner of World Expo 2010 Shanghai along with Shanghai Automotive Industry Corporation Group (SAIC). More information on the new General Motors can be found at HYPERLINK "http://www.gm.com" \t "_blank"www.gm.com. Chevrolet Volt MPV5 Concept Specifications Model: Chevrolet Volt MPV5 Concept Body style / driveline: five-door, front-wheel-drive crossover Description: electric vehicle with extended-range capability Performance Top speed (kph): 160 (100 mph) EV range (city in km): up to 51.5 (32 mi) based on EPA city cycle actual mileage may vary depending on driving habits/conditions, weather and battery age Extended range: 482 km (300 mi) on a full tank of gasoline Battery system Type: lithium-ion Energy: 16 kWh Electric drive unit Power (kW / hp): 111 / 150 Torque (lb-ft / Nm): 273 / 370 Charging times 120 V: over 8 hours (actual charge times may vary) 240 V: about 4 hours (actual charge times may vary) Brakes Type: four-wheel disc, fully regenerative to maximize energy capture Wheels/Tires Wheel size and type: 17-inch forged aluminum Tires: specially developed low rolling-resistance Dimensions Exterior Wheelbase (in / mm): 108.7 / 2,760 Length (in / mm): 180.5 / 4,585 Width (in / mm): 73.7/ 1,871 Height (in / mm): 63.5 / 1,612 Interior Seating capacity (front / rear): 5 Capacities Cargo volume (cu ft): 62.3 cu-ft with rear seats folded, 30.5 cu-ft behind second row Fuel tank (gal / L): TBD PHOTOS AT LINK: http://www.autoblog.com/2010/04/22/beijing-2010-chevrolet-volt-mpv5-crossover-revealed/
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Debt-Ridden Mitsubishi Running on Fumes By Mack Chrysler WardsAuto.com, Apr 19, 2010 9:00 AM Mitsubishi Motors Corp. appears to be living on borrowed time as a stand-alone auto maker. This sober conclusion is not held unanimously. But the evidence is compelling, and many industry experts believe an alliance of some kind with a foreign auto maker is essential to survival. ADVERTISEMENT “Mitsubishi Motors is a financially troubled company with too much debt in a difficult competitive position, with market share small and vanishing almost everywhere,” says Chris Richter, a senior analyst with CLSA Asia-Pacific Markets in Tokyo. The auto maker has never fully recovered from a debilitating triple whammy – revelations in 2000 of recall cover-ups in Japan dating back to1983, a disastrous experiment with easy credit in North America in 2003 and an ill-fated, 5-year strategic alliance with the former DaimlerChrysler AG that ended with Mitsubishi being dumped in 2005. Revitalization plans, restructuring and management reshuffles have worked no miracles. Once Japan’s fourth-largest auto maker, MMC has sunk to seventh place. Global sales dropped from 1,615,000 units in fiscal-year 2000 to 1,065,000 in fiscal 2008 and are expected to sink below 1 million in fiscal 2009, which ended March 31. And the ¥30 billion ($333 million) operating profit forecast for this fiscal year is overshadowed by massive losses in the past. (“MMC’s) balance sheet is extremely weak,” says Koji Endo, managing director at Advanced Research Japan. “And even if the company continues to make annual operating profits of ¥30 billion ($322 million) or ¥40 billion ($429 million), it will take more than 20 years to wipe out accumulated losses of ¥700 billion ($7.7 billion).” MMC’s main profit centers now are Southeast Asia, especially Thailand, the Middle East, Australia and China, while losses primarily are in the U.S. and Europe, particularly Russia, as well as Japan, he says. This is a shift of tectonic proportions. In past years, the U.S. provided nearly all of MMC’s profits. In fiscal 2001, for example, the U.S. was the source of 220% of MMC operating profits, more than enough to offset losses elsewhere, leading industry analysts in Tokyo say. Debt of more than ¥1 trillion ($10.7 billion) is a heavy burden, as well. Mitsubishi to provide PSA with version of iMiEV electric car starting this year. For the last decade, the auto maker has been on life support provided mainly by the Mitsubishi Group, leaving the three biggest companies now holding 34% of common shares – Mitsubishi Heavy Industries with 15.16%, Mitsubishi Corp. (13.99%) and Bank of Tokyo-Mitsubishi (4.85%) – and most of the ¥440 billion ($4.7 billion) in unredeemed preferred shares. MMC issued the preferred shares in 2004 or 2005, according to an MMC spokesman. Most went to the big-three companies, presumably for help rendered. Beginning in 2011, annual dividends of ¥22 billion ($235 million) are supposed to be paid. But, "We cannot pay the dividend,” the spokesman says.“We want to pay, but we cannot." Endo calculates total support from the Mitsubishi Group companies may be as much as ¥1 trillion. “Without the group continuously injecting money into the company, Mitsubishi Motors’ financial situation would never improve,” he says. “The group is desperate to find the company a new partner, but finding one has become increasingly difficult.” Richter says supporting Mitsubishi is something the group companies don’t like to do, “and I’m not sure they will do it indefinitely in the future. “It will be hard for the company to recover, because other auto makers are so much more powerful. Sales have been lost to stronger competitors, and it’s very difficult, in a sustainable way, to get those lost sales back.” Osamu Masuko, a veteran executive with 31 years at Mitsubishi Corp. who became president of MMC in 2005, is understandably more upbeat about the auto maker’s future. In a recent interview with Reuters, he challenges suggestions a strategic partnership is needed for survival, claiming MMC excels in areas such as all-wheel drive and electric-vehicle technologies and draws strength from its partnership with PSA Peugeot Citroen. That tie-up began in 2005 with an agreement to supply the French auto maker with MMC’s Outlander SUVs. It was followed by a joint venture in an assembly plant with annual capacity of 160,000 units in Kaluga, Russia, owned 70% by PSA, 30% by MMC, and due to begin production later this year. On March 8, a final agreement was reached to supply PSA with a version of the Mitsubishi iMiEV small electric car, launched in Japan last July well ahead of larger competitors. PSA’s sales are to begin by the end of 2010, and a total of 100,000 units are expected to be supplied in the years ahead. Earlier in March, Masuko and PSA CEO Philippe Varin confirmed their intent to broaden cooperation between the two auto makers, but concluded “a capitalistic alliance was not appropriate in the current circumstances.” The two companies were unable to agree on terms for a capital alliance during negotiations last December, which reportedly would have involved an investment by PSA of $2.3 billion to $3.5 billion for a 30%-50% stake in MMC. “There could have simply been disagreement over what PSA and MMC thought an investment was worth,” Richter surmises. “Another sticking point could have been the unwillingness of the Mitsubishi Group to relinquish control. Although the two companies are cooperating in several ventures, I don’t see any of them as transformational for MMC.” PSA also is in trouble, losing sales and money, Endo points out. “To acquire over 50% of MMC, the company probably would have needed ¥300 billion to ¥400 billion ($3.33 billion to $4.44 billion) in cash and didn’t have the money. And if they tried to borrow from banks, their credit rating would have gone down double digits.” PSA’s vehicle sales in 2009 fell 7.2% to 3.2 million units. Operating losses were E1.82 billion ($2.45 billion), more than twice that of the previous year. “PSA is well-developed, with the critical mass in sales required to survive in the global industry,” says Ian Fletcher, an industry analyst with IHS Global Insight in London. “But the company has a new CEO and is restructuring and did not want to put more cash than it could afford into another company.” However, Fletcher expects talks of a capital alliance to resume in the near future, emphasizing “the two companies have very little overlap. They complement each other. Mitsubishi is relatively strong in Asia and has outlets in North America. PSA is strong in Europe and has a presence in Brazil and Latin America. Maybe in two or three years, when the economic gloom is gone, a capital alliance might make sense to them.” Mitsubishi Group has been interested in decreasing its responsibility for MMC for a long time and “would be open to a deal if the circumstances were right,” Fletcher adds. He doesn’t consider control an insoluble issue, citing Nissan Motor Co. Ltd.’s alliance with Renault SA, in which the French auto maker holds 44%, as evidence it is not necessarily bad for a company to relinquish control. “It has taken 10 years for Renault and Nissan to get the cost savings and other synergies worked out, and even now the alliance is not perfect,” Fletcher says. “They’re still working on it, but it has been successful. “Neither company, alone, could have created the electric vehicle they’re planning to launch. They have the scale and finances now to be key players in the global auto industry.” Still, there is no consensus about the best course for MMC to take. “A strategic partner would probably help Mitsubishi Motors, because I don’t know if the company has a viable stand-alone strategy,” says Richter, who does not consider PSA the best fit. “(MMC) may need to be owned by a large auto maker, which would have to have complete control without any restrictions, such as purchasing parts from Mitsubishi Group companies.” Endo, too, sees a buyout by another auto maker as a likely recipe for survival. “The most important requirement is how much money a partner is willing and able to spend, because the most important and urgent thing the company needs is cash. A Chinese, Indian or Russian partner could be possibilities.” An alternative, in his opinion, would be for MMC to become a smaller, boutique auto maker. There are rumors of another possible solution: the auto maker could become a division of Mitsubishi Corp. or Mitsubishi Heavy Industries Ltd. Conversely, Fletcher expects the present PSA partnership to blossom. “MMC and PSA have too much going on together, and I can see them expanding their relationship,” he says. “It could be a perfect marriage.” link: http://wardsauto.com/ar/mitsubishi_running_fumes_100419/
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Ram Trucks begin offering spray-in bedliner 04/13/2010, 4:33 PMBY ANDREW GANZ Chrysler’s Ram Trucks division – once a part of Dodge – says that it will begin taking orders for its line of 1500, 2500 and 3500-series Ram trucks with factory-applied spray-on bed liners. A popular aftermarket accessory, the factory spray-on liners will cost $450 from Ram Trucks and will be available on every single model, every cab and every bed length the automaker offers. “Creating a stand-alone brand for Ram Trucks has allowed us to concentrate on how customers are using their trucks and what new features they’d like to see,” said Fred Diaz, President and CEO, Ram Truck division, in a statement released to the media. ‘Spray-on bedliners are very popular with pickup owners, and we felt this factory-installed, factory-warranteed option would be a welcomed response to our customers.” The automaker says that 90 percent of Ram shoppers were interested in some sort of additional pickup bed protection. The spray-on liner is covered by the standard three-year, 36,000-mile warranty. link: http://www.leftlanenews.com/ram-trucks-begin-offering-spray-in-bedliner.html
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Marchionnne says next European car merger may involve French Bloomberg News April 13, 2010 06:01 CET ROME (Bloomberg) -- Fiat S.p.A. CEO Sergio Marchionne said the next European auto merger may involve a French manufacturer. “The next merger will probably be French,” Marchionne told reporters in Rome today, when asked what the next industry consolidation move could be. “They tried with Mitsubishi and they will try with someone else,” the CEO said, referring to PSA/Peugeot-Citroen, the French carmaker that ended talks last month over a proposed equity swap with Japan's Mitsubishi Motors Corp. PSA also has an engine partnership with BMW AG. The companies said in February that they are looking at other areas where they can cooperated, such as in development, production and procurement of components. Carmakers have been forging alliances by sharing designs and parts such as engines and some of the tie-ups have involved stake purchases. A partnership between Daimler AG and the Renault-Nissan alliance announced last week includes an exchange of a 3.1 percent stake in Stuttgart-based Daimler for holdings of the same size in Renault SA and Nissan Motor Co. Fiat, based in Turin, Italy, acquired 20 percent of Chrysler Group in June. “An alliance involving France and Germany is not that easy, but it's a step in the right direction,” Marchionne said, referring to the Daimler-Renault-Nissan partnership. Read more: http://www.autonews.com/article/20100413/ANE/100419986/1193#ixzz0l0MNsaXg
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Consumer Reports warns against buying Lexus GX SUV Christine Tierney / The Detroit News In a fresh blow to Toyota Motor Corp.'s reputation, the influential magazine Consumer Reports says the 2010 Lexus GX 460 SUV may be unsafe and is advising car shoppers not to buy it. Consumer Reports said its engineers experienced problems in emergency-handling tests that suggest the vehicle may be prone to rollovers. "When pushed to its limits on a handling course on Consumer Reports' test track, the rear of the GX that Consumer Reports purchased slid out until the vehicle was almost sideways before the electronic stability control system was able to regain control," the magazine said in a statement. "Consumer Reports believes that in real-world driving, that situation could lead to a rollover accident, which could cause serious injury or death," it said. Consumer Reports said it was not aware of any such reports, however. Toyota officials said they were concerned by Consumer Reports' test results. "Our engineers conducted similar tests during the development of the new GX andhad no issues," said Joe Tetherow, a spokesman at Toyota Motor sales USA in Torrance, Calif. He said Toyota engineers in Japan had been notified and the company would try to duplicate the problem described by Consumer Reports and determine what measures need to be taken. The Japanese automaker is struggling to stem the damage to its reputation after recalling 8.5 million vehicles worldwide, including 6 million in the United States. It is recalling vehicles mostly because of acceleration-related issues but also to fix braking and other problems. Consumer Reports said all four of its engineers who tested the Lexus GX experienced the problem during an exercise used to evaluate what is called lift-off oversteer. In that test, as the vehicle is driven through a turn, the driver quickly lifts his foot off the accelerator pedal to see how the vehicle reacts. In real-world driving, lift-off oversteer could occur when a driver enters a highway's exit ramp or drives through a sweeping turn and encounters an unexpected obstacle or suddenly finds that the turn is too tight for the vehicle's speed. A natural impulse is to quickly lift off the accelerator pedal. Consumer Reports engineers conduct this evaluation on every vehicle they test, including 95 SUVs. "No other SUV in recent years slid out as far as the GX 460, including the Toyota 4Runner, which shares the same platform," the publication said. To confirm the results, Consumer Reports paid to use another GX 460 from Lexus and experienced the same problem. From The Detroit News: http://www.detnews.com/article/20100413/AUTO01/4130373/1148/Consumer-Reports-warns-against-buying-Lexus-GX-SUV#ixzz0kz7E5LsK
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Buick’s average buyer age drops from 72 to 65 04/12/2010, 8:38 AMBY ANDREW GANZ When Bob Lutz introduced the Buick Regal GS “concept” to the media a few months ago, he was adamant that Buick would return to its glory days despite the brand’s borderline geriatric average buyer age of 72. Now, thanks mainly to a handful of fresh products, Buick has lowered the age of its average buyer to 65 as it targets buyers as young as 40. Buick is aiming to bring in buyers from more established Japanese and German buyers – primarily Lexus and Mercedes-Benz shoppers – seeking something a bit different, less expensive and less ostentatious. The bold plan seems to be succeeding as analysts expect the average buyer age to plummet even further when the brand’s entry-level Regal hits showrooms later this spring. “The perception is changing – I don’t want to say it’s done yet because perception takes a period of time and consistency,” said industry analyst Erich Merkle of Autoconomy in an interview with the Detroit News. “I’m seeing consistency out of Buick, but it’s going to take more time.” The relatively rapid decrease in average buyer age – a rarity in the industry – is due primarily to the automaker’s recently-launched LaCrosse. While Buick continues offers the Lucerne, a big, wafty sedan, and the still fairly fresh Enclave crossover, sales and market share increases for the brand are concentrated mostly on the LaCrosse. Nearly one third of all LaCrosse buyers are under 55, which GM says is double the number it was on the outgoing model. But not only is the LaCrosse appealing to a younger buyer; it’s selling better than its predecessor. Buick sales were up 76 percent last month – admittedly a good month for nearly every industry player, but an especially good one for Buick. The biggest news came from the LaCrosse: Sales skyrocketed an amazing 236 percent last month compared to the dated outgoing model. Keeping Buick alive When GM slashed its brand count to just four “core” units last year – by closing Pontiac, Saturn and Hummer and selling Saab – it took a lot of convincing of the Obama administration’s automotive task force to keep Buick from facing the same fate. Then-CEO Fritz Henderson had to show the government that Buick had a future – both in North America and in China, where the brand is one of the market’s strongest. “They made the right decision,” Aaron Bragman of IHS Global Insight said. “To kill Buick would have been crazy. It’s one of the most important brands in the Chinese market.” Cadillac concern While Buick is making massive strides in terms of product, sales and market share, some of its success comes at the expense of Cadillac. Although the luxury market as a whole has not quite recovered the way more mainstream brands have this year, Cadillac’s relatively modest 41.6 percent gain last month over an especially weak March 2009 was concentrated nearly entirely in its succesful new SRX crossover. The brand’s former volume leader, its CTS, actually saw a 26.4 percent drop in sales last month – by far the biggest single decrease among all of GM’s mainstream consumer models. The 2,870 CTS sedans that found new owners pale compared to the 6,054 LaCrosse sedans delivered in March. Granted, the LaCrosse is much less expensive than the CTS – but the numbers indicate that the dent Buick is making in Lexus and Mercedes-Benz luxury sales could also be eating away at Cadillac’s numbers. link: http://www.leftlanenews.com/buicks-average-buyer-age-drops-from-72-to-65.html
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Impressive Buick lineup is a winner Scott Burgess / The Detroit News General Motors Co. may have decided to keep Buick because of its success in China, but the brand has earned its strong recovery in the United States with a renewed lineup and stylish vehicles. It may still be seen as an older buyer's brand, but Buick has continued to score well in quality and consumer satisfaction studies such as those by J.D. Powers and Associates and Consumer Reports. The revival began in 2007 with the large crossover Buick Enclave and continued with the LaCrosse sedan. This year, the midsize Regal should continue the winning streak. When it comes to product, any brand can have a hit, but three hits in a row suggest a trend. GM's work is far from done, however. As Buick pushes smaller and more efficient, it's likely to become the first GM brand not to offer a V-8; at least if it's smart and discontinues the Lucerne sedan. Looking through its lineup, it's easy to see why Buick buyers are getting younger. From The Detroit News: http://www.detnews.com/article/20100412/AUTO01/4120331/1148/Impressive-Buick-lineup-is-a-winner#ixzz0ktgxp5eg
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Buick bounces back with younger buyers LaCrosse helps to change image of a brand whose average buyer's age was once 72 Robert Snell / The Detroit News Buick, the venerable General Motors Co. brand long maligned as catering to elderly buyers, is enjoying a rebirth in the United States and drawing younger, more affluent buyers, thanks to improved quality and styling. Just a year ago, the brand was headed for the scrap heap until then-GM Chief Executive Fritz Henderson convinced President Barack Obama's auto task force that Buick was worth saving, particularly in the booming Chinese market, as the automaker shrank from eight to four brands. "They are making definite improvements in the U.S.," said Aaron Bragman, research analyst with consultant IHS Global Insight in Troy. "They made the right decision. To kill Buick would have been crazy. It's one of the most important brands in the Chinese market." Last month, Buick sales in the United States rose 76 percent, and market share of the new Buick LaCrosse sedan climbed to almost 17 percent in the large-car segment, a one-two punch that is meeting Chairman and Chief Executive Edward Whitacre Jr.'s mandate that GM boost sales and market share after bankruptcy. The LaCrosse sedan is furthering a Buick resurgence that started with the 2008 Enclave crossover, which had its best-selling month in December 2009, two years after debuting. The strong sales convinced GM to add a third shift this month at the plant near Lansing where it is produced. The average age of a Buick buyer has fallen from 72 several years ago to 65. That figure is trending lower ahead of the launch of the Buick Regal midsize sport sedan this spring. "The perception is changing -- I don't want to say it's done yet because perception takes a period of time and consistency," said auto analyst Erich Merkle of Autoconomy.com in Grand Rapids. "I'm seeing consistency out of Buick, but it's going to take more time." Not all is well with the brand. Sales of the third vehicle in Buick's lineup, the Lucerne, are down 15.6 percent this year. Appealing with technology Buick is catering to buyers in their 40s, 50s and 60s by displaying new vehicles at events like food and wine festivals. But the push to lure younger customers is more than mere marketing. Buick is building vehicles loaded with technology such as DVD players, navigation systems and higher content that yields larger average sale prices. "We identified a marketing opportunity and built cars for that demographic population," said Craig Bierly, Buick's product marketing director. "We were probably a little late doing it, but we are looking to broaden our base." So far, the tactic is working. Almost 29 percent of LaCrosse buyers are under 55 -- more than double the percentage that bought the prior model. The LaCrosse, sales of which rose 236 percent in March, is seen as a less conspicuous luxury vehicle for buyers concerned about driving Mercedes and Lexus brands during a recession, dealers say. "The recession's gotten to them. People who own a small business, they've been through an incredibly tough time, cutting wages, and they're going to buy a brand new Mercedes?" said Farmington Hills dealer Sam Slaughter. "It doesn't feel right. We're seeing people downsize and downgrade, but they don't want to give up having a navigation system and heated seats." The new LaCrosse is fetching an $8,354 higher price tag than the 2009 model. "The quality of the buyer demographic is good, but more important is achieving sales results and the desired profitability while spending little on incentives," Bierly said. A quarter of LaCrosse buyers are trading in non-GM vehicles, according to the automaker, which says buyers are drawn by exterior styling, value and reliability. Rochester Hills resident Chris Bishop traded in a Toyota Camry last fall and bought a LaCrosse, drawn by the sedan's styling and "stunning" interior that he calls a departure from the brand's reputation. "I wanted to go back to a GM product, but when I looked around before, I didn't see anything that said, 'Hey, buy me,' " said Bishop, 40, president of a software consulting firm. "When you think about Buick over the past 15 years, it wasn't a brand that stirred a lot of emotion from a styling standpoint. But the LaCrosse drove me back." New vehicles important Though sales are up, Buick began its resurgence with a small base, Autoconomy.com's Merkle said. "They were whittled down to so few vehicles, they really had no place to go but up," he said. The brand's lineup, however, is poised for expansion. Buick will unveil a compact sedan in the next 18 months and, later, a smaller version of the Enclave. "We're moving the brand into more traditional volume segments where there is a greater opportunity and where traditionally we haven't played," Bierly said. The true test of Buick's success in America will come following the launch of the Regal this spring and of the compact sedan, Bragman said. "You have to change the product before you can change opinion," he said. "It's still too soon to really come to a verdict on how Buick is doing in the U.S. But nobody can say those are old person's cars anymore. Because they aren't." From The Detroit News: http://www.detnews.com/article/20100412/AUTO01/4120334/1148/auto01/Buick-bounces-back-with-younger-buyers#ixzz0ktboEixJ