CARBIZ

As well as having North America's busiest highway, Toronto has North America's highest insurance premiums. I would go into the reasons why, but it isn't PC to say so; however, leasing is very big in Toronto, not just with the BMW crowd (who will sell their first born to lease their first Beemer), but with the low-end crowd, too. A lease of $300 a month will break many people, because they have to come up with another $200 a month in insurance. Yeah, those fancy buildings dotting our skyline are all insurance companies and banks. Anyway, the beauteous thing about leasing, is that it quite clearly shines the light on the real market. FACT: A Corolla CE is about $15 a month MORE than a Cobalt LT - with less equipment and the buy back is higher. Which is the better deal, then? The Civic is even worse - you would literally be out about $3-4k by the end of the lease on a Civic and face a stiffer buy back. One cannot gloss over those facts. Factor in insurance (imports are stolen more and parted out), the 4 trips to the dealer a year (Cobalt has 2) and the myth of the Japanese juggernaut fades away. I wonder why none of the import humper magazines actually does a real world study? It wouldn't be hard to do: pick a group of consumers from different parts of the country, some import and some domestic, and follow them from the moment of purchase or lease to, say, 5 years or 6. Let them keep every receipt, every invoice. Instead, they pull ficitious numbers off websites, citing insurance rates that aren't real, residuals that some bank has set, and going from list price - what is list price anyway? As I said, GenX couple wants to ditch their 2 year old Civic, they are in far worse shape than ditching their 2 year old Cobalt. In both cases, they will get screwed, but with the Cobalt they will get lube and a condom first. And why are the "grosses" at GM stores higher than Honda or Toyota? Numerous co-workers of mine have gone to work for the Dark Side and left again because they were making $150 flats on all their deals. Why is that?

I priced out a Cobalt SS-SC for a customer the other day. He has the old Acura coupe coming off lease soon and wanted to do a comparison. So, I worked out a lease with $2,000 on delivery, then we went to Acura's Canadian website and worked out the Civic, er I mean Acura coupe that he wanted. Interesting, they were both using a 38% residual. The SS had a list price of about $27k (this is Canada) and the Acura was $35k. Strike one. Sure, the Acura had the DVD nav system, but I could have equipped the Cobalt with OnStar. Anyway, the Acura was almost exactly $200 a month more - even with their supposed better value. Oh, and the Acura has 65 lb ft of torque less. The import humper was quite shocked at the power of the Cobalt, the payment bowled him over. The Malibu LS is less money than a base Civic these days, on a lease. Besides, at the end of the day: who gives a crap about residuals? All you care about is payment. Unless you plan on keeping the vehicle at the end of the lease, in which case you should NOT be leasing - oh, that's right: the Accord is, like, $700 a month to finance. (I am comparing 6 cylinders and Canadian prices.) We could play this hide-and-seek with websites all day, but I LIVE these numbers. Again, residuals are BS - they only matter to banks. And who the hell would be leasing from a bank? Don't they make money on money?

I'm going to get fried on this one, but North America is in a dreamworld. We are the ONLY place in the world that feel it is our God-given right to drive around in the biggest, most ostentatious, blatantly anachronistic beasts on the face of the Earth. The Rest of the World gets it. Why are we so special? The Sixties are over, guys and girls. Driving a Suburban is no safer than driving an Aveo - but ony because if you in the Suburban hit an Aveo, well you may be safer, but you are inherently more dangerous to the driver of the Aveo! I understand some people have to tow, and others need larger trucks for work, and perhaps something could be worked out in ones' tax refund at the end of the year, but I cringe every time I see some blond babe in a Sequoia (usually talking on her cell!), all by herself, weaving in and out of traffic. Believe me, this is a compromise. Their are many in the halls of Washington and Ottawa that think we should all be taking the bus. I would rather walk than take a bus, but sitting in a 4,500 lb vehicle to drive to work, alone, every day is not a God-given right. We know better and should act accordingly. Detroit figured out how to get around the last round of legislation. Frankly, a '76 Electra is probably what a lot of people wanted to drive in the '90s, but Detroit gave them the SUV to get around CAFE. Washington figured that one out (finally) and is addressing it. Look to Europe. There are a lot of fun to drive cars and trucks that don't get 15 mpg. Flame away.

I think we all have to hold back to some degree. That is what makes our society "civil." Can you imagine a world where everyone could read everyone else's thoughts? I would not have a job if I didn't hold back! Sitting through the same meetings, year after year, listening to the same, tired old diatribe and NOT telling the General Manager to F$#k off - now that is holding back!

Oh, just to add to your scenario: GMAC will let us bury any amount of negative equity, provided the customer's credit will support it (they used to cut off at 120% over list price, but that limit has been waived). So, if the hapless couple gets into a bind, they won't have to come up with the cash. They can buy or lease the Cobalt for 2.4% OR the Optra 5 is 72 months at ZERO PERCENT. Not so our precious Toyota. If they will bury the negative equity at all (what - you don't think they will lose ANYTHING on their 2 year old Corolla?), it will be at 3.9% or higher. One last thing: most of the guys over on the used car lot at our Toyota store are making six figures. Talk about getting hosed? Try buying a 2 year old Toyota - and it wasn't the guy trading in the vehicle who made the money, I can tell you that! It is this fiction that Toyota's are unbreakable and that they hold their value better that is feeding this positive feedback loop. People in the business who should know better are not helping either.

No, it sounds more like some people are stuck in the '90s. I haven't used "the book" in a few years. With what is happening at the auctions these days, the "book" is obsolete as soon as it is printed. Any idiot who gets rid of a two year old car is going to get hosed. How much would you lose on a Mercedes, Enzl? Compare transaction prices, and keep in mind that the "cash" customer is extremely rare. (As my accountant has sagely pointed out, there is no such thing as "cash," because your money should be working for you.) Compare lease rates, finance rates. How about the $750 Retail Delivery Credit on a new Cobalt (as we speak) and GM will give you $750 just for having a smal import in your driveway - I am serious. $1,000 if you have a mid-size competitor's SUV or minivan. So, the $19,800 (freight in) Cobalt LT, can be had for $1,750 off (plus GM and the Clean Air Fund will give you $1,000 for your 12 year or older car, even if it isn't running) before the dealer discounts a dime. Oh, what will Toyota give you? $500 off their $19,300 price for the CE (with a lot less equipment than the LT, BTW). Then interest rates, insurance, oh and don't forget the Toyota has to go to the dealer every 3 months or else............ I don't like having to sell on price, but GM is on the defensive at the moment and I don't mind having the arsenal to slap the import shopper with. A back to back test drive doesn't hurt, either. But people can believe what they want. Some of us live it every day.

Ah, contraire, my friend. The Pontiac dealers whined and got the Torrent, they whined again and got the Wave, they even got the Vibe all to themselves AND all versions of the Pursuit up here. Remember, with Pontiac/Buick/GMC under one roof (and in Canada, most Cadillac dealers are positioned with P-B-GMC, too!) their line up is quite formidable. Chevrolet/Oldsmobile were paired together, and I can't tell you the damage done to my portfolio since losing Oldsmobile. Believe me, I feel like a traffic cop for P-B-GMC when people come looking for a viable 8 passenger. The Tahoe/Suburban don't sell that well up here and the Uplander was a great stop-gap measure two years ago, but we can't even give them away any more. Convertibles? Pontiac has 2; Chevrolet has none (and I don't include the Corvette which is $80k up here.) I could go on, but I think you get the picture. What sense does it make for Buick and GMC to have virtually the same vehicle under the same roof? I have had customers ask me that question and I have no answer. I haven't sold a Trailblazer in a year. That is one dog that won't hunt. The Equinox is the only truck that we are selling in quantity. Personally, I am praying for a small CUV to replace the Tracker. We sold a lot of Trackers back in the day - and a lot of those customers are buying out their leases because they like them so much. I made this point earlier, and I will repeat it again: GM wants us to nurture our customers and keep them through all their purchases. The P-B-GMC dealers are positioned to do this, Chevrolet is not. Remember that GM has deliberately set up this adversarial relationship amongst the dealers. In the U.S. Chevrolet is all about the Silverado, which outsold the Sierra 3:1. Up here, the Sierra outsold the Silverado. When (not IF) the P/U market tanks, Chevrolet dealers south of the border will bleed more red ink. Giving Chevrolet an exclusive minivan would be my choice, but giving it a decent lambda would do. I just hope it isn't another Montana/Venture knock-off.

I am all for small cars, but Citroen, Peugeot and Renault all have nicer looking small cars. This is one small car I hope stays on that side of the ocean. GM can do so much better. Let's leave the low ground to Honda and Toyota, please.

We have tri-fold hand outs that GM supplies us, comparing the Malibu to the Accord and Camry, exposing all the places where the competition "wins." Neither the newer Aura or the older Malibu truly match up to the Accord/Camry in terms of size. The Accord/Camry are slightly larger than the Malibu/Aura; whereas, the Impala is larger than any of them. Size does not always matter, nor does HP, or fuel economy numbers. However, the sum of all numbers (particularly PAYMENT ) is what may sway one discerning consumer one way or the other. That is, assuming we have "discerning" consumers, and not just sheeple that gobble up and then regurgitate numbers. As Fly points out, the Japanese lie and lie very well. Hyundai got sued a few years ago for doing a lot less than what both Toyota and Honda blatantly got away with last year. And for GAWD's sake, can we axe the BS about "residual:" a totally fictional number that is obsolete the day someone dreams it up!

Thanks. I like the subgroup. Now I know to hold my nose and get my bull$h! repellant out when I open the Toyota Motor Corporation heading. It saves the wrenching of the stomach.

A TRD is still a TuRD.

The technician from the plant was here inspecting our Equinoxes. I prodded him for answers. He laughed at how this is all being blown out of proportion. He has to check the seals on the windshields. Apparently, some were primed with the wrong primer, which can cause the windshield to lose adhesion. The fix is relatively simple. Where it gets wierd is he would not answer any questions as to the WHY. Hmm. Since it was such a limited problem and he wouldn't answer the question, MY conclusion is that sabotage happened. That would explain why GM has been so hush-hush about it, especially with such sensitive Union talks coming up in a few weeks. Again, I am just speculating, but it isn't like these guys not to laugh at minor foibles and screw ups.

Ah, no. The old 'Cudas and Firebirds are NOT bought buy 18 year olds (first of all, they can't afford them!) so we are not in any danger of losing any REAL cars here. Secondly, this is not limited to California (sorry, guys). Three ricers were involved in a race up the 400 highway last weekend, resulting in a tanker truck over turning and that driver was KILLED. Police have arrested 3 suspects so far - all 18 and all, dare I say this, from the same "background." Of course, the press tip-toes around that issue, too. Naturally, in true Canadian fashion, the bleeding heart press (Toyota Star, for example) is blaming the AUTO COMPANIES, and are calling for a "voluntary" advertising campaign, amounting to 5% of their advertising budget to fight street racing. They are also calling for a stop to lifestyle car ads that depict, well "ZOOM-ZOOM" In our parent's time, street racing may have been glamorous, even fun. My father told me about removing the construction barricades of the 401 (now North America's busiest highway) when it was first being built, and how they would race their cars on the new concrete. But that was then. Insurance was $50 a year, and people didn't sue for having a hang nail. I think crushing is a great idea. It gets the point across. It makes splashy headlines and MAYBE it will send a message before Big Brother gets involved and forces governors on ALL cars, which is already being called for by our bleeding heart press.

And how long have they been largest automaker in the world, my friend? That is what I mean by "playing with the big boys." Ford and GM have been doing it for 75 years; longer than Toyota has even existed. Toyota was an also-ran company until maybe 20 years ago, which is remarkable for them; however, considering the energy and the resources applied to the North American market by Japan Inc., none of this is surprising.

This is not really news. It was inevitable. There is nothing miraculous about what Japan Inc. has done for the past 25 years. It was impossible for GM to hold onto 50% market share. The market will settle out with GM in the 20-22% range, Toyota around 15%, Ford and Honda slightly below that, then the rest of the pack around 10%. That will reflect more of the picture that exists in the rest of the world. Toyota is merely recognizing this and is putting the brakes on expansion to avoid the spectre of over capacity. That, and they are also realizing it is a lot more challenging to play with the big boys than they thought.

All products made in China should carry labels larger than the branding of the product itself, IMO. I am sick of buying stuff, having it break and then realizing it was made in China. For example, I am staring at a box of tissue paper that was on sale at my local grocery store. The brand I normally buy is .89. This stuff was .64. How bad can it be, right? Two-ply tissue paper is two ply, right? Wrong. This $h! just blows right through - literally. I checked the packaging: Made in China. It has gotten to the point that it is making me nuts when I buy stuff. I went to 5 or 6 places to buy a a/c unit last month and could not find one that was NOT made in China. That is f$#king sad! MADE IN CHINA SHOULD BE A HAZARD WARNING, LIKE FLAMMABLE OR CORROSIVE CHEMICALS.

When you walk on the Dark Side, as I do, one of the few disadvantages is that you occasionally encounter someone with whom you are strongly attracted to but you know is hopeless. I had a straight friend about 25 years ago that I met when I was working at a dealership and going to university. I was 22, he was 19. We had a lot in common. He came to a few of the gay clubs with me. We would go to the cottage together. He was very physical in a friendly way, but not sexually. It drove me crazy and he knew it. One night at the cottage, when he was quite drunk, he and a friend of his were playing with a fishing knife and "Andrew" cut his hand badly. I bandaged it up, but the bleeding would not stop. His friend passed out, as had the others. I had not been drinking, so we drove 30 minutes to the nearest hospital at 1 a.m. to get stitches for him. He grabbed a couple beers for the road (for him!). He came right out and said that he had thought about sleeping with me, that he was curious, but that he was more concerned about what would happen in the morning. He always said I treated him better than his girlfriends and that it bothered him that women expected to lay in bed and be worshipped, but would do little in return. As I said, we were very close, and even kept in touch after we both left the dealership. He was very relaxed in his own sexuality and I always respected him for it. I still have pics of us all at the cottage and look at them, wondering what could have been.

Against the Corolla, I take the customer over to our sister store and DRIVE it. Hands down, Cobalt wins. Against the Civic, huge price difference. The imports spend their money on fancy switchgear; whereas, GM spends it on auto headlights, decent speakers, split rear seat that isn't just fabric, most standard hp in its class, etc. None of the vehicles in this class are losers any more, but the Corolla is the most dated both literally and figuratively. Again (sigh), I can only speak for the market up here (which is only Canada's biggest) and the Corolla does not hold its value any better when all the "extraneous" factors are weighed in. If I sound defensive, it is only because I am sick of hearing how good the Corolla is - BECAUSE IT ISN'T. As I have said (tirelessly), if I lose a sale to the Mazda 3 or Civic - oh, well. If I lose it to the Corolla, I question the person's sanity.

Do you mean for real, or "I wish", like Colin Farrel for me

Unfortunately, it is a common story in the gay community. I also had another incident a year or so later when I was working at a part time job in a department store and confided in a good (or so I thought!) female friend that I was gay. Although she was nice to my face, within 15 minutes of our break being over the entire staff at the store knew and the next day our entire school knew: it was 1978 so you draw your own picture. Anyway, a young guy the same age as us who worked in the stock room made up all sorts of stories about my having come onto him, which was total BS - I mean, he had pizza face and was homely as hell About 5 years later, I bumped into him in a gay bar. I give him credit for approaching me and apologising profusely for the way he behaved. He explained that I had freaked him out, he had been attracted to me and he couldn't cope with his feelings, so he had trashed me to distance himself.

I had a crush on a chum in grade 10 that got pretty hot and sizzling. We spent a lot of time under the sheets, literally. But then he got cold feet and shunned me in the two classes that we shared. I ended up taking a bottle of prescription sleeping pills, barely survived, spent a few days in the hospital, then had to leave town due the scandal. At 15, I was pretty shook up. I heard from mutual friends that he emerged from the scandal unscathed, having brushed the entire thing off on the delusions of a silly fag. I ran into him in the gay ghetto about two years ago - nearly 28 years later. He is a smoker, so he hasn't aged well; whereas, I look great at 46 :AH-HA_wink: Anyway, so much for NOT being gay! He barely recognized me, and unless he was hiding his feelings, he pretty much shrugged off having met me. Strangely, even 28 years later, I felt weird emotions well up inside me. I damned near killed myself over him, and in his history book I am not even a foot note. Hmmph.

Why are they buring useful cars? How many crushed Camries could they fit in there?

You know, the best sort of non-lethal chemical warfare would be to somehow get real, potent MDMA into the enemies supply lines. Think about what would happen if the entire enemy camp became amorous, horny, too happy to fight and only wanting to take their shirts off and dance! This would give the military a 4-6 hour window to go in and round up the weapons while the enemy is strolling around, telling each other how much they love each other and giving each other massages! Throw a little crystal meth in there and they would f$%k anything that moved for hours on end and not care if a tractor trailer ran over them!* (* All reactions are suppositions on my part, from things I've been told by friends) :AH-HA_wink:

How about testimonials from GM loyalists - real, down to earth people. I know GM has a truck magazine that they send a few times a year to Silverado owners, etc. -but that is only preaching to the choir. Find some farmer from Oklahoma who has a '87 C/k with 400,000 miles (even if it is a rust bucket - it would lend to the credibility) and show him/her next to their new GM whatever and they can explain why they are GM loyal. This speaks to the heart and proves to those import humpers that there are a lot of old GM vehicles still rattling around, plus if a spot was done with a '70 Monte Carlo, for example, it would speak to the heritage as well - which is something that Toyota cannot claim. The ads should harken to the glory days of styling AND show that the vehicles were built to last. Nothing wrong with a family who has a '69 Malibu in their driveway and a'05, for example. Building on what was said above, Cadillac might show a hot new CTS in, say, red, sitting in a sea of dark grey BMWs and Mercedes. Hone in on the American loner, cowboy image of being different and going it alone. Around here, the race card could be played in a subtle way, by showing mostly Asians and South Asians driving or getting into their foreign vehicles. Although it is important to have a "racially diverse" ad in this PC world, were I in charge of advertising, I would call a spade a spade and show what kind of loyalty "new Canadians" or "new Americans" are showing by driving their foreign cars. I also wouldn't mind seeing some meaty attack ads that show exactly how many jobs are supported in North America by GM, sort of like along the lines that GM did in Ohio when Honda bragged about how many plants they had in the U.S.