In a previous Wild Ass Rumor of the Day, we asked "GM wouldn't be stupid enough to try to pay all [Delphi's bankruptcy] debt, would they?" It was meant to be a rhetorical question. Dow Jones reports [via CNNMoney ] that The General is "exploring alternatives" that include "providing an additional significant portion of Delphi's exit financing" in their annual report filed yesterday. The filing also said they're willing to reduce their share of the cash distribution they could receive in the bankruptcy settlement and "and accept an equivalent amount of debt in the form of a first-lien note." The amount of this particular portion of GM's cash conflagration is not known. But it doesn't matter whether The General shells out more cash or goes deeper in debt– neither alternative bodes well for the GMs financial health or stability.

Here's the official statement, contradicting part of our story on Chrysler's post-Daimler accounts: "Several media outlets have erroneously reported a loss of approximately $2.7 billion by Chrysler between August 4 and September 30, 2007. In fact, from an operating earnings standpoint, Chrysler was profitable during this time period. Also, Chrysler lost significantly less than what was reported during the course of the full-year. We believe any differences are attributable due to U.S. Generally Accepted Accounting Principles (US GAAP) versus International Financial Reporting Standards (IFRS) accounting rules. These differences include pension accounting for the UAW settlement and restructuring and purchases accounting." So, can we have a look at those books then, Mr. Private Equity Firms Don't Need to File Public Accounts? Thought not. 

Some 175 member of the Canadian Auto Workers (CAW) union employed by the TRW auto supply plant in east Windsor (Ontario) downed tools at three am last night and walked off the job, protesting wages and benefits. The Detroit News reports that Chrysler's Windsor minivan plant– which depends on TRW for its minivans' suspension frames– shut down three hours later. "Talks have broken off," announced CAW Local 444 President Ken Lewenza. "We're digging in our heels for a long one." CAW bargaining rep Mike Renaud told The Windsor Star he's got no regrets. ""It's a major blow to our community, and we're fully cognizant of that. And we remain willing to bargain at any given moment. But we have to have fair wages and benefits here for people," he said. Renaud described the average TRW $11.25 per hour salary as a "poverty level wage." CAW member Ryan Kelly, who works in shipping, said amen to that. "I made more working at Tim Horton's — it's a joke." Surprisingly (or not), this is the first time the TRW workers have attempted to reach a collective agreement with management. But not the first– nor the last– time Chrysler has been whacked by supplier disruptions. 

UPDATE: Chrysler currently maintains an inventory of 45,700 minivan: a 57-day supply of Chrysler Town & Countrys and a 77-day supply of Dodge Caravans. 

Thought I'd put the dimenstion in the header, in case you thought Maserati was green lighting this sexiest of all wagons (and yes I know the Sultan of Brunei has some bizarre examples of the breed). No, it's not the work of TTAC's house photochopper; the Five Door Maser comes to you via Italian coachbuilders Studio Torino and Studio M. Classic Driver reports that an "unnamed Middle Eastern businessman" commissioned designer Alfredo Stolas to build this beast, but I bet the 1/4 scale mock-up is just a come-on to lure a customer (especially as the article ends with a full press release flourish). Anyway, color me lured. And I love this description of the origin of the quaint term shooting brake: "The tradition of the bespoke shooting brake originated in the early years of the 20th Century, when wealthy British hunters wanted to enjoy travelling in a sporting vehicle while pursuing their game. British and Italian coachbuilders in particular have, over the decades, been asked to adapt coupés, saloons or even sportscars to accommodate the needs of the hunter in a stylish, elegant fashion." Talk about a killer station wagon…

I live in a town of around 8,000 people. Yesterday afternoon, I happened to be driving to the gym at the same time as middle school let out. Some shop teacher stopped traffic while four dozen hulking Bluebirds (company owned by Cerberus BTW) poured out of the school's driveway, each of them carrying perhaps FIVE KIDS. The noise and pollution and tsuris was the equivalent of a thousand-plane raid on Hamburg. Meanwhile, the same thing was happening at the high school and elementary school. Our town must put 150 dieseling buses out onto the road every afternoon, assuring that no tyke will have to spend more than 15 minutes en route. To say nothing of the traffic backup behind each yellow monster while they disgorge their cute little backpackers. I'm the treasurer of our local volunteer ambulance corps. I'm always amused by how municipal-supplier vendors work everything out to round numbers. "You want some EMS unifoms? How's $10k sound?" "You want a fleet of school buses to pick up your kids? That'll be $10m a year." (If you want to get rich quick, contract with municipalities: nobody gives a shit what you charge.) I'm going to take this up with the school board, but the spectacle of this Eighth Air Force-size fleet of big yellow smoke-spewers thundering north, south, east and west just stunned me.

After Bloomberg sounded the alarm re: The General's lousy prospects, phenomenal cash burn and potential slide into Chapter 11 (or foreign ownership or both), the Detroit News adds fuel to pyre. Of course, Sharon Terlep does does so in her own special way (i.e. it wazzunt me). "General Motors Corp.'s already fragile turnaround could be derailed by any number of threats looming in 2008, from more strikes at parts suppliers to a further meltdown of the housing market, according to the automaker's annual report filed Thursday." Without nailing GM for guarding the terms and conditions of its payment into the $34b union health care VEBA, the scribe hints at the implications. "GM's ability to spend in other areas of the business will be affected if it can't secure financing under favorable terms." After citing another possible downgrade in GM's ratings "if GM continues to burn cash in its home market or if operations outside the United States become less profitable," Terlep can't resist throwing GM a bone. The penultimate danger cited: "Competition from rivals introducing key new models this year. GM's product cadence will slow down this year after a number of successful, high-profile new vehicles in 2006 and 2007." Successful? Successful how? 

Our brothers-in-arms over at Consumer Reports just released their not-so-creatively titled "Top Picks" for 2008. Surprises? A few. For starters, CR chose the Hyundai Elantra SE as their top Small Sedan. We'd of course pick the Mazda 3 instead– and they even admit the Mazda handles better– but CR feels you get more safety stuff for your buck. Who knew? And man, how far has the Civic fallen? Want to guess what car scored highest ever on the Consumer Reports road test? Why it's the Lexus LS 460L. Not only did the big limo score 99 out of a possible 100 points, but it's a top pick in the Luxury Sedan category. I spent some time with the hybrid version, and I'd have to give it 99 out of 100, too. If you didn't count handling. If you did include handling I'd score it 99 out of 110, as the car moves like a submarine. The Chevrolet Silverado beat out the Toyota Tundra in their Pickup Truck category. In point of fact, the Tundra scored more points, but the first-year Japanese V8 has been having reliability problems, so the Chevy got the nod. Go figure. Not so surprising is the Mazda MX-5 Miata beating out the Porsche Boxster in the Fun to Drive category. Consumer Reports reports that the Miata does everything the Boxster does, but for half the price. I agree with that, though the Boxster gets better gas mileage. And smells better. No, really.

Predictions that the price of gas will soar to four dollars a gallon have been circulating for days. According to the CBS News White House correspondent Peter Maer’s blog , the President isn’t in the loop. “Responding to this reporter's questions at a White House news conference today, Mr. Bush said he had not heard about analysts' predictions of the potential for $4-a-gallon gas later this spring when refiners re-formulate fuel blends for summer driving.” In fact… “CBS News radio affiliate KCBS in San Francisco reports regular is selling for $4.23 at a San Mateo, Calif., service station where premium goes for $4.43.” Considering that Bush is a former oil man who once owned Arbusto Energy, served as CEO of Spectrum 7 Energy, consulted for Harken Energy and receives briefings from, well, whoever he likes, you’d think he’d stay on top of this one. If so, you thought wrong.

According to The New York Times, Big Apple mayor Michael Bloomberg is about mandate that the City's 10k car service limos must average 25 mpg by 2009 and 30 mpg by 2010. As the vehicles in question currently average between 12 and 15 mpg, they'd almost certainly require hybrid drivetrains to achieve Bloomberg's lofty goals. The plan requires approval by New York's Taxi and Limousine Commission. Passage seems likely. Commissioner Mathew W. Daus' says "it is to the great credit of black-car industry leaders that they have collectively embraced Mayor Bloomberg's efforts to reduce harmful emissions." Daus' willingness to green-up may something to do with the fact that Hizzoner isn't going force limo companies to comply with the new standards through punitive fines. Instead, Bloomberg is proposing a state sales tax waiver on purchases of more efficient limos and low-interest financing, through corporate partnerships with Deutsche Bank, Lehman Brothers, and Hudson Toyota/Penske Auto Group. 

Embargo – over. Pictures – out. And the 2008 Volkswagen Scirocco looks like… a Golf with a sleeker nose. Seriously, this is it? So they say over at Motor Authority, where these "official" pictures have been posted. It looks good, but mainly like a Golf with a sleeker nose. The rear end is somewhat different, but the back window is still about as vertical as it is on the GTI. I was expecting more of a coupe, but this is a Golf with a sleeker nose. To be frank (or Robert), without a horizontal-slatted grill and the big VW logo, it doesn't even resemble the rest of the VW lineup. Apparently, this is the beginning of a new styling direction from VW called "put a better front end on existing bodies." We'll bring you the details as they come in… and complain about them.

GM's Australian holding Holden is launching the fastest, most powerful, most expensive road car ever made in Australia at today's Melbourne International Motor Show. The HSV (Holden Special Vehicles) Commodore is based on the company's rear-wheel-drive Commodore platform (headed to the states in Pontiac G8 form). Hand-assembled at the Holden Team Racing headquarters, the new HSV Commodore boasts the Corvette Z06's 7.0-liter, dry-sump V8. With over 500 horses on tap, the Aussie supersedan has more horsepower than any of GM's stateside four-door offerings… at least until the '09 CTS-V arrives with 550 supercharged ponies. But is a $150k, premium-slurping V8 monster going to sell in the land of Mad Max with oil likely over $100/barrel for good? Unsurprisingly, HSV boss Scott Grant reckons so. More surprising is the rationale he gave the Sydney Morning Herald: "Holden and HSV have had record sales of V8s over the past 12 months and we believe there is definitely a market for this car." Whether there's a non-fleet market for V8's in Australia now, or after a few more years of rising gas prices, remains to be seen.

I love TTAC's commentators. Whenever I'm scanning the net for stories or writing an editorial or editing a review, I've always got you guys and gals in the back of my mind. For one thing, your expertise keeps me on my toes. Without naming names, it's no secret that some of the writers published hereabouts have found themselves in possession of a new excretion-oriented orifice after confronting TTAC's best and brightest with half-baked analysis or factual errors. For another, you guys provide me a welcome anti-inflammatory. Whenever a commentator accuses the site of bias (comment which are removed as per our anti-flaming policy), I email the offender and challenge them to submit their "balancing" opinion in an editorial. Sensibly enough, most choose not to run your intellectual gauntlet. In fact, I can count on one hand the number of correspondents who rose to the challenge, and one of them regretted it to the point where I had to block him from my email. So thanks for keeping an eye on us. Those of us on this side of the e-fence depend on you for our honesty, integrity and, let's face it, entertainment. Oh, and this link says global warming is a crock of shit. 

OK, you got a speeding ticket. You didn’t ignore it (right answer). You didn’t pay it and take the hit to you insurance premium (also the right answer). You decided to go to court. If you were offered lowered points and fine by the court, you turned it down (potentially the wrong answer). In the penultimate part of our guide, I’m going to show you how a speeder who defends himself has a fool for a client.

In an interview with the International Herald Tribune, Renault-Nissan honcho Carlos Ghosn reveals that he's still interested in an American partner for his Franco-Japanese alliance. Between endless paeans to Nissans miracle turnaround and the underlying strength of diversity in the Renault-Nissan alliance, Ghosn holds off on the PR long enough to let a few nuggets slip through about his mergers and acquisitions strategy. Although talks between Renault-Nissan and GM led nowhere in '06, a recent joint venture with Chrysler to sell rebranded Nissan vehicles in Brazil may point to Ghosn's dancing partner of choice. And with talk of Chrysler's dismemberment never far from the lips of Cerberus-watchers, Renault-Nissan could come into an American nameplate sooner rather than later. Whomever his eventual bedmate may be, if Carlos the Jackal can be trusted at all, the stars will begin aligning before any announcements come through. "This is for the long term," Ghosn tells the IHT about his visions of an American partnership. "But when it comes, then you will know we have been consistent." Is he referring to the Chrysler/Brazil deal, or is there much more to come? Time, and not much of it, will tell…