So, Nissan has released video of its production Leaf making “forward” (above) and “backward” noises, but it seems that there may still be some details to work out. For one thing, the Leaf’s official battery range stretches from 138 miles to 47 miles, according to gm-volt.com. Your mileage may vary, etcetera. But wait, there’s more! One blogger recently tried to insure a Leaf… actually, he tried to get an insurance quote for a Leaf. Can you tell where this is going?
(Read More…)
Find Reviews by Make:
Posts By: Edward Niedermeyer
Ed does things that are bolder and bigger rather than small and timid. All things being equal, Ed would like it bigger versus small. But all things aren’t equal. He needs to get the government the best value for its stake, too.
Former AT&T exec James Kahan tells BusinessWeek what kind of IPO GM’s Chairman would prefer. Unfortunately for “Big Ed,” that’s not up to him. GM’s value must be determined by the market, and due to political pressure on the government to end its ownership of GM and Chrysler, it will have to happen as soon as possible. A fourth-quarter IPO with “about half of the government stake [being sold] to the 20 top institutional investors” is in the cards. So we know the government won’t get out of GM entirely in the IPO… but how much will the market give the Treasury for half of its 61 percent stake?
Apparently these press images were embargoed until tomorrow… and yet here they are. But who, you might ask, would risk being boarded by Volkswagen commandos in order to deliver these images to the huddled masses, yearning for a a glimpse of the new blandness? Oh right, it says Auto Express on the picture. According to the embargo-running Brits, this is the first Jetta to be more than a Golf with a trunk: thanks to VW’s new modular architecture, the wheelbase has been extended for more rear-seat legroom. More details when Volkswagen is good and ready, likely sometime tomorrow.
We’re still taking email requests for Chart Of The Day [editors@ttac.com], but today’s chart isn’t one of them. This little data nuglet, of May volume by manufacturer, was requested by popular acclaim in the comments section of the last COTD… and was bound to be posted eventually anyway. After all, brand volumes are all well and good for armchair junior execs to wrangle over… but the armchair CEO demands volume by manufacturer. Let the harumphing begin!
Most employers have vigorously opposed unions with every means at their disposal. These pro-employer, anti-union forces continually attack unions and workers that want to form a union…
…Let’s be clear, the contempt for the UAW was so deep that some of them were willing to let the industry collapse in the hopes that they could destroy us. Even the former president recognized the insanity of what they were willing to do.
Ron Gettelfinger fires up the troops in his final address as UAW President, as quoted in the Detroit Free Press. It might have been a moment for reflection and self-examination, but Gettelfinger served up some old-school, union-hall fire-and-brimstone instead. Only Ron didn’t look in the mirror before giving out his enemies’ description. Gettelfinger’s paranoid take on the auto bailout is actually eerily similar to that of the far right wing, in that they both place the UAW at the center of the bailout.
With UAW members and leadership meeting to debate the union’s future, it’s the perfect time to look back at the conditions from which the UAW emerged. Here is 1936 film titled “Master Hands” which portrays the men and machines that built Chevrolets on the eve of the UAW’s recognition. According to the excellent Youtube channel USAutoindustry, “Master Hands” was
filmed in Flint, Michigan, just months before the United Auto Workers won union recognition with their famous sitdown strikes.
Clearly a lot has changed since then. But has the UAW?
Do you buy the base four-cylinder, or upgrade to a V6? For most car-purchasing decisions, this is an important question to think through. And usually the trade-offs are simple: you can pay more for more power and less efficiency with the V6, or save money and gas with the four-potter. And with fuel prices staying volatile, four-cylinder engines are becoming all the more popular: for example, Hyundai’s new Sonata has been engineered to be four-cylinder only. But according to Consumer Reports, the differences between the V6 and the four-cylinder option aren’t always as clear as you might expect.
UAW members picketed the UAW’s 35th annual convention, in Detroit. The union is highlighting the theme of unity, as dissatisfaction with concessions made over the last several years threatens to tear the union apart. Two-tier wages are the underlying threat to unity, but the union’s ownership of stakes in GM and Chrysler have many wondering whether the UAW can even represent its constituents properly. One longtime UAW activist, Gary Walkowicz of Local 600, is even challenging the UAW’s “prohibitive favorite” Bob King for the union’s presidency having successfully defeated recent Ford concessions at his local. Another activist was briefly detained yesterday for distributing fliers outside of Cobo hall. Detroit’s government-funded comeback was only possible because of UAW concessions, and now the fiestier locals want to roll those concessions back and bring back the “fighting union.” That won’t happen as long as the UAW’s VEBA fund owns such large holdings in GM and Chrysler, but once the IPOs are over and the union has dumped its stock, look for these activists to gain more power within the union.
Doubtless somewhat shocked and surprised about GM Chairman/CEO/Non-Car-Guy Ed Whitacre’s decision to take over product planning responsibilities, Automotive News [sub] did some digging into the decision, and offers a full report. According to AN’s GM sources, the decision comes down to one fundamental goal: holding lower-tier executives accountable for decision making. By reducing executive reviews of forthcoming vehicles by one third, or about four times per development cycle, lower-level executives and engineers will have more freedom to make decisions, and will spend more time developing and less time preparing data for executive reviews. And lest you think this decision doesn’t merit your attention, consider this: though GM’s bureaucracy had created incredibly long lead times, most automakers hold about ten executive reviews per new product. By cutting to four, GM is taking something of a step into the unknown.
We’ve been pretty hard on Cadillac’s decision to replace its aging DTS/STS “flagships” with the stretched-Epsilon XTS, shown in concept form at this year’s NYIAS. We reckon Cadillac needs a true S-Class competitor (as opposed to a glorified Buick LaCrosse) to be taken seriously as a world-class luxury brand… and it turns out that Ed Whitacre agrees. C&D reports:
Cadillac fans will be thrilled to hear that Ed Whitacre himself has instructed the brand to build a true, full-size flagship above both the CTS and the upcoming XTS. The car has not been clearly defined yet. The Zeta platform (Holden Commodore, Chevrolet Camaro, etc.) is heavy and dated, and therefore the flagship is more likely be built on a stretched version of the CTS’s Sigma platform.
The CBC reports that:
Ontario premier Dalton McGuinty said Friday his government will wait to see how General Motors prices its public share offering before deciding whether to sell its stake in the company.
McGuinty said the government needs to be “patient” and sell at the most profitable time.
The Canadian and Ontario governments own about 12 percent of GM. The US Treasury, which owns about 60 percent of GM has said that it expects to sell “some” of its GM stake during the IPO, which is expected to occur by the end of this year. In short, as Ken Elias predicts, GM won’t stop being “Government Motors” after it goes public. No matter how emphatically Ed Whitacre declares victory.
Slate‘s Robert Bryce reckons so. With ethanol producers and blenders bouncing off the ethanol “blend wall” and into bankruptcy court, Bryce figures
Now the industry is counting on a president beleaguered by the made-for-TV crisis in the Gulf of Mexico to help it out. And he appears ready to do just that. On April 28, six days after the Deepwater Horizon rig sank, President Obama visited an ethanol plant in Missouri and declared that “there shouldn’t be any doubt that renewable, homegrown fuels are a key part of our strategy for a clean-energy future.” Obama also said, “I didn’t just discover the merits of biofuels like ethanol when I first hopped on the campaign bus.”
The strongest indication that an ethanol bailout is imminent came last Friday when Agriculture Secretary Tom Vilsack (former governor of Iowa, the nation’s biggest ethanol-producing state) said, “I’m very confident that we’re going to see an increase in the blend rate.”
Thomas Olesen wrote in to request a May 2010 brand volume chart. His wish just came true. Your wildest US-market auto sales questions can be answered too, if you just send your request to editors@ttac.com.
Handling [GM’s] IPO assignment is something of a vanity project for the Wall Street banks, given the relatively small fees the banks will earn through the process. One person familiar with the offering said that the banks may earn less than 1% of the overall deal. At a valuation of $10 billion, that would equal a total fee pool of $100 million.
The Wall Street Journal [sub]’s take on the forthcoming GM IPO. Persons anonymous tell The Journal that Morgan Stanley and JPMorganChase are the frontrunners in the vanity project sweepstakes. But as charitable as the one-percent arrangement seems, the Wall Street mavens have their work cut out for them…
Recent Comments