Wow, talk about damning with faint praise. USA Today reviewer James Healey is practically whispering. “[Badge engineering] derision notwithstanding, let’s be clear: Traverse is basically a good crossover SUV. It hardly could be otherwise as a near-clone of the others, which are quite good.” Quite good or pretty decent? Never mind, because the quality sucks. “But two Traverse testers had flaws not seen in the others. The first tester, a front-wheel-drive LT, had misaligned interior trim and a tailgate-open warning light that stayed on 15-20 seconds after it closed. The second, a high-end LTZ all-wheel-drive, was built after all teething problems were solved, Chevy says. It had properly aligned trim and a proper tailgate warning, but was noisier, less comfortable and shifted worse.” Shouldn’t that be “worserer”? Anyway, Chevy has an explanation! “LTZ’s transmission, the six-speed automatic used in all Traverse and similar crossovers, might have needed more miles to adapt to driver preferences, Chevy says. Let’s hope it’s that simple. Otherwise the transmission’s stumbles and jerks and inconsistencies are a deal-breaker.” Oh and while James Healey’s redefining “pretty decent,” he adds “stiff pricing,” “clumsy seats” and “mediocre mileage.” Summary? Much like a toddler, really. “Teething problems but otherwise good.”
Posts By: Robert Farago
Notice the word “claims.” You see, the thing is, TTAC starts off from a cynical perspective. And then we consider past history. For example, Chrysler. And Chrysler CEO Bob Nardelli. And Chrysler CEO Bob Nardelli’s claim that he was misquoted when he said that his [then new] employer was “operationally bankrupt.” Followed by the “news” that the ailing American automaker was actually “profitable.” Or the hype that accompanied the pre-D.O.E. loan program introduction of three electric vehicles, “one of which is headed for production.” Or PR guy Scott Brown’s assertion earlier today that the company had “a lot” of orders for the Aspen and Durango HEMI-hybrids. Clearly, Reuters isn’t keeping score. They’re happy to repeat Chrysler’s announcement that they’ve “received multiple bids on its Viper sports car business and was reviewing the offers.” Strangely, “Chrysler… did not disclose the number of bids or the timeline of the sale.” Although “One person familiar with the process said no additional bids were likely to be considered.” One person unfamiliar with the process says they’ll take the best offer, right up to the moment they sign the contract selling now-GM Car Czar Bob Lutz’ seminal moment. So to speak.
WTF, right? If I was a United Auto Workers worker looking at a pile of cash to piss off during these End of Days times, I’d grab it with both hands and get the Hell out of Dodge, Chrysler, Ford, GM, etc. But it seems UAW boss Ron Gettelfinger doesn’t think domestic automakers can bribe any more of his members to quit their jobs. “I’m not sure the value of a buyout at this point and time,” Big Ron told The Detroit News’ Johnny-on-the-spot at a Goodfellows awards ceremony honoring the union boss. (And no, I’m not making this shit up.) “Gettelfinger reasoned that UAW-protected autoworkers who were in the position to leave their jobs would have taken one of the previous rounds of buyouts and early retirement offers and he didn’t see the ‘effectiveness’ of another round.” For whom? If he means the automakers themselves, I’m down with that. Anyway, guess what? Ron reckons the $52b Mother of all Health Care Funds (a.k.a. VEBA) is still alive. And that’s final! “We do not want to open up VEBA. That was one of the most difficult and challenging decisions I ever had to make.” Compared to what, your choice of retirement villas? I kid. I kid.
I like Scott Brown. I spent six hours in Manhattan Motors’ parking garage with the ChryCo PR guy, waiting for NFL assassin Warren Sapp to appear for a Celebrity Car photo shoot featuring a [then red hot] 300C and a Rolls Royce Phaeton (neither of which Warren owned, natch). But then I tend to like all automotive spinmeisters. You couldn’t meet a nicer, friendlier, more auto-savvy group of people. Of course, they’re all congenital liars (although they’d probably call themselves “public relations professionals”). To wit: “The demand for our full-size SUVs has really dropped off this year,” Chrysler spokesman Scott Brown told Edmunds’ Inside Line. “Even though we got significant orders for the hybrids, it doesn’t make sense to keep the plant open for just the hybrids.” Of course, Edmunds isn’t a million miles away from the “never call a triangular-shaped digging implement a spade” philosophy. “Chrysler wouldn’t say how many of the hybrid SUVs it had planned to build at the plant in Newark, which is scheduled to close at the end of December.” The vehicles only went on sale at the end of September. But I bet Chrysler could count the number of Aspens and Durango HEMI-Hybrids sold this month on one hand and still have enough fingers left to salute TTAC. Not that Scott would ever do such a thing… [thanks to MK for the link]
To: All GM Renaissance Center Tenants and Marriott Hotel
From: John A. Cullen
Date: October 14, 2008
Re: GM Renaissance Center Escalators—Energy Conservation
In an effort to make the GM Renaissance Center more energy efficient, we will be shutting off the designated escalators beginning tonight and until further notice:
Tower 100 Level 1–Level 2
Tower 200 Level 1–Level 2
Tower 300 Level 1–Level 2
Tower 300 Level A–Level 1
Every Monday through Thursday, these escalators (up and down) will be shut off at 7:00 pm and turned back on at 6:00 am the following morning. During the weekends, the escalators will remain off from Friday 7:00 pm until Monday 6:00 am. For your safety, stanchions will be placed at the top and bottom of each escalator.
Sr. Farago,
A candidate for Quote of the Day, perhaps. (If nothing else, its context may entertain you.)
“[W]e haven’t told our story very well. I’m not sure the public understands that Detroit is back. We’ve got some high-value, exciting products out there, but I’m not sure that the message has reached a majority of the American public.”
Bob Lutz (or Pete DeLorenzo) this summer? Nope: then GM prexy/COO Robert Stempel, quoted in the October 1989 issue of Car & Driver.
Le plus ça change, le plus c’est la même chose.
–argentla
Deep Throat predicts, Reuters reports. Following our main man’s heads-up that GM’s lackluster products are in the firing line, the news agency reports that GM’s delaying “the unveiling of a new Buick LaCrosse model that it had planned to show at the Los Angeles auto show in November in part to reduce costs.” Also not showing-up: the Cadillac CTS coupe. While GM spinmeister Scott Fosgard says the two cars will make the scene at the Detroit auto show, I take that to mean “when Hell freezes over.” I mean, assuming GM will have a [last] stand at the LA Auto Show, how does NOT showing two cars save them money? In other words, bye-bye Buick (though product starvation) and who the Hell would buy a CTS coupe anyway?
Get in line, bub. Still, it’s nice to see GM’s CEO not get credit where credit’s not deserved. The Wall Street Journal is the bearer of bad tidings for the Wagoner clan, delivering Red Ink Rick’s pink slip in the most public of manners. Yes, “people familiar with the matter” of the GM – Chrysler merger reveal that Cerberus wants some “fresh air at the top.” Anonymous sources are breaking out all over, and it’s an endless row of shot glasses full of not good for GM’s current management. “Cerberus and other investors who pump money in the new entity would want to keep significant equity and have the ability to appoint members to its board and influence its management, these people said. Cerberus’s position suggests GM could be in for a shakeup of the nonconfrontational culture that has developed between its 14-member board and its management team, led by Chairman and Chief Executive Rick Wagoner.” Noconfrontationalsmytuches. How about clinicallyinsane? So who’s going to steer this new ship of fools?
The Wall Street Journal [sub] reports that there’s blood on the carpet in Auburn Hills, as ChyrCo CEO “Boot ‘Em Bob” Nardelli lives up to his TTAC nic. The announcement came in the form of a Dear John letter. “Chief Executive Robert Nardelli said the cuts are necessary because of the deep downturn in the economy and the tightening credit situation, which are choking off auto sales. Mr. Nardelli said the company is facing the ‘most difficult economic period any of us can remember.'” (Bob was speaking professionally, of course.) So, let’;s count the carnage, shall we? One thousand white collar workers were terminated at the end of September. The new cuts are on top of those cuts, which should eliminate another five thousand non-unionized employees. “The employees whose jobs are being eliminated will leave the company payroll Dec. 31, Mr. Nardelli said in the letter. An unspecified number of the 5,000 employees will be offered early retirement or buyout packages. Others will be terminated involuntarily. Those affected will be notified between Oct. 24 and Nov. 5.” Will the last Chrysler employee please turn off the lights? Meanwhile, here’s Bob’s letter…
You may recall that Daimler maintained a minority share of Chrysler when it sold the American automaker to Cerberus. About a year ago, ChryCo’s German “partner” (and author of the abortive DaimlerChrysler “merger of equals”) valued its 19.9 percent Chrysler stake at $2.2b. At the end of June, the number slid to a scarecely creditable $268m. And now The Detroit Free Press says Daimler believes that its ChyrCo position is without any financial value whatsoever. Which should make Cerberus’ negotiating position re: buying back that stake so it can “sell” the whole kit and caboodle to GM, or just C7 Chrysler, a little easier. But in fact, it’s important to note that Chrysler has long-term liabilities to its unionized workforce, and lots of ‘um. Billions of dollars worth. If/when Chrysler goes Tango Uniform, you can bet the United Auto Workers, jilted suppliers and other debtors will come knocking on Daimler’s door. So I’m thinking Daimler may have to pay Cerberus to rid themselves of this troublesome man. Watch this space.
Corey Fleetwood, 35, is an employee of Australia-based Redflex Traffic Systems. On the evening of October 3, Fleetwood set up an automated speed trap on Priest Drive just south of 14th Place in Tempe, AZ. At around 11pm, D.T. Arneson, owner of the camerafraud.com website, noticed the Redflex camera van was parked in front of a fire hydrant. He decided to protest by holding a “SCAMERA” sign in front of the van. The six-foot-five, 265 pound operator rushed out of the van, yanked the sign out of Arneson’s hands and threw it to the ground. Arneson called police to the scene, insisting that Fleetwood be charged. According to Arizona court records, Fleetwood faced serious charges in the past. Less than two months earlier, Fleetwood received his own speeding citation. When he failed to pay, the court suspended his license. In a 2007 incident, Fleetwood was accused of “touching with intent to injure.” In September, another Redflex operator was accused of nearly running motorists off the road with a speed camera van. He was charged with driving the photo radar vehicle under the influence of alcohol.
Now that Bill Heard’s Chevy-heavy dealership chain has entered Chapter 11, thanks to gas prices the consumer credit squeeze the economic meltdown increased floorplan costs the owner’s greed, avarice and criminal business practices, you’d think it was time for the pain to stop. As if. The Georgia Governor’s Office of Consumer Affairs has issued a postmortem Consumer Alert. As much-missed tipster Frank Williams puts it, “apparently, Bill heard is screwing over some customers when it comes to paying off their trade-ins.” More technically, “If you are a consumer who has recently purchased a vehicle from one of these dealerships, and traded in a car or truck as part of this purchase, but the dealership has failed to pay off your trade-in, you may have some recourse under what is known as the Federal Trade Commission’s “holder” rule, 16 CFR 433.” How screwed are these people? How would you like to be looking at the following advice?
Now that the economic downturn has liberated Tesla Motors’ inner Curly– we’re a victim of coimcumstance!– CEO Elon Musk has finally admitted what TTAC said all along: they’re not making a dime on the $109k Tesla Roadster. OK, the self-annointed CEO says they weren’t making a profit. In fact, Musk tells BusinessWeek that the EV maker was $40k over budget per vehicle. Which would make it a break-even proposition. Yes, “Tesla had to delay the launch by six months while it looked for a way to make the car profitably. Musk fired founding CEO Martin Eberhard and brought in as interim chief Michael Marks, an executive at electronics maker Flextronics International.” And now Musk is busy re-writing recent history. “A few weeks ago, Tesla seemed to be on the road to making that [world domination] happen. Musk had verbal commitments for $100 million in private capital, federal loan guarantees geared at jump-starting development of alternative vehicles, and thoughts of going public next year.” OK, that brings up to Musk’s favorite time period: the future!
File this one under TTAC called it. Yes, even before the The Big 2.8 can tap the Department of Energy’s $25b low to no-interest loans, even before the feds “rescue” GMAC/Chrysler Financial’s bad paper (under the Troubled Asset Relief Program), the automaker/UAW’s duly elected representatives are petitioning The Honorable Henry Paulson (Treasury Department) and Ben Bernanke (Federal Reserve) to use the Emergency Economic Stabilization Act (EESA) to bail the domestics’ asses out. Automotive News [sub] reports on Carl Levin’s group love telephone press conference, wherein the Senator and his pals “opened the door to the federal government acquiring rights to ownership stakes in troubled automakers and suppliers.” We’re talking stock warrants– the same play Chrysler made for its survival back in ’70. “We are after all servants of the broad public interest, and if warrants are of value, or other steps to assist or protect taxpayers, we would have no choice but to be supportive,” House Energy and Commerce Chairman John Dingell, D-Mich. opined. Don’t you hate it when that happens?
[full letter after the jump]
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