Posts By: Robert Farago

By on September 18, 2008

While American automakers struggle to find something small and profitable to sell, the UK has been forcing people into teeny tiny passenger cars for decades. As a result of high gas prices, speed camera fines, insurance, VAT, insane repair and maintenance rates and motoring taxes that would make an American drive his car straight into Boston harbor, British motorists can choose from a huge range of really small, really slow, really frugal cars. AutoExpress, which never met a car it didn’t want to take home to mother, offers a run-down on its top five four-wheeled “penny pinchers.” Despite the fact that some American pistonheads [claim to long] for small, cheap, fun, Euro-style cars, the chances of these glacial yet parsimonious machines making it In The Land of the Free are somewhere between “not on your Nelly” and “only when U.S. gas prices triple.” Still, it’s nice to know they’re out there, somewhere.

By on September 18, 2008

So far, just a blurbette. “Reuters reported that Ford Motor Company has had exploratory talks with Renault SA to sell Volvo, but the initial talks broke down due to price differences. The two parties have spoken again after their initial discussions, which were held last fall.” So that’s why Ford CEO Alan Mulally was telling the world that Volvo wasn’t for sale back in November: he couldn’t sell it. So I guess Volvo still isn’t for sale– unless someone like Renault wants to buy it. Makes sense to me. Just for fun, here’s Edmunds’ take at the time. “What this means to you: Despite ongoing financial uncertainties, Ford does not appear willing to give up all of its “halo” brands just yet. — Anita Lienert, Correspondent” TTAC’s take: say halo to my little friend!

By on September 18, 2008

TTAC commentator, Buick dealer and GM stockholder activist Jim Dollinger (a.k.a. Buickman) has long argued that Wall Street’s money men have been running GM into the ground accidentally on purpose. While we understand his POV– who could possibly be this stupid?– The Detroit News reveals that Goldman Sachs and JPMorgan Chase are working “back channel negotiations” to protect their asses from a Motown C11 (i.e. get your elected representatives to give American automakers $25b+ in low-interest federal loans that the banks can’t or won’t give). That’s because both of these “august” financial institutions own big chunks of Ford and GM {the exact “vig” in the comment below). Only time is running out, as bailout fatigue grows. Oops, sorry, this isn’t a bailout. Not that you’d know it from JP Morgan’s pleas. “Beyond the need to provide a safety net for workers, we believe the automotive industry is critical to national security. Not only does the automotive sector support the steel infrastructure that is critical to manufacturing defense weaponry, but the automotive sector also provides about 1 out of every 12 jobs in the U.S., is a key factor in getting the U.S. independent from foreign oil and is essential toward cleaning up the environment,” wrote JP credit analyst Eric Selle. All done? No, I didn’t think so.

By on September 18, 2008

As many of our Best and Brightest have pointed-out, all the hype surrounding the Chevrolet’s plug-in electric gas hybrid Volt obscures the fact that General Motors’ future depends on selling what it’s got right now, right here. Whether that’s intentional or not is a debate for another post. Suffice it to say, this. We flagged the arrival of the badge-engineered Chevy Aveo back in June. Canadians have already been “enjoying” the G3 as the Pontiac Wave, and now it’s here. Well, not yet. Later this year, as an ’09, at a yet-to-be-announced price. Meanwhile, in a desperate bid to link this POS with U.S. Pontiac’s former “We Build Excitement” strapline (now “Pontiac is car”), the official press release touts the G3’s “sporty functionality” (see: fender vent). “More than ever, fuel economy is an important factor in Pontiac’s formula of style and performance,” claims Susan Docherty, vice president of Buick-Pontiac-GMC. “The Vibe, G3, G5, and G6 prove that you don’t have to sacrifice sporty design and responsive driving to achieve impressive fuel economy.” Is that what they prove? Who knew?

By on September 18, 2008

Ooooh. Ford. You ARE a tease. But hey, at least we don’t have to endure the glacially slow PR drip-feed and premature full revelation blighting the new Chevrolet Camaro. Or do we? When is the new ‘Stang set to romp into showrooms anyway? The Motor Authority reckons we’re looking at sometime late in that most magical of model years, 2010. Is it possible that Ford could mess with the numerical mojo and delay the launch (a la F-150) to clear the lots of unloved last generation ‘Stangs? In this market who knows? But while we’re speculating, the Aussie authority in these matters highlights the fact that FoMoCo’s design guy Peter “Call me Dave” Horbury’s mob have endeavored to make the new iteration look slimmer and more fuel efficient, in keeping with the temper of the times. Even though it isn’t and is. Vive la evolution!

By on September 17, 2008

Holy shit! Who elected these people? I mean, OK, ever since the so-called “debate” over the Energy Bill’s $25b low-interest federal loans to Detroit was first mooted, we figured Motown would get its pound of taxpayer flesh. Right from the git-go, we said the American automakers’ [remaining] political muscle and Michigan’s position as a “battleground” state during this presidential election season sealed the deal. And we predicted the only possible barrier to bonanza billions: bailout fatigue. And lo, Uncle Sam’s $85b AIG bailout is upon us. But as long as there are no more shocks, and The Big 2.8 can keep up the big Mo, the money will still flow freely from your pocket. BUT never underestimate Detroit’s ability to snatch defeat from the jaws of victory. For example, Senate Majority Leader Harry Reid seems Hell bent on getting his picture in Bartlett’s Famous Quotations, under “Who needs enemies when you have friends like these?” The Detroit Free Press got the money shot (and buried it at the bottom of the piece). “’It’s extremely important we try to do something,’ [Senator] Reid said, adding that compared with the cost of the Wall Street bailouts, the cost of the $25-billion loan program — estimated at $7.5 billion — is ‘small change.'” The fact that he’s right is more galling than the idea that he isn’t.

By on September 17, 2008

Automotive News [sub] reports that JJ’s busy lobbying on behalf of The Big 2.8, helping them secure $25b to $50b in low-interest federal loans. “‘Just how many cities will sink, how many small towns will sink, how many homeowners will be facing foreclosures, and how many kids will have to come out of school?” Jackson said during a conference call with reporters Tuesday, Sept. 16. ‘There is a lot riding on this.'” Not the least of which is Jackson’s ongoing activism re: African-American owned automotive suppliers, dealers and ad agencies. To wit: “Jackson also said the loans should follow federal contract compliance and Equal Employment Opportunity Commission guidelines for the inclusion of minority auto dealers and suppliers.” Huh? Why wouldn’t they? Hang on; I thought the loans are for building fuel efficient vehicles, not a bailout to make sure kids stay in school (go figure). Anyway, Jesse and Motown’s automakers have plenty of history, much of it financially rewarding for Jackson’s organizations. In fact, in October 2007, Rainbow PUSH named GM its Corporation of the Year. According to GM’s Diversity Letter, “Jackson said that Wagoner was a great friend to Rainbow PUSH and that he was ‘a man of sensitivity, vision and integrity.'” Birds of a feather flock together. Makes sense to me.

By on September 17, 2008

Up to now, it’s been a two-way PHEV cat fight. Within the last 24 hours, Toyota said GM’s lithium-ion approach sucks eggs and took on GM’s Volt-only $7500 federal tax rebate. GM Car Czar Bob Lutz retaliated with “Eat My Dust” comments on his FastLane Blog. And now it’s a three way, with Honda telling the world that it just isn’t feeling the whole EV thing. “For battery-powered vehicles to become more widespread, more popular in the market, we feel battery technology needs to advance further,” Masaaki Kato, president of Honda Motor Co.’s research unit, told Bloomberg in an interview [quoted in The Financial Post]. BANG! “We just don’t see it providing the type of driving performance you get with a gasoline-powered vehicle.” BIFF! “The key is in the end we need to conserve the world’s energy resources and protect the environment for future generations,” said Jerry Chenkin, executive vice-president of Honda Canada Inc. OOOPH! “Honda is concerned that these other plug-in hybrid technologies are not really conserving anything.” ZAP! “Lithium-ion powered cars would not satisfy most consumers, since such batteries are costly and still hold less than half the energy of gasoline by weight, Mr. Kato said in the interview.” ZOWIE!

By on September 17, 2008

It’s the new Saab 9-4X! The fact that Fourex is an American brand of condoms and an Australian lager shouldn’t get [both remaining] fans of the brand up in arms (or wherever). Thanks to a “premature leak” on Saab’s Chilean website (David Hasselhoff is big down there too), The Motor Authority reveals an SUV-lite that looks reasonably appealing. And we’re willing to bet the key willl be between the seats. That said, the ostensibly Swedish model (built in Ramos, Mexico) could well suffer the same fate as the abortive 9-2X (Saabaru) and 9-7X (Saablazer), based as it is on Caddy’s new SRX platform. In fact, this time ’round, the Saabillac will be competing with a nearly identical iteration in the same GM “sales channel” (i.e. HUMMER, Cadillac and Saab). It could even appear in the same showroom. How great is that?

By on September 17, 2008


GM, GMnext, General Motors,Ed Welburn on the Volt

By on September 17, 2008

Why is GM Car Czar Bob “I Stopped Making Sense Years Ago” Lutz so damn defensive about the Volt’s design? Writing on the FastLane Blog, Maximum Bob wants to tell all those naysayers (oh me! choose me!) to shut the Hell up. “The Volt is going to be bought… for the emotion tied to the technology contained therein.” And while he’s at it, Bob takes yet another sideways swipe at Toyota (who are none to pleased with The General‘s alt prop lobbying these days). “In terms of the impact of Volt on the automobile industry, I think you’ll see lithium-ion technology filter out to the rest of the industry, even to our competitors who initially said it wouldn’t work,” MB hints hubristically. “I think they’ve figured out that we may well be onto a winning formula here, with 40 miles of driving powered by electricity from a battery and a small engine — powered by gasoline or E85 — to create additional electricity to power the vehicle for several hundred additional miles. I suspect most of our competitors will have vehicles with technology similar to the Volt within four or five years.” Bob touts the patriotic side of the project, and then gives TTAC (et al) the middle finger. “With the Volt, you go home, you plug it in, and you’re done. And for roughly 80 cents’ worth of electricity, you’ve got a fully-charged battery, ready to take on another forty miles of gas-free and tailpipe-emission-free driving. If that’s greenwashing, then come on in — the water’s fine.” What, into the washing machine?

By on September 17, 2008

Despite The Big 2.8’s best efforts, the mainstream media never bought into the idea that the $25b – $50b low-interest federal loans for “retooling” (included in last year’s Energy Bill) were anything more than bailout by another name. (Since the loans only apply to Motown, why would they?) As previously mentioned, the automakers’ “it’s a hand up not a handout” approach has created some severe cognitive dissonance– which helps Detroit’s efforts to secure the bucks not a bit. For example, Bill Ford met with DC legislators yesterday and swore up, down and sideways the loans were NOT a bailout. And then this [via Reuters] “Bill Ford said the money, if approved, would help his company accelerate its turnaround plan and meet government mandates for the industry to improve fuel efficiency by 40 percent by 2020.” Accelerate, eh? GM’s CEO has moved even further away from his opening gambit. “Speaking to reporters on Tuesday night after addressing the Washington Economic Club, [Wagoner] said the loan amount that GM might receive… would help with capital spending but also improve the company’s poor finances. ‘It would help us with other funding sources — maybe not in today’s market conditions, but over time.'” In fact, Wagoner’s desperation is increasingly apparent. When asked if GM needs the money before Congress pisses off for the election, Wagoner replied “I’m not sure of the value in waiting.”

By on September 17, 2008

In all this heady Volt-o-mania, it should be remembered that GM is trying to boldly go where no lithium-ion battery has gone before. The vehicle’s success (i.e. its ability to live-up to the performance-related hype perpetrated its corporate shills) depends entirely on its li-ion battery pack’s ability to hold a suitable charge, discharge that charge, recharge that charge, and do so for a good long time, without losing its ability to charge, discharge and recharge appropriately. A Reuters article [via Planet Ark] kinda makes you wonder about all that… “Among the challenges to overcome are extending the life of high-power lithium batteries and bringing down their relatively high cost, Tien Duong of the US Department of Energy said on the sidelines of a lithium battery conference held at this government laboratory. ‘Life means 10 years, plus. For hybrids we know (their batteries) last 10 years plus. For the PHEV (plug-in electric vehicle), we don’t know… One of the phenomenons that cuts short the life of the battery is power. You may have a lot of energy, but if you run out of power, that’s no good.'” You might even say it’s bad. Speaking of which, “Toyota is making quite an effort to build a lithium-ion battery,” Toyota’s Noboru Kikuchi told the attendees. “Simply giving up nickel metal hydride batteries seems like a bad idea.” And so they’re not going to do it. [thanks to JT for the link]

By on September 17, 2008

As I mentioned in a previous post, Justin and I had a sit down with the boffins who serve the server and manipulate WordPress (WP) on our mutual behalf. While we discussed all sorts of pie-in-the-sky stuff, we eventually brought it down to a “here’s what we can afford to do” shortlist. There are only two large alterations afoot. First, we will have photo galleries, dammit. WP can create a thumbnail gallery, but it lacks convenience (browser back button? no way!). The cumbersomosity of the WP system would aggravate the B&B and kill rather than encourage page views (yum!). So the guys are building a system that’s similar to, say, Autoblog’s. The other, even more significant change: we’re going to run ALL items in the center column. In other words, there will be 15 (up from 10) posts in the center stack in chronological order, regardless of catagory (editorial, review, blog). Our hard core audience has been asking for this for years (the original TTAC format). And so it will come to pass. There are other bells and whistles in the offing: the return of product reviews, a “Best of TTAC” box, a “view all comments” button (all comments on all posts in chronological order), search by author, direct email to authors, etc. Unfortunately, I can’t open this post up for a “wish list,” ’cause our development budget’s tapped out. But now’s a good time to tell us what we’re doing wrong, and what we can do to make sure we don’t screw-up in the future. Meanwhile, thanks for reading.

By on September 17, 2008

Surprise! The Detroit News published not one, not two but THREE PR puff pieces to accompany the “launch” of GM’s plug-in electric – gas hybrid Volt– an unveiling that’s two years ahead of sales (where IS that Camaro?). Scott Burgess gets the top slot, with “Jolting expectations: Inviting electric car is rare example of reality outdoing the concept.” Burgess begins his ode to Voltage by discounting the discrepancy between the endlessly touted concept car and the now-endlessly touted (if non-functional) “production” version. Yada, yada, yada. “GM has pushed through every checkpoint and remains on schedule to deliver a car that is a true game-changer.” Next up: “Volt turnaround proves U.S. automakers’ mettle” by Auto Editor Manny Lopez. “Any questions about what the American auto industry can do were answered Tuesday at the Renaissance Center when a production model of the Chevrolet Volt rolled into the automotive universe.” You know, other than “can you guys avoid bankruptcy?” “Is the Volt the answer?” Manny pretends to ask. “Not alone. But when paired with other new products such as the Chevy Cruze, which GM says will get 45 miles per gallon, or the Ford Fiesta or the next generation pickups from all three automakers, the domestic industry’s offerings look pretty good.” KBISFB. And finally, Robert Snell’s more news-oriented take (hence it’s postition at the bottom of the deck). Snell simply repeats all the suits’ n’ analysts’ hype, finishing with a bit of unintentional foreshadowing. “”It is not a niche product,” Alex Cattelan, the Volt’s assistant chief engineer opines. “It is the tip of the iceberg.”

Recent Comments

  • Lou_BC: @Carlson Fan – My ’68 has 2.75:1 rear end. It buries the speedo needle. It came stock with the...
  • theflyersfan: Inside the Chicago Loop and up Lakeshore Drive rivals any great city in the world. The beauty of the...
  • A Scientist: When I was a teenager in the mid 90’s you could have one of these rolling s-boxes for a case of...
  • Mike Beranek: You should expand your knowledge base, clearly it’s insufficient. The race isn’t in...
  • Mike Beranek: ^^THIS^^ Chicago is FOX’s whipping boy because it makes Illinois a progressive bastion in the...

New Car Research

Get a Free Dealer Quote

Who We Are

  • Adam Tonge
  • Bozi Tatarevic
  • Corey Lewis
  • Jo Borras
  • Mark Baruth
  • Ronnie Schreiber