Ford is kicking ass in the UK. Just-auto [sub] reports that private sales of the recently redesigned Ford Mondeo are up by over 20 percent year-on-year. Even better, high-profit top variants account for more than half of these retail orders. "Since the latest Mondeo went on sale in June, more than 16,500 have been registered in the UK and almost 52% of customers have specified top trim levels such as Titanium," Just-auto reports. "This compares with a share of under 35% for equivalent high series Mondeos two years ago." But wait, there's more! The new Focus is also a hit with private buyers. Non-fleet sales are up more than seven percent compared to last year. And more! Galaxy minivan and S-Max' retail registrations doubled in the same time frame. Clearly, someone within the Ford empire knows what they're doing…

My long-suffering programming guru read me the riot act this morning: TTAC's classic format must die. It's too much of a programming hassle to update 'n sync with changes to the new format. When I said there are loyal readers who love the format as a quick way to stay up-to-date with the top of the pile latest of the latest, she showed me the stats. Less than two percent of use guys use Classic cocaine TTAC. Case closed. Sorry. It's a shame that on websites as with cars, the most loyal users are the ones least likely to embrace change. Me, I love it. I've always believed that every new Porsche 911 is better than the last. But for every five thousand of me there's one Stephan Wilkinson, a passionate keeper of the flame who'll probably tell you that my decision to dare utter such a heresy reveals the fact that I'm as dumb as a bag of rocks. (As if I need help.) But evolution is. That's it. It just is (whatever is is). If TTAC is to thrive and survive, we've got to keep doing what we do better than how we did it before. So, in compensation for readers five-stepping their way through Classic format grief, I can tell you that we're cleaning this sucker up a bit to make it more prettier and abusive friendly. Feel better? I thought not. Anyway, the rest of you may now return to our normal programing. 

Speaking to [financial] analysts at Ford's conference call for Q3's financial results, Ford CEO Alan Mulally announced that the Blue Oval Boyz are going to hang onto their Swedish captive import for a while longer. "Our plan now is to not sell it and to focus on improving, especially, the cost structure and the position of the brand itself reflecting their new terrific lineup of cars and trucks." Wow! Alan calls SUVs trucks now! How car guy is that? Anyway, about that brand positioning… "They are really moving to a more premium brand, improving cost structure." So, no word for Volvo's brand postition other than "premium." You know, like safe. Or safe! At least Volvo's safe from Ford's axe for the time being. But are they safe from the prospect of losing money? "They're going to be fine," Mulally told the automotive egg-heads. "I think." He thinks? He THINKS? Will someone buy this guy a copy of The Little Engine that Could? Oh, and the AP reports that Mulally left the door open to the possibility of kicking Volvo out. "Ford will continue to review the brand periodically." How reassuring. 

The fat lady has finally sung. The Truth About Cars (TTAC) and its faithful readers have identified the Ten Worst cars for sale in America in 2007. We began with a list of 136 reader-nominated vehicles. Our writers narrowed the field of bad dreams down to 20 finalists. By popular vote, you selected the ten most odious automobiles. And the winners are… after the jump (we need the page views).

As their hometown automakers sink into the miasma of disaster, The Detroit News' efforts to put a positive spin on Motown's woes is beginning to gain the force of farce. Slightly less poetically, they're missing the point. In today's report, Ford's third quarter $380m loss was painted as a victory, you know, compared to Wall Street's expectations and last year's $850 red ink stain. Or North America's pre-tax loss of $1b, compared with last year's pre-tax loss of $2.1b. The paper duly published FoMoCo CEO Alan Mulally's spin on the numbers, which claimed "We can see our plan taking hold with significant improvement continuing in our core automotive operations." And did you know that Ford has stabilized it's U.S. market share? News to me. To be fair, or in at least an attempt to be fair, the DTN also sounded a note of caution– albeit one attributed to a bunch of someone else's. "Ford, which is in the midst of one of the broadest restructurings in its 104-year history, is struggling to meet its target of restoring profitability no later than 2009. Many analysts still see that as a stretch goal for a company that lost $12.6 billion last year." It may come as no surprise, but you can add our name to that list.

Ironically enough, the name of the rare earth element "dysprosium" is derived from the Greek δυσπροσιτος [dysprositos] meaning "hard to obtain." But obtain it Toyota must; the element is crucial for the manufacturer of nickel metal hydride batteries and hybrid engines. The Guardian Newspaper reports that Japanese Trade Minister Akira Amari is lobbying China to ease-up on their tightening grip on dysprosium, platinum (needed for catalytic converters) and other rare metals. Earlier this year, China banned duty-free exports of rare earth ores for processing. On Wednesday, the PRC announced it would bar foreign investment in mining rare minerals or those that can't be recycled. China produces roughly 90 percent of Japan's rare earth earth minerals (i.e. "China's got Japan's manufacturers by the throat."). According to CBC News, that's because "Over the past two decades, China has tapped into a motherlode of cheap, easy-to-extract, rare earth resources, byproducts of the country's Bayan Obo iron ore operations in the north." Minister Amari isn't placing all his elements in one basket. He's also heading to South Africa and Botswana to secure alternative supplies. What was that about the total environmental impact of hybrids?

As part of New Haven's anti-speeding jihad, The Elm City has begun building roundabouts (a.k.a. rotaries). The New Haven register reports the public and The Powers That Be view the results differently. "Lucy Conti, who has called this neighborhood home for 35 years, says the roundabouts are a full-circle waste. She says drivers still fly through the 30 mph zone… But Alderman Ed Madison says the roundabout is working. 'Sixty miles an hour used to be the going rate down there and now it's 30,' said Ed Madison, Alderman.Madison sits on the city's 'traffic calming committee.' His group is responsible for the roundabouts and he says more are coming." Meanwhile and anyway, police radar guns are drawn. And there's no word on the success of the Elm City's "Pace Car" decal program, launched November first. To get a sticker, a driver must pledge to drive within the speed limit and obey all traffic regulations, share the road safely within pedestrians, bicyclists and other drivers, be extra cautious near schools and children and stop for all school buses. Of course, the pols just couldn't help themselves. You also have to promise to "Walk, bike, bus or share a ride when possible to help reduce traffic." Oh, and there's a chain letter bit too. You have to swear you'll "Display my PACE CAR sticker and encourage others to take the pledge." Oy vey.

SFGate reports that a former quality control inspector at Toyota and GM's joint production facility in Fremont, California is suing her old employer for emotional distress. Katy Cameron, 54, claims supervisors at the New United Motor Manufacturing Inc. (NUMMI) factory subjected her to a campaign of intimidation after Cameron refused to ignore production defects. Cameron said cars were rolling off the assembly line with "defective seat belts," "water leaks throughout the vehicles," "mirrors falling off," "steering wheel alignment defects" and "missing radiator caps." Managers allegedly began altering her defect reports eight years ago to lower her daily Defect Per Vehicle reports. She says the alterations became "more substantial" two years ago, when she was recording an average of nine to 15 defects per car. At that point, Cameron began retaining her original pencil written reports (to document the changes) and turning-in photocopies. NUMMI spokesperson Lance Tomasu said that while he couldn't comment on the lawsuit, "we will investigate these claims thoroughly."

I never understood the concept of an automotive-related news embargo. It's easy enough to see what's in it for the carmaker. They can time their marketing and promotion campaign to coincide with the "reveal." They can use the embargo to play favorites. But why would any self-respecting automotive journalist agree to hold onto a story for the convenience of the manufacturer? It's one of those carrot and stick deals. The carrot: primo access to future stories/products. The stick: NOT getting primo access to future stories/products. Either way, any scribe that allows a carmaker to manipulate the journalistic process through a news embargo is guilty of collusion. (That's just a fancy way of saying "selling out.") From my perspective, it's like this: I get the information. I publish the information. My primary responsibility is to my readers. Period. if you don't want me to publish info until Friday, don't give it to me until Friday. And if I find a way to get it before Friday, that's your tough luck. So if there are any news organizations out there who agree with me, but don't want to get their ass kicked by the carmakers, here's an invitation. Send TTAC the info and we'll break the embargo. And once we break it, you're free to follow suit. That way we can work together to end this perfidious practice once and for all. 

Or, more accurately, TTAC breaks GM's embargo on the new Cadillac Escalade Hybrid. Anyway, let's start with the basics: why? To quote the passively constructed press release, "Two of the biggest trends in the automotive world in recent years have been related to the unique function and fashion of luxury SUVs, and the fuel saving function and fashion of hybrids. These two trends were seemingly in opposition, until now." The fashion of hybrids? Somebody catch that cat and shove it back in the bag!  [NB: no animals were harmed in the making of this metaphor.] GM claims Caddy's box-fresh gas – electric SUV achieves a "50-percent improvement in fuel economy in city driving." That would bump-up an urban burbling Slade from 12mpg city to 18mpg. OK, so, how much does it cost? They ain't sayin'. But we now know the hybrid Chevrolet Tahoe demands at least a $13k premium. And even a cursory glance at the tech spec indicates all that gas saving will cost a small fortune. Deep breath. The hybrid Caddy features a 6.0-liter V-8 Gen IV gasoline engine with Active Fuel Management (AFM) and late-intake valve closing (LIVC) technology, a 300-volt nickel-metal hydride Energy Storage System (ESS), an advanced electrically variable transmission (EVT) with stop – start technology, a regenerative braking system, a new exhaust system and resonator, an electrically driven, 300-volt air conditioning compressor, and an electrically driven 42-volt variable-assist power steering system. Perhaps just as importantly, "It is available in two colors, Ebony and Cashmere. Standard features include a distinctive instrument panel; gauges with white needles and blue light inlays with continuously lit, white-LED backlighting; Nuance leather-covered seats; leather-covered door trim and center console; and a power-assisted rear liftgate that opens and closes with the touch of a button." Can you believe they forgot to mention the big ass "hybrid" stencil on the side? Details guy, details!

EE Times reports that Germany-based Infineon Technologies has developed a radar chip whose diminutive size and price will bring the benefits of traffic sensing radar to the automotive masses. As we've just bludgeoned you with GM's arcane accounting practices, let's do the blinding you with science bit: "Dubbed the RASIC, the first in the series, the RXN7740, is a tightly integrated front-end chip for the 76-77 GHz frequency range which includes function blocks for the oscillator, the power amplifier and four mixers for multiple antennas… The chip uses a manufacturing technology based on silicon germanium with a transit frequency of 200 GHz." Translation: "Compared to existing radar systems– that implement these functions through discrete components– its device enables designers to shrink their radar systems a quarter of the current size, while reducing system costs for the radio frequency module by more than 20 percent." Translation: there's yet another handling nanny heading your way. Strategy Analytics says seven percent of all new cars will include the technology by 2014. We reckon it's only a matter of time before the U.S. feds make it mandatory. 

The Detroit Free Press reports that Canada's Ballard Power Systems has so much faith in the future of hydrogen fuel cell-powered automobiles that they're looking to sell that part of their business. And here's the kicker: Ballard wants to off-load the whole hydrogen kit and caboodle on the unit's minority partner: Ford. The news comes one day after USA Today touted GM's recently released experimental fleet of 100 hydrogen fuel cell Equinox. And just two short years ago, "then-CEO Dennis Campbell was in Detroit touting the fact that a hydrogen economy was on the horizon and that fuel cells would likely replace the internal combustion engine." Yes, well, Campbell now reckons it's time to bail, due "to the lengthy projected timeline to commercialization and high cost of development." Needless to say, the move hasn't deterred the faithful, although they have moved the goalposts. Again. The National Hydrogen Association expects automakers to decide in 2015 whether to mass market the technology. We can’t wait!

To try to get my head 'round the fact and ramifications of this accounting-related announcement, I sent an email to TTAC's Deep Throat. "Effectively, a company keeps two sets of books: one for financial disclosure and one for the taxman. The tax credits created by depreciating assets accumulate faster/look smaller on the tax books than on the financial books. The difference between the two creates a tax credit (a.k.a. an asset). Assuming static business, over time, as the financial books catch up with the tax books, the credits get "used up." If a company grows, those deferred tax credits also grow. But the tax credits cannot exist forever; they must get paid. With this move, GM is essentially saying its accountants can no longer justify carrying these tax credits as an asset; they reckon their employer's future growth is limited. All that said, the $39b announcement may not necessarily result in a cash payout because of the way the tax code works. It's very arcane stuff that few people really understand. My guess is that this will have some cash consequences, but we'll have to wait and see if, when and how much. Meanwhile, it's safe to say this announcement will raise concerns about GM's prospects in the credit markets given the further fragility of GM's balance sheet." [NB: Accounting and high finance experts are invited to add their perspective, as long as they do so in something resembling plain English.]

So Ford and the United Auto Workers (UAW) have hammered-out a new deal. Our fave sage Daniel Howes over at The Detroit News hailed the tentative agreement with the usual rhetoric: new paradigms, inflection points, fresh thinking, transformation and general bullishness. Yes, well, as over ten thousand Chrysler union workers recently discovered, there’s many a pink slip between the cup and the lip. Make no mistake: there are details bedeviling this Ford agreement. And the union rank and file are heading into the ratification process with their eyes wide open.

In the second major case of a news organization delaying important information, The Detroit News reports today that GM inadvertently revealed prices for their new two-mode hybrid SUVs on October fifth. That's when a GM website listed the Chevy Tahoe two-wheel drive hybrid at $47,915; the four-wheel drive version at $50,720; and the GMC Yukon two-wheel drive hybrid at $48,370. That's big news. It's also wrong. "GM spokesman Terry Rhadigan said Monday the prices posted on the Web site 'were too low.' He declined to divulge what the pricing would be, saying only that it would be 'competitive.'" With what? Themselves! Rhadigan told the DTN that a loaded version of the same vehicle will cost more than its hybrid variant. Just in case potential consumers were planning on making an apples-to-apples comparison, GM won't be offering comparable hybrid and non-hybrid models. Sticking to the obfuscation theme, Marketing Maven Mark LaNeve told his hometown paper (last week) that hybrids will rack-up five to ten percent of total SUV sales. But "since we are in uncharted territory… we will adjust up or down to demand." The General may have to adjust DOWNWARDS from five percent of shrunken, sinking, full-size SUV sales? That doesn't sound good.