Category: News Blog

By on November 24, 2008

The Porsche vs. Nissan catfight over Nurburgring lap times has done more to publicize both company’s products than anything else. Besides, as Chris Harris of Driver’s Republic puts it, “Nurburing lap times… say far more about the conditions of the track and (fortitude) of the driver… than they do the vehicle in question.” Still, Harris was drawn to recreate the battle, pitting Porsche GT2 against Nissan GTR on the Nordschleife. Driver’s Republic presents the experiment in its online-magazine format, which brings high-quality photos, video, words and telemetric data together in one highly entertaining read. Check it out.

By on November 24, 2008
Tom Krisher with the AP reports that Tiger Woods and Buick are making their rumored divorce official. The $7m/year endorsement deal was supposed to end sometime next year, but both sides have agreed that enough is enough. GM is looking to save pennies wherever it can, and it seems that the Buick-Tiger tie-up did more to raise Tiger’s already high profile than it did to actually sell Buicks. GM is cutting back high profile advertising everywhere including announcing that it would skip television advertising around the Super Bowl, the Oscars and the Emmys. No matter, does anyone watch those last two anymore? Woods’ stated reason for ripping the Buick logo off his golf bag is to “gain more time”.  But time for what? Woods has been off the golf course recovering from knee surgery since right after winning the US Open, and doesn’t expect to play again until next spring. The better explanation: Woods doesn’t want his brand tarnished any more by the associated with GM than it already has been. Can you imagine the razzing he has been taking in the locker room? Then again, maybe the wife just couldn’t stand being seen in a Buick anymore.
By on November 24, 2008

Stung by the public outcry over Jet-Gate, Detroit’s automakers are orchestrating a “cavalcade of fuel-efficient American-brand vehicles to Washington, D.C., in December, when Congress reconsiders the industry’s plea for quick action on low-interest loans,” according to the Detroit Free Press. “The aim,” intones the Freep, “is to put a populist face on the need for the American auto industry’s survival and to build grassroots support for federal aid, in the wake of criticism that the Detroit Three chief executive officers and UAW President Ron Gettelfinger did not make a convincing case during two days of congressional hearings last week.” The Caravan of Love will include auto suppliers, dealers and the UAW, escorting Detroit’s finest in a grand processional of pathos to the Mother Of All Beggin Bowls, though they’ll probably skip on the whole “Respica te, hominem te memento” bit. The events will begin with a December 7th rally in Hart Plaza, then the “cavalcade” would head to Washington, with stops along the way for rallies and news conferences. Things will wrap up with yet more testimony from Detroit’s newly-clothed-with-glory CEOs, and the ceremonial presentation of a giant check for $25b. Hallelujah, I’ve got the spirit!

By on November 24, 2008

With things, erm, being as they are right now (economy in the toilet, SUVs being hugely unpopular, nobody buying cars, GM on the verge of evaporating and floating to China), Hummers are about as desirable as herpes. Although the Red Tag sale price of the H3 5-cylinder is floating around $26,000, there’s still a sub-basement. Some highlights from around the sales (or no sales) on FleaBay, Swapalease, and AutoTrader:

—2009 Hummer H3 – $22,985.00 – 13 miles – Optimistically want a 100% cash payment. eBay Motors

–2008 Hummer H3 Alpha – V8 engine – $34,900 – 1854 miles – Oh come on. eBay Motors

–2008 Hummer H3 – $322/month – 4000 miles so far, 30 months remaining, 28500 miles remaining. Swapalease

–2008 Hummer H3 – $18,717 – 15,048 miles – Listed as new – might never have been titled. Autotrader

–2008 Hummer H3 – $22,291 – 4143 miles – stick shift is actually marginally cool. Autotrader

–2009 Hummer H3 – $21,995 – Brand new – classic “one at this price.” Team Chevrolet Hummer, Pasadena

By on November 24, 2008

Hat Tip: Jalopnik

By on November 24, 2008

Take that, you (formerly) capitalist running dogs: At the Guangzhou auto show, British German luxury car maker Bentley said that the VW-owned brand plans to sell more Bentleys in China than in the US. They said it to Guangzhou Daily (via Gasgoo.) Bentley’s conservative goal is to do this by 2012, but at the rate everything is going (and soon walking,) they’ll be done with that much earlier. With 10% of Bentley’s global sales, China already is the world’s fifth largest market for Bentley. In 2008, China is expected to surpass Japan in terms of Bentleys sold, making the Middle Kingdom king of Asian Bentley sales. Next stop: Trump the UK and the US, rule the world. In Bentley terms.

On display at the Guangzhou show is the Bentley Arnage RL, Bentley’s bestseller in China. For four straight years, no country consumed more Arnages than China. Also to be seen: The Continental GT, Continental GTC and Continental Flying Spur. What’s the world coming to. Niedermeyer putters along with a golf cart, China soaks up Flying Spurs.

By on November 24, 2008

Hyundai has apprently learned nothing about vehicle marketing in the last five years. What they are supposed to do is develop overly-complicated high-efficiency models, put lots of eco-friendly badges on them, advertise them at rest in an unspoiled natural envrionment, and then charge people through the nose for them. Instead, they’re taking existing models, improving their efficiency with low-tech fixes, and selling them for even less money than the normal versions. Whatever they’re putting in the water over at Hyundai HQ, it’s making for some dangerously common-sense business decisions. The Car Connection reports that Hyundai started with normal Elantra and Accents to create their new “Blue” line of improved-efficiency sedans, and then decontented them to save weight, lowered them to improve aero performance and fitted low rolling resistance tires. Sure, this means you’ll get no a/c and no power anything, and you’ll probably suffer through some horrendous ride quality and handling, thanks to the tweaked suspension and crummy tires, but these are small prices to pay for saving the world. And not being the only family on the block with a Prius. GM has tried a similar approach to fuel efficiency with its Cobalt XFE, but its underpromotion is keeping it MIA from market success. No word yet on pricing or availability for Hyundai’s Blue line, but if they avoid the XFE’s mistakes, this should be a fairly popular option for the budget automaker.

By on November 24, 2008
Today’s New York Times has an interesting piece on the relationship between Ford Motor Company Chairman William C. Ford Jr. and Barack Obama’s team. During the entire industry bailout brouhaha ol’ Bill Ford has been conspicuously absent, leaving the dirty work to his well-compensated surrogate Mulally. Those with long memories may recall that Bill Ford made a big splash several years ago claiming that the family firm would assume leadership of a new, greener automotive future. At the time he had a hard job squaring his noble words with the launch of the Ford Excursion. Luckily for Ford, the Excursion has since gone on permanent holiday and Hummer has assumed Scarlet Letter status with greens everywhere. Ah what a difference a few years can make. Suddenly good fuel economy is back in style and monster trucks are so yesterday. Lately, “Mr. Ford has been working behind the scenes, meeting one-on-one with Mr. Obama in August, conferring with his senior economic advisers, and teaming up with Gov. Jennifer Granholm of Michigan to push a vision of a leaner, greener auto industry.” Ford remains in the best position to stay further ahead of the bear than GM or Chrysler as it has enough cash to get through the next year and is “not on the verge of bankruptcy like G.M. and Chrysler.” While GM and Chrysler have slashed development budgets well beyond the bone, Ford is able to say: “We have a plan that is high-tech, product-driven, which is a fuel economy plan, and we have kept that plan in place under these tough conditions.” Read More >
By on November 24, 2008


***Ferrari FXX Evo 860hp Supercar DONUTS!!***

By on November 24, 2008

GM is doing whatever it can to tame its cash conflagration this week, as it seeks to survive another few weeks and prove to congress that it’s serious about shaping up. The Wall Street Journal reports that these efforts have crossed over from the sublime to the ridiculous (always closer than they seem), as everything from clock maintenance to escalator operation budgets are being slashed to save cash. So just how tight is GM cinching its belt? GM is eliminating clock maintenance, stopping RenCen escalator operation at 7pm, eliminating voice mail at plants, buying cheaper pencils, and next year it will reduce its press fleet and cancel its “Mark of Excellence” dealer award. Worst of all? “At GM’s metal-fabricating plant in Grand Blanc, Mich., Steve Bean, a union committeeman, said he recently had to tell workers they would have to wait until at least next year to get $270 stipends they were promised in order to buy T-shirts, hats or coats emblazoned with their union local.” On a more… significant front, Bloomberg reports that GM will seek to reduce its $43b in debt and renegotiate elements of its 2007 UAW contract as part of its restructuring plan which is due to Congress on December 2. Should GM exchange debt at levels less than the original value, Standard and Poors would consider those issues in default while not necessarily cutting the automaker’s overall debt rating, according to S&P analyst Robert Schulz. “A financial restructuring, along with government loans, is an alternative to bankruptcy,” says Schulz. “It doesn’t fix the economic environment, though, and it’s the economic conditions that are causing their cash burn.”

By on November 24, 2008

This is what happens when a company makes more money by playing the markets than by selling product: the financial guys take over. In the good old days, Porsche made smallish, nimble cars that had great SPM and MPG ratings (the former being smiles per mile). Nowadays, Porsches are no longer small, but still manage to be desirable to car enthusiasts, Yuppie moms and pimps alike. With few exceptions, Porsches have always delivered a unique package of intuitive steering, a great soundtrack, a tractable engine with a wide power band, fantastic brakes and everyday reliability. Did somebody at Porsche explain “well, four outta six ain’t half bad” when the question was asked whether the “soundtrack” and “wide power band” parts are dispensable? We ask this since Porsche announced that for the first time ever, it will be using Diesels. Spiegel Online reports from Februrary 2009 onwards, European markets will enjoy (not!) Cayennes fitted the VW 3.0 TDI engine I kinda liked (and disliked) in the Audi Q7. It is not a bad engine, as it has more torque than the basic gasoline version. But it does make the Cayenne seem even more like an overpriced Touareg on steroids, which is saying something, since the Touareg is kinda like an overpriced Passat on stilts. More data for Chuck Goolsbee: 244g CO2; 550NM; 25.3 MPG according to EU ratings; €56k. Porsche thinks it needs this one because of CO2 regulations, until it gets its hybrid up and running. We suspect the real reason is that German Cayanne sales are down 13% this year.

By on November 24, 2008

The night before the LA Auto Show, Mazda had a select group of journalists drive the new Mazda3. We from TTAC were not among them. But digital buff book (buff site?) Edmunds’ InsideLine was, and so were the very graphic-saavy guys at Motive Magazine. Overall they both seem to like the car, though in all honesty the assessment is predictable. Bigger, better MPGs, not as sharp as the original. I’m more troubled that an “economy” car has a 2.5 liter engine. Yes, the 2.0 is still standard, but seriously 2.5? Mazda3? I mistakenly presumed that Japan’s engineers believed there is a replacement for displacement. In any case, check out the reviews if you dare at Edmunds and Motive.

By on November 24, 2008

Let’s just agree now that if Ford, GM and Chrysler get their $25b in December, the $21m they invested in lobbying efforts this year was a brilliant investment. Of course, as the Detroit News reports, that’s actually $21.6m and that only covers the first three quarters of this year; fourth-quarter lobbying disclosures don’t come out until January, and with their companies on the line you can bet the D3 will be throwing what’s left in their wallets at DC until the last bailout option is depleted. The problem for Detroit though is that their political contributions are actually shrinking in relative terms. The auto industry is only 34th on the list of contributers to congressional election campaigns, down from the 16th spot eight years ago, and even generous campaign contributions don’t guarantee your safety. For example, Chrysler owners Cerberus Capital Management donated $37,500 to Senator Richard Shelby’s (R-AL) 2008 campaign, only to have Shelby badmouth the industry from his position as a ranking member of the Senate Banking Committee. And though it spends more on lobbying than the other Detroit firms, General Motors says its reducing its efforts. “In fact, it’s decreased considerably,” spokesman Greg Martin said. “We’re looking at every operational expense and cutting where we can. That includes our efforts here in D.C. Lobbying is a legal, very transparent means to have your voice heard in Washington, especially as it relates to political issues that have a substantial effect on your business.” And if it pays off, it will make Porsche’s play on the hedge funds look like a mediocre investement. Where else can you invest $25m and have it turn into $25b in less than a year? Only in American government.

By on November 24, 2008

Spyshot photographers of the world: Look for another target. Today, Porsche released the definitive official pictures of their 4-door sportssedan Panamera. (Thank you, Automobilwoche.) The first Porsche with a decent rear bench (ignoring the Cayenne for a while) will be physically present in spring, and shall go on sale throughout the world by the end of Summer 2009. It will be hard to overlook: 16 feet 4 inches long, and six foot four wide, the Panamera will be nearly 2 feet longer than 911, even the S-Class is 2 inches slimmer around the waist. For motors, there will be six and eight bangers, ranging from 300 to 500 horses. No true Porsche driver would touch an automatic. The engine of the Panamara is mated to six gears, operated by a stick. Dual clutch with 7 gears optional. The power goes to the rear wheels, all wheels drive optional. A green-sheened hybrid is “in the works.” Something Porsche may want to hide:  The body of the Panamera is welded in VeeDub’s truck plant in Hannover, final assembly takes place in Porsche’s plant in Leipzig. More official details as they become available.

By on November 24, 2008

He’s had it coming. Our Dear Leader finally received what he deserved: A vacation. With wife and kids, Farago goes to Disney World. Or Disney Land. Anyway, one of those Mickey Mouse metros. While our Dear Leader is away, our beloved Edward Niedermeyer is running the show at TTAC. 16 timezones away in Beijing, Ed is being assisted by yours truly. Which works out just fine: BS has the morning shift, then, Mr. Ed takes over and runs two shifts. Keep in mind, Ed is an Oregonian (sounds kinky.) Please indulge him, and grant him the extra three hours of sleep the Westcoasties deserve. If there’s a little less of the usual morning barrage of posts, do not despair. Ed will make up for it during the day and night.

Also of note: Our web servers are still acting up, sick from the China Syndrome. View counters won’t be back until “after Thanksgiving,” our resident Otaku promised. The site sometimes can be slow to react to your comments. Don’t worry, don’t double post: The comments will show up – after a (sometime excruciatingly long) wait. Same goes for Farago: He’ll be back. Then, there will be hell to pay.

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