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September 9, 2006
After getting shot, court rules football player didn't have to stop
Is a driver required to pull over when ordered to do so by a guy in an unmarked car who claims to be a police officer? The answer, as a general rule, is no, legal experts say.
The issue has been the topic of endless water-cooler debate in the week since San Diego Chargers linebacker Steve Foley was shot by a Coronado officer near the player's Poway home at 3:41 a.m. Sept. 3.
The officer was off duty, wearing civilian clothes and driving his civilian car – a black Mazda sedan – when he spotted Foley's classic Oldsmobile Cutlass weaving erratically on state Route 163.
Officer Aaron Mansker tried to get Foley to stop. Foley ignored the officer's commands, touching off a series of events that ended with the officer shooting Foley three times after the player exited the car near his house. In a court appearance Thursday, a lawyer for Lisa Maree Gaut, a passenger in the Cutlass, said Foley thought the officer might be a carjacker or an “overexuberant fan.”
Under state law, a person who refuses to pull over can't be convicted of evading a police officer unless the officer's car has a red light and a siren. Additionally, the officer must be in uniform and the officer's car must be “distinctively marked” as a law-enforcement vehicle.
The reason for the wording of the statute is fairly obvious, legal experts say: A driver shouldn't be forced to stop unless he or she is positive the person in the rear-view mirror is really a police officer.
Link.
Posted by Frank at 12:10 PM
California HOV lanes overloaded with hybrids
Federal authorities could force Caltrans to kick hybrid vehicles out of congested carpool lanes or require drivers of nonhybrids to pick up an extra passenger to gain admission to overused lanes.
And that could help unclog carpool lanes in the Bay Area, most of which have become commute-hour slogs, according to a Caltrans report compiled after more than 50,000 hybrids were given access to the lanes.
The report found that carpool lanes on Interstates 80 and 880 and Highways 101, 4, 85 and 237 have gone from being relatively free-flowing routes in spring 2005 to stop-and-go congestion this past spring. It recommends that no additional carpool lane stickers be issued to hybrids once the state-imposed cap of 75,000 is reached -- which could be within weeks, according to the state Department of Motor Vehicles.
Federal law allows states to admit certain hybrids into diamond lanes even if they have just one occupant. But the law also requires states to continuously monitor the lanes and to restrict or discontinue access to solo hybrid drivers when the lanes get too congested.
Yet a bill before the governor would allow 10,000 more hybrids to get the coveted yellow stickers that permit entrance to carpool lanes. The bill would also extend that access, now set to expire in 2008, for an additional three years. The governor's office said Friday evening that the governor had not yet taken a position on the bill.
Link.
Posted by Frank at 9:43 AM
September 8, 2006
Rapper 50 Cent got no license, gets ticket in his Lambo
NEW YORK - Rapper 50 Cent was arrested for traffic offenses while driving a silver, open-topped Lamborghini Friday, generating a crowd that cheered the recording artist and jeered police as they handcuffed him.
The rapper, whose given name is Curtis Jackson, was cited for making an unsafe lane change, driving with an expired permit, driving without insurance and driving without a vehicle registration, a police spokesman said.
The 31-year-old recording artist was pulled over in Midtown Manhattan by plainclothes officers in an unmarked patrol car. At first he refused a police order to get out of the car, instead making a call on his cell phone, tourist Ian Parvess said.
“Eventually the cops opened the door. ... He just got out of the car and put his hands on the car and they put the cuffs on him,” Parvess, who videotaped the arrest, told Reuters.
50 Cent, wearing a black baseball cap over a white do-rag and a shiny silver necklace over a white T-shirt, was taken to a police station and released soon after being given four summonses, a police spokeswoman said.
Spectators crowded around the scene outside the New Yorker Hotel, insulting police and breaking into a chorus of boos when the star was handcuffed.
Link.
Posted by Frank at 8:16 PM
Ford Bold Moves #11: King of the Hill
When it comes to trucks, Ford is the undisputed leader. As the marketplace changes, Ford plans to stay on top by continuing to deliver segment-leading trucks.
Posted by Frank at 10:43 AM
GM Customers Take to the Skies in New Campaign
Major Marketing Effort Supports New GM 100,000-Mile Powertrain Warranty Voices Next Big Step in Company’s North America Turnaround Plan
DETROIT– General Motors will tell consumers about the newest reason why they should put GM vehicles on their shopping lists through a fully integrated corporate marketing campaign that debuts Thursday.
Themed “Elevate,” the campaign will tell the story of how people who buy GM cars, pickups, SUVs and crossover vehicles will now be traveling on a “higher road” with a new level of confidence, thanks to GM’s new 100,000-mile, five-year powertrain limited warranty, which was announced today by GM Chairman and CEO Rick Wagoner.
The new powertrain warranty features expanded powertrain coverage across all eight GM brands to 100,000 miles and five years, beginning with the entire 2007 lineup of cars and light-duty trucks. It is completely transferable, carries no deductible and is the best warranty of any full-line automaker. GM also has expanded its 24/7 roadside assistance and courtesy transportation programs to 100,000 miles and five years. Altogether, it’s the best coverage in the auto industry.
Wagoner said that the new powertrain warranty, combined with GM’s outstanding quality, competitive pricing, and a stable of successful new vehicles with relevant technologies such as OnStar and StabiliTrak, provide GM customers with an unprecedented level of value and peace of mind.
GM will begin to get this message out with a 60-second spot that will air during Thursday night’s NBC-televised NFL season opener between the world champion Pittsburgh Steelers and the Miami Dolphins. The spot also will air on a wide variety of premium network and cable sports, news and entertainment programming.
Created with GM by Deutsch Inc. in Los Angeles, the spot features several 2007 GM cars and trucks, which “elevate” above gridlocked traffic in Los Angeles, New York, Miami and San Francisco. Once airborne, surprised drivers accelerate on this exclusive, alternate freeway. A voiceover states: A new level of strength. A new level of quality. A new level.. of confidence. Introducing the GM 100,000-Mile Warranty. With courtesy transportation and roadside assistance on every vehicle we make. It’s the best coverage in America, from the biggest brand in America. Music for the spot is “Get What You Need,” by Jet.
“The goal of the ‘Elevate’ campaign is to tell people that GM is now offering the broadest, largest, most value-driven coverage in the industry,” said Mark LaNeve, GM North America vice president of vehicle sales, service and marketing. “Our comprehensive coverage demonstrates we’re serious about the quality and reliability of all of our vehicles. And we have an integrated marketing campaign that showcases that belief clearly, strongly and consistently.”
In addition to the television component, the “Elevate” campaign will have a heavy online presence, an experiential out-of-home component in several major markets across the United States, print advertising in newspapers and point-of-sale materials. All communications will carry the “Elevate” theme and will, in a variety of creative ways, show GM vehicles on the exclusive elevated highway.
“There’s a remarkable gap between the perception of GM quality and the reality,” said Eric Hirshberg, president and chief creative officer of Deutsch. “We found that the best way to deal with that was simply to ignore it. If you tell people, ‘We’re better than you think we are,’ they don’t believe you. Whereas if you come from a place of utter and complete confidence, people feel it and respond. So we shed the baggage and went on offense.”
Posted by Frank at 10:38 AM
GM Announces Best Warranty of Any Full-Line Automaker
GM to Provide 100,000-Mile/Five-Year Powertrain Warranty, Roadside Assistance and Courtesy Transportation on 2007 Cars and Trucks
Comprehensive Coverage Validates Dramatic Improvements in GM Quality, Durability
DETROIT – General Motors today announced the best warranty of any full-line automaker, with coverage up to 100,000 miles or five years across its entire 2007 car and light-duty truck lineup in the United States and Canada, reflecting its success in dramatically improving the quality and durability of its vehicles.
GM’s new 100,000 Mile Warranty coverage is a fully transferable five-year, 100,000-mile powertrain limited warranty with no deductible. GM also has decided to expand its roadside assistance and courtesy transportation programs to match the powertrain warranty term. Altogether, it’s the best coverage in the auto industry.
“We’ve been telling everyone how strong GM’s cars and trucks are in terms of value, design, quality and durability. Now we’re going to back it up,” Chairman and CEO Rick Wagoner said. “This new warranty, combined with GM’s outstanding quality, competitive pricing, relevant technologies and a strong new lineup of cars and trucks, provides motorists with an unprecedented level of value and peace of mind.
“This latest step in our North America turnaround plan reflects the confidence we have in the quality of our cars and trucks. It’s the result of years of hard work by our employees, suppliers and dealers. It’s something that motorists want and deserve. For those who haven’t driven a GM car or truck in a while, this is our way of saying, ‘Come on back and see what we’ve done.’
“The bottom line is GM now has the best coverage in the industry,” Wagoner said. “It includes the best warranty of any full-line automaker, equally compelling roadside assistance and courtesy transportation programs, unique safety and security technologies like OnStar and StabiliTrak, and the nation’s largest network of outstanding dealers, with well-trained GM Goodwrench technicians who service GM cars and trucks better than anybody else.”
The no-deductible, fully transferable limited powertrain warranty covers more than 900 components related to the engine, transmission, transfer case (if applicable) and final drive assemblies on all 2007 model-year Chevrolet, Pontiac, Buick, GMC, Hummer, Saturn, Saab and Cadillac cars and light-duty trucks sold in the United States and Canada. GM will extend the existing roadside assistance plan to 100,000 miles or five years, and will provide courtesy transportation for a covered warranty repair.
The new warranty will apply retroactively to 2007 GM cars and trucks already sold.
For non-powertrain components, GM’s Bumper-to-Bumper New Vehicle Limited Warranty remains in effect: four years or 50,000 miles for Buicks, Cadillacs, Hummers and Saabs, and three years or 36,000 miles for Chevrolets, GMCs, Pontiacs and Saturns.
The new package is an important part of GM’s sales and marketing strategy, which is focusing consumers on the inherent value of its cars and trucks. Higher quality vehicles, reduced incentives and lower daily rental fleet sales are helping increase the residual value of GM cars and trucks. In addition, GM transaction prices have been rising, well above the industry average.
Wagoner said today’s moves were the result of GM’s successful decade-long effort to dramatically improve the quality of its cars and trucks. “From the men and women who design, engineer and build our vehicles, to our union partners, suppliers and dealers, the GM team’s commitment to quality has enabled us to deliver this consumer confidence package.”
GM tracks vehicle quality several ways, including analyzing warranty visits and the results of 10 million customer surveys each year, and studying the quality surveys of several independent organizations. GM has made significant progress on all fronts:
* Warranty repairs at dealers have decreased 40 percent during the past five years.
* Two GM brands, Buick and Cadillac, placed in the top five in the J.D. Power and Associates Vehicle Dependability Study released last month.
* GM swept the large pickup segment, placed 11 models in the top three of their segments and had two models top their segments in the J.D. Power and Associates Initial Quality Study released earlier this year.
* In the Strategic Vision 2006 Total Quality Index Study, five GM models topped their segments – more wins than any other manufacturer for the second consecutive year.
* GM dealers also rank among the leaders in the most recent J.D. Power and Associates Consumer Service Index study, which measures customer satisfaction among new vehicle owners with the dealer service department during the first three years of vehicle ownership.
* GM’s Buick brand ranked second in the American Customer Satisfaction Index study released last month, administered by the University of Michigan's National Quality Research Center .
GM will begin promoting the new initiative during Thursday night’s NBC-televised NFL season opener between the world champion Pittsburgh Steelers and the Miami Dolphins. In addition, a dedicated web site (www.gm.com/warranty) provides consumers with additional details about the program.
Posted by Frank at 10:37 AM
GM Certified Used Vehicles Teams with Sports Illustrated on the Peter King Challenge
Contestants can use tips from pro football expert Peter King and compete online for grand prize trip for 10 to Las Vegas
DETROIT – To expand the reach of its “GM Certified Used Vehicles: No worries” national advertising campaign, GM Certified Used Vehicles, the top-selling manufacturer-certified used vehicle brand*, has collaborated with SPORTS ILLUSTRATED on the Peter King Challenge, a weekly online “pick ’em” promotion, featuring well-known SPORTS ILLUSTRATED football writer Peter King.
The Peter King Challenge, co-sponsored by GM Certified Used Vehicles, provides an opportunity for individuals to test their skills in picking winners of professional football games each week during the 2006 season. A contestant with the largest number of correct predictions each week is eligible to win a weekly prize of a 26-inch flat-panel LCD HDTV. All contestants will also be automatically entered for a chance to win the grand prize of a trip for 10 to Las Vegas in February 2007 over the biggest football weekend of the year.
“We were looking for a way to extend our ‘GM Certified Used Vehicles: No worries’ national advertising campaign,” said Paul Pejza, manager, GM Certified Used Vehicles. “SPORTS ILLUSTRATED developed an innovative approach that enabled us to connect with an audience that will give GM Certified Used Vehicles broad exposure. It’s a terrific way to broaden our ‘No worries’ advertising campaign in a compelling way in both Web and print media, which are used extensively by used vehicle shoppers.”
The Peter King Challenge, which launched August 28, will be promoted through print ads in SPORTS ILLUSTRATED magazine, as well as banner ads on www.SI.com. Weekly reminder e-mails will be sent to contestants. Contestants also have the ability to receive weekly “picks reminders” on their cell phones.
In addition to the consumer campaign, a dealer version of the Peter King Challenge, designed exclusively for GM Certified Used Vehicles dealership staff, enables them to compete for a weekly prize of a 26-inch flat panel LCD HDTV and a trip for two to Miami in February during the biggest football weekend of the year. The winner will be invited to attend the SI Super Swimsuit Party and given the chance to meet SPORTS ILLUSTRATED football writer Peter King.
To enter and see full official rules, contestants, who must be at least 18 years old and legal residents of the United States (except Alaska or Hawaii ) can go to http://www.si.com/pkchallenge to register for the promotion and then choose the winner of each listed pro football game. The promotion will run during the duration of the regular season, ending on December 29, 2006. No purchase is necessary. Odds of winning in the consumer promotion are dependent on the total number of eligible entries received, and are estimated to be one in 51,609. Promotion is void in Alaska , Hawaii , outside the 50 United States and the District of Columbia and where prohibited.
Posted by Frank at 10:30 AM
Chevy unveils European concept car
Exciting Chevrolet study WTCC Ultra celebrates world premiere
# Striking design: Ready-to-drive racecar study with radical contours
# Further novelties: Chevrolet Epica Diesel, Chevrolet Captiva
Zurich/Paris -- an athlete takes centre stage: The exciting racecar study WTCC Ultra will be the highlight of the Chevrolet Europe presentation at the Paris Motor Show from September 30 to October 15, 2006. The ready-to-drive concept car was developed by a GM team around the globe. It is the optical vision of a new touring car generation and takes the Chevrolet body language to the extreme. The compact Chevrolet WTCC Ultra (length/width/height: 4,325/1,905/1,570 mm) will celebrate its world premiere on the Chevrolet stand in Hall 5.2 of the Expo in Paris.
The trade and the general public will also get to see for the first time the new Chevrolet Epica Diesel, which will be launched in spring 2007. The mid-class sedan is powered by a two-litre common rail diesel with 150 hp. After the Captiva Diesel, which will reach the European showrooms in autumn and is celebrating its French premiere in Paris, the Epica is thus Chevrolet Europe's second diesel.
The bold and aggressive design of the racecar study sounds out the limits of Chevrolet's design language. The WTCC Ultra is a design icon that bends the present WTCC regulations. Words like "aggressive, muscular and dramatic" describe the car's design. Sharp lines contrast with more organic, flowing surfaces. The WTCC Ultra is propelled by a 190 hp diesel engine. Its proportions give the impression of a car that looks fast even when it's standing still.
World premiere: New Epica diesel with 150 hp
Already much praised in the new Captiva, the up-to-date diesel engine from Chevrolet Europe is now to propel other model series, too: From spring 2007, the two-litre common rail unit will also be available for the midsize Epica sedan.
The powerful diesel engine (rated output: 110kW/150 hp, max torque: 320 Nm at 2,000 rpm) is mated with a manual five-speed gearbox and can optionally also be paired with a five-speed automatic transmission. The Epica Diesel accelerates from 0-100 km/h in just 9.7 sec (automatic version: 10.1 sec) and has a top speed of 201 km/h (automatic: 208 km/h). Despite this excellent performance, the new powerplant is very frugal indeed with an expected MVEG fuel consumption of only 6.1 litres /100 km (automatic: 7.7 l/100 km).
French premiere: Compact Captiva in the showrooms shortly
With its compact dimensions (length/width/height: 4,635/1,850/1,720 mm), strong, sporty design and comprehensive range of equipment even in the entry-level version, the Chevrolet Captiva is perfectly tailored to European customers. With this new crossover model, buyers have a choice between front-wheel and four-wheel drive, five and seven seats and a total of three engines, ranging from 136 to 230 hp.
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Posted by Frank at 10:27 AM
Chevrolet Hosts Exciting On- and Off-Track Activities to Celebrate Chevy Rock & Roll 400
Chevrolet Weekend Activities at Richmond International Raceway to Include a Pre-race Concert, Rock & Roll Paint Schemes and Fun Fan Activities
RICHMOND, Va. - This year's Chevy Rock & Roll 400 will prove to be another exciting edition of the Rock and Roll-themed race with festivities that include a pre-race performance by Barenaked Ladies, Rock & Roll-themed paint schemes, Chevy driver appearances and other fun fan activities provided by Chevrolet.
The Chevy Rock & Roll 400, a unique collaboration between Chevrolet, Richmond International Raceway and NASCAR to unite pop and rock musicians with elite drivers in NASCAR, enters its fourth year and continues to provide a unique and exciting experience for race fans. Adding to the anticipation is the fact that the event is the final race to determine drivers eligible for the NASCAR Nextel Cup Chase for Championship.
"We brought the Chevy Rock & Roll 400 back again as it's a great concept to help race fans celebrate Rock & Roll music and great Chevy cars and trucks," said Ed Peper, Chevrolet general manager. "Music is a part of Chevrolet's DNA with Chevy vehicles inspiring the lyrics in more than 200 songs and no other brand has so inspired pop culture. We are pleased to have one of America's best-loved live acts help us kick off one of the most exciting race weekends of the year."
Barenaked Ladies, who have been performing since 1988 and have sold 14 million records worldwide, will perform a pre-race concert for attending fans on the front-stretch of Richmond International Raceway. Their performance at the Chevy Rock & Roll 400 comes just prior to the group's first original debut in three years - Barenaked Ladies Are Me - which will hit music stores on Sept. 12. The group will take the stage located at the start-finish line at 5:45 p.m. and perform a mix of new and classic songs. Tickets to view the concert from the front-stretch are available by participating in the Chevy Challenge at Chevy FanFest. Tickets are available while supplies last.
During the race Barenaked Ladies can also be seen taking laps around the ¾-mile track through a special musical paint scheme on Kevin Harvick's No. 29 GM Goodwrench Monte Carlo SS. The Barenaked Ladies' paint scheme is one of three special paint designs appearing on GM-sponsored race vehicles during the Chevy Rock & Roll 400 weekend. Clint Bowyer's No. 2 ACDelco Chevrolet will feature the Red Hot Chili Peppers during Friday's Emerson Radio 250 Busch race while Brian Vickers' No. 25 GMAC Chevy will highlight an O.A.R. paint scheme during Saturday's Cup race.
The Chevy Rock & Roll 400 weekend also marks the culmination of the "Chevy SS Rocks" contest. The promotion was held to recognize Chevrolet's SS 'Super Sport' performance lineup including the Impala SS as well as the 205-horsepower Cobalt SS Supercharged and the 391-horsepower Trailblazer SS. Grand prize winner William Dent of Alabama will attend the weekend race festivities and meet the Barenaked Ladies and Harvick as part of the Chevy VIP backstage pass he won. Dent will also take home a replica racehood of Harvick's No. 29 GM Goodwrench Chevrolet, complete with signatures from Harvick and the band members.
Chevrolet Impala SS Makes Chevy Rock & Roll 400 Pace Car Debut
Another specially designed Chevy to be featured at Richmond International Raceway is the Chevy Rock & Roll 400 pace vehicle - a 2007 Chevrolet Impala SS. The Impala SS pacing the field will also sport a Rock & Roll design complete with classic hot rod flames, continuing the theme of the three previous Chevy Rock & Roll 400 pace vehicles.
While the hot rod flames are the common thread with past Chevy Rock & Roll 400 pace cars, the colors used this year are significantly different from previous years. A light orange base and a bright red outline accentuating deep purple flames will illuminate the vehicle under the track lights while performing its pace duties.
"The classic flame design became popular in the 1950s with the evolution of the hot rod, just as the Rock & Roll era was beginning," said Kip Wasenko, director of design for GM specialty vehicles." The Impala SS pace car paint scheme helps communicate the connection between Rock & Roll and powerful vehicles while carrying on the Chevy Rock & Roll 400 tradition of the iconic flame design."
The Impala SS was selected to pace the field during the Chevy Rock & Roll 400 based on its performance attributes that come standard as part of the Chevy SS product lineup. The SS line was first introduced in 1961 on the Impala and continues to provide exceptional performance today, now as one of eight Chevrolet vehicles that carry the SS badge. Nearly identical to the Impala SS vehicles found in dealer showrooms, the pace vehicle is equipped with a 303-horsepower small block 5.3 liter V-8 engine. The Impala SS features GM's Active Fuel Management technology for an estimated 28 MPG on the highway, performance-tuned suspension, 18-inch performance tires and a starting price of $28,465.
Chevy FanFest Rocks with Excitement All Weekend in Richmond
Throughout the weekend a variety of fun activities will be available to individuals that visit Chevy FanFest located in the sponsor display area outside the race track. Open on Friday and Saturday from 10 a.m. to 7 p.m., Chevy FanFest will offer live musical entertainment and Chevy driver question and answer sessions hosted by former MTV host Riki Rachtman. The appearance lineup at Chevy FanFest will include:
Friday, Sept. 8
2:00 p.m. Joe Nemechek, Sterling Marlin
2:45 p.m. Jimmie Johnson
3:00 p.m. Denny Hamlin
3:15 p.m. Kyle Busch
3:30 p.m. Martin Truex Jr.
Saturday, Sept. 9
3:00 p.m. Barenaked Ladies
3:30 p.m. J.J. Yeley
3:45 p.m. Jeff Burton
4:00 p.m. Brian Vickers
4:15 p.m. Clint Bowyer
4:30 p.m. Kevin Harvick
5:00 p.m. Tony Stewart
Fans are encouraged to visit Chevy FanFest for other family-friendly activities, various contests and an up close look at the latest Chevy cars and trucks including the all-new 2007 Silverado.
The Chevy Rock & Roll 400 will be broadcast live on TNT with pre-race coverage beginning at 7 p.m. eastern time and drivers taking the green flag at 7:40 p.m. Saturday's race at Richmond International Raceway will take place in front of 107,000 fans and will mark the 30th consecutive sell-out of a NASCAR Nextel Cup Series event at Richmond International Raceway.
Posted by Frank at 10:23 AM
GM Hopes Hyundai's Turnaround Plan Works a Second Time
General Motors Corp., battling long-term misperceptions about the quality of its vehicles, is adopting a powertrain warranty similar to the one that helped Hyundai Motor Corp. execute one of the industry's most stunning turnarounds.
Saying "we believe in our cars and our trucks," Rick Wagoner, GM's chairman-CEO, today said the automaker would beef up its powertrain warranty to 100,000 miles or five years on all its 2007 models. The coverage on most of GM's models was 36,000 miles or three years. The auto giant hired Interpublic Group of Cos.' Deutsch, Los Angeles, to handle the integrated campaign to get the word out on the improved warranty.
Speaking at a news conference at GM's headquarters here, Mr. Wagoner said the marketer has expanded its roadside assistance and courtesy transportation programs to 100,000 miles and five years. "The bottom line is GM has the best coverage in the industry," he said.
GM has known for years that prospects are unsure about the quality of its cars and trucks. In summer 2003, it kicked off a short-lived corporate ad campaign, dubbed internally "Road to Redemption" to change consumers' minds.
Link.
Posted by Frank at 10:21 AM
Car companies cut ad spending
Newspapers just can't get a break, as demonstrated by the latest TNS Media Intelligence report for the first half of 2006. Not only are they struggling to maintain ad dollars because of the internet's increasing market share, but now they are losing money from the auto industry.
Although total advertising expenditures increased 4.1% in the first six months of the year compared to the same period last year, foreign and domestic auto industries drastically reduced their ad spending. The auto industry spent a total of $748 million less than at this time last year and has reduced spending by $1.4 billion over the last four quarters.
And it's taking away ad dollars from newspapers, magazines and radio, said Steven Fredericks, president-CEO of TNS Media Intelligence. For example, auto-industry spending on local newspapers is down more than $600 million, or 27% over the first half of last year, Mr. Fredericks said.
Link.
Posted by Frank at 10:20 AM
General Motors and University of Michigan Establish $2.9 Million Collaborative Research Lab
Detroit -- General Motors Corp. and the University of Michigan College of Engineering launched a new collaborative research laboratory on the U-M campus in Ann Arbor where researchers will work jointly to develop the emerging capabilities of mechamatronics, GM’s new approach to designing and evaluating systems that combine mechanisms, smart materials and electronics.
The five-year, $2.9 million Smart Materials and Structures Collaborative Research Laboratory (SMS CRL) at U-M’s College of Engineering in Ann Arbor will operate as an extension of General Motors Global Research and Development network and will be the focal point for the joint work.
The goal of the CRL’s three thrust areas of smart material maturity, smart device technology innovation, and mechamatronic systems design methodology, will lay the scientific foundation to generate ideas for products that could be used in real world applications.
Smart materials and structures have become hot research areas since the 1990s. For the automotive industry, there are significant potential benefits to be realized including reduction in vehicle mass, added design flexibility, reduction in component size and cost and replacement of conventional actuators with much smaller, lighter, less expensive and more reliable smart materials-based devices.
“GM and the U-M College of Engineering have a long history of working together on a variety of successful projects," said Dr. Alan Taub, executive director of science for GM Research and Development in Warren, Mich. "U-M is well-connected with top academic institutions around the world. Their global outreach is consistent with GM’s global viewpoint.”
“When you look at many centers and research efforts, they develop the technology but it seldom transitions to industry and new products,” said Diann Brei, associate professor in mechanical engineering and one of the CRL directors. “Part of the problem is there are very clear lines between basic research and commercialization. We are trying to smear that line. We are trying a different paradigm.”
To help achieve this, U-M will stay heavily involved with the technology as it moves downstream toward commercialization. The transition team will include representatives from GM and U-M engineers, which is a departure from the traditionally separate roles of basic research and technology transfer. “This new model will help translate the basic research into actual products,” Brei said.
General Motors Corporation
General Motors Corp, (NYSE: GM), the world’s largest automaker, has been the global industry sales leader for 75 years. Founded in 1908, GM today employs about 327,000 people around the world. With global headquarters in Detroit, GM manufactures its cars and trucks in 33 countries. More information on GM can be found at www.gm.com.
For additional information on GM’s Research Labs, visit: http://www.gm.com/company/careers/career_paths/rnd/
U-M College of Engineering
The University of Michigan College of Engineering is ranked among the top engineering schools in the country. Michigan Engineering boasts one of the largest engineering research budgets of any public university, at more than $130 million. Michigan Engineering has 11 departments and two NSF Engineering Research Centers. Within those departments and centers, there is a special emphasis on research in three emerging areas: nanotechnology and integrated microsystems; cellular and molecular biotechnology; and information technology. Michigan Engineering is seeking to raise $110 million for capital building projects and program support in these areas to further research discovery. Michigan Engineering's goal is to advance academic scholarship and market cutting - edge research to improve public health and well-being. For more information, see the Michigan Engineering home page: http://www.engin.umich.edu
Posted by Frank at 9:31 AM
September 7, 2006
GM announces longer vehicle warranties
DETROIT - General Motors Corp. has increased the powertrain warranty on all of its 2007 passenger vehicles to five years or 100,000 miles, in a move that the automaker hopes will boost its reputation for quality versus its main Japanese rivals.
The increase, from the previous warranty of three years or 36,000 miles, is effective Wednesday and covers 900 engine, transmission and driveline components, said Mark LaNeve, GM’s North America group vice president.
The warranty is part of the company’s overall strategy to sell the value of its products versus a deal laden with cash incentives, LaNeve said. The automaker also is hoping that it will erase what it says is a perceived quality gap between its vehicles and those of its main Japanese rivals.
Link.
Posted by Frank at 4:43 PM
Chrysler recalling more than 180,000 trucks
DETROIT - DaimlerChrysler AG’s Chrysler unit said Wednesday it will recall more than 145,000 Dodge Ram light duty pickup trucks to replace the passenger air bags.
“The passenger air bag may not be compatible with a limited number of rear-facing child seat models if the passenger seat is in the full forward position and an airbag deployment occurs,” Chrysler said.
The automaker will also replace the front passenger seat belt assembly in the same model trucks and in an additional 15,151 vehicles.
The front passenger seat belt may not allow the owner to properly secure some child restraint systems, the automaker said.
Chrysler will also recall more than 35,000 Dodge Durangos to check their console wiring connectors.
Link.
Posted by Frank at 4:42 PM
Is Ford's bold move enough?
For weeks, questions have been swirling about the future of the Ford and its Chairman William Clay Ford Jr., great-grandson of the company's founder. On Tuesday the nation's second-biggest automaker took a big step toward answering some of those questions.
Ford named Boeing executive Alan Mulally to be its new chief executive officer, as Bill Ford ceded operational control after a troubled five-year stint at the helm. He will remain actively involved as the company's "executive chairman," he said.
Mulally, who was also elected to Ford’s board of directors, was a 37-year veteran of Boeing Co., serving most recently as executive vice president and head of its commercial airplane unit. He was a bold choice for the Dearborn, Mich.-based automaker, but a necessary one, according to Rebecca Lindland, senior automotive analyst at Global Insight.
“I think [the appointment] makes a lot of sense,” Lindland told CNBC. “We have been clamoring for a seasoned turnaround expert, and when you look at the automotive industry and the aviation industry, so many of their issues are similar that I think this makes a lot of sense.”
“You need forward thinking, out-of-the-box thinking, and that is what this guy will provide,” Lindland said. “The company needed fresh blood like nothing else.”
Link.
Posted by Frank at 4:41 PM
Crash test data will be on window stickers
WASHINGTON - Car buyers will have a new tool when shopping — government crash test data right on the window sticker.
The National Highway Traffic Safety Administration completed regulations on Thursday requiring its crash test data to be included on window stickers on new vehicles by September 2007.
The stickers provide information about pricing, fuel economy and equipment in the vehicle. Crash test data are currently found on the government’s Web site — http://www.safercar.gov/ — but the changes will make the information more accessible at dealer showrooms and lots.
Link.
Posted by Frank at 4:39 PM
September 5, 2006
Men pay high price to watch strippers
Russia - Thieves in Russia made off with dozens of luxury cars after their owners abandoned their vehicles to watch three women strip naked on a beach.
The trio took off their clothes and started washing each other at the man-made Balashikh beach on the Moscow River in the capital.
But as passing businessmen stopped and left their cars to watch the free strip show a gang of thieves made off with their luxury cars.
Once the cars had been stolen the girls picked up their clothes and escaped in a waiting van.
Police, who are now searching for the gang, said the thieves had made off with a string of BMWs and Mercedes.
Posted by Frank at 6:34 PM
Bill Ford stepping down as CEO of automaker
DETROIT - Ford Motor Co. on Tuesday named Boeing Co. executive Alan Mulally to be its chief executive officer, as Bill Ford Jr. ceded operational control after a troubled five-year stint at the helm of the automaker founded by his great-grandfather.
Mulally, who was also elected to Ford’s board of directors, had been executive vice president at Boeing, responsible for its commercial planes.
The move to appoint an industry outsider as CEO comes with Ford under growing pressure from analysts and investors after a $1.44 billion loss in the first half of this year and a nearly 10 percent decline in sales through July.
Link.
Posted by Frank at 5:08 PM
How to live without a car
Either Chris Balish has a good PR person, or his topic -- on how to live a good life without owning a car -- is intrinsically interesting.
We've found two stories on Balish and his book, "How to Live Well Without Owning a Car," the first is from a TV station, with vid, the second is from Michelle Singletary, the finance columnist for the WaPo.
Posted by Frank at 9:43 AM
Audi U.S. Sales Up 3%
Audi of America, Inc. today reported August 2006 sales of 7,115 units, an increase of three percent compared to year ago sales. Through the first eight months of 2006, Audi dealers have sold 54,575 vehicles, an increase of 5.4 percent over the same period a year ago, and an annual record pace for the brand.
The all-new Audi Q7 performance SUV was the sales highlight during August. Audi dealers sold 777 SUVs last month, and since introduction earlier this year dealers have sold nearly 2,700 units.
"It's clear that the Audi Q7 is attracting new customers to the brand," said Thomas Del Franco, Chief Operating Officer, Audi of America, Inc. "Dealers are reporting increased traffic to the showrooms and increased web activity, and they have orders in hand for Audi Q7s that have yet to hit the dealership."
Posted by Frank at 9:38 AM
Newsweek interview with Bill Ford Jr., Ford CEO
On Company's Current Crisis: 'We Understand We're in Trouble in North America ...We Understand That It Requires Extraordinary Action, and We Are Taking That'
Will Bring in Top Talent, Even If It Means Replacing Himself: 'If I Can Find Somebody ... I'll Go Get Him ... That Is Regardless of the Position'
Ford CEO Bill Ford Jr. tells Detroit Bureau Chief Keith Naughton he is fully aware that Ford is a company in crisis. "We understand we're in trouble in North America," he tells Naughton in the September 11 issue of Newsweek (on newsstands Monday, September 4). "We understand that it requires extraordinary action and we are taking that."
Part of Ford's extraordinary action involves recruiting strong leadership- even if it means replacing himself, he tells Naughton, "I'm always looking to bring talent into this company. If I can find somebody ... I'll go get him. That is regardless of the position." He also states: "You know, look, I've always said that titles are not important to me. This company has been part of my life since the day I was born and will be until the day I die. What's important is getting this company headed in the right direction." Furthermore, Ford denies that ex-Treasury secretary Bob Rubin left the company's board of directors because he did not support the company's direction: " ... His [resignation] letter was very clear on that. He said, I think Ford and you are doing all the right things. Bob was very supportive and was a great director."
Ford also describes the morale at Ford. "There's a lot of anxiety, and understandably so, until we let everyone know what the game plan is and where they fit into it. I also think, though, there's a tremendous sense of resolve. For any employee who has been here 20 years, this is not uncharted waters. It's a battle-tested employee group."
Link.
Posted by Frank at 9:36 AM
Ford prepping to sell Aston Martin
Ford Motor Company (NYSE: F) announced today it has begun the process of exploring strategic options for Aston Martin, with particular emphasis on a potential sale of all or a portion of the unit.
“As part of our ongoing strategic review, we have determined that Aston Martin may be an attractive opportunity to raise capital and generate value," said Chairman and Chief Executive Officer Bill Ford. “Aston Martin Lagonda has flourished under Ford ownership, which is why we believe it is prudent to consider a sale of all or part of this prized brand. Since Aston Martin’s dealer network, product architecture and size are distinctly different from other Ford brands, it is the most logical and capital-smart divestiture choice. The objective of any sale would be to position Aston Martin within a structure and resource base sufficient to allow it to reach its full potential, while enabling Ford to efficiently raise capital for its other brands.”
Mr. Ford added, "Regarding our other Premier Automotive Group brands, we've made no decisions, as our review of strategic alternatives continues. However, we continue to be encouraged by Jaguar's progress and by the strength and consumer appeal of the Jaguar, Land Rover and Volvo product lineups."
The company said there can be no assurance that the decision to explore strategic options for Aston Martin will result in any transaction, which would be subject to Board approval. Ford Motor Company, a global automotive industry leader based in Dearborn, Mich., manufactures and distributes automobiles in 200 markets across six continents. With about 300,000 employees and more than 100 plants worldwide, the company’s core and affiliated automotive brands include Aston Martin, Ford, Jaguar, Land Rover, Lincoln, Mazda, Mercury and Volvo. Its automotive-related services include Ford Motor Credit Company.
Posted by Frank at 9:33 AM
Audi wins American Le Mans title
BOWMANVILLE, Canada - With victory in the eighth race of the season at Mosport (Canada), Allan McNish (Scotland) and Dindo Capello (Italy) in their Audi R10 TDI clinched the LM-P1 title in the American Le Mans Series ahead of time. With their fifth outright race victory of the season, the two Audi "works” drivers now have an unassailable championship lead with the final two races at Road Atlanta and Laguna Seca remaining.
The Audi R10 TDI, that celebrated a race-winning début at Sebring in March and then won the Le Mans 24 Hours in June, remains unbeaten and is the first diesel-powered sportscar to win an important championship. After the success with the legendary R8, it is the seventh title in the prototype class for Audi. While Allan McNish was already ALMS champion in 2000, his co-driver Dindo Capello wins the championship for the first time on this occasion.
After qualifying on Saturday was cancelled due to heavy rain, it remained dry during the race on Sunday. Dindo Capello, who started next to Butch Leitzinger (Lola-AER) from the first row, had an exciting duel with Leitzinger on the 2.5 mile-long course, the fastest ALMS track of the season. Invariably the two prototypes were only separated by a few seconds. Capello handed over his leading Audi R10 TDI to his co-driver Allan McNish in the 73rd minute. After various lead changes, McNish won with a gap of 2.79 seconds ahead of the two Dyson Lolas of Chris Dyson/Guy Smith and James Weaver/Butch Leitzinger.
After the times of the free practice sessions on Friday and Saturday were taken into account, Frank Biela and Emanuele Pirro started the second Audi R10 TDI from the third row of the grid and finished the race in fourth place.
Quotes after the race at Mosport
Dr Wolfgang Ullrich (Head of Audi Motorsport): "By prematurely clinching the drivers’ title in the American Le Mans Series with the R10 TDI, Audi has yet again demonstrated ‘Vorsprung durch Technik’ on the race track. Bringing new technology in to a racing series and immediately clinching the title, is a tremendous achievement. It also shows how quickly the team has got used to the diesel engine. Congratulations to the team of Audi Sport North America and of course to Dindo (Capello) and Allan (McNish), who withstood enormous pressure from the Dyson Lolas at Mosport and have earned the title!”
Dindo Capello (Audi R10 TDI #2): "I managed to get past the Dyson on the straight when he was slowed in traffic but I collected a lot of ‘pick-up’ on the tires by going ‘off line’ to overtake which caused me to immediately run wide in Turn 1 and I lost the lead. Once I had overtaken him for a second time I managed to pull away. Allan drove a great second part of the race which was good because Guy Smith was driving very fast. Having finished second in the ALMS championship in 2000 and 2002, I’m very proud to have finally won the Drivers’ title and that it was decided in such a close race which required us to push hard from start to finish.”
Allan McNish (Audi R10 TDI #2): "I had a good race with Butch [Leitzinger] after I took over from Dindo, but I ran wide due to ‘pick up’ and he slipped ahead but almost immediately I had the opportunity to re-take the lead. The Dyson Lolas were quicker than us today and we had to rely on good pit and race strategy. I’m very pleased to have wrapped up the Drivers’ title in such a hard race and ultimately a victory. Audi’s diesel sportscar made history when Dindo, Tom [Kristensen] and I won at Sebring, Frank [Biela], Emanuele [Pirro] and Marco [Werner] made history by winning Le Mans and now Dindo and I have made history by winning an international championship with a diesel which makes me proud. I’m also very happy for Dindo who missed out on the ALMS title with me in 2000.”
Frank Biela (Audi R10 TDI #1): "I am not happy with fourth place. My car was understeering and oversteering today, the tires had a lot of ‘pick-up’. I don’t know what I did wrong today, because it went well for my teammates. Once I had to lock up the brakes when another car pulled over in front of me and after that I had vibrations. I hope it will be better in Atlanta where I won last year with Emanuele.”
Emanuele Pirro (Audi R10 TDI #1): "It’s a great day for Audi Sport North America. Dindo and Allan did a very good race. It was very exciting and I congratulate them. I was happy with my race, I followed Dindo and had to be careful not to disturb him.”
Dave Maraj (Team Director Team Audi Sport North America): "It’s a great day for Allan and Dindo and of course Audi after developing revolutionary diesel technology. But we shouldn’t forget that we relied on the Audi R8 for three races and the ‘old girl’ did us proud. On this occasion, it was a difficult race for the #1 Audi. The Dysons were very quick today which is underlined by Guy Smith’s fastest race lap. It is good to have won the Drivers’ title and that Audi Sport North America has captured the Teams’ championship. In the final two races, we will concentrate on winning the Manufacturers title for Audi for the seventh consecutive year.”
Results at Mosport
1. Capello/McNish (Audi R10 TDI) 133 laps in 2h 45m 0,142s
2. Dyson/Smith (Lola-AER) + 2,794s
3. Weaver/Leitzinger/Dyson (Lola-AER) + 37,130s
4. Biela/Pirro (Audi R10 TDI) - 1 lap
5. Luhr/Dumas (Porsche) - 1 lap
6. Maassen/Bernhard (Porsche) - 2 laps
Posted by Frank at 9:27 AM
Auto finance: does you car own you?
It costs over $4,500 more to own and operate a vehicle in Detroit than in Sioux Falls, according to a new survey.
NEW YORK -- It costs more to own a car in Detroit, an amazing $12,210 per year for a mid-sized sedan, than in any other city in the country, according to a new report comparing the cost of car ownership in various U.S. cities.
Released Friday by Runzheimer International, a consulting firm specializing in transportation reimbursement, the survey revealed that insurance, at $5,072 annually for liability, collision, and comprehensive coverage, is the biggest single reason that maintaining a car in the Motor City is so expensive.
Runzheimer calculated costs based on a fully loaded 2007 Ford Five Hundred SEL with a 3.0 liter, 6-cylinder engine. The calculation also assumes that the car is driven an average of 15,000 miles for four years within a 50 mile-radius of the city.
Philadelphians would pay nearly as much, $11,081 with $3,779 going to pay for insurance, as would Los Angelenos, at $10,604, including insurance costs of $3,225.
Link.
Posted by Frank at 9:25 AM
Car-Sharing Merges Into the Mainstream
For more than a year, Michelle Brown eyed the Zipcars parked across the street from her Penn Quarter restaurant. The co-owner of Teaism, a popular tea house, plotted and pondered and then, two months ago, she took the plunge.
Now, every morning, the chefs at Teaism prepare salty oat cookies and sandwiches and load them into a Honda Element owned by Zipcar so they can be delivered to the restaurant's two other District locations before noon. Brown figures the shared-car service saves her a couple of hundred dollars a month on gas and parking.
"I love getting in a car that's clean, that's new, that's responsive, that's well maintained and has gas in it," Brown said. "When my car was used for the runs, I'd get in my car and have lentil soup [spilled] in the back."
Link.
Posted by Frank at 9:13 AM
Subaru posts 3% sales increase
Subaru Impreza sales jump 47% on demand for fuel efficient all wheel drive vehicles
Subaru of America, Inc. August sales were up two percent as compared to the same period last year, posting 17,809 total units for the month. Subaru Impreza sales jumped dramatically up 47 percent in August, while total sales for the brand are up three percent year-to-date from the previous year.
“August was yet another strong month for Subaru,” said Tim Colbeck, vice president of sales, Subaru of America, Inc. “Gas prices continue to impact market demand and we have responded by placing emphasis on our compact segment Impreza models. This strategy has paid off as Impreza sales were up nearly 50 percent for the month.”
Subaru sold 1,377 units of the Tribeca mid-size SUV during the month of August. The company also posted 7,444 units of Legacy vehicles for the month, driven by strong Subaru Outback sales totaling 5,434 units in August. Subaru Forester recorded 4,002 units, while Baja posted 482 units for the month. Subaru Impreza sales jumped up 47 percent over the previous August, totaling 4,504 units.
“Subaru is the best-selling all-wheel drive car sold in America,” said Mr. Colbeck. “We continue to deliver a tremendous value in the marketplace by meeting the demand for fuel efficient, all wheel drive vehicles.”
Posted by Frank at 8:54 AM
GMC Announces its Largest Advertising and Marketing Campaign Yet at NFL Kick-off 2006
Non-traditional marketing strategy designed to keep pace with shifts in consumer preferences includes heavy focus on new and emerging digital technologies and online media and promotions.
DETROIT– GMC announced today elements of its largest advertising and marketing campaign yet to launch its all-new 2007 Sierra pickup, leveraging a non-traditional marketing platform designed to reach today’s savvy consumer beyond the traditional thirty second television advertisement.
The strategy runs throughout the fourth quarter and is designed to reach the millions of football fans who watch Monday Night Football, and tap into the passion NFL fans have for the game on a regular basis.
At the NFL Kick-Off celebration activities in Miami this week, GMC will announce details to its new “Keys to Victory” promotion, a national initiative with ESPN’s Monday Night Football. The multi-faceted online promotion gives consumers a chance to win the all-new 2007 Sierra truck, the official truck of the NFL, each week for 16 weeks.
The “Keys to Victory” promotion uses Oddcast Technology to regularly engage the passionate NFL fan at an entirely new level. Oddcast technology makes the website look like it is live, as if Joe is having a real-time interaction with the consumer.
"Keys to Victory, GMC’s largest promotion to date, is the pivotal promotional element of GMC's sports strategy to reach the millions of football fans who attend or watch games on television every week," said Steve Rosenblum, GMC marketing director. “A promotion of this magnitude will not only harness the power we already have with football fans throughout the country, but will help take that excitement to the next level.”
“In celebration of ESPN’s Monday Night Football, we’ve collaborated with one of the NFL’s largest sponsors to create the biggest promotion of the year,” said Fred Bucher, vice president TV online marketing, ESPN. “GMC’s “Keys to Victory” will keep viewers tuning in to ESPN each week for their chance to win the official truck of the NFL.”
The 16-week promotion begins at the NFL Kick-off Experience in Miami on Sept. 5, with an eye-catching parade of 32 vehicles wrapped in official NFL team colors and logos. Almost 30 football legends, including “Keys to Victory” host Joe Theismann, will caravan down Ocean Drive .
“I’m excited to play host of ESPN’s Monday Night Football and GMC’s ‘Keys to Victory’,” said NFL legend Joe Theismann. “This innovative promotion not only allows me to interact with my fans and share insights on Monday Night Football match-ups, but also gives football fans everywhere a chance to win the greatest truck on the market.”
16 Weeks. 16 Trucks. 16 Chances to Win.
Beginning Sept. 1, NFL fans will log on to keystovictory.com for three chances to win the all-new 2007 GMC Sierra. Viewers will have the opportunity to win by:
1. Voting online for who they think will win each week’s Monday Night Football match-up (fans can gain insight by viewing a video analysis by Theismann)
2. Interacting with Theismann by answering football trivia questions
3. Interacting with the all-new Sierra vehicle via virtual tour
In addition, The Keys to Victory on-air poll will feature ESPN analysts discussing the GMC Keys to Victory and directing viewers to the web site to vote on which key to victory will be the most dominant in the game. The voter’s poll will be revealed on Sports Center at the conclusion of the game.
Football-Themed Advertising
The promotion is a piece of GMC’s advertising campaign launching the all-new 2007 GMC Sierra. “Keys to Victory” will be supported through multiple media channels including:
* Football- themed TV promotional spots that focus on “Keys to Victory” and the all-new 2007 Sierra.
* USA Today ads – print ads will run on Friday and Monday each week to drive traffic to the “Keys to Victory” web site through the weekly match-up – consumers will be able to make their vote for the game winner for a chance to win a 2007 Sierra.
* ESPN magazine presence – contextual ads will run in the magazine every two weeks
* Online Advertising - Fantasy Football and ESPN promotional and football-themed executions.
In addition, GMC will have exposure in the following:
* Monday Night Football Opening on ESPN – GMC and the Sierra will be featured numerous times during Monday Night Football Opening kicking off each Monday night game.
* Co-Branded ESPN spot – GMC will be featured in a co-branded spot produced by ESPN to promote Monday Night Football.
GMC’s relationship with the NFL began in 2004 when it became the first advertiser to have specific products featured in the Monday Night Football opening. In 2005, GMC aired the first 90-second football-themed spot when it was named, “the official vehicle of the NFL.”
Posted by Frank at 8:53 AM
Audio: U.S. Automakers: Too Many Brands, Too Little Courage
Interview with Co-Author of New Book 'Branding Iron'
NEW YORK -- The domestic auto industry is collapsing because Detroit executives have too many brands and not enough personal courage to change their companies' ineffective marketing practices, according to a new book by Charles Hughes, former CEO of Mazda North America, and William Jeanes, former editor of Car and Driver magazine. Mr. Jeans, who is also a former senior VP on the Ford account at JWT in Detroit, provides highlights from the book, "Branding Iron."
Link.
Posted by Frank at 8:29 AM
September 3, 2006
How a pair of car nuts started a million dollar business for $583
After eight years of working for others-after he'd owned his own business-Michael Lewis got the inspiration to start PFYC.com. The car enthusiast had been chatting on a Pontiac Grand Prix community Web site when he met Brian Marks, 28, and the two commiserated about the difficulty of finding specialty car parts. Both had jobs in the tech industry at the time, yet they wanted to launch a Web site to meet car hobbyists' needs. Says Lewis, 42, "We had this idea we could do this with little risk because we could use the Internet as our catalog."
The partners started part time out of their homes-with Lewis in Sammamish, Washington, and Marks in Raleigh, North Carolina. "We didn't even meet until we'd been working together for three months," says Lewis. Their earliest expenses were $55 per month for Web hosting and application fees for the Internet transactions and merchant bank account. To save money, they didn't stock inventory at first, but relied on drop-shipping from vendors instead.
Link.
Posted by Frank at 11:26 AM
Dad has to save daughter's checkbook from used car dealers
Sometimes young people learn the hardest life lessons right after they leave home. If they're lucky there's still a parent on hand to help guide the way. A few months ago my daughter Naomi found out just how unscrupulous used car dealers can be. She learned some valuable things about life, and I learned that no matter how old my daughter gets, I will always have the instinct to protect her.
Not that it has been easy. The stress of dealing with the dealers was enough to make a usually tranquil guy like me tighten up like a vise. I tried to relax using breathing techniques I had learned as a public school teacher working with special needs students. I am a patient man and in 20 years in the classroom, I have worked with some terrifically challenging kids—and their parents. However, like a steady tide inching its way over the sand, the tension gradually took over. The whole experience ranked right up there with being kicked in the head by a mule, an IRS audit or maybe a root canal without the benefit of anesthetic.
How did they try to stiff us? Let's count the ways. One unscrupulous salesman tried to convince my daughter to take a loan that just didn't add up. "We can make the payments work," he insisted. " You really don't have to worry about the price." Really?
Link.
Posted by Frank at 10:54 AM
Edmunds: Domestic Nameplates Spend Less on August Incentives
Edmunds estimated today that the average automotive manufacturer incentive in the U.S. was $2,390 per vehicle sold in August 2006, down $420, or 15 percent, from July 2006, and down $221, or nearly nine percent, from August 2005.
"This is a significant drop, but it is not unusual for incentive spending to decline in August,” remarked Dr. Jane Liu, Vice President of Data Analysis for Edmunds.com. "By late summer, new model year vehicles take up a greater proportion of sales, and they typically require significantly lower incentives than the older models. This year, new model year vehicles made up nearly 22 percent of August sales – an increase of seven percent compared to August 2005.”
Edmunds' monthly True Cost of Incentives report takes into account all manufacturers' various U.S. incentives programs, including subvented interest rates and lease programs, as well as cash rebates to consumers and dealers. To ensure the greatest possible accuracy, Edmunds.com bases its calculations on sales volume, including the mix of vehicle makes and models for each month, as well as on the proportion of vehicles for which each type of incentive was used.
The industry's aggregate incentives spending is estimated to have totaled approximately $3.6 billion in August, down 14.2 percent from $4.2 billion in July. Chrysler, Ford and General Motors (GM) spent an aggregate of $2.4 billion, or 68 percent of the total; Japanese manufacturers spent $713 million, or 20 percent; European manufacturers spent $307 million, or nine percent; and Korean manufacturers spent $127 million, or three percent.
According to Edmunds, combined incentives spending for domestic manufacturers averaged $3,135 per vehicle sold in August, down from $3,959 in July 2006. Compared with last month, Chrysler's incentives spending was up $245 to $2,868 per vehicle sold; Ford's incentives spending was down $534 to $3,330 per vehicle sold; and General Motors decreased its incentives by $1,364 to $3,133 per vehicle sold.
From July to August, European automakers decreased incentives spending by $32 to $3,001 per vehicle sold; Japanese automakers increased incentives spending by $15 to $1,311 per vehicle sold; and Korean automakers increased incentives spending by $26 to $1,723 per vehicle sold.
Comparing all brands, in August Scion spent the least, $74, followed by Porsche at $538 per vehicle sold. At the other end of the spectrum, Jaguar spent the most, $8,447, followed by Cadillac at $5,551 per vehicle sold. Relative to their vehicle prices, Jaguar and Mercury spent the most, 15.4 percent and 14.9 percent of sticker price, respectively, while Scion and Porsche spent the least at 0.5 percent and 0.8 percent, respectively.
Among vehicle segments, large SUVs had the highest average incentives, $4,760 per vehicle sold, followed by large trucks at $4,132. Compact cars had the lowest average incentives per vehicle sold, $720, followed by sports cars at $891. Analysis of incentives expenditures as a percentage of average sticker price for each segment shows large trucks averaged the highest, 13.5 percent, followed by large SUVs at 12.5 percent of sticker price. Luxury sport cars averaged the lowest, 3.0 percent, followed by sports cars at 3.3 percent of sticker price.
Posted by Frank at 10:40 AM
Tugger the little Jeep that stalled
This is the story about the little Jeep that dreamed, an Orlando animator who dreamed him up, an industry that's all about dreams, a local studio that sold them -- and the nightmares that now haunt them all.
Tugger is a children's 3-D animated movie, conceived and created in Central Florida by Genesis Orlando, a small, independent studio in Celebration. It's the story of a World War II Jeep that spends the postwar years at a small airport, dreaming of flying. It played only a few days in a small number of theaters in 2005, then vanished.
At best, Tugger offers a cautionary tale about the difficulties, rewards and risks of independent studios where many Orlando-based filmmakers turned when Walt Disney Co. shut down its Central Florida operations in 2004.
Tugger's production and failed distribution efforts to date created a trail of angry investors, contractors and ex-employees who say they didn't get paid. There are now eight lawsuits against Genesis or its founder, Jeffrey J. Varab, including a move by 11 investors last month to have the U.S. Bankruptcy Court in Orlando declare an involuntary bankruptcy of the company and wrestle away its assets -- notably Tugger.
Link.
Posted by Frank at 10:12 AM
