Automotive News Feed The 2020 Volkswagen Passat will receive new exterior styling, more standard safety equipment and an updated instrument panel but it won't land on a new platform or feature a new powertrain as the automaker, citing the shrinking midsize car market,... Two U.S. senators from Ohio on Tuesday asked General Motors CEO Mary Barra to commit to building all future electric vehicles for U.S. buyers at home and to provide more details of plans to cut back on car output in North America. McLaren Automotive has added another flavor to its 720S lineup by adding a convertible. An Argentine court convicted two former executives of a local Ford plant of involvement in the torture of workers during the country's dictatorship in the 1970s, victims' lawyers said, adding they may sue Ford in U.S. federal court. China has agreed to cut tariffs on U.S. Nissan will file corrected earnings for past years in which Carlos Ghosn, the company's ousted chairman, allegedly under-reported his compensation by tens of millions of dollars. A Tokyo court rejected ousted Nissan Chairman Carlos Ghosn's appeal to end his detention following his arrest last month on allegations of financial misconduct. Upstart online used-car retailer Vroom said it raised $146 million in its latest round of funding, including a previously reported $50 million from AutoNation Inc. Santa Claus takes on a modern look in a new Audi ad that shows him shedding pounds when he endures a bit of a mid-life crisis after realizing that he can't fit into an RS 5 at his current weight. Tesla CEO Elon Musk criticized '60 Minutes' for editing out parts of his responses to questions about losing the role of chairman last month. Hertz and Clear announced the debut of Hertz Fast Lane Powered by Clear, a service that uses biometrics to speed members through the rental car process. Nissan is taking the first comprehensive steps to share details with Renault about allegations against Carlos Ghosn, according to a person familiar with the matter. The Ford Ranger is returning next month as the most fuel-efficient gasoline-powered pickup on the U.S. market. The redesigned Jeep Wrangler failed one of several crash tests performed by Euro NCAP, the European version of crashworthiness studies performed by NHTSA and the Insurance Institute for Highway Safety. Hyundai Motor Group's two vice chairmen in charge of randd have offered to resign, three people familiar with the matter told Reuters. Hyundai and its suppliers plan to spend $6.7 billion through 2030 to raise production of fuel cells by more than 200-fold as the automaker targets to become a key player in the new-energy vehicle technology. China's automobile sales fell about 14 percent in November from a year earlier. It was the steepest decline since January 2012, when the timing of the Lunar New Year holiday hurt auto sales. Starboard Value is calling on Cars.com to improve its performance or consider selling itself or making management changes, about nine months after the activist hedge fund reached a settlement agreement with the online auto-dealing platform. Alejandro Vukotich will replace Elmar Frickenstein, who has been in charge of the department since it was created in May 2016 and who will retire after a three-month handover phase in March. "We set another important milestone for the electrification of our future electric vehicles," Wilko Stark, who oversees procurement and supplier quality on the board of Mercedes-Benz Cars, said. Ethical practices in automotive finance have evolved significantly in recent decades, with a boom in automotive retail regulations. Automotive News explores this evolution in this special section. Price pressure, rising interest rates and a shrinking supply of affordable vehicles have auto dealers worrying more about business as they look toward 2019, according to the Cox Automotive Dealer Sentiment Index survey for the fourth quarter. Ford said it started negotiations with German worker representatives about potential job cuts at its Saarlouis plant following a decision to discontinue production of its Ford C-Max model. The UAW is urging the White House to go beyond gains in the tentative United States-Mexico-Canada Agreement in any free-trade agreement negotiated with Japan. The Ford executive is now responsible for leading the automaker's global vehicle programs under product development, with Graham Pearson leading product development for Asia Pacific and China. A Rio de Janeiro apartment containing cash, art works and personal belongings of Carlos Ghosn has become the latest battleground between the indicted former Nissan chairman and the automaker. Ford has taken a giant leap into an enormous project to remake where employees think, design and create the vehicles of the future in a Detroit campus that is four years away from becoming reality. Carlos Ghosn's arrest in Tokyo is already having consequences, from product marketing to international diplomatic relations. More complications could be ahead. Carlos Ghosn and Nissan were indicted in Japan on Monday for understating Ghosn's income, as Tokyo prosecutors pushed ahead with the criminal investigation that has shaken the global auto industry. Robert Bosch, the world's largest automotive supplier, discussed the merits of a potential stock market floatation with investment bankers as part of a broader funding review, but has chosen to remain unlisted, people close to the matter said. Nissan promised to improve corporate compliance after Tokyo prosecutors indicted former Chairman Carlos Ghosn, close aide Greg Kelly and the automaker itself for allegedly understating Ghosn's compensation. German supplier Continental is considering acquiring software makers after the flotation of its powertrain unit expected in the second half of 2019, CFO Wolfgang Schaefer told Boersen-Zeitung. Renault, the automaker in which the French state is the most powerful shareholder, is headed into a decisive week over its leadership. Tesla will start the European rollout of its Model 3 in February, putting pressure on German premium brands that have seen the Model S outsell flagship sedans such as the Mercedes-Benz S class. Like Lyft, Uber last week submitted its IPO filing to the Securities and Exchange Commission, a person familiar with the matter told Bloomberg. Dhivya Suryadevara has quickly risen through the ranks of GM since starting as a senior financial analyst in 2005. SK Innovation will spend $1.67 billion to build an EV battery plant in Commerce, Ga. Some think that is just the beginning. With three weeks left in 2018, California already has had a record year for the number of manufacturers permitted to test autonomous vehicles, the number of those vehicles permitted on the road and the number of crashes involving those vehicles. While other boxy designs have come and gone #8212; Scion xB, Nissan Cube, Honda Element #8212; Kia's Soul has built longevity through loyalty. General Motors' decision to idle four U.S. assembly and parts plants could provide ammunition for critics of President Donald Trump's new North American trade agreement. Toyota and Mazda will spend $1.6 billion to build an assembly plant in Huntsville. Things have changed since their last greenfield ventures. As Ford has tried to downplay its ongoing talks with Volkswagen Group, VW CEO Herbert Diess, who last week said VW is eyeing access to Ford's U.S. manufacturing footprint, keeps upping the ante. Heading into 2018, U.S. auto sales appeared headed for a second-straight annual decline. But it hasn't played out as expected: Sales have remained steady even as incentives were disciplined and prices rose further. What does a 2014 Jeep Compass Sport have in common with a Soviet submarine? A Florida store's $4.8 million settlement of a robocalling lawsuit is the latest wake-up call for dealers to remain vigilant about unwanted advertising messages to current and prospective customers. As Volvo prepares a new and improved version of its Care by Volvo subscroption service, California hears the grumbling of dealer protests. The latest Final Edition of the iconic Volkswagen Beetle will have special colors, badging and wheels as the bug drives into the sunset next year, just as it did 15 years ago. It seems likely that the much-discussed new Land Rover Defender will be built outside of England. Brembo navigates the curves of supplying high-end brakes while managing the transition to brake-by-wire. The redesigned RDX has gotten off to a torrid start, but brand chief Jon Ikeda says Acura isn't planning more crossovers. In an interview with CBS's Lesley Stahl, the Tesla CEO said he doesn't respect the SEC, declared his interest in buying a shuttered GM factory and credited a parking lot assembly line with saving the company. Ousted Nissan boss Carlos Ghosn faces a landmark day in his Japanese judicial ordeal on Monday when prosecutors must decide to either indict or free the jailed auto executive. With industrial space in Detroit in short supply, a regional group is eyeing two Detroit airports as a site for future industrial development. VW denied allegations that Chairman Hans Dieter Poetsch knew about the automaker's emissions test cheating almost three months before U.S. authorities made it public. Carlos Ghosn was planning to remove Nissan CEO Hiroto Saikawa before Ghosn was arrested in Japan last month for alleged financial misconduct, people familiar with the matter said. Fiat Chrysler Automobiles CEO Mike Manley clearly learned many lessons from his predecessor -- and even some the late Sergio Marchionne never intended to teach. Mazda doesn't see the slowing sedan market as an excuse to become complacent about its cars. In fact, it sees this as the perfect time to raise the bar with an artistic approach to design that enhances some of their emotional allure. Genesis' steep sales dropoff is largely a byproduct of the brand's accelerated separation from Hyundai. The relationship between compliance and ethics is especially acute in the FandI department. The fuel economy on some redesigned Chevrolet Silverado and GMC Sierra models will be worse than the outgoing pickups they're replacing. Tesla General Counsel Todd Maron is leaving the company, adding to a long list of senior management departures this year. Tesla said it hired Washington lawyer Dane Butswinkas as his successor. The Detroit auto show, seeking to reinvent itself following decades as a January venue, has committed to seven years with its new June date. Vehicle-shopping site TrueCar has acquired DealerScience, a provider of digital-retailing software, for $27 million, the companies said Friday. DealerScience's founder will also join TrueCar's executive team effective immediately. Chevrolet has launched a national employee pricing sales campaign on all 2018 and some 2019 models through the end of the year. Metal components supplier Tower said it agreed to sell off its European division to a privately owned French automotive supplier in a deal valued at about $291 million. Nissan said it will build 50 versions of the GT-R50 by Italdesign, which was unveiled earlier this year at the Goodwood Festival of Speed in the U.K. The car starts at $1.1 million. Tokyo prosecutors are expected to charge Nissan as a corporate entity, alongside ousted chairman Carlos Ghosn for allegedly violating financial laws, a report said. Monday marks the end of Carlos Ghosn's 22-day detention, having been held without charge since his arrest on suspicion of under-reporting compensation following a whistleblower tip. Ford has taken the first step in restructuring its money-losing European business that is expected to involve axing models, cutting jobs, and possibly factory closures. Tesla notified holders of bonds due in March that if they elect to convert the debt, they'll be paid with a 50-50 mix of cash and stock, according to a copy of a document seen by Bloomberg. President Donald Trump will finally have his own permanent nominee running the Bureau of Consumer Financial Protection, a controversial agency that Republicans say has stifled economic growth. Renault is aiming to reach in about a week the first conclusions of an internal probe into whether the pay packages of Carlos Ghosn and other top managers of the automaker were properly disclosed. Nissan discovered more final inspection problems and said it will recall 150,000 vehicles in Japan as an executive blamed ousted boss Carlos Ghosn for partially fanning the lapses. The Federal Trade Commission said it will mail out 43,456 checks totaling more than $3.5 million for customers that fell prey to Sage Auto Group's deceptive practices from 2014 to 2016. Despite an increase in subprime loan volume in the third quarter, subprime market share hit its lowest level in more than a decade, according to Experian. Sergio Marchionne's frenetic, nonstop pace extracted much too heavy a toll on the man himself. Fiat Chrysler Automobiles plans to reopen its long-idled Mack II engine plant in Detroit as an assembly plant to build three-row Jeep SUVs, The Detroit News and CNBC reported today, citing multiple sources familiar with the plans. GM CEO Mary Barra came under harsh criticism from members of Congress from Michigan for building a new vehicle in Mexico while planning to end production at five North American assembly plants. The automaker's treasurer, head of European product development and Asia Pacific manufacturing chief will leave at the end of December. Lexus plans to unveil a new superfast coupe at the Detroit auto show in January, just months before it hits the market. Lyft filed confidentially for an initial public offering of stock, pulling out ahead of Uber Technologies in the race among ride-hailing companies to go public. After nearly a decade of developing and renewing its leadership team internally, Fiat Chrysler has hired a pair of outsiders #8212; including a high-ranking Amazon executive #8212; for leading roles in its most profitable region. VW said there will be a "massive reduction" in the complexity of its model portfolio as it seeks to raise profit margins for its core brand. Autoliv said it is setting aside $210 million this quarter to cover a fine it expects the European Commission to impose after a long-running anti-trust investigation. Donald Trump's push to get Congress to quickly pass his NAFTA replacement trade deal -- a crucial deal for the auto industry -- will require the president to take an uncharacteristic approach in negotiations: seek compromise while resisting... Ohio senators Sherrod Brown and Robert Portman urged GM's CEO to accelerate contract talks with union officials and decisions on where to build new products so the state's Lordstown plant can continue operating. Google's autonomous driving affiliate Waymo began offering commercial service with its self-driving Chrysler Pacifica plug-in hybrid minivans. The service is called Waymo One. While Toyota remains "very, very bullish" on the overall market, Jim Lentz said "some crazy" potential implications from trade and U.S. Two of the four largest body shop consolidators in the U.S. are merging. What does this mean for dealership-owned shops? Even in a hyper-polarized Washington, there's been one area of consensus lately on Capitol Hill: anger at General Motors and its CEO, Mary Barra. She will face that ire during two days of meetings this week. Production of the Audi e-tron started in September as planned and on time in Brussels, with hopes of reaching maximum output this year if the supply chain does not falter. The latest issue of the Automotive News Europe monthly magazine is ready to view. The new edition examines why Europe is at risk of falling behind in the race to offer self-driving cars. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Startup is Orit Shifman, who is group CEO, chairman and founder of OSR Enterprises. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Sales is David Oliveira, who is Faurecia's deputy vice president of advanced sales and marketing. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Sales is Cristiana Alicata, who is sales director for Mazda Italy. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for New Mobility is Gareth Dunsmore, who is electric vehicle and zero emissions strategy director at Nissan Europe. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Marketing is Artur Martins, who is vice president of marketing and product planning at Kia Europe. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Manufacturing is Niclas Pfueller, who is general manager of Brose's factory in Ostrava, Czech Republic. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Manufacturing is Monika Gutenschwager, who is executive director of quality at Adient. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Manufacturing is Mohamed Chakib, who is plant manager for IAC Group's factory in Opole, Poland. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for IT is Mikael Moeslund, who is co-founder and CEO of Loyalty Factory. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for General Management is Natalie Robyn, who is managing director of Volvo Cars Switzerland. Automotive News Europe honors the winners of the 2018 Rising Stars awards. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for General Management is Cristiano Musi, who is CEO of Landi Renzo. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Finance is Daniel Klein, who is chief financial officer at Mehler Engineered Products. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Engineering is Juergen Schranz, who is senior director of electrification for driveline systems at Magna Powertrain. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Electrification is Gorazd Gotovac, who is chief technology officer at Elaphe Propulsion Technologies. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Business Development is Jarkko Ahlbom, who is category manager for global fleet at Konecranes. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Aftermarket is Luigi Ksawery Luca, who is mobility and connected car director at Toyota Europe. Age: 35Title: Vice president of telematics, Harman International Age: 44Title: Senior vice president for product marketing and strategy, Volkswagen brand, Volkswagen... Age: 40Title: COO, Audi of AmericaBig break: In 2010, he... Age: 40Title: International trade attorneyBig break:... In an era when traditional car companies and suppliers are competing with tech startups (or acquiring them) there are new methods of finding and furthering their careers of the best and brightest. Age: 38Title: Director of marketing, CadillacBig break:... Age: 44Title: Chief Operating OfficerBig break: Herman was... Age: 43Title: Senior vice president, Nissan North America manufacturing, supply chain management and... Age: 45Title: Vice president, global powertrain purchasing and global purchasing operations, Ford Motor... Age: 43Title: Senior manager of integrated marketing, Acura Division Age: 46Title: Vice president of global supply chain, AdientBig... Age: 41Title: Director, Global CX Strategy and Enterprise Experiences, General Motors Age: 37Title: Senior group manager of pricing and market analytics, Hyundai Motor America Age: 40Title: Executive director of program excellence, Adient Age: 38Title: Vice president, program management and quality, Harman International Age: 40Title: Vice president of FCA customer group, AdientBig... Age: 34Title: Chief compliance officer, Volkswagen Group of America Age: 46Title: Regional business unit leader for commercial vehicles, Robert Bosch. Age: 41Title: CEO, motormindzBig break: In 2012 was... Age: 39Title: Vice president, product line mid-/full-size, Volkswagen Group of America Age: 43Title: Senior manager for incentive strategy, analytics and administration, Toyota Motor North... Age: 40Title: CEO, Gentex Corp. Age: 44Title: Chief of North American engineering services, Continental AG Upstart online used-car retailer Vroom said it raised $146 million in its latest round of funding, including a previously reported $50 million from AutoNation Inc. KAR Auction Services said it agreed to buy Belgium-based online auction company CarsOnTheWeb for about $176 million. Certified pre-owned vehicles are selling quicker and with better margins, according to J.D. Power. The auction services and technology company's core businesses helped offset continued costs associated with its rollout of TradeRev. Lithia Motors is investing $54 million into online used-car buying startup Shift Technologies. The money will help Shift expand technologically and geographically. The volume of retired rental vehicles headed for auctions is steadily on the decline. Industry sales of certified pre-owned vehicles bounced back in the first half, rising 3.3 percent, after a flat performance in 2017. Manheim has wrapped up a three-year, $100 million high-tech makeover of its physical auctions, re-engineering every process and replacing old technology. Prices for small used cars are climbing to unexpected levels- a sign that demand is growing as price-sensitive consumers face dwindling options in the new-car market. ADESA is aggressively enhancing its online auctions -- through technology, analytics and machine learning -- in an effort to maintain its lead in private-label sales. The sale of a 2017 Mercedes-Benz G550 for $239,500 in late April shows how ACV Auctions, an app-enabled dealer-to-dealer auction platform, has matured. German car-rental company Sixt is the first third-party seller integrated into MBonDemand, a Web-based platform for sales of used Mercedes-Benz vehicles. Online used-car retailer Carvana's first-quarter net loss widened to nearly $53 million, while revenue and vehicle sales both more than doubled to records. The auction industry is likely to see fewer traditional wholesalers going forward, but they are evolving into online and smartphone app-based operations. It was all hands on deck for an auction of used Lexus and Toyota vehicles on the retired aircraft carrier USS Midway. Online auctions will continue to make inroads, but physical sites remain a necessity, a study prepared for the National Auto Auction Association found. Shift Technologies, an online used-car retailer, is partnering with Manheim for services such as vehicle storage, reconditioning, imaging and inspections. Used small cars drew lots of buyers at auctions March 16-23, pushing prices up the most in two years, as used-car dealers loaded up ahead of tax season. The National Auto Auction Association's new safety guidelines are aimed in part at preventing dealership employees from distracting drivers in the lanes. Digital price tags for vehicles bolster the one-price, no-haggle policy at two Florida Audi dealerships and shorten the buying process for customers. At NADA: How auto industry can shed its sexist image; Carvana's big challenge; A virtual aide named Nexi; Leadership tips from legendary football coach Nick Saban. Audi in the next 60 days plans to tweak to its certified pre-owned vehicle program to help improve dealer profitability, Audi of America President Scott Keogh told Automotive News. A online search for the perfect CPO hatchback quickly turned into a technological nightmare, including accusations of attempted fraud. As the number of vehicles coming off lease rises, Mercedes is incentivizing dealerships and consumers to push certified preowned sales. Hertz and Clear announced the debut of Hertz Fast Lane Powered by Clear, a service that uses biometrics to speed members through the rental car process. Robert Bosch, the world's largest automotive supplier, discussed the merits of a potential stock market floatation with investment bankers as part of a broader funding review, but has chosen to remain unlisted, people close to the matter said. German supplier Continental is considering acquiring software makers after the flotation of its powertrain unit expected in the second half of 2019, CFO Wolfgang Schaefer told Boersen-Zeitung. Magna's engineers were looking for styling improvements when they began rethinking door latches. And they kept asking, "What if?" The original Danny and the Cruisers album coverlike photo, above, was apparently such a hit that General Motors decided to re-create it. Brembo navigates the curves of supplying high-end brakes while managing the transition to brake-by-wire. Metal components supplier Tower said it agreed to sell off its European division to a privately owned French automotive supplier in a deal valued at about $291 million. Autoliv said it is setting aside $210 million this quarter to cover a fine it expects the European Commission to impose after a long-running anti-trust investigation. Ford's upcoming Mustang Shelby GT500, which will be revealed next month at the Detroit auto show, will be made with two 3D-printed brake parts from a new manufacturing center near Detroit. Ford's $11 billion restructuring could cost 25,000 employees their jobs, with Europe bearing the brunt of the cuts, according to Morgan Stanley. Ford's $11 billion restructuring could cost 25,000 employees their jobs, exceeding the cutbacks General Motors announced last week, according to Morgan Stanley. Democratic Republic of Congo has declared cobalt a "strategic" substance, according to a government decree, raising the royalty rate miners will pay to 10 percent. Goodyear's run-flat tire enabled automakers to do away with spares, jacks and other tire-changing gear. That translated to a net vehicle weight savings, even though the innovative new tires were heavier than standard ones. The latest issue of the Automotive News Europe monthly magazine is ready to view. The new edition looks at why the traditional automotive merger is being replaced by a dizzying array of ecosystems, alliances and collaborations. Dan Ammann stepping down as president to lead the company's autonomous-vehicle unit ushers in a new era for the automaker's executive leadership team. Auto companies are forming varied collaborations, often with players from outside the automotive world, as they try to stay on top of the latest technological trends. In the past year, Aston Martin has unveiled two unique concepts that go beyond hand built, ultraluxury cars: a small personal aircraft and a small personal submersible. General Motors President Dan Ammann will step down from his role to become CEO of the automaker's Cruise autonomous vehicle unit. The move -- effective Jan. GM puts Ammann in charge of AV unit; From L.A. Show: 'Business as usual' at alliance, Mitsubishi exec says; VW's Keogh to Trump: Enough tariff talk; A new Buzz, a last Beetle. Schaeffler plans to expand its drivetrain portfolio to include electric motors as early as 2020 following last year's acquisition of wholly-owned subsidiary Compact Dynamics. Martinrea's factory in nearby Ajax, Ont., supplies GM's Oshawa plant with parts for the Cadillac XTS and the Chevrolet Impala, according to The Globe and Mail. Neither car will be made beyond 2019. Samsung is planning to open a $62.7 million automotive battery plant near Detroit that would create 461 jobs by the end of 2024. In the past year, Aston Martin has unveiled two unique concepts that go beyond hand built, ultraluxury cars: a small personal aircraft and a small personal submersible. General Motors' Oshawa Assembly Plant buys about $2.26 billion a year in auto parts and tools from Canadian suppliers, which in turn supports about 10,000 jobs, APMA President Flavio Volpe estimated. Fiat Chrysler is considering options for its robotics arm Comau, including a potential sale at a value of $1.7 billion to $2.3 billion, Bloomberg reported. The conglomerate plans to spend about $1 billion to build its first electric vehicle battery plant in the United States to better compete in the global market. Fiat Chrysler Automobiles is considering options for its robotics arm Comau, including a potential sale at a value of $1.7 billion to $2.3 billion, people familiar with the matter said. One of the loudest voices in Canada's corner during trade talks to replace the North American Free Trade Agreement was Jerry Dias. Magna International CEO Don Walker, a 2018 Automotive News All Star, unveiled moves this year to partner with technology partners in ways that transcend the traditional supplier role. 2018 Automotive News All Star Hau Thai-Tang, executive vice president of product development and purchasing at Ford Motor Co., led a problem-solving effort when a fire threatened a key supplier for the F-150 pickup. France became the latest European country to call for regional battery manufacturers and automakers to create a consortium able to meet the anticipated demand for EVs and compete with dominant Asian producers. U.S. chipmaker Nvidia has signed separate deals with Chinese EV startups XPeng Motors, Singulato Motors and SF Motors to develop autonomous driving technology. VW Group reached a deal with U.S. semiconductor maker Broadcom, ending a billion-dollar patent lawsuit that pitted the automaker against its supplier, a source close to VW said. Continental CEO Elmar Degenhart called for political support for diesel cars in the face of increasing driving bans in Germany. Germany's Volkswagen has struck a deal with U.S. semiconductor maker Broadcom , ending a billion-dollar patent lawsuit that pitted the carmaker against its supplier, a source close to VW said. Thyssenkrupp's supervisory board failed to agree on recruiting outgoing Daimler CFO Bodo Uebber as its chairman after the executive's compensation demands drew fire from employee representatives. Thyssenkrupp's supervisory board failed to agree on recruiting outgoing Daimler CFO Bodo Uebber as its chairman after the executive's compensation demands drew fire from employee representatives, Reuters reported. Calsonic Kansei CEO Beda Bolzenius, a native of Germany, is working to diminish his Japanese company's heavy reliance on its biggest customer, Nissan, after just eight months on the job. Mali is on track to start lithium production by 2020 following the discovery of exploitable reserves, a senior mines ministry official told Reuters. Mali is on track to start lithium production by 2020 following the discovery of exploitable reserves, a senior mines ministry official told Reuters. It was not immediately clear whether tariffs against Canada would also be lifted after Canada, Mexico and the United States sign the revamped trade deal, slated to happen this month. One of Europe's suppliers, Germany's Brose, is taking a conservative path in the EV market and focusing on other product areas. German battery maker Varta has sealed a research agreement to lay the groundwork for mass production of lithium ion battery cells for EVs as it seeks to take on Asian leaders in the sector. Johnson Controls exits the industry stage to return to its 135-year-old roots of focusing on climate control systems for buildings. The need for traditional dealers to get innovative in the pre-owned space was apparent at the 2018 Used Car Week annual event in Scottsdale, Ariz. JCI's big battery unit just sold for billions -- and believe it or not, electric vehicles are not where the future action is. Veracruz is the largest auto port in Mexico, processing nearly 60 percent of its imports and exports. SRG Global Inc.'s product portfolio ranges from coating finishes to front grilles. Grilles also now include lightweight options, CEO Dave Prater says. One of Europe's largest motor suppliers, Brose Fahrzeugteile, is taking a conservative path in the EV market and focusing on other product areas. Automotive giant Johnson Controls exits the industry stage to return to its 135-year-old roots of focusing on climate control systems for buildings. Three transmissions, each representing a breakthrough, won three Automotive News PACE Awards for Germany's ZF in 2002, 2010 and 2014. Onboard cameras are beginning to watch drivers to make sure they have their eyes on the road. Is this a Pandora's box of privacy issues? Tuxpan, a small port on the Gulf of Mexico originally envisioned for container business, is becoming an auto relief valve for the crowded Port of Veracruz. Nissan will ship vehicles through the Pacific Northwest for the first time via a facility being built by North American logistics partner Wallenius Wilhelmsen Solutions at the Port of Tacoma, in Washington. A new heat treatment facility to eradicate stink bugs and other pests at the Port of Baltimore is designed to speed processing of vehicles being shipped to Australia and New Zealand. The second-largest U.S. port for vehicle trade is close to finishing the first phase of a new auto terminal that will expand its capacity 25 percent. Brunswick is the rare port with lots of available land for expansion, and the Georgia Ports Authority is taking advantage of it with an aggressive growth plan aimed at winning new customers and capturing greater market share. Mercedes-Benz will be the first European automaker to deliver vehicles to Canada's western provinces via an all-water route. SSA Marine this year opened a $50 million vehicle processing center at the Port of Lazaro Cardenas, in Mexico, under a 30-year exclusive operating agreement with the port authority. Port Freeport, in the middle of the Texas Gulf Coast, began handling autos in June 2015. A joint venture between Argentine and Chilean port services companies has begun site preparation for a new auto facility at the Port of Mobile, in Alabama. A new car carrier from Mitsui O.S.K. Lines called the Flexie series eases the loading and unloading process and increases cargo capacity. If you really want to transform a company, hire a foreigner to run it. Japan's Calsonic Kansei did. A company formed by two veteran Bosch engineers is seeking to make the open-source software that powers many experimental self-driving cars safe and reliable. A company formed by two veteran Bosch engineers is seeking to make the open-source software that powers many experimental self-driving cars safe and reliable enough to be used in commercially available vehicles. Dayco, a maker of engine parts for vehicles and industrial equipment, has received offers from bidders including Apollo Global and Gores Group, people familiar with the matter told Bloomberg. The EPA will waive some hazardous waste regulations for auto dealerships and other businesses disposing of airbags in hopes of ensuring proper disposal of potentially deadly Takata airbag inflators. The Trump administration will hold off for now on imposing new tariffs on automobile imports as top officials weigh revisions to a report on the national security implications, Bloomberg reported. VW, Daimler and BMW are bracing themselves after the U.S. circulated a draft report on tariffs and the EU said a looming trade war between Europe and the U.S. may soon come to an end. Valeo has kept pace as the automotive industry moves toward more electrification and autonomous driving technology. Company CEO Jacques Aschenbroich spoke to Automotive News Europe about how the supplier is adapting to a changing industry. Chinese automaker Zotye's U.S. sales plan: Budget CUVs, flexible facilities; JCI selling battery unit; Ford 'Baby Bronco' spied; Toyota rewards a hero; Remembering Stan Lee. Johnson Controls said it would sell its power solutions business, which makes car batteries, to a Canadian investment firm in a cash deal valued at $13.2 billion. Thyssenkrupp will propose departing Daimler CFO Bodo Uebber as a candidate for its supervisory board, with the aim of installing him as chairman, Reuters reported. Thyssenkrupp will propose outgoing Daimler CFO, Bodo Uebber, as a candidate for its supervisory board, with the aim of installing him as chairman, Reuters reported, citing two sources familiar with the matter. New CDK Global CEO Brian Krzanich has no experience in the auto industry, but he might just have the tech skills the company needs. Ford open to AV partnerships, exec says; M-B to advertise in Super Bowl LIII; Jeep pickup debut in LA?; Porsche launches employer image campaign; Suppliers sound alarm on tariffs. Uncertainty over international trading conditions, profit warnings from two leading German automakers and the death of a CEO all contributed to declines seen in the latest Automotive News Europe/PricewaterhouseCoopers Transaction Services... The up-in-the-air status of a U.S. Department of Commerce 232 national security investigation remains a thorn in the side of suppliers, as they brace for potential price pressures throughout the supply chain. Hella's PACE Award-winning LED Matrix Beam headlights could turn 25 LEDs on and off to shift high beams away from oncoming vehicles. In remote northern Nevada, an automotive supply chain hot spot emerges. As Novelis looks deeper into aluminum opportunities in automotive, it expands its research footprint. Toledo's port authority is using spec building to stimulate the city's historic automotive manufacturing presence. Automotive seat maker Adient, which has struggled to maintain consistent profitability since its spinoff from Johnson Controls in 2016, suspended its dividend as it reported a quarterly net loss of $1.35 billion. Magna said its third-quarter profit grew compared with a year ago as revenue also climbed, but the supplier trimmed the outlook for the year on production headwinds. Magna said its third-quarter profit grew compared with a year ago as revenue also climbed, but the Canadian auto supplier trimmed the outlook for the year on production headwinds. Continental reaffirmed its outlook for a margin decline in 2018, citing warranty claims and weaker auto production in China and Europe. BMW has strengthened its logistics to include air freight options as part of contingency plans to prepare itself for the UK's exit from the EU. Delphi Technologies reported sharply lower net income for the third quarter, largely due to factors that hit other supplier results, especially an unexpected decline in sales in China. Former Magna International CEO Belinda Stronach -- already the target of a $520 million lawsuit filed by her billionaire father Frank Stronach -- is now being sued by her brother Andrew. Samsung says Harman has put the company "firmly in the picture of the automotive industry" as it eyes the autonomous car market. When NASA released the results of a 10-month study on Toyota vehicles on Feb. 8 concluding that the automaker's cars did not have an electronics problem that caused unintended acceleration, one of Bloomberg BusinessWeek's columnists said the media owed the company an apology. There is no ghost in the machine and the intense media coverage caused a frenzy, Bloomberg BusinessWeek columnist Ed Wallace wrote. I know Ed personally and have tremendous respect for him. But I must part ways on this issue. Toyota may not have had electronic throttle issues. But certainly the company had plenty of other problems. Just today, Toyota announced its biggest recall in a year. The Japanese auto giant recalled 2.17 million vehicles because of carpet and floor mat flaws that could jam gas pedals. Toyota has recalled more than 12 million vehicles globally since November 2009, many of them related to unintended acceleration claims. Of those actions, 5.3 million vehicles were recalled to fix floor mat problems. Some of the cars were recalled because of a sticking accelerator pedal. It may not have been electronics, but there were problems. Toyota has had other investigations and recalls not related to unintended acceleration. Last week, the National Highway Traffic and Safety Administration opened an investigation into the 2006 Highlander hybrid amid claims that the SUV stalls frequently. In January, Toyota voluntarily recalled 1.7 million vehicles for potential defects in fuel pipes and pumps, Bloomberg reported. On Jan. 10, Toyota CEO Akio Toyoda told reporters that the recalls have inflicted "big damage" on the company, but he maintained that its cars are safe, Bloomberg reported at the time. Back to the apology. While it's clear that there is no mystery magnetic glitch in Toyota's cars and that they are as safe as anyone else's vehicles, forget the apology. First of all, investigations are news. So long as the media reports the conclusion, it's in the public's interest to know what's happening. Second, Toyota's lost its once-astute focus on quality. Rapid expansion of its model lines and sprawling archipelago of factories has made it difficult to mind every detail, which was a principal tenet of the company. Consumer Reports has found a decline in the quality of interior finishes in Toyotas for the past three or four years, David Champion, the magazine's director of automotive testing, told Bloomberg for a Jan. 12 story. The company whose customers once relied on Toyota for bullet-proof quality and reliability suddenly suffered a rash of problems. In fairness to my old pal Ed, some media reports accepted the unintended acceleration claims as gospel. But that alone does not exonerate Toyota. Sorry Ed, but it's the customers - not Toyota - who deserve the apology. Toyota's executives have apologized, and justifiably so. After my last missive gave a 'thumbs down' to Chrysler's 200 ad, which aired during the Super Bowl, one reader asked for my take on Volkswagen's "Darth Vader" spot for the Passat. Since more of you disagreed with my view on Chrysler's Eminem ad than sided with me, I'm flattered. In VW's ad, a young boy is marching around his house in a Darth Vader costume that must be the envy of the neighborhood. He tries to use The Force to get his dog to rise, open the dryer, move a sandwich across the counter, and all in vain. Finally, dad comes home in the Passat. Junior Darth starts with the Jedi gesticulations to get the car to do something. We don't know what exactly. Dad uses remote start from inside the house to fire up the ignition. His son is shocked. He got the force to work. He thinks he started the car with Jedi mind tricks. It can only be a good sign that Detroit carmakers have the cash on hand to advertise in pricey venues like the Super Bowl. But in Chrysler's case, the money for its "Imported from Detroit" ad for the new 200 sedan may have been better spent elsewhere. The commercial starts with gritty images of bleak urban ruins, smoke stacks and downtown Detroit set against a lead-grey sky. The narrator asks, "what does this city know about luxury?" As we see more images, rapper Eminem comes onscreen driving a Chrysler 200, which replaced the weak-selling Sebring sedan late last year. The opening riff to his tune "Lose Yourself" eerily starts in and Eminem cruises the city. By the end of the ad he walks into Detroit's Fox Theater where a gospel choir is singing. He then points into the camera and says, "This is the Motor City. And this is what we do." The imagery is nicely done and Eminem is cool, but this ad misses the mark for several reasons. 1. The 200 is the wrong car. No one confused the old Sebring with luxury and this car is an upgrade, but not a completely-new model. The 300 is Chrysler's big, stylish, pseudo-luxury car for the gangsta set. No way Eminem drives a 200. His bag man probably wouldn't drive a 200. The 300 would have been a better choice. 2. We didn't see enough of the car. The ad is expertly shot and brings to life the idea of a tough and resurgent Chrysler and Detroit. It shows a side to the human side to Motown that most outsiders don't know, but it shows so little of the car that it's tough to conclude that Detroit, or more specifically Chrysler, can do luxury. 3. To the rest of the nation watching the Super Bowl, Chrysler is struggling to make it back and Detroit as a city has been left for dead. Trying to raise the prospects of both in one ad is, shall we say, extremely ambitious. 4. Troubled American car brands need to get away from gritty Detroit imagery. No one needs reminding that Detroit is a city in serious trouble and that two of the Big Three would have disappeared if not for a government bailout. Domestic brands have to change the conversation for generations of Americans who abandoned them years ago and for young consumers who don't know them. Ford has been plugging quality and technology like Sync. Chevrolet and Buick have been talking about fuel economy, Bluetooth and 40-gig hard drives in the dash. Both ideas are getting traction. Chrysler can boast that the 2-minute ad, which is long for a Super Bowl commercial, got the new car some much-needed attention. Auto research website Edmunds.com said that after the ad aired, 1,619% more people (about 8,300 in total) went to the site to look at the 200 than typically search for it on a Sunday evening. The problem with the comparison is that few people were looking at the car to begin with. Edmunds says that 681 people on average were shopping the car before the ad aired. An average of 15,911 typically shopped for the competing Hyundai Sonata. Will these new visitors buy the car? That will be the real test. The Sebring sold fewer than 25,000 cars last year. For comparison, Ford sold 219,000 of the competing Fusion. Chrysler got some sizzle with the ad, but there may not be enough substance to generate sales. There's a subtle rivalry brewing in the luxury car business. Audi and Cadillac are both hamming it up with television advertising to make the case that they're the hip antidote to stodgy traditional luxury (read: Mercedes). In recent ads, both of them have new commercials loaded with imagery painting luxury as cold and stuffy as they take a fun stab at old money. One of Cadillac's newest ads depicts an older couple having an anniversary dinner at their long dining room table. Actor Laurence Fishburne intones, "blue-blooded, cold." Cut to racy imagery: a motorcycle roaring down the highway, a young guy eyeballing a beautiful woman in a glass elevator. The ad eventually goes to a Cadillac CTS and Fishburne asks, "What happened to luxury? Where did the personality go?" The point, of course, is that Cadillac brings something new and edgy to the luxury market. The theme is "red-blooded luxury." Audi takes it a step further. On one of the German brand's newest ads is an obvious play off the classic Margaret Wise Brown kids' book "Goodnight Moon," with a vaguely creepy animated fox fur and other classic luxury items such as a well-coiffed French poodle and gold cuff links. "Goodnight outdated. Goodnight stuffy," the ad says. "Good night old luxury and all of your wares." Then we see a Mercedes sedan. Its lights go out. The ad concludes with a beauty shot of an Audi A8 sedan and we hear, "good morning, innovation. Good morning, unequalled inspiration." Audi likes throwing down the gauntlet before its German rivals. The brand has taken on BMW several times. Audi actually staked its claim as the newest and coolest luxury brand several years ago with an ad that had an old rich man waking up to the grille of his big luxury car in his bed. It's a knockoff of the horse's head from "The Godfather." So who has the better shout? Both brands are growing fast, Audi sales rose 23% last year and Cadillac was up 35%. Cadillac sells almost 50% more vehicles. But in terms of burnishing the brand as the coolest newcomer, Audi has the edge. Its average buyer makes more money. The A8 is a legitimate competitor to the Mercedes S-class and BMW 7-series flagship sedans. Audi's A4, which is smaller than the Cadillac CTS, attracts nouveau luxe buyers. Cadillac is still working on cars to battle it out in those two vital market segments. Plus, Cadillac marketers readily admit that they are trying to expunge the image of old, stuffy Cadillac. You have to appreciate the moxie shown by both brands. Think small. Think fuel efficient. That is the theme at this year's Detroit auto show, also known by the official name North American International Auto Show. This year's expo does not have the kind of heart-pounding displays of horsepower and luxury of past years. But there are some very significant models that tell us where higher fuel prices and tougher emissions regulations are pushing the cars of tomorrow. Most significant: Honda showed off a new concept car that is, more or less, going to be the new 2012 Civic when it goes on sale this spring. You can tell by the aggressive curves in the car that Honda is trying to get its mojo back. Honda's market share fell to 10.6% in 2010 from 11% the year before. The Civic is a perennial winner for the company and vital to its success. Styling has never been the Civic's calling card. This one takes a bold step with a fast backward-sloping roofline and some curves in the side panels that reminded me a bit of a Hyundai Tiburon. More important for Hondaphiles, the car has the company's vaunted i-VTEC engine and a hybrid option will be available. We'll see if its bold new look will get any love from outside Honda's loyal followers. Biggest turnabout: You've heard the cliché "as big as a Buick." It comes from a description of a spider in Woody Allen's film "annie Hall." I doubt anyone will say "as small as a Buick" when the compact Verano goes on sale late this year, but the 2012 Verano compact tells us where carmakers think the market is headed. General Motors figures fuel will only get more expensive and that luxury buyers will want creature comforts without shelling out a fortune for gasoline. The car's 177-horsepower engine will get 31 miles per gallon on the highway with the 2.4-liter engine. A 2-liter turbo model comes later. The Verano will be an interesting test. Can Buick, which grew 52% last year, sell small cars to younger luxury buyers? On the surface it's a tough sell. But who would have thought a year ago that the Lacrosse sedan would be one of the hottest cars on the market? Pick of the show: The Mini Paceman is my pick for the best design at the show. It's Mini's future crossover SUV and it probably it is dead one for the brand. It's stylish, sporty, has a bit more space than a Mini Cooper but can go off-road. Stylistically, the two-door Paceman is an athletic version of the Countryman, Mini's existing crossover suv. The two-door Paceman doesn't look as upright as its more practical forebear. In the rear, it has haunches like it's going to pounce. The concept had Mini's 1.6-liter turbo engine used in the John Cooper Works performance cars and the ALL4 all-wheel drive system. That's a strong hint that the Paceman will offer both as options. That will make it an off-roader with tire-burning potential. One bonus: They will probably ditch the Paceman name. Mini USA President Jim McDowell said in an interview that, onfortunately, consumers associate it with '80s video-game sensation Pac Man. The comeback kid: Beating up on Toyota is a favorite pastime these days, what with their quality woes, lost market share and fallen image. I'll give the company some accolades. The Prius c concept takes a hybrid franchise known for its egg-shaped fuel sippers and takes it out on the edge. The car leans forward like it's in motion. The headlights are pushed up the hood and closer to the windshield as if the car is barreling down the highway. The car has shoulders, which makes it look more muscular. This car will come to market in the first half of 2012. One word of caution: There is no telling how much of the concept car's edgy design will make it to the showroom. Ford gets in the game: Nissan and GM have a jump on Ford in the green-car game. Next year, Ford will make a big statement with the C-Max Energi, a five-passenger plug-in hybrid small SUV that the automaker says will get better fuel economy that the Chevy Volt. Untested fuel economy ratings are always suspect; the Volt gets 37 mpg if it runs the gas tank dry. GM may even upgrade the Volt before the C-Max Energi goes to market. But it still looks like a good package. It's more spacious that the other EVs and hybrids on the market and can go 500 miles using a full battery charge and tank of gas. Hyundai makes a bold statement: The Hyundai Veloster will go on sale in 2012 as a boldly-styled three-door coupe that promises to be a fun ride that gets 40 mpg on the highway. It doesn't need a hybrid-electric system to do it, either. It mates a dual-clutch transmission with a direct-injection 1.6-liter engine to maximize fuel economy. The interior is inspired by sporty motorcycles. This could be a hit with younger buyers given the curvy styling and fuel economy. Hyundai has moved well beyond selling just on price.
By David Welch The mood in Detroit is considerably better at this year's North American International Auto Show than it was a year ago when General Motors was hunting momentum and Chrysler's very survival was in question. I'll get into the new models and concept cars as they roll out. In the meantime, here are a few notable comments from the auto executives I tracked down at the show. Government regulations, when done right, are supposed to either prohibit bad behavior or encourage the right ones. I came across one proposal that may have it backwards. Right now, the Environmental Protection Agency, National Highway Traffic and Safety Administration and California Air Resources Board are mulling rules that would push the average car sold to a mandated 60 miles per gallon by 2025. The green lobby is pushing to include one new rule that could discourage some of the technologies that they want to see sold in greater numbers. They want to assign electric vehicles a carbon dioxide emissions rating based how much of the greenhouse gas is generated by the power plants that supply the juice to the car. They call it "upstream emissions." The government would measure how much electricity the car uses, calculate how much carbon dioxide is emitted while generating that power and assign that value to the car. There is a direct calculation that gets you from carbon dioxide emissions to fuel economy. If you live in an area that gets a lot of power from coal, a hybrid-electric car that burns gasoline could actually be counted as emitting less carbon dioxide and using less fuel than an EV like the Nissan Leaf, according to the American Council for an Energy Efficient Economy. That's right. Even though the Leaf burns no gasoline and has no tailpipe, the feds would say that its greenhouse gas emissions are higher than the gas-burning hybrid. Such a rule could discourage carmakers from selling more EVs. If environmentalists and regulators want to encourage the growth of a nascent electric-car market, this could give carmakers more credit for developing hybrids instead. It also gives the power utilities, whose power generation is creating the emissions, a free pass. The green lobby has a reason for pushing for some kind of measure of EV emissions. The carmakers have a long history of exploiting loopholes in the law to sell more inefficient vehicles. In this case, the environmentalists are worried that the carmakers will use very low carbon dioxide emissions numbers assigned to their EVs to offset the emissions of gas hogs and sell more of them. If the government goes with a 60 mpg rule (which is 44 mpg in real-world fuel economy) they will be pushing the industry to get more efficient. If the regulations encourage more EVs, the industry will have a better chance of getting there. Chevrolet started rolling the first Volts off the assembly line and onto car haulers on Dec. 13, sending them off to anxious customers who have been waiting months for their electric car, or advanced hybrid or whatever you like to call the Volt. That same day, Nissan delivered its first Leaf electric car to a customer in San Diego. Normally, handing over the keys of a new model's first buyer is about as scintillating as ribbon-cutting ceremonies photographed in community newspapers. In this case, the first deliveries kicked off a closely-watched sales race that will begin to answer some big questions about fuel-efficient technology and what consumers really want. General Motors has argued that the Volt is the way to go. You'll never get stranded in a car that recharges the battery using a gasoline engine. Nissan differs, of course. As long as there's a tailpipe, it's not the genuine green article. As an aside, Toyota's Prius is no longer in the conversation. Unless the Leaf and Volt end up with major quality or performance problems, Toyota has dithered away its position as the unquestioned technology kingpin. Which car will win? The Leaf is the cheaper option, costing almost $33,000 before federal tax incentives, compared with $41,000 for the Volt. But I think the Volt is a better proposition for most consumers. Nissan says the Leaf can go 100 miles on a charge. But if you drive a pure EV hard on the highway, where the regenerative brakes will do less recharging, you can get a lot less. If the driver has a lead foot or if the weather is especially cold, that will also drop the car's range. For consumers with a short commute--and if they only drive to work and back everyday--it's a great option. For the rest of us, that just won't do. The Volt can go 379 miles on a tank of gas and a full battery charge. There's something else about the Volt. If you strip away the green allure and techno-geek appeal, it's just a really good car. I tested it out last month. It's smooth, quiet and handles nicely. The Volt is not a car for smoky burnouts, but it has a nice amount of zip. Its interior has a certain Star Trek appeal. The flat control panel that turns on the audio or environmental control with a touch, as opposed to pushing a button, is very avant garde. The two video screens provide all kinds of information and the graphics that show the flow of power from the engine to the battery to the wheels and motors is nicely done. There is one flaw. GM has a ball on one screen that moves up and down and when you're driving most efficiently, it hovers in the middle. It was confusing. But overall, the car has the kind of futuristic feel you'd expect from this kind of car. I have not tested a Leaf. But I have driven a Mini E and felt the specter of range anxiety. I got the car with a full charge, which means it should go up to 156 miles. Like any electric car, it can be considerably less if you drive it more on the highway when you use more power and the regenerative braking system does less recharging. I drove it until the battery was down to 83%. The next day, I had a 10-mile trek of mostly suburban streets and it got down to 67%. The battery still had plenty of juice. The real problem is that you can't just drive all day without planning out your trip and when you will recharge. You have to plan around range and allow some leeway in case you get fewer than 100 miles. That gives the Volt or any other hybrid a huge advantage for most car buyers. This gets hotly debated in the green blogosphere. I think the Volt will be more successful. Now, let's sit back and watch. Shares in General Motors are a pretty hot item. The stock opened today at $35 a share just a week after GM and its bankers decided to price the deal at $33. It closed at $34.19 a share and was originally slated to sell for between $26 and $29 a share. After two weeks of pitching investors, GM and the Treasury Department saw so much demand that they raised the price and decided to up the size of the IPO by 31% to 478 million shares. Including the overallotment option, which lets the banks take even more shares to sell to eager investors, they could be selling 550 million of them. Since it takes a share price of $43.67 a share for the government to break even on the remaining $40 billion investment in GM, one must wonder, what was Treasury thinking by putting even more shares into the deal? Assuming it all sells as planned, the government will still own 500 million shares in GM, which is 33% of the company. To break even, those remaining shares must sell an average price of $53.07 in the secondary offerings, according to data compiled by Bloomberg. That means GM stock needs to take a 61% runup before the secondary offering for the feds to break even. It's not unheard of. Ford stock is up 65% this year. GM has made a profit of $4.8 billion in the first nine months of this year despite a wretched car market. So some investors have said that they see potential for a big jump over the long haul. Here's the other possible calculus. Let's say GM stock runs up 20% between now and whenever the feds decide to launch the secondary offering. That means the stock sells for $39.60 a share. At that price, the government would be $13.47 a share short. On 500 million shares, the government would lose $6.7 billion on the investment. Can they justify $6.7 billion to save GM? Some would argue it's a small price to pay given the jobs preserved at GM, parts makers, dealers, etc. The fact is, those who hate the bailout will hate it whether it makes a small amount of money or not, purely on the principle of the thing. The Center for Automotive Research estimates that letting GM and Chrysler fail would have cost the Treasury $28.6 billion in 2009 and 2010 in lost income tax and social programs anyway. They say we made a good deal. So no matter how the IPO pans out, the legacy of GM's bailout -- presuming the company performs as expected from here out -- is fairly well settled. To hear one critic tell it, General Motors got caught in an out-and-out lie when the company described labeled the Chevrolet Volt an extended-range electric vehicle. Edmunds.com said in a headline that "GM Lied." The Volt is really a hybrid-electric vehicle like the Toyota Prius, Edmunds said. Critics from Motor Trend and Popular Mechanics made a similar argument, though they stopped short of saying GM was dishonest. In any case, there is an electric dust up over the Volt and what to call it. Is it a hybrid or an EV? The argument goes like this. When the Volt is driving hard, say, over 70 miles per hour or it's climbing hills, the gasoline engine will directly power the car's second electric motor, which then turns the wheels. This came as a surprise because GM has billed the car as an electric vehicle that uses the gasoline engine to charge the battery. The company has said that the car's electric motors draw power straight from the battery. That gasoline engine is only there to charge the battery. GM's engineers didn't reveal until recently that the engine can power a secondary electric motor that turns the wheels. Critics say this new revelation makes the Volt a hybrid, because the Prius does drive in a similar way. GM counters that there is no direct mechanical linkage from the gasoline engine to the wheels. So it's an electric vehicle. GM opened itself up to this kind of criticism. They should have just explained how it worked in the first place. If GM had just explained in more detail how the Volt worked during the three years of hype leading up to the introduction, the technology geeks, the technology geeks, auto buff magazine writers and green commentariat would have hashed over whether it's a hybrid or an extended-range EV and been done with it. The debate wouldn't be making headlines a couple of weeks before GM starts selling the car. But GM was trying to distinguish the Volt from the Prius and establish a leadership position. In point of fact, the Volt is different and more advanced regardless of its label. That said, I doubt most consumers will care what label anyone slaps on the Volt. This is inside baseball. Eric Noble, whose auto consulting firm The CarLab in Orange (Calif.) interviews consumers about car technology routinely, told me that they don't care about labels, or when the engine powers the car or the gasoline engine. They ask about battery range, mileage, plug-in requirements and battery durability. They want to know if the fuel savings justifies the extra cost of the car. I also called Dan Becker, who heads up the environmental activist group Safe Climate Campaign. He didn't care, either. So long as it gets high mileage and delivers low emissions, "I don't care what you call it," Becker told me. So this is much ado about nothing. It's also a flare up that GM could have avoided. I sat down with Audi of America President Johan de Nysschen last week to chat about the brand's plans for the U.S. market. As de Nysschen prepares to launch the new A8 sedan later this year, he had a few refreshing things to say. The first was that he thinks Audi should cap its growth in the U.S. He thinks that the sporty luxury brand should max out its U.S. sales volume somewhere between 150,000 and 200,000 cars - almost twice what the brand sells in a typical year but still less than its chief rivals have sold in the market. His thinking is that luxury brands can become ubiquitous and lose their cachet; the next thing that goes is pricing power. Cadillac and Lincoln both lost their luster in the '80s and '90s in part because they were in a mad race to sell more cars than the other. By the end of the '90s, both brands had cars everywhere. Having fleets of Town Cars and Devilles lined up with the taxis at airports probably didn't help. His other push is to keep moving Audi upscale. Make no mistake, Audi wants growth. It is the top seller in Europe and China these days. In the U.S. this year, sales have surged 25%. Only Cadillac has outpaced its growth among luxury brands. But the brand would rather have prestige than gaudy sales numbers. Audi's U.S. sales of 86,000 cars is less than half Lexus's total. Take the new A8 that hits showrooms in November. Its starting price of $78,050 is about $2,000 more than the current car. Audi is loading up the car with a slew of new technology, like an 8-speed transmission that boosts fuel economy. The car will get 27 mpg on the highway, 4 mpg better than rival BMW's ActiveHybrid 7i. It will also have a night vision system, a Bang and Olufsen sound system and, starting next year, a WiFi hot spot in the car. Later next year, the company will start selling the A7, a prestige coupe to compete with BMW's 6-series. Bottom line, the brand is moving into more expensive models, not big sellers. That's the kind of thinking that has pushed Audi into the top tier of luxury brands along with BMW, Mercedes, and Lexus. Some big questions are being asked of the Chevrolet Cruze compact, which is just about hit the market. First, will its conservative styling draw showroom traffic? Will GM's new marketing minds--namely new marketing Vice President Joel Ewanick and his hand-picked Chevrolet marketing chief Chris Perry, both Hyundai veterans--come up with a way to get consumers interested in this car and the Chevy brand. And will consumers, who are accustomed to shopping Chevy for a low-priced compact, pay up for the $17,000 Cruze? The outgoing Cobalt sold for $1,300 less, though Chevy says the new car has more content and therefore is still a good value. Every one of those questions will pose a challenge for a car that GM absolutely needs to be successful as the automaker tries to rebuild the Chevy brand. Make no mistake, this will be a big marketing challenge. Chevy has never really had a good compact. The Cobalt was an also-ran, and that's very generous. The Cavalier before that was also a cut-priced loser. When people think of Chevy, they think of trucks, SUVs, Camaros, maybe the Impala, maybe the Corvette. Small cars have never been the brand's raison d'etre. So now they are trying to get fatter pricing on a pretty conservative car sold by a brand with no reputation for selling small cars. The good news is that if GM can get people to give the car a look, the Cruze has some great selling points. I sat in the car at a Chevy event yesterday. The cabin is first rate with attractive design, solid materials in the dash and comfortable seating. Chevy brags that if you load up competing models like the Toyota Corolla, Honda Civic and Ford Focus with comparable options, the base model Cruze LS is anywhere from $635 to $1,770 better value. The best news Chevy has may be the Eco version of the Cruze. A regular Cruze gets 36 miles per gallon on the highway, 2 mpg more than the Focus. The Eco model gets 40 mpg. There's no hybrid system or high-tech solution. GM's engineers just wrung out weight, made a few aerodynamic tweaks, added a gear to the manual transmission and gave it some low-rolling resistance tires. It was an old-tech solution to a long-standing problem. At highway speeds, for example, a shutter closes and blocks part of the grille. That cuts wind flow under the can and makes the Cruze slicker in the wind. Simplicity. Will enough buyers take notice? That's going to be the real challenge. Sometimes in the car business it takes a few generations of good models before consumers realize that the brand selling them is worth a look. Ewanick and Perry experienced that with Hyundai. They may have to do the same with Chevy. With all the hype surrounding the pending launch of the Chevrolet Volt and Nissan Leaf electric cars, Ford's Transit Connect EV has gone almost unnoticed. It's easy to see why. When the van goes on sale later this year, it will sell primarily to commercial fleets. In the car business, there are few things less sexy than commercial vans. Still, Ford and Azure Dynamics, the company that engineered the electric drive system for the car, may be onto something. Companies like AT&T;, which has agreed to buy a few Transit Connect EVs, have drivers motoring around all day in stop-and-go traffic. They burn a lot of fuel even though they travel fewer than 50 miles in a day, says Curt Huston, Chief Operating Officer of Azure. Since the Transit Connect EV can go about 80 miles on a charge, their needs are mostly met. The van has a 28 kilowatt-hour battery that takes six to eight hours to charge and has a top speed of 75 mph. The Leaf can go 100 miles on a charge, but it's a compact car. This is a small deliver van. For range, the Volt beats both since it can go 40 miles on electric drive and another 300 miles once the gasoline engine kicks in and starts charging the battery. Again, it's a small car. The Transit Connect will appeal to business owners. Commercial fleet owners can install a charging station in the garage and get the vans juiced up overnight before heading out the next day. It's actually a great application. Huston says the fuel savings should return the added cost of an EV in four or five years. Unlike some of the startup EV companies, Azure partnered with Ford. That means vehicle owners can take them to a Ford dealer for service. The company will have 75 dealers to start and may add more later on. If it takes off, building sales volume through fleet sales can help drive down the cost of the technology and make electric cars more affordable in the future. There is one catch to the whole plan. The price has to be right. Ford and Azure have not set a price yet. Commercial buyers will look at the car purely on a fuel cost savings basis. It's dollars and cents. If the car costs too much, they won't see the savings at the pump that they want as quickly as they want it, says Jim Hall, principal of consulting firm 2953 Analytics in Birmingham, Mich. The car also won't appeal to environmentalists and technology buffs the way a Volt or Leaf will. But for what its target buyer wants, Azure's Transit Connect may be the right idea. President Obama served up red meat for his hard-core supporters in Detroit yesterday, proclaiming that the government's bailout of General Motors and Chrysler to be a success. Had he not intervened and invested in the two companies, Obama said, they would have fallen into liquidation and 1.1 million jobs would have evaporated. In the past year, the auto industry has regained 55,000 of the 334,000 jobs lost, he went on. "The fact that we're standing in this magnificent factory today is a testament to the decisions we made," Obama said while visiting Chrysler's Jeep Grand Cherokee plant in Detroit. His comments were aimed clearly at the critics on the other side of the political aisle who opposed the bailout 18 months ago and who still criticize government ownership of GM and Chrysler to this day. So far, it is tough to argue that the bailout hasn't worked. GM is in the black, having reported an $865 million profit in the first quarter with black ink looking likely for the rest of the year. GM's results are strong enough that the company is preparing for an initial public offering that should start selling stock in November. Chrysler is at least making an operating profit, which puts the company in much better shape than most analysts thought it would be a year ago. With much lower costs, both companies should be able to make money going forward. Let's not forget that GM, Chrysler and cross-town rival Ford cut out 2.9 million cars worth of production capacity during the crisis, according to the Center for Automotive Research. That was a quarter of capacity in the U.S., Canada, and Mexico. Cutting out the fat has allowed them to post profits even though sales are slow. The real test will be if the government breaks even on its investment, or at least comes close. Obama Administration officials say they are hopeful that the taxpayers will be paid back in full. GM got $49.5 billion from the feds and Chrysler took $10.8 billion. For the government to break even on GM, the company must be worth at least $66 billion, and even more if the bondholders and United Auto Workers union exercise warrants and dilute the government's investment. But nearly breaking even would still be an accomplishment. Here's what I mean: Based on where GM's bonds trade, the company is worth about $53 billion right now. That would be an 80% pay back on the government's investment if GM's stock were so valued. Stock in GM will be more liquid than its current bonds, so it should be worth even more, analysts say. But for the sake of argument, assume an 80% recovery on the $60.3 billion direct investment in GM and Chrysler. That would leave $12 billion unpaid. Would that be a reasonable price to save two industrial icons and hundreds of thousands of jobs? I would have taken that deal in the depths of the financial crisis, and I wager that most critics would have, too. The Chevrolet Volt may be wearing out its welcome. General Motors has been hyping the gasoline-electric car ever since the company showed it off to the public 1,300 days ago. The company has let countless reporters into its battery labs and given interviews with its engineers, all in a very credible attempt to show that GM has smart people with good ideas. And it has worked. GM has picked up some technological credibility and fostered goodwill with the environmental crowd. Now that GM is finally, after three and a half years, getting close to selling one, the commentariat is taking shots at the Volt. In an editorial in the New York Times today, Truth About Cars Editor Edward Niedermeyer panned the car as "GM's Electric Lemon." He criticized the car for, among other things, having bland styling and because it will likely lose GM money. Before that, "Tonight Show" host Jay Leno, a well-known car buff, also took a shot at the Volt's styling, telling the Detroit news that, "if you didn't know, you might think it's a Cobalt or a Camry." What gives? It could be a case of Volt fatigue. Sure, documenting the tale of the car's development gave GM a great story to tell. But in the past few months the company has amped up the noise on a car that has been hyped for years. I count 14 press releases on the Volt since June, including an announcement today that GM will boost 2012 production from 30,000 to 45,000. Some of those releases were absolutely necessary, like vital information on pricing, warranty and ordering options. Others were less weighty, such as a release saying that the car can get water under the hood without the electronics going haywire. Another details a test that proves dust won't get in the car or affect its vitals while driving. The Volt goes on sale in November. At this point, it's probably time to just market the car to consumers.
Mohammed Hoque with his three children in their studio apartment in Jamaica, Queens. Wael Ghobrayal, an Egyptian immigrant, bought a taxi medallion for $890,000 and now cannot make his loan payments. Tammy McFadden, a former Deutsche Bank employee, saw potentially suspicious transactions involving the company of Jared Kushner, President Trump’s son-in-law and adviser, she said. Just as he has done in his sometimes highly leveraged real estate businesses, President Trump hopes largely to use other people’s money to achieve his goals on a Middle East peace plan. John Cooper is one of 396 Morehouse college graduates who will have his student loans paid off by the family of Robert F. Smith, the billionaire investor who spoke at the college’s commencement. Protesters in Missouri decried the passage of new restrictions on abortion rights there on Friday. President Trump in Las Vegas last month with Steve Wynn, who resigned as chairman of Wynn Resorts and as the R.N.C.’s finance chairman last year. Emilia Clarke in the series finale of “Game of Thrones.” It was a lot of swords. A pro-Europe event outside the government headquarters in Bucharest, Romania, on Sunday. A supporter of the Bharatiya Janata Party wears a mask of Prime Minister Narendra Modi and waits for his arrival during a rally in Prayagraj, India. Are we writing for other disabled people, for the nondisabled, or for everyone? The work of these poets speaks for itself. President Trump speaking in Washington, D.C., on Friday. Power is a story told by women. For centuries, men have colonized storytelling. That era is over. Linda Taylor leaving court in 1974 following her arraignment on a 31-count indictment involving her alleged receipt of illegal welfare benefits, medical assistance, food stamps and Social Security and veterans’ benefits. The walled garden of the hotel Dar Paru in M’Hamid, with a door that opens into the Sahara. U.C.L.A. students celebrating graduation in what we believe was 1990, which was an awesome year except for all the endless horrible bad things. Taron Egerton as Elton John in “Rocketman.” How the film performs at the box office will be a measure of his star power. Valerie Cincinelli The Justice Ministry said the violence broke out at a prison near the capital when militants armed with knives killed three guards and several prisoners. Representative Justin Amash of Michigan is a self-described strict constitutionalist who has considered running against President Trump in the 2020 Republican primary. A Toyota assembly line at the company’s plant in Motomachi, Japan. The country’s economic growth in the first quarter came despite a decline in export figures that began in December on weakening demand from China and Europe. Muhlaysia Booker spoke at a rally in Dallas last month after she was attacked in a parking lot. On Saturday, she was found dead. A memorial wall on Sunday at First Baptist Church in Sutherland Springs, Tex. President Trump’s speech before the National Association of Realtors on Friday in Washington was sprinkled with profanities. A rally for the European elections in Strasbourg, France. A plaque hangs where Eric Garner died on Staten Island. A need and desire to be in motion may have been bred into our DNA before we even became humans. The more comfortable you can get with the tools you own, the more you can spend time perfecting flavor rather than worrying about technique. The vast expanse of the United Nations Secretariat Building getting a spring cleaning. April 17, 1953. Tamarind pods, which the chef Tom Cunanan uses at the restaurant Bad Saint in Washington, D.C. Mitchell Lutz, 9, and his father, H.A. Lutz, top, heading to a youth hockey practice in the St. Louis suburb of Hazelwood. Above, the start of practice at the Hazelwood rink. Youth participation in hockey has swelled in the area, particularly with the help of former Blues players who stayed in town to coach. In “Orange World,” surrealism is grounded in the real anxieties of our age. Polar bears feeding on garbage in Belushya Guba, on the Novaya Zemlya archipelago in northern Russia. Shrinking habitats has forced more bears to wander into town for food. A doctor retrieving bone marrow from a patient at the Nura Precision Pain Management clinic in Edina, Minn., for a stem cell procedure. The clinic is affiliated with Regenexx, which claims that many patients benefit from its treatments. Most researchers believe efforts to sell therapies involving adult stem cells have gotten way ahead of the science. The Nonnormative Body Club, a fitness class for queer and transgender people, rents space at Bodyrock Bootcamp in West Philadelphia. Ten years after diagnosis, could I finally dispense with chemical sleeping aids? Two U.S. senators from Ohio on Tuesday asked General Motors CEO Mary Barra to commit to building all future electric vehicles for U.S. buyers at home and to provide more details of plans to cut back on car output in North America. McLaren Automotive has added another flavor to its 720S lineup by adding a convertible. An Argentine court convicted two former executives of a local Ford plant of involvement in the torture of workers during the country's dictatorship in the 1970s, victims' lawyers said, adding they may sue Ford in U.S. federal court. Nissan will file corrected earnings for past years in which Carlos Ghosn, the company's ousted chairman, allegedly under-reported his compensation by tens of millions of dollars. A Tokyo court rejected ousted Nissan Chairman Carlos Ghosn's appeal to end his detention following his arrest last month on allegations of financial misconduct. Santa Claus takes on a modern look in a new Audi ad that shows him shedding pounds when he endures a bit of a mid-life crisis after realizing that he can't fit into an RS 5 at his current weight. Hertz and Clear announced the debut of Hertz Fast Lane Powered by Clear, a service that uses biometrics to speed members through the rental car process. Nissan is taking the first comprehensive steps to share details with Renault about allegations against Carlos Ghosn, according to a person familiar with the matter. The Ford Ranger is returning next month as the most fuel-efficient gasoline-powered pickup on the U.S. market. Audi has given the second-generation luxury sedan a fresh, muscular exterior update, cleaner interior and advanced technology. The A7 is powered by a 3.0-liter turbocharged V-6 that makes 335 hp and 369 pound-feet of torque. The redesigned Jeep Wrangler failed one of several crash tests performed by Euro NCAP, the European version of crashworthiness studies performed by NHTSA and the Insurance Institute for Highway Safety. Nissan Motor Co. on Dec. 11, 2007, discloses plans to produce a midsize pickup for Suzuki Motor Corp. in North America. The Equator, Suzuki's first pickup, was based on the Nissan Frontier midsize pickup. Hyundai Motor Group's two vice chairmen in charge of randd have offered to resign, three people familiar with the matter told Reuters. Hyundai and its suppliers plan to spend $6.7 billion through 2030 to raise production of fuel cells by more than 200-fold as the automaker targets to become a key player in the new-energy vehicle technology. Alejandro Vukotich will replace Elmar Frickenstein, who has been in charge of the department since it was created in May 2016 and who will retire after a three-month handover phase in March. "We set another important milestone for the electrification of our future electric vehicles," Wilko Stark, who oversees procurement and supplier quality on the board of Mercedes-Benz Cars, said. Ford said it started negotiations with German worker representatives about potential job cuts at its Saarlouis plant following a decision to discontinue production of its Ford C-Max model. The UAW is urging the White House to go beyond gains in the tentative United States-Mexico-Canada Agreement in any free-trade agreement negotiated with Japan. The Ford executive is now responsible for leading the automaker's global vehicle programs under product development, with Graham Pearson leading product development for Asia Pacific and China. A Rio de Janeiro apartment containing cash, art works and personal belongings of Carlos Ghosn has become the latest battleground between the indicted former Nissan chairman and the automaker. Ford has taken a giant leap into an enormous project to remake where employees think, design and create the vehicles of the future in a Detroit campus that is four years away from becoming reality. Carlos Ghosn's arrest in Tokyo is already having consequences, from product marketing to international diplomatic relations. More complications could be ahead. Carlos Ghosn and Nissan were indicted in Japan on Monday for understating Ghosn's income, as Tokyo prosecutors pushed ahead with the criminal investigation that has shaken the global auto industry. Robert Bosch, the world's largest automotive supplier, discussed the merits of a potential stock market floatation with investment bankers as part of a broader funding review, but has chosen to remain unlisted, people close to the matter said. Nissan promised to improve corporate compliance after Tokyo prosecutors indicted former Chairman Carlos Ghosn, close aide Greg Kelly and the automaker itself for allegedly understating Ghosn's compensation. Ghosn indicted, rearrested, could face decade in prison; Nissan, Kelly also charged; Sources: Ghosn planned CEO's ouster; Musk opens up on '60 Minutes'; Dealers' outlook dims. German supplier Continental is considering acquiring software makers after the flotation of its powertrain unit expected in the second half of 2019, CFO Wolfgang Schaefer told Boersen-Zeitung. Renault, the automaker in which the French state is the most powerful shareholder, is headed into a decisive week over its leadership. Tesla will start the European rollout of its Model 3 in February, putting pressure on German premium brands that have seen the Model S outsell flagship sedans such as the Mercedes-Benz S class. Like Lyft, Uber last week submitted its IPO filing to the Securities and Exchange Commission, a person familiar with the matter told Bloomberg. Dhivya Suryadevara has quickly risen through the ranks of GM since starting as a senior financial analyst in 2005. With three weeks left in 2018, California already has had a record year for the number of manufacturers permitted to test autonomous vehicles, the number of those vehicles permitted on the road and the number of crashes involving those vehicles. While other boxy designs have come and gone #8212; Scion xB, Nissan Cube, Honda Element #8212; Kia's Soul has built longevity through loyalty. Toyota and Mazda will spend $1.6 billion to build an assembly plant in Huntsville. Things have changed since their last greenfield ventures. As Ford has tried to downplay its ongoing talks with Volkswagen Group, VW CEO Herbert Diess, who last week said VW is eyeing access to Ford's U.S. manufacturing footprint, keeps upping the ante. Chevrolet has launched a national employee pricing sales campaign on all 2018 and some 2019 models through the end of the year. In a letter to the editor, an Automotive News reader questions GM's approach to hiring temporary employees while workers await transfers. The Chevy Volt was not the product of Chapter 11, writes an Automotove News reader, it was well on its way before the reorganization. General Motors' plans for job cuts, ten years after its bailout, draws criticism. GM has many stakeholders that it must answer to, and do right by, as it undertakes this restructuring. But as of five years ago this week, the federal government isn't one of them. Magna's engineers were looking for styling improvements when they began rethinking door latches. And they kept asking, "What if?" What does a 2014 Jeep Compass Sport have in common with a Soviet submarine? As Volvo prepares a new and improved version of its Care by Volvo subscroption service, California hears the grumbling of dealer protests. The latest Final Edition of the iconic Volkswagen Beetle will have special colors, badging and wheels as the bug drives into the sunset next year, just as it did 15 years ago. Enel Group's $325 million wind farm project in Illinois will power General Motors' factories around the Midwest when it becomes fully operational, in a step toward GM's goal of 100 percent reliance on renewable energy by 2050. It seems likely that the much-discussed new Land Rover Defender will be built outside of England. Naturally, the reveal of Jeep's 2020 Gladiator midsize pickup at the Los Angeles Auto Show brought back memories of the last Jeep pickup, which debuted more than three decades ago. The original Danny and the Cruisers album coverlike photo, above, was apparently such a hit that General Motors decided to re-create it. Brembo navigates the curves of supplying high-end brakes while managing the transition to brake-by-wire. The redesigned RDX has gotten off to a torrid start, but brand chief Jon Ikeda says Acura isn't planning more crossovers. In an interview with CBS's Lesley Stahl, the Tesla CEO said he doesn't respect the SEC, declared his interest in buying a shuttered GM factory and credited a parking lot assembly line with saving the company. Ousted Nissan boss Carlos Ghosn faces a landmark day in his Japanese judicial ordeal on Monday when prosecutors must decide to either indict or free the jailed auto executive. With industrial space in Detroit in short supply, a regional group is eyeing two Detroit airports as a site for future industrial development. VW denied allegations that Chairman Hans Dieter Poetsch knew about the automaker's emissions test cheating almost three months before U.S. authorities made it public. Carlos Ghosn was planning to remove Nissan CEO Hiroto Saikawa before Ghosn was arrested in Japan last month for alleged financial misconduct, people familiar with the matter said. Fiat Chrysler Automobiles CEO Mike Manley clearly learned many lessons from his predecessor -- and even some the late Sergio Marchionne never intended to teach. Genesis' steep sales dropoff is largely a byproduct of the brand's accelerated separation from Hyundai. The fuel economy on some redesigned Chevrolet Silverado and GMC Sierra models will be worse than the outgoing pickups they're replacing. Tesla General Counsel Todd Maron is leaving the company, adding to a long list of senior management departures this year. Tesla said it hired Washington lawyer Dane Butswinkas as his successor. The Detroit auto show, seeking to reinvent itself following decades as a January venue, has committed to seven years with its new June date. Chevrolet has launched a national employee pricing sales campaign on all 2018 and some 2019 models through the end of the year. Metal components supplier Tower said it agreed to sell off its European division to a privately owned French automotive supplier in a deal valued at about $291 million. Nissan said it will build 50 versions of the GT-R50 by Italdesign, which was unveiled earlier this year at the Goodwood Festival of Speed in the U.K. The car starts at $1.1 million. Tokyo prosecutors are expected to charge Nissan as a corporate entity, alongside ousted chairman Carlos Ghosn for allegedly violating financial laws, a report said. Monday marks the end of Carlos Ghosn's 22-day detention, having been held without charge since his arrest on suspicion of under-reporting compensation following a whistleblower tip. Ford has taken the first step in restructuring its money-losing European business that is expected to involve axing models, cutting jobs, and possibly factory closures. Prosecutors targeting Nissan?; Barra faces unhappy Mich. delegation in D.C.; Financial watchdog nominee confirmed; Three Ford VPs to retire; Why Lexus prefers to wait. Tesla notified holders of bonds due in March that if they elect to convert the debt, they'll be paid with a 50-50 mix of cash and stock, according to a copy of a document seen by Bloomberg. Renault is aiming to reach in about a week the first conclusions of an internal probe into whether the pay packages of Carlos Ghosn and other top managers of the automaker were properly disclosed. Nissan discovered more final inspection problems and said it will recall 150,000 vehicles in Japan as an executive blamed ousted boss Carlos Ghosn for partially fanning the lapses. Sergio Marchionne's frenetic, nonstop pace extracted much too heavy a toll on the man himself. Fiat Chrysler Automobiles plans to reopen its long-idled Mack II engine plant in Detroit as an assembly plant to build three-row Jeep SUVs, The Detroit News and CNBC reported today, citing multiple sources familiar with the plans. GM CEO Mary Barra came under harsh criticism from members of Congress from Michigan for building a new vehicle in Mexico while planning to end production at five North American assembly plants. The automaker's treasurer, head of European product development and Asia Pacific manufacturing chief will leave at the end of December. Reports: FCA to turn idled engine site into vehicle assembly plant; FCA hires Amazon, Shell execs; Lebanon rallies behind Ghosn; Daimler-BMW delay; Lexus teases track-ready RC F. Lexus plans to unveil a new superfast coupe at the Detroit auto show in January, just months before it hits the market. Lyft filed confidentially for an initial public offering of stock, pulling out ahead of Uber Technologies in the race among ride-hailing companies to go public. After nearly a decade of developing and renewing its leadership team internally, Fiat Chrysler has hired a pair of outsiders #8212; including a high-ranking Amazon executive #8212; for leading roles in its most profitable region. VW said there will be a "massive reduction" in the complexity of its model portfolio as it seeks to raise profit margins for its core brand. Autoliv said it is setting aside $210 million this quarter to cover a fine it expects the European Commission to impose after a long-running anti-trust investigation. Ohio senators Sherrod Brown and Robert Portman urged GM's CEO to accelerate contract talks with union officials and decisions on where to build new products so the state's Lordstown plant can continue operating. Google's autonomous driving affiliate Waymo began offering commercial service with its self-driving Chrysler Pacifica plug-in hybrid minivans. The service is called Waymo One. While Toyota remains "very, very bullish" on the overall market, Jim Lentz said "some crazy" potential implications from trade and U.S. The current trade and tariff environment under U.S. President Donald Trump is the greatest potential danger to the automotive industry, according to Toyota North America CEO Jim Lentz. Even in a hyper-polarized Washington, there's been one area of consensus lately on Capitol Hill: anger at General Motors and its CEO, Mary Barra. She will face that ire during two days of meetings this week. Has Ghosn arrest exposed fundamental flaw at Nissan?; M-B victory in sight; JLR woes spark ratings cut; Forbes names Barra world's 4th most powerful woman; Volvo's Nobel gesture. Carlos Ghosn was an early proponent of electric cars, telling the world in 2009 that Nissan Motor Co. would lead a revolution to eliminate gas guzzlers with its battery-powered Leaf. Former Nissan CEO Carlos Ghosn had near-total say over how much he was paid, which may have led to his arrest for alleged financial misconduct. Lebanon's ambassador to Japan has bought a mattress for disgraced auto executive Carlos Ghosn and is pushing to have him moved from solitary confinement, a Lebanese official said. Making Audis in the U.S. could help Volkswagen protect almost $800 million in profit that its luxury-car unit reaps from the world's second-biggest automotive market. The redesigned Jeep Wrangler failed one of several crash tests performed by Euro NCAP, the European version of crashworthiness studies performed by NHTSA and the Insurance Institute for Highway Safety. While the industry has been touting next-gen mobility here on the West Coast, its lobbying teams in Washington have pursued a backward-looking strategy. When GM announced plans to trim its work force by as many as 18,000 employees and "unallocate" future product at five North American plants, more than a few people saw it as saber rattling before upcoming UAW contract talks. Auto designers today face a difficult task: designing products that are truly distinctive in the growing lineup of SUV's and pickups on the market. Nissan said it will build 50 versions of the GT-R50 by Italdesign, which was unveiled earlier this year at the Goodwood Festival of Speed in the U.K. The car starts at $1.1 million. Sergio Marchionne's frenetic, nonstop pace extracted much too heavy a toll on the man himself. As vehicle costs and interest rates rise, it's worth a dealer's while to keep relations with local credit unions friendly, particularly in areas with high loyalty to credit unions. The Aviator is all new for the Automotive News Editor-In-Chief Keith Crain says the time has come to end electric vehicle subsidies. For the next decade or two, the shift toward self-driving vehicles is likely to be incremental. But at some point, fully autonomous vehicles will be safe, reliable and readily available. Aside from cost cutting and addressing underutilized plants, GM is sending a message to the UAW and rank-and-file members by announcing potential plant closures. Nissan's ousting of Carlos Ghosn for alleged financial irregularities has been seen as a bid by the automaker to prevent a merger with Renault. The drama highlights the fact that Europe is not a happy place for the company right now. Fiat Chrysler will earn 6 billion euros ($6.8 billion) next year from selling supplier Magneti Marelli and plans to use part of that paying shareholders their first dividend. Shouldn't FCA use that money for new products and technologies? Will affordability pressures put lenders and dealers at odds? In a volume-driven environment, maybe. I am not a skittish person. But I am not sure I'll be getting back on an electric shared scooter any time soon. Fiat Chrysler will earn 6 billion euros ($6.8 billion) next year from selling supplier Magneti Marelli and plans to use part of that paying shareholders their first dividend. Foreign automakers are in no rush to follow Beijing's plan to ramp up local output of EVs, but would rather take their time. Why? For the simple reason that they have gamed the government's carbon credit program. You're forgiven if you were a bit confused about what exactly General Motors announced Monday. The details are still being filled in, but no matter what turns up, this looks bad for Ghosn and his legacy at Nissan. Auto shows already have the means to rejuvenate their brands, if they're willing to take a radical step and work together. Until recently, Li Shufu, chairman of Zhejiang Geely Holding Group, seemed determined to build a global automotive empire. Now it appears that's only part of the story. I don't have any insider knowledge of the financial misconduct allegations against Renault-Nissan chief Carlos Ghosn unveiled on Monday. Nonetheless, I think some points are worth remembering as the story unfolds. An easy-to-use mobile app is one of the main drivers of customer satisfaction with auto lenders, according to J.D. Power. With the mass-market introduction of electric vehicles it is time to think less of horsepower and more of kilowatts when judging a vehicle's power. The White House doesn't seem to know how to kill regulations it doesn't like. The direction of automotive retailing is up for debate, but considering recent moves by lenders and dealerships, industry leaders are placing their bets on the used-vehicle space. Mark Reuss' duties at General Motors are so voluminous, they don't even fit into one paragraph. The midterm elections are over, the attorney general has been removed, and we are settling in for two years in Washington that promise to be filled with intrigue and accusations. As banks continue to lose share to credit unions, refinancing may be a short-term way for them to gain customers. Dealers should be cognizant of the potential strategy. The primary target for companies looking to establish a disruptive foothold in a market should be people who aren't yet customers of a product or service. The economy may be delicate, but there's no reason strong automotive sales won't continue for the next few years. China's push for greener vehicles is prompting Toyota, Fiat Chrysler, Honda and Mitsubishi to sell the same vehicle based on the Guangzhou GS4 crossover. Industry leaders are making their bets on the used-vehicle space. With the mass-market introduction of electric vehicles it is time to think less of horsepower and more of kilowatts when judging a vehicle's power. The gradual flip in Toyota Motor Corp.'s product and sales mix in the U.S. over the past decade has exposed some weak performers on the car side. With automakers facing financial pressure on many fronts -- Wall Street, trade and tariff issues, slowing sales, intense competition -- the product development chief's job has never been more important. GM is probably getting too much credit for bucking the Trump administration's attempt to water down fuel economy and emissions standards. It seems fairly transparent that GM favors a zero-emission mandate to help promote the electric vehicles that it manufactures and sells, whether the public wants them or not. Consumers consider it entertainment #8212; and are willing to pay for the experience, which is essentially the start of the sales process. As dealerships refine how FandI products should be presented online, one thing is clear: The handoff in-store must be seamless. VW has backed away from recent speculation sparked by its Porsche brand that the group might spin-off its passenger-car operations and partially float them on the stock exchange. The EV mandate the automaker proposed last week made for some good press, but it was only half the story. The fact that BMW has never sold an M3 wagon is baffling, but that could be changing soon, according to a report by Autocar. Proving grounds were created to test new technology. Why not use them to test autonomous vehicles? To succeed in the U.S., Chinese brands must assimilate brand promise, market, dealer and sales differences, as well as business structures and management cultures and hierarchies. Tesla's Supercharger network is the template for automakers gearing up to launch fuel cell vehicles. FandI managers, especially those who haven't experienced a downturn, may have to step up their game in the coming months.
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Ethical practices in automotive finance have evolved significantly in recent decades, with a boom in automotive retail regulations. Automotive News explores this evolution in this special section. Price pressure, rising interest rates and a shrinking supply of affordable vehicles have auto dealers worrying more about business as they look toward 2019, according to the Cox Automotive Dealer Sentiment Index survey for the fourth quarter. Carlos Ghosn's arrest in Tokyo is already having consequences, from product marketing to international diplomatic relations. More complications could be ahead. Dhivya Suryadevara has quickly risen through the ranks of GM since starting as a senior financial analyst in 2005. SK Innovation will spend $1.67 billion to build an EV battery plant in Commerce, Ga. Some think that is just the beginning. With three weeks left in 2018, California already has had a record year for the number of manufacturers permitted to test autonomous vehicles, the number of those vehicles permitted on the road and the number of crashes involving those vehicles. While other boxy designs have come and gone #8212; Scion xB, Nissan Cube, Honda Element #8212; Kia's Soul has built longevity through loyalty. General Motors' decision to idle four U.S. assembly and parts plants could provide ammunition for critics of President Donald Trump's new North American trade agreement. Toyota and Mazda will spend $1.6 billion to build an assembly plant in Huntsville. Things have changed since their last greenfield ventures. As Ford has tried to downplay its ongoing talks with Volkswagen Group, VW CEO Herbert Diess, who last week said VW is eyeing access to Ford's U.S. manufacturing footprint, keeps upping the ante. Heading into 2018, U.S. auto sales appeared headed for a second-straight annual decline. But it hasn't played out as expected: Sales have remained steady even as incentives were disciplined and prices rose further. What does a 2014 Jeep Compass Sport have in common with a Soviet submarine? A Florida store's $4.8 million settlement of a robocalling lawsuit is the latest wake-up call for dealers to remain vigilant about unwanted advertising messages to current and prospective customers. As Volvo prepares a new and improved version of its Care by Volvo subscroption service, California hears the grumbling of dealer protests. The latest Final Edition of the iconic Volkswagen Beetle will have special colors, badging and wheels as the bug drives into the sunset next year, just as it did 15 years ago. It seems likely that the much-discussed new Land Rover Defender will be built outside of England. Brembo navigates the curves of supplying high-end brakes while managing the transition to brake-by-wire. The redesigned RDX has gotten off to a torrid start, but brand chief Jon Ikeda says Acura isn't planning more crossovers. With industrial space in Detroit in short supply, a regional group is eyeing two Detroit airports as a site for future industrial development. Fiat Chrysler Automobiles CEO Mike Manley clearly learned many lessons from his predecessor -- and even some the late Sergio Marchionne never intended to teach. Mazda doesn't see the slowing sedan market as an excuse to become complacent about its cars. In fact, it sees this as the perfect time to raise the bar with an artistic approach to design that enhances some of their emotional allure. Genesis' steep sales dropoff is largely a byproduct of the brand's accelerated separation from Hyundai. As new-vehicle prices and interest rates continue to rise, affordable cars continue to disappear from the American landscape. Starting with the 2020 Aviator, Lincoln will adopt the Grand Touring name for all of its electrified variants in an effort to emphasize their performance capabilities, prevent customer confusion and avoid any stigma associated with electric... Hyundai is forging ahead with marketing campaigns that tout its "family of SUVs." On the day CEO Mary Barra outlined the largest round of job cuts and plant shutdowns in nearly a decade, General Motors also was having an orientation for new hires. For Corina Diehl, becoming a dealer was trial by fire after her husband's unexpected death in 2007. In an interview, she reflects on stair-step incentives, the current state of the dealership franchise system, facing sexism and more. In a market that's tilted 70-30 toward light trucks, why does Toyota bother to invest in cars? Because in that smaller market, Toyota is a giant. And it has even more elbow room now that the Detroit 3 have decided to vacate several car segments. Before the Ghosn turmoil, Mitsubishi U.S. boss Fred Diaz had his eyes set on leveraging shared platforms to bolster his product lineup. And he still does. Two midsize pickups -- an old school paean to nostalgia and a modern vision of the future -- rolled into the auto show. Just a month into his new role as CEO of Volkswagen Group of America, Scott Keogh isn't yet ready to lay out a comprehensive plan to fix what ails the German automaker's operations in the U.S. Maybe by January, Keogh says. In the minds of customers and employees at Fitzgerald Auto Malls, the FitzWay is shorthand for the company's detailed quality policy, painstakingly developed more than 14 years ago. In many ways, the story of Byton sounds like so many fledgling automotive companies backed by Chinese investors. The company has outlined grand plans to reinvent traditional business models. It has pinned its fortunes on an electric powertrain. Self-proclaimed car guy Brian Krzanich has big plans for CDK, including more interaction with the car buyer and a bigger push into the industry's transition to autonomous driving. BMW is considering building more crossovers in China as exports from its Spartanburg, S.C., plant are hit by a 40 percent tariff. Hits and misses from the floor of the Los Angeles Auto Show. As Carlos Ghosn sits in a cramped Japanese jail with the fate of his global auto empire in limbo, two conflicting scenarios are emerging to explain the stunning upheaval. Predicting how pedestrians will behave around autonomous vehicles has become a key problem, one the likes of Volvo, Ford and others are trying to solve. This month, the Kentucky Supreme Court ruled that dealerships don't need to verify proof of liability insurance before releasing vehicles in dealer-to-dealer transactions such as auction sales. Automotive News gets a peek into day-to-day life at three self-driving car companies in this former steel town. The ouster of Carlos Ghosn gives CEO Hiroto Saikawa the green light to accelerate the undoing of his erstwhile mentor's work at Nissan. A Lamborghini Urus race vehicle will soon be a reality. The 2019 Subaru Crosstrek Hybrid serves as the introduction to StarDrive, the automaker's moniker for its vehicle electrification. As she approaches the five-year mark, Mary Barra is calling on her crisis-management skills and lessons again to help drive the company and its work force of 180,000-plus through its next transformation and further away from the shadows of "old" GM. Logistics giant AMPORTS is solidifying its position with a series of major expansion projects as the vehicle logistics industry engages in an investment race to keep up with growing demand for import and export services. The Toyota Corolla, a perennial top seller among light vehicles in the U.S., faces a tougher market as car sales plummet. Toyota believes there are still pockets of opportunity for sales with multicultural groups. Black Friday hasn't just taken over Thanksgiving weekend: Big sales run all month, especially in automakers' and dealers' marketing efforts. It's too soon to call it a trend, but third-quarter subprime auto originations rose from the year earlier for the first time in more than two years, the Federal Reserve Bank of New York and TransUnion said in separate reports last week. Here's the clearest look yet at the basic two-door model of Land Rover's upcoming Defender, scheduled for launch in 2020. Miami's roads are a mess. This chaos, it turns out, is exactly why Ford has plunged headlong into testing the mettle of its autonomous-driving technology on Miami's streets. Certified pre-owned vehicles are selling quicker and with better margins, according to J.D. Power. Rivian Automotive is set to debut two vehicles, an SUV and a pickup, this week at AutoMobility LA and teased at least one of them in a video on its YouTube channel. Downey Nissan, near Los Angeles, makes it convenient for customers to share a professional video of their new or used vehicle on social media. Chief engineer Yoshikazu Saeki said he wanted to bring the latest RAV4 back to the essence of a utility vehicle: a multipurpose option that can handle adverse road conditions and still make its passengers feel safe. After months of financial woes, Rahim Hassanally, the prominent young dealer principal of Momentum Auto Group in California, abruptly shut down seven stores. Following the addition of the Ascent three-row crossover and the redesigned Forester, two vehicles seen as critical for the brand's continued sales growth in the U.S., Subaru of America is taking another crack at a hybrid. Finished-vehicle logistics tends to go unnoticed in the automotive sector compared with manufacturing and marketing #8212; until a shipping delay creates a shortage at dealerships. Lamborghini CEO Stefano Domenicali is wrestling with how to shape the company's fourth product Everything old may be new again, but eventually, everything that's new again grows old. Except, perhaps, for the Dodge Challenger. GM argues that EPA fuel economy ratings for its 2.7-liter four-cylinder engine don't tell the whole story. Reducing the number of side-mirror configurations on the Explorer is a small change but a telling example of how Ford let itself fall back out of shape after tiptoeing around bankruptcy -- and the sort of bloat CEO Jim Hackett sees as a threat to... Penske Automotive Group Inc. and other public retailers are offering financial rewards to employees and their spouses for things like getting a physical or completing biometric screenings. Chinese automaker Zotye has begun signing up U.S. retailers and plans to "really shake things up" when it comes to factory-dealer norms. The need for traditional dealers to get innovative in the pre-owned space was apparent at the 2018 Used Car Week annual event in Scottsdale, Ariz. Online auctions and the digital tools that accompany them are key to vehicle wholesalers' futures. JCI's big battery unit just sold for billions -- and believe it or not, electric vehicles are not where the future action is. Provisional agreement on a new North American trade pact was supposed to reduce economic uncertainty for the industry after months of acrimonious negotiations. But less than two weeks before the official signing of the U.S. The redesigned Corolla must prove it can deliver more stability and power to Toyota's U.S. car sales, which are down 11 percent this year. Volkswagen plans to spend about #8364;44 billion ($50 billion) over the next five years on a comprehensive electrified mobility strategy that includes making at least 15 million battery-powered autos and further research into autonomous driving In a rare move, Honda chose someone from its powersports division to lead manufacturing for a car, the third-generation Insight. After a public feud over customer-data access led to a severed contract, AutoNation and TrueCar made amends. Now, the dealership group is giving ex-TrueCar CEO Scott Painter a second chance. The French automaker, PSA group, is on track with its plans to return to the U.S. through its newly created PSA North America. Onboard cameras are beginning to watch drivers to make sure they have their eyes on the road. Is this a Pandora's box of privacy issues? Former Ford Motor Co. CEO Alan Mulally, speaking at the National Auto Auction Association's annual convention, knocked tax credits and mandates for EVs as ineffective policy tools. Rainbow Coalition President Jesse Jackson said Toyota "seems to have the idea that doing business with us is good for business, not the cost of doing business." The community surrounding AutoNation Ford Panama City looks like a war zone after Hurricane Michael. Still, dealership employees have found a sense of normalcy and routine in returning to the battered store. Nissan says its push to improve profitability in the crucial U.S. market is taking more time and money than expected. Porsche is looking to expand its Porsche Classic operations to build its lucrative vehicle service business through its U.S. dealerships. Pennsylvania dealerships' annual car show builds brand recognition while raising money for a heartwarming charitable cause. Finance directors have different ways of approaching customer interviews. Relying on the sales team works for some, while others want more independence. Chase Auto has handed responsibility for direct lending to its chief marketing officer, part of an effort to unify its customer-facing business and present services beyond traditional auto lending. Margin compression in the used-vehicle market has made knowing the intricacies of data more important than ever for dealers. Herbert Diess has been CEO of Volkswagen Group only since April, yet the 60-year-old former BMW executive now heading one of the world's largest automakers has a clear vision of where he wants to lead his company. If electric vehicles fail to catch on globally over the next several years, it won't be because Volkswagen didn't try, CEO Herbert Diess says. Toyota's North America CEO Jim Lentz is looking to chop unpopular nameplates from the U.S. lineup as bosses in Japan order him to restore sagging profitability to record levels. We know Jeep is building a Wrangler-inspired pickup -- it's just a matter of what it'll be named, what it will look like and when it will show up. Well, the folks at JeepScrambler Forum answered one of those questions -- the when. Presidio Group, a dealership buy-sell advisory firm, recommends that its clients create a conversion plan to serve the future industry or opt to sell their dealerships ahead of predicted dealership disruption from autonomous vehicles. This may be the dawn of the electric vehicle era, but 2018 has been a phenomenal year for the humble internal combustion engine. New CDK Global CEO Brian Krzanich has no experience in the auto industry, but he might just have the tech skills the company needs. Volvo's early success with its car subscription plan has put the company in an enviable position as automakers tinker with business models that don't revolve around traditional car ownership. Upstart online used-car retailer Vroom said it raised $146 million in its latest round of funding, including a previously reported $50 million from AutoNation Inc. Santa Claus takes on a modern look in a new Audi ad that shows him shedding pounds when he endures a bit of a mid-life crisis after realizing that he can't fit into an RS 5 at his current weight. Tesla CEO Elon Musk criticized '60 Minutes' for editing out parts of his responses to questions about losing the role of chairman last month. Hertz and Clear announced the debut of Hertz Fast Lane Powered by Clear, a service that uses biometrics to speed members through the rental car process. China's automobile sales fell about 14 percent in November from a year earlier. It was the steepest decline since January 2012, when the timing of the Lunar New Year holiday hurt auto sales. Starboard Value is calling on Cars.com to improve its performance or consider selling itself or making management changes, about nine months after the activist hedge fund reached a settlement agreement with the online auto-dealing platform. Ethical practices in automotive finance have evolved significantly in recent decades, with a boom in automotive retail regulations. Automotive News explores this evolution in this special section. Cox's chief economist warns dealers to be conservative on inventory next spring as changes to the tax law may significantly reduce refunds in 2019. Price pressure, rising interest rates and a shrinking supply of affordable vehicles have auto dealers worrying more about business as they look toward 2019, according to the Cox Automotive Dealer Sentiment Index survey for the fourth quarter. Many dealers leave nothing to chance with ethics. Internal training, external audits and promoting from within as often as possible are the top tactics used to prevent compliance and ethical land mines. When it comes to compensating for compliant behaviors, should FandI managers be incentivized? As new-vehicle sales cool in China, dealers are turning to their highly-respected U.S. counterparts to learn how to create additional revenue streams in stores while preparing for potential investments in the American market. While other boxy designs have come and gone #8212; Scion xB, Nissan Cube, Honda Element #8212; Kia's Soul has built longevity through loyalty. Chevrolet has launched a national employee pricing sales campaign on all 2018 and some 2019 models through the end of the year. Heading into 2018, U.S. auto sales appeared headed for a second-straight annual decline. But it hasn't played out as expected: Sales have remained steady even as incentives were disciplined and prices rose further. What does a 2014 Jeep Compass Sport have in common with a Soviet submarine? A Florida store's $4.8 million settlement of a robocalling lawsuit is the latest wake-up call for dealers to remain vigilant about unwanted advertising messages to current and prospective customers. As Volvo prepares a new and improved version of its Care by Volvo subscroption service, California hears the grumbling of dealer protests. Self-promotion can erode customer trust, FandI experts caution, and dealerships should have ethical ground rules for displays of personal achievement in the office. Whether it's better for mitigating sales resistance from customers or preventing cash-buyer confusion, some dealerships stray from the traditional title of finance and insurance manager. DCH Millburn Audi in New Jersey has spent the last several years perfecting the sales-to-FandI handoff. The strategy has not only improved the sales process for the customer, but also increased the store's FandI profit. The transparency of a one-person, one-price approach lends itself to a more ethical culture, said some dealers who have made the switch. In 2009, a Facebook group was launched to help educate FandI managers on ethics and compliance. The intention to build an online community of experts, educators and comrades was a way to reach those in need of guidance without charging a fee. There's always a back story. For Terry O'Loughlin, director of compliance for Reynolds and Reynolds, a case involving a killer clown led him on the path to an automotive career. As new-vehicle margins continue to melt away, structuring a pay plan that rewards the FandI department but still ensures the job is done ethically and legally is one of dealers' greatest challenges, auto retail experts said. Genesis' steep sales dropoff is largely a byproduct of the brand's accelerated separation from Hyundai. The Detroit auto show, seeking to reinvent itself following decades as a January venue, has committed to seven years with its new June date. Vehicle-shopping site TrueCar has acquired DealerScience, a provider of digital-retailing software, for $27 million, the companies said Friday. DealerScience's founder will also join TrueCar's executive team effective immediately. Chevrolet has launched a national employee pricing sales campaign on all 2018 and some 2019 models through the end of the year. The Federal Trade Commission said it will mail out 43,456 checks totaling more than $3.5 million for customers that fell prey to Sage Auto Group's deceptive practices from 2014 to 2016. Despite an increase in subprime loan volume in the third quarter, subprime market share hit its lowest level in more than a decade, according to Experian. While Toyota remains "very, very bullish" on the overall market, Jim Lentz said "some crazy" potential implications from trade and U.S. The resurgence of 0 percent financing for Black Friday deals pulled down the average interest rate on new-vehicle loans from the month earlier, but rates still grew year over year and will likely continue to rise. Volvo, Dacia, Seat and Toyota had a good month in a UK market whose overall sales fell 3 percent. Audi, Nissan, Hyundai and Ford suffered steep sales declines. SandP Global Ratings lowered the credit rating of Tata Motors and its Jaguar Land Rover unit deeper into junk, citing weaker-than-expected profitability at JLR. German sales fell 10 percent in November as automakers, including VW Group's Porsche and Audi brands, continue to adapt to the new WLTP emissions testing regime. Registrations in Italy declined 6 percent in November, according to figures published by the nation's Ministry of Infrastructure and Transport. SandP Global Ratings lowered the credit rating of Tata Motors and its Jaguar Land Rover unit deeper into junk, citing weaker-than-expected profitability at JLR. Plunging automobile sales add to evidence that higher borrowing costs are beginning to eat into Canadian economic growth, possibly faster than the central bank expected. The California New Car Dealers Association asked Volvo to stop its Care by Volvo subscription service after a review found what the association believes to be violations of California franchise laws. Fiat Chrysler will partially lay off more than half the workforce at its underused Mirafiori plant in Turin as it retools the factory to build EVs. Fiat Chrysler will partially lay off more than half the workforce at its under-used Mirafiori plant in Turin, as it retools the factory to build EVs. "High lithium and cobalt prices #8212; but also limited supply and lower demand for pure EVs #8212; now favor more plug-in hybrids in the short to medium term vs. our previous expectation," analysts said. Bumpy dirt roads, thin air at high altitude, the ordeal of bringing labor into a blinding white salt flat #8212; all of this stands between anyone who dreams of retrieving Bolivia's lithium and turning it into electric car batteries. Nov. U.S. sales winners, losers; GM begins contract-worker layoffs; UAW protests plant cuts; Barra, senators to meet; Another Ghosn arrest?; Toyota seeks to solve hybrid puzzle. General Motors is intensifying its attack on Ford's lead in sales to U.S. commercial fleets to prop up profit margins amid weakening consumer demand. Dealers blamed the "negative" climate sorrounding cars for a 13 percent fall in Spanish registrations in November as consumers worriy about the threat of diesel bans and even a complete ban on internal combustion engine vehicles in the future. U.S. light-vehicle sales slipped 0.5 percent in November as robust fleet shipments by some automakers failed to offset slumping demand for passenger cars. As new-vehicle prices and interest rates continue to rise, affordable cars continue to disappear from the American landscape. New-car registrations in France declined by 4.7 percent in November, as the market continued a slowdown following summer sales increases driven by incentives to sell cars that were not yet homologated under the new WLTP type-certification tests. Volkswagen sales slid 8.3 percent in November to 26,789, despite record Tiguan sales. Audi sales fell 11%, their second consecutive month of decline. Despite an anemic 0.6 percent increase in November U.S. sales, Mercedes-Benz remained No. 1 among luxury brands last month. Each of the Detroit-based automakers suffered double-digit sales declines. FCA was down 35.2 percent. GM was down 18.3 percent while Ford fell 10.7 percent. Nissan and Toyota had record months. Except for gains at Lincoln, Ford's November sales dropped in nearly every measurable category. Hyundai-Kia's combined U.S. sales edged up 1.1 percent in November as Hyundai's crossover momentum continued to build. Lincoln says building standalone luxury showrooms is vital to its growth; California dealer group says it's financially harmful. Nissan, Honda, Ford sales drop as cars get clobbered; fleet lifts FCA; VW, Mitsu dealer-outreach push; Nissan's 'important concepts' for Detroit show; NHTSA official joins Uber. Nissan North America had a chilly November, with U.S. sales tumbling across the board, even in the typically resilient light-truck segment. U.S. sales for FCA US rose 17 percent in November to 181,310 vehicles, a gain largely driven by fleet transactions. Toyota posted a 0.6 percent decline in November from the year-earlier month to 190,423 vehicles, despite record-high November light-truck sales. The Acura RDX continued to post record sales results for American Honda in November, but it was not enough to offset declines for higher-volume vehicles such as the Honda Civic and Pilot. For the next decade or two, the shift toward self-driving vehicles is likely to be incremental. But at some point, fully autonomous vehicles will be safe, reliable and readily available. For Corina Diehl, becoming a dealer was trial by fire after her husband's unexpected death in 2007. In an interview, she reflects on stair-step incentives, the current state of the dealership franchise system, facing sexism and more. Hyundai will keep its Super Bowl ad run going in 2019, making it the eleventh time in the past 12 years that the brand has advertised during the game. Just a month into his new role as CEO of Volkswagen Group of America, Scott Keogh isn't yet ready to lay out a comprehensive plan to fix what ails the German automaker's operations in the U.S. Maybe by January, Keogh says. Lincoln Motor Co. President Joy Falotico told Automotive News last week the company is no longer projecting a sales goal of 300,000 by the end of the decade, amid uncertainties created by the U.S,.-China trade war. In the minds of customers and employees at Fitzgerald Auto Malls, the FitzWay is shorthand for the company's detailed quality policy, painstakingly developed more than 14 years ago. Self-proclaimed car guy Brian Krzanich has big plans for CDK, including more interaction with the car buyer and a bigger push into the industry's transition to autonomous driving. Billions of dollars are being spent on autonomoous vehicle technology, but where is the consumer demand? Toyota's RAV4, already the best-selling nonpickup in the nation, will get a big marketing push with a Super Bowl ad in February. Lexus is in no rush to embrace a vehicle subscription program at the brand level, but it sees the all-inclusive short-team lease as a format that could be expanded to other models in the lineup. If car or crossover owners are willing to dip a toe into the midsize pickup segment, while full-size pickup buyers remain where they are, that would be a recipe for greater profitability across the board. Kia will extend its Super Bowl ad streak to 10 years. The ad will be handled by U.S. agency-of-record David and Goliath, but the automaker declined to confirm other details. A forecasted 2 percent drop in U.S. sales would keep the SAAR above 17 million. As the headwinds get stronger, transaction prices continue to rise and incentive spending remains disciplined. Nissan's ousting of Carlos Ghosn for alleged financial irregularities has been seen as a bid by the automaker to prevent a merger with Renault. The drama highlights the fact that Europe is not a happy place for the company right now. Daimler is on track to meet the quota for new-energy vehicles in China. The automaker will start production of the electric Mercedes EQC SUV next year in a bid to meet Beijing's stringent anti-pollution targets for automakers. An ailing dealership group owned by two former NFL players and an auto industry veteran has agreed to turn over vehicle collateral to Nissan Motor Acceptance from three of its now-closed stores. Two New York City men were sentenced last week to prison and are each ordered to pay restitution for their involvement in a fraudulent scheme to steal vehicles from six dealerships in Westchester, N.Y. Honda is axing its diesel cars in Europe as it adds full-electric and hybrid powertrains in a green technology push. Lincoln President Joy Falotico said the brand is backing off the target, established under former CEO Mark Fields in 2014, after the cost to export U.S.-built vehicles to China rose. To promote its American-made X5 crossover, BMW filmed a road trip from the car's birthplace in its Spartanburg, S.C., plant directly to a stage at this week's L.A. auto show. KAR Auction Services said it agreed to buy Belgium-based online auction company CarsOnTheWeb for about $176 million. Sid Nair, from IT services company DXC Technology, will take over the responsibilities of the departing Raj Sundaram, executive vice president and chief client success officer. Renault said it is beginning its own internal audit to examine Chairman Carlos Ghosn's compensation in the wake of the scandal leading to his ouster at Nissan and Mitsubishi over the past week. The reaction in France to Carlos Ghosn's arrest over alleged financial misconduct at Nissan can be summed up in two words: It's complicated. Aston Martin aims to more than double the number of cars it makes by 2025 to 14,000 cars, CEO Andy Palmer said. VW brand will increase digital marketing spending to 50 percent of its media mix from 25 percent and reduce the number of its global advertising agencies to three from 40. Borgward will begin sales of its SUVs in the UK and Ireland at the end of next year, the brand's new importer has said. Police say the Grinch who stole Christmas lights, a flat-screen TV and expensive coolers from a Florida dealership showroom this month turned out to be a man who had recently bought a vehicle at the store and decided to go back for more. Advertising agency giant WPP has won Volkswagen's creative account in North America, following a seven-month global agency review. |
Automotive News Europe needs your help to identify the Rising Stars in the European automotive industry. The award honors executives with a pan-European profile who have driven change, fostered innovation and made courageous decisions. Volvo, Dacia, Seat and Toyota had a good month in a UK market whose overall sales fell 3 percent. Audi, Nissan, Hyundai and Ford suffered steep sales declines. Land Rover will likely reveal its new Defender model next year ahead of sales in 2020. The SUV will be built in five-door and three-door versions, mirroring the original off-road vehicle. MG has introduced its first EV, an electric variant of the MG ZS small crossover, and plans to sell it in Europe as well as China. German sales fell 10 percent in November as automakers, including VW Group's Porsche and Audi brands, continue to adapt to the new WLTP emissions testing regime. Registrations in Italy declined 6 percent in November, according to figures published by the nation's Ministry of Infrastructure and Transport. SandP Global Ratings lowered the credit rating of Tata Motors and its Jaguar Land Rover unit deeper into junk, citing weaker-than-expected profitability at JLR. Former Nissan CEO Carlos Ghosn had near-total say over how much he was paid, which may have led to his arrest for alleged financial misconduct. The White House is looking to whittle down a $30 billion automotive trade deficit with Germany with increased production in the U.S., Commerce Secretary Wilbur Ross said ahead of a meeting with automakers in Washington. VW might use Ford's U.S. plants to build cars, VW CEO Herbert Diess said. VW is also considering building a second car plant in the U.S., he said. VW Group expects the era of the combustion car to fade away after it rolls out its next-generation gasoline and diesel cars beginning in 2026. Fiat Chrysler will partially lay off more than half the workforce at its under-used Mirafiori plant in Turin, as it retools the factory to build EVs. Nissan's independent board members failed to nominate a successor to Carlos Ghosn as chairman in the wake of his arrest and dismissal for alleged financial misconduct, reports said. BMW is in talks with at least two peers about joining its automated-driving group and expects to announce new members in the next three to four months. New details of Carlos Ghosn's alleged financial misconduct have come to light amid mounting speculation the ousted Nissan chairman could be re-arrested by Japanese prosecutors so he can be detained longer. Audi said it plans to invest nearly $16 billion in e-mobility and self-driving cars through 2023. Germany is pledging $1.7 billion by 2020 to improve air quality in its cities and help municipalities avoid driving bans for some diesel cars. Dealers blamed the "negative" climate sorrounding cars for a 13 percent fall in Spanish registrations in November as consumers worriy about the threat of diesel bans and even a complete ban on internal combustion engine vehicles in the future. New-car registrations in France declined by 4.7 percent in November, as the market continued a slowdown following summer sales increases driven by incentives to sell cars that were not yet homologated under the new WLTP type-certification tests. BMW expects headwinds from U.S. President Donald Trump's trade war with China as well as higher commodity prices and foreign exchange swings to weigh on earnings next year by at least 1 billion euros ($1.1 billion). Ford's $11 billion restructuring could cost 25,000 employees their jobs, with Europe bearing the brunt of the cuts, according to Morgan Stanley. Top executives of VW, Daimler and BMW have a balancing act to pull off when they meet with Trump administration officials Tuesday about potential tariffs on U.S. imports from Germany. The attorney for Nissan director Greg Kelly, called the 'mastermind' of Chairman Carlos Ghosn's alleged financial misconduct, says his client did nothing wrong. Revived German brand Borgward has named Xiuzhan Zhu as its new CEO. Zhu replaces former Rolls-Royce executive Philip Koehn, who spent just four months in the job. Renault, Fiat and Nissan face diesel recalls in Europe because of concerns over diesel emissions, a German paper said. Bentley will target currently unreachable super-wealthy customers with a future electric vehicle but only when battery technology improves, CEO Adrian Hallmark said. BMW shares rallied the most in more than three years after U.S. President Donald Trump said China had agreed to remove painful tariffs on imported U.S.-built cars shipped to the world's biggest automotive market. Japan's jail system treats Carlos Ghosn, one of the auto industry's most powerful executives, like any other criminal suspect. Nissan has called Greg Kelly, the only American to serve on its board, the mastermind of a criminal plot to under-report former chairman Carlos Ghosn's income. The latest issue of the Automotive News Europe monthly magazine is ready to view. The new edition looks at why the traditional automotive merger is being replaced by a dizzying array of ecosystems, alliances and collaborations. New details of Carlos Ghosn's alleged financial misconduct have come to light amid mounting speculation the ousted Nissan chairman could be re-arrested by Japanese prosecutors and possibly detained past Christmas as investigators probe new... As Carlos Ghosn sits in a cramped Japanese jail with the fate of his global auto empire in limbo, two conflicting scenarios are emerging to explain the stunning upheaval. Auto companies are forming varied collaborations, often with players from outside the automotive world, as they try to stay on top of the latest technological trends. VW and Britain's biggest retailer, Tesco, have teamed up to develop an electric vehicle charging network in the UK. The future of the Nissan-Renault alliance should be decided among the companies and not by the government, Japanese Prime Minister Shinzo Abe told French President Emmanuel Macron on the sidelines of the G20 summit. Toyota CEO Akio Toyoda takes on a new title as chief branding officer as part of an executive reshuffle. The company's North America and Europe chiefs have been promoted to operating officers. PSA and Toyota confirmed that Toyota will take full ownership of the companies' joint venture factory in the Czech Republic, which makes the Citroen C1, the Peugeot 108 and the Toyota Aygo. Tokyo authorities extended for another 10 days the detention of ousted Nissan Chairman Carlos Ghosn, Japanese media said. PSA's Free2Move mobility service has operated short-term rental fleets in dozens of cities on three continents -- but not in Paris, where the automaker is based, until now. Japanese Prime Minister Shinzo Abe and French President Emmanuel Macron were arranging to meet on the sidelines of the G20 summit meeting, reports said, amid signs of a growing diplomatic feud over the power balance at the troubled Renault-Nissan... A Lamborghini Urus race vehicle will soon be a reality. In the past year, Aston Martin has unveiled two unique concepts that go beyond hand built, ultraluxury cars: a small personal aircraft and a small personal submersible. The latest issue of the Automotive News Europe monthly magazine goes live on Monday. The new edition looks at why the traditional automotive merger is being replaced by a dizzying array of ecosystems, alliances and collaborations. Automotive News Europe needs your help to identify the Rising Stars in the European automotive industry. The award honors executives with a pan-European profile who have driven change, fostered innovation and made courageous decisions. Jaguar Land Rover will pause engine production in response to adjustments in vehicle production schedules. Fiat Chrysler will spend $5.7 billion on its factories in Italy to build SUVs for Alfa Romeo, Jeep and Maserati, and electric cars for the Fiat brand. Volvo's CEO Hakan Samuelsson is betting Volvo will make more money selling connected, autonomous cars rather than taking a cut of selling data-driven services inside the vehicle. Volvo's first model with Google's Android operating system embedded into the car will be the Polestar 2, a rival to the Tesla Model 3. Daimler is on track to meet the quota for new-energy vehicles in China. The automaker will start production of the electric Mercedes EQC SUV next year in a bid to meet Beijing's stringent anti-pollution targets for automakers. Ford backed British Prime Minister Theresa May's Brexit deal to avoid a no-deal "catastrophe," but said she still needed to guarantee long-term frictionless trade, which is key to the future of its plants in Britain. President Donald Trump congratulated BMW for building a 'major new plant' in the U.S., but the German automaker's decision has not been finalized. Top executives from VW, BMW and Daimler are finalizing plans for a White House meeting on trade policy next week. The CEOs of Renault, Nissan and Mitsubishi will jointly lead their automaking alliance, splitting a role maintained by Carlos Ghosn before his arrest in Japan. Schaeffler plans to expand its drivetrain portfolio to include electric motors as early as 2020 following last year's acquisition of wholly-owned subsidiary Compact Dynamics. Nissan's former representative director Greg Kelly denies allegations of financial misconduct at the automaker, his lawyer said. Car production in the UK dropped 9.8 percent last month, hit by continued uncertainty around Brexit and market turbulence at home and abroad, the SMMT industry body said. BMW can force its plug-in hybrid cars to switch to an electric-only mode in heavily polluted inner-city areas and is currently demonstrating the technology to local authorities in German cities in an effort to help them meet EU clean air rules. In the X7, BMW now has its own three-row luxury cruiser to challenge the likes of the Mercedes GLS, Cadillac Escalade and Lexus LX. Porsche is making its 911 faster and adding more technology to keep its most lucrative model relevant as the industry shifts toward full-electric sports cars. Honda is axing its diesel cars in Europe as it adds full-electric and hybrid powertrains in a green technology push. Audi's e-tron GT concept will go into production in 2020 as a rival to the Tesla Model S. VW is signaling the broad range of its coming electric vehicle portfolio with a pair of production-intent commercial concepts aimed at delivering cargo under battery power. The EU denied a report that the bloc's chief trade negotiator was headed to Washington to meet with her U.S. counterpart, in a last-ditch attempt to head off tariffs on car imports. Nissan and its auditor discussed the transactions at the heart of allegations of financial misconduct by former chairman Carlos Ghosn, Reuters reported. Carlos Ghosn's deferred income at Nissan ballooned over the past eight years as he sought to downplay his compensation in front of shareholders, a practice that was a focus of the investigation that led to the executive's arrest, Bloomberg reported. Three quarters of businesses in Britain's automotive sector think leaving the EU next year without a transition deal would hurt them, according to a survey from the industry body SMMT. Carlos Ghosn consulted Nissan about the collateral related to personal trading losses, but did not transfer the losses to the automaker, his lawyer said. General Motors' plans to end production next year at five North American plants and slash salaried head count by 15 percent will not come without risks and consequences. Mazda is betting that a technically advanced upscale version of the compact Mazda3 can defy a market shift to crossovers. Carlos Ghosn, the former chairman of Nissan, shifted personal investment losses incurred during the 2008 financial crisis to the automaker to avoid millions of dollars in losses himself, a newspaper reported. BMW is considering a second U.S. manufacturing plant that could produce engines and transmissions, CEO Harald Krueger said, after a report that President Trump will impose tariffs on light-vehicle imports starting next week. Volvo and U.S. technology company Luminar say they have achieved a key advancement in lidar sensing and perception, a technology regarded as essential to making self-driving cars safe. The reaction in France to Carlos Ghosn's arrest over alleged financial misconduct at Nissan can be summed up in two words: It's complicated. The Renault-Nissan alliance is threatened with disarray over a rift between the partners about how to fill a leadership vacuum as Carlos Ghosn remains in custody in Japan. Aston Martin aims to more than double the number of cars it makes by 2025 to 14,000 cars, CEO Andy Palmer said. VW brand will increase digital marketing spending to 50 percent of its media mix from 25 percent and reduce the number of its global advertising agencies to three from 40. Borgward will begin sales of its SUVs in the UK and Ireland at the end of next year, the brand's new importer has said. New spy photos give the clearest look yet at the basic two-door model of Land Rover's upcoming Defender, scheduled for launch in 2020. Carlos Ghosn's arrest last week has revealed fissures in the Renault-Nissan-Mitsubishi alliance. Carlos Ghosn faces allegations of financial misconduct that include family vacations and the misappropriation of funds for the purchase and renovation of houses around the world. Following the redesign of the third-generation Continental GT coupe last year, Bentley has revamped the open-top variant in its own right. Fiat Chrysler is expected to commit to producing new models in Italy, including Jeeps and an Alfa Romeo SUV, union sources said. Ousted Nissan Chairman Carlos Ghosn told colleagues that he didn't need to inform regulators about tens of millions of dollars in compensation that was to be paid out at his retirement, potentially shedding light on a key issue in the alleged... Fiat Chrysler is considering options for its robotics arm Comau, including a potential sale at a value of $1.7 billion to $2.3 billion, Bloomberg reported. Logistics giant AMPORTS is solidifying its position with a series of major expansion projects as the vehicle logistics industry engages in an investment race to keep up with growing demand for import and export services. VW brand's German union is fighting with Skoda over leadership of a factory that parent VW Group plans to open in eastern Europe. Nissan CEO Hiroto Saikawa took aim at ousted chairman Carlos Ghosn in a companywide address for concentrating too much power in himself. Mitsubishi Motors has joined alliance partner Nissan in removing Carlos Ghosn from his role as chairman following his arrest for alleged financial misconduct. Nissan is seeking to limit the power of alliance partner Renault to nominate officials to its board, Reuters reported. Without Carlos Ghosn, it might look like the global alliance he built could fall apart. But with platforms, purchasing and plants shared, unwinding Ghosn's creation could do more damage than keeping it together. Santa Claus takes on a modern look in a new Audi ad that shows him shedding pounds when he endures a bit of a mid-life crisis after realizing that he can't fit into an RS 5 at his current weight. Chevrolet has launched a national employee pricing sales campaign on all 2018 and some 2019 models through the end of the year. The Detroit auto show, seeking to reinvent itself following decades as a January venue, has committed to seven years with its new June date. Hyundai will keep its Super Bowl ad run going in 2019, making it the eleventh time in the past 12 years that the brand has advertised during the game. Billions of dollars are being spent on autonomoous vehicle technology, but where is the consumer demand? Toyota's RAV4, already the best-selling nonpickup in the nation, will get a big marketing push with a Super Bowl ad in February. Kia will extend its Super Bowl ad streak to 10 years. The ad will be handled by U.S. agency-of-record David and Goliath, but the automaker declined to confirm other details. Lincoln President Joy Falotico said the brand is backing off the target, established under former CEO Mark Fields in 2014, after the cost to export U.S.-built vehicles to China rose. To promote its American-made X5 crossover, BMW filmed a road trip from the car's birthplace in its Spartanburg, S.C., plant directly to a stage at this week's L.A. auto show. VW brand will increase digital marketing spending to 50 percent of its media mix from 25 percent and reduce the number of its global advertising agencies to three from 40. Advertising agency giant WPP has won Volkswagen's creative account in North America, following a seven-month global agency review. The Toyota Corolla, a perennial top seller among light vehicles in the U.S., faces a tougher market as car sales plummet. Toyota believes there are still pockets of opportunity for sales with multicultural groups. 2018 Automotive News All Stars Jack Hollis, Toyota Division group vice president and general manager and Ed Laukes, group vice president of marketing, were instrumental in leading a company effort to reposition itself as a mobility company, through... 2018 Automotive News All Star Dean Evans, chief marketing officer at Hyundai Motor America, led a product blitz this year. Honda aims to break through traditional holiday advertising, with the Grinch hacking its annual holiday campaign and social media accounts. Renault has appointed former Unilever executive Francois Renard as global marketing director, replacing Thierry Koskas, who will become president of Renault Sport Racing. Chinese automaker Zotye's U.S. sales plan: Budget CUVs, flexible facilities; JCI selling battery unit; Ford 'Baby Bronco' spied; Toyota rewards a hero; Remembering Stan Lee. The economy may be delicate, but there's no reason strong automotive sales won't continue for the next few years. Mercedes-Benz #8212; whose name adorns the Atlanta stadium where Super Bowl LIII will be played #8212; is returning to the game as an advertiser after sitting out the NFL's championship showdown in 2018. Nissan said its push to improve profitability in the U.S. is taking more time and money than expected. The automaker's North American profit climbed 13 percent but fell 21 percent globally. Nissan said its push to improve profitability in the U.S. is taking more time and money than expected. The automaker's North American profit climbed 13 percent but fell 21 percent globally. Consumers consider it entertainment #8212; and are willing to pay for the experience, which is essentially the start of the sales process. Auto marketers shared their insights at the J.D. Power marketing event, where they discussed everything from subscription services to the use of bots to sell cars. The buzz about Porsche's Rennsport Reunion VI at the WeatherTech Raceway Laguna Seca near Monterey, Calif., last month just doesn't stop. So we decided to give it another, closer look. Ford Motor Co. is transforming its business for the future, but it wants consumers to know that it's still very good at building the cars and trucks on sale today. The Bondurant racing school, which has trained many famous race car drivers and other celebrities, has filed for Chapter 11 bankruptcy protection. The Federal Communications Commission may re-evaluate the auto industry's claim to spectrum that enables wireless vehicle-to-vehicle technology. Ford is shifting its focus from winning new customers to persuading current owners to stick with its namesake brand. Ford launching 'Built Ford Proud' ads, shifts marketing focus to loyalty; Report: Tilton seeking buyers for Dura; Tesla selling $45K Model 3; Startup Rivian focusing on rugged EVs. Ford will launch a new ad campaign featuring actor Bryan Cranston this weekend after giving dealers a first look at its annual national meeting in Las Vegas . When automakers skip out on auto shows, they shirk their shared responsibility to their dealers and send a cold message to their existing customers. Ford's stunning decision this week to replace WPP with BBDO as its lead creative ad agency upends a relationship that began 75 years ago, when Henry Ford was still steering the automaker. A group of auto dealerships near Washington, D.C., and a California marketing firm settled claims they deceptively mailed more than 21,000 fake "urgent recall" notices to consumers, the FTC said. Kia draws in attention with its ProCeed in the latest new video to join our charts. Ford, following a five-month review of its advertising efforts, said BBDO will replace longtime partner WPP as its lead creative ad agency. WPP will retain a role in what Ford calls a new multi-agency advertising model. A dealership group in the Great Plains has found a way to fine-tune its marketing spending and put more emphasis on the online channels where its customers are surfing. Porsche's Rennsport Reunion was an opportunity to rub shoulders with Porsche racing legends, marvel at their winning machines and celebrate the company's 70th birthday. Honda's latest ad campaign for its family of crossovers looks to tap into growth opportunities with minority consumers. In the latest new video to join our viral video chart, Jeep goes camping in Austria. Like the appointment of Steve Carlisle, the move to Michigan was part of an effort to bring Cadillac back into the fold after executives soured on the idea of allowing the brand to operate somewhat independently. General Motors is moving Cadillac's headquarters back to Michigan roughly three years after the brand moved to New York City's trendy SoHo neighborhood. Lyft will choose about 2,000 people to participate and hope that they will be honest about not using their personal car. This program will run for only one month. Ford has attempted online sales twice previously in the U.K., its biggest European market, without success. The automaker now believes the market is ready. Ford has attempted online sales twice previously in the UK, its biggest European market, without success. The automaker now believes the market is ready. In the latest new video to top our charts, Audi is quick to admit that it isn't the first automaker to build an electric vehicle. But it did give the e-tron Audi DNA. Interpublic's Deutsch has lost the Volkswagen creative account in the U.S. as the automaker nears the end of its global agency review, people familiar with the matter told Advertising Age. The surprise sneak peek at New York Fashion Week was another example of Kia showing up in unexpected places, such as the luxury sports sedan segment and the top tier of the industry's quality rankings. While Lincoln has no plans to discontinue its subscription pilot, officials say they'll have to alter the service #8212; including getting dealerships more involved #8212; if it's ever to grow beyond the test phase. Ford's latest F-150 commercial reinforces the automaker's leadership without calling out its redesigned rivals by name. One week after taking our top spot with its unveiling of the EQC, Mercedes is once again the top newcomer on our list, taking the second spot by showcasing it's modular self-driving, all-electric urban people carrier. The Mercedes-Benz A-class compact sedan, expected to arrive in U.S. showrooms early next year, is the brand's new "gateway" vehicle -- designed to draw the next generation of customers. Subaru of America partnered with outdoor gear retailer REI this summer on weekend road trips to showcase the new Ascent. Subaru is not going to let people forget that its new Ascent has three rows of seating. Nissan signed U.S. Open champion Naomi Osaka as its next brand ambassador, the automaker said, tapping the tennis star's youth, drive and Japanese roots to appeal to younger customers. Nissan signs tennis star Naomi Osaka; Hyundai dealers seek arbitration; Warning from Elon Musk; Lithia, Daimler invest in used-car ventures; A Subaru tech degree; Legos Bugatti. El Telluride 2020 se convertirá en el mayor cruce en la alineación de Kia a medida que la marca se entrelaza con la semana de la moda de Nueva York para ayudar a capitalizar el continuo cambio del consumidor a crossovers. In the latest new video to top our viral video charts, Mercedes-Benz shows off the all-electric EQC. Hyundai's Genesis luxury brand replaced incumbent sponsor Toyota with an all-new "Monday Night Football" halftime concept that it hopes will prove to be music to its viewers' ears -- commercial free. Russia's Lada split on whether the 40-year-old Lada Niva should continue to be the farmers' friend, or a funky urban SUV with occasional mud-plugging skills Subaru of America launched its national ad campaign for the 2019 Ascent, giving the three-row crossover emotional TV spots that follow the footsteps of other models. The 2020 Telluride will become the biggest crossover in Kia's lineup as the brand weaves into New York fashion week to help capitalize on the ongoing consumer shift to crossovers. Russell Wager, vice president of marketing for Mazda North American Operations, has left the company after nearly six years. Burt Reynolds, who died on Thursday at 82, starred alongside Pontiac Trans Ams and other wheels in car-centric '70s hits such as 'Cannonball Run,' 'Smokey and the Bandit,' and 'Hooper.' BMW introduced Intelligent Personal Assistant, an artificial intelligence-powered system to help drivers communicate with their cars as they do with their smartphones. Hyundai is introducing three national TV spots featuring families spending quality time together in a 2019 Santa Fe crossover while creating memories. BMW introduced Intelligent Personal Assistant, an artificial intelligence-powered system to help drivers communicate with their cars as they do with their smartphones. Automakers accounting for almost 40 percent of European sales will be missing from this year's biannual event in Paris. In the latest new video to top our chart, Fiat pays homage to the classic "Back to the Future" comedies, with a twist. Ford has ended nationwide advertising for the Fiesta, Focus, Fusion and Taurus and also is dialing back spending in certain markets -- even though the Fusion will stay in showrooms for now. Nissan departs from the usual pickup segment message of brawn and power to market its Titan as a community involvement tool. Instead of an advertising campaign extolling the virtues of the redesigned 2018 Accord, Honda Canada said it leaned on positive reviews from the press and word-of-mouth praise. It hasn't worked. Aston Martin, maker of sports cars for James Bond, is racing to add a woman to its board ahead of a London IPO. In the decade since the recession, dealerships have started to find themselves in a pickle come September, leaving them struggling to get rid of current-year models as the next-year iterations arrive. Through experiential marketing and the launch of the 2019 Silverado, Chevy expects to expand its roughly 60,000 Truck Legends member rolls to 100,000 by year's end. Mazda, which has struggled to maintain customer loyalty, has made owner engagement and community-building a central piece of its outreach strategy. Across the country, automakers are leveraging owner gatherings and other communal experiences to build loyalty and a deeper connection between brands and their customers. On the biennial Mini Takes the States road trip, owners were treated to face time with the brand's manufacturing team and a new connected-car app. In a sport defined by matchups and midgame adjustments, the National Football League's official auto sponsor decided to make a tweak of its own. Hyundai CMO Dean Evans says building an owner community is important. Consumers know Lexus vehicles for their long tradition of smooth-riding sedans and plush utility vehicles that are at home at the country club, fine hotels and trendy urban eateries. But how about at the track? The Viper has been phased out, but the track has expanded its roster with other vehicles plucked from the FCA fleet: the energetic Fiat 500 Abarth and 124 Spider Abarth. And more Challengers are coming. Boch Automotive stuck to its fat ad budget during the recession in anticipation of the rebound and in keeping with its maverick owner's approach. Porsche's headquarters is pivotal to a soft-sell strategy that it relies on to offset the hard-sell tactics associated with dealerships. In a round-the-world sprint spanning Sept. 9-14, BMW will fly the autonomous iNEXT electric crossover in a Boeing 777 Freighter to press events in Munich, New York, San Francisco and Beijing, before returning to Frankfurt. The daylong event outside Washington kicks off a season of festivals that allow fans of Subarus to share their passion for the brand and its quirky vehicles. Mustang Alley,the pony-car parade which celebrated its 20th year last month, gives Mustang owners a dedicated space to swap stories and show off their rides. General Motors and its Cadillac luxury brand are paying tribute to legendary singer Aretha Franklin on the day of her funeral service in Detroit. Ford has tapped Wieden and Kennedy New York for a short-term marketing assignment that comes amid its massive global agency review, the automaker confirmed. Nissan is sticking with its college football campaign that fictionalizes ex-college stars living together, fraternity style, marking the eighth straight year of the effort. People don't like being sold to. The auto industry is catching on. Mercedes-Benz and Porsche are gearing up soft-sell approaches to offset the hard-sell tactics associated with dealerships. Production of the Audi e-tron started in September as planned and on time in Brussels, with hopes of reaching maximum output this year if the supply chain does not falter. The latest issue of the Automotive News Europe monthly magazine is ready to view. The new edition examines why Europe is at risk of falling behind in the race to offer self-driving cars. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Startup is Orit Shifman, who is group CEO, chairman and founder of OSR Enterprises. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Sales is David Oliveira, who is Faurecia's deputy vice president of advanced sales and marketing. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Sales is Cristiana Alicata, who is sales director for Mazda Italy. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for New Mobility is Gareth Dunsmore, who is electric vehicle and zero emissions strategy director at Nissan Europe. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Marketing is Artur Martins, who is vice president of marketing and product planning at Kia Europe. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Manufacturing is Niclas Pfueller, who is general manager of Brose's factory in Ostrava, Czech Republic. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Manufacturing is Monika Gutenschwager, who is executive director of quality at Adient. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Manufacturing is Mohamed Chakib, who is plant manager for IAC Group's factory in Opole, Poland. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for IT is Mikael Moeslund, who is co-founder and CEO of Loyalty Factory. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for General Management is Natalie Robyn, who is managing director of Volvo Cars Switzerland. Automotive News Europe honors the winners of the 2018 Rising Stars awards. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for General Management is Cristiano Musi, who is CEO of Landi Renzo. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Finance is Daniel Klein, who is chief financial officer at Mehler Engineered Products. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Engineering is Juergen Schranz, who is senior director of electrification for driveline systems at Magna Powertrain. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Electrification is Gorazd Gotovac, who is chief technology officer at Elaphe Propulsion Technologies. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Business Development is Jarkko Ahlbom, who is category manager for global fleet at Konecranes. Automotive News Europe honors the winners of the 2018 Rising Stars awards. The Rising Star for Aftermarket is Luigi Ksawery Luca, who is mobility and connected car director at Toyota Europe. Age: 35Title: Vice president of telematics, Harman International Age: 44Title: Senior vice president for product marketing and strategy, Volkswagen brand, Volkswagen... Age: 40Title: COO, Audi of AmericaBig break: In 2010, he... Age: 40Title: International trade attorneyBig break:... In an era when traditional car companies and suppliers are competing with tech startups (or acquiring them) there are new methods of finding and furthering their careers of the best and brightest. Age: 38Title: Director of marketing, CadillacBig break:... Age: 44Title: Chief Operating OfficerBig break: Herman was... Age: 43Title: Senior vice president, Nissan North America manufacturing, supply chain management and... Age: 45Title: Vice president, global powertrain purchasing and global purchasing operations, Ford Motor... Age: 43Title: Senior manager of integrated marketing, Acura Division Age: 46Title: Vice president of global supply chain, AdientBig... Age: 41Title: Director, Global CX Strategy and Enterprise Experiences, General Motors Age: 37Title: Senior group manager of pricing and market analytics, Hyundai Motor America Age: 40Title: Executive director of program excellence, Adient Age: 38Title: Vice president, program management and quality, Harman International Age: 40Title: Vice president of FCA customer group, AdientBig... Age: 34Title: Chief compliance officer, Volkswagen Group of America Age: 46Title: Regional business unit leader for commercial vehicles, Robert Bosch. Age: 41Title: CEO, motormindzBig break: In 2012 was... Age: 39Title: Vice president, product line mid-/full-size, Volkswagen Group of America Age: 43Title: Senior manager for incentive strategy, analytics and administration, Toyota Motor North... Age: 40Title: CEO, Gentex Corp. Age: 44Title: Chief of North American engineering services, Continental AG |