Saab Dealers Abandoning Ship as Liquidation Looks Inevitable

Three weeks ago, the receivers that handle Saab’s assets after the company was officially declared bankrupt confirmed that there are many parties interested in acquiring the Swedish carmaker, or whatever is left of it.

Up until now, no offer has materialized and with each passing day, the chances of the Trolhattan-based company becoming history are increasing. Therefore, Saab’s 900 dealers around the globe are looking for alternatives.

After all, they have had a hard time since 2009, when General Motors announced that it was considering killing off the Swedish brand. Even though it eventually sold it to Spyker, and the brand-new 9-5 was launched, Saab’s condition was worsening: in 2010, it sold just 31,700 units worldwide.

Some dealers, like the Norwell, Massachusetts-based Shaw Saab that has been selling the Swedish firm's cars for 44 years, are selling their shops. Others, like Guilford Saab in Connecticut, are considering all options. Its general manager Tom Backes told Bloomberg News that the dealership is looking at Maserati, which is expanding its U.S. network. He also had talks with Mitsubishi, which competes in an entirely different market segment.

“I’ve reached out to quite a few brands”, Backes told the news agency. “Some have said ‘We’re not expanding’ and others have said ‘We’ll take a look at it’. It’s a slow process.”

Garel Rhys, president of the University of Cardiff’s automotive industry research center, reckons that Saab dealers have very good chances of attracting other brands.

“Often these dealerships have a loyal clientele who might switch brands”, says Rhys. "They’re often in very good locations and well established, so I’m quite optimistic about their prospects.”

Ake Lundberg, who heads Seat in Sweden, confirms Rhys’ words. “We’re absolutely interested in talking to Saab dealers”, he said, since the Spanish carmaker wants to increase its dealers in Sweden from 28 to 50.

On the other side of the Atlantic, “each one” of Saab’s 188 U.S. dealers have thought about switching to another brand according to head of the Saab National Dealer Council Kurt Schrirm.

Of course, until the fat lady sings, there’s still a chance that Saab might survive. Gary Small, the 71-year old founder and president of a Saab dealership in Portland, Oregon, is one of the few who haven’t given up hope and are sticking with the brand, defying the odds: “I’m like an old Saab”, he said. “I want to keep running forever.”

Story References: Bloomberg News

Vintage Japanese Cars Gaining a Strong Following in the U.S

Vintage Japanese Cars Gaining a Strong Following in the U.S - When you hear the term “classic” car, you surely think of something old but rare and most likely expensive, like an Aston Martin, a Ferrari or perhaps even some good ol' American iron.

The sole Japanese model that fetches serious money in the classic car market is Japan’s first supercar, the Toyota 2000GT. Collectors pay more than US$400,000 for the road versions while a 2000GT racer is currently being offered for US$1.7 million.

Whatever you think about the insane prices that some people are willing to pay for them, you would never apply this term to 30-year-old run-of-the-mill Japanese compact cars.

Nostalgia, however, can be a very powerful emotion. That’s why mainstream Japanese cars, which at their time were considered reliable and frugal but not really exciting, are gaining a growing number of followers.

One of them is 36-year old Jun Imai who works as a designer at Hot Wheels having directed the styling for two 1970s Nissan die-cast models that the Mattel-owned company released last year.

“It’s a very special feeling I have for cars like these”, told Detnews, Imai, who lives in Southern California and owns a 1971 Datsun 510 wagon and a 1972 Datsun pickup. “They are so distinctive in the designs, the sound of the engines, the way they drive, yet most are approachable in terms of costs and availability”, he adds.

Imai is not alone in having a passion for old Japanese metal. In a 2005 meeting set up in Long Beach by Terry Yamaguchi and her husband, Koji, owners of a 1972 Toyota Celica coupe and a 1977 Celica liftback, more than 200 cars showed up. The show then became an official event called the Japanese Classic Car Show and it continues to be held today attracting about 350 entries.

People who are usually interested in old, fairly common Japanese cars are 30-something men that grew up with these models and can now afford to buy and run them.

Bryan Thompson, a designer for Nissan from 2001 until 2009 who currently works as a contract designer for Volvo, says that he chose his profession because he was fond of his parents’ 1983 Toyota Tercel wagon.

“When you have everyday cars, there’s an emotional connection”, he explains. “They’re part of your life in the way a pet or a family member is part of your life.”

Nostalgia is also what prompted Toyota to manufacture what it claims to be a modern-day version of its Corolla AE-86, a favorite among drift drivers. However, that’s only one side of the coin. The other that sparked the resurgence of interest in old Japanese cars was the Fast and Furious franchise.

Benjamin Hsu, co-founder of the Japanese Nostalgic Car magazine and website, says that the franchise had a huge impact: “People wanted to find out what the Japanese were doing. And what Japanese people were doing was drifting.”

With almost every affordable Japanese model being front-wheel drive, the solution was simple: buy an old one. “Japanese companies weren’t building rear-wheel drive cars, unless you get to high-end luxury”, says Hsu. Therefore, 1980s models like the Nissan 240SX, the Corolla GT-S and the first-generation Mazda RX-7 suddenly became very popular.

It’s not just rear-wheel drive Japanese models that attract U.S. buyers: Detnews reports that, on eBay, a 1976 Honda Civic CVCC with 59,000 miles on the odometer sold for US$3,550. Serious cash for such a small car, but still much less than what a comparable Alfa Romeo or Chevy Camaro, for example, would cost.

 

Story References: Detnews

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Non-U.S. Automakers Displeased After President Obama Snubs Them at Washington Auto Show

Non-U.S. Automakers Displeased After President Obama Snubs Them at Washington Auto Show - On Tuesday, January 31, U.S. President Barack Obama’s schedule included a visit to the 2012 Washington Auto Show. The White House informed automakers on a two days’ notice to bring their most fuel-efficient models to the show. Naturally, they obliged. For example, Honda flew in the FCX Clarity from California, Kia brought the Optima hybrid and Mercedes-Benz a fuel-cell car. Carmakers also brought along their top brass to discuss green technologies with the President.
As Bloomberg reports, the problem is that Obama, who had half an hour in his disposal, ignored foreign manufacturers.
Instead, he spent most of his time with domestic brands, posing for the press with the Dodge Dart, the Chevrolet Malibu, the Ford C-MAX Energi, the Ford Mustang Shelby GT500 and the Chevrolet Corvette ZR-1 (not pretty fuel efficient those two, by the way…).
“When you look at all these cars, it is testimony to the outstanding work that’s been done by workers, American workers, American designers”, said Obama. “The U.S. auto industry is back. The fact that GM is back, number one, I think shows the kind of turnaround that’s possible when it comes to American manufacturing.”
The Association of Global Automakers’ CEO Michael Stanton said that representatives of non-U.S. manufacturers were displeased with the President’s action.
“Many of our members bent over backwards to meet the request from the White House”, said Stanton. “We were just terribly disappointed that the President refused to recognize the commitment that our members and others have made to the manufacturing base of the United States.”
Stanton added that members of the Washington-based Association, which includes Toyota, Honda and Kia, have made investments in excess of US$43 billion to the country and employ more than 80,000 workers.
Ironically, one day later, Honda announced its plans to invest US$100 million to its Ohio transmission plant, which is part of a total investment of half a billion in upgrading the factory in the last 18 months.
John O’Donnel, executive VP of the show organizers, said, “I don’t believe it was an intentional snub. I think he was checking up on the investment he made in the domestics”, referring to the 2009 GM-Chrysler bailout.
White House spokeswoman Sandra Abrevaya declined to comment.
Published by: carscoop

New BMW X3 Tops while Range Rover Evoque Flops Consumer Reports' Tests

Just like a Rotten Tomatoes review can make or break a movie’s reputation and its box-office success, Consumer Reports’ road tests have the potential to boost a vehicle's sales or in some cases force a an automaker to run back to the drawing board.

The latest batch of vehicles tested by CR include two SUVs that even though different in size, will compete in the premium segment: the second iteration of the BMW X3 and the brand-new challenger in the category, the Range Rover Evoque.

To sum it up, the BMW X3 xDrive28i scored an 80 in CR's road test and received the “Recommended” tag, while the Range Rover Evoque managed a test score of 60 score and was placed near the bottom of its class.

“The X3 does an impressive job of combining sporty handling, a lavish interior and surprising fuel economy”, said CR’s Auto Test Center senior director David Champion. He added that it has strong acceleration, a smooth-shifting gearbox and very good brakes.

The Bavarian model also received good marks thanks to its steering, interior quality and its ability to keeps its occupants serene by isolating them from road imperfections and noise. All in all, the BMW X3 outscored every other model in its segment, bar the Audi Q5 3.2.

The 2.0-liter turbocharged Range Rover was praised for its design, impressive acceleration, braking power and six-speed auto transmission. CR also liked the finish of the interior and the full-length glass roof.

However, according to Consumer Reports, that’s where the good stuff ends. In Champion’s own words, “although the stylish Evoque has won lots of accolades in the press, including North American Truck of the Year, our more thorough testing reveals quite a few flaws.”

For starters, the Evoque is criticized for its artificial steering, choppy ride, cramped and noisy cabin and lack of visibility. CR points out that track testing also revealed flaws in its handling.

"The Evoque tackles corners well but its steering feels artificially weighted, impairing feedback. When pushed to its handling limits at our track, the tail slid out and the vehicle repeatedly lifted a wheel during our avoidance maneuver."

In the same issue, Consumer Reports awarded the “Recommended” tag to the Toyota Prius Vand the VW Tiguan, but not the Wrangler Unlimited. Jeep’s 4x4 did well in acceleration and off-roading but was panned by CR’s testers in almost everything else, from handling and braking to more trivial issues like removing the roof.

Published by: Carscoop

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Is Infiniti getting Ready to Drag Race the M Hybrid Against the Porsche Panamera S Hybrid?

Is Infiniti getting Ready to Drag Race the M Hybrid Against the Porsche Panamera S Hybrid? - Just moments ago, Infiniti dropped an email into our inbox pointing us to a video on YouTube titled "What is the fastest accelerating full hybrid?" The short clip shows a driver dressed like The Stig entering a Porsche Panamera S Hybrid and getting ready to race the sports saloon in the desert.

Infiniti's email also notes, "Check out this teaser video and let us know where you think it’s going…. Don’t miss the results, coming January 23rd, 2012".

Since we find it hard to believe that the Japanese automaker would create a promotional campaign for Porsche and its new Panamera Hybrid we think it's all about showing the potential of the also new M Hybrid (called M35h in certain markets).

And more importantly, let's not forget that last September, the M Hybrid made it into the Guinness book of world records as the "Fastest Accelerating Full Hybrid" after it completed the quarter mile run in 13.9031 seconds with a passing speed of over 160 km/h (100 mph).

The question is, will Infiniti engage in all out bragging war showing the M Hybrid and Porsche Panamera Hybrid racing side-by-side or will it wimp out and be content with simply stating the numbers? Guess we'll have to wait until Monday to find out.

For the record, the U.S. specification Infiniti M Hybrid links a 3.5-liter V6 gasoline engine with 302HP to a 50kW (67HP) electric motor and a lithium-ion battery pack, which offers a combined output of 360 horsepower. Both the gasoline V6 and electric motor deliver their power to the rear wheels via a 7-speed automatic transmission.

Infiniti says that the M Hybrid completes the 0-60mph sprint in "less than six seconds". In Europe, the Japanese company has released a 0-62mph (100km/h) time of 5.5 seconds. Fuel economy figures are estimated at 32 mpg highway, 27 mpg city and 29 mpg combined.

On the other side of the ring, we have the Porsche Panamera S Hybrid featuring a 333HP 3.0-liter supercharged V6 linked to a 47HP (34 kW) electric motor for a combined system output of 380HP.

According to Porsche, the Panamera S Hybrid goes from zero to 60mph (96km/h) in 5.7 seconds en route to a top speed of 167mph (269km/h), while delivering EPA estimates of 22 mpg city and 30mpg highway.

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GM Confirms Next Generation Impala, will Invest $68 Million to Prep Oshawa Plant

GM Confirms Next Generation Impala, will Invest $68 Million to Prep Oshawa Plant

The Impala is a historic nameplate for Chevrolet with roots that go back to the golden era of American automobiles, the 1950s, and it's one that General Motors isn't about to let go despite the fact that the series has faded away into mediocrity these past years. Today, the Detroit-based company confirmed plans for the development of a brand new Chevy Impala and announced an investment of $68 million to prepare its Oshawa Assembly Plant in Canada for the production of the next generation sedan.
In addition, GM revealed that it expects to meet high customer demand, and as a result, it will build the next Chevrolet Impala at both the Oshawa Assembly Plant and the Detroit-Hamtramck Assembly Plant.
Combined with the recent investment to support the production of the upcoming Cadillac XTS in 2012, GM's investment at the Oshawa plant will reach $185 million, which will create or retain around 750 jobs.
“With the investments for the Chevrolet Impala and Cadillac XTS, we are taking big steps forward to ensure we maximize the flexible manufacturing facility and high-quality workforce that exist in Oshawa,” said Kevin Williams, president and managing director of General Motors of Canada.
“We are building on the recent capacity increases, product launches and shift additions at our Canadian operations to affirm that Canada will play an important role in the new GM as we continue to transform our product lineup,” he added.

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Tokyo Motor Show : Honda EV-STER Concept to Spawn a Production Model

Tokyo Motor Show

It looks like the retro-styled N Concept 4 city car won't be the only Honda study displayed at this month's Tokyo Motor Show that will end up going into production as the Japanese carmaker's CEO Takanobu Ito told German magazine Auto Motor und Sport that the open-top EV-STER has also received the green light. The Honda boss revealed that the battery-powered, rear-wheel drive roadster could arrive in the market as early as 2012, adding that the company may also introduce more conventional version with a classic gasoline engine, without offering any more details.
However, it's only reasonable to assume that the gasoline model would be a hybrid matching an internal combustion engine with an electric motor.
At 3,570mm (140.5-in.) long, 1,500mm (59.0-in.) wide and 1,100mm (43.3-in.) tall, with a wheelbase of 2,325mm (92.5-in.), the tiny concept is marginally larger than Honda's 1990s mid-engined kei car, the Beat.
In conceptual form, the two-seater features an electric motor that draws energy from a 10kWh lithium-ion battery and powers the rear wheels. Honda said that the EV-STER could complete the zero to 100km/h (62mph) sprint in 5 seconds flat and reach a maximum speed of 160km/h (100mph).
The Japanese automaker also claims a driving range of around 160 kilometers (100 miles) and a charging time of under 3 hours using a 200V source and in less than 6 hours with a 100V source.

VIDEO: Tokyo Motor Show 2011: Honda EV-STER, World Premiere 

Saabs Earns IIHS “Top Safety Pick” for its 9-4X and 9-5, Which could be Useful if it had Any to Sell...

Fate, it seems, is not without a sense of irony: the line spoken by Morpheus in the first (and, arguably, best) movie of The Matrix trilogy certainly fits Saab’s case tighter than spandex pants.
The U.S. Insurance Institute for Highway Safety (IIHS) has awarded the 9-4X crossover and the 9-5 sedan a “Top Safety Pick”, its highest rating for crashworthiness.
The IIHS tests include front impact (offset) and side impact crashes. Seat/head restraints are also tested in a simulated rear-end impact to assess the mitigation of whiplash injuries and the roof structure is tested to assess a vehicle rollover crash.
“Saab Automobile prides itself on its ability to create vehicles which focus on the safety of the driver and its passengers in real-life situations”, said Per Lenhoff, Head of Safety Development at Saab Automobile. “It is rewarding to be recognized by IIHS for a Top Safety Pick award for two of our newest products.”
Now, if only the Swedish carmaker, which awaits next week’s court hearing to learn if it will continue to exist, had any cars to deliver, or could at least convince GM to lend it its technology or allow Saab to continue building the 9-4X, it would really make for a nice thing to put in its ads…

Ford's European Sales Rise Slightly but Company Warns Decision Makers

Even though Europe is experiencing economic instability, Ford saw its year-to-date sales from January to November in the 51 European markets increase by 2.5 per cent, or 35,500 units, to 1,451,000 cars. In November sales in these markets dropped by one per cent, or 1,300 units, to 123,700 vehicles. While overall sales in Ford’s traditional 19 European markets fell in November by 4.4 per cent to 95,700 units compared to the same month last year, the Blue Oval increased its market share in five of these markets as well as Turkey, Russia and Romania.
Ford warned European decision makers to act swiftly as the economic situation is getting worse.
“We’re pleased that we continue to see strong demand for new products like the Focus and C-MAX, and have been able to take advantage of growth opportunities in Germany and key Eastern European markets”, said Roelant de Waard, vice president, Marketing, Sales and Services, Ford of Europe.
“But the overall market in Europe remains challenging as consumer confidence has been dampened by the economic turmoil in the region. We urge decision makers to move quickly and decisively, even if the actions are painful in the short term, to begin reducing volatility in the markets and rebuilding consumer and market confidence,” de Waard added.

China Slaps New Duties on U.S.-Made Cars because it’s Damaging its Domestic Industry !

Another chapter in the tense relationship between the world’s two biggest economies, those of the United States and China, has opened today with the announcement by Chinese authorities of new duties on U.S.-made cars that are imported into the country. Reuters reported that the Commerce ministry of China said on its website that the measure, which imposes “anti-dumping” and “countervailing” duties on cars with an engine capacity of 2.5-liters and above, is effective tomorrow, December 15, and will last for two years.
The reason cited is that U.S.-based manufacturers have been, according to the statement, “dumping cars into the China market, causing damage to China’s domestic industry”.
It’s not just American carmakers but also foreign manufacturers that build cars in the U.S. that will be affected by this new tax.
GM, which has sold more than 2 million vehicles in China for the second year in a row, will have to face duties ranging from 8.9 to 12.9 percent. Chrysler’s duties range from 6.2 to 8.8 percent, while BMW and Mercedes-Benz will be hit with 2 and 2.7 percent respectively.
This movement is considered a retaliation against the U.S. government filing 12 trade cases against China since the latter joined the World Trade Organization on December 11, 2001.
China's Commerce Minister Chen Deming had said in late November that his country would fight back if other countries resort to trade protectionism.

Published by: Carscoop

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Ford Introduces C-MAX Hybrids, Claims They Outperform Toyota's Prius and Prius V - Cars photos

Along with the Focus Electric, the Blue Oval also announced two more new models today, the C-MAX Hybrid and the C-MAX Energi plug-in hybrid, which Ford claims will allow operation in all-electric mode at higher speeds than any other hybrid currently in production. Ford is willing to compare its new cars, which will be launched in North America in 2012, with the competition and in particular, Toyota’s Prius models.
According to the company, the plug-in C-MAX Energi will deliver a better fuel economy equivalent (MPGe) in all-electric mode than the Toyota Prius plug-in hybrid along with a 500 miles (800 km) driving range, while the Hybrid is said to be more fuel efficient than the Prius V.
“C-MAX is the right car for the time as it combines the dynamics and quality of a traditional car with the versatility of a MAV and leading fuel efficiency that you cannot even get from Toyota”, said Sherif Marakby, director of Ford’s Electrification Programs and Engineering.
Both hybrid versions of the C-MAX feature a naturally aspirated 2.0-liter gasoline engine that operates on the Atkinson-cycle, an electric motor and a lithium-ion battery pack.
Ford says that its next-generation ‘powersplit’ architecture allows the two motors to operate separately or in parallel, with the electric motor being capable of powering the car in low-speed conditions and the gasoline engine kicking in and/or charging the battery when necessary.
In the C-MAX Hybrid, the battery pack is recharged when the gasoline engine is in operation. A regenerative braking system also recovers more than 95% of the braking energy and helps charge the battery.
The C-MAX Energi plug-in can also be charged by connecting the vehicle’s charge port to either a standard 120-volt outlet or a 240-volt charging station.

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