Tag Archive
Bill Ford Talks about the future of Ford.
Bill Ford, Chairman and CEO of Ford Motor Co., gave strong words to reporters, saying that, Ford would not even consider a Chapter 11 bankruptcy restructuring. Ford made this statement just before he was going to be awarded the 2006 Automotive Industry Executive of the Year.
"We don’t see it at all," Bill Ford said of a possible Chapter 11 filing. Ford Motor has ample liquidity, he said, stressing that the company was profitable in 2005.
He acknowledged that the U.S. auto industry is in a "precarious" state.
Ford Motor’s biggest problem is the bleeding North American auto business, which lost $1.6 billion before taxes and charges in 2005. Turning around that unit, the objective of the company’s Jan. 23 Way Forward restructuring announcement, requires tough decisions and nimble thinking, he said.
Ford Motor Co. plans to close 14 plants through 2012 and cut 30,000 jobs in the hopes of saving the company.
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Toyota plans to increase plants in North America
Toyota’s North American planning group is considering building another North American assembly plant. The planning group considered the increase in sales they have experience in the past few years, and they’re now projecting their increase in the American market through 2010. The group suggested that Mexico would be the best place to build a new production plant for exportation to the U.S.
Steve Sturm, vice president of North America planning for Toyota Motor Sales U.S.A. Inc., declined to offer details about Toyota’s projection of sales in the U.S.
In 2005, the company produced 1.56 million units in North America, 63 percent of its North American sales. Its goal is to produce in each region at least 60 percent of its sales. (See story at right.)
Plans suggested by the North American planning group must be approved by Toyota headquarters in Japan, he says.
Sturm says the planning group is exploring a broad expansion of powertrain production. "Our engine and drivetrain manufacturing needs to grow in proportion with new assembly plants," Sturm says.
Over the past decade, Toyota’s North American sales have grown by an average of 8 percent annually. If things continue at that rate, Toyota’s sales growth will outpace its local production growth.
Toyota will gain volume from its existing products becoming more popular and from new vehicles.
Consulting firm CSM Automotive forecasts Toyota will manufacture close to 2.1 million units in North America in 2010. Plants already under construction or previously announced will handle most of this increase.
Mike Jackson, director of North America vehicle forecasts for CSM, said Toyota might expand some existing factories, such as plants in San Antonio and Baja California, Mexico.
If Toyota does build a plant in Mexico, it would assemble the Yaris (a subcompact car they’re releasing to replace the Echo).
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What does bumper-to-bumper coverage mean ?
At Autowarranties.com we pride ourselves in providing the best plans possible for new and used cars. But, there are many confusing terms that can bog people down when purchasing an auto warranty.
Today, we’ll discuss the bumper-to-bumper extended warranty for new cars.
The bumper-to-bumper warranty is the most comprehensive program that is offered here at Autowarranties.com, and we recommend it to people who want the all-around coverage for their new car.
We suggest Bumper to Bumper to those individuals who want maximum protection for their vehicle. This program covers all the major components on your vehicle.
Bumper to Bumper Coverage provides Mechanical Break-down coverage for repairs/replacements of ALL original equipment, manufacturers factory installed mechanical an electrical operating parts and assemblies on the covered vehicle.
Now that you’ve got a better understanding of what bumper-to-bumper means, check out our extended warranty page for new vehicles.
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Saab debuts worlds first completely hybrid car
Last week Saab unveiled the first fossil-fuel-free
hybrid convertible. The car is being called the BioPower Hybrid 9-3 convertible concept. This is a major leap forward in hybrid cars. The concept is based on pure bioethonal instead of just part bioethonal.
The Biopower convertible also has a "zero mode," which is a button on the car that enables the car to operate from two powerful batteries, thus, eliminating all emissions. However, while in "zero mode" the car can only go up to 50k/m, but when you reach that threshold of 50k/m, the car automatically switches back to the biofuel.
The Saab BioPower Hybrid Concept also includes a natural step in the further development of BioPower technology. Such as the SIDI – a new direct injection system designed so the engine will start and run perfectly without any mix of petrol, even in extreme cold.
The turbocharging is tuned to take further advantage of the higher octane rating of pure bioethanol. So, the engine can produce 260 bhp and a huge 375 Nm torque.
Acceleration is boosted by the two electric motors of the hybrid system. At low speed and take-off they can briefly add a huge instant 785 Nm of torque. Helping to catapult you from zero to 100 in 6.9 seconds with automatic transmission.
Faster than most diesel or petrol-driven cars, but with zero fossil fuel emission.
Wow, I’m really excited. I can’t wait until these things are actually developed and work in the "real world." If Saab delivers what they promise, it sounds like a success to me.
(Source: Press Release From Saab)
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Things to look for when test driving
Fun but scary, buying a new car is an experience that really can’t be compared. One of the most intimidating things about buying a new car is the test drive.
What questions do you ask? What do you need to take with you? How do you KNOW if you are getting all the answers?
I surely wish I could take a mechanic and an impartial car salesman with me when I am test driving, but since that’s not possible, I try to read all I can to prepare.
Peter Johnson has written a check list of things to look for when test driving a car. These are things we should all look the next time we test drive 
a car.
Preliminary questions before you take the test drive. – Does the vehicle look attractive to you? – Is it available in a color you like?– Is the vehicle easy to get into?– Does the interior come in a color you like?– Is their enough headroom, legroom, etc. when the seat and steering wheel are properly adjusted? Sit in the front and the back.– Are the gauges easy to read?Answer these questions while you’re test driving the car. – Is the engine as quiet and smooth as you expected?– Does the steering have a nice feel to it?– Does the vehicle have adequate power for acceleration? How about with the A/C on?– Does the vehicle handle well?– How are the brakes? Does the vehicle stop safely? Try the vehicle on a variety of roads, including the highway.– Does the suspension absorb road irregularities well? Is it too soft or too hard?– Are the interior noise levels okay on the highway? Listen for the engine, wind and road noise.– Try all of the accessories including the radio, heater, A/C, and power features to ensure that they operate to your liking.Once you’re back in the dealership, consider these questions.Try parking the vehicle. Does it have any blind spots?– Walk around the vehicle with the engine running. How does it sound? Also, take a look at the engine while it’s running. Does everything seem in good order?– Check the trunk. Is it large enough? Is the trunk opening large enough for balky items? – Do the rear seats fold down?Then, consider the long-term aspects of maintaining the car– Will the car manufacture warranty cover everything I want and need?-Should I consider an extended warranty?
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The Sky is not falling in the global auto industry
At this moment in time, the American auto Industry looks really bleak. However, that’s not the case everywhere.
Daniel Pool, adviser to National City Corp., insists the global auto industry is actually thriving.
"If you look past Ford, General Motors and Delphi, you will find that the global auto industry is healthy and there are success stories to be found here in Michigan and elsewhere," Poole said.
National City maintains strong investments in such auto suppliers as Auburn Hills-based BorgWarner and Milwaukee-based Johnson Controls Inc., said Poole, assistant director of equity research for the financial holding company in Evansville, Ind.
"You have to look for companies that are responding well to technological change and rapid global growth," Poole said.
Good news about the auto industry comes as a suprise to most Americans, because; it is very hard to see past all of the lay-offs and chapter 11 bankruptcies that have taken place in the past few years.
Poole, however, was not oblivious to the problem in America, he just wanted his investors to understand the automotive world is not coming to an end and that companies will eventually pull out of this slump. Poole does predict that there will be a few more major bankruptcies in the next 11 to 18 months.
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Harley-Davidson is opening a dealership in China
Harley-Davidson is opening a dealership in mainland China and is planning to open next month. This will mark the first dealership outside the United States since WW II. Harley-Davidson is also going for a "first-class" experience when building the show room and other parts of the dealership.
The dealership will have 14 staff members initially and be headed by Feng Huo Lun’s founder, owner and executive director Wan Jidong. Foley said Wan and his management team are passionate about riding motorcycles and understand the market in China.
The dealership will sell several makes of Harley-Davidson motorcycles, parts, accessories, merchandise and collectibles. Sales and service will be offered, as will rider training and events including organized rides.
Entry into the Chinese market is expected to be gradual because the market is limited by ownership and riding restrictions in most large cities and on highways, Harley-Davidson said. A population with a limited, but growing, disposable income will also prove a challenge, it said.
This is really neat. It’s odd to see an American company exporting to China. Heck, it’s odd to see any company exporting TO China. They seem to be always exporting.
Nice to see the US sharing a great product like the quintessential American motorcycle. Though, I just can’t see very many Chinese driving a Hog.
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2005-2006 Auto Sales Come With Several Key Bonuses
Because new car sales are slumping, Chrysler is adding some hot add-ons to most new cars it sells.
Popular cars like the Dodge Charger are excluded.
DaimlerChrysler’s Chrysler division on Thursday said it was raising its customer incentives and offering buyers more than $2,000 worth of free gasoline in a bid to combat slumping U.S. auto sales.
Chrysler spokesman Kevin McCormick said that starting next Monday the automaker would offer U.S. car buyers a debit card with $2,367 in credit to use for the purchase of gasoline.
The card will be given to customers who purchase most of the company’s 2005 and 2006 model year vehicles. Hot-selling models including the Chrysler 300, the Dodge Charger and Dodge Magnum are not included, however.
McCormick said Chrysler would also begin offering car buyers two years of free scheduled maintenance and an extended five-year, or 60,000-mile warranty.
It remains to be seen if these incentives are enough to push new car sales back into the black.
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Use their list to buy your next car
37 vehicles made it into the Best Buy category in Consumer Digest’s comprehensive review of 268 cars. Among the SUVs, sedans, minivans and trucks are vehicles ranging in size/price from the Honda Civic to the GMC Yukon.
The list was judged on value, or cost in relation to features.
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To keep up with the luxury SUV market Hummer has extended their manufacturer’s warranty
Great news for Hummer owner’s looking for extended warranty protection. Now that all 2006 Hummers will be coming with a standard 4 year/50,000 mile warranty plan Auto Advantage Inc., an industry leader in Hummer warranties has reduced the pricing to warranty them for an extended term. This price reduction affects the Hummer H1, H2, and H3 models. The 2006 H1 Alpha which is already available for sale is the first model to come with the new, longer manufacturer’s warranty coverage.
Though Hummer owners all rave about their ownership experiences, they will also tell you that these vehicles are one of the most expensive vehicles on the road to maintain and have repaired. That is why Hummer extended warranty sales have soared over the past few years. Now with the new reduced pricing, warranty sales are expected to increase over the next year or so by about 40-50%.
