feedburner
Enter your email address:

Delivered by FeedBurner

feedburner count

Auto Show

President-elect Obama, Your New Chrysler 300 is, er, Fiberglass...for Now

Labels: , , , , ,

DETROIT - Will Chrysler LLC be around long enough to build the 2011 Dodge Charger and Chrysler 300? (Editor's note, a present Chrysler 300 is pictured) Will Chrysler factories reopen after its extended holiday shutdown, which begins Friday? I don't know. Chrysler says it could be out of cash in weeks. I can't believe I'm saying this, but the future of those cars now seems to be in George W. Bush's hands, with less than four weeks left in his presidency. He's rumored to be considering a "controlled" bankruptcy? Detroit has been hanging by a thread for this?



As you may have read elsewhere, some of us in the moto-journo biz got an early preview of the next LX sedans Wednesday in Auburn Hills. Online car magazines not invited to the event reported on what we saw, based on reports by other journalists who were invited. Those leaky journalists told Jalopnik the future cars and trucks looked like "lipstick on a foam pig" and "smoke and mirrors."

Well, of course. They were full-scale fiberglass models. They're not scheduled for production until 2010, probably the third or fourth quarter if things get better, so nothing's been retooled to stamp actual '11 model sheetmetal. I found their designs to be impressive, and several colleagues agreed. The second-generation 300 and Charger could be to the first-generation cars what the current Cadillac CTS is to its predecessor. And by the way, General Motors showed journalists the new CTS two or three years early - the same sort of "smoke and mirrors."

The difference this time is that everything we saw in the last couple of days could go up in smoke. And don't misunderstand this: I can't vouch for the quality of any future Chrysler product, or say anything good or bad about the way these cars and trucks ride, handle, perform, hold themselves together. That's what first drives and comparisons are for. I can only tell you that Chrysler has quickly exorcized retired design chief Trevor Creed. Yes, he's been gone only a couple of months, but with Tom Gale hired on as a consultant when Cerberus took over, I doubt Creed had much authority while these models were being designed. There's not a hint of Dodge Avenger/Chrysler Sebring styling here. And virtually no hint of the concepts Creed foisted on us in the last few years.

I doubt these new cars and trucks would impress Nancy Pelosi or Harry Reid. They'd rather see electric cars or bio-diesels running on mulch. But Chrysler ought to show the new 300, at least, to President-elect Obama, who owned an '05 300C. Attractive, desirable product could make a bigger impression than any "turnaround plan" or union concessions.

Why did Chrysler show us these 2011 models? To prove it's not quite dead, and to give us a reason to root for its survival through 2010. If its future stuff looked like more Avenger/Sebring, I'd be saying as much right now.

Why did Chrysler refuse to invite Jalopnik and Autoblog? Automakers worry that automotive websites are quick to spread leaks, even when they're not necessarily the first entity responsible for such leaks.

That kind of thinking is obsolete. Most of us at the Chrysler preview, some in print journalism and some not, also post online news and columns like this one.

While they would like to be considered part of the New Media, Jalopnik, Autoblog and others have become as entrenched in the moto-journo establishment as motortrend.com. I'd find it more interesting to hear what they think of the '11 300/Charger firsthand than read about the impressions leaked to them by invited journalists eager to pander to Jalopnik's irreverent image.

-->Read more...


Speedway Motel Closes - Say it Ain't So, Tony

Labels: ,

The Indianapolis Motor Speedway has evolved a lot over its near 100-year history. Other than its 2.5-mile oval layout and a few bricks, it's not the same old place -- it's way, way better, in every possible way. One of the Vaticans of Motorsport, if you'll allow me the metaphor. But a press release rolled out of the Speedway office yesterday that I'm not sure I can stomach. The Brickyard Crossing Hotel and Resort -- best known for decades as the Speedway Motel -- is being closed immediately.

What? They filmed Paul Newman's "Winning" there. Who knows how many 500 race winners have stayed there (prior to the days of million-dollar motorhomes)? How many great fights have taken place there? Parties? Banquets? Trysts? Oh, the stories those rooms could tell. I've never stayed there, but have visited, been to breakfasts, and partied there. I always enjoyed the sign out front welcoming fans before the race, and congratulating the winner after.

I know, I know. The place is old, small, and in every other way a relic of 1960s low-rise motel design. They'll tear it down, building something much larger, nicer. But with that, another hunk of motorsport history will disappear. IMS management plans to leave the restaurant, bar, banquet rooms, and pro shop alone and in operation for now, but will they fit into the plans for a new place (that is, assuming it's a hotel)? TBD.

The full press release is reprinted below. I get it. It just hurts, that's all.

image courtesy of MotelPostcards.com

..............................................................................



BRICKYARD CROSSING INN CLOSES IMMEDIATELY;

NEW HOTEL POSSIBLE IN FUTURE

Restaurant, pub, conference space, Golf Shop to remain open

INDIANAPOLIS, Monday, Dec. 15, 2008 – Brickyard Crossing Inn will close immediately and be razed in a few months, said Joie Chitwood, president and chief operating officer of the Indianapolis Motor Speedway Corporation.

The motel was built in 1963 on the eastern edge of the IMS grounds. It has 96 rooms.

“To bring the motel up to the standards and quality of what guests expect at the Speedway would require significant capital expenditures,” Chitwood said. “After reviewing the alternatives, we have decided to discontinue its operation.”

Plans are being made for the demolition of the motel buildings. Use of the space after the removal of the motel has not been determined, Chitwood said.

“IMS has been looking at alternatives to the future of the motel property for several years, including constructing a new hotel,” Chitwood said. “We continue to evaluate how a new hotel operation on Speedway property might fit in with the planned redevelopment of the Town of Speedway.

“To date, we have reviewed proposals from several groups and have met with some of these firms. We’re farther along than we’ve ever been in the process to build a new hotel at IMS.”

The closure of the motel will not affect the main building of Brickyard Crossing, which is home to a public restaurant, the Flag Room pub, conference space and the Brickyard Crossing Golf Course Golf Shop. All will continue operation. Closure of the motel involves the termination of 15 permanent employees.

The opening of the motel 45 years ago filled a void in lodging on the near-west side of Indianapolis and before the growth associated with Interstate 465.

Like the Speedway, the Brickyard Crossing Inn has famous history. Besides being the home for several Indianapolis 500 drivers and owners during the month of May, scenes from Paul Newman’s movie “Winning” were filmed in rooms of the motel. And NASCAR legend Jeff Gordon celebrated his victory in the inaugural Allstate 400 at the Brickyard in 1994 by eating a pizza in his room at the motel.

-->Read more...


Prius or Pickups?

Labels: , , , , , ,

Here's one for all those dimbulbs in Washington who think running a car company ain't that hard: If you were in charge of Toyota, would you have halted work this week on the $1.3 billion factory near Tupelo, Mississippi, that was intended to build the new Prius hybrid? After all, the Prius is precisely the sort of fuel-efficient car you've said the Detroit automakers should be building, at labor costs you've said they should be paying.



Except there's one small problem: Sales of the Prius last month were about half the level they were in November 2007. Meantime, helped by deep discounts -- up to $6000 on some 2008 models -- Ford F-150 sales for November were down just 18.5% compared with November last year, while Chevy Silverado sales were down just 22%.

Obviously, the meltdown in the economy accounts for some of the fall-off in Prius sales: Toyota's total volume in November was down 32% as fearful, credit-crunched customers stayed away from dealerships in droves. But the fact that gas in the U.S. now costs, on average, less than half as much as it did in the summer, is undoubtedly having an effect. The 8660 Priuses Toyota sold last month compares starkly with the 21,000-plus it sold in April as gas raced toward the $4/gallon mark. It also compares starkly with the 37,911 F-150s and 29,534 Silverados shifted by Ford and Chevy dealers in November despite frozen credit and swirling rumors of bankruptcy.

The Prius problem highlights the major challenge facing any bailout of the Detroit Three. If Toyota, allegedly the smartest guys in the room when it comes to the auto biz, can't figure out what American consumers want one month to the next (as of a few months back the Tupelo plant was actually slated to build Highlander SUVs) how on earth is Capitol Hill, or any so-called "car czar" for that matter, going to be able to figure out which direction Detroit's salvation lies? Building Prius clones? Or pickups? Which will give us the best chance of getting our loan money paid back?

There's no question gas prices will rise again once the global economy climbs out of the crater and demand for oil picks up. But as of right now, no one has any idea when that might happen and how fast gas prices might rise. Goldman Sachs recently forecast oil would slump to $30 a barrel, but these are the same geniuses who predicted it would hit $200 a barrel earlier this year. So it's anyone's guess, although futures for deliveries beyond 2013 are trading above $75 a barrel.

Against that background, full-size pickup trucks look like they could still be profitable business for a leaner, lower cost, slimmed-down Detroit for a few years yet.

As has been widely reported, it now looks likely President Bush will allow some of the TARP bank bailout funds to be used to throw GM and Chrysler a financial lifeline. The specter of a massive jump in unemployment -- and what that would do to an economy already reeling from a collapse in consumer confidence -- seems to have gotten the attention of even the hardliners in the White House. "If the auto industry goes belly up now," Vice President Dick Cheney told talk show host Rush Limbaugh, "there's a deep concern that would be a major shock to the system." D'oh...

Of course, any money doled out by the White House this week won't solve the problem. All it will do it buy time -- little more than three months -- to leave the freshly minted Obama administration between a rock (letting the Detroit Three fail and dealing with the grim social and economic cost of 12% unemployment within two years) and a hard place (pouring what has been estimated at $75 to $125 billion into creating a retooled Detroit that will almost certainly be composed of fewer companies making fewer vehicles).

President-elect Obama has said he won't let the American auto industry fail. But will he see pickup trucks as part of the solution? Or part of the problem that got Detroit in this mess in the first place.

-->Read more...


Spreading the Pain to Europe: Car Sales Fall 25.3% in November

Labels: ,

If you still think the depression in new car sales is limited to the Detroit Three, or even to the U.S. market, you're not paying attention. JATO Dynamics, a global automotive data and intelligence firm, reports that sales in Europe fell 25.3 percent in November '08, compared with November '07, to 924,936 units. For the first 11 months, sales fell 7.1 percent, to 13.6 million. JATO cited Audi for losing only 1.1 percent in November, thanks largely to the new A4 sedan. Romania's Dacia, now run as Renault's bargain brand, posted a 27.9 percent increase, but that's mostly because the brand expanded its range with its new Sandero model.



Small-volume Japanese and European brands also had increased sales: Nissan, up 9.9 percent, to 28,971, Mazda, up 2.4 percent to 5,356, smart, up 12.1 percent to 10,486, Subaru, up 10.5 percent to 4,439 and Jaguar, up 13.3 percent to 4,120. For reference, be aware that Chevrolet sold 9,469 Malibus in November (GM's only gainer), up 31.3 percent.

For the first 11 months of '08, General Motors' European divisions sold 32,000 more vehicles than Renault, making it third in sales behind VW and Ford. It was the biggest loser in Europe in November, however, dropping it to fourth place for the month.

Here's JATO's top ten for November:

  1. Volkswagen: 110,034, down 18.9 percent
  2. Ford: 80,979, down 16.3 percent
  3. Renault: 73,628, down 22.6 percent
  4. Opel/Vauxhall: 61,780, down 37.1 percent
  5. Fiat: 59,517, down 23.8 percent
  6. Peugeot: 58,948, down 23.8 percent
  7. Citroen: 55,441, down 24.3 percent
  8. Audi: 50,292, down 1.1 percent
  9. Mercedes: 45,460, down 22.2 percent
  10. BMW: 43,357, down 28.5 percent
-->Read more...