Automakers: Page 373


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    Larger Than Life

    John Zachary DeLorean, who died in March of a stroke at age 80, left General Motors Corp. under a cloud in 1973 just as it seemed he was on his way to becoming president. There were rumblings for two years he might bolt. He'd quietly told associates he wanted to devote his life to social causes or possibly produce his own sports car. But it was a strange parting. For nine months after leaving GM he

    By David C. Smith • May 1, 2005
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    Big Business

    It's a European institution as foreign to American culture as the siesta in Spain and Boxing Day in the U.K. Meet the minicar, which super-size me Americans would associate more closely with a go-kart than an adult car. But the segment is huge in Europe and nearly everywhere else. Minicar sales totaled about 1.2 million units in Europe in 2004, General Motors Corp. reports during a test drive in Torgiano,

    By Brian Corbett • May 1, 2005
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    Trendline

    Artificial Intelligence

    Automakers and dealers alike are increasingly seeing the use case for AI within their operations. Explore some use cases in this trendline.

    By WardsAuto staff
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    Black Dealer Makes History

    Nissan North America Inc.'s (NNA) Southwest region opens its first African-American-owned dealership in Fontana, CA. Marcellus Wims, a 12-year veteran of the automotive industry, will operate Fontana Nissan. With his appointment of Wims as dealer-principal, Nissan will have at least one African-American dealer in all of its Nissan and Infiniti regions, making for a total of 23 African-American-owned

    May 1, 2005
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    An Upside Down Under

    It is a 20-hour plane ride from Detroit, yet the coastal city of Melbourne seems strangely familiar. Maybe it's because this is Australia's own Motor City, albeit with a warmer climate, smoother roads and decidedly European feel. Melbourne, Victoria, is home to Holden Ltd., General Motors Corp.'s Australian unit; plus Ford Motor Co. of Australia Ltd. and Toyota Motor Corp. Australia Ltd. And just

    By May 1, 2005
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    Doing It Without Hype and Spin

    One of the most respected and successful dealers in the huge Los Angeles market is Bert Boeckmann, 74, owner of the top-selling Galpin Ford and several other stores in the San Fernando Valley city of North Hills. Ward's interviewed him in his office in connection with the Galpin Group's repeat appearance on the Ward's Megadealer 100. Ward's: How has Galpin Ford continued to thrive while sales of your

    By Mac Gordon • May 1, 2005
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    BMW Promotes Active Safety

    BMW AG wants to put the auto safety industry on a new diet. After years of pouring money into expensive crash testing focused on passive-safety measures such as airbags, structural components and restraints, the German auto maker says it is time for government regulators to get serious about furthering collision-avoidance technologies. The auto industry became serious about developing vehicle safety

    By John D. Stoll • May 1, 2005
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    BMW Outsourcing

    BMW AG says it expects in-house development of components and systems to drop to 45% by the end of this year, a sharp decline from the 70% level of less than a decade ago. The auto maker says most of the increase in outsourcing will focus on the areas of electronic systems and technology. Burkhard Goeschel, BMW management board member responsible for product development and purchasing, tells SAE World

    May 1, 2005
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    GM: Asian Supply Base Not Mandatory

    DETROIT – General Motors Corp.’s head of purchasing uses the Society of Automotive Engineers World Congress here to set the record straight on GM’s position with regard to automotive suppliers locating in the rapidly growing market of China. Earlier this month, Bo Andersson, vice president-worldwide purchasing, and his top lieutenants spoke at a meeting hosted by the Original Equipment Suppliers Assn.

    By Tom Murphy • April 19, 2005
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    Ford Won’t Prosper Without Stable Suppliers, Martens Says

    DETROIT - Ford Motor Co.'s success is tied directly to the performance of its supply base, the auto maker's product czar says. Ford last week adjusted its earnings guidance through 2006, saying it would miss its $7 billion profit target for next year and fall short of its initial expectations for 2005. (See related story: Ford Backs Off $7 Billion Target, Cuts 2005 Outlook) Speaking at the annual

    By John D. Stoll • April 14, 2005
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    GM Mulling Development Base for Next-Generation Delta

    DETROIT – General Motors Corp. likely will decide by year’s end where to center development of its next small-car platform, a top program manager says. GM, which earlier this month re-jiggered its executive ranks, shifting Bob Lutz’s responsibilities to global product development, is in the process of redefining its vehicle-engineering game plan and assigning new-vehicle development programs to its

    By David E. Zoia • April 13, 2005
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    BMW Targets More R&D Outsourcing

    DETROIT – BMW AG says it expects in-house development of components and systems to drop to 45% by the end of this year, a sharp decline from the 70% level of less than a decade ago. The German luxury auto maker says most of the increase in outsourcing will focus on the areas of electronic systems and technology. Burkhard Goeschel, BMW management board member responsible for product development and

    By Kevin Kelly • April 13, 2005
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    Hydro Magnesium Energized by New Alloys, Applications

    DETROIT - BMW AG isn't the first high-volume auto maker to spec lightweight magnesium for a new engine block, but it is the first in a number of decades. The new magnesium block debuted on some versions of the 6-Series sold in Europe last year and will be used for BMW's all-new, high-volume 3-Series launching this year. This high-profile application, along with several others including the new Mercedes-Benz

    By April 12, 2005
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    A Strange Way to Sell

    In the two years Rusty Strange has been the Internet director at Beaman Toyota in Nashville, TN, the dealership has increased its Internet sales 192%. The Internet department accounts for approximately 15% of the dealership's bottom line. Strange believes running the department is something of a science because the growth can be measured and managed. We are methodical here, he says. We've developed

    By Cliff Banks • April 1, 2005
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    Nine Dealers Carry On Blue Oval Court Battle

    A Ford Blue Oval court battle goes on, promoted by nine Ford dealer plaintiffs who are undeterred by two federal district court judges' rulings favoring Ford Motor Co. The case heads to the U.S. Third Circuit Court of Appeals in Philadelphia despite Ford abandoning a controversial pricing formula used to reward certified dealers since Blue Oval's introduction in 2000 as a way to enhance customer satisfaction.

    By Mac Gordon • April 1, 2005
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    Redford Rebirth

    Freightliner LLC will renovate the dingy, 65-year-old Detroit Diesel Corp. factory in Redford, MI, for $275 million. The investment plans call for the 3.2 million-sq.-ft. (297,289-sq.-m) facility, which currently employs 2,800 people, to become home to a new heavy-duty truck engine line, medium-duty engine assembly and expanded axle assembly by 2007. The headquarters of Freightliner's Sterling Truck

    April 1, 2005
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    Ford, Visteon Refinance

    The restructuring of Visteon Corp. continues as North America's second largest automotive supplier negotiates new financial terms with its former parent, Ford Motor Co. Under the financial agreement, Ford will shoulder a larger share of the wages paid to 17,700 Ford employees leased to Visteon since the 2000 spinoff. Additionally, Visteon will not have to reimburse the auto maker for Ford profit-sharing

    April 1, 2005
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    Ford Sport Trac Goes SVT by ‘07

    Ford Motor Co.'s Special Vehicles Team (SVT) is back in business, promising a practical super truck by 2007 based on a revised Explorer Sport Trac sport/utility truck. Ford plans to unleash the Sport Trac Adrenalin, based on the next-generation Sport Trac, likely to bow in 2006 as an '07 model. It features all-wheel drive, a 6-speed automatic gearbox and a 390-hp supercharged 4.6L V-8 sourced from

    April 1, 2005
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    Malcolm in the Middle of It All

    SOUTHFIELD, MI Acting like a man who knows what he wants and expects to get it, Malcolm Bricklin arrives for an interview at a hotel bar with a small entourage, including a still photographer and son John Bricklin, 27, carrying a camcorder. Bricklin, 65, unsuccessfully tries to get a hotel staffer to turn off the background music, lest it interfere with the audio portion of John recording his father

    By April 1, 2005
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    VW’s Sedans Sprout Sportier Wagons

    Volkswagen AG has athletic plans for the next-generation Jetta and Passat wagons, the company's North American chief says. Currently, the auto maker offers traditional box-on-sedan wagon versions of both vehicles. Neither comfortably fit into the European sportwagon mold that has sprouted in recent years, compared with offerings from BMW AG, Volvo Car Corp., Saab Automobile and VW's luxury brand Audi.

    April 1, 2005
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    Caliber-Rated

    Chrysler Group will begin construction in summer 2006 at its assembly and stamping plants in Sterling Heighs, MI, to make way for its new D-segment line of passenger cars. The plant will have the flexibility to build both C- and D-segment vehicles, with a maximum of five variants running down the same final assembly and body shop lines. Plans are to invest $506 million in both facilities, adding as

    April 1, 2005
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    Quality Redemption

    Mercedes-Benz is battling to retain its once-stellar quality image. The German auto maker's reputation has slipped; consumer complaints with some new models are stacking up. The effort to halt the luxury brand's quality decline begins this spring, when Mercedes debuts the all-new '06 M-Class family of cross/utility vehicles. The M-Class was one of the first players in the luxury SUV segment in 1998

    By Kevin Kelly • April 1, 2005
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    Real Car Guys Use ‘Net

    NANUET, NY Walk into the showroom at Honda of Nanuet and all you see are used cars all of them accessorized. The new cars are outside. This way, we can advertise that we have an indoor used-car showroom, chuckles Jack Ryan, general manager. And the accessories help us sell them faster. Old-time, hard-core sales guys. There is no other way to describe the management team of this dealership. Always

    By Cliff Banks • April 1, 2005
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    Full Cooperation

    Delphi Corp. CEO J.T. Battenberg III says his decision on Feb. 23 to retire after 44 years with the $28.7 billion automotive supplier and its former parent, General Motors Corp., has nothing to do with an accounting scandal that cost chief financial officer Alan Dawes his job and sent the company's stock price plummeting. Delphi will restate its earnings for 2001 and subsequent years because of improper

    April 1, 2005
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    Jeep Gets Hemi Badge

    NEW YORK – One of America’s emerging status symbols will make its way to the body of Jeep’s Grand Cherokee. Jeep Design Director John Sgalia tells Ward’s the Hemi badge, affixed to Chrysler and Dodge brand products, will be added to the back of Jeeps carrying the 5.7L Hemi V-8 under the hood starting in the ’06 model year. The new ’05 Grand Cherokee went on sale last year with three powertrain options:

    By John D. Stoll • March 24, 2005
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    Dodge Nitro a Go; New Liberty to Follow

    NEW YORK – Chrysler Group will build the Dodge Nitro SUV and follow it up a year later with “a major rework” of its platform-mate, the Jeep Liberty. The auto maker first showed the Nitro at the Chicago auto show last month, hinting the concept was headed for production.(See related story: Public Will Help Determine Dodge Nitro Fate) Jeep Design Director John Sgalia tells Ward’s the Nitro is a go during

    By John D. Stoll • March 23, 2005