Take a close look at the Chevy Volt in the photo above. We've seen it a number of times already but we've never said anything about the color. While it's predominantly silver, it does have a green (or more specifically emerald) tint in it. According to General Motors spokesman David Darovitz, this will be one of the launch colors for the Volt and, in fact, will be exclusive to the company's extended-range electric vehicles. Anyone who has ever bought paint, sorted through a box of Crayolas or ordered a car knows that every hue, no matter how subtle, needs a unique name. This Volt color is no different.
GM wants to include Volt fans in the naming process and is running a contest on www.chevroletvoltage.com starting today. Between now and November 4, people can submit their color name suggestions on the site. GM will sort through submissions and pick out three finalists. Between Nov. 16 and Dec. 1 you can then vote for your choice among the finalists. The three finalists will be flown to LA where the winner will be announced on the eve of the LA Auto Show press days. That person will be among the first people in the world outside of GM who actually gets to drive (not just ride along) one of the pre-production Volts.
Like Great Britain, Sweden never switched over to the Euro – they still deal in kroners. Therefor, In order to keep Saab afloat after being jettisoned by General Motors, new owner Koenigsegg Group has determined that it needs a loan of about 415 billion kroners to keep the flood waters back. That's about €400 million Euros, or $599 million good old US Ameripesos. A little while back we reported that the country of Sweden had agreed to guarantee any such loan to sinking Saab, should a bank offer to do so. Well guess what?
The European Investment Bank (EIB) has agreed to lend the €400 million to Koenigsegg Group vis-a-vis Saab. The money is supposedly earmarked for "research and development activities for the improvement of fuel efficiency and safety including new tooling for the production of cleaner and safer cars." At least that's according to EIB. However, there's a very good chance that the loan will be used to finish closing Koenigsegg's deal with GM. Either way, looks like Saab might now have a fighting chance at not sinking into the North Atlantic.
Steve Rattner is a man we admire but do not envy. Rattner, a former Wall Street banking type with zero experience in the automotive or manufacturing world, was tasked by President Obama with guiding General Motors and Chrysler through their restructuring efforts. Not a small job, by any means. Or one we would wish on our worst enemies. That said, it was a HUGE job, and huge jobs typically make for great stories. Rattner, in an article he penned himself for CNN's Money doesn't disappoint. At all. Allow us to tantalize you with some quotes: When the Obama administration took office on Jan. 20, it inherited nothing in the auto area: no staff, no stacks of analyses, no plans of any kind. The Bush administration had decided in late December that GM and Chrysler were not going to go bankrupt on its watch and had shoveled $17.4 billion of TARP money into the companies to keep them afloat, but without any meaningful stab at restructuring them. Oh snap! But really, that's not even the tip of the juicy iceberg.
How about this apple, er, lack of apple:
When I asked our energetic young chief of staff, Haley Stevens, what we were going to give our visitors for lunch, she replied, "Nothing. Treasury has no budget for even bottles of water." It seemed harsh to expect our guests to go many hours without eating, so I gave Haley $100 and told her to go to a sandwich shop. That became our hospitality protocol.Hungry for more? We haven't even scratched the surface, as our man Rattner is just getting warmed up. Here's one more for you about Rattner and friends first trip to Detroit:
What we didn't prepare for was the intense public interest in our visit to these hard-hit communities. Throngs of reporters awaited us at every stop while a news helicopter buzzed overhead. More peculiarly, the ensuing press coverage seemed wildly over-focused on our test drive of the Chevy Volt, as if the company's salvation rested on this one vehicle.Don't tell Lutz. And hey, speaking of Maximum Bob and his pals, here's what Ratner has to say about Detroit Management:
Everyone knew Detroit's reputation for insular, slow-moving cultures. Even by that low standard, I was shocked by the stunningly poor management that we found, particularly at GM, where we encountered, among other things, perhaps the weakest finance operation any of us had ever seen in a major company.And Mr. Rattner is just getting warmed up. Just wait 'till he gets to Wagoner. We implore you all to jump over to CNN to read the rest. Hat tip to chemistrusaz!
Remember the Standard Taxi from the Vehicle Production Group? It's now called the MV-1, and production is slated to begin next year at the AM General plant in Mishawaka, Indiana. That's the same assembly location where the Hummer H2 is built, which makes sense since the MV-1 is based on the same GM underpinnings as the behemoth SUV.
According to its makers, the MV-1 is the first purpose-built wheelchair-accessible vehicle in America, and it's able to accommodate up to six adults or two full-size wheelchairs. An ADA-approved ramp that stows under the vehicle's floor and a 36-inch wide side opening are designed to make entry and exit a simple affair.
With its body-on-frame construction made with fully boxed rails, the MV-1 should prove to be a durable people mover and its well-known GM drivetrain components should also be easily serviceable. Further, VPG has teamed up with Clean Energy to develop a dedicated compressed natural gas powertrain option that will provide a 250-mile range with significantly reduced emissions.
No one is allowed to escape the grinding maw of Detroit's woes -- not even Detroit Piston extraordinaire and hometown mayor Dave Bing. The mayor owns an automotive supplier called The Bing Group that provides stamped parts for carmakers. The recession has put the company on such slippery footing that it told GM it couldn't provide any more parts, and it's looking to sell itself.
As part of assuming the position of mayor, Bing stepped away from the day-to-day operations of the company by creating a blind trust. Or at least, he was supposed to -- Bing remains the registered agent for the company, and that makes him the first person the state would go to for information on the firm, which suggests that he should know something about how its currently run.
Regardless, Bing is still considering whether to sell and will decide early next year. GM has told the company that as a condition of GM's bankruptcy its suppliers are compelled to keep sending parts even if GM didn't pay them, but that didn't appear to take into account the supplier nearly going bankrupt without that money. In the interim, GM is moving toward paying its suppliers on a weekly basis, which should help The Bing Group (and others). Yet in spite of the talked-about economic rebound, Detroit still hurts
According to the number-crunchers over at Edmunds.com, things are looking up for General Motors in the month of October. If preliminary figures hold up, The General's market share should come in at 22.4 percent, a notable gain from the 19.1 percent share the automaker averaged throughout the third quarter of 2009.
Driving this newfound marketplace success is thought to be GM's recent abundance of new product launches, which include important models like the Buick LaCrosse and Cadillac SRX along with the Equinox and Camaro from Chevrolet. GM has received mostly favorable reviews on each of these vehicles and has invested money into advertising and media campaigns.
Still, maintaining the measure of success seen over the last month and continuing to grow that momentum in the long term won't be easy, and GM isn't likely to recapture its position as the dominant player in America that it once was any time soon. Of course, we'll be watching.
When word got out that Mark LaNeve (right) was leaving General Motors effective October 15, we weren't at all sure where the soon-to-be-former exec was heading. The Wall Street Journal has finally let the cat out of the bag, reporting that LaNeve is leaving the auto business for a marketing gig at Allstate. LaNeve will sign on as the overseer of all marketing initiatives including brand stewardship, strategy and advertising, reporting only to CEO Thomas Wilson.
LaNeve leaves GM after five years as vice president of marketing and advertising. LaNeve was usurped by the General's own Bob Lutz, who semi-retired in April only to come back a couple months later to help strengthen the company's marketing and advertising initiatives. He is is being replaced as vice-president of U.S. sales by former Buick-GMC boss Susan Docherty.
While his new post at Allstate may not be as glamorous a job as being a VP at a major automaker, the insurer has recently made some hefty profits. The WSJ says Allstate raked in big bucks in the second quarter, after earlier getting hit hard by the economic downturn. In other words, LaNeve's company car perks might not be as generous, but he appears to be in Good Hands.
As with its model line, Cadillac has performed surgery on its logo. The previous logo, at right, was a sleek bit of matte color and metal unveiled in 1999 as a result of Cadillac wanting a new icon to represent its "art & science" campaign. The aim was "to combine suggestions of high technology and elegance through faceted shapes-inspired by the stealth fighter and by gemstones." Sure.
The new logo cranks up the texture effect on the wreath, adds texture inside the crest, and plays up the embossing and light effects of the crest edge. It's new, but it's got a shiny bit of retro about it that we don't mind.
Cadillac doesn't appear to have said anything about it, and while it appears on the 60-day Guarantee site we can't tell if it's made it onto Caddy's official plot of the interwebs. The real test, though, will be how it looks when it makes it onto the cars.
Last week, it was reported that General Motors had signed a definitive agreement to sell Hummer to Chinese machinery manufacturer Tengzhong. The Chinese company and its partner in the deal, Lumena Resources Corp., would pay $150 million and receive Hummer and its intellectual property, ownership of U.S. franchise agreements, and manufacturing, business, and component assistance during a four- or five-year transition period.
The questions being raised now concern what is happening on the other side of the Pacific. The Chinese Commerce Ministry reportedly hasn't received Tengzhong's application to officially bring Hummer home, which has led observers to wonder if there will be a holdup or reversal of the deal. According to a Hummer representative, however, Tengzhong had to finalize the deal with GM before it could present it for approval to the Chinese authorities:
The closing of the transaction is subject to customary closing conditions and regulatory approvals andor review by agencies in China and the U.S. Tengzhong has started communicating with the relevant regulatory bodies and will continue to support the application process in accordance with the requirements. Formal engagement was only able to begin with the signing of the definitive agreement.
![REPORT: Analysts chide GM for boosting production [*UPDATED]](http://www.niot.net/blog-images/report-analysts-chide-gm-for-boosting-production.jpg)
General Motors has announced its planned production for next year: 2.8 million vehicles. That's a 45% increase over its production this year – 1.9 million cars and trucks – and according to some analysts, it's completely unwarranted. GM says it arrived at that number based on "real simple math." Analysts quoted in the Detroit Free Press today appear believe that GM was guided more by hope and a quest for market share.
Just about everyone agrees that next year's new car market will grow compared to this year, with estimates generally ranging from a 10% to 15% increase in sales. GM slashed its production this year so much that by September, its inventory hit unprecedented lows. To be ready for what it believes will be a 15% bounceback in overall North American car sales, a boost in its own sales (which were down almost 40% this yea)r, and to have enough inventory on hand, it figures it needs to bump production by 45%.
Every analyst appears to agree that GM will need to make more cars. But 2.8 million? Even as one analyst said, "There is no question that their production is going to be up next year and it's going to be significant – it really is," they were all in agreement that 2.8 million vehicles will leave a lot of cars either sitting on lots or being ridiculously discounted. The announcement has brought out sentiments that we are seeing shades of the old GM with a 'make them and move them by any means necessary' mentality. Both GM and the analysts' math is "real simple," but we'll have to wait until next year to see whose is accurate.
