American Suzuki Files Chapter 11 To Exit U.S. Car Business

American Suzuki filed for bankruptcy yesterday to reorganize and get out of U.S. car business:

"We greatly value our Suzuki automobile owners and we want you to hear directly from us about important developments at American Suzuki Motor Corporation (“ASMC”). Today we announced that, following a thorough review of our current position and future opportunities in the U.S. automotive market, we have made the difficult but necessary decision to wind down and discontinue new automobile sales in the continental U.S. Consistent with our long history of standing by our products, Suzuki automobile owners will be protected. All warranties will continue to be fully honored, in accordance with their terms, and automobile parts and service will be provided to consumers through our planned continuation of a service and parts dealer network.

Additionally, we have decided to realign our business to focus on the long-term growth of our Motorcycles/ATV and Marine divisions. We believe the best path to achieve this realignment in an efficient and orderly manner is to restructure our operations under chapter 11."

Read entire press release.

2012 SEMA: Steve Shannon, VP Marketing, Hyundai

Steve Shannon, Vice President of Marketing for Hyundai Motor America discusses company's success, new Santa Fe, L.A. Auto Show and Super Bowl Ads.

2012 SEMA: Michael O'Brien of Hyundai

Michael O'Brien, Vice President of Product Planning and Corporate Planning at Hyundai Motor America discusses the cars specially designed to show off at SEMA in Las Vegas. Watch the video, then read about the vehicles below.

ARK Performance Genesis Coupe R-Spec Track Edition takes the new Genesis Coupe 3.8-liter, direct-injected engine to 395 horsepower with race-like flared over-fenders, an aggressive front splitter, and carbon-fiber hood with heat-extractor vents.

ARK Performance Veloster Alpine Edition has an interior created by JPM Coachworks giving a blend of Alcantara®, Italian leather and WeatherTek® breathable fabric. These materials were chosen specifically for their durability in wet environments, including leather that repels mildew and a WeatherTek material commonly used in snow apparel.

Bisimoto Engineering Elantra GT Concept has forged Arias pistons, Bisimoto con-rods and Turbonetics turbocharger, AEM water-methanol injection and Bisimoto high-pressure injectors. The Bisimoto Elantra GT is one of the highest specific-output Hyundais ever created, muscling 600+ horsepower out of the 1.8-liter “Nu” engine family powerplant.

Cosworth Engineering Genesis Racing Series Concept gives the new Genesis Coupe 3.8-liter, direct-injected engine 389 horsepower at 6400 rpm, and torque of 325 lb.-ft. at 5100 rpm, all with daily-driving civility. The Cosworth has a satin-gloss blue finish, aero front splitter, gunmetal-finish lightweight racing wheels, integrated rear spoiler, and blackout rear diffuser.

FuelCulture Genesis Coupe Turbo Concept is a tuned, Apple Red Genesis Coupe set to achieve 315 horsepower and 242 lb.-ft. of torque.

JP Edition Veloster Turbo is a Hyundai/John Pangilinan partnership that created a brilliant mint green Veloster concept with help from paint supplier BASF. The 1.6-liter, direct-injected Veloster engine receives an ARK performance exhaust, while the suspension adds KW coilovers, Whiteline sway bars and anti-lift kit, and a Brembo® big brake kit. Blacked-out Ray’s Gram Lights Xtreme57 Wheels and Toyo Proxes T1 Sport tires fill in the bright mint green TS Designs fender flares by Jon Sibal.

Hyundai & Kia Adjust MPG Ratings - Customers Get Reimbursed

Hyundai Motor America and Kia Motors America, following discussions with the EPA, are voluntarily adjusting the fuel economy ratings for approximately 900,000 or 35 percent of 2011-13 model year vehicles sold through October 31, 2012 after procedural errors at the automakers' joint testing operations in Korea led to incorrect fuel economy ratings for select vehicle lines. The 2012 Hyundai/Kia fleet fuel economy level is being reduced by an average of 3 percent – from 27 to 26 MPG.

The fuel economy rating discrepancies resulted from procedural errors during a process called "coastdown" testing at the companies' joint testing operations in Korea. Coastdown testing simulates aerodynamic drag, tire rolling resistance and drivetrain frictional losses and provides the technical data used to program the test dynamometers that generate EPA fuel economy ratings. 

Both Hyundai Motor America and Kia Motors America are putting in place a comprehensive reimbursement program for affected current and former vehicle owners to cover the additional fuel costs associated with the fuel economy rating change.  Customers will receive a personalized debit card that will reimburse them for their difference in the EPA combined fuel economy rating, based on the fuel price in their area and their own actual miles driven.  In addition, as an acknowledgment of the inconvenience this may cause, we will add an extra 15 percent to the reimbursement amount. Current owners will be able to refresh their debit card for as long as they own the vehicle. Prior owners of affected vehicles who have already sold their cars will also be reimbursed using the same formula.

For more information about reimbursement and a complete list of eligible vehicles, customers can visit www.HyundaiMPGinfo.com and www.KiaMPGinfo.com.

2012 SEMA: Michael Sprague, Kia Motors America

Kia shows off DC Entertainment comic book superhero cars at SEMA. Kia has seven new vehicles coming over the next 12 months according to Michael Sprague, Executive Vice President of Marketing and Communications at Kia Motors America.

The Cyborg Forte 5-door, Batman Optima, Green Lantern Soul, Flash Forte Koup and Aquaman Rio 5-door were all shown in Las Vegas this week.

2012 SEMA Attracts 130,000 Auto Enthusiasts

October 2012 U.S. Auto Sales

General Motors reported October sales of 195,764, up 4.7 percent versus a year ago for its highest October sales in the United States since 2007. Year-over-year sales to retail customers were up 7 percent and sales to fleet customers were down 2 percent.  Year-to-date GM sales are 2,163,479, a 3.6 percent gain over 2011.

Ford Motor Company sold 168,456 vehicles in the U.S. in October, unchanged from a year ago while retail sales are up 2 percent compared to last year. Year-to-date sales are 1,858,270, up 4.9 percent from 2011.
   
Toyota Motor Sales, U.S.A. reported October monthly sales of 155,242, up 15.8 percent. Year-to-date Toyota sales of 1,726,666 is a 30 percent increase over the first 10 months of last year. 

Chrysler Group reported U.S. sales of 126,185, a 10 percent increase compared with sales in October 2011, and the group's best October sales since 2007 and the 31st-consecutive month of year-over-year sales gains. FIAT brand's 89 percent increase was the largest sales gain of any Chrysler Group brand for the month. Year-to-date sales of 1,376,855 is a 23 percent increase over 2011.

American Honda reported October 2012 U.S. sales of 106,973, an increase of 8.8 percent compared with October 2011. The Honda Division posted October 2012 sales of 94,810, an increase of 8.7 percent compared with October 2011. Acura U.S. October sales of 12,163 increased 9.4 percent compared with October 2011. Year-to-date American Honda sales are 1,173,431, a 22.5 percent rise over 2011.

Nissan North America reported October U.S. sales of 79,685, down 3.2 percent. Nissan Division sales of 70,928, was a decrease of 6 percent while sales of Infiniti vehicles were up 27.6 percent over the prior year, to 8,757 units. Year-to-date sales are 946,169, a gain of 10.5 percent over 2011.

Hyundai Motor America announced sales of 50,271 vehicles in October, a four percent total sales decline compared with the same record-setting period a year ago. Sales are 590,085, up 8.2 percent through the first 10 months of the year versus 2011.

Kia Motors America announced best-ever October sales with 42,452 units sold, a 12.6-percent increase over the same period in 2011. Kia's year-to-date sales are up 17.8-percent over 2011.
    
Volkswagen of America reported October sales of 34,311, a 22.4 percent increase over prior year sales, and 357,400 year-to-date, a 35.6 percent increase and the best October since 1972. In just 10 months of sales, this marks the best calendar year since 1973. Separately, Audi reported record-setting October sales of 11,708 new vehicles representing a 14.5 percent increase above the previous record set in October of last year and marking the 22th consecutive month of record U.S. sales. Year-to-date sales are 112,402, up 18.1 percent from 2011.

The BMW Group in the U.S. (BMW and MINI combined) reported October sales of 32,339 vehicles, an increase of 18.5 percent from the same month a year ago. Year-to-date, BMW Group is up 8.4 percent on sales of 267,267 in the first ten months of 2012 compared to the same period in 2011.

Subaru of America reported 26,119 sales for the month of October, a 30 percent increase over October 2011.  The company also announced record breaking annual sales of  271,582, a 26 percent increase over 2011. This marks the company's fifth year of sales growth and fourth successive sales record.

Mercedes-Benz USA reported record October sales of 23,978 for its Mercedes-Benz models, up 5.9 percent, delivering a record year-to-date total of 215,596 new vehicles to customers, up 11.9 percent. Combined sales of Mercedes-Benz passenger vehicles, smart and Sprinter for the month totaled a record for MBUSA overall with sales of 26,642, up 9 percent, bringing the year-to-date total to 240,973, up 15.8 percent.

Mazda North American Operations reported October U.S. sales of 18,622 vehicles, representing an increase of 1.6 percent versus last year. Year-to-date sales through October are up 8.8 percent versus last year.

Mitsubishi sales were 3,981, down 9.1 percent compared to October 2011. That total however is impacted by models that ended their production in 2011.  Total sales of models currently in production were up 7.0 percent for the month compared to October 2011.

Porsche Cars North America announced October 2012 sales of 3,211 vehicles, an increase of 41 percent. For the year, Porsche has sold 28,226 cars in the U.S., a 13 percent increase over last October.

American Suzuki Motor reported October 2012 sales of 2,023 units, a 5 percent increase from October 2011. 

Sales will be updated as manufacturers report.

2014 Subaru Forester To Debut In L.A. In 4 Weeks

The all-new 2014 Subaru Forester crossover SUV will make its North American debut at the Los Angeles Auto Show. The fourth generation of Forester will offer a new 250 horsepower 2.0-liter 4-cylinder direct-injection turbocharged BOXER® engine with the debut of a new six-speed manual transmission and available Lineartronic® continuously variable transmissions (CVT) with 6-speed and 8-speed manual modes and Hill Descent Control. The other engine choice is the currently offered naturally aspirated 170 horsepower 2.5-liter 4-cylinder BOXER engine. More on November 28 & 29 from the Los Angeles Auto Show.

2012 SEMA: Dempsey Diesel Mazda CX-5

This Patrick Dempsey edition Mazda CX-5 with the new 173 horsepower 2.2-liter diesel Skyactiv engine imported from Europe for the Mazda SEMA display won't be available anytime soon in the U.S. The engine may first arrive on our shores in a different Mazda model, like the Mazda6. The high-power clean diesel offers a low 14:1 compression ratio with an output of 129 kW at 4,500 rpm and 420 nM of torque at 2,000 rpm and is mated to a SKYACTIV-MT six-speed manual transmission.

But there is good news for CX-5 fans as a more powerful 2.5 liter gasoline engine will be offered starting in February, to give the CX-5 a more gutsy performance than the current 155 horsepower 2.0 liter engine and without much of a sacrifice in fuel economy.

2012 SEMA: Food Network's Guy Fieri's Custom Corvette

It's a Corvette 427 Convertible Collector Edition with Fieri's name embroidered on the seat headrests.

2012 SEMA: $687,000 Chevy Silverado

This 2005 Chevy Silverado took 5 years, 50,000 man hours and over 1,200 hours of airbrush artwork to complete. This tribute to American Heroes, with a 540 cubic inch GM powerplant, will be auctioned with no reserve at the Barrett Jackson Auction in Scottsdale, Arizona, January 13 - 20, 2013. The men behind this amazing vehicle put a price of $687,000 on it.

For more info call Dale Ison 937-588-2148 or Jeff Cooper 740-821-0800.

2012 SEMA: Lots of Creative Ideas - Stay Tuned

Consumer Reports 2012 Annual Auto Reliability Survey

The Consumer Reports 2012 Annual Auto Reliability Survey is out and Toyota's three brands, Scion, Toyota, and Lexus, swept the top spots among the 28 car brands ranked. Of the 27 models in the brand’s lineup, 16 earned the highest rating. The subcompact Toyota Prius C earned Consumer Reports’ top score overall. The hatchback Prius, the larger Prius V, and the new Prius plug-in were also above average.

Four other Japanese makes followed in this order: Mazda, Subaru, Honda, Acura. All of the models produced by the top seven brands had average or better reliability. And of the 90 Japanese models reflected in Consumer Reports’ brand comparison, 86 were average or better, with 35 earning the highest rating. Mazda was buoyed by the predicted-reliability score for the new 2013 CX-5 SUV, which is much better than average. And Subaru’s standing improved, with its redesigned Impreza debuting with top marks and none of its models scoring below average. Honda dropped one spot in the ranking, to sixth place, but its worst vehicle, the Odyssey minivan, improved from below average to average.

Audi ranked 8th for its best showing ever, moving up 18 spots, making it easily the most reliable European make and the top non-Japanese brand.

Next is Infiniti and Kia rounds out the top 10, followed by Cadillac, GMC, Nissan, Mercedes-Benz and Chevrolet at 15th. BMW, Hyundai, Volkswagen, Jeep and Volvo round out the top 20.

Buick is 21st with Mini, Chrysler, Dodge and Ram next. The bottom three are Lincoln, Ford and Jaguar. That's right, Ford dropped to next to last while its luxury brand, Lincoln, placed just a notch higher. Only two years ago, Ford was Detroit’s poster child for reliability.

"Sixty percent of Ford-branded models and half of Lincolns were below average in predicted reliability, and none placed above average,” said Jake Fisher, director of automotive testing for Consumer Reports. Several factors contributed to Ford’s decline in Consumer Reports’ reliability rankings. A few new or redesigned models, including the Explorer, Fiesta, and Focus, came out of the gate with more problems than normal. Ford has also added the MyFord/MyLincoln Touch electronic infotainment system, which has been problematic so far, to many vehicles. In addition, three historically reliable models—the Ford Escape, Fusion and the Lincoln MKZ—are not included in the analysis; the three were redesigned for 2013 and CR doesn’t yet have reliability data on them.

For more details subscribe to Consumer Reports and/or pick up the issue.

Ron Hill, Retired General Motors Designer On Influences and Inspiration

Ron Hill was honored at the Art Center College of Design in Pasadena where he graduated in 1954 launching a 31 year design career at General Motors followed by 15 years of teaching at his alma mater. Hill joined Art Center in 1985 as Chair of the Industrial Design Department and in 1992 was appointed Chair of the Transportation Design Department, where he stayed until retiring in 2000.

Hill explains in this interview that at age 23, fresh out of school, he designed the rear end and fin treatment for the 1957 Eldorado Biarritz. Hill was involved in almost every area of GM’s design projects working in Germany, England and Brazil. As a chief designer at Chevrolet, Pontiac and Buick, he oversaw the mid-engine Corvette and the 1965 Corvair line, along with the 1972 and 1973 LeMans, GTO and Firebird programs, all 1973 and 1974 Buick programs and advanced Chevrolet products and advanced Cadillac projects such as the Eldorado. Hill and his team designed the forerunner to the 1978 Monte Carlo, new Camaro/Firebird designs, small car projects such as the Chevette, and the original concept vehicle for the Pontiac mid-engine Fiero project, which earned him the Industrial Design Society of America Award for Design Excellence in 1984.

General Motors Designer Clay Dean Looks Back and Forward

Clay Dean, Executive Director, GM Advanced Global Design and Cadillac Brand Director is responsible for General Motor's forwarding looking concepts and strategies for advanced transportation solutions with a focus on brand building. Clay discusses his visit to the Art Center College of Design Inspired Design Car Classic and what we can expect from GM, specifically Cadillac and Chevy at the upcoming Los Angeles and Detroit Auto Shows.

Clay works out of studios in North Hollywood, California, as well as the UK and Warren, Michigan. He also acts in a Cadillac brand champion role as a liason between Design and Marketing determining product & brand strategy and influencing communications events, activities and product technologies.

Art Center College of Design Stages Inspired Design

Many of the world's outstanding car designers are graduates of the 82 year old Art Center College of Design in Pasadena, California. Each year they hold an event with a carefully selected wide array of vehicles that have inspired designs and designers and today ranged from a 1914 Ford to 2013 models and future concept cars.

Stewart Reed, Chairman of Transportation Design Art Center College of Design, discusses the 11th annual "Inspired Design" Art Center Car Classic.

Reed, a graduate of the Art Center, worked at Chrysler Advanced Design, where he introduced a mini-van concept, at Toyota’s U.S. studio, Calty Design, as chief designer and Prince Corporation, (now Johnson Controls), as Vice President of Design. Reed has designed and fabricated over 20 concept vehicles throughout his career.

Jay Leno Drives Ecojet To Pasedena Car Event

Jay Leno arrived at a car event in Pasedena in his 650 horsepower Honeywell LT-101 turbine engine Ecojet car which is made from a modified Corvette Z06 hydroformed aluminum frame that was first unveiled at the 2006 SEMA Show in Las Vegas. The loud Ecojet that spews jet fumes is constructed from carbon fiber over Kevlar and is not that easy to exit as Jay showed us today.

Håkan Samuelsson Replaces Stefan Jacoby As CEO of Volvo Car Group

Håkan Samuelsson

Stefan Jacoby

Håkan Samuelsson, a current Board member, becomes the new President & CEO of Volvo Car Group effective immediately replacing Stefan Jacoby who will leave following "an amicable agreement" with the Board of Directors. Håkan Samuelsson has 35 years of experience in the automotive industry leadership positions, most recently as Chairman & CEO of MAN SE, a European supplier of trucks, buses, diesel engines, turbo-machinery, and special gear units, between 2005 and 2009. Since 2010 he has been an independent member of the Board of Directors of Volvo Car Group. Jan Gurander, Volvo’s chief financial officer, stepped in as acting CEO when Jacoby had a mild stroke last month. Gurander and sales chief Doug Speck handled Jacoby’s media responsibilities at the Paris Auto Show September 27th and 28th. We wish my good friend Stefan Jacoby the best for a speedy recovery.

Docking For Donuts: Endeavor On Its Final Journey

The Endeavor, one of just three of five space shuttles left that went into orbit and the last built, recorded 25 missions in 22 years circling the Earth 4,671 times spending 299 days in space. It took Endeavor two days to go the last 12 miles from LAX to the California Science Center in downtown Los Angeles to cap it's 123 million mile journey. Some 400 trees had to be cut, power poles were moved, 2,700 steel plates were laid on parts of the route so underground water and sewer systems didn't feel the 80 ton weight of the shuttle and its transporter moving down the road at 2 miles an hour. More than 1,000 police officers and 200 firefighters helped Endeavor maneuver through the city past about a million spectators.

The positive energy of the shuttle celebration and my photo (above) reminds of a poem that one of my high school math teachers once shared which is perfectly fitting:

    “As you ramble through Life, Brother,
    Whatever be your goal.
    Keep your eye upon the doughnut,
    And not upon the hole.“

2013 Scion iQ EV Arrives Into A smart ED Space

The 2013 Scion iQ EV battery-electric 4-seater city commuter car designed for car-sharing programs, in urban and campus environments has arrived in the U.S. after production began in Japan last month. The iQ EV has high-output lithium-ion battery which, in ideal stop and go driving conditions, allows the 12 kWh battery to provide an estimated range of up to 50 miles on a full charge. To fully recharge takes approximately 3 hours at 240V. Maximum output from the drivetrain is 47 kW (63 hp) with a maximum torque of 120 lbs.-ft.  In S range the iQ EV accelerates from zero to 60 mph in 13.4 seconds, and from 30 to 50 mph in 7 seconds. Its top speed is 78 mph.

Its short 78-inch wheel base is 4.5 inches longer than the smart fourtwo, presumably to make room for the back seat, but will be still highly maneuverable in congested urban areas and ideal for tight parking spots. Approximately 90 iQ EVs will be available for fleet and car-sharing applications while the competitor, albeit a 2-seater, 2014 smart fourtwo electric drive (ED) arrives in the Spring, also in limited supply.