The Car Exam News #36: The Cadillac CTS sedan recalled, and the Feds don't want Bob Lutz back at GM?

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The Cadillac CTS sedan recalled again: Automotive News reports that GM is recalling over 400,000 Cadillac CTS sedans (2009-2010 model years) because of a problem with one of the rear wheels (the rear tow link). The problem could lead to one of the rear wheels becoming unstable; GM says no injuries or lost lives have been reported because of the faulty part, and about one in 20 of the cars recalled will have the part replaced. GM should start notifying customers soon about the recall.

Source: Automotive News (http://www.autonews.com/apps/pbcs.dll/article?AID=/20110216/RETAIL05/302169946/1260) 2/16/11



The feds may be saying just say "no" to a Bob Lutz return to GM--at least for now: The Daily Beast reported that General Motors wants to rehire former chief of vehicle development, Bob Lutz, as a consultant for the company, but that the U.S. Department of Treasury doesn't want that to happen, because if he is paid so close to the time he retired from GM, it may be considered a "golden parachute" to the 79-year-old Lutz. This could change in about three months, though, since a year will have passed since his retirement. If GM can get Bob Lutz back on board, it will regain a knowledgeable force in the auto industry.

Source: The Daily Beast (http://www.thedailybeast.com/blogs-and-stories/2011-02-15/bob-lutz-may-come-back-to-gm-but-the-government-is-balking/) 2/15/11

P. Scott

The Car Exam News #30: Winter storm wallops automakers, and Asia is ahead of the U.S. in the electric vehicle race

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Bad weather halts the auto industry: The Detroit Free Press is reporting that the colossal winter storm that has hit the Midwest and continues to move east forced Ford, Chrysler and General Motors to
halt production and cancel shifts at over 30 plants across the Midwest on Wednesday.
Production should resume at most of those plants today.

Source: The Detroit Free Press (http://www.freep.com/article/20110203/BUSINESS01/102030429/Storm-forces-auto-factories-close-shifts-canceled?odyssey=tab|topnews|text|Auto News) 2/3/11




Asia is beating the United States again: Automotive News reports that a research study shows that Asia is probably already ahead of the United States the development of electric vehicles. Why? South Korea and Japan are leading the pack in terms of battery development, while here in America consumers are unsure about the reliability, cost savings, resale value and lack of charging stations in the U.S. (for consumers already suffering from "range anxiety" due to the very limited driving distance of electric cars, the results from that study will probably make them even less likely to consider purchasing an electric vehicle anytime soon).

Source: Automotive News (http://www.autonews.com/apps/pbcs.dll/article?AID=/20110202/OEM05/110209941/1186) 2/2/11

P. Scott

Consumer and Car Exam News # 29: BMW & Mercedes outselling Lexus in 2011, and more new cars sold in January

The race against Lexus is getting tighter: Automotive News is reporting that BMW and Mercedes have gotten off to a better start in the sales race in 2011 than Lexus. Lexus has outsold BMW and Mercedes every year since 2000, but BMW and Mercedes have been closing the gap, especially in 2010. It is expected that the sales race between the three brands will be even tighter this year.

Source: Automotive News (http://www.autonews.com/apps/pbcs.dll/article?AID=/20110202/COPY01/302029988/1292) 2/2/11



January 2011 auto sales better than January 2010: The Detroit Free Press is reporting that auto sales in January 2011 were up 17.3 % over January 2010. Consumer confidence rose in January; more new car sales went to individual buyers than fleets. Nevertheless, General Motors and Toyota are still offering sales incentives to attract more customers--if you're a consumer looking to find a good deal on a new vehicle, a G.M. or Toyota product just may look more appealing to you at the moment.

Source: The Detroit Free Press (http://www.freep.com/article/20110202/BUSINESS01/102020335/Auto-industry-sees-17-3-increase?odyssey=tab|topnews|text|Auto News) 2/1/11

P. Scott

The Car Exam News #24: Encouraging GM and Ford News

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Good news for General Motors

Good news for GM this week: The Detroit Free Press reports that GM will build a new, smaller Cadillac, the ATS, at its Lansing Grand River plant. The ATS will be smaller and priced lower than the CTS (pictured above). No word yet on when production of the ATS will begin.

Source: The Detroit Free Press (http://www.freep.com/article/20101027/BUSINESS01/101027034/1210/business01/GM-Lansing-plant-will-build-new-Cadillac) 10/27/10



More good GM news--and good news for Ford, too: Consumer Reports is reporting that the reliability of GM's cars is improving--a must if it wants its recovery to continue. Recently launched vehicles, such as the Cadillac SRX, Chevrolet Camaro and Equinox, and the Buick LaCrosse V6 (FWD) have proven to be reliable from the start--something not very common to GM in recent decades. Some older GM models, like the Corvette, for example, have even improved with their reliability. GM can still do a lot better, though, as it still trails far behind the leading Asian brands (Toyota and Honda, for example) in reliability. If GM can keep improving, it just may get back on top one day...






Meanwhile, Ford continues to shine. Consumer Reports also notes that 90% of all Ford models (including Lincoln) are at least rated as having at least average reliability. Furthermore, Fords are now more reliable than Mazdas and Nissans, and just lags behind the legendary Toyota luxury brand, Lexus--quite an impressive feat. Ford has already had good news earlier in the week of record third-quarter profits of a whopping $1.7 billion dollars, so executives in Dearborn must be jumping for joy!

Source: Consumer Reports (http://blogs.consumerreports.org/cars/2010/10/consumer-reports-2010-annual-car-reliability-survey-gm-makes-big-strides-while-honda-toyota-dominate-pr.html?CMP=OTC-NEWS2) 10/26/10

P. Scott

The Car Exam News - Edition #2: August 9, 2010 - New vehicles from GM, and good news for Ford

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New Vehicles on the horizon from General Motors

According to the Automotive News (www.autonews.com), General Motors is getting ready to tackle the next round of $4.00 per gallon price hikes (whenever that happens) by preparing to sell a number of new, fuel efficient small cars across its product range during the next three to four years: Chevrolet (the Aveo in 2011; the Spark in 2012), GMC (the Granite- a small, car-based truck-possibly in 2014), Buick (the Verano, in 2012), as well as Cadillac (the ATS--possibly in 2013 04 2014). Don't forget about the Chevrolet Cobalt Replacement, the 2011 Chevrolet Cruze (see photo above), which should make its debut later this year. GM will also be designing) its larger models to produce better fuel economy, too.

Source: Automotive News 8/9/10



Good News for Ford

The Wall Street Journal (online.wsj.com) is reporting that Ford's profits may be moving higher. Ford has reshaped the company by streamlining its business. It cut costs, sold Land Rover, Volvo and Jaguar in recent years and vastly improved its product quality (which reduces warranty costs and helps resale values rise). However, Ford will losing some money in the second half of 2010 because it is discontinuing the Mercury brand. Nevertheless, Ford has introduced some successful vehicles (the 2010/2011 Mustang (insert photo), 2010 F-150, 2010 Taurus and the 2011 Fiesta, for example) and it has more new vehicles on the way (the Focus, as well as the Explorer, just to name a few). Ford will also be bringing new Lincoln models to the market soon, fortifying that lineup.

Source: The Wall Street Journal Online 8/8/10

Photos by P. Scott