Chrysler creditors draw fire for new offer

As an April 30 deadline approaches for a Chrysler partnership with Fiat, President Barack Obama's auto task force squeezed the UAW for fresh concessions Tuesday, while Chrysler's creditors proposed a debt reduction that a Michigan congressman dismissed as “not serious.”

Chrysler, which is operating with $4 billion in federal loans, needs concessions from both the UAW and debt holders to complete a partnership with Fiat and get another $6 billion in federal loans.


In seeking UAW cutbacks, Fiat said it would build vehicles such as the Lancia Delta at U.S. Chrysler facilities -- a move that could give workers some job security.


However, Chrysler's creditors Tuesday proposed writing off $2.5 billion of $6.9 billion in debt in exchange for a 40% stake in the Chrysler-Fiat alliance, among other demands, according to documents obtained by the Free Press.


A White House official who was not authorized to speak on the record criticized the offer as “neither in the interest of Chrysler's senior lenders nor the country.”


“Our hope and expectation is that these lenders take a more constructive position … that reflects the actual situation they and the company face,” the official said.


Added U.S. Rep. Gary Peters, a Democrat whose district includes Chrysler's Auburn Hills headquarters: “This offer is an affront to taxpayers and the many thousands of Chrysler employees and retirees whose livelihoods hang in the balance of the outcome of these negotiations.”

TaTa To launch first electric vehicle, Indica EV, in 2009

Tata Motors’ UK subsidiary, Tata Motors European Technical Centre plc, has acquired a 50.3% holding, at an acquisition cost of Kroner 12 million (Rs.9.40 crores), in Miljø Grenland/Innovasjon, Norway, which specialises in the development of innovative solutions for electric vehicles. The balance of shares will be retained by the existing shareholders who will continue to be associated with the venture.

Miljø will produce electric vehicles based on Tata Motors’ products, besides manufacturing of state-of-the-art super polymer lithium ion batteries and the development of related technologies. Tata Motors believes that this investment in Miljo will help the company realise its strategy to develop convenient, affordable and sustainable mobility solutions through electric and hybrid vehicles.

The first such vehicle to be developed by the company will be the Indica EV. It is scheduled for launch in Europe during 2009. Unlike existing electric vehicles, Indica EV will be a more practicable option for the consumer: capable of carrying 4 people, adequate luggage space, with a predicted range of up to 200 km and acceleration of 0-60 kmph in under 10 seconds. As in the Nano, Tata Motors continues its innovative approach with Indica EV too, using super polymer lithium ion batteries which will have superior energy density compared to the current best-in-class electric vehicles.

ROLLS-ROYCE DELIVERS FIRST CAR TO THAILAND

Rolls-Royce Motor Cars has delivered its first car to Thailand. Dr Nikorn Hongsrisook, a prominent Thai businessman based in Bangkok, received his Phantom Extended Wheelbase car from Rolls-Royce Asia-Pacific Regional Director, Colin Kelly.

At the handover ceremony, Colin Kelly said, ”It is a great pleasure to be able to deliver this first car into Thailand to such an appreciative customer and automotive enthusiast. We look forward to being able to deliver more Rolls-Royce cars to customers in Thailand, in a market where we believe there is growing demand for ultra-luxury motor cars.”

Dr Nikorn Hongsrisook, President of Gems Gallery International Manufacturer Ltd, added, “As a person who is truly fascinated with super-luxury cars, Phantom is a very special car which I have always aspired to own. I feel very proud to have become the owner of the first Phantom in Thailand”.

Dr Nikorn specified his bespoke car to feature a Diamond Black exterior and an interior finished with piano black wood and contrast stitching. Amongst other Bespoke features, the car comes with the award-winning starlight headlining, an optional feature that incorporates 800 fine fiber optics in the ceiling, creating the impression of a star-filled night sky.

Dr Nikorn’s car was built at the state-of-the-art Rolls-Royce Motor Cars manufacturing facility in Goodwood, West Sussex, England.

Proton to export MPVs to Thailand and Indonesia by July

Proton Holdings Bhd expects to export its first home-grown multipurpose vehicle (MPV) to Thailand and Indonesia by July.
“We are planning to export the MPV to Indonesia and Thailand in July but our priority is to satisfy local demand first.” Proton chairman Datuk Mohd Nadzmi Mohd Salleh said.
He told reporters Tuesday after unveiling the name of the MPV that the company needed to export its vehicles as “our local market is not big enough for us to become a major automotive player.”
The MPV is known as the Exora.
Nadzmi said the Exora symbolised Proton’s efforts to incorporate many of the best features available in a passenger vehicle into the MPV.
The model is scheduled to be launched in April and customers can make bookings from February 21 onwards at all 293 Proton Edar and EON sales offices nationwide.

2009 Ford Ranger minorchange tough style launch 10,February 2009

PERSONA TO DRIVE PROTON SALES IN SYRIA

PROTON Holdings Berhad continues to strengthen its presence in the Middle East market by launching the Persona model in the Syrian Arab Republic. The Persona, being the fifth PROTON model introduced in the country after Waja, Wira, Arena and Gen-2, is expected to drive PROTON’s sales in the country.

PROTON first entered the Syrian market in 2001 via a sole distributorship agreement with Syrian company Modern Technology Trading Company (MTT), a subsidiary of Habbal Group of Syria. The company holds distributorship rights of PROTON cars to Syria, Iraq and Lebanon.

The Persona was launched by PROTON Holdings Berhad Managing Director Dato’ Haji Syed Zainal Abidin Syed Mohamed Tahir who was accompanied by Habbal Group Chairman and Chief Executive Officer, Mr. Eng. Ghyath Al Habbal. The launch was held at a leading hotel in Damascus and was attended by more than 600 guests and PROTON business associates in Syria.

Syed Zainal said that PROTON has high expectations in its Middle East market as car buyers are demanding for more cost-effective cars with better fuel economy. “We have been selling our cars in Syria since 2001 and after Gen-2, we are optimistic on how the Syrian market will accept the Persona, which has won the heart of many of our customers for being cost effective and having better fuel economy.”

Al Habbal has expressed his company’s optimism with Persona’s potential in the countries. “The launch of Persona is significant to MTT as this is the second big event for us after the official opening of the 3S facility in 2003 by the former Prime Minister, Tun Dr. Mahathir Mohamad,” said Al Habbal.

Syed Zainal said that although the global economy has weakened significantly, PROTON is optimistic that it could offer customers a more viable option through Persona and GEN.2. “We have always been guided by the philosophy of building the right car at the right time and the right price and believe that PROTON’s current offering – Persona and GEN.2 - fit the criteria.”

The Middle East has been identified as one of the key markets in PROTON’s Asian Multi-Local OEM (AMLO) strategy, apart from ASEAN, China and India. Syria is one of the countries in the series of Persona launches scheduled by PROTON in the Middle East. The model was previously launched in the Kingdom of Saudi Arabia, Egypt, Oman, Qatar and Bahrain.

The Middle East market is an important left-hand drive market for PROTON in view of Malaysia’s strong ties with countries in the region. “Syria is one of the highest-selling market in the Middle East. We have received an overwhelming response from customers even before we officially launched the model. Such positive feedback is definitely good for us and our partner here and we look forward to future launches in this region of the next model line-ups, Saga, and the upcoming Proton MPV,” said Syed Zainal.

The first batch of Persona for the Syrian cluster (Syria, Iraq and Lebanon) was delivered late last year and has sold well with bookings already being made for the coming shipment. As at 2008, PROTON has sold more than 6,000 cars in Syria. Last year PROTON sold more than 1,600 cars in Syria, the highest annual sales record since 2001.

PROTON operations in Syria is supported by Al Habbal Group’s distribution network of 10 branches and dealerships in major Syrian cities, including two 3S (sales, service, spare parts) centres in Damascus and Aleppo. Al Habbal is currently constructing a new 3S service centre in Tartus, a port town on the Mediterranean Coast of Syria. The latest 3S centre will also act as a pre-delivery and inspection (PDI) centre and parts distribution centre for the Group.

“With such commitment and investment, I believe that Syria will provide PROTON with a platform for future growth and strengthen the company’s position in the Middle East,” said Syed Zainal.

Honda exports from Thailand grow 4% in 2008

Asian Honda Motor Co., Ltd., Honda’s Bangkok-based Asia & Oceania Regional Headquarters, today reported that Honda’s product exports from Thailand in 2008 reached 104,583 million baht, representing a 4% increase over 2007. Exports were driven by automobile CBU and CKD units which accounted for 65,091 million baht, or 62% of total export value; followed by motorcycle CBU and CKD units and part kit exports at 23,881 million baht, representing 23% of the total value; and power products at 10,128 million baht, or 10% of the total value. Remaining exports included spare parts, accessories and dies & molds worth 5,483 million baht, or 5% of the total export value.

Mr. Fumihiko Ike, President & CEO, Asian Honda Motor Co., Ltd. stated that Honda has consistently grown the value and volume of product exports from Thailand since it first started exporting in 1987, contributing to the strength and durability of business in Thailand as well as trust in product quality. To date, the cumulative value of Honda exports from Thailand amounts to 555,012 million baht. However, the global economic crisis has led to a decline in Honda’s exports since late of last year.

“Export growth has slowed down since Q3 2008 due to the global financial crisis which has affected the entire world. In Q4 2008, automobile and power products export value faced a decrease while motorcycle export value remained little changed. Total export value of Honda products in Q4 dropped 12% over the same period in 2007. However, the annual export value of Honda’s products in 2008 is 4% higher than 2007” Mr. Ike said.

Automobiles:
In 2008, the total value of Honda’s automobile CBU and CKD exports remained stable. Automobile CKD exports increased 13% to 26,031 million baht due to the start-up of production of new models such as the Jazz in Brazil and the City in India. For automobile CBUs, Honda continues to export five models, which are the City, Jazz, Civic, Accord and CR-V, to over 30 countries worldwide. In 2008, automobile CBU exports were 72,497 units, which is a 6% drop in value to 39,060 million baht. The decline in exports is largely attributable to the difficulty in securing auto loans in several major markets due to the credit crunch as well as a global trend towards smaller vehicles resulting in a reduction of orders for large vehicles.


Motorcycles:
The total value of Honda’s motorcycle CBU and CKD exports in 2008 increased by 10% to 23,881 million baht. The exports of motorcycle CKD units, including part kits, increased 14% by value to 22,298 million baht, thanks mainly to new model production expansion in ASEAN countries, particularly in Vietnam, Indonesia and Cambodia. In contrast, motorcycle CBU exports fell 22% in value to 1,584 million baht, primarily due to reduced demand in Europe.

Power Products:
Thailand is Honda’s primary global production and export base for its power products, which are currently exported to over 80 countries around the world. Exports of power products decreased 2% by volume during 2008 as a result of the global financial crisis affecting the general market, especially Honda’s key markets in Europe and the United States. Total power product exports for 2008 were 1,755,132 units, worth a value of 10,128 million baht.

Mitsubishi's Normal production stoppage extended 5 weeks

Mitsubishi Motors North America will extend its previously announced seven weeks of non-production by five additional weeks this spring.

Mitsubishi will stop production at the plant in Normal from Feb. 16 through May 8, the company announced Tuesday. Production is scheduled to resume May 11. During those 12 weeks, union workers still will be able to report to work for full pay, said spokesman Dan Irvin.

The company extended the non-production period that was first planned to end April 6 as it tries to match inventory with demand in a tough economy, Irvin said.

“We constantly review the inventory here, on the ground at the dealerships, on the ground at the ports to go overseas,” Irvin said. “Our best determination is to keep the inventories in line ... we should take now 12 weeks instead of seven.”

Mitsubishi sold 97,257 vehicles last year, a nearly 25 percent decrease from the 128,993 sold in 2007. It makes nine models.

Production at the Normal plant, which builds the Galant, Eclipse, Eclipse Spyder and the Endeavor, also was down 25 percent in 2008. Workers built 59,018 vehicles last year, compared to 78,732 the previous year.

“Sales drive the production,” Irvin said.

During the upcoming 12 weeks of non-production, union associates still will be able to work their regular hours at full pay, Irvin said. While workers will not build cars, they can perform maintenance tasks or attend training. They also can prepare for 2010 models, which primarily involves training but also some equipment work and testing, Irvin said. Union members also could take vacation, he said.

Pay options, however, have not been finalized for non-union staff members, including line supervisors, engineering, purchasing and human relations, Irvin said. He declined to elaborate on what options are being considered, including whether pay cuts or a reduction in hours might be enacted.

It’s because of the union’s contract agreement last fall that members still can come to work every day and earn income, which is important in tough economic times, said United Auto Workers Local 2488 President Ralph Timan.

Union members agreed to pay and benefit cuts in the new contract in exchange for the promise of no layoffs. Mitsubishi laid off about 1,200 workers in 2004 when the plant eliminated its second shift.

“Our members were asked to sacrifice quite a bit,” Timan said. “In return, we were given guarantees of job security.”

Nonetheless, the extended shutdown is another unfortunate result of the country’s economic conditions, Timan said.

“It’s not news you want to hear. We want to see the plant running at its capabilities,” Timan said. “The sales aren’t there right now.”

And whether sales and production will continue their sharp declines is just another economic uncertainty right now.

In the first three weeks of 2009, Mitsubishi produced 1,739 vehicles. The company built 7,112 vehicles for the entire month of January in 2008 and ended the year building 3,256 vehicles in December.

How 2009’s production tally compares to 2008 statistics will depend on what happens with the economy, consumer confidence and the credit market this year, Irvin said.

“Anyone who tries to make production predictions is tossing a coin,” he said.

MMNA production

Like company sales, production of the vehicles Mitsubishi Motors North America builds in its Normal manufacturing division was down last year. The chart below compares 2007 vehicle production to 2008.

Vehicle...2007...2008...Percent change

Galant...32,445...38,536...+18.8

Eclipse...22,670...12,020...-47

Eclipse Spyder...7,695...3,924...-49

Endeavor...15,922...4,538...-71.5

Total...78,732...59,018...-25

SOURCE: Mitsubishi Motors North America

Next generation of Nissan Tiida (X12C) gets Turbo engine

The Nissan Tiida, also known in the U.S. and Canada as the Versa, has been around in Japan since 2004. That is a long time in automobile-years so it comes to no surprise that Japanese magazines like “Best Car” have started publishing renderings of the Versa / Tiida’s replacement, expected in 2010. The artist’s rendering seen here, depicts a no-frills design proposal for the sedan variant that would also spawn a five-door hatchback version.

The new Versa should be arriving sometime in 2010 as a 2011 model and will be built on the Renault Megane's platform. Engine choices should remain the same, though there's no official word if both hatchback and sedan versions will be sold. In any case, there's definitely a lot to like about this rendering. We can see many Renault-inspired cues in the front fascia with a sleeker roofline and more shapely rear end out at the back.

Hyundai Genesis Named One of the Best New Cars of 2009

Hyundai Motor Company’s new luxury flagship Genesis has been named a “Best New Car of 2009” in About.com Cars' third annual Best New Car List. This marks the first time that a Hyundai vehicle has been recognised in the About.com Cars annual list.
About.com Cars highlighted Genesis’ notable luxury features, smooth and quiet ride, spacious interior and value. “This car would make the Best New Car List no matter who built it – but I just love the fact that it’s a Hyundai.” said Aaron Gold, Guide to Cars for About.com.
The About.com Cars Best New Car recognition continues to showcase the quality, performance, safety and value available with Genesis. The 2009 Genesis was recently awarded ‘2009 North American Car of the Year’ and was also named a ‘Top 5 Luxury Car for 2009’ by NADAguides.com. In addition, Genesis earned five-star crash test ratings for both front and side by the National Highway Traffic Safety Administration (NHTSA).
The Genesis is sold in North America with technology and features comparable to the world’s leading premium sports sedans at a value Mercedes and BMW can’t match.

Lexus HS250h Smallest lexus

Lexus Stages World Debut of the 2010 HS 250h - the World’s First Dedicated Luxury Hybrid - at the North American International Auto Show in Detroit

Lexus today revealed the 2010 HS 250h, the world’s first dedicated luxury hybrid vehicle, at the North American International Auto Show. The HS 250h will be Lexus’ fourth hybrid and the most fuel-efficient vehicle in its lineup. It also will be the first Lexus to utilize carbon-neutral Ecological Plastic materials in a new futuristic cockpit and interior design. A welcomed addition to Lexus’ entry-luxury sedan lineup, the HS 250h fits nicely between the IS luxury sport sedan and the ES luxury sedan. Research has shown that more than 60 percent of entry-luxury car buyers would have considered a hybrid if available, and the HS will provide these consumers with a viable purchase option.Equipped with Lexus’ first four-cylinder gas engine, the 2.4-liter Atkinson-cycle powerplant is part of the latest Lexus Hybrid Drive System, which generates 187 total system horsepower. The highly efficient Atkinson-cycle engine, made possible by the Variable Valve Timing with intelligence (VVT-i) system, allows the expansion/power stroke to be longer than the compression stroke so that combustion energy can be more effectively used for production of engine power. The HS 250h sedan’s expected fuel efficiency will be more than 30-percent better than the most fuel-efficient model currently in the Lexus lineup, while earning a SULEV emissions rating utilizing regular 87-octane gasoline. Among the technologies adopted in the 2.4-liter four-cylinder engine are cooling piston oil jets; an optimized balance shaft rate for improved Noise, Vibration and Harshness (NVH) characteristics; and a hot-air venting system mounted behind the radiator.Like the all-new 2010 RX 450h hybrid utility vehicle that made its debut in November, the HS 250h will include a new system designed to improve efficiency. The exhaust heat recovery system reduces engine warm-up time, thus allowing it to stop earlier, more often, and for longer periods. A windshield with infrared-ray (IR) reduction properties, which helps keep the interior more cool, has been adopted in order to decrease the amount of air conditioning needed to lower the cabin temperature. In addition to the exhaust heat recovery system and the IR windshield, available power-saving LED headlamps also contribute to improved fuel efficiency and emissions.The all-new HS 250h sedan’s 0.27 drag coefficient (Cd) makes it among the most aerodynamic in its class. Airflow management over the exterior, below the under floor and through the air passages was extensively examined. A unique gull-wing-shaped roof-panel design reduces mass and overall vehicle height, thus reducing drag and improving fuel efficiency. The front spoiler, rear spoiler, rear under spoiler, and diffuser fins all reduce turbulence. Smooth A-pillar shape and the optimized angle and curvature of the bumper side panels also reduce wake turbulence, as does the increased taper of the fender side panels.

The under-floor covers have been optimally positioned for reduced drag, while airflow restriction in the engine compartment has been lowered by optimizing the air-duct profiles around the radiator.Aerodynamic design has also contributed to decreased wind noise. A smoother transition between windshield (complete with a sound-insulating inner layer) and roof line has improved air flow and reduced turbulence. As is appropriate for the first dedicated luxury hybrid vehicle, the HS 250h includes proactive adoption of plant-based, carbon-neutral “Ecological Plastics” or bio-plastics in specific interior areas. Ecological Plastic emits less carbon dioxide during a product’s lifecycle than plastic made solely from petroleum. Among the areas of utilization will be an industry-first use in luggage-trim upholstery. Other areas are the cowl-side trim, door scuff plate, tool box area, floor-finish plate, seat cushions, and the package tray behind the rear seats. Overall, approximately 30-percent of the interior and luggage area is covered with Ecological Plastic. Over the estimated lifecycle of the vehicle, the HS 250h will have approximately 20-percent fewer carbon-dioxide emissions as a result of utilizing the Ecological Plastic trim pieces. Like all Lexus hybrid models, significant time was spent in developing the HS 250h with optimized NVH characteristics. Dynamic dampers at each engine-mounting point reduce noise and vibration, resonators improve intake air noise, and optimized exhaust flow reduces exhaust sound. Special coatings dampen both engine and road noise, while improved seals around doors, hood and fenders reduce wind-noise penetration into the cabin. Vibration has been reduced by improving the shape and thickness of the suspension-mounting points. In addition, power-window speed controllers have been adopted from the LS luxury sedan, which insure a slower, soft closing rate.The HS 250h chassis design provides an outstanding ride and comfort with the decreased NVH required by a Lexus hybrid. The MacPherson strut front suspension is designed to achieve both straight-line and braking control, and a positive steering feel. A double-wishbone rear suspension provides excellent maneuverability, control and comfort with a low spring mount that contributes to better packaging and superior cargo space. Coil springs, anti-roll bars and shock-absorber rebound springs are utilized front and rear. The HS 250h will have uniquely designed standard 17- and optional 18-inch wheels.The rack-and-pinion steering system utilizes a brushless Electric Power Steering (EPS) motor on the steering column, which provides improved steering feel, a reduction in harsh feedback, and better emissions by not draining engine power like conventional hydraulic systems. The EPS is an integral part of an available lane keep assist system, a new driver assist that adds smooth steering torque to help the vehicle stay in the center of the lane. The amount of assisted torque is dependant on a lane-marker detection camera. It includes a lane departure warning feature that is designed to detect possible lane departure; it then gives the driver an audible warning and provides feedback via the steering wheel to encourage corrective action.The HS is slightly longer than the IS and is taller than both the IS and ES. It also has a greater couple distance (distance hip to hip between front and rear passengers) than any other vehicle in its class other than the ES. The contoured front-seat backs also add to increased rear-seat legroom.The HS features a unique advanced cockpit and an interior design that emphasizes innovation and craftsmanship. The uniquely stylish cabin has standard leather-trim seats, a moonroof, Lexus premium audio systems, and a new standard multi-media package. The media features include Bluetooth® technology, integrated satellite radio (subscription required), voice recognition, and USB iPod connectivity controlled via steering-wheel controls or a display screen. A high-contrast multi-information display, located in the instrument panel’s hybrid system indicator gauge, is controlled via steering-wheel-mounted controls, allowing the driver to easily control various functions and information. Another key element of the modern interior is Lexus’ new available Hard Disk Drive (HDD) Navigation System, which features a retractable navigation screen that is positioned well back and up front in the dash. The positioning helps improve visibility and reduce driver eye movement. Similar to the new RX, the HS system features the all-new “Remote Touch” controller that is both intuitive and ergonomic and allows for easy use of the Navigation System. The controller is positioned on the center console and is as natural to the driver’s hand as a computer mouse. It can also be customized to the desired level of haptic feedback. The Navigation System also includes a new casual-speech voice recognition feature. This allows drivers to give more flexible, conversational commands for easier access and control of the audio, climate and navigation functions. Also included are XM® NavTraffic® and NavWeatherTM, along with XM Sports and Stock information.Also helping to reduce driver eye movement is an optional Heads-up Display (HUD). The HUD uses high-intensity LEDs to make the display bright enough to be read even in direct sunlight.A class-leading 10 airbags will be standard on the all-new HS 250h as well as active front head rests, which help passengers in case of certain types of rear-end accidents. The HS also will feature Lexus’ Vehicle Stability Control (VSC) system and optional Pre-Collision System with Dynamic Radar Cruise Control. An available wide-view front monitor helps the driver to check hard-to-see areas. Using a camera mounted in the front grille, the monitor provides a 190-degree front view on the Navigation screen with the push of a button on the steering wheel. The HS 250h will also offer Lexus’ next generation telematics systems, Lexus Enform and Safety Connect. Safety Connect will provide automatic collision notification, stolen vehicle location, 24/7 emergency and roadside assistance. Lexus Enform’s Destination Assist features operators who will help drivers look up points of interest such as shopping centers or other business locations like Zagat-rated restaurants, and then wirelessly send directions directly to the vehicle’s navigation system.Lexus Enform’s eDestination service will allow customers to pull up multiple points of interest on any computer and send them directly to the car’s navigation system. This innovative new feature will allow drivers to send a total of 200 destinations at a time to their vehicles.The all-new 2010 HS 250h will reach dealerships nationwide in late summer.
2010 HS 250h PRELIMINARY SPECIFICATIONS
2010 HS 250h
Total Hybrid System Horsepower
187 hp
Engine
2.4-liter 4-cylinder
Transmission
Transmission ElectronicallyControlled Continuously Variable Transmission
Seating Capacity
5
Width (inches)
70.3
Height (inches)
59.3
Overall Length (inches)
184.8
Wheelbase (inches)
106.3
Driven Wheels
FWD
Wheels
17x7.0w/ P215/55R17or18x7.5w/ P225/45R18(Optional)
Emissions Rating
SULEV