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Corvette moves into new era of high performance

The fastest, most powerful and most expensive Chevrolet Corvette ever will roar to life at the North American International Auto Show in Detroit next month, according to the Detroit Free Press.
Boasting a 620-plus horsepower V8 and a price expected around $100,000, the 2009 Corvette ZR1 is the result of General Motors chairman Rick Wagoner's challenge to build the ultimate Corvette.

The ZR1 aims to match the performance of supercars like the 612-horsepower $273,845 Ferrari 599 GTB Fiorano F1 coupe, which accelerates to 62 m.p.h. in 3.7 seconds.

"Our goal with the ZR1 is to show that an American supercar can deliver performance that beats exotics that cost two, three or four times as much," Chevrolet general manager Ed Peper said.

Posted by Peter C. T. Elsworth  at 11:40 AM to GM | Permalink | Comments 0

GM will sell medium-duty truck business to Navistar

NEW YORK - General Motors will sell its profitable medium-duty truck unit to Navistar International, The Wall Street Journal Online reported on Wednesday.

An announcement is expected on Thursday, the Journal reported, citing people familiar with the agreement. The report did not include terms of the sale.

Navistar spokesman Roy Wiley said that while the truck and engine maker was "very excited" at the prospect of buying GM's medium-duty truck unit, he could not confirm that an announcement would be made on Thursday. Navistar is manufacturer and marketer of medium and heavy trucks and mid-range diesel engines

GM, which did not immediately return calls seeking comment, sells the medium-duty trucks under the nameplates Kodiak, TopKick and Isuzu T-Series. It made 59,000 medium-duty trucks in 2006, about 12 percent of the market.

Posted by Peter C. T. Elsworth  at 11:32 AM to GM | Permalink | Comments 0

EPA rejects states' greenhouse-gas limits on cars

The Bush administration Wednesday derailed an attempt by California and 12 other states to enact the nation's first greenhouse gas-limits on new vehicles, according to USA Today.

The efforts by states to regulate carbon-dioxide emissions that are considered a prime cause of climate change are not necessary in light of the energy bill just signed into law by President Bush, the administrator of the Environmental Protection Agency said.

Posted by Peter C. T. Elsworth  at 11:18 AM to Environment , Government regulations | Permalink | Comments 0

Energy bill to save 'billions'

President Bush signed into law Wednesday legislation that will bring more fuel-efficient vehicles into auto showrooms and require wider use of ethanol, calling it "a major step" toward energy independence and easing global warming, according to USA Today.

The wide-ranging energy bill, passed by the House on Tuesday and the Senate last week, also addresses energy standards for light bulbs and appliances.

"We make a major step ... toward reducing our dependence on oil, fighting global climate change, expanding the production of renewable fuels and giving future generations ... a nation that is stronger cleaner and more secure," Bush said at a ceremony at the Energy Department.

"If you drive a car or if you use a toaster or heat your home, this bill is going to save you money," says Brendan Bell, Washington representative of the Union of Concerned Scientists. The environmental lobbying group estimates the vehicle fuel economy changes will save consumers $22 billion a year starting in 2020. In the home, the energy efficiency provisions could save $400 billion in electricity and gas bills by 2030, the group says.

Posted by Peter C. T. Elsworth  at 11:15 AM to Fuel economy , Government regulations | Permalink | Comments 0

Backseat Driver: Hurd Auto Mall is acquiring Wigwam Saab

Hurd Auto Mall is acquiring Wigwam Saab of North Providence in a deal that closes Jan. 2, according to President Chris Hurd.

"We're very excited about it," he said in an interview. "(Wigwam) has very, very loyal clientele and (the acquisition) fits into our menu of offerings."

"I've always had my eye on Saab," he said. "They have a fantastic product and I have been approaching (Wigwam) for years."

Wigwam President Don Gregson confirmed the deal and said that not only Chris Hurd but his father, the late Judd Hurd, had talked about acquiring the franchise.

Gregson said Wigwam on Charles Street has been selling Saabs since July 1958 when his father ran the dealership. It had previously sold Indian Motorcycles "which explains the name Wigwam."

He said he and his brother Dean decided to sell to Hurd because they wanted to retire along with their sister Drusilla and had been offered a good price by Hurd, who declined to disclose terms of the deal.

"We are very fond of Saab, of our customers and our employees, but the autombile business is very taxing today, both physically and mentally," he said.

"We are happy to sell to Chris Hurd because we have never heard a bad word about him," he added.

Hurd said the Saab franchise would be incorporated into the existing buildings at the Hurd Auto Mall on Hartford Avenue, adding that he expects a number of Wigwam employees to come over to the mall.

He said General Motors was supportive of the deal, partly because it has owned Saab since 2000. Hurd is an exclusive GM dealer, with buildings devoted to Chevrolet, Hummer and Buick-Pontiac-GMC.

He also said he intends to buy a Saab from Wigwam. "I want to start driving one now," he said.

Posted by Peter C. T. Elsworth  at 2:26 PM to GM | Permalink | Comments 0

Limerock club signs up 100 members, to renovate track and facilities

Lakeville, CT – Skip Barber, President of Lime Rock Park, has announced the Club at Lime Rock Park has signed up 100 members and officially commenced operations, according to a news release.

At a member meeting and holiday party held this past weekend, Barber announced the 2008 schedule of 60 member track dates, with more than 40 dates scheduled for May, June, July, August, and September.

Barber also announced Lime Rock Park has hired a general contractor, Mohawk Construction out of New Britain, Conn., and expects to announce the selection of a paving contractor soon. Site preparation to upgrade the track will begin this winter.

“We are very pleased to have more than one hundred member commitments and ... to begin major renovations on our historic, fifty-year-old track," Barber said. "Earthwork will begin soon and we will complete many of the track upgrades by the end of 2008.”

Construction is being funded by revenue raised through the sale of Club memberships. When Barber unveiled The Club last summer, he stated that 300 memberships would be sold to raise funds for track and facility improvements.

Memberships to the The Club carry a one-time fee of $110,000 which includes applicable Connecticut Dues Tax of $10,000. The length of membership is fifty years, and can be passed down in the immediate family or resold through The Club.

Barber said a topographical survey of the track has been completed and preliminary engineering work is underway.

“We will not change the original footprint or character of the track, but I believe we can make it a little slower and safer, as well as wider and smoother.” After the paving company is selected, Barber will announce the paving schedule.

The improved Lime Rock Park will feature a member clubhouse, renovated press facility, exclusive members pit lane, renovated bathrooms, and new water/drainage systems.

For more information, visit www.limerockclub.com.

Posted by Peter C. T. Elsworth  at 10:47 AM to Racing | Permalink | Comments 0

CAFE Won’t End Automakers’ Troubles

President Bush's signature on the new energy legislation raising the Corporate Average Fuel Economy (CAFE) mileage standard won't end the industry's fuel-economy torment, according to thecarconnection.com
Tom Stephens,, the executive in charge of General Motors' powertrain group, said this week the real challenge for the auto industry is the new legislation calling for limits on greenhouse gas, which is pending in California and 20 other states.

The California greenhouse gas proposal amounts to a 43-mile per gallon fuel economy standard, one senior GM executive told TheCarConnection.com.

So far, the industry's efforts to block the California proposals in court have been frustrated. Only last week, the industry lost a key fight in a Fresno courtroom when a federal district judge ruled that California had the right to apply its own fuel-economy rules under federal law.

The continuing court battles and new rulings by the U.S. Environmental Protection Agency, giving states more latitude to limit emissions of carbon dioxide, will have a huge impact on the industry, Stephens said.

Posted by Peter C. T. Elsworth  at 10:30 AM to Fuel economy , Government regulations | Permalink | Comments 0

GM raises prices 1.5%, will offer buyouts to 5,200 workers

DETROIT — General Motors said Tuesday it is raising prices on its 2008 model year vehicles an average of 1.5% to help cover increasing steel and commodity costs, according to the Associated Press.

The increases are effective with vehicles invoiced to dealers starting Wednesday and will not affect vehicles already in dealer inventory, the automaker said.

The price of most cars and trucks will increase by $100 to $500, but the prices of certain vehicles in more competitive segments will not increase at all, said Mark LaNeve, GM North America vice president for vehicle sales, service and marketing.

GM's U.S. sales dropped 11% in November from one year earlier, hurt by falling demand for trucks as well as cuts in sales to low-profit rental car fleets. GM's sales were down 6% for the first 11 months of the year.

Separately, GM said it will offer buyouts and retirement incentives to 5,200 hourly workers represented by the United Auto Workers.

GM would not reveal how many workers it expects to leave under the program, but said 5,200 are eligible.

Posted by Peter C. T. Elsworth  at 10:29 AM to GM | Permalink | Comments 0

EU Proposes CO2 Emission Cuts for Cars

BRUSSELS, Belgium -- Carmakers would be required to cut carbon dioxide emissions in new cars sold in Europe starting in 2012, a move that could add almost $1,900 to the price of automobiles, under rules proposed Wednesday by the European Commission, according to the Associated Press.

The plan, which needs the backing of European Union governments, would put a heavier burden on producers of larger and heavier cars to meet new binding emission limits and would fine all carmakers that sell vehicles in the 27-nation bloc if they exceed the target, EU Environment Commissioner Stavros Dimas said.

"Passenger cars account for about 12 percent of overall EU carbon dioxide emissions and emissions from transport are continually increasing," Dimas said. "The aim of the legislation is to reduce CO2 emissions from cars in order to help fight climate change."

Automakers, many of which tried to water down the plan, would be forced to reduce average emissions of CO2 from new passenger cars sold in the EU from around 160 grams per kilometer to an average 130 grams per kilometer in 2012.

Posted by Peter C. T. Elsworth  at 9:42 AM to Environment , Government regulations | Permalink | Comments 0

Ford May Pick India's Tata as Preferred Bidder for Jaguar

Ford may choose India's Tata Motors Ltd. as the preferred bidder for its U.K.-based Jaguar and Land Rover brands, a person familiar with the deliberations said, according to Bloomberg.

The selection would allow Ford to negotiate exclusively with Tata before reaching a final agreement. Mahindra & Mahindra Ltd., another India-based manufacturer, and JPMorgan Chase & Co.'s One Equity Partners LLC buyout unit have also been candidates, people familiar with the bidding said in September.

Ford wants to sell the units to focus on its money-losing North American operations. John Gardiner, a U.K.-based Ford spokesman, said no decisions have been made and the automaker expects to announce an agreement early next year.

Posted by Peter C. T. Elsworth  at 2:33 PM to Ford | Permalink | Comments 0

GM to offer new round of buyouts to hourly workers

DETROIT - General Motors Corp (GM.N: Quote, Profile, Research) said on Tuesday it has reached an agreement with the United Auto Workers union to offer a new round of buyouts to its U.S. hourly workers, according to Reuters.

GM said the buyouts will include a combination of early retirement incentives and other programs similar to the ones offered in 2006.

Specific program details will be rolled out to employees beginning in January, the automaker said.

Posted by Peter C. T. Elsworth  at 2:27 PM to GM | Permalink | Comments 0

Ford lifts freeze on merit raises for salaried employees

DEARBORN, Mich. — Ford has lifted a freeze on merit raises for salaried employees as the automaker continues to work on its turnaround, according to the Associated Press.

The average white-collar worker will get a 2.7% pay increase in April, The Detroit News reported Saturday. Ford says the increases will be contingent on business conditions, and based on employee performance.

"Our intention to pay them next year is a sign of the progress the company is making," Ford spokeswoman Marcey Evans said. "While we haven't completely turned the corner yet in our turnaround efforts, the progress we have made puts us in a position where it is financially feasible to pay them again."

Ford last gave out merit increases in 2006.

Posted by Peter C. T. Elsworth  at 2:21 PM to Ford | Permalink | Comments 0

Higher Auto Mileage Standards Coming

WASHINGTON -- Congress by a wide margin approved the first increase in automobile fuel economy in 32 years Tuesday, and President Bush has signaled he will accept the mandates on the auto industry, according to the Associated Press.

The energy bill, boosting mileage by 40 percent to 35 miles per gallon, passed the House 314-100 and now goes to the White House, following the Senate's approved last week.

Posted by Peter C. T. Elsworth  at 1:50 PM to Fuel economy , Government regulations | Permalink | Comments 0

Frugal, Before Americans Cared

AMONG automaker start-ups, the efforts of Powel Crosley Jr. followed a path taken many times by idealistic industrialists: creating a car for the masses, without much regard for whether the masses wanted one or not, according to the New York Times.

That single-mindedness, together with the practice of naming the car for its originator, often proved a one-way ticket to fiscal and automotive oblivion.

Posted by Peter C. T. Elsworth  at 9:55 AM to Collecting | Permalink | Comments 0

Books: Glory of Cars, Even Parking

A book can make an appreciated and lasting gift. Here are some possiblities, all related to automobiles in some way but most of them of interest to the general reader, not just to car buffs, according to the New York Times.

Posted by Peter C. T. Elsworth  at 9:47 AM to Fun | Permalink | Comments 0

The value of communications: Chrysler's moves are signs of trouble

The new bosses at Chrysler LLC have made many good decisions so far -- hiring Toyota executive Jim Press, signing a cost-cutting labor deal with the UAW and moving to trim slow-selling models.

It's got a chance to make another wise choice now, but the early signs are not good, according to Detroit Free Press columnist Mark Phelan.

Posted by Peter C. T. Elsworth  at 9:38 AM to Chrysler , commentary | Permalink | Comments 0

US Economy Drives Oil Prices Down

VIENNA, Austria -- Oil prices fell Monday as concerns about the U.S. economy overrode expectations of increased fuel demand from a winter storm pummeling the United States with snow, sleet and freezing rain, according to the Associated Press.
Prices initially opened higher, in response to the wintry conditions. But by midday in Europe, light sweet crude for January delivery had shed 48 cents to $90.79 a barrel in electronic trading on the New York Mercantile Exchange.

Posted by Peter C. T. Elsworth  at 9:35 AM to Crude oil market | Permalink | Comments 0