Growing number of Americans, who go carless

Cyclists ride along market street earlier this month in San Francisco, where the number of cyclists has 71 percent between 2006 and 2011. This seems to be a nationwide trend as almost 10 percent of American households are carless.

Whether by choice or financial need, the number of American households without a car, doubled in the last two decades - and now approaching 10 percent.

The effects of this could be significant, especially when it comes, alternative forms of transportation like car-sharing and mass transit, according to a survey by CNW marketing.

"While the recession in large part was responsible for the latest growth spurt, the trend was already clear," says CNWs research boss art Spinella. "A growing number of Americans felt they do not need or want an own car."

CNW reportedly amounted to a modest 5.7 percent in 1991 the number of US households without a car. That figure has remained relatively stable until the early of 2000s. However, in early 2007 have been slowly increasing since then with a "rapid rise". The total number of carless households affected in the past year 9.3 percent.

The new study is in line with a separate study last week published by the U.S. public research interest group, or PIRG, which explains that "The driving boom is over." Noted that a decline in the average household fleet, for one thing, and found that the wait thousand years motorists longer until a driver's license than previous generations both clock of less miles are on the move.

But, CNWs research revealed that it is restricted to no phenomenon on Millennials. The trend of Spinella says, is especially noticeable in the "youngest and oldest Americans."

Where it resurgence urbanization among US adolescents, he points out, moved to a growing number of older people, age settlement age apartment where is own car not more requirement for services, for example always. This is a particularly remarkable transformation for older baby boomers, a generation, America's defined car culture "on the road".

Without a sudden reversal, the trend line suggests that the number of carless households could reach 10 percent this year or shortly thereafter. The question is whether the trend continues indefinitely. The recession was one factor that mean economic recovery could add wheels some carless households to force. But various studies suggest that there are other factors at work, and that there was never a return to the free-wheeling 1990s.

The effect is noticeable in various ways.

While the new U.S. auto market recovers after the worst downturn since the great depression, few demand expected during the last recovery to reach more than 17 million peak.

As well as increasing the number of carless households, CNW predictions the automotive industry may be forced to more vehicles in fleets, move, whether commercial, Government, or the fast-growing list of CarSharing service.

"While full implications of this trend are still away, we includes the formation of a future that, increased use of public transportation and decreasing status have a new vehicle more CarSharing-years can see", says Spinella. "Again, this is still years away perhaps – a decade - but the shift is clearly foot cover."

Copyright © 2009-2013, the Detroit Bureau

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GM stock at the highest point in more than two years

Paul A. Eisenstein Detroit Bureau may 20, 2013 at 10:45 ET
A survey of 15 analysts conducted by the NASDAQ 10 GM shares found a "strong buy" recommendation of placing on the market, two exhibition "buy" recommendations and the other valuation of the shares "Hold." No one was on the side of "Sales".

Maybe it's just the flood, lifting all boats, but General Motors stock has close its highest hit in more than two years - beat the $33 a share price tag set during the initial public offering in November 2010.

The resurgence comes as the entire stock market fees by a record to another, but also that that impressed investors by the power of the giant manufacturer are $865 million in the result for the first quarter of 2013 announced earlier this month.

Although it now three consecutive quarterly profits brought, GM still in the "early innings" of economic recovery ", said CEO Dan Akerson over the weekend in South Bend, Indiana, where he gave the commencement speech for Notre Dame business school graduates. GM said "on the threshold", the Executive Branch, the recovery of its investment grade debt rating back. Akerson also suggested, in his speech, that the manufacturer the S & P 500 will join "before too long."

GM has been removed from this stock index as it fell into bankruptcy in 2009.

A survey of 15 analysts conducted by the NASDAQ 10 GM shares found a "strong buy" recommendation of placing on the market, two exhibition "buy" recommendations and the other valuation of the shares "Hold." No one was on the side of "Sales".

GM stock has an almost 80% increase already it posted, since in July at only $18,85 per share Valley. The manufacturer had launched its IPO in November 2010 at $33 per share in life.

"It was a wild ride for GM investors," said Christian Mayes, automotive analyst at Edward Jones, the Detroit News Friday.

"What a comparison. It is day and night, "echoed Joe Phillippi, a longtime Wall Street auto analyst who now runs his own consulting firm, AutoTrends. But main source River is more cautious when it comes to, predictions, how high was the GM could rise. "I am not still not completely convinced."

The manufacturer has a number of challenges main points out, especially in Europe, where it has lost money 13 years in a row and most recently put in plans; place the latest in a series of turnaround European losses net led to a slight decline in the earnings in the first quarter compared to a $1 billion a year earlier.

"they have a long way to go to meat from the product line," he added that pointed out that the most GM get profits from the light truck side of the business.

While the Chevrolet Malibu far more poorly than GM expected has performed after its launch last year, have other new cars faring better were including the new Cadillac ATS. And the manufacturer has in the great and all seen a great improvement in his performance in a wide variety of quality and customer satisfaction surveys. It scored victories in six segments of the overall index of the quality of strategic vision released last week. That was twice as many as Japanese giant Toyota.

Since the beginning of this year alone, GM has increased some 14% of value, which comes as good news for consumers. The US Treasury has quickly sold out of stock there in Exchange for its 2009 bailout of the automaker. And every penny increase add up quickly.

After selling off significant tranches of GM shares earlier this year, Government 16% to the manufacturer, with plans to stop completely until April 2014. The current upturn in the value could accelerate.

But there is little doubt who will ultimately remain taxpayers with billions of bailout losses. To break even, the remaining 241,7 million shares for $78 per share would have to go. Even the most optimistic analysts expect you to come not GM close to that level any time soon.

Copyright © 2009-2013, the Detroit Bureau

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Detroit roar back after years of quality problems

Paul A. Eisenstein Detroit Bureau may 20, 2013 at 11:59 AM ET
Detroit automakers such as Chrysler are improved and reviews-enjoy a character, the engine can catch up the city with imports.

Engine get its Mojo back city?

Domestic automakers increase sales, market share and profits back to gain new-found focus on customer service, the skeptics--show to lose problems of many years of loyal customers frustrated by quality and reliability.

Despite the improvement, it takes a while for the industry to repair its tarnished image.

"I would like something out of Detroit, buy", Isaac Davis, a salesman from the motor city suburb of Southfield, complains "but I just do not think that the quality there is."

Davis is certainly not alone in their criticism of Detroit's big three. In fact admits even Mark Reuss, President of North American operations of GM, that the manufacturer long has produced "crappy cars."

But it still? Not if you look at the most recent data. Domestic brands have been as quality index published by California market research company the oft-cited initial quality survey and the total climbing quickly in critical measurements of quality strategic visions. After the TQI Motown manufacturer led or tied for the lead in 12 of 21 individual vehicle classes.

While Volkswagen had the highest score of any manufacturer, GM had more segment winners, products like the mid-sized Chevrolet Volt plug-in and the Chevy traverse crossover. In fact of the domestic giant scored wins six in all - than the traditional quality leader Toyota in twice as many segments.

"There's no questioning domestic automakers do, want to", Alexander Edwards, President of strategic said vision. "For the first time in more than a decade our comprehensive and complete study led quality more national winners than imports."

The results of the total quality index seem no coincidence his. In one study after another have GM, Ford and Chrysler is gaining momentum.

Although the latest J.D. led power customer service index - and dimension like dealer lead Cadillac was close behind and the GMC brand of Lexus among the mass-market brands.

GM increase in such studies is particularly noteworthy, because it not only imports, but also the inner-city rival Ford for several years after. Ford has used lately for problems with the sync Infotainment system and a high efficiency transmission on some of its products some hits. However, has the second-largest of the domestic manufacturers built up a reputation for quality and customer service, according to analysts.

Even Chrysler, long the domestic laggard in terms of quality and reliability, has outright since emerge from bankruptcy in 2009. Chrysler has performed especially in relation to the so-called "things gone right" surveys that what excited consumers focus on, rather than what could otherwise be ignored as insignificant issues.

"In today's market, it is difficult, an inferior vehicle to find is," said George Peterson, President of AutoPacific, Inc., a market research firm based in California. "The quality of the vehicles of all manufacturers at the highest level in history and what depicts a car has risen or truck is owner satisfaction."

AutoPacific of the latest vehicle satisfaction Awards found the Cadillac Escalade the best rated model during Buick bound perennial head of Mercedes-Benz as the most satisfying brand. (GM had also more segment winners in this study, seven in all, than any other manufacturer.)

Industry officials note a strong correlation between brand loyalty, quality, reliability and customer satisfaction. Internal data memory for GM indicates that the retention rate — the number of the owner, which for another GM product trade - by 35 percent at the time of their own 2009 bankruptcy to 51 percent in the first quarter of 2013 rose.

Which is translated yet Toyota, 58 per cent, market leader still behind industry in tens of thousands of additional sales per month. Chrysler is the increase in the quality and customer satisfaction sales increases every month for the last three years exceeded attributed to the General recovery in the US market.

There are other methods for determining of Detroit recovery, in particular the decline in incentive costs - loyal buyers require less discounts them back into showrooms - and rising prices.

Ford, for example, saw its average transaction price - what customers actually spend for opportunities and incentives in - rose 3.6 percent to nearly $33,000 per vehicle by the end of the first quarter into account. This helped the manufacturer to ever generate the strongest results for the North American market, pre-tax income of $2.4 billion and operating margin of 11 percent.

While things for Detroit to improve three large, analysts warn that the makers can't afford to make mistakes. High mileage-EcoBoost engine could be for example a few lawsuits against Ford over alleged problems with his awkward, advised.

The biggest hurdle may potential buyers such as Davis, the seller, to convince Detroit another shot.

The challenge ", said strategic vision of President Edwards, will be" to communicate the positive characteristics of their products, import-oriented buyers in domestic showrooms to get back.

But, he notes, it's not easy to lure which is these millions of customers who have become faithful imports again.

Copyright © 2009-2013, the Detroit Bureau

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Electric car manufacturer Tesla $465 M federal loan pay off

Michael strong Detroit Bureau may 21, 2013 at 12:31 PM ET
A Tesla model S electric sedan in the vicinity of the company's factory in Fremont, California, in June this year file photo. Tesla says it is ready, billions of dollars of federal pay half loan.

Electric car maker Tesla Motors to shifted a good place: CEO Elon Musk intends the potential $1 billion of a new stock, $465 million in Department of energy offer of the manufacturer's pay off loan - and would help to pay that grow the California car manufacturer for other products.

Musk used tweets to signal its plans, has hinted that he will tomorrow officially announce the disbursement of loans. Tesla considerable interest costs such a movement that nine years earlier than planned, was next, get even as taxpayers, such as a $12 million profit. That would bring the Obama administration a rare success in highly controversial Department of energy-loan-program.

"Govt credit redemption this week given (prob MI), compressor update will be next week," musk tweeted.

Tesla U-turn recently, offer announcement of plans for a new stock, which originally was expected to generate about $800 million in cash. But when the Palo Alto-based company on a share stocks rose from around $34 more than $92 since March, Tesla plans to increase the size of the offer to 30 per cent, or more than $1 billion.

As for other projects, after paying off the Energy Department loans: A model X crossover, in 2014, the current model S sedan to accompany. Musk has long promised to introduce a smaller, less expensive vehicle that could substantially increase Tesla sales through targeted a more mainstream market. But musk has also suggested that other options that perhaps an electric pickup truck.

Tesla's upcoming has offer follows a series of successes for the company. The model S received recently one of the highest ratings ever by consumer reports magazine, 99 out of a possible 100 points.

That is expected to give more dynamics, to sales, which already provide helping Tesla's original expectations - the first exceeded a profit of quarter of - Tesla ever - from $11.2 million on revenues of $561,8 million.

Sales could grow significantly musk has pointed out, with the introduction of sales in Europe and Asia in the third quarter of this year - and then with the addition of the model x on the right track to debut in the last quarter of 2014.

Musk has made when you consider the General skepticism about battery power always rebuild no small thing, Twitter and other social networks drive announcement a variety of movements, which aimed, customer loyalty and trust.

Under the recent moves: A hybrid loan / lease program allows buyers, their Tesla vehicles for a guaranteed value return and a no-fault warranty program for the model S battery pack.

In spite of musk unchecked optimism there were skeptics, perhaps for good reason, given the problems the facing the nascent battery car market.

Two other California start-ups have collapsed in recent weeks. CODA filed for Chapter 11 protection and senior company officials suggested during the Congressional hearings can tighten this spring, Fisker Automotive. Despite drawing $192 million below a larger loan from the Department of energy, has sold only around 2,500 Karma plug-in Fisker hybrid. The company has no money left, hoped to stop more mainstream model, development of the second, his record would buoy.

Fisker of impending breakdown-it has already three quarters of employees entlassen-- spotlight on Energy Department compiled program loans, the high-mileage vehicles should contribute to the promotion of low-emission,. There are several other known bugs, including the bankruptcy of lithium-ion battery supplier A123. But the White House is likely to have on Tesla's early payback as a counterpoint, a much-needed success story added.

Paul A. Eisenstein contributed to this report.

Copyright © 2009-2013, the Detroit Bureau

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Mercedes S-class wows 3D cameras with night vision

Paul A. Eisenstein Detroit Bureau 19 may 2013 at 11:22 AM ET
The Detroit Bureau of MercedesThe Mercedes S-class to start in 2014 is packed with blow-your-mind information: LED lights, a perfumer, radar, 3D cameras.

There was a time when luxury cars were by their sheer size and dimensions, their power, performance defined and, of course, exclusive details such as leather seats and wood trim.

These factors distinguish the 2014 Mercedes-Benz S-class, but there is more to the newly defined German flagship, which correspond to the change in the nature of the automotive industry. Of its LED lamps, the 3D cameras, radar and night vision systems, with which the new sedan practically, is to drive the new S-class a technical tour de force, make up the likely competitors race will have.

The long-awaited remake of the classic full-size luxury sedan was an Airbus plant in Hamburg, Germany – no wonder, because parent Mercedes-Benz holds also a French airline manufacturer on the staged. But the place was decided to clearly underline the technical complexity of the new S-class.

Mercedes officials noted that it waive the first automobile with conventional light bulbs will choose lighting in between instead for more modern LED technology for everything from the head and taillights and the small reading lights and mood indicators. All in all there are 300 LEDs inside only 56 in each headlight and another 25 in each taillight. Oh, and you can choose from seven different colours for the interior lighting with dimmer in five stages and four different lighting zones.

The mammoth, 104-page press release about the details of the new car is overwhelming. The section on sensors runs longer than the most new car announcements.

It is the latest version of Mercedes Distronic technology, with cameras and radar to monitor the vehicle's surroundings. It allows the new S-class with the traffic keep up, come to a halt in a tie-up and then start the rollers again. It releases the brakes if a collision appears likely and turns even the flasher, if it occurs.

The latest lane departure warning systems will even check when a sleepy driver begins to drive in an adjacent alley.

Behind the close to desktop size displays on the Tesla model S will have the new Mercedes S-class--some of the largest video screen always two of them filled in the instrument panel, 12.3 inches. The primary, reconfigurable display handles traditional tasks such as speed and engine of RPMs, monitors while the right panel Mercedes latest Infotainment technology.

As the manufacturer, during a session, that halfway around the world to the annual Google i/o Developer Conference reveals there are more apps. Developed in the middle of the urban action through even a so-called "heat map" system to a motorist Mercedes, the visualization of the areas with high concentrations of nightclubs, restaurants and shopping malls.

Oh, Yes: Even an automatic perfume atomizer option removed the Maybach brand, which abandoned last year.

Among the many firsts, the Mercedes for the 2014 S-class is claimed, the large sedan will introduce the magic body control system. Instead of waiting until the sensors detect a bump or a pothole, it use the stereo camera system looking for uneven road surface and automatic adjustment of the standard issue air suspension.

As always, Mercedes plans to offer the car different versions of the new S-class, including diesel and gasoline mechanics and a plug-in hybrid due a year after its launch.

S550, could leave planned for the U.S. market, potential buyers, the is wondering why she would need something else. The Twin-Turbo 4, 5.7 liter V8 will start more than the direct competitors from BMW, Audi or Lexus - and enough, an impressive 455 HP and 516 pound-feet of torque - to the great Germanic sedan from 0 to 60 in just 4.8 seconds to pump out. This is almost a full second faster than the outgoing model.

Mercedes is not EPA mileage reviews but notes still discussing who should do it better than the outgoing S-class. This is partly due to lightweighting and extensive improvements in the areas of aerodynamics - and Mercedes says that wind drag a wee is now slightly better than a Toyota Prius.

Expect a significant share of the S600 Pullman model, a stretch version, after China, which sent world's fastest-growing luxury market, where the rich would rather be chauffeured.

The Pullman model layouts, similar to the old Maybach S63, including a business-jet style two people configuration, which will introduce a new hot-stone-style massage function have two rear-seat.

The new model looks could some controversy, in particular produce much larger grille and the distinctive LED lamps.

Don't expect see final prices until closer to the 2014 Mercedes-Benz S-class launch in the autumn of this year, but expect $100,000, a moderate increase over the current $93,000 about-base.

Slipping into the luxury market has found the Stuttgart-based car manufacturer itself in recent years and is now in an unknown third place behind BMW and Audi. The relatively exclusive nature of the S-class Mercedes lead - at least not directly it means - to win back does not help, but when click the new design and features, puts the manufacturer, that it also brings much less affluent buyers for C, E, and other models that could give a needed boost brand.

Copyright © 2009-2013, the Detroit Bureau

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Subaru only small SUV ranked 'good' on crash test

Paul A. Eisenstein The Detroit Bureau May 16, 2013 at 12:26 PM ET

It may look bad, but the 2014 Subaru Forester was the only CUV to earn a "good" crash test rating by IIHS.
Five popular crossover-utility vehicles failed the new overlap crash test designed to simulate an impact with a pole or other narrow object -- one of the most common sources of highway fatalities.

Only the 2014 Subaru Forester passed the test, earning a “good” rating from the trade group the Insurance Institute for Highway Safety. The 2013 Mitsubishi Outlander Sport landed an “acceptable” rating.

Among the vehicles to fail the test, earning a “poor rating,” were the recently updated Ford Escape, the Jeep Patriot, the Buick Encore, the Kia Sportage and the Hyundai Tucson. The Jeep Wrangler, Nissan Rogue, Mazda CX-5, Volkswagen Tiguan and Honda CR-V were among those compact crossovers to earn a “marginal” rating.

IIHS conducts crash tests on most models available on the U.S. market. Most of the tests are also conducted by the National Highway Traffic Safety Administration – but the trade group recently added the small overlap crash test in an effort to replicate some of the more common real-world crashes.

The test is similar to what happens when a thin corner of a vehicle slams into a tree or utility pole. In the test, 25 percent of a vehicle's front end on the driver’s side strikes a 5-foot-tall rigid barrier at 40 mph.

“Most vehicles today are designed to do well in the government's full-width front crash test and in the Institute's moderate overlap front test, but that is no guarantee of good performance in a small overlap crash,” noted a report from the trade group. “In a 2009 IIHS study of vehicles with good ratings for frontal crash protection, small overlap crashes accounted for nearly a quarter of the frontal crashes involving serious or fatal injury to front seat occupants.”

Manufacturers have complained about the difficulty of passing the new test and have started to design products to address the challenges it creates.

That appears to have been a key goal for Subaru, said Joe Nolan, the IIHS vice president overseeing vehicle research: “And they succeeded.”

"This is exactly how we hoped manufacturers would respond to improve protection for people in these kinds of serious frontal crashes,” Nolan said.

The 2014 Forester and the 2013 Outlander are the only two CUVs among the 13 to earn a “Top Safety Pick+” rating from the IIHS.

The Institute had less kind words for the Jeep Patriot, dubbing it “the worst for restraints and kinematics.” The test dummy bounced around within the small crossover and the side curtain airbag didn’t even deploy during the test.

Meanwhile, the IIHS noted that “the front pillar of the Nissan Rogue's door frame was pushed far inside the occupant compartment and after the crash was almost touching the driver seat.”

Copyright © 2009-2013, The Detroit Bureau

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Used Fisker Karma EVs are the 'new Delorean' as prices tumble

Reporters gather around a Fisker Karma during the Los Angeles Auto show on November 29, 2012 in Los Angeles, California.
As used car deals go, this is one to make you think twice. Used Fisker Karmas, which sold for $103,000 just a year ago as new models, are now being sold for roughly half price. In some cases, those trying to sell the luxury extended-range electric car on eBay cannot even get bids above $50,000.

Just ask Bill Michlin, a dealer with the Fields Auto Group in the Chicago suburb of Glencoe. He just wrapped up an eBay auction for a 2012 EcoChic version of the Karma with a top bid of $45,100. "I had 2,000 look at that car on eBay," he said. "We didn't sell it because it didn't meet the minimum reserve bid, but it will eventually."

Used Fiskers selling for 50 cents on the dollar is the latest example of how far the electric car company has fallen over the last four years. A company once touted as an example of how start-up automakers were changing the auto industry now owes the federal government $192 million and is no longer building new models.

The New DeLorean?
Thirty years after the DeLorean came to symbolize a futuristic car that failed to take off in huge numbers, the Fisker Karma is now viewed in a similar light. Approximately 2,500 Karmas were built in 2011 and 2012. But the Karma never became more than a niche luxury model. The electric car was rated by the EPA to get the equivalent of 52 mpg and was panned by Consumer Reports after the Karma model it was testing actually broke down.

Despite numerous problems, and the fact that used Karmas are sold without any warranty, some people still want this car. "Anybody who wanted this car before because it was knock-down gorgeous, but couldn't afford it, well now they can afford it," said Michlin. In fact, this weekend, Michlin sold a different Karma at his dealership for $59,700.

"The car is a pleasure to drive, it has horsepower beyond belief for an electric vehicle and it's so fun and so gorgeous. And now it's available," he said.

Equity Investors Selling Karmas
So who owned Karmas before they eventually wound up on eBay and in the back of dealerships where used cars are often held? In some cases, they were owned by early investors in Fisker: wealthy individuals who not only put millions of dollars to help get the company off the ground, but also bought some of the first Karma models.

Michlin says he bought used Karma models from early supporters of Fisker who no longer wanted the electric car because it symbolized a big bet that went bad. "It did cost them a hell of a lot of money," he said.

And when those people sold their Karmas for half of what they initially spent to buy it new just a year ago, were they upset? "I think they are upset initially when they find out what the market is," said Michlin. "They know why it is and where it is, but they didn't realize it would be so low for the car."

Limited Used Karma Market?
It's unclear how much longer the used Fisker market will offer so many cars. Like the DeLorean, the Fisker will always have a unique appeal. From a style perspective, the Karma is a hit. The issue is the technology and whether these cars will hold up over time.

Then there's the question of whether Fisker Automotive will survive. After laying off a sizable portion of its staff in April, the company will need a major capital infusion if it's going to survive. How does it feel seeing used Karmas selling for half of what they sold for a year ago?

We reached out to the crisis management firm that now represents Fisker Automotive to see if the automaker or its executives had a comment, but so far we've had no official response.

Meanwhile, Michlin is looking out for that next used Karma he can turn around and sell. "It is the most drop-dead gorgeous car that there is and people want that car because of the looks you get with it," he said. "There is no other car like it."

© 2013 CNBC LLC. All Rights Reserved

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As auto sales rebound, so do repossessions

In this Thursday, April 25, 2013, photo, GMC trucks are lined up on the lot of Capitol City Buick Pontiac GMC in Montpelier, Vt.
An increase in auto repossessions due to borrowers defaulting on their car loans is raising new questions about whether the auto industry is going too far selling new cars and trucks to those with subprime credit records.

According to Experian Automotive, the percentage of auto repos in the first quarter jumped 16.9 percent, and the average charge-off for bad loans jumped more than $600 to $7,401.

Combined the two figures suggest dealers and lenders are selling cars to those who are not a good credit risk, but not everyone sees it that way.

"I don't think there is need to be concerned with the industry right now. We are seeing slight increases in delinquency. However, they are still at historic lows," said Melinda Zabritski with Experian Automotive. "Despite a slight increase in delinquency, the charge-offs when they do occur are lower today than they have been in years."

Repos below recession levels
Four years ago, at the depths of the recession, the repo man was busy.There were plenty of reports of auto repo facilities packed with recently bought cars and sport utility vehicles the owners stopped paying for.

Visit most repo yards today and it's a far different story. Overall, the repo rate for all auto loans is still one half of 1 percent.

Dealers are noticing a difference in the people coming into showrooms.

"People are not upside down like they used to be. Unemployment of course is getting better, especially here in the Midwest after being stagnant for a while," said Scott Adams, who owns Toyota, Chrysler, Dodge and Jeep dealerships outside of Kansas City.

"So you don't see the upside down, awful credit that you used to. These people can buy a car and they are trying to buy something that they really need."

Adams said he's also seeing fewer people stretching too far or trying to trade up to be something that will be tough to afford. Instead, SUV buyers are increasingly opting for lower cost crossover utility vehicles.

Subprime credit continuing to grow
Meanwhile, lenders believe the subprime auto market will continue to grow for two reasons.

First, as the economy expands and more people get jobs, those with riskier credit records move into new jobs that give them the means to buy a car or truck. Second, auto lenders are feeling more comfortable writing loans for those with lower credit scores. After all, the paper is backed by a car and the charge-off for bad loans is below the five-year average. In the second quarter of 2010, the average charge-off for a busted loan topped $11,000.

(Read More: The 'New DeLorean'—At Half Price)

"About 50 percent or so of people who are buying cars are subprime, a small percentage of those will go delinquent, but this is still a very strong market." said Zabritski.


"Used vehicle values are very strong, so when some of those used vehicles do end up being repossessed the losses are not as significant with today's strong market as they would have been several years ago."

© 2013 CNBC LLC. All Rights Reserved

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Electric car maker Tesla defies skeptics

The Tesla Model S received 99 out of 100 points from Consumer Reports.
Bet against Tesla founder Elon Musk at your own peril. Just ask the short-sellers who predicted his Tesla Motors would be the next electric carmaker to short-circuit.

Quite the opposite has happened. The California electric vehicle manufacturer reported this past week its first-ever profit of $11.2 million as sales of its Model S sedan outpaced even its own optimistic expectations. Tesla is promising even better numbers for the rest of the coming year as it ramps up production at its assembly plant near San Francisco and opens up new markets in Europe and Asia.

That’s sent Wall Street into a frenzy: Tesla shares surged 24 percent in the hours after the maker’s first-quarter earnings announcement – and doubling since hitting a low point late last winter. That’s bad news for the short-sellers who hold more than 40 percent of the battery-carmaker’s shares and who had been anticipating more bad news after Tesla’s unexpectedly steep loss during the fourth quarter of 2012.

Skeptics certainly have had reason to predict the worst, at least if they were watching the rest of the nascent electric vehicle market where, with rare exception, things have come unplugged.

The much-ballyhooed Fisker Automotive recently laid off three-quarters of its workforce and, during a hearing on Capitol Hill last month, company officials signaled bankruptcy may be in the offing. Battery-carmaker Coda recently filed for Chapter 11. Even the much-touted Chevrolet Volt has been losing momentum. Battery-car suppliers may be in even worse shape: Battery maker A123 was purchased by a Chinese maker after its own financial collapse.

There are a few bits of good news, such as the recent upturn in demand for the Nissan Leaf after the Japanese maker cut the price of the battery-electric vehicle and began production at a new plant in Tennessee. But for the moment, Tesla seems to be the battery-car market’s only real success story.

The Silicon Valley firm managed to claw its way into the black after a decade of losses, even though it had to cough up $13 million towards the $465 million federal loan it received as part of a controversial Department of Energy program to fund clean, alternative propulsion technology.

Things hadn’t looked nearly so good going into the New Year. The launch of the Model S went more slowly than expected at the old Toyota plant near San Francisco Tesla had purchased. But suggesting “our manufacturing processes stabilized,” Musk told shareholders that production is now running faster than expected, even as the number of man hours per vehicle has dropped by 40 percent. The maker sold about 10 percent more of the battery sedans than it expected during the first quarter – at a price well above its initial projections. In fact, Tesla has now dropped the base version of the Model S, focusing on longer-range – and significantly higher-priced -- versions.

For the full year, Tesla expects to produce about 21,000 sedans. Compared to most manufacturers, that number would barely show up on the sales charts, but it’s significant for the electric vehicle industry. And it could create even more woes for short-sellers and skeptics.

For all his bravado, Musk recognizes it won’t be easy to keep the moment going. As the front man for Tesla, he has taken a number of steps meant to “address some of the issues people have about electric cars” in recent weeks, including a new no-fault battery warranty that will cover any failure short of an owner intentionally destroying the lithium-ion pack. A new finance program allows buyers to trade the vehicle back in for a guaranteed price after three years. They can alternately trade up for a more expensive version of the sedan.

“I want to give people peace of mind,” explains Musk, who made his fortune with online payment system PayPal and who now runs the SpaceX commercial space delivery program.

Perhaps the biggest endorsement has come from the widely respected and closely followed Consumer Reports magazine, which this week gave the Model S a score of 99 on a 100-point scale, something no other vehicle has achieved in six years.

“The Tesla Model S is packed with technological innovation,” wrote Jake Fisher, director of Automotive Testing for the magazine. “It accelerates, handles and brakes like a sports car, it has the ride and quietness of a luxury car and is far more energy efficient than the best hybrid cars.”

That’s a big turnaround from the critical New York Times review the Model S earlier this year, a write-up that triggered an angry war of words.

Considering all the problems facing the battery-car market, the short-sellers likely aren’t about to give Tesla an easy pass. The maker is going to have to continue delivering in the quarters ahead. But if it does, that could be good news for its competitors, as well, a signal that there really is a place for the battery car in the U.S. market.

Copyright © 2009-2013, The Detroit Bureau

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Chrysler recalls 469,000 SUVs over gearshift problem

2010 Jeep Grand Cherokees sit at a Chrysler Jeep dealership in Centennial, Colo. in 2010. Chrysler announced a recall of nearly half a million SUVs for faulty gearshifts.
Chrysler is recalling about 469,000 SUVs worldwide to update software after some vehicles' circuit boards were found to be transmitting signals that trigger inadvertent gear shifts to neutral, the No. 3 U.S. automaker said Saturday.

Included are 2006- to 2010-model-year Jeep Commanders and 2005 to 2010 Jeep Grand Cherokees, of which about 295,000 are in the United States, 28,500 are in Canada and 4,200 are in Mexico. The remaining 141,000 are outside of North America.

Chrysler was aware of 26 accidents and 2 injuries related to the gearshift problem but no fatalities, a company spokesman said.

It was Chrysler's largest recall since more than 900,000 Jeep Grand Cherokee and Liberty SUVs were recalled worldwide in November to fix a part that could cause airbags to deploy inadvertently.

Chrysler, an affiliate of Italy's Fiat SpA, also said it is recalling 532 2013-model-year Ram 1500 pickup trucks in the United States and Canada, a third of which remain in dealer inventories, to inspect and possibly replace windshield defrosting and defogging components.

Additionally, the company said it is recalling about 5,330 right-hand-drive 2008 to 2012 Jeep Wranglers to install dust shields to prevent dust buildup that could compromise airbag operation. All of the vehicles, used mostly for rural mail delivery, are in the United States.

Chrysler said it was unaware of any accidents or injuries linked to the Ram and Wrangler recall issues.

The company said it will directly contact affected customers and make the repairs for free.

Chrysler, which emerged from a government-sponsored bankruptcy four years ago, last month reported a steep drop in quarterly profits due to an aggressive new-vehicle launch schedule, but said it was on track to meet its business targets, expecting a strong second half of 2013.

Sergio Marchionne, CEO of Chrysler and its Italian parent Fiat, which currently owns a 58.5 percent share of the U.S. automaker, said there was a 50-50 chance that Fiat's buyout of Chrysler would be finalized by June 2014.

Copyright 2013 Thomson Reuters.

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US safety watchdog probes Chevy Corvette headlight problem

U.S. auto safety regulators are investigating complaints that the low-beam headlights can go dark without warning on some Chevrolet Corvettes.

The probe by the National Highway Traffic Safety Administration covers more than 103,000 Corvettes from the 2005 through 2007 model years.

The agency says it has gotten 30 complaints from owners about low-beam headlight failure. No crashes or injuries have been reported. But in one case a driver ran over a discarded tire while trying to pull off the road.

The high-beam headlights and fog lights keep working even if the low beams fail. But the agency says driving with the high beams all the time can harm vision of oncoming drivers.

Investigators will check into how often the problem happens and decide if a recall is needed.

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Ralph Lauren splurge with $700 K supercar

Ralph Lauren reputation cars is not only a high-end Porsche. It is rebuilt from the ground up.

What to buy for the car collector who has everything?

Apparently a call CTR 3.

Ralph was familiar with the deal CTR 3 Lauren, the fashion mogul and classic car collector, before recently a reputation, after people. Lauren was the car Parazzi, taking it for a spin in the Hamptons recently torn.

A spokesman for Lauren declined comment.

For the super rich car collectors heard the call of this cult brand with a storied past and a reputation for high performance. Germany-based reputation is automobile 50 years Porsche changed, pimping them out with a turbo charged flat six-cylinder engine and bulking the frames with his own wings, fenders and vents.

The CTR-3 has a low price of $680,000 but most of top $700,000 with customer-specific information. This is not just a souped-up Porsche; the CTR 3 builds from scratch more. Only the front end and engine part is from a Porsche 911.

His swooping body with long, is made from carbon fiber tail Le Mans-style. The car has a 777-Horsepower engine and can according to the company "go faster than anyone can drive."

REPUTATION has sold three of its CTR-3 fatty acids in the United States, but has sold only 25, since the product was launched in 2007 in life. REPUTATION has other models, of course, but only makes and sells about 30 to 35 cars per year.

"Our customers appreciate the performance of these cars, it's like a real racing car" Estonia reputation reputation said automobile. "For people who like history, race, this car has lines, to awaken the past, but there are also elements of a new model. It's not retro. But the lines are very nice."

The perfect new car, that is to say, for a man who already had a garage full of Vintage Ferraris and Bugattis.

-BY CNBC's Robert Frank. Follow him on Twitter: @robtfrank

2013 CNBC © LLC. All rights reserved

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LA edges from Honolulu for the worst traffic

In Los Angeles, where traffic is a way of life that drivers call the busiest interchanges "Carmageddon."

After replaced by Honolulu a year is part of the country again, Los Angeles deserves the title of the most crowded Metro. 17 On a Friday in the year 2012, the average driver wasted more than 28 minutes in traffic according to INRIX traffic information and services group, which collects data for individual sections of the road.

In his 2012 traffic scorecard found INRIX that traffic at peak hours on Interstate 405 in Los Angeles drew only 14 miles per hour, 26 minutes add, what should be an eight-minute drive. Last year, the average American 38 hours wasted sitting in traffic; but for those, the life of the nation's most congested cities, jumped this number to 42 hours.

Not surprisingly, population density contributes to traffic congestion. Is overloaded by the 10 metro areas with the highest population density in 2010 six among the 10 of the nation's most.

INRIX generates a stowage factor, which is a compilation of factors such as population density, that average time spent commuting and the percentage of the population who drives to work.

In terms of the longest average commute daily, New York captured the honor with an average of 34.9 minutes. Washington, D.C. was second in a close at 34.5 minutes. But the availability and use of public transport the cities down to the top 10 list.

The congestion index is a metric of how long travel takes the average driver during rush hour when traffic is clear. Los Angeles has a congestion index of 28.8, meaning that that it takes 28.8 percent longer to make a trip during peak hours traffic jams as it does when there is no traffic.

This year on the most congested cities (with their congestion index in brackets):

1. Los Angeles (28.8)

2. Honolulu (26)

(3) San Francisco (23.5)

4. Austin, Texas (20.7)

5. New York City (19.9)

6 Bridgeport, Connecticut (19.1)

7, California (17.6)

8 Seattle (17.6)

9 Washington, D.C. (16.4)

10 Boston (14.7)

INRIX scale is supported by other surveys. Researchers at Texas A & M transportation Institute recently released its urban mobility report and similar results found.

In the Texas A & M rankings, Washington, D.C. leader, followed by Los Angeles, San Francisco-Oakland, New York-Newark and Boston. The second five are Atlanta, Chicago, Philadelphia, Houston and Seattle. The urban mobility report contains a detailed presentation of the traffic problems in total 498 U.S. cities.

Overloading is frustrating, but researchers have found that it is also expensive - for the company and drivers.

"We all understand that the journeys take longer time, rush hour, but for really important dates, we have more and more time to ensure an on-time arrival," said Bill Eisele, TTI researchers and report co-author. "How traffic jams are so bad that it even more frustrating is that you cannot rely on the consistency of daily traffic jams. "These unreliable travel is expensive for commuters and truck drivers were move."

The 2012 report of estimating the attributed to congestion additional carbon dioxide emissions: ?56 billion--about 380 pounds per car commuters.

Moreover, the amount of fuel was wasted in congested traffic 2.9 billion gallons - enough, four times to fill the New Orleans Superdome. This is the same as 2010, but behind the 3.2 billion gallons are wasted in 2005.

The financial cost for congestion in the year 2011 was $121 billion, up $ 1 billion from the previous year, or $818 per commuter. It was about 27 billion $ value wasting time and diesel fuel from the truck of goods on the system.

Copyright © 2009-2013, the Detroit Bureau

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Lame Lincoln gets bump from the sale of the sedan brand

Paul A. Eisenstein, the Detroit Bureau - 18: 00.

Ford Motor Co. Lincoln struggling Division one began urgently break needed last month with a strong uptrend in sales for his new MKZ sedan after months of weak of demand, the questions about the luxury brand long-term survival.

Once a dominant signs in the US market, Lincoln on the radar screens of most of the American luxury buyers has fallen, senior company officials, add a downfall that start, had promised last year reversing published introduction of the new MKZ sedan. But the situation deteriorated because of concerns about quality problems, which forced to slow production and a close inspection of each MKZ Lincoln turned out.

As a result, Lincoln were sales in the first quarter of 2013 from 24 percentage-immerse to a level not seen in the Jahrzehnten--even as major luxury competitors posted double-digit gains. But claims to have these quality problems under control with parent Ford, Lincoln has finally started ramping up the production of the MKZ, deliver approximately 11,000 dealers in recent weeks, retail sales surging to about 4,000 in April alone – the nameplate best month ever.

The upswing could help to mitigate that Ford Lincoln moving brand may be forced, as it above some of the medium-sized mercury analyst criticism years.

But Ford global marketing Chief Jim Farley, recently head of the Lincoln brand named admits, that the crisis is not over.

"This is his remake of Lincoln, a long way..." he acknowledged during a media conference call. "It is not only to continue but accelerate to be competitive with us."

The big question remains how long. Farley has indicated Ford now it recognizes Lincoln one could so much as take two decades, luxury brand, a process to transform that require to make a significant investment in product and push the brand to a more global than North American, brand really competitive.

This is a long-term commitment, which rarely carry out American automakers. But Farley is fast on the slow slog faced by Audi to major competitors. Long a second-tier brand, which would have a retreat from the U.S. market in 1992 almost today Audi is one of brands fastest growing the American luxury market - neck and neck with rival BMW supremacy in the global automotive market high-line.

Lincoln saw comfort that is responsible for the slow comeback of city rivals rivals General Motors Cadillac brand take. Dominated in the early 1990s the two Marques the U.S. market BMW to foreign brands such as Lexus and Mercedes-Benz pushed aside. But Cadillac new dynamics offered such as the compact ATS has won. Directly targeted against the vaunted BMW 3-series, named can was North American car of the year the North American International Auto Show in Detroit in January.

Lincoln wanted to achieve similar successes with the MKZ, but the new sedan, starting with $35.925, got off to a bumpy start. After early quality problems with several other new models like the Ford Fusion sedan and escape crossover decided the manufacturers to return production of the Lincoln model pare shipping each car to Detroit for close examination before releasing it to the dealer.

A costly launch campaign short-circuited the delay, wrapped around a few Super Bowl ADS and dealer left frustrated in many cases apologized to potential buyers, over pulled off to competing manufacturers dealer.

The increase in sales is in April can still save the Lincoln MKZ, if Farley has proposed that it could require an expensive second campaign launch.

Even the MKZ can start only the salvage of the Lincoln brand. These days, no single model can carry a manufacturer. Luxury brands are proliferating product in dizzying heights. Mercedes, offers, for example, an alphabet soup of sedans, Coupes, sports cars, crossovers and other models that do not fit the simple categorization.

Lincoln confirms plans for four new models late 2014, including the MKZ, a production version of the MKC compact crossover concept in Detroit in January revealed an update from the large sedan, MKS and long-overdue replacement for the massive Navigator SUV.

In addition, Ford CEO Alan Mulally has yet more to follow, including a sports Coupe with promised expected to be based on the same platform as the next-generation Ford Mustang.

The bump sales is welcome news at Ford, but no guarantee that Lincoln is out of the Woods in April. The manufacturer must continue momentum WINS, and extend their reach to a new generation of buyers who have given much thought not Lincoln. It is a process that will take probably years and not had a level of commitment of the luxury brand in decades.

Copyright © 2009-2013, the Detroit Bureau

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Recruitment of more than 1,000 on rising demand for F-series truck Ford

Philip LeBeau, CNBC - 3 days

Ford, facing greater demand for its F-series pickups is a third layer of add and plant in Claycomo, Missouri where the popular F-150 pickup truck is built, said the automaker more than a thousand new employees assembled to set.

This step is part of the Ford add 2,000 jobs and capacity expansion at the site outside of Kansas City, Missouri.

"We are going to intensify operations in Kansas City, we have to ensure to meet enough truck customer demand", said Joe Hinrichs, Ford's America President.

After Ford F-series production in the third quarter ramps is it the Missouri plant for the launch of its new Ford Transit full size-van 2014 prepare.

Pick-up takes demand
While the pace of auto sales in the United States after growing more slowly in the last three years to a double-digit clip, accelerated demand for pick-up trucks.

Owners of small businesses and contractors have begun their work truck partly replace, because the economy, but is also better because the latest pick-ups are more fuel efficient and cost-effective.

F-series sales have increased by 19.1 percent this year while the total car sales in the United States by 6.9 percent.

"The truck segment grows three times faster than the entire industry", said Han. "The housing market is strengthening; "We are see the US economy."

F-series sales rebound (Jan-April):

2007-228,3432008 - 192.951
2009: 110.336
2010: 143.985
2011 172.062
2012-191.280
2013 227.873
Source: Autodatarunning capacity
After Ford adds a third shift in Kansas City, there must be two final assembly running plants to near maximum capacity, how to build F-series pickups. Ford is running three shifts, the massive F-series trucks at its plant in Dearborn, Michigan.
Analysts estimate that Ford is now the final assembly plants in North America at 90 percent of their capacity. In many cases, assembly lines run more than 20 hours per day.

It is a big change from the State of Ford's North American operations as CEO Alan Mulally end of 2006 was. At that time, Ford lost billions with too many plants construction too few vehicles.

Between 2007 and 2010 Ford optimised operations by laying off thousands and inefficient plants shut down. 2010 Ford has commissioned 6,500 workers in North America and has upgraded many of its remaining assets. These plants are executed daily to three layers.

Last week booked Ford, most profitable quarter ever for its North American operations earn $2.4-billion.

2013 CNBC © LLC. All rights reserved

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Driving with pets crash prices increases, says study

Michael strong, the Detroit Bureau - 3 days

As head of the U.S. Department of transportation declared repeatedly his goal distracted driving Ray LaHood, such as while driving talk. A new study adds another to his list of driving No. nos: pets, particularly for senior drivers.

To say, researchers at the University of Alabama at Birmingham that both overall and at fault crash rates for drivers 70 years or older higher which were their pet often rode with them.

"This is the first study to assess the presence of pets in a vehicle as a possible internal distraction for older drivers," said Gerald McGwin, co-author of the study and a professor in the Department of epidemiology.

The crash risk for drivers, who drove with their pets was the double of drivers who never drove with an animal. Crash rates for those who occasionally or rarely drove with pets were tariffs for non-pet owner.

LaHood has good reason, distracted driving be worried: it makes more than 10 percent of all U.S. highway deaths, according to the National Highway Traffic Safety Administration. The Government recently policies around the eyes of the driver, mobile phones, and on the road and discouraging car manufacturers prevent troublesome dashboard devices make.

The guidelines are to limit how long drivers look from the street. After Highway Safety Administration, drivers should their eyes off the road for longer than two seconds do not ingest. A playful pet, especially one on the front seats could require too much attention.

More than half of pet owners said, took their pet with them in the car at least temporarily usually riding in the front seat or the back seat.

"The increased crash rate for older drivers who drive always with pets is important in connection with the awareness of drivers of potentially dangerous driving habits."

The problem with pets in the car not have, that they are likely to physically interfere in the operation of the vehicle, but that they are disturbing. Hawaii is the only State that currently the driver before a pet in driver lap prohibits. Arizona, Connecticut and Maine have broader laws restrict conduct or activities which could potentially distract a driver such laws can apply to pets in a vehicle.

The authors suggest that older drivers slower cognitive performance and response time than younger riders displayed when dealing with "a higher cognitive or physical workload while driving."

"Another disturbing element, especially an active, potentially moving animal, provides more options for an older driver to cope with a condition in a satisfactory way less than add", McGwin said.

In the study, researchers noted, that 83 percent of respondents agreed it was unsafe, pets, to allow travel unrestrained in a vehicle but only 16 percent is trying to use any kind of pet safety restraint in your vehicle.

The study employs 2,000 community living - people who do not live in assisted living or nursing homes - licensed drivers aged 70 and over. There were 691 participants had pets.

Copyright © 2009-2013, the Detroit Bureau

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Electric car company CODA files for bankruptcy

Joseph Szczesny, the Detroit Bureau - 5p.m.

CODA holdings, parent of the electric car manufacturer by billionaire Philip Facone backed up, has filed bankruptcy and will try to sell their assets.

CODA holdings ended its automotive unit last year, after the failure of his promise of not 10,000 vehicles sell to make amends. The company sold fewer than 100 vehicles during 40 employees. It will instead focus on its energy-storage area, said Phil Murtaugh, Chief Executive Officer of the Los Angeles-based company in a statement.

The company introduced its five-passenger electric car in California with a range of 200 km with a charge a year ago. The $37.250-vehicle was based on a years vehicle design and was panned for its mild styling. She also suffered from a recall of defective airbags.

CODA to led a group of a fortress investment group to sell off its assets. The consortium of lenders said would debtor in possession financing to energy remain store company operating during the restructuring process to enable it.

CODA filed a motion with the bankruptcy court in Delaware to the approval of the consortium to acquire the company post-bankruptcy. In addition, the company will try to make its existing assets automotive business money.

"After a comprehensive review of our strategic options, Board of Directors. Management and senior lending group have concluded that focus presents energy storage company the best opportunity to move forward, "said Murtaugh.

"We believe that the restructuring process, which we received today allows the company to complete a sale, and one plan that maximized to confirm the value of his assets for the best interests of our stakeholders."

CODA diversified its business and CODA energy formed two years ago. CODA products energy are based on the same core technology.

CODA automotive listed assets of more than $50 million and liabilities of as much as $100 million in the chapter 11 bankruptcy application. The company said that it would separately trying to sell the unit within 45 days.

A US Congressional Committee investigated the Department of energy loans for alternative drive systems after several manufacturers of financial problems have plagued. Fisker Automotive fired three-fourths of the labor force last month and missed the first payment on a loan from the US Government and is thought to the insolvency, is considering, while for insolvency and liquidation last year given the financial difficulties bright automotive.

Copyright © 2009-2013, the Detroit Bureau

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Chrysler sales up 11 percent in April

NBC News staff and wire reports - 23: 00.

Big three automakers Detroit sales higher last month amid rising demand for larger vehicles such as SUVs and pickups.

Strong demand for the RAM pickup helped drive Chrysler sales growth of 11 percent last month, as the company its best April, six years booked. General Motors co. US sales rose by 11 percent in April for the continuation of the demand for pickup trucks and small cars. And Ford Motor Co. said U.S. sales rose 18 percent in April thanks to great demand for the redesigned SUV to escape.

The increase is another sign that Americans continue to cars and trucks despite high unemployment and mixed economic signals to buy.

Among the Japanese manufacturers, said Toyota 1.1 percent sales April, slid is missing the expectations of analysts. Nissan sales rose by 23 percent.

But U.S. automakers a pioneering role in April sales.

Chrysler said that it sold 156.698 cars and trucks last month under the leadership of RAM pickup with a turnover of 31.409. The Jeep Grand Cherokee SUV busy also strong numbers, sales by 27 percent to just over 15.000. Dodge brand sales rose 18 percent, posting the best month ever with a turnover of nearly 8,100 DART-subcompact. But the brand of Chrysler vehicles fought in April with sales falling 13 percent.

TRUCK and SUV sales helped the Chrysler its big boost the post. The company truck sales rose 14 percent, while car sales increased only 5 percent.

Chrysler predicted that US sales volume are taken an annual rate of 15.4 million in April. This is a little higher than most analysts predict. It is the sixth straight month of work sales over a 15 million annual pace.

The Ford Escape sales 52 percent to almost 26,000. It was the best April for the flight, since the vehicle went on sale first 13 years ago.

Ford's luxury Lincoln brand showed also signs for a turnaround after years of declining sales. Sale of new Lincoln MKZ sedan, which reached many U.S. showrooms in April, doubles more than compared to the previous year. Lincoln sales rose 21 percent for the month.

The Ford F-series pickup truck, the best-selling vehicle in the United States rose 24 percent over last April with growing demand from private builders and other companies. Ford sold more than 59,000 F-series-pickups in the United States last month.

GM Chevrolet Silverado full size pickup sales rose 28 percent more than 39.000 truck sales were strong throughout the year on increasing demand from home builders and other businesses.

GM saw even double-digit growth for its small cars, including the Buick Verano, the Chevrolet Cruze and Chevrolet Sonic.

All GM saw higher sales than in the last April four brands. Cadillac sales rose 34 percent to hit the market, while Buick and Chevrolet were both 11 per cent as the new ATS and XTS.

Blocking an unexpected event which causes, a real estate price that reduce or soaring job losses, there is little to stop sales grow in the next years other industry analysts say.

"I don't see major obstacles on the horizon," said Alec Gutierrez, a senior market analyst at Kelley Blue Book. "I see no step back, we provided the unemployment rate holds at least stable."

Unemployment in the United States is unchanged high 7.6 percent, however, which has slowed down clearly still not auto sales.

Apart from unemployment, almost every factor that affects car and truck sales is positive. The interest rates are low--the average four-year loan on a new car is 2.4 percent, according to Bankrate.com. Credit is available everywhere, even for those with low levels. Used car values are high, so that car buyers can get good money if they trade in their old cars. Leasing offers are good. Gas prices have fallen since February.

In addition is home building on the rise by 7 per cent from February to March. This means usually better sales of large pickup trucks as companies and workers back to the market. Kelley Blue Book expects large pickup sales to more than 26 percent in April to rise compared to a year ago.

Many businesses and consumers need to replace older trucks and cars. The average age of a US vehicle is 11.2 years. In addition, automakers have rolled out dozens of exciting new models last year drawing buyers into showrooms.

"Relatively low gas prices coupled with small business demand improvement for truck a strong result for small and large pickups in April led", said Jesse Toprak, senior analyst for pricing website TrueCar.com car.

A category that is growing is small crossover SUV. Sales rise, expected 22.5 percent to Kelley Blue Book. Fuel-efficient models like the Ford Escape, Honda CR-V and the Mazda CX-5 driving sales rise, Gutierrez said.

Kelley Blue book estimates, the car prices slightly in the opposite fell April to an average of $31.326 a year ago.


Though the year is to strong for auto sales, Gutierrez said not to expect the double-digit growth rates of the past two years. He expects U.S. auto sales to the end of the year around 15.3 million cars and trucks, up 5.5 percent from last year's 14.5 million.

The Associated Press and Reuters contributed to this report.

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US car sales surge on truck and SUV

NBC News staff and wire reports - 23: 00.

Big three automakers Detroit sales higher last month amid rising demand for larger vehicles such as SUVs and pickups.

Strong demand for the RAM pickup helped drive Chrysler sales growth of 11 percent last month, as the company its best April, six years booked. General Motors co. US sales rose by 11 percent in April for the continuation of the demand for pickup trucks and small cars. And Ford Motor Co. said U.S. sales rose 18 percent in April thanks to great demand for the redesigned SUV to escape.

The increase is another sign that Americans continue to cars and trucks despite high unemployment and mixed economic signals to buy.

Among the Japanese manufacturers, said Toyota 1.1 percent sales April, slid is missing the expectations of analysts. Nissan sales rose by 23 percent.

But U.S. automakers a pioneering role in April sales.

Chrysler said that it sold 156.698 cars and trucks last month under the leadership of RAM pickup with a turnover of 31.409. The Jeep Grand Cherokee SUV busy also strong numbers, sales by 27 percent to just over 15.000. Dodge brand sales rose 18 percent, posting the best month ever with a turnover of nearly 8,100 DART-subcompact. But the brand of Chrysler vehicles fought in April with sales falling 13 percent.

TRUCK and SUV sales helped the Chrysler its big boost the post. The company truck sales rose 14 percent, while car sales increased only 5 percent.

Chrysler predicted that US sales volume are taken an annual rate of 15.4 million in April. This is a little higher than most analysts predict. It is the sixth straight month of work sales over a 15 million annual pace.

The Ford Escape sales 52 percent to almost 26,000. It was the best April for the flight, since the vehicle went on sale first 13 years ago.

Ford's luxury Lincoln brand showed also signs for a turnaround after years of declining sales. Sale of new Lincoln MKZ sedan, which reached many U.S. showrooms in April, doubles more than compared to the previous year. Lincoln sales rose 21 percent for the month.

The Ford F-series pickup truck, the best-selling vehicle in the United States rose 24 percent over last April with growing demand from private builders and other companies. Ford sold more than 59,000 F-series-pickups in the United States last month.

GM Chevrolet Silverado full size pickup sales rose 28 percent more than 39.000 truck sales were strong throughout the year on increasing demand from home builders and other businesses.

GM saw even double-digit growth for its small cars, including the Buick Verano, the Chevrolet Cruze and Chevrolet Sonic.

All GM saw higher sales than in the last April four brands. Cadillac sales rose 34 percent to hit the market, while Buick and Chevrolet were both 11 per cent as the new ATS and XTS.

Blocking an unexpected event which causes, a real estate price that reduce or soaring job losses, there is little to stop sales grow in the next years other industry analysts say.

"I don't see major obstacles on the horizon," said Alec Gutierrez, a senior market analyst at Kelley Blue Book. "I see no step back, we provided the unemployment rate holds at least stable."

Unemployment in the United States is unchanged high 7.6 percent, however, which has slowed down clearly still not auto sales.

Apart from unemployment, almost every factor that affects car and truck sales is positive. The interest rates are low--the average four-year loan on a new car is 2.4 percent, according to Bankrate.com. Credit is available everywhere, even for those with low levels. Used car values are high, so that car buyers can get good money if they trade in their old cars. Leasing offers are good. Gas prices have fallen since February.

In addition is home building on the rise by 7 per cent from February to March. This means usually better sales of large pickup trucks as companies and workers back to the market. Kelley Blue Book expects large pickup sales to more than 26 percent in April to rise compared to a year ago.

Many businesses and consumers need to replace older trucks and cars. The average age of a US vehicle is 11.2 years. In addition, automakers have rolled out dozens of exciting new models last year drawing buyers into showrooms.

"Relatively low gas prices coupled with small business demand improvement for truck a strong result for small and large pickups in April led", said Jesse Toprak, senior analyst for pricing website TrueCar.com car.

A category that is growing is small crossover SUV. Sales rise, expected 22.5 percent to Kelley Blue Book. Fuel-efficient models like the Ford Escape, Honda CR-V and the Mazda CX-5 driving sales rise, Gutierrez said.

Kelley Blue book estimates, the car prices slightly in the opposite fell April to an average of $31.326 a year ago.

Though the year is to strong for auto sales, Gutierrez said not to expect the double-digit growth rates of the past two years. He expects U.S. auto sales to the end of the year around 15.3 million cars and trucks, up 5.5 percent from last year's 14.5 million.

The Associated Press and Reuters contributed to this report.

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Spy photos show information about 2015 Mustang

Jim Dunne, the Detroit Bureau - 1 day

It's no secret, the Ford plans to throw a big party celebrate the 50th anniversary of the Ford Mustang when it rolls out next year from the line. But has remained a secret, what looks like the 2015 Mustang.

Until now.

Model our spies captured images of elusive 2015 Mustang that some details, even if the car is rear front show. Ford is expected to be the new design to reveal some time in 2014.

Front headlight holes indicate that the lights on the front fenders, not deep into the radiator grille are set below high are. On the rear, the tail lights in the trunk are set higher. The wheels with the 5 split spokes representation appear new.

A hole in the canvas above the front wheel opening is never seen any air vent, a feature on Mustangs. Although we cannot see the rear suspension, which offers 15 model supposedly an independent rear Setup is a first for the Mustang.


Ford has the 15 model to make his debut at the New York International Auto Show 2014 election victory. After decades of the Pack in the muscle car Mustang of the Chevrolet Camaro in recent times raised above. Chevrolet hoped that sales gap greater than by introducing a freshened Camaro including a model SS during the New York International Auto Show earlier of this month. That puts even more pressure on Ford, get it right, when it launches the next-generation Mustang.

An introduction of the New York International Auto show, the car would come full circle, in a sense a few days before its official debut at the world's fair in 1964 in New York bringing the first Coupe Ford unveiled on April 17, 1964. It was an immediate success, help Ford country car design guru, Lee Iacocca, on the covers of many timeand Newsweek.

The first of the "pony cars" Mustang was an immediate success. While the icon almost 50-year run were sold more than 8.5 million Mustangs.

"Not too many cars around for 49 years have been", said David Pericak, Chief Engineer of the Mustang, built during a new event marking the millionth Mustang Ford flat rock, Michigan plant. "It is more than a car. It is a symbol. Rock 'n' roll songs and a star in films yet, "he added, and became a huge success on the track."

The first Ford Mustang for as little as $2.368 (which today would be equivalent to $17.780) was introduced as a 1964 1/2 model. Ironically during the galloping horse image that was associated with the original Ford Mustang, the car was original designer John Najjar, a fan of the most successful fighter of World War II, the P-51 Mustang. Corporate officer liked the name but thought the horses picture was better.

The fast-acting Coupe was not nearly so temperamental, surfaced as it, but with its compact, 170-cubic-inch engine and three-speed manual transmission was. That would change soon a procession of new facilities as the automakers, which rolled out a more powerful set of engine packages, and in the following years.

Copyright © 2009-2013, the Detroit Bureau

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Nissan, Honda, referring to a slew of vehicles

Michael strong, the Detroit Bureau - 2 days

Nissan Motor Co. and Honda Motor Co. announced recalls for the second time this month, as quality problems continue to some Japanese automakers plagues. Nissan is more than 123.300 2013 Recalling altimas, while Honda doing the same with 2012 and 2013 fit sport. Is for Honda it the fourth recall this year.

This latest recall is the second time this month Nissan and callbacks have issued Honda, despite the previous announcement because of a problem in connection with the supplier. Toyota and Mazda joined the two makers produced 3.4 million vehicles for faulty airbag systems by TAKATA Corp., because she might catch fire or accidentally blow up injured passengers remember.

Due to a design in the propellant for the inflator, it can incorrectly blow airbag for the front passenger seat. The systems were manufactured at Takatas factory in Mexico.

Now fix Nissan altimas a problem with the air pressure on the vehicle spare wheel see note on. The tires can--or been under inflated and as a result, the tyres without warning could scheitern. Dealers will check the tyres and the required air pressure adjustment.

The manufacturer makes the equipment, since then replaced at its assembly plant in Canton, Miss. for the problem was responsible. Owners will be contacted in May 3 or customer contact Nissan at 800-647-726.

More than 43,700 Honda fit sport have recalled due to problems with the vehicle's electronic stability control (ESC). The company said excessive greed "may" allow the units to the affected vehicles rates at high steering angle with certain tires, which can increase the risk of a crash.

Honda dealer handles the software update and make the fixes may begin. Owners may contact Honda at 800-999-1009.

In March, Honda due to potential brake problems reminded world's 250,000 vehicles. More than 180,000 of the involved vehicles this recall were sold Honda and its Acura luxury arm in the United States through the flagship.

In January ordered the Japanese manufacturer of the recall of 748.000 pilot crossover and Odyssey minivans not properly deploy due to missing rivets, the airbags could cause in an accident. This figure covers the U.S. market with an another 29,000 vehicles recalled in Canada.

Copyright © 2009-2013, the Detroit Bureau

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Downsizing: Same big truck, just a smaller engine

Paul A. Eisenstein , The Detroit Bureau – 20 hrs.

With fuel prices nudging $4 a gallon in some parts of Michigan, Quinn Felter started thinking about downsizing when it came time to trade in his big F-Series pickup earlier this year. But he didn’t like the idea of having to give up the cargo carrying capacity – or the macho appearance of the full-size truck.


Then he realized he didn’t have to. Instead of downsizing the truck itself, he decided to skip the big V-8 he’s been used to, opting instead for Ford’s smaller, more fuel-efficient EcoBoost V-6.

“It gets me a lot better mileage,” explains the suburban Detroit contractor, “but it still has the same pulling power of the biggest V-8” Ford offers in the F-150 pickup.

Felter isn’t alone. Traditionally, the majority of full-size pickup buyers have opted for V-8s but over the past year, more than half of F-Series customers have chosen the EcoBoost or another V-6. And the number two automaker isn’t the only one seeing this trend.

There’s no question Americans are downsizing. Compact and subcompact vehicles have gained several points of market share over the last couple years. But the pace is slower than some analysts had anticipated – in large part because manufacturers are offering smaller engines that often deliver the power and performance of the larger ones buyers might have chosen in the past.

“You don’t have to give up on the size of the vehicle you want,” says George Peterson, chief analyst with the consulting firm AutoPacfic, Inc., “because these new, smaller engines are more powerful and more fuel-efficient because of the new powertrain technologies coming to market.”

That includes such breakthroughs as direct injection, variable valve and cam timing and turbocharging. A recent study by Honeywell Transportation Systems, a major supplier of “boosting” systems, forecast that turbochargers will be used on 36 million vehicles a year worldwide in 2017, a 40% jump from 2011.

A Turbo, at its simplest, is little more than an air pump. There are two key components, one a fan blade that is powered by exhaust gases spewing out of the engine. In turn, that spins another fan that compresses fresh air and forces it into the engine. This allows a smaller engine to replace a bigger one. Under low power demands, it will get better fuel economy, but when a motorist is carrying a heavy load or stomps on the throttle, the turbo kicks in.

Consider the new twin-turbo V-6 in the 2014 Cadillac CTS sedan. It’s a modest 3.0-liters in displacement but can generate about 420 horsepower – as much as a high-performance 5.0-liter V-8 of years past.

Even without turbocharging, today’s most advanced V-6s can outperform many V-8s, while four-cylinder engines are routinely matching the power of traditional sixes, notes John McElroy, a long-time industry analyst and host of the TV show Autoline:Detroit.

State-of-the-art transmissions also help, McElroy says, pointing to a new joint venture between General Motors and Ford aimed at developing a new 10-speed automatic.

“With more gears,” he notes, “you can make a smaller engine work a lot better.”

Breakthroughs in engine technology have led a number of makers to reduce the number of options they offer buyers. You can’t even buy a V-6 for the latest-generation Hyundai Sonata, the Korean maker offering a mix of naturally aspirated and turbocharged fours, and a hybrid.

Meanwhile, makers are looking to go to even smaller powertrain options. Mitsubishi, General Motors and BMW are among the latest to confirm plans to adopt three-cylinder powertrains. The German luxury maker will offer one in its upcoming i3 plug-in hybrid and may later add it as an option on the next-generation 1-Series.

Another factor allowing makers to downsize engines is to push to reduce vehicle weight – every 100 pounds of mass helping boost fuel economy by as much as 1 mile per gallon, even more if the engine is downsized, as well.

Going forward, makers are looking at alternative powertrains that could get even smaller – and more fuel efficient. A small, Detroit-based start-up, EcoMotors, this month inked a deal with a Chinese firm to launch production of the OPOC engine. Short for opposed piston/opposed cylinder, a version small enough to fit in a briefcase could power a compact car.

The initial application by China’s Zhongding Power will be for stationary generators, but EcoMotors CEO Don Runkle says truck and passenger car applications may follow.

It won’t be easy to convince the auto industry to switch from the existing internal combustion engine, a move that could cost billions of dollars. But with a 54.5 mpg fuel economy mandate looming in the U.S. and equal tough standards in place for Europe and other parts of the world, manufacturers are struggling to find new alternatives, whether it means downsizing traditional powertrains or adopting even more radical alternatives.

Copyright © 2009-2013, The Detroit Bureau

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Top 10 fuel-efficient cars for 2013

Michael Strong , The Detroit Bureau – 2 days

With gas prices in a constant state of flux, and the federal government offering as much as $7,500 in incentives to buy “green” cars, it would seem the only question for someone buying a new vehicle should be, “Which one do I pick?”

Kelly Blue Book attempts to answer that question with its list of Top 10 Green Cars for 2013. The car in the top spot shouldn’t be a big surprise: the 2013 Nissan Leaf.

“You won’t find an all-electric car that offers a better balance of range, practicality, refinement and value than the Leaf,” according to the story on the company’s website. “Nissan reduced the Leaf’s starting price by $6,000 for 2013, so after the $7,500 federal tax savings, you can go all-electric for about $22,000.”

“A growing number of eco-conscious drivers are going 'green’ when it comes to the new car they choose to drive, and auto manufacturers have primed the pump with the widest array of offerings in the ‘Green Car’ segment than ever before,” said Jack R. Nerad, executive editorial director and executive market analyst for Kelley Blue Book.

Surprisingly, Ford boasts three vehicles on the list – Focus Electric, C-Max Energi and the Lincoln MKZ Hybrid. It’s a surprise only because Ford is mired in a class-action lawsuit that alleges the maker’s mileage claims on its C-Max hybrid as well as the Fusion hybrid, which is the MKZ’s sibling, are “false and misleading.” Ford denies the claims noting that driving styles greatly impact the mileage figures and countered is has seen results that exceed the company’s listed fuel economy figures.

Toyota captured two spots on the list with Prius and Avalon. An appearance by the Prius is as expected, but the Avalon, which reaches 40 mpg, captured the luxury title with KBB.com: “If comfort per gallon were a thing, Avalon Hybrid might be king.”

Many of these vehicles are well known to eco-conscious shoppers, but none of them are blowing the doors off dealerships. The best-selling model of the group is the Volt, which moved 22,823 units in 2012. The vehicle with the best mileage rating, the Honda Fit EV at 118 mpg, sold just 93 units last year. This is due, in part, because it is available only in California and is only available for lease.

Tesla’s Model S topped this pricing list coming in at $62,400, but the site seems enamored with the company’s second all-electric offering.

“One could argue that the 2013 Tesla Model S is the electric car most likely to gain mainstream success. With blistering acceleration, distinct but tasteful styling, abundant interior space and an EPA-estimated 265-mile range, the Model S is among the coolest cars available, electric or otherwise.”

Gaining mainstream success is the ultimate goal and that goal just got a little closer to reality thanks to Tesla’s founder, Elon Musk. He recently guaranteed that the pricey Model S would retain a resale value similar to Mercedes S Class as part of a financing plan aimed as assuaging the fears of buyers that they may be “stuck” with the Model S if they wanted to trade it in after three years. In fact, he told reporters during the press conference to announce the financing he’ll pay the difference out of his personal fortune, which is estimated at $11 billion, if the company goes under.

Kelly Blue Book’s top 10 “green” cars:

Nissan Leaf


Tesla Model S

Ford Focus Electric

Chevrolet Volt

Prius Plug-in

Ford C-Max Energi

Volkswagen Jetta Hybrid

Honda Fit EV

Toyota Avalon Hybrid

Lincoln MKZ Hybrid

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