Steve Parker Motoring / The Car Nut

PENSKE DROPS SATURN BID; GM SAYS DIVISION DOOMED ... SO WHAT HAPPENED???

Today, Roger Penske called-off talks for his takeover of Saturn, almost certainly dooming yet another General Motors division.

For so many months, it's seemed like a slam dunk for one of the auto world's smartest and richest executives.

Penske, whose racing team has won a record 15 Indy 500s, had come to agreement with GM to take over their once-vaunted Saturn brand, keeping the stores open and workers making cars.

It appeared to be great deal for Penske; he would initially buy cars from GM to sell as Saturns at his stores, then in another two years work with another carmaker which would supply the cars, branded with the familiar "Saturn" name.
A GM exec with a car which will never be; a 2010 Saturn plug-in hybrid

Though details were never forthcoming, many thought Penske was getting Saturn for next-to-nothing. He would supply the approximately 250 dealers with cars and trucks; he wouldn't have to make the cars, he wouldn't have to sell them; just be the go-between the factory and dealers. He was going to be a car distributor.

But that "other" carmaker, never officially named, the one Penske needed to supply him and his Saturn stores with vehicles, dropped out of the negotiations when, according to Penske, that company's board of directors balked.

So as of today, he has nothing to distribute.

GM said after the Penske announcement that they would begin "winding down" Saturn as a corporate division.
Roger Penske at his favorite weekend hobby; in the pits, running his IndyCar team

It's an ignominious and atypical end to the deal for Penske. He's used to being in close control of his vast business empire (he's the world's biggest car dealer, for one thing), and that another carmaker's board of directors would doom his dream must especially chafe.

Penske's failure will almost certainly result in Saturn's demise, and publicly, officially and finally ends the Roger Smith era at GM.

Smith (the "Roger" in Michael Moore's first film, Roger and Me) was ultimately considered something of an uninformed buffoon by the time he left his GM CEO position. He didn't speak well in public and always seemed ill-at-ease at media events, But he was also something of a visionary, if not always as detailed as he should have been, with his creation of Saturn and he was a tough political in-fighter who held some sway over GM for years after he officially left.

Smith created Saturn in the early 1990s specifically to do battle with the Asian imports. Dealerships would be open and friendly, prices would be "no haggle" and buyers would be treated with respect.
Roger Smith at the Saturn factory he built

BIGGEST-EVER SAFETY RECALL BY TOYOTA; 3.8 MILLION CARS AND TRUCKS

Toyota's 2004 Prius is on the recall list

Toyota has announced the largest recall of vehicles in its US history.

According to the Associated Press, "Toyota says it will recall 3.8 million vehicles in the United States to address problems with a removable floor mat that could interfere with the vehicle's accelerator and cause a crash.

The company says it will be the largest recall in its history. Owners could learn about the safety campaign as early as next week.

Toyota and the government warned owners of Toyota and Lexus vehicles about safety problems tied to the removable floor mats. They say the mats could interfere with the vehicle's accelerator and cause a crash.

The recall will affect 2007-2010 model year Toyota Camry, 2005-2010 Toyota Avalon, 2004-2009 Toyota Prius, 2005-2010 Tacoma, 2007-2010 Toyota Tundra, 2007-2010 Lexus ES350 and 2006-2010 Lexus IS250 and IS350.

Owners should take out the floor mats on the driver's side and not replace them. When Toyota develops a "fix" for the problem, the affected cars and trucks will be recalled to dealerships for replacement or retrofitted floor mats.

Toyota's previously largest recall was about 900,000 vehicles in 2005 to fix a steering issue." (end AP quote)
 Lexus IS250 at 2008 Paris Auto Show

Automotive News also reported: "NHTSA said it issued the warning because of continued reports of vehicles accelerating rapidly after drivers released the accelerator.

“This is an urgent matter,” U.S. Transportation Secretary Ray LaHood said in the statement. “We strongly urge owners of these vehicles to remove mats or other obstacles that could lead to unintended acceleration.”

The reported acceleration problems appeared to be related to vehicles with unsecured mats, the configuration of the accelerator pedal and the process for shutting off engines in some vehicles that have keyless ignitions.

Toyota recalled in September 2007 an all-weather floor mat from some 2007 and 2008 Lexus ES 350 and Toyota Camry vehicles because of similar problems, NHTSA said." (end Automotive News quote)

TWO NEW AUTO BOOKS DOCUMENT AMERICAN RACING

 Mickey Thompson's trademark '60s crew cut and Dick Landy's west coast Ramcharger efforts helped define American racing from the '50s to today; two new books document MT and the Ramcharger team

One of the great enjoyments for car nuts, at least this one, are new and exhaustively detailed books on our favorite topic ... with plenty of photos.

When those books are about people and topics we know personally, that makes the books that much more interesting and exciting ... and they better be correct!

Recently I interviewed two authors for my Sunday evening www.TalkRadioOne.com show, World Racing Roundup, and their books are first-rate. And they're both about topics I happen to know pretty well. Yeah, I even read the books, too (no Larry King am I). You can download the interviews free from the TalkRadioOne.com site. A book on Mickey Thompson's amazing life and terrible death leads off; the history of the Dodge Ramchargers factory drag racing team is for all 1/4-mile freaks.

"Mickey Thompson - The Fast Life and Tragic Death of a Racing Legend" by Erik Arneson, published by MBI and Motorbooks

This was a book just begging to be written since that awful day in 1988 when Mickey and his wife Trudy were, as the Los Angeles County Sheriff put it, "assassinated" in their driveway by thugs hired by a former business partner. That "partner" is now serving two life sentences in a California state prison; the actual hired shooters were never found.

Thompson defined and often dominated American motorsports from the '50s through the '80s; he operated the first professional ¼-mile drag strip in America, Lions Associated Drag Strip in Los Angeles' harbor area, set more land speed records than anyone else at the Bonneville Salt Flats, was so innovative at developing cars for the Indy 500 that many oldtimers shunned his efforts and, finally, brought the excitement of Baja-style off-road racing to major stadiums across the country.

My connection? I knew Thompson well and worked for him between 1978 and 1980, during the time he staged the first major off-road race in the middle of an American city: 1979's Off-Road Championship Grand Prix in the Los Angeles Coliseum. I know the title well because I actually named the event in an office contest --- and got a $1,000 bonus from Mickey (or MT, as we all called him) for coming up with it ... big money for a 25-year old kid back then!

His natural enthusiasm, non-stop energy, impressive promotional abilities and some outrageous personal habits (such as setting his plane on 'autopilot' so he could take a nap, or eating his steak with an ice cream desert on the same plate) are all well-documented.

MT's dad was a big, tough Irish cop in southern California, where MT was born and raised and lived his life, and the kids in that family learned that running home to avoid a fight was much, much worse than actually getting your ass kicked by some bully.

But MT was also a warm and caring person ... something folks who didn't know him well would never guess. Under the obvious gruffness and the anger which would often result in a fistfight between Mick and his latest enemy-of-the-moment, Thompson was a loyal friend, loving husband, son, father and grandfather and would hire people for more money than they ever made after talking with them for five minutes. He was a good boss, too.
Mickey and Trudy Thompson

THIS WEEKEND'S AUTO RADIO SHOWS!

Join us LIVE Saturday and Sunday at 5pm Pacific time on www.TalkRadioOne.com for our exclusive LIVE motoring and motorsports talk shows!

Steve Parker's The Car Nut Show
Saturday starting at 5pm Pacific

Join two-time Emmy Award-winner Steve Parker, also automotive writer for the Huffington Post, NBC-TV auto show Whipnotic and the Santa Monica Daily Press newspaper, as he recounts the latest news from the auto industry which really matters to you, from GM's new TV ad campaign and 60-day money back guarantee, to the new gas/electric Lexus HS. Be sure to join-in the conversation: The call-in number is: 213-341-4353.
This week there's a new version of Honda's robot, Asimo

Steve Parker's World Racing Roundup
Sunday starting at 5pm

Motor racing worldwide is heading into its final laps for this season, and from F1 to NASCAR things could barely get more exciting! Host Steve Parker goes over the hottest news from the sport in this weekly show. Also, an interview with Dave Rockwell, one of the engineers who created and ran the legendary Ramchargers NHRA drag racing team for Dodge in the '60s and author of the new book, "We Were the Ramchargers." The call-in number is: 213-341-4353. Join in!
"Dandy" Dick Landy was one of the Ramchargers on Dodge's factory-supported NHRA drag racing team in the '60s

Podcasts of the shows are available one hour after the live shows' conclusions. That's this Saturday and Sunday at 5pm USA Pacific time on www.TalkRadioOne.com!

Follow Steve Parker on Twitter: www.twitter.com/autojourno

 

GM'S NEW TV CAMPAIGN ... WILL IT WORK?

While it's beyond me why GM is using Ed Whiteacre, their new board of directors chief in their new TV ad, who said at his first press conference that he doesn't know much about cars, one of the new Cadillac commercials is right-on.

First, the Caddy commercial, one of four new TV spots which debuted last weekend.

It's for their SRX crossover, is dark and moody, uses a popular tune from the "alternative" category ... but what got me was the final line: "SRX --- The Cadillac of crossovers."

When I grew up, if some product was considered the best in its field, it was called the "Cadillac" of those products. And that saying had been around for many years before I ever heard it (I was born in 1954). In fact for decades, Cadillac's tagline in their advertising was, "The standard of the world." And in that time and place, Caddy was.

Today, the name "Lexus" is often invoked to denote a great product; best-in-class.
GM's new Mr. Excitement, Ed Whiteacre

Maybe the line hit my nostalgia button just right, but I liked the fact that GM, having suffered from a terrible inferiority complex for the past 20 years (often based, in truth, on some pretty bad product) seems, at least for this commercial, to have gotten some guts back and is not afraid say Cadillac is something special.

Of course, the first battle is to get people into dealerships, folks who haven't visited a Detroit car-makers' store in, in some cases, three generations. Especially in the southwest, a probably not-too-apocryphal story says ask the average 30-year old if they ever heard of a car named "Buick," and the response will be something like: "Oh yeah, my uncle had one of those years ago and he always had problems with it." Then they get in their Honda and drive off.

These are not people planning to spend the weekend shopping the local GM outlets.

On that note, I must mention I just finished driving the 2010 Buick LaCrosse for over a week. The LaCrosse "target car" for GM was the Lexus ES, and they've bypassed that car in almost every respect. Any family looking for a new sedan should test-drive the LaCrosse before buying anything else. There, I said it. I am rooting for GM; in America, only a fool wouldn't.
2010 Buick LaCrosse

DON'T MISS OUR WEEKEND AUTO RADIO SHOWS!

Join us LIVE Saturday and Sunday at 5pm Pacific time on www.TalkRadioOne.com for our exclusive LIVE motoring and motorsports talk shows!

Steve Parker's The Car Nut Show
Saturday starting at 5pm Pacific

GM is offering an unprecedented deal for new car buyers --- a money-back, 60-day guarantee on whatever GM car or truck you buy. The corporation's new CEO, Ed Whiteacre, is doing the TV ads ala Lee Iacocca, but the reviews so far have not been too kind. Plus Steve gives his "Sixty-Second Road Tests" of some of the many 2009 and 2010 cars he's driven recently. Plus all your calls!

Be sure to join-in the conversation: The call-in number is: 213-341-4353.
Not even Barack Obama got a 60-day, money-back guarantee on his new GM car!

Steve Parker's World Racing Roundup
Sunday starting at 5pm

The big news in motor racing is the scandal involving Formula 1 and the Renault team. People are being fired, charged, indicted and have quit the team because the Renault apparently ordered their driver, Nelson Piquet, Jr., to crash at the 2008 Singapore GP, in order for their other driver, Fernando Alonso, to win the race. We'll cover it from every angle. NASCAR starts their 10-race Chase for the Championship this weekend; we'll have the full report. Also an interview with Dave Rockwell, one of the engineers who created and ran the legendary Ramchargers NHRA drag racing team for Dodge in the '60s.

The call-in number is: 213-341-4353. Podcasts of the shows are available one hour after the live shows' conclusions. That's this Saturday and Sunday at 5pm USA Pacific time on www.TalkRadioOne.com!
Was "the fix in" when Fernando Alonso won the 2008 Singapore Grand Prix for Renault?

Follow Steve Parker on Twitter: www.twitter.com/autojourno

 

F1 SHOCKER! RENAULT TEAM PRINCIPALS RESIGN AFTER BEING CHARGED WITH FIXING A RACE!

Here's an exploded view of the old Honda BAR team car --- Ex-Ferrari F1 team genius Ross Brawn bought the Honda team and has turned it into Brawn Mercedes GP, and is headed toward the World Manufacturer's Championship and World Driver's Championship in just their first season; who says F1 is boring? Now, here's some REAL F1 scandal ...

In what may be one of the biggest scandals ever in motor racing, Flavio Briatore, flamboyant team principal of the ING Renault Formula 1 Grand Prix team and Pat Symonds, Renault F1's director of engineering, have both resigned their positions under a heavy, dark cloud of charges and suspicions.

This is following allegations that the pair were instrumental in "fixing" the September, 2008, Singapore Grand Prix by ordering their driver, Nelson Piquet, Jr., to crash near the end of the race to bring the safety car on the track in order to make it easier for the team's #1 driver, Fernando Alonso, to win the race. We Americans know the "safety car" situation as the pace car on-track and slowing the cars in a yellow flag situation.
Fernando Alonso in his office; his Renault team is accused of ordering his fellow team driver to crash near the end of a race to make it easier for Alonso, a former World Driving Champion, to win the race

Several entities have filed or threatened to file civil and criminal complaints against the two and Piquet, who was fired from Renault at the end of July and is believed to be the source of the charges against Briatore and Symonds.

GM'S "BUY IT BACK" PLAN - GIMMICK OR SMART SALES MOVE?

Can GM regain 20% US market share by the time the Chevy Volt comes out as planned in 2011? Here's the extended-range gas/electric hybrid being introduced by GM executive Bob Lutz

Another "Hail Mary" from GM? Or the real thing?

Starting today and running through November, General Motors is offering buyers of their Core Four brands, Cadillac, Chevrolet, Buick and GMC, a 60-day money-back guarantee on their new car and truck purchases. It's called the "60-day Satisfaction Guarantee."

The campaign marks GM's efforts to rebound after a 39-day bankruptcy and a $50 billion federal bailout. GM, which is shedding half of its US brands (Pontiac, Saturn, Saab, and Hummer) will try to boost their US market share that has fallen to 19.5% this year from a peak of 50.1% in 1962.

It's the second radical marketing move in just a few weeks by GM to try and resurrect consumer confidence in the company since the bankruptcy ended.
Could 60 days in a 2010 Buick LaCrosse convince import-buyers to make Detroit their car-maker of preference?

The first was begun last month in conjunction with online buying service Ebay. In that program, which has had only modest success but will continue for the time being, some 250 GM dealers in California are posting their new-car inventories for California-only buyers, some cars and trucks up for bid in a traditional auction environment, some marked with a no-haggle "buy it now" price.

Here are the details of the new money-back plan:

• Covers Chevrolet, Buick, GMC and Cadillac models for the 2009 and 2010 model years.

• Allows customers to return their cars after 31 days and before 4,000 miles.

• Does not cover leased vehicles.

It's thought this program is the first of its kind for any major car-maker, though it does bear some philosophical resemblance to Chrysler's, "If you can find a better car, buy it!" sales program headed by then-company chief Lee Iacocca in the early 1980s.
This 1984 Chrysler K-car limousine was made during the time of the company's, "If you can find a better car, buy it!" campaign

THIS WEEKEND'S AUTOMOTIVE RADIO SHOWS

Join us LIVE Saturday and Sunday at 5pm Pacific time on www.TalkRadioOne.com for our exclusive LIVE motoring and motorsports talk shows!

Steve Parker's The Car Nut Show
Saturday starting at 5pm Pacific

Car sales drop as the Cash for Clunkers program ends. Steve covers what the auto industry is going to do worldwide to stimulate sales --- again. Harley-Davidson is going to India, and we have the details. And should Mexican trucks and buses be allowed on US roadways? Plus Steve gives his "Sixty-Second Road Tests" of some of the many 2009 and 2010 cars he's driven recently. Plus all your calls!
Group protests allowing Mexican trucks and buses full access to the US

Be sure to join-in the conversation: The call-in number is: 213-341-4353.

Steve Parker's World Racing Roundup
Sunday starting at 5pm

A low-buck racing series, NASCAR trucks, and the world's most expensive, Formula 1, are providing the best racing action in the world. Why does little money and huge money equal racing excitement? We'll cover it. And whatever happened to Dale Earnhardt, Jr., scion of a NASCAR racing dynasty who seems to have disappeared? Plus your calls and emails!

The call-in number is: 213-341-4353. Podcasts of the shows are available one hour after the live shows' conclusions. That's this Saturday and Sunday at 5pm USA Pacific time on www.TalkRadioOne.com!

Follow Steve Parker on Twitter: www.twitter.com/autojourno

SHOULD MEXICAN TRUCKS, BUSES BE ALLOWED THROUGHOUT U.S.?

Anyone who has been to Mexico knows some trucks and buses are in tip-top shape, others not so good ...

The recent release of a Transportation Departments inspector general's office government audit has brought to a head, once again, an issue which ignites deep feelings and loyalties in the best people.

One of the provisions of NAFTA is to allow drivers licensed in Mexico and big-rig trucks and buses registered there unfettered access to the US.

A pilot program to allow them on US highways began in September 2007 and ended in March 2009 when Congress cut off funding for it.

The claim by those opposing the rule is that the trucks are not inspected properly and regularly, at least to US standards, and that their sheer number will overwhelm already-overwrought border crossings.
An already-jammed US/Mexico border crossing

Those in favor say that it's only fair because US trucks have access to Mexico. There's also a sometimes-not-so thinly-veiled charge of racism tossed at the people against instituting the law. I know this to be true because more than a year ago we posted a blog piece saying those against the rule were making some good points; hence, according to comments from some visitors here, I was "racist."

Currently, trucks and buses from Mexico are limited to a radius of about 50 miles north of the border; at warehouses within that area, they drop-off their loads (or passengers) and they're picked-up by American-registered vehicles and taken to their destinations nationwide.

Naturally, the Teamsters Union and its 1.4-million members, is against the provision and has fought hard to keep it from becoming law. The very name "Teamster" comes from drivers who managed "teams" of horses in the pre-industrial US; they've fought battles and won many, but this time they're up against entire governments.

Mexico slapped tariffs on $2.4 billion worth of goods shipped from the US after the pilot program was shut down.
Teamster-organized protests have been effective in informing the public about this NAFTA provision, but were too jingoistic for my taste