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| Drive
over her face = Love |
Pop
diva Celine Dion pitches
January 16, 2003
REUTERS
The Chrysler arm of DaimlerChrysler AG is hoping pop diva
Celine Dion can convince people to actually fall in love with
Chrysler cars.
The
idea that the cars are so great to drive and so beautifully
designed that they inspire passion is behind Chrysler's
new brand slogan "Drive & Love," which has
changed slightly from last year's tag line "Drive-Love."
Buzz
words like passion, romance and emotion are featured in
the new advertising campaign, which debuts Sunday on leading
U.S. television networks.
"Drop-dead
gorgeous cars, that's what this is about," Bill Morden,
vice chairman and chief executive officer of BBDO Detroit,
the ad agency that created the new campaign, told a news
conference on Wednesday.
Calling
Dion an "ambassador of love," he said she was
an "absolute knock-dead gorgeous person" and an
ideal pitchwoman for Chrysler. "She's a megastar,"
he said.
The
black-and-white TV ads featuring Dion -- which company spokesmen
say are aimed at moving Chrysler's brand image more upscale
and not at just selling cars -- are for Chrysler's new Pacifica
station wagon and Crossfire sports coupe.
But
the ads also promote the popular Town & Country minivan,
the Sebring Convertible and PT Cruiser.
Rather
than fighting the "soccer mom" image associated
with minivans, Chrysler -- which has long dominated the
segment --embraces it by showing the Town & Country
with images of Dion with her young son, Rene Charles.
"She
could be potentially sort of the quintessential mom of the
world," Morden said.
The
songs that Dion belts out for the ads are plucked from her
current and forthcoming albums and include a single aptly
entitled "I Drove All Night" that makes its commercial
radio debut this month.
Dion
did commercials for Chrysler in her native Canada 14 years
ago and her multiyear agreement to become the new voice
of the automaker was announced in November.
Terms
of the agreement have not been disclosed but automakers
have increasingly been using big name musicians to help
sell cars.
As
part of the advertising agreement, Chrysler is sponsoring
"A New Day," a show starring Dion and directed
by the Cirque du Soleil's Franco Dragone premiering at Caesars
Palace in Las Vegas in March. The show, with an international
cast of 60 dancers, musicians and artists, is expected to
have a three-year run.
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| Enthusiast's
Manifesto |
Chrysler
exec craves exciting cars
January
16, 2003
By Jamie Butters
Detroit Free Press Business Writer
The Chrysler Group has adopted
an "Enthusiast's Manifesto" to
protect the vehicle-loving culture that produces exciting
ideas like a Viper-powered Tomahawk motorcycle, Chief Operating
Officer Wolfgang Bernhard said Wednesday night.
Chrysler showed the 500-horsepower
concept motorcycle at the North American International Auto
Show last week.
Bernhard told the Automotive
News World Congress it is a great symbol of Chrysler enthusiasm,
especially because it was not a product of Chrysler's normal
vehicle-development system. Instead, it was presented by
a couple of young designers as a rough sketch.
"The fact that these
young people had the confidence to bring such a radical
idea forward is a tribute to the kind of risk-taking and
creative expression we encourage at Chrysler," he said.
The manifesto, as Bernhard
described it, means that every vehicle must stir emotions,
despite the difficult competitive and regulatory environment.
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| Bird
Face to Hawk Chryslers |
Chrysler
Brand Swaps Edgy Ads For Celine
By
Julie Cantwell
Automotive News
January 20, 2003
Detroit
The Chrysler brand will try to break through the advertising
clutter with its new spokeswoman, pop star Celine Dion.
At the
Detroit auto show, Jim Schroer, executive vice president
of global sales and marketing for the Chrysler group, didn't
hide his disappointment in the Chrysler brand advertising
by BBDO Detroit last year, which included ads that offended
some consumers.
"We
were not achieving the level of excellence in our marketing
on the Chrysler brand that we need to have to make that
a winner in the marketplace," he said. "Everything
you see from us going forward, you're going to see the beautifully
designed side (of Chrysler vehicles) coming through the
music of Celine Dion and the brilliantly engineered side
coming through print and the Internet."
Chrysler
debuted an ad campaign on Sunday, Jan. 19, that attempts
to upgrade its image to premium status. Chrysler is preparing
consumers for upper-scale vehicles, such as the 2004 Crossfire
coupe and the 2004 Pacifica sport wagon. The brand is targeting
25- to 54-year-olds, mostly married with a median household
income of $75,000.
"We're
reinventing Chrysler, from a line of extremely attractive
front-wheel-drive cars and a great minivan to a very aspirational
brand of beautiful vehicles that are brilliantly engineered
and that share some components with our friends in Germany,"
Schroer said.
Dodge,
Jeep continue edge
The
Chrysler brand needs a push. Its U.S. sales of 480,263 in
2002 declined 9.5 percent.
"We've
had a rough year on the Chrysler brand, primarily because
'02 was not a good year for cars and minivans," Schroer
said.
But
don't expect a quick image improvement in consumers' minds.
It will take at least a year, said Bill Morden, BBDO Detroit's
vice chairman and senior creative officer.
The
Chrysler brand spent $260.1 million on U.S. measured media
in the first nine months of last year, down 19.1 percent
from the year-ago period, according to Competitive Media
Reporting in New York.
The
Chrysler group will spend about the same on advertising
this year as last, Schroer said.
In the
last year, the group pushed the envelope in its TV commercials,
sometimes angering consumers enough that the company either
changed or dropped the spots. The technique still works
for the Dodge and Jeep brands, said George Murphy, Chrysler
group's senior vice president of global brand marketing,
but edgy doesn't fit Chrysler.
"You'll
see the tone and feel of Celine, which isn't edgy,"
he said.
Showtime!
Dion's
three-year contract cost Chrysler an estimated $20 million.
As part of the deal, the Chrysler brand will sponsor her
show, "A New Day," scheduled to premiere March
25 at Caesars Palace in Las Vegas.
In addition
to having its name on the marquee, Chrysler will display
vehicles there and will get tickets to each show for dealers,
customers and prospects.
Bob
Eddy, chairman of the Chrysler-Jeep national dealer council,
said Dion is a good fit.
"She's
a definite asset to us," said Eddy, who owns Bob Eddy's
Chrysler-Jeep in Austintown, Ohio. "With the direction
the product's going, she blends tremendously." Eddy
said he's also looking forward to using Dion in dealer-level
advertising.
Dion
appears in nearly all the TV commercials, but the French-Canadian
won't make it into most print ads.
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Read
the entire story here.
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| UberBike:
A Reality? |
Chrysler Couldn't Resist Tomahawk; Execs Love Motorcycle But
Mum On Production
By
Diana T. Kurylko
Automotive News
Detroit
V-10 engines in Ram pickups, Hemi engines, advertising of
questionable taste - brash is the driving attitude at Dodge.
Add the Tomahawk motorcycle to the list.
At the Detroit auto show two weeks ago,
Chrysler group COO Wolfgang Bernhard quickened the pulse
of power freaks everywhere when he drove the Tomahawk onto
the stage.
The motorcycle, powered by a V-10 engine
from the Dodge Viper, is huge, dangerous, loud - and irresistible.
The Tomahawk started a year ago as a handful
of sketches by the Chrysler group's design staff.
Bernhard immediately fell in love. "I
said, 'We have to do this.' Are we a motorcycle company?
Well, no, but what the hell."
No one was more surprised than the designer.
"I was stunned when they asked me to
work up some 3-D electronic renderings. We didn't think
they'd want to proceed with anything like this," said
Mark Walters, the ponytailed 38-year-old designer who dared
to propose the concept.
When it came time to present proposals for
the 2003 Detroit auto show to CEO Dieter Zetsche, both Bernhard
and Trevor Creed, Chrysler's chief designer, saved the Tomahawk
until the end.
Creed didn't think Zetsche, the executive
who fast-tracked the Chrysler Crossfire into production,
would go for this one. He was wrong.
"Of course we're going to build this
concept, right?" Zetsche said.
The Chrysler brain trust considered asking
actor Sylvester Stallone to debut the Tomahawk at the show
preview but decided "it would be cooler to have Wolfgang
ride it because then the bike would be the star," Creed
said.
Will Chrysler build it? The company is not
saying. Executives did say they are considering building
several hundred units of the motorcycle. The price would
start at $250,000.
The cycle can accelerate from 0-60 mph in
2.5 seconds. Top speed is an estimated 300 mph - but no
one at Chrysler has driven it that fast. The fastest speed
the Tomahawk has been driven is about 100 mph, Bernhard
said.
Chrysler hired a small specialty and restoration
shop, RM Corp. in Novi, Mich., to assemble the Tomahawk.
RM has restored cars for Creed.
It cost about $500,000 and took five months
for RM to build the concept using three employees. Kirt
Bennett, the owner's son, helped, as did Walters, dispatched
there as design guru.
Bud Bennett, RM's president, said Chrysler
has commissioned his company to do a feasibility study on
limited production of the Tomahawk. It will look at two-,
three- and four-wheeled versions. The Tomahawk is so heavy
that the driver needs the four wheels to keep it from tipping
over at stop signs.
But the National Highway Traffic Safety
Administration stipulates that a motorcycle must have two
or three wheels.
The elder Bennett is hoping the Tomahawk
can get a waiver from the wheel requirement.
Chrysler has commissioned a mule, and once
it vaults the regulatory hurdle "it could be a go,"
said Bernhard, explaining that this could take three to
six months.
To get a read from enthusiasts, "we
showed it to a select few guys, and they fell to their knees
and started to cry," Bernhard said.
The concept was shown to some motorcycle
magazines in the United States and to a buff
auto magazine in Germany. "They told
us they know of at least 200 people in the U.S. and 10 in
Germany who would buy it," Creed said.
"And then we have film companies that
want to put it into movies," he said. "When you
do something like that, you immediately get phone calls."
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| Give
Us Liberty Or Give U.S. Emissions |
Upcoming
Diesel Jeep Liberty May Not Last Long In U.s. Due To Emissions
Issues
By Richard Truett
Automotive
News
Detroit
The upcoming diesel-powered version of the Jeep Liberty sport-utility
could have a short life in the United States.
The
vehicle arrives next year as a 2005 model but can be sold
only until 2007 unless Chrysler group engineers come up
with a breakthrough in technology that reduces emissions.
Volkswagen
and Mercedes-Benz, both of which announced plans during
the Detroit auto show to offer more diesels to U.S. drivers,
are facing the same obstacles.
The
technology does not exist to enable diesel engines affordably
to meet tougher upcoming emissions standards in the United
States, commonly referred to as Tier 2.
Under
Tier 2 emissions rules, Chrysler plans to certify the Liberty
diesel in bin 9 or bin 10, which are the highest or dirtiest
classifications. Chrysler will offset the Liberty diesel's
higher emissions with other vehicles in its fleet that are
certified in lower bins. As a whole, an automaker's fleet
must meet a certain target. Once Tier 2 is implemented in
2007 for cars and light trucks, bins 9 and 10 will be eliminated.
"We
don't know how we will achieve the ultimate levels we have
to achieve," said Bernard Robertson, Chrysler's senior
vice president for engineering technologies and regulatory
affairs. "We are placing the bet now that it's time
to start getting people attuned to the idea of diesel. We
think it offers a lot of potential. And we are banking on
being able to figure out how to meet the lower bins in the
future."
Volkswagen,
the only automaker to offer diesel cars in the United States,
also will be using the bin system to sell its diesels in
this country, spokesman Tony Fouladpour said. He said Volkswagen
plans to be able to meet tougher emissions standards in
coming years. VW will add a diesel Passat later this year.
Mercedes-Benz will offer a diesel engine in the E class
in late 2004 or early 2005.
Ford
Motor Co. plans to introduce a low-emission, diesel-powered
Focus
sedan within five years. A Ford spokesman said the company
won't use bin 9 or 10 to sell a diesel car beforehand. Ford
doesn't want to spend the money to re-engineer the emissions
system when the emissions regulations tighten in 2007.
Once
Tier 2 regulations are implemented fully in 2009, all engines
- gasoline and diesel - will be required to meet the same
emissions requirements and be classified in bin 5.
The
low-sulfur diesel fuel that is scheduled to be available
by late 2006 will help diesel engines run cleaner, but not
clean enough to meet upcoming tougher emissions standards.
Engineers
at Chrysler and other automakers and suppliers are hoping
to combine the cleaner fuel with improvements to the diesel
engine's fuel injection system, combustion chambers and
the after-treatment systems that clean the exhaust once
it leaves the engine.
Said
Chrysler's Robertson: "Our long-term view is everything
has to be capable of getting to bin 5. For diesel to be
a viable technology, it has to get to bin 5, and that's
a hell of a challenge. We expect to get there eventually."
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| Big
Chiefs Stick to Lofty Goal |
Daimler's
Chrysler arm sticks to 2003 profit goal
FRANKFURT, Jan 21
Reuters
The U.S. Chrysler arm of carmaker DaimlerChrysler AG <DCXGn.DE>
still aims to post an adjusted operating profit of over two
billion dollars this year, a goal set nearly two years ago,
the company said on Tuesday.
"We are sticking to that despite a
difficult environment," Chrysler Chief Operating Officer
Wolfgang Bernhard told German magazine Automobilwoche in
an article to be published later in the week.
The comments were confirmed by a spokesman
for DaimlerChrysler, the world's fifth-largest carmaker,
and are in line with what the company has indicated in recent
weeks. Chrysler has returned to profit earlier than expected,
reaping the rewards of a deep restructuring programme including
cost reductions, 26,000 job cuts and a new model drive.
The unit posted a 1.2 billion euros ($1.28
billion) adjusted operating profit for the first three quarters
of last year.
That beat both analysts' expectations and
the company's own target set at the start of Chrysler's
overhaul in February 2001 for a return to "modest profitability"
in 2002 after heavy losses in 2001.
Chrysler, which soon after its 1998 merger
with Daimler Benz accounted for almost half of the group's
operating profits, has implemented its restructuring at
a time when carmakers have supported demand with costly
incentives in the U.S., the world's biggest auto market,
amid weak economic conditions.
Although U.S. demand for light vehicles
fell only about two percent last year, most analysts are
worried that profit-eroding incentives will take a toll
on profits in the long run.
In the magazine article, Bernhard was also
reported as saying Chrysler production was currently running
at 90-95 percent of capacity.
DaimlerChrysler, which said earlier this
month its earnings and revenues were in line with its targets,
posts preliminary earnings data on February 4.
It has said 2002 revenues came in at about
150 billion euros and operating profit at over five billion
euros.
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| VolksMopar? |
DaimlerChrysler
may produce VW transporter
FRANKFURT, Jan 21
Reuters
Carmaker DaimlerChrysler AG is in talks to manufacture the
new light commercial vehicle of its German rival Volkswagen
AG, a paper reported on Tuesday.
DaimlerChrysler could assemble up to 50,000
units of Volkswagen's new LT3 vehicle per year in its plant
in Ludwigsfelde, Germany, the Frankfurter Allgemeine Zeitung
said in an article released ahead of publication on Wednesday,
citing industry sources.
A Volkswagen spokesman said the firms had
talked about joint production of the vehicles but said there
was no decision yet.
The firms agreed last year to jointly develop
the next models of their light commercial vehicles, DaimlerChrysler's
Sprinter model and Volkswagen's LT3 model, continuing a
cooperation that started in 1996.
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| Dodge
Vans to Carry the Union Label |
UAW
says new Daimler van plant must be unionized
By Michael Ellis
STERLING HEIGHTS, Mich., Jan 21
Reuters
A senior United Auto Workers' union official said on Tuesday
a new plant that DaimlerChrysler AG is considering building
in Georgia will have to be unionized if it plans to sell a
Dodge version of its Sprinter commercial vans.
"I
told the corporation that if the Sprinter has got the Dodge
label on it, that truck will be built by UAW members,"
UAW Vice President Nate Gooden, director of the union's
DaimlerChrysler department, told reporters during a briefing
at a Chrysler plant here.
DaimlerChrysler has said that it is considering building
a new plant in Pooler, Georgia, to manufacture and assemble
a Dodge version of its Mercedes Sprinter van, a boxy, diesel-engined
commercial van currently manufactured in Germany and sold
in Europe.
Gooden said that all Dodge cars and trucks sold in the United
States have been made by union members, and the Sprinter
would be no different. "It's got a Dodge tag on it,
it's going to be a UAW plant no matter where it's built,"
he said.
Gooden's comments signaled that the status of the plant
will be a part of the upcoming negotiations towards a new
UAW contract. The current four-year contract with the powerful
union expires in September.
DaimlerChrysler currently sells the Sprinter under the Freightliner
brand in the United States. Freightliner is DaimlerChrysler's
U.S. commercial truck unit. Freightliner's non-union U.S.
plants have been a source of contention between DaimlerChrysler
and the union.
"It
will be a unionized plant. It will be part of the talks,"
Gooden said.
"Same
with the new engine plant," he added, referring to
a new joint venture engine plant that Chrysler plans to
build with Mitsubishi Motors Ltd. <7211.T> and Hyundai
Motor Co. Ltd. <05380.KS> in the United States.
The joint venture engine plant will be built in either Michigan,
Indiana or Illinois and will begin manufacturing engines
in 2005, with an expected output of about 600,000 engines
a year, Chrysler officials said.
The engines will be used in Chrysler, Mitsubishi and Hyundai
vehicles built in the United States.
Gooden also said that the UAW may be able to sweeten the
pension plans of its members, and the union would not allow
the company to raise the co-payment premiums on health care
coverage.
Health care costs and pension expenses are expected to be
top agenda items in the negotiations in September, when
the UAW contracts with General Motors Corp. <GM.N>
and Ford Motor Co. <F.N> also expire.
John Franciosi, senior vice president in charge of labor
relations with Chrysler, said it was too soon to speculate
on the negotiations.
"Obviously
we've got some competitive disadvantages that we're going
to try to address," he told reporters, referring to
gaps in wages and benefits compared to Asian and European
automakers. "Obviously some of those issues are going
to be difficult issues."
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| Pacifica
earmarked for under $32k |
Chrysler
starts Pacifica at $31,230
January 14, 2003
BY JEFF GREEN
BLOOMBERG
DaimlerChrysler
AG's Chrysler unit, seeking to increase market share, priced
its new Pacifica station wagon less than rival vehicles from
Toyota Motor Corp. and Honda Motor Co.
The
all-wheel-drive model of the 2004 Pacifica, which goes on
sale in the second quarter, will start at $32,980 and a
front-wheel-drive version with traction control starts at
$31,230, said spokesman Bryan Zvibleman. The Pacifica is
about $5,800 less than Honda's Acura MDX and $4,500 less
than Toyota's Lexus RX 300, according to Edmunds.com, a
Web site that tracks prices.
Chrysler's
U.S. market share fell 0.1 point to 13.1 percent last year,
according to Autodata Corp., and the unit's chief executive
officer, Dieter Zetsche, said he wants a "slight"
rise this year. Chrysler, which sold 2.21 million cars and
light trucks in the U.S. last year, is adding and revamping
models to try to increase sales by 1 million by the end
of the decade.
The
third-largest U.S. automaker next year plans two new versions
of its Jeep Grand Cherokee sport-utility, a large Dodge
wagon called the Magnum and a Chrysler version of a rear-wheel-drive
vehicle platform called the 300C, Zetsche told investors
last week. The Auburn Hills, Michigan-based unit will have
a third spin-off version of the large sedans in 2005, he
said.
Stuttgart,
Germany-based DaimlerChrysler's U.S. shares rose 23 cents
to $31.86 at 4:16 p.m. in New York Stock Exchange composite
trading. They have fallen 25 percent in the past year.
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| AutoShow
HP hits a Grand |
Remote-control
seats, 1,000-horsepower cars lead innovations at auto show
January 10, 2003
ASSOCIATED PRESS
DETROIT
Seats that move as the car accelerates. Tires with corn-based
fillers. Minivans with lounges. A sportwagon that turns into
a sedan with the push of a button.
At exhibitions
like this year's North American International Auto Show,
every carmaker tries to prove it is more innovative than
all the others in terms of comfort, convenience, power or
pure fun.
Even
the displays at the show, which opens to the public Saturday,
are designed to widen eyes, from the futuristic flat-screen
at the Ford Motor Co. stand to the Lexus brochure that can
be downloaded to your PDA.
Ford's
information stand for its Model U concept is designed to
reflect the high-tech nature of the car itself: The transparent
flat screen is operated not by the click of a mouse but
with the point of a finger -- think the movie "Minority
Report."
To find
out about the car, you point at different spots on the screen,
which light up as you hold your finger steady and then open
up a new page. All the while, you can look through the screen
at the concept itself.
"We
want folks to be involved and to have to enter the display
rather than stand and read," says David A. Wagner,
technical specialist with Ford. "It actually gets people
to reach in."
Ford
calls the Model U the Model T of the 21st century. It's
powered by a supercharged hydrogen internal combustion engine
and hybrid electric transmission. Key features include a
reconfigurable interior, tires with corn-based fillers and
an engine that uses sunflower seed oil.
"Someone
told me once that to get a new technology off and running
it takes anywhere from 10 to 15 years," says Ford president
and chief operating officer Nick Scheele. "I think
that's pretty reasonable."
Mercedes-Benz's
2004 E-Class features a headlamp system that responds to
the movements of the driver and points in the direction
the car is moving. Flat-screen displays offer information
about some of Mercedes' systems and a demo of its acceleration-sensitive
driver's seat. Plop down in the demo seat and get what amounts
to a mini-massage as the seat moves with the car's acceleration.
Among
some of the other vehicle innovations:
Audi
AG's Pikes Peak concept has three rows of seats, each covered
by a separate sunroof. Each seat is remote-controlled and
the seats have separate video screens.
The
Dodge Kahuna concept has an interior that can transformed
into a lounge, with a front passenger seat that can flip
around to face the back and second-row seats that fold down
to form tables.
It's
a minivan that "doesn't fall into the usual soccer
mom category," says Trevor Creed, Chrysler's senior
vice president of design.
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| Super
54' New Yorker up for auction. |
Chrysler
owned by Howard Hughes on auction block
The Associated Press
1/14/03 9:28 AM
LOS ANGELES (AP)
Late billionaire Howard Hughes, known for his phobia of germs,
spared no expense to keep the environment pure inside his
customized 1954 Chrysler New Yorker.
Hughes ordered the windows sealed on his
glacier-blue Chrysler sedan to keep dust particles from
entering the vehicle and a one-of-a-kind filtration system
was installed so the air he breathed was always clean, auction
chief Craig Jackson said Monday.
Jackson said the filtration system is intact
in the trunk of the Chrysler, which has only 1,500 miles
on the odometer.
The Hughes car is one of about 800 vehicles
on the block at this week's 32nd annual Barrett-Jackson
Classic Car Auction in Scottsdale, Ariz. The four-day event,
considered the nation's premier collector-car event, kicks
off Thursday at the Westworld resort.
Six cars owned by actor Don Johnson also
are up for bids, and the auction features a vehicle that
was once the personal car of former first lady Jacqueline
Kennedy.
The Kennedy car is a white, 1961 Lincoln
Continental convertible assigned to the White House for
Mrs. Kennedy's personal use. It's changed hands several
times and now is being offered fully restored with 84,500
miles on its engine.
The auction draws up to 180,000 people with
more than 3,000 bidders registered.
On Friday, nearby at the Biltmore Hotel
in Phoenix, RM Auctions' one-day Vintage Motor Cars in Arizona
event offers bidders nearly 100 investment-quality collector
cars, including a custom 1961 Ferrari 250GT Competition
SWB Berlinetta once owned and raced by Italy's legendary
Count Giovanni Volpi. It's expected to fetch $2 million.
"Horsepower is the hot trend for collector
cars this year," RM Auctions chief David Gooding said.
"Car enthusiasts will seek cars with lots of horsepower
including big block Corvettes, racing Ferraris as well as
GT500 KR Mustangs.
"Also popular will be custom bodied
classics as well as horseless carriages including Mercers,
Mercedes, Stutzs and Simplexes."
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| Glug
Glug - Gas Prices on the Up |
U.S.
gasoline pump prices rise for fifth week
By Tom Doggett
WASHINGTON, Jan 13
Reuters
U.S. retail gasoline prices increased for the fifth week in
a row to their highest level since late October, as high crude
oil costs due to a prolonged workers strike in Venezuela were
passed along to consumers at the pump, the Energy Department
said on Monday.
The average price for regular unleaded
gasoline rose 1 penny over the last week to $1.454 a gallon
-- up 34 cents from a year ago -- based on a survey of more
than 800 service stations by the department's Energy Information
Administration.
The national price for cleaner-burning
reformulated gasoline, which is sold at about one-third
of the gas stations in metropolitan areas, increased 0.9
cents to $1.516 a gallon, EIA said.
The jump in gasoline prices reflected high
crude oil costs, which were caused by a disruption in Venezuela's
oil exports from a worker's strike. Venezuela is the fourth-largest
oil supplier to the U.S. market.
The price of crude accounts for about 40
percent of the cost of a gallon of gasoline.
The West Coast had the most expensive regular
unleaded gasoline over the last week, with the average weekly
price in the region up 1.8 cents to $1.518 a gallon, EIA
said.
The Gulf Coast states had the cheapest
fuel, as the average price was down 0.2 cents to $1.399
a gallon.
Among cities, San Francisco kept its top
spot in fuel costs, with the price up 3.2 cents to $1.791
a gallon. Houston again had the best deal at the pump, with
the price down half a penny to $1.379 a gallon.
The report also showed gasoline prices
were down 0.3 cents in New York City at $1.549, up 0.6 cents
in Los Angeles at $1.533, up 3.1 cents in Chicago at $1.504
and down 0.3 cents in Denver at $1.449.
The biggest year-on-year change in city
pump prices was in Los Angeles, where gasoline costs were
up 43 cents a gallon from a year earlier.
Separately, the nationwide price for diesel
fuel declined 2.3 cents to $1.478 a gallon, but was 32 cents
higher from a year ago.
Truckers in New England paid the most for
diesel fuel at $1.593 a gallon, up 2.8 cents from the prior
week. The Rocky Mountain states had the cheapest diesel
at $1.445 a gallon, down 1.5 cents.
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| WORLD
CONGRESS: Schaum: Chrysler's advantage will be innovation |
By Diana T. Kurylko
Automotive
News
January 14, 2003
Richard Schaum
The Chrysler group is recreating itself with new
products like the Pacifica crossover, by taking technology
from Mercedes-Benz and through joint development with Mitsubishi,
said Richard Schaum, executive vice president of product development
and quality.
"In
this cutthroat environment, the ability to innovate becomes
the differentiator in establishing a competitive advantage,"
said Schaum Tuesday at the Automotive News World Congress.
On
the product side, Chrysler wants "product leadership"
with vehicles like the minivan, which the automaker launched
in 1983 but still had one-third of the market in 2002, and
the PT Cruiser retro-styled vehicle.
Schaum
said the Pacifica crossover, which goes on sale in January,
will continue this trend of producing something different.
The Pacifica has European styling, interior appointments
and handling. The independent rear suspension is based on
a Mercedes-Benz systems.
"There
are European influences to break away from the domestic
competitors," said Schaum |
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Ballast
Resistor
It's the first thing that goes! |
| Car
worker challenges 'sack for singing Elvis songs'
A Nissan worker is claiming he was sacked from
his £26,000 job for singing Elvis songs on the day the world
remembered his death.
Production line worker David Jewers, 37, was suspended after
singing along to the stream of tribute songs piped through to
employees on the radio.
Weeks later, the married father-of-two, from Gateshead, said
he was told never to come back to the Washington plant after working
there 11 years.
He is now taking the firm to an employment tribunal alleging
unfair dismissal. Mr Jewers, a part-time crooner on the North
East's nightclub circuit, had just returned to work after battling
with stress and depression, his father-in-law Alec McFadden, said.
In August last year, on the anniversary of Presley's death, Mr
Jewers was belting out a string of the star's hits as they played
over the airwaves when he claims he was sharply reprimanded.
A supervisor approached him and repeatedly insulted him with
a torrent of obscenities, he claimed.
Mr Jewers finally snapped and confronted the boss, asking him
to stop the abuse.
"Ten minutes later he was suspended on full pay - but nothing
happened to the supervisor. They then proceeded to go through
a disciplinary procedure and after 21 days David was sacked for
threatening behaviour, Mr McFadden a senior TUC offical said.
"I think this foreman must have had an obsession against
Elvis. Given that the whole world was singing Elvis songs that
day you wonder why it has happened," he said.
Mr Jewers
is to face his former employees at an employment tribunal in Newcastle
upon Tyne on January 22
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| Cough
Weeze NY Clean Air Free |
New
York seeks EPA waiver from clean gasoline rules
By Tom Doggett
WASHINGTON, Jan 14
Reuters
New York state has asked the Bush administration for a waiver
from federal rules that require cleaner-burning reformulated
gasoline to be sold in the New York City metropolitan area.
The state is worried about
using reformulated gasoline containing the fuel additives
MTBE, which can contaminate underground drinking water,
or using ethanol, which is difficult to transport to the
Northeast.
New York's Department of
Environmental Conservation asked the Environmental Protection
Agency last week for the waiver that would take effect Jan.
1, 2004.
Approval of the waiver
is unlikely, as the EPA denied a similar request from California.
Also, the Bush administration is pushing for more use of
ethanol -- which is made from corn -- a move favored in
farm states.
Ironically, New York is
asking EPA for a waiver of federal clean gasoline rules
at the same time it is suing the agency for not doing enough
to stop Midwest power plants from spewing polluting emissions
across state lines into the Northeast.
An EPA spokeswoman said
the agency was reviewing New York's waiver request, but
could not say when it would act on the proposal.
Federal law requires major
metropolitan areas with the worst ozone air pollution to
use gasoline that contains at least 2 percent oxygen by
weight. The extra oxygen makes the gasoline burn more cleanly.
Most refiners blend either
MTBE -- short for methyl tertiary butyl ether -- or ethanol
into gasoline to meet the oxygenate requirement.
New York told EPA it opposed
MTBE because it has been found to leak from underground
storage tanks and contaminate drinking supplies with a bad
taste and odor. New York has joined many other states in
banning MTBE.
New York also told the
agency that using ethanol as a replacement for MTBE would
produce gasoline that had a higher evaporation rate, which
would put more polluting emissions into the air.
In addition, the state
said it was difficult to transport ethanol in the near term
from the Midwest, where the fuel additive is made, because
it can't be transported by pipeline to the Northeast.
The ethanol would have
to transported by truck, barge or rail.
New York said that 960
million gallons (22.9 million barrels) of ethanol a year
would be needed in the Northeast, which would require 34,000
miles of barge travel and 3 million miles of tanker truck
travel.
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| Behold
The Tomahawk! |
2003
Detroit: Dodge unleashes Tomahawk motorcycle to reinforce
attitude
By
DIANA T. KURYLKO
Automotive News
Jan. 09, 2003
Ram
pickups, Hemi engines, high-performance variants - the driving
force at Dodge today is to do things at the outrageous end
of the attitude scale.
Dodge
added emphasis to that stance with the Tomahawk, a motorcycle
type vehicle that's little more than wheels and a seat hung
off a 9.0-liter, 500-horsepower V-10 from the Dodge Viper
SRT-10. The concept was rolled out at the Detroit auto show
on Monday, with Chrysler group COO Wolfgang Bernhard at
the wheel.
Bernhard said the automaker is considering building several
hundred units of the motorcycle and charging $250,000 each.
"We
showed it to a couple of guys and they fell to their knees
and started to cry, I have never seen anything like it,"
said Bernhard, who personally swore off riding motorcycles
years ago "because I decided I wanted to live."
The
Tomahawk can accelerate from 0-60 miles-per-hour in 2.9
seconds. Top speed is an estimated 300 mph, although the
concept has been run up to only 100 mph.
Chrysler
group design chief Trevor Creed said the concept was shown
a year ago to Chrysler CEO Dieter Zetsche. Rather than dismiss
the Tomahawk sketch as a designer's fantasy flight, to Creed's
surprise Zetsche said, "Of course we're going to build
this concept, right?"
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| Read
the entire story here. |
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| Concepts
Show MoparStyle |
2003
Detroit: Dodge concepts blend power and panache
AutoWeek
The
Dodge Durango RT being shown as a lightly disguised concept.
Dodge Division is out to stoke its reputation as the Chrysler
group's home of performance and personality with a quartet
of new designs.
The
Dodge concepts - one unveiled in Los Angeles, the rest in
Detroit - are loaded with horsepower and styling attitude.
They fall into two groups: the nearly production-ready Magnum
wagon and Durango RT Hemi sport-utility and the just-a-dream
Avenger sedan and Kahuna minivan.
Dodge
Avenger
The Avenger is a five-door hatchback styled in the genre
of a European rally coupe, says Trevor Creed, the Chrysler
group's chief designer.
Creed
danced around the issue of why a four-door is being compared
to a coupe, arguing that the Avenger needed the extra doors
to fit Dodge's image of practicality.
In keeping
with the rally car spirit, the all-wheel-drive Avenger's
interior is nearly stripped - there is no carpet or headliner
- with extensive use of aluminum.
"The
designers who worked on it had a great phrase: 'Nothing
fussy in here,'" Creed said.
The
Avenger was not built on an existing or production-planned
platform, but it is the size of Dodge's upcoming D-class
cars being developed with Mitsubishi and scheduled for 2005.
At 187.2 inches, the Avenger is nearly 3 inches shorter
than the Dodge Stratus. But the Avenger is 7 inches taller
than the Stratus.
The
rear seat backs fold down flat, and the hatchback recesses
high into the roof, making it easier to load big objects
into the back.
The
Avenger is powered by the 3.5-liter V-6 engine that debuts
in March on the Chrysler Pacifica sport wagon.
Dodge
Kahuna
The Kahuna, designed at the Pacifica studios in California,
is a lighthearted example of how Dodge could approach the
youth-oriented cargo-hauler segment with a six-seater that
has a surfing theme. Kahuna means big wave, and the instrument
panel gauges are seashell-shaped.
But
the Kahuna is still a minivan - albeit with shorter front
and rear overhangs than the production vans. The Kahuna
is 185.6 inches long, compared with 189 inches for the Dodge
Caravan short-wheelbase model.
The
roof has a translucent fabric top. The doors open conventionally
but the windows are frameless.
Power
comes from the 2.4-liter turbocharged four-cylinder engine
used in the Chrysler PT Cruiser turbo.
Dodge
Durango RT
Dodge was compelled to follow the "bigger is better"
philosophy for the 2004 Durango RT sport-utility, being
shown as a lightly disguised concept.
"We
have taken our vehicle up again in size," said Creed,
comparing it with the full-sized Ford Expedition and Chevrolet
Tahoe sport-utilities.
"When
we did the original Durango, we thought it was the right
size. It had three rows of seats but wasn't too large. This
time around is no different, except everybody's grown up.
Even our own Grand Cherokee is bigger than the previous
Grand Cherokee."
The
Durango RT's wheelbase has increased by 3 inches to 119.2
inches, vs. 116 inches for the Chevrolet Tahoe and 119 for
the Ford Expedition. The longer wheelbase allows 15 percent
more interior room, Creed said. At 197.2 inches, the Durango
is nearly the same length as the Tahoe (198 inches) and
shorter than the Expedition (205 inches).
Styling
was influenced by two concept vehicles from prior auto shows:
the Power Wagon and Power Box, Creed said.
There's
a strong family resemblance, primarily in the front end,
to the year-old 1500 Dodge Ram pickup. The Durango will
share components with the Ram but has its own platform.
Power
comes from a 5.7-liter V-8 with hemispherical combustion
heads, which makes 345 hp at 5,400 rpm and 375 pounds-feet
of torque at 4,200 rpm.
Magnum
SRT-8
The first of the Chrysler group's new rear-wheel-drive large
cars, built on the LX platform, debuts as a Dodge wagon
called the Magnum SRT-8.
Although
the Magnum show car has all-wheel drive, the LX range will
be rear drive - a shift from today's LH range with front-wheel
drive and a cab-forward design.
The
new Hemi V-8 with 430 hp powers the Magnum concept.
The
show car has specialty treatment from the Chrysler group's
Performance Vehicle Operations unit, including bodywork,
20-inch tires and competition gauges on the instrument panel
similar to those used on the Dodge Viper.
With
a length of 197.7 inches, the Magnum is a long vehicle with
plenty of cargo room. Unlike the Chrysler Pacifica sport
wagon, the Magnum only has two rows of seats.
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| Mercedes
Benz, Made In China |
DaimlerChrysler
to beef up China operations
DETROIT, Jan 9
Reuters
DaimlerChrysler AG has begun talks with Chinese officials
to begin assembling Mercedes C-Class and E-Class luxury cars
in a joint venture with a local partner, the auto giant said
on Thursday.
"The
negotiations are going well, but we don't have a final agreement
yet," a spokesman said.
The Wall Street Journal, citing people familiar with the
matter, reported earlier the firm expects to have an agreement
in place later this year and hopes to set up a plant where
Chinese workers would build the vehicles from kits shipped
from Germany. It eventually expects to assemble 20,000 to
30,000 Mercedes cars a year in China, the sources said.
A company spokesman said that DaimlerChrysler executive
Roman Fischer would take over as the group's head of operations
in China, reporting directly to group Chief Executive Juergen
Schrempp. He will be charged with expanding the presence
of its Mercedes-Benz, Chrysler, Jeep, and truck brands in
China.
The appointment, effective from April 1, indicates the importance
of the Chinese market to DaimlerChrysler.
Most car companies and industry experts say China will be
one of the fastest growing auto markets in the world in
coming years.
In recent months other big vehicle makers have set plans
to invest millions of dollars in China.
|
Read
the entire story here.
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| Retro
Wave Crashes into Shore |
Retro
look becoming passe for new car designs
Reuters
January 07, 2003
DETROIT
When General Motors unveiled its new Pontiac GTO coupe, the
name evoked memories of the muscle sportscar era of the 1960s,
but its styling bears little of the retro design that has
captivated the automotive industry in recent years.
The
Volkswagen New Beetle, the Chrysler PT Cruiser, the Mini
and the Ford Thunderbird, some of the most widely praised
cars recently, all cast a nostalgic spirit. But most of
the new cars and trucks that debuted at the Detroit and
Los Angeles auto shows over the past week reflect more modern
design rather than memories of the past.
"We
didn't want retro because retro would be too easy,"
GM Vice Chairman Bob Lutz said of the new GTO. "We
wanted to attract buyers who would consider German and Japanese
rear-wheel-drive cars, so we wanted it to look contemporary."
To any
skeptics who suggest the new GTO, which goes on sale this
year, looks so little like the original because GM rushed
it to market, Lutz said the next-generation GTO will also
be more modern.
RETRO
DEAD
Even
Wolfgang Bernhard, COO of Chrysler Group, whose PT Cruiser
was the sensation of the Detroit auto show in 1999, says
the retro look is dead.
"It
was dead before it was born," Bernhard said.
One
problem with retro designs, he said, is keeping the look
fresh when the car is redesigned, yet maintaining its retro
look.
"When
you do a face-lift, how are you going to take it to the
next stage?" he said, attributing the success of the
PT Cruiser to its roomy interior. "A part of PT is
design, but what people like about it is its functionality."
While
the New Beetle and the PT Cruiser were wildly successful
when they were launched a few years ago, the cars now sit
longer on dealer lots than most new vehicles, said Tom Libby,
an automotive analyst with J.D. Power and Associates.
Chrysler
and Volkswagen have tried to keep sales strong by offering
new options such as turbo engines, limited edition colors,
and convertible tops, which recently debuted on the New
Beetle and will come soon on the PT Cruiser.
"The
retro thing seems to have subsided," he said. "There's
a real challenge to the long-term prosperity of retro vehicles.
By definition, their design is locked in."
CARS
THAT LOOK FAST
There's
nothing retro about the Infiniti Triant, a concept two-door
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