Subaru Legacy Concept

Marking the 20th anniversary of the Subaru Legacy, Subaru is proud to announce a concept model that suggests the direction of future Legacy Sedan design. The LEGACY CONCEPT has been developed to showcase the Legacy’s sporting capabilities and features Subaru’s Symmetrical All-Wheel drive system mated to a Horizontally-Opposed Boxer engine.

World's Fastest Street-Legal Sedan title with Hurricane M5 RS

The gloves are off in the battle to produce the world's fastest street-legal sedan, and the competition is getting hotter as German tuning giants Brabus and G-Power practice a game of one-upmanship. First, G-Power unveiled its 225mph (360km/h) Hurricane M5, based on the BMW M5. That car used a pair of blowers on the M5's V10 to lift power by almost 50% to 730 horses.
Then Brabus came out with the Rocket, based on the Mercedes CLS but with a bored out, twin-turbo V12 that propelled the car to 227mph (365.7km/h) much to the consternation of G-Power. Now, however, G-Power has reclaimed the title for the world's fastest street-legal sedan with the unveiling its its new G-Power Hurricane M5 'RS'.
The new Hurricane RS takes power in the M5 from the already lofty 730hp to an even more insane 750 horses. With just a 20hp increase, the Hurricane RS was able to wrestle the title for fastest sedan back from Brabus, posting a top speed of 228.3mph (367.4km/h) at its test track.
The extra 20 horses were found by increasing the boost levels on the turbochargers, however according to G-Power there is further room to up the boost - something the company may have to do once Brabus unveils its next super-sedan in the hopes of reclaiming the record.

Mine’s shows off latest GT-R package at Tokyo Auto Salon

Famous Japanese tuner Mine’s first showed off its modified Nissan GT-R as far back as December 2007, and since that time the performance workshop has had plenty of time to develop new parts and accessories to make the car perform even better than before. Mine’s previous R35 GT-R proved to be faster around the track than a Lamborghini Gallardo, as well as the firm’s previous R34 GT-R model. The tuner’s latest work includes a brand new aero package, which includes of a full bodykit plus several additional carbon-fiber accessories.
Mine's Nissan GT-R at Tokyo Auto Salon

Riley Technologies announces plans for 500hp ‘Track Day Car’

Riley Technologies is a leading race car constructor and supplier of vehicles for many professional teams as well as track day enthusiasts. The company specializes in the design and manufacture of complete race cars, as well as prototype development for racing and manufacturing applications, and is the number one constructor of the Daytona Prototype chassis for the Rolex Grand-Am series. This month will see a total of 20 cars compete at the 47th annual 24 Hours of Daytona race, and of these more than a dozen will be based on a Riley design.

Dodge officially unveils Challenger R/T Classic

No matter how you feel about car manufacturers recycling their icons of the past, there’s no denying that the interest shown in the Challenger has been phenomenal. While there has been a lot of information about the flagship SRT8 muscle car, at this week’s Detroit Auto Show Dodge unveiled a special edition model based on the mid-level R/T. Today official details and photos of the new retro-mod were released. Evoking the spirit of the original 1970 Challenger, the Challenger R/T Classic will initially be offered the iconic Dodge Heritage colors of Hemi Orange and TorRed, plus standard colors including Brilliant Black Crystal Pearl, Bright Silver Metallic, Stone White.
2009 Dodge Challenger R/T and SE

First Hurst 50th Anniversary Dodge Viper sells for $275,000 at Barrett-Jackson auction

This past weekend’s Barrett-Jackson Classic Car Auction in Scottsdale, Arizona, saw a number of special vehicles go under the hammer, including this striking Dodge Viper that was prepared by vehicle customizer Hurst. The particular model is the first of the new Hurst 50th Anniversary Dodge Viper and it was sold for a cool $275,000. While that may seem excessive, Woodhouse Dodge promised to donate the profits from the sale to Victory Junction, a charity for chronically ill children. The car also came fully loaded with as much classic Hurst gear as possible, from the Hard-Drive gold pistol-grip shifter to Hurst forged aluminum wheels and an array of classic Hurst color combos.
Hurst 50th Anniversary Dodge Viper

Bentley's production V8 turns 50

Fifty years ago Bentley first installed a V8 engine in its iconic S2 Continental, and the legacy of that original 6.2L aluminum powerplant can still be found today in cars like the 530hp (395kW) Brooklands coupe, Arnage saloon and Azure convertible. To celebrate the achievement, Bentley’s board member for engineering, Dr. Ulrich Eichhorn, will give a keynote speech mentioning the engine at the Sir Henry Royce Memorial Foundation lecture in London on January 22. Today's Bentley V8 engine is true to the original design, however, it has achieved power and torque increases of over 150% through the introduction of fuel injection, turbocharging and intercooling technologies whilst also remaining compliant with the latest emissions standards.

Ex-McLaren designer reveals plans for P1-E electric roadster

Almost a year ago we first reported about a new lightweight British sports car designed by former McLaren Cars employee Jim Dowle. The car was codenamed ‘Project 001’ and it was to be the first development of Dowle’s new engineering outfit, JJAD. Not much has been heard about JJAD and its Project 001 since then but now details about an all-electric roadster from the small British start-up have surfaced. JJAD's latest project is called the P1-E and it will be based on the same platform being developed for Project 001.
JJAD P1-E electric roadster

Bentley announces seven week production halt

Coming off record sales of 10,014 vehicles in 2007, Bentley's performance last year didn’t go so well, with sales figures dropping by up to 20% over the course of the year. The super-luxury carmaker is being forced to make further cutbacks after earlier shift reductions and production slowing didn't reach far enough to counter decreased demand. Bentley announced today that it would suspend production for up to seven weeks because of falling demand. "There's a global downturn in the automotive market," company spokesman Mike Hawes told AFP.
Bentley Continental GT Speed

UK Garage introduces V8-powered Lotus Extrema

UK Garage is a specialty vehicle importer located in Italy that has a penchant for modifying cars such as this latest Lotus Exige, which has been given the V8 treatment. Called the Extrema, a nod to the serious modifications undertaken by UK Garage’s engineers, the new package takes the standard Exige and redesigns it almost from the ground up. Starting with the original Mark I edition of the Exige, UK Garage has created a custom bodykit to resemble the design of the Mark II series, but has also widened the vehicle’s track and stretched the wheelbase 20cm.
UK Garage Lotus Extrema

What next for Pontiac and Saab?

All bets are off as GM races to restructure

With Chevrolet, GMC, Buick, and Cadillac named as GM's "core" North American brands, the Internet is rampant with all sorts of speculation about what General Motors plans to do with its "Excitement Division." Fact is, GM isn't there, yet. GM can't develop a plan until its finances are certain enough to take all its projects from being on hold, and then it has future corporate average fuel economy standards to consider. However, GM has said Pontiac is to become a "specialty" brand, while Saturn and Saab are under strategic review and Hummer is up for sale.

Audi S3, Becomes Boehler Concept BS3

Based on an Audi S3, O.CT Tuning built their own version and named it Boehler Concept BS3. The three-door hatch they came out with, has a slightly modified exterior with widened rear fenders, rear bumper with better aerodynamics, a rear air diffuser, an improved air intake system, 8-piston brakes with 372mm discs and a new sport exhaust system with stainless steel tailpipes. But there are also engine tweaks that make it at least one second faster than the standard S3, thanks to a powerplant that outputs 328hp (241kW) and maximum torque of 425Nm. Only 100 units will be built, so if you like it better have €67,000 (US$86,100) to shell out for it (base price). [via autoblog.nl]

Flashy Lamborghini Murcielago LP640 - Very Flashy - Videos

I really do not have any words for this Lamborghini Murcielago LP640 spotted in Japan. All I can say is “flashy”. Other words really cannot full describe this ridiculous THING. I do not know what else to call it other than a “THING”. That’s a lot of freaking lights. Someone may be begging for some “attention” maybe? Ya think?

Watch the videos below to fully understand my lack of words or my deep-felt frustration for messing up what use to be artwork. Now it is just… ahhhh… nevermind, just watch the videos.

Disclaimer: We will not be

V12 Vantage: Aston Martin's most exhilarating sports car

Aston Martin will present the most potent production sports car in the marque's 95-year history in Geneva. Based on the hugely successful V8 Vantage, the V12 Vantage will feature a 6.0-litre V12 engine producing 510 bhp, and 570 Nm of torque with a top speed of 190 mph (305 km/h) and 0-62 mph (0-100 kp/h) time of 4.2 seconds.

Saleen owners have considered purchasing Dodge Viper business

As you’ve probably heard by now, a company known as MJ Acquisitions has purchased most of Saleen’s street-performance car, aftermarket and supercharger business. According to Automotive News, it is now reported that MJ Acquisitions along with other Michigan auto-related companies have considered buying Chrysler’s Dodge Viper business.

Chrysler announced recently that it has had three offers for its Viper business since the automaker put it up for sale in August 2008. Chrysler declined to name the three companies from which it received offers.

According to Mike Shields, who owns a controlling interest in MJ Acquisition, Cyltec, Arrow Racing Engines, Control-Tec and Power-Tec Engineering, the group has considered purchasing Viper.

Shields would not say whether his group is among the three bidders Chrysler speaks of. The Viper operation includes a factory in Detroit, the workers and the car itself.

Shelby unleashes 750-horsepower GT500 Super Snake Prudhomme Edition

Click above for a high-res gallery of the Shelby GT500 Super Snake Prudhomme Edition

Tonight at the Wally Parks NHRA Motorsports Museum in Pomona, California, Carroll Shelby and Co. unveiled what is by far the most radical Mustang ever built for the street. Named after Don "The Snake" Prudhomme, who drove a top fuel car for Shelby in the 1968 season, the new Shelby features a 750 horsepower (over 800 on race fuel) version of the GT500's 5.4-liter V8 thanks to an upgraded Kenne Bell supercharger.
Other modifications include a custom fiberglass full tilt front end, a Shelby rear drag wing, eight-point roll cage, six-piston front brakes, rear seat delete, coilover springs, custom Bogart wheels, and much more. Did we mention it's STREET LEGAL? Pricing comes in at a stout $99,995 to upgrade a currently titled car or $149,995 for a complete car. Production will be limited to just 100 examples. More details on the car and the history between Shelby and Prudhomme can be found in the press release after the jump.

Pagani Zonda R: New Official Images Released

I have to agree that many people do not realize what a Pagani Zonda is let alone the new Pagani Zonda R even when it comes to some car enthusiasts. One day I will be able to pull up to a crowd of people in a new Pagani Zonda R and they are all going to look at me with this confused facial expression that basically says “what in the world is that.” I will then find myself trying to explain that my Pagani Zonda R has an improved variation of the 7.3 liter AMG V12 that other Zondas have while my R version should beat the recorded Nurburgring lap time of 7:27.82 that the Zonda F accomplished some time ago. After that I will have to repeat myself about 10 more times and then tell them this is an all new model that has a longer wheelbase than the Zonda F and has been redesigned from the ground up only carrying over about 10% of the components from the Zonda F. Then they will ask me what the hell is a Zonda F and I will have to slap a few people and then… I will wake up from my dream and tend to the serious bump on my head from hitting it on something.

In your dreams right? Well, maybe not if you have over a million dollars to buy one of these bad boys. Better put your name on the list now before they are all gone because this one is going to be FAST!

A few Pagani Zonda R stats to daydream about:

• 0-62mph: 3.0 seconds
• Top Speed: 233mph
• Horsepower: 739bhp
• Engine: Mercedes Benz AMG 6.0 liter V12
• Transmission: Paddle-shift (sequential) gearbox with 20 millisecond shift time
• Vehicle Weight: 1070kg
• Price: $1.8 million (USD) est.
• Codename: C9
• Origin: Italy

Oregon introduces bill to ban aftermarket car parts

Cars are such an easy target for politicians looking to bolster their green image. The latest is Oregon Governor Theodore Kulongoski, who has had the Speaker of the House introduce a bill that could make many aftermarket parts unavailable.
Tires are the main aim of the bill, which seeks to prohibit parts availability if there are choices that decrease greenhouse gas emissions. It amounts to a back-door fuel economy standard, which is the jurisdiction of the federal government unless you're California -and even they need a waiver. The prospect of fitting Pilot Sports to your Geo Metro will be out the window if H.B. 2186 finds traction, and it could stick you with zero alternatives based on some myopic metric like rolling resistance. Putting our legislators in charge of what equipment should be fitted to our cars doesn't strike us as the brightest idea. Hit the linked article for contact information, so you know who to call and excoriate. Thanks, Charlie!
[Source: SEMA]

2009 Scion tC RS 5.0 - Auto Shows

It seems as though every auto show brings a new installment in the Scion “Release Series” saga. Following the xB RS 6.0’s debut last month in Detroit, the limited-edition tC RS 5.0 is makingits debut this week at the 2009 Chicago auto show.

The first Scion RS vehicles offered little more than visual enhancements, but the tC RS 5.0 sports a Toyota Racing Development rear sway bar and lowering springs. Also tucked underneath the rear is a TRD sport muffler, giving the tC RS 5.0 what the manufacturer refers to as “an aggressive sound signature.” Or it could just be loud and annoying—we haven't heard it yet. We also haven't driven a tC with TRD parts, but when we fitted TRD lowering springs and shocks to our long-term Scion xB, we felt and measured an improvement in handling. A rear lip spoiler ($285) is optional.

Keep Reading: 2009 Scion tC RS 5.0 - Auto Shows

Top Car Video Games: Which Car Game Is The Best?

Racing and car games are part of the automotive enthusiast culture. If you are 12 years old 18 years old or even 40, you know that there is a presence of racing and car games available to all of us from the old days of Pole Position to the new age racing games of Gran Turismo, Forza, Need for Speed and others. So which modern racing or car game is the best? I will let you decide. Below is a list of current car games, mainly from the racing genre, that I have come up with. If you feel that a major game is missing from the list please inform me through the comments below or our contact us link.

The games that I have selected for the list are mostly composed of ones where you get to drive or race a modern street car instead of a full-fledge racecar. I have tried to keep the list composed of games that are no older than a few years. Although many of these games are offered on more than one gaming system, please judge it based off of the game itself instead of a particular gaming platform.

I will start off the poll by voting for my favorite, Gran Turismo 5 Prologue.

Happy voting!

Note: There is a poll embedded within this post, please visit the site to participate in this post's poll.

If it is taking time for you to make up your mind then you can take a break and watch the few videos below.

Auto Trader readers' top cool cars revealed

The Ford Ka is cooler than an SSC Ultimate Aero, and the Volvo C30 beats the Mini Convertible. But what?s the coolest car of all? Here?s what you picked...

ABT Sportsline AS5-R coming to Geneva with 510-hp

ABT Sportsline will be coming to the Geneva Motors Show next month with three of its previous starts and one new world premier. The Volkswagen/Audi based tuner will unveil its latest creation dubbed the ABT AS5-R.

Based on the Audi S5 which is powered by 4.8L V8 that produces 354-hp, the AS5-R, with the help of some tuning work by ABT Sportsline engineers, produces a total of 510-hp. Besides the increased horsepower ABT will be showing off a new body kit for the S5 with a set of new wheels.

Joining the ABT AS5-R will be the ABT Q5, ABT R8 and the ABT Scirocco.

ABT Sportsline 2009 Geneva Motor Show Lineup:

Phantom gets a Phacelift: Rolls-Royce sedan updated for 2009

By: Noah Joseph

It's hard to feel bad for something as stately as the Rolls-Royce Phantom sedan, but the model that relaunched the most distinguished of British automakers under BMW's patronage has soldiered on without a complaint while all the others got the attention. Since its introduction in 2003, the Phantom has spawned the Coupe and Drophead versions, as well as the Extended Wheelbase model. And with the Silver Ghost due to arrive soon, the Phantom must have started to feel a little left out.
But Rolls-Royce isn't about to forget its core product, so it's giving the Phantom a mild update for the 2009 model year, just to show they care. On the outside, the revised Phantom gets a new bumper with a shallower stainless steel grille like those on its two-door compatriots. Rolls has also added such luxury touches as LED lights in the door handles and three new sets of aluminum wheels for customers to choose from. Inside, the impossibly luxurious cabin gets some updates to the entertainment system and redesigned interior door panels.

Bentley’s extreme biofuel supercar to produce 630-hp

Bentley is gearing up to unveil its most extreme Bentley ever at the 2009 Geneva Motor Show. When you hear “extreme” you probably think that the car will have a huge gas-guzzling engine under the hood however, Bentley’s “fastest, most powerful production car ever,” will be a biofuel supercar.

According to Autowereld, the most extreme Bentley (which may carry the Victoria badge) will be powered by a W12 bi-turbo engine that will produce a neck-snapping 630-hp - that’s 30 more horsepower than the Continental GT Speed. 0 to 62 mph is expected to come in at about 4 seconds. Sources say that Bentley has also removed the rear seats to cut some weight.

We’ll have more details on March 3 from the 2009 Geneva Motor Show. Stay tuned.

Bentley Biofuel Supercar Teaser:

Source: Autowereld

Chrysler submits viability plan to Treasury, asks for another $2 billion

Chrysler today submitted its viability plan to the U.S. Treasury Department outlining the company’s plans to continue its aggressive restructuring and plans to payback government loans. Chrysler said that it is seeking an additional $2 billion to its original $7 billion loan request (which was completed earlier today).

The Auburn Hills automaker said that its “viability plan is built around a robust product plan, including 24 launches in 48 months and the introduction of electric vehicles to help meet current federal fuel economy standards.” The first electric-vehicle (we have no idea what it will be and we highly doubt Chrysler does) will arrive sometime in 2010.

Chrysler said that it has agreed with dealers, suppliers and 2nd lien lenders to reduce costs. It said that an agreement has been reached with the UAW that will provide Chrysler with a cost-competitive work force that is in line with its rivals.

Speaking on its alliance with Fiat, Chrysler said that the deal represents a “significant strategic and financial benefits to stakeholders.” It said that the Fiat Alliance would give strength to the company’s viability plan, giving it access to fuel-efficient vehicle platforms and other cost-saving opportunities.

Chrysler said that it will begin payback of its loans by 2012.

Make the jump to read Chrysler’s press release for more details.

Press Release:

Chrysler LLC Viability Plan Submitted Today to The U.S. Treasury Department

    - Chrysler LLC viability plan to be finalized by March 31 deadline
    - Chrysler to complete its aggressive restructuring started in 2007 and 2008
    - Chrysler viability plan is conservatively based and newly reflects an average annual 1.8 million-unit reduction in the Company’s expected annual U.S. SAAR through 2012
    - Chrysler’s viability plan is built around a robust product plan, including 24 launches in 48 months and the introduction of electric vehicles to help meet current federal fuel economy standards
    - The Company’s submission demonstrates standalone viability which could be enhanced through a strategic alliance
    - Dealers, suppliers and 2nd lien lenders’ concessions have been implemented or fundamentally agreed upon
    - A tentative agreement has been reached with the UAW that complies with the terms and conditions of The U.S. Treasury Department’s loan agreement
    - Due to unprecedented economic decline and a drop in current and forecasted U.S. SAAR, the Company adds $2 billion to its original $7 billion loan request
    - Payback of Chrysler LLC’s working capital loans with a premium would begin in 2012

Auburn Hills, Mich., Feb 17, 2009  -  Chrysler LLC today submitted its viability plan to the U.S. Treasury Department, outlining the Company’s plans to: enhance its product lineup; complete its ongoing aggressive restructuring; and achieve cost reducing concessions from stakeholders. The Company’s plan is required to be finalized by March 31. The submission outlines significant progress towards meeting the terms of the U.S. Treasury Department’s loan agreement related to achieving competitive costs and increasing fuel economy.

“On behalf of the men and women of our extended family, we thank the Administration and the Congress for the opportunity to continue the process of requesting federal loans to assist Chrysler LLC in the restructuring necessary to achieve long-term viability,” Chrysler LLC Chairman and CEO Robert L. Nardelli said. “We fully understand the need to adapt to significantly reduced annual U.S. sales and to national concerns over energy security and climate change.

“We believe that Chrysler LLC will be viable based on the updated assumptions contained in this submission, and that an orderly restructuring outside of bankruptcy, together with the completion of our standalone viability plan, enhanced by a strategic alliance with Fiat, is the best option for Chrysler employees, our unions, dealers, suppliers and customers. Today, our people are eager to re-establish Chrysler as an iconic American company and, in the process, repay the U.S. government and taxpayers for their faith in our future. We believe the requested working capital loan is the least-costly alternative and will help provide an important stimulus to the U.S. economy and deliver positive results for American taxpayers. This plan will ensure the continued provision of health care and pension benefits to our active employees and retirees, while continuing to protect hundreds of thousands of middle class, quality American jobs at Chrysler, our dealer network and our suppliers.”

To help meet customer needs and increased federal fuel economy standards, Chrysler plans 24 vehicle launches in 48 months, and announced electric technology as a primary strategy for developing fuel-efficient, low emission vehicles, including an electric-drive vehicle in 2010. The viability plan shows compliance with current federal fuel economy requirements as set forth in the Energy Independence and Security Act of 2007. Going forward, Chrysler supports the development of a uniform national standard that reflects the input of all constituents.

To reduce costs, dealers, suppliers and 2nd lien lenders’ concessions have been implemented or fundamentally agreed upon. A tentative agreement has been reached with the UAW that complies with the terms and conditions of The U.S. Treasury Department’s loan agreement. Once realized this tentative agreement would provide Chrysler with a work force cost structure that is competitive with the transplant automotive manufacturers.

Since Chrysler LLC’s original $7 billion submission, there has been an unprecedented decline in the automotive sector. The continued lack of available credit affects consumers and dealers, leading to reduced wholesale orders for Chrysler. Due to this continued lack of consumer credit, we are revising our Seasonally Adjusted Annual Rate (SAAR) forecast in the plan submitted today, which is conservatively based and reflects the reality of a declining automotive industry. We are now projecting a SAAR level of 10.1 million units for this year, (which is a 40-year low for our industry) and an average SAAR level of 10.8 million units for 2009-2012. This is a reduction from our original December submission of 7.2 million units, or an average 1.8 million units annually during the four years. For Chrysler, this represents a sales decline of approximately 720,000 units, (or an average 180,000 units per year) assuming a 10 percent market share. For Chrysler, this results in approximately $18 billion in lost revenue and a $3.6 billion decline in cash inflows during the four years.

Based on this, we will require incremental financial support to continue our orderly and effective restructuring and are therefore now seeking an incremental $2 billion in addition to the remaining $3 billion that was within the scope of our original December 2 plan submission.

Chrysler LLC Viability Plan Highlights

Strategic Alliance
Chrysler has signed a non-binding agreement to pursue a strategic alliance with Fiat that represents significant strategic and financial benefits to stakeholders. The written and oral testimony Chrysler submitted to the U.S. House and Senate in 2008 stated the Company’s intent to seek the benefits of global partnerships and alliances. The proposed Fiat Alliance would enhance Chrysler’s viability plan and would provide the Company with access to competitive fuel-efficient vehicle platforms, distribution capabilities in key growth markets and substantial cost-saving opportunities.

Products
Chrysler’s product line is a key component of its Viability Plan. In 2010, the Company will launch four highly successful platforms: a new Jeep Grand Cherokee, a new Dodge Charger, a new Dodge Durango and a new Chrysler 300 (the most awarded car in automotive history since its launch in 2005). The Chrysler 300 launch will be followed by a new, bolder Dodge Charger and an all-new unibody Dodge Durango.

In 2008, Chrysler offered six vehicles with highway fuel economy of 28 miles per gallon or better. For 2009, 73 percent of Chrysler LLC’s vehicles show improved fuel economy compared with the prior year’s model. Fuel economy will continue to improve in 2010 with the introduction of the all-new Phoenix V-6 engine, which will provide fuel efficiency improvements of between 6 to 8 percent over the engines it replaces. A two-mode hybrid version of the Company’s best-selling vehicle, the Dodge Ram is scheduled for 2010. The first Chrysler electric-drive vehicle is also scheduled to reach the market in 2010. It will be followed by other electric-drive vehicles, including Range-extended Electric Vehicles, in the following years in order to further reduce fuel consumption.

The proposed Fiat alliance would further help the Company achieve these standards as Chrysler gains access to Fiat’s smaller, fuel-efficient platforms and powertrain technologies. The alliance would enable Chrysler to reduce its capital expenditures while supporting the company’s commitment to develop a portfolio of vehicles that support the country’s energy security and environmental objectives.

Restructuring Actions
Chrysler LLC has aggressively restructured operations to significantly improve cost competitiveness while improving quality and productivity. Through year end 2008, Chrysler has:

    - Reduced fixed costs by $3.1 billion
    - Reduced its work force by 32,000 (a 37 percent reduction since January 2007)
    - Eliminated 12 production shifts
    - Eliminated 1.2 million units (more than 30 percent) of production capacity
    - Discontinued four vehicle models
    - Disposed of $700 million in non-earning assets
    - Improved manufacturing productivity to equal Toyota as the best in the industry as measured by assembly hours per vehicle according to the Harbour Report
    - Achieved lowest warranty claim rate in Chrysler’s history
    - Recorded the fewest product recalls among leading automakers in 2008

The following additional restructuring actions are planned in 2009:

    - Reduce fixed costs by $700 million
    - Reduce one shift of manufacturing
    - Reduce total manpower by 3,000 people
    - Discontinue three vehicle models
    - Take out 100,000 units of capacity
    - Sell $300 million additional non-earning assets

Management Concessions
Chrysler will fully comply with the restrictions established under section 111 of EESA relative to executive privileges and compensation. In addition, the Company has suspended the 401k match, incentive bonuses, merit increases and has eliminated retiree life insurance benefits.

Dealer Concessions
Chrysler will achieve cost savings/improved cash flow through a number of initiatives including: reduced dealer margins, elimination of fuel fill, reduction of service contract margins.

Union Concessions
The signed term sheets for the UAW Labor Modifications and VEBA modifications fundamentally comply with the requirements set forth in the U.S. Treasury Loan and once realized would provide Chrysler with a work force cost structure that is competitive with the transplant automotive manufacturers. This agreement is subject to ratification.

Supplier Concessions
The Company has initiated the dialogue with its suppliers and believes that it will be able to obtain substantial cost reductions from suppliers that will result in achieving targeted savings. Chrysler supports the supplier associations’ proposals, which would provide a government guarantee of OEM accounts payables.

2nd Lien Debt Holders Concessions
Chrysler anticipates that the holders of the 2nd Lien Debt will agree to convert 100 percent of their debt to equity. Chrysler’s Viability Plan includes expectations to further reduce its outstanding debt by $5 billion. In addition to strengthening the Company’s balance sheet for the long term, this reduction will also provide immediate cash flow via interest savings of between $350 million and $400 million annually.

Clarkson and Hammond’s helicopter makes emergency landing after being hit by seagull

UK Top Gear stars Jeremy Clarkson and Richard Hammond were lucky enough to come out unscratched after their helicopter was hit by a seagull after take-off. About 400ft over Auckland Harbour in New Zealand, the Top Gear duos helicopter made an emergency landing when a seagull flew into the rotor blade.

The pilot made an emergency landing at a nearby helipad. After the landing, Clarkson and Hammond took photos with the helicopter and the pilot before going on a sightseeing trip with four other passengers

Wagoner to discuss GM’s viability plan being submitted to Treasury

GM’s Chairman and CEO Rick Wagoner will be holding an news conference at 6:30 p.m. EST to discuss General Motor’s viability plan being submitted to the U.S. Treasury. Wagoner will also provide an update on the company’s restructuring efforts

The conference will take place in the Jefferson Room of the Renaissance Conference Center on the second level of GM’s global headquarters in Detroit

GM submits viability plan to Treasury, asks for an additional $16.6 billion

Along with Chrysler LLC, General Motors today presented its long-term viability plan to the U.S. Department of Treasury. The plan, which is the first of the two status reports required by the loan agreement, outlines GM’s restructuring plans.

GM has asked the government for an additional $16.6 billion to help it survive. The Detroit automaker said that without the new funding, it will run out of money sometime in March. Under the new plan submitted to the Treasury Department, GM’s loans and lines of credit will now total $30 billion.

Earlier today, GM received $4 billion in the second round of the previously approved $13.4 billion. It is now requesting another $4.6 billion to meet its original request of $18 billion made in December. GM is also seeking a $7.5 billion revolving line of credit to help it if auto sales continue to decline later this year or next year. The automaker said it will begin repaying the loans in 2012.

GM also said that it will also cut 47,000 jobs globally by the end of 2009 and will close five U.S. plants by 2012.

Make the jump for GM’s press release.

Press Release:

GM Presents U.S. Government Updated Plan for a Viable, Sustainable Company

    - Updated plan demonstrates GM’s viability, despite further deterioration in global economy
    - Accelerated cost reductions
    - GMNA EBIT breakeven level lowered to U.S. industry levels of 11.5-12.0 million units
    - Additional government support requested in U.S., Europe and Canada
    - ‘Fewer, better’ products and brands, continued commitment to segment-leading fuel economy and advanced propulsion technology
    - Aggressive and bold plan that demonstrates significant progress

WASHINGTON - General Motors (NYSE: GM) today presented the United States Department of Treasury with an updated plan that boldly responds to the weaker global auto market conditions and details the company’s long term viability. The plan, which provides a comprehensive review of key aspects of GM’s restructuring, is the first of two status reports required by the loan agreement signed by GM and the U.S. Treasury on Dec. 31, 2008.

The plan submitted today addresses the key restructuring targets required by the loan agreement, including a number of the critical elements of the turnaround plan that was submitted to the U.S. government on Dec. 2, 2008. Among these are: U.S. market competitiveness; fuel economy and emissions; competitive labor cost; and restructuring of the company’s unsecured debt. It also includes a timeline for repayment of the Federal loans, and an analysis of the company’s positive net present value (NPV).

The plan also details the future reduction of GM’s vehicle brands and nameplates in the U.S., further consolidation in its workforce and dealer network, accelerated capacity actions and enhanced manufacturing competitiveness, while maintaining GM’s strong commitment to high-quality, fuel-efficient vehicles and advanced propulsion technologies.

GM’s viability plan actions result in a projected GM North America (GMNA) earnings before interest and taxes (EBIT) breakeven point of 11.5-12.0 million units in the U.S., compared to the 12.5-13.0 million unit range indicated in the Dec. 2, 2008 plan. The operating and balance sheet improvements outlined in GM’s viability plan are forecasted to result in a significant enterprise value and positive net present value, positive adjusted EBIT in 2010 and positive operating cash flow for its North American operations in the same year.

Overall adjusted operating cash flows are expected to approach breakeven levels in 2011, and improve to more than $6 billion in the 2012-2014 period, reflecting both the full effect of GM’s global restructuring initiatives and recovering industry volumes.

GM’s need for government support was driven by the global financial market crisis, dramatically weaker economy and the resulting precipitous decline in vehicle demand. These conditions have impacted the entire auto industry, which in the U.S. is down approximately 40 percent from its peak in 2005, to the lowest per capita sales rate in 50 years. Though the impact has been most severe in the U.S. and Western Europe, automakers around the world are reporting large losses, with many seeking government assistance to weather the downturn.

Following the steep decline in U.S. industry sales in December 2008 and January 2009, GM responded by further lowering its forecast for 2009 U.S. industry sales to 10.5 million units (57.5 million units globally) for viability planning purposes. These industry planning volumes are more conservative than those being used by most other industry sources.

“The U.S. and global auto industries are facing times of unprecedented challenge,” said GM Chairman and CEO Rick Wagoner. “These conditions dictate that we must take very tough actions to accelerate GM’s restructuring efforts. We’ve made a lot of progress since the plan we submitted on December 2, 2008, and we have more to do before March 31. The plan we delivered today to the U.S. Treasury is aggressive but achievable. It provides a clear pathway for GM that continues to support American manufacturing and technology innovation, which are vital to the future of our nation’s economy.”

Since the original plan submission on Dec. 2, 2008, GM has made significant progress in a number of areas, including the following:

Dealers and Brands

          o Evaluating Hummer sale options
          o Completed strategic review of global Saab business and sought buyers for the business
          o Saturn review complete; sale or spin-off possible; if not, phase out the brand at the end of current product lifecycle
          o Further reduction in model nameplates
          o Accelerated consolidation of GM’s dealer network

Cost Competitiveness

          o Further reduction in U.S. manufacturing capacity beyond Dec. 2 targets

          o Significant progress with the UAW to address labor cost competitiveness
          o Special hourly attrition program, salaried employment reductions
          o Canada restructuring discussions advancing
          o Engaged with European labor partners to achieve $1.2 billion in cost reductions

Balance Sheet

          o Term sheets exchanged with UAW and bondholder committee advisors
          o Initiated bond exchange negotiations with bondholder committee advisors
          o UAW and bondholder committee advisors conducting extensive due diligence

Building on progress GM has already made, the company is taking a number of additional actions to reduce costs, streamline its business and improve its competitive position.

Marketing and Revenue Improvement

In the U.S., GM will focus on its core brands; Chevrolet, Cadillac, Buick and GMC. Pontiac will serve as a focused brand with fewer entries, within the Buick-Pontiac-GMC channel. GM will have a total of 36 nameplates in 2012, down 25 percent from 2008 levels. The plan also provides additional detail on the Hummer, Saturn and Saab brands.

GM expects to make a decision to sell or phase out the Hummer brand by Mar. 31, with a final resolution expected no later than 2010.

GM has conducted a strategic review of the global Saab business and has offered it for sale. Given the urgency of stemming sizeable cash demands associated with Saab operations, GM is requesting Swedish government support prior to any sale. The company has developed a specific proposal that would have the effect of capping GM’s financial support, with Saab’s operations effectively becoming an independent business entity Jan. 1, 2010. While GM hopes to reach agreement with the Swedish government, the Saab Automobile AB subsidiary could file for reorganization as early as this month.

Saturn will remain in operation for the next several years, through the end of the planned lifecycle for all Saturn products. In the interim, if Saturn retailers or other investors present a plan that would allow a spin-off or sale of Saturn Distribution Corporation, GM would be open to any such possibility. If a spin-off or sale does not occur, GM plans to phase out the Saturn brand at the end of the current product lifecycle.

GM’s dealer count is also projected to be further reduced, from 6,246 in 2008 to 4,700 by 2012, and to 4,100 by 2014. Most of this reduction will take place in metro and suburban markets where dealership overcapacity is most prevalent. The result will be a smaller, but healthier GM dealer network.

Technology/Regulation Compliance

As indicated in the Dec. 2, 2008 plan, GM is moving ahead aggressively with plans to improve the fuel efficiency of its vehicles and develop a broad range of advanced propulsion technologies. The company is investing significantly in alternative fuel and advanced propulsion technologies in the 2009-2012 timeframe, supporting the expansion of GM’s hybrid offerings and development of the Chevrolet Volt’s extended-range electric vehicle technology.

For example, GM in January announced construction of a new U.S. manufacturing facility to build lithium-ion battery packs for the Volt. Lithium-ion batteries are an essential technology for advanced hybrids and electrically driven vehicles, and an important energy storage technology for other applications. GM has also committed to increasing its number of hybrid models to 14 by 2012, and to making more than 60 percent of its fleet alternative-fuel capable.

The investments in this restructuring plan will allow GM to become a long-term global leader in the development of fuel efficient and advanced technology vehicles. In doing so, the company will contribute to the development of this country’s advanced manufacturing capabilities and support the growth of “green” industries in the U.S.

Cost Reduction and Operational Actions

In order to improve capacity utilization and cost competitiveness, GM has consolidated its manufacturing footprint considerably by closing 12 manufacturing facilities in the U.S. between 2000 and 2008. Given the current very difficult market conditions, GM will close an additional 14 facilities by 2012, five more than were included in the Dec. 2, 2008 plan.

Agreements with the UAW concerning several items have been completed and are now being implemented. First, a special attrition program has been negotiated to assist restructuring efforts by reducing excess employment costs through voluntary attrition of the current hourly workforce. Second, the UAW and GM’s management have suspended the JOBS program. The program provided full income and benefit protection in lieu of layoff for an indefinite period of time. In addition, GM and the UAW have reached a tentative agreement relative to additional wage and benefit changes.

GM’s management estimates that these competitive improvements will further substantially reduce GM’s labor costs and represent a major move to close the competitive gap with U.S. transplant competitors. In addition, GM and the UAW have agreed to improve competitive work rules, which will also significantly reduce labor costs.

While these changes materially improve GM’s competitiveness and help the company realize a substantial portion of the labor cost savings targeted in the financial projections, further progress will be required to achieve the full targeted savings. GM plans to report these changes to the U.S. Secretary of Labor, who must certify GM’s competitiveness relative to the U.S. transplants.

Outside of the U.S., GM has accelerated restructuring plans for its Canadian, European and Asia-Pacific operations, all of which will be funded from sources outside the U.S.

Canada - Discussions are well advanced with the Canadian Federal and Ontario governments regarding long-term financial assistance to execute the restructuring actions necessary for long-term viability and with the Canadian Auto Workers (CAW) union on achieving competitive labor costs. The CAW has committed to achieving an hourly cost structure that is consistent with what is ultimately negotiated with the UAW.

Progress has also been made with the Canadian Federal and Ontario governments toward an agreement focused on maintaining proportional levels of manufacturing in Canada and on providing GMCL with a level of long-term financial assistance that is proportional to the total support provided to GM by the U.S. government. GMCL is continuing dialogue with its unions and the Canadian government with a target to finalize both agreements in March 2009.

GM remains optimistic both agreements can be completed by that time, which would enable GMCL to achieve long-term viability and enhance the value of GM. In the event that an agreement cannot be reached, GM will be required to reevaluate its future strategy for GMCL since it would not be viable on a standalone basis.

Europe - Europe is a highly competitive environment that is unprofitable for many vehicle manufacturers, and has a relatively costly restructuring environment. GM has engaged its European labor partners to achieve $1.2 billion in cost reductions, which include several possible closures or spinoffs of manufacturing facilities in high cost locations. In addition, GM is restructuring its sales organization to become more brand focused and better optimize its advertising. GM is also in discussions with the German government for operating and balance sheet support. A sustainable strategy for GM’s European operations may include support from partnerships with the German government and/or other European governments. The company expects to resolve solvency issues for its European operations prior to Mar. 31, 2009.

Asia-Pacific - In light of current market conditions, GM is reconsidering the pace of its expansion in the Asia Pacific region. As such, some of the proposed capacity expansion projects and product programs in the region are no longer financially feasible and will not proceed without financial support from either the respective governments or from other partners. GM is holding discussions with its stakeholders to address the required support.

Capitalization

As outlined in the GM viability plan, approximately $27 billion in unsecured public liabilities currently on the company’s balance sheet will be converted to a combination of new debt and equity, for a net debt reduction of at least $18 billion.

Negotiations are progressing with advisors of the ad hoc bondholder committee. Term sheets have been exchanged and due diligence regarding GM’s restructuring has commenced. The company anticipates that the bond exchange offer will commence in late March, consistent with requirements in the U.S. Treasury loan documents. Under the term sheet proposal, a substantial majority of the pro-forma equity in GM would be distributed to exchanging bondholders and the UAW VEBA.

Discussions with representatives of the UAW VEBA have also been progressing, and due diligence is also proceeding with respect to reaching agreement to convert at least half of future VEBA payments to equity. A draft term sheet has been provided to the UAW, and they have indicated their desire to discuss the VEBA situation with government officials prior to signing any such term sheet. Closing of the conversion of VEBA obligations and unsecured debt to equity should be complete in May of this year.

Government Funding

To complete its aggressive restructuring and fund its ongoing operations amid an uncertain economic environment, GM is requesting the U.S. government to consider funding the company with a combination of secured term loans, revolving credit, and preferred equity.

In the Dec. 2 submission, GM indicated that under a U.S. downside volume scenario, the company would need funding support of approximately $18 billion. In addition, GM assumed that the $4.5 billion U.S. secured revolver credit facility would be renewed when it matures in 2011.

In the current baseline forecast, near-term industry volumes are similar to the December 2 downside scenario, and so GM’s forecast indicates the company will need the $18 billion that was requested in December. In addition, based on current credit market conditions, it cannot be assumed that the company will be able to rollover the $4.5 billion revolver in 2011.

Therefore, GM is requesting federal funding support of $22.5 billion under its current baseline industry volume scenario. If the U.S. industry deteriorates further, a scenario depicted in the company’s new, lower downside volume scenario with U.S. industry volume of 9.5 million units in 2009 and 11.5 million units in 2010, GM would require further federal funding, estimated currently at an additional $7.5 billion, which could bring total Government support up to $30 billion by 2011. Under the company’s baseline outlook, repayment of federal support is expected to begin in 2012.

Additional financial support might be required in 2013 and 2014 if GM has to make contributions to our U.S. pension funds. In an update to the Dec. 2, 2008 submission, recent valuations indicate that GM’s U.S. pension plans are currently under-funded as of Dec. 31, 2008. At this point, it is premature to conclude whether the company will need to make additional pension contributions, as the funded status of the pension plan is subject to many variables, including asset returns and discount rates. GM is currently analyzing its pension funding strategies.

During 2009-2014, GM also is requesting funding support from the governments of Canada, Germany, the United Kingdom, Sweden, and Thailand, and has included an estimate of $6 billion in funding support by 2010 to provide liquidity specifically for GM’s operations in these countries.

Finally, the plan submitted today discusses the issue of bankruptcy as a potential option for restructuring, concluding it would be a highly risky, extremely costly and time-consuming process. This reaffirms management’s position that bankruptcy is not in the best interests of GM or its stakeholders. The overriding risks are the significant impact a bankruptcy would have on the company’s revenue stream and the resulting huge debtor-in-possession funding support that would be required from the government, as such funding is not available from traditional sources in today’s market conditions. Accordingly, accomplishing GM’s restructuring out of court remains by far the best approach for all constituents.

“Our viability plan requires significant sacrifices from all GM stakeholders: management, employees, unions, suppliers, dealers, investors and bondholders,” Wagoner said. “But these are the kind of actions we need to take to survive the current industry crisis, and position GM for sustainability and success. This plan, in effect, signifies the reinvention of General Motors for the 21st century. We are working non-stop to put this plan into action, and we greatly appreciate the support and encouragement we continue to receive as we take these important steps toward viability. ”

GM’s leadership team will continue to work with its key stakeholders and the newly formed Presidential Task Force on Autos as it proceeds with its restructuring. In accordance with the loan agreement, GM will submit its second progress report to the U.S. Treasury on March 31. This progress report will be the basis for the Task Force to issue a ‘Plan Completion Certificate’ to Congress, which confirms GM’s long-term viability.

2010 Chrysler 300 and 2010 Jeep Grand Cherokee shown in viability plan

Seen on page 133 and 137 of Chrysler’s Restructuring Plan for Long-Term Viability Plan submitted to the U.S. Treasury earlier today, are sketches of the next-generation Chrysler 300 and Jeep Gran Cherokee.

In it’s plan Chrysler says that “revenue in the in the near term will get a boost with the debut of a redesigned Jeep Grand Cherokee.” It said that the 2010 Jeep Grand Cherokee will be “built in the United States and will feature improved fuel economy and a best-in-class interior.” Fuel-economy of the next-generation Grand Cherokee will be improved by 19 percent.

As for the 2010 Chrysler 300, Chrysler LLC says the next-generation model will feature a “stylish new exterior and interior designs, improved fuel efficiency and unprecedented uconnect connectivity.” Powertrain options will include an all-new fuel-efficient 6-cylinder engine along with a V8 HEMI. The HEMI will feature Chrysler’s Multiple Displacement System (MDS) that automatically deactivates engine cylinders for enhanced fuel economy which will be improved by 22 percent.

Let us know your thoughts in the comments section below.

Pagani Zonda R takes to the track at Monza

The 739hp Pagani Zonda R has been photographed many times during the track run at Monza and now a testing video has been released on EVO’s website. Below is the exclusive footage of the Pagani Zonda R in action. Turn your volume up and go get a towel to dry up the drool on your keyboard after watching this video.

Four Ways to Save on Your Car in a Recession

With the economy still going bad with no immediate promise of recuperation in the next few months, a lot of people are finding the need to be more frugal in their spending decisions.  Cutting costs and saving money seem to be more important than ever as people are losing their jobs or are now faced with financial uncertainty in the next few months.  One of the challenges motorists face today is how they can be wiser in expenses that involve their vehicles.  Cars are a necessary commodity for us to get around effectively.  And since replacing our current rides prove to be an unrealistic thing in the road ahead, one must learn the necessary skills to keep their cars in top shape without having to spend more.  The following are practical ways one can be frugal on common situations where motoring expense cannot be avoided.

Buying the right parts

Saving money when it comes to buying parts for your vehicle is not as simple as buying whichever part costs less.  The decision on whether it is wise to buy replacement parts over dealer parts requires some thinking.  Replacement parts are parts that are not sold under the branding of the car make you have.  These could be from the original equipment manufacturer (OEM) of the car you have or from a different parts manufacturer which make components of the same appearance and function. 

The general rule of thumb when opting to buy replacement parts is to compare the price of the original and the replacement part.  If the difference is not that big, it might be wiser to buy original.  On the other hand if the difference is pronounced, then one can consider buying a replacement part.

In working with major auto parts stores in the country, I have seen how it might be a good decision to buy replacement parts for parts found on the under chassis of one’s vehicle.  Parts like stabilizer links, bearings, tie rods and rack ends maybe replaced with cheaper ones without much risk to function.  The same goes for bearings, oil seals and gaskets.

For more vital parts like fluid filled engine supports or brakes, it might be best to buy original for that added security.  Having a store you trust when it comes to buying parts online will also be a big help.

Taking your car to the carwash

It might sound like a logical argument to save money on car wash by doing the deed yourself.  A simple analysis on what one needs to wash a car will definitely peg the cost way lower than when one decides to have it done regularly in a nearby car wash.  If one wants to do the cleaning of one’s vehicle himself, all he needs is a hose, a wash mitt, some cloth for drying, a pail and maybe some car shampoo.  The fact that these materials can be used over and over again at the comfort of one’s front yard further reduces the cost resulting in enormous savings.

The truth of the matter is that, one has to be really familiar with the in and out of washing before one can actually save by washing his or her vehicle by himself.  Though washing one’s car looks like a simple task, one can actually create long term damage to one’s vehicle if this is not done correctly.  Your vehicle’s paint and finish can easily be damaged by using inappropriate household cleaning agents which can strips its wax.  Micro abrasion might also result from any particle on your cleaning cloths or mitts which can grow to unsightly scratches on your vehicle’s surface.

The Oil Change

Oil changes are one of the basic things every car owner must be familiar with.  It is also so common as a maintenance practice that it is safe to assume that every car owner has had the experience of having his or her car’s oil changed.  In trying to save on oil change there are two questions that must be addressed.  The first is where it is cheaper to get an oil change and which oil is best to use.

Deciding where you will get your oil change is very important if one wants to get the best bang for your buck.  Like in buying parts, it helps to get involved and find out how your local service station or auto shop is handling the job as compared with your car dealership’s shop.  Having your oil changed on independently owned garages or service station may prove to be cheaper and faster.  The only problem with having it done in these places is the probability that they will be using a replacement oil filter.  Usually, the process might prove to be longer if a need for a drain plug bolt or a sealing washer arises and they do not have any in stock.  Cost varies and if you are not lucky you might have to tip the mechanic which adds to your expense.

Having your oil changed in the dealership’s shop may be more expensive.  Still, choosing this location has some advantages like standard rates, original oil filters and factory recommended oil;  plus the availability of any need for bolts and washers.

Between synthetic and mineral oil, the former may prove to be a better choice in the long term.  Even if mineral oil is cheaper than synthetic oil, one can use synthetic oil for a longer period of time, sometimes up to three times longer.  This means you can save on the labor cost and filter cost for two oil changes.  This is also good for a turbo if you have one.

AC compressor

Unlike engine problems or issues involving your running gear, there are aspects of your car which you can opt to try to find creative ways of fixing once they show some problems.  One of these is the car’s air conditioning compressor.  When your car AC compressor fails due to age, you will be surprised with the need to shell out a few hundred bucks at least to have it replaced.  Add to this cost the price for a new expansion valve, evaporating coil and condensing oil and you will see how big you have to spend to have the comforts of riding with your AC. 

An option you can take is to go for replacement parts and a surplus compressor, but this may still be a bit expensive.  In this time of global crisis this option might not give a good enough saving.

The solution?  Try having a certified mechanic rebuild the compressor.  It may take some time for you to find a shop which does compressor rebuild.  This means they take the compressor apart and rebuild it with parts from other compressors.  Scroll type compressors for example can be easily rebuilt.  The only drawback to this type of work is one cannot rev past 2000 rpm when the AC is activated to prevent damage to the scrolls.  This might be a blessing though because driving with this in mind may even help you save on fuel.  If acceleration is really needed, then you can always turn off the compressor with a push of a button from the dash.

This is not something that one can do forever, but it will surely help in prolonging the life of your compressor and save you a few hundred bucks.  That way, you will only spend much when you actually have to.

Saving money is always a welcome topic whether one is living in uncertain times or not.  Most of the time one will be surprised how knowing more about one’s vehicle can actually keep one from a lot of unexpected expenses and headache.  The four tips above done regularly will not only keep more dough in your wallets but will help you maintain your car so it stays with you longer.

2008 Saleen S7 Twin Turbo Wallpapers

2007 Skyker C12 Zagato