Accelerate Mpls

Episode 29 starts with introducing this weeks guest Drew Dowdell owner of CheersandGears.  Moving into the garage we talk about the Chevrolet Camaro Colin was in for the past week.  We also take time for a special report on the Local Minneapolis Fisker Karma unveiling that I attended last week.  We then move along to the major news of the week segment.  This week included-

• May Sales
• 2011 Dodge Charger Leaked
• Nissan Leaf will break the EV silence with a digital whistle
• A myriad of GM talk surrounding Ex-CEO Richard Wagoner Jr. and the possibility of a real RWD flagship for Cadillac

We then proceed to the clip of the week segment.  This week we featured Toyota, finally, although indirectly, is now acknowledging their safety failures for the first time in an ad  which Features their new Star Safety System. This system includes ABS, Electronic Stability Control, and the much needed brake over-ride system. (Link)

Next came our main topic which was discussing Mercury’s death and Lincoln’s future.

Last we plug our respective blogs, Cheers and Gears,  AutoBird Blog and Accelerate Mpls.

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Mark this down next to Pontiac, Saturn, Hummer and the rest of the fallen brands (Oldsmobile and a long list we will not go over). Today Ford announced that Mercury is dead. They will wind down by the end of the fourth quarter this year. Remember how Mercury was going to bring back the Tracer based off the new 2012 Ford Focus? Yea that is not going to happen. More attention will be focused on Lincoln and that division will get seven all new or severely refreshed cars. Ecoboost will spread throughout the Lincoln lineup including the next generation Navigator. That essentially just confirmed there will be a next generation Navigator. Ford went on to say that Lincoln will become a technology powerhouse, with more features and better fuel economy than the competition. It also confirmed that a C segment car based off the 2012 Focus will come to Lincoln now. I actually believe that something can be made of Lincoln is Ford really works at it. Ford will have to either really do something and put its weight behind Lincoln like they say, or else it too will probably have to be on the chopping block at some point. Time will tell.

Episode 28 starts with introducing this weeks guest William Maley also known as realmudmonster on Twitter.  Moving into the garage we talk about the Buick LaCrosse I was in for the past week along  We then discuss the MAMA spring rally that I attended this past week.  We then move along to the major news of the week segment.  This week included-

• Mulally Mum on Mercury’s Future
• GM still has plans for a Lambda-based Cadillac crossover
• Tesla’s Elon Musk: ‘I Ran Out of Cash’, Tesla: Model S ‘May Experience Unexpected Delays’

This week we bring back the clip of the week segment.  This week we featured Mercedes-Benz: Sorry. (Link)

Next came our main topics which we have a discussion about the going to go over some government boondoggles we’ve been seeing cropping up in the news. We actually got the idea from jalopnik which did a recent post about the world’s safest cars that were built here in America

Last we plug our respective blogs,  AutoBird Blog and Accelerate Mpls.

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Episode 16 starts by introducing this weeks guest Nick Saporito joining us from GM Inside News.  Nick kicked us off by telling us a little about himself and how he came to be the managing editor.  I then for a moment, attempted to relive my experience driving the Corvette ZR1 which I had the opportunity to drive the day before.  We move along to the major news of the week segment.  This week included-

• Honda and Ford gain retail market share from Toyota
• Woman Gets $23.4M for a paralyzing crash in Ford Explorer
• Former CEO Fritz Henderson now consults GM at $2,954 an hour
• Mercedes-Benz F800 revealed

We then proceed to the clip of the week segment.  This week we featured Nissans newest commercial starring the Leaf at the end – We Make Them Better

Next came our main topics.  This week those topics included GM’s rear wheel drive program and the possibility of Mercury’s small car being named the Tracer.

Last but certainly not least, we discuss the past week on both of our respective blogs, AutoBird Blog and AccelerateMpls.  The week in review included- my write up on dealerships and how the game has changed along with Colin’s first impressions of the 2011 Toyota Avalon.

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Ford announced yesterday morning that all the major parts of a deal to sell Volvo to Geely have been settled.  They made it clear that details will not be made public yet, but that the deal will be signed in Q1 of 2010 and the sale will be done in Q2.

Many have speculated that Volvo would be sold to Geely and now it is a reality.  Some people seemed concerned about Geely’s resources for the future of Volvo.  When people raised concerns to Ford they responded with “the prospective sale would ensure Volvo has the resources, including the capital investment, necessary to further strengthen the business and build its global franchise.”  Geely is a Chinese car manufacturer and that worries some people as well.  Not known for quality or safety, many question what Geely brings to Volvo.  It seems Volvo brings things for Geely, mainly the safety technology.

With new product just arriving from Volvo (2010 XC60) and more coming soon (new S60) Geely bought Volvo at a decent time.  Some of the model line just received a face lift or is new/coming.  Chinese car companies have not made it into the U.S. and many are afraid this is the beginning to a bad thing.  While that is a valid concern as I mentioned earlier Geely is not known for safety or reliability.  Two things that many car shoppers care about these days.

Twitter was a buzz yesterday morning when the news of the sale hit.  Many Volvo fanatics were angered and saddened.  I even heard some say “There went Volvo.”  We have to examine what happened in a similar situation with Jaguar/Land Rover.  Tata bought the brands from Ford and really did not make many changes.  They liked what planned.  Deciding to take a wait and see approach is not a terrible idea.  So far it has worked for Tata and Jaguar/Land Rover is rolling out refreshed or new product.  Sales are up, and everyone seems to be happy.  If Geely plays things smart, they will let Volvo be themselves and stay somewhat hands off.  If left alone and not interfered with, Volvo could become profitable.

Something to keep in mind about this whole deal is platforms.  Many Fords ride on Volvo platforms.  They share so many, the deal must have clauses in place for platform sharing for at least the foreseeable future until new models arrive.  I assume the platform sharing will cease at in the future.  Other things are shared such as BLIS.  BLIS is Volvo’s blind spot detection system that Volvo developed and uses.  Ford has stated that they intend to work “closely” with Geely in the future.  For how long no one really knows but it can easily be assumed it is because of all the sharing of technology and platforms.

Ford has to be happy right now.  They have no off loaded all the brands in their premier portfolio including Aston Martin, Jaguar/Land Rover, and now Volvo.  They have been trying to sell all of these and have now accomplished just that.  Letting them get the focus back on Ford, Mercury, and Lincoln.

Ford’s press release is below-

PRESS RELEASE:

DEARBORN, Mich., Dec. 23, 2009 – Ford Motor Company [NYSE: F] confirmed today that all substantive commercial terms relating to the potential sale of Volvo Car Corporation have been settled between Ford and Zhejiang Geely Holding Group Company Limited.

While some work still remains to be completed before signing – including final documentation, financing and government approvals – Ford and Geely anticipate that a definitive sale agreement will be signed in the first quarter of 2010, with closing of the sale likely to occur in the second quarter 2010, subject to appropriate regulatory approvals.

The prospective sale would ensure Volvo has the resources, including the capital investment, necessary to further strengthen the business and build its global franchise, while enabling Ford to continue to focus on and implement its core ONE Ford strategy.

While Ford would continue to cooperate with Volvo Cars in several areas after a possible sale, the company does not intend to retain a shareholding in the business post-sale.

More details will be made available once the expected definitive sale agreement is signed in the first quarter of 2010.