Derrick Thomas is to be inducted into the Football Hall of Fame this weekend Long overdue. A complex human being, but an absolute animal on the football field. He died prematurely after an automobile accident on icy roads paralyzed him, and he later developed a blood clot which went to his heart. Seat belts would have saved him (and probably spared him from serious injury).
He was worth the price of admission to Chiefs games for a decade.
Saturday, August 8, 2009
Wednesday, August 5, 2009
Isetta
Look for the Isetta name to pop up more often in the future. BMW is building a 'sub-brand' to market extremely efficient cars, some which may be all electric, and - horror of horrors - front wheel drive (FWD). Protecting the premium performance cachet of the BMW name will necessitate using a different name to accompany the BMW roundel on the new cars.
It's unknown if or when the hyper-efficient BMWs will come to the US.
Here's an ad being shown in Germany now:
It's unknown if or when the hyper-efficient BMWs will come to the US.
Here's an ad being shown in Germany now:
Tuesday, August 4, 2009
Sunday, August 2, 2009
Cash for Clunkers
Well, videos are starting to show up demonstrating the creative ways that 'clunker' engines are destroyed. Some of the cars I've seen wouldn't be classified as clunkers by me. But it's nice to know that our tax dollars are hard at work providing dealership personnel with a little entertainment. ; -)
Friday, July 31, 2009
Penske Lining Up Renaults for Saturn?
There was talk of Saturn being saddled with the Korean built, Renault-Samsung badged, one generation removed Nissan products awhile back. But that didn't make much sense, Nissan has already discarded/improved those products for this market and selling a brand new last generation Nissan under a Saturn badge didn't sound like a Penske move.
Now MotorAuthority has put up an article saying Penske is negotiating to bring in Renaults. Yup, French Renaults.
Here's a link to their product line available (in English): http://www.renault.com/en/vehicules/Pages/index.aspx
It's been awhile since new French cars have been sold in the US. If I remember correctly the last French automobile manufacturer with a presence in the US Puegeot and the left toward the end of the 1980s (if I'm not mistaken).
Interesting.
Now MotorAuthority has put up an article saying Penske is negotiating to bring in Renaults. Yup, French Renaults.
Here's a link to their product line available (in English): http://www.renault.com/en/vehicules/Pages/index.aspx
It's been awhile since new French cars have been sold in the US. If I remember correctly the last French automobile manufacturer with a presence in the US Puegeot and the left toward the end of the 1980s (if I'm not mistaken).
Interesting.
No More Cash (at the moment) for Clunkers
Well, contrary to what I thought would happen, the gumint ran through it's $1,000,000,000 pile of dough allocated for its 'CARS' program in less than a week. Looks like there was some pent up demand for purchasing a car with some of yours and my money. ; -)
The dealers were pretty creative in how they worked the program. Ad blitzes, publicity stunts (involving monster trucks and crushed cars in at least one case), and additional financial incentives were enough to draw folks into showrooms and buy.
The next question is will there be an emergency appropriation to add additional funds to the program.
The dealers were pretty creative in how they worked the program. Ad blitzes, publicity stunts (involving monster trucks and crushed cars in at least one case), and additional financial incentives were enough to draw folks into showrooms and buy.
The next question is will there be an emergency appropriation to add additional funds to the program.
Sunday, July 12, 2009
A Holden Commodore By Any Other Name Is a Chevy Caprice
News has surfaced that the Pontiac G8 (and hopefully the hot rod version) will live on as a Chevy Caprice. Having witnessed (and partaken) of many Caprices of yore, this'll be the best of the bunch. Good move GM!!
Sunday, July 5, 2009
The Third of July - 1863
The high water mark of the Confederacy came on July 3rd 1863 (though in effect it was doomed from the beginning - a confederacy of states had been tried before but found wanting, giving rise to the federal system of government in America).
On July 3rd, Grant was on the verge of splitting the Confederacy in two by gaining control of the Mississippi river from New Orleans north through St. Louis. He had laid siege to Vicksburg Mississippi and the Confederates were forced to surrender as Union gunboats forced their way past rebel defenses. It was only a question of time given the iron will of Grant.
That day also, Pickett's men charged towards 'the angle' on Cemetery Ridge only to be repulsed in bitter hand to hand fighting. Pickett moaned the loss of his division, but in the grand scheme of things, the battle on the western frontier was the mortal blow to the confederacy, not the loss at Gettysburg.
Later, in 1864, Sherman's infamous march to the sea split the confederacy again. It was a devastating campaign that exploited the weaknesses of the CSA's system of government as much as anything else.
But it was through that bloody period that the last vestiges of sovereign statehood, that could place one state's interest above the whole, was laid to rest. And remarkably - and finally, on this continent - slavery was put to rest.
The last civil war veterans were still alive in the late 1930s and the blog 'About Last Night' put up these two YouTube clips of the Civil War vets.
The first clip is at 'the angle' on Cemetery Ridge - the recreation of the rebel yell is interesting - imagine 2,000 young men advancing on your position making that noise!
This clip is a montage of footage from the 1938 reunion of Gettysburg veterans - these were all young men (many but pre-teen drummers, color guards, etc.) at the time of the battle given that it is the 75th anniversary:
My only known tie to a civil war veteran was my grandfather's acquaintance with Texas John Slaughter of Douglas, Arizona. I suspect that my grandfather and possibly my father, as a boy, knew a number of civil war veterans.
To veterans all, we salute you and thank you for the freedom you have purchased for us. We are eternally grateful
On July 3rd, Grant was on the verge of splitting the Confederacy in two by gaining control of the Mississippi river from New Orleans north through St. Louis. He had laid siege to Vicksburg Mississippi and the Confederates were forced to surrender as Union gunboats forced their way past rebel defenses. It was only a question of time given the iron will of Grant.
That day also, Pickett's men charged towards 'the angle' on Cemetery Ridge only to be repulsed in bitter hand to hand fighting. Pickett moaned the loss of his division, but in the grand scheme of things, the battle on the western frontier was the mortal blow to the confederacy, not the loss at Gettysburg.
Later, in 1864, Sherman's infamous march to the sea split the confederacy again. It was a devastating campaign that exploited the weaknesses of the CSA's system of government as much as anything else.
But it was through that bloody period that the last vestiges of sovereign statehood, that could place one state's interest above the whole, was laid to rest. And remarkably - and finally, on this continent - slavery was put to rest.
The last civil war veterans were still alive in the late 1930s and the blog 'About Last Night' put up these two YouTube clips of the Civil War vets.
The first clip is at 'the angle' on Cemetery Ridge - the recreation of the rebel yell is interesting - imagine 2,000 young men advancing on your position making that noise!
This clip is a montage of footage from the 1938 reunion of Gettysburg veterans - these were all young men (many but pre-teen drummers, color guards, etc.) at the time of the battle given that it is the 75th anniversary:
My only known tie to a civil war veteran was my grandfather's acquaintance with Texas John Slaughter of Douglas, Arizona. I suspect that my grandfather and possibly my father, as a boy, knew a number of civil war veterans.
To veterans all, we salute you and thank you for the freedom you have purchased for us. We are eternally grateful
Fireworks
The city decided it couldn't enforce the fireworks ban so it bowed to reality and made selling fireworks in the city legal (and taxed - gawd I love common sense ; -).
The local display (all of the neighbors on the block) was no bigger or more sumptuous than in years past, but they were not breaking the law (with the exception of a few M80s you could hear down by the creek).
At one point last night the eastern horizon was lit up by flashes for a good five minutes. It's as if they started the siege of Moscow all over again. ; -)
The local display (all of the neighbors on the block) was no bigger or more sumptuous than in years past, but they were not breaking the law (with the exception of a few M80s you could hear down by the creek).
At one point last night the eastern horizon was lit up by flashes for a good five minutes. It's as if they started the siege of Moscow all over again. ; -)
Tuesday, June 30, 2009
Friday, June 26, 2009
1953 Studebaker Ute
It's pretty bad when you're old enough to know people who actually had Studebakers, it's even worse to have known them well enough to know they were called 'Steady Breakers'.
But here's the story of a fifty year old customized Studebaker Utility Vehicle (geez that means it really is an SUV. ; -)
It is for sale on eBay. Here's the link.
But here's the story of a fifty year old customized Studebaker Utility Vehicle (geez that means it really is an SUV. ; -)
It is for sale on eBay. Here's the link.
Thursday, June 25, 2009
Cash for Clunkers
The Cash for Clunkers bill, formally titled, "Consumer Assistance to Recycle and Save Act", is now law. So what does it do for anybody? Well, the congress has dipped into our pockets (sometime in the future no doubt) and allocated a wad of our cash to rid our streets of bad old polluting cars.
How old? Not that old (at least not from my perspective ; -); 1984 or newer are the model years covered. So the notion that a Chevy Nomad from the golden age of American hot rods would end up being scrapped is off the table.
Further the car to be scrapped (and it is scrapped - the drivetrain must be intact and the entire vehicle must be crushed or shredded once it is in 'government' ownership) has to meet a max fuel economy target. A 2001 Honda Insight wouldn't be eligible. The dollar amount of the voucher are based on the previous and new fuel economy.
Additional restrictions are in place to prevent people from going to Joe's Salvage Yard and plucking a POS from the bowels of the yard and plopping it at the dealership as a 'down payment' on a new car. Those restrictions ensure that the car has been continuously licensed and insured for at least a year prior to being turned in.
So who is going to take advantage of this? If the clunker is worth more as a trade in than the voucher, the clunker will hit the used car market. It's then off the table - the cycle of insurance and registration starts over. The folks driving really nasty clunkers tend to miss renewing their licenses and forget about insurance, so those won't come off the street either.
The only case of a car worth using this program for that I can imagine is my mom's 1987 Plymouth Caravelle (the dreaded Pink Panther ; -) which is on its last legs and is worth absolutely zero as a trade in. At least some of my tax dollars will stay in the family. ; -)
How old? Not that old (at least not from my perspective ; -); 1984 or newer are the model years covered. So the notion that a Chevy Nomad from the golden age of American hot rods would end up being scrapped is off the table.
Further the car to be scrapped (and it is scrapped - the drivetrain must be intact and the entire vehicle must be crushed or shredded once it is in 'government' ownership) has to meet a max fuel economy target. A 2001 Honda Insight wouldn't be eligible. The dollar amount of the voucher are based on the previous and new fuel economy.
Additional restrictions are in place to prevent people from going to Joe's Salvage Yard and plucking a POS from the bowels of the yard and plopping it at the dealership as a 'down payment' on a new car. Those restrictions ensure that the car has been continuously licensed and insured for at least a year prior to being turned in.
So who is going to take advantage of this? If the clunker is worth more as a trade in than the voucher, the clunker will hit the used car market. It's then off the table - the cycle of insurance and registration starts over. The folks driving really nasty clunkers tend to miss renewing their licenses and forget about insurance, so those won't come off the street either.
The only case of a car worth using this program for that I can imagine is my mom's 1987 Plymouth Caravelle (the dreaded Pink Panther ; -) which is on its last legs and is worth absolutely zero as a trade in. At least some of my tax dollars will stay in the family. ; -)
Wednesday, June 24, 2009
Tort Reform We Can Beleive In
Seems the Chrysler that emerges from bankruptcy does so with a bit of a CYA shield. They are immune from suits filed against cars sold prior to June 10 this year.
Of course there is pending litigation against Chrysler but Chrysler is no longer liable. The plaintiffs may win a suit - but win nothing in the process.
It's as if they aren't really Chrysler anymore, isn't it? ; -)
Of course there is pending litigation against Chrysler but Chrysler is no longer liable. The plaintiffs may win a suit - but win nothing in the process.
It's as if they aren't really Chrysler anymore, isn't it? ; -)
Sunday, June 21, 2009
Go Like Hell
"Go Like Hell: Ford, Ferrari, and Their Battle for Speed and Glory at Le Mans", by A.J. Baime is worth a read.
A.J. Baime deals with the epic battle between Ford and Ferrari with a sensitivity to context and a sympathy for the characters involved that elevate what some might consider just another car book to literature.
Several characters get star billing; Carrol Shelby, John Surtees, Ken Miles, and Enzo Ferrari. Sketches of Henry Ford II and several Ford managers are fairly well fleshed out. And there's a wonderful cameo appearance of our native son, the Kansas City Flash, Masten Gregory.
But the beauty of the book is A. J. Baime's capturing the zeitgeist of racing in that era (and it touches on almost all aspects of big league racing in the day).
Deep technical specs are avoided - but where technology provided an edge it's explained. (In particular Ford's use of data logging, one of the first cases of it's use in motorsports.) But the characters come to life and jump off the page.
One reviewer mentioned that there would be great heros and villians in the book. I didn't find any villians though. Rather, I saw fear, lives, huge egos, and money ground into dust in the high speed crucible of international motorsports.
A.J. Baime deals with the epic battle between Ford and Ferrari with a sensitivity to context and a sympathy for the characters involved that elevate what some might consider just another car book to literature.
Several characters get star billing; Carrol Shelby, John Surtees, Ken Miles, and Enzo Ferrari. Sketches of Henry Ford II and several Ford managers are fairly well fleshed out. And there's a wonderful cameo appearance of our native son, the Kansas City Flash, Masten Gregory.
But the beauty of the book is A. J. Baime's capturing the zeitgeist of racing in that era (and it touches on almost all aspects of big league racing in the day).
Deep technical specs are avoided - but where technology provided an edge it's explained. (In particular Ford's use of data logging, one of the first cases of it's use in motorsports.) But the characters come to life and jump off the page.
One reviewer mentioned that there would be great heros and villians in the book. I didn't find any villians though. Rather, I saw fear, lives, huge egos, and money ground into dust in the high speed crucible of international motorsports.
The Second Waltz
This collection of commercial footage has a surreal aspect that marries perfectly with the Shostakovich waltz.
Saturday, June 20, 2009
Another British LSR
In this case a wind powered vehicle - at an astounding 126 MPH.
It is the Ecotricity Greenbird. Here's the link to their website. But the amazing thing is that they can travel at three to five times the speed of the wind. Truly special engineering, and I'm sure, given Great Britain's history of sailing, another source of national pride. Good on them!
It is the Ecotricity Greenbird. Here's the link to their website. But the amazing thing is that they can travel at three to five times the speed of the wind. Truly special engineering, and I'm sure, given Great Britain's history of sailing, another source of national pride. Good on them!
Friday, June 19, 2009
Update to British LSR Steam Car
From Reuters, a nice overview of the UK steam car land speed record team. It's always nice to see the UK and USA flags together on a nice British Racing Green car.
F1 Follies: Part Deux
Eight F1 teams have broken ranks with the organizing body (the FIA) and have announced that they will run a competing series next year.
At which tracks? ; -)
That was the problem CART had when the IRL split from it. The IRL was more than a mere breakaway - it also took with it THE race, the Indy 500.
The new F1 (it will have to be called something else) will have an assortment of tracks (heck, maybe even one or two races in the US) and name drivers at their disposal. They won't have one key race probably - the Grand Prix of Monaco, and they won't have the legitimacy of a recognized sanctioning body.
Regardless, they will have the manufacturers support, the key technical people, and the 'name' drivers. The 'legitimate' F1 will have to make do with scratch entries and pick-up teams (those who currently have little or no chance of fielding a competitive entry).
So let's welcome the 'World of Outlaws' version of F1. (The cars probably won't look like this though. ; -)
At which tracks? ; -)
That was the problem CART had when the IRL split from it. The IRL was more than a mere breakaway - it also took with it THE race, the Indy 500.
The new F1 (it will have to be called something else) will have an assortment of tracks (heck, maybe even one or two races in the US) and name drivers at their disposal. They won't have one key race probably - the Grand Prix of Monaco, and they won't have the legitimacy of a recognized sanctioning body.
Regardless, they will have the manufacturers support, the key technical people, and the 'name' drivers. The 'legitimate' F1 will have to make do with scratch entries and pick-up teams (those who currently have little or no chance of fielding a competitive entry).
So let's welcome the 'World of Outlaws' version of F1. (The cars probably won't look like this though. ; -)
Thursday, June 18, 2009
Formula 1 at the Brink
The FIA's Formula 1 (F1) is supposed to the premier motorsport series in the world. However the recent controversy over spending caps (of which the better teams are adamantly against) may unravel the bonds between the constructors and the organizers. The back and forth at the moment is in regards to 'conditional' entries for the 2010 season. It's a dance that mere mortals may find difficult to follow (substitute 'boring' for 'difficult'. ; -)
It's happened before, both in F1 in the 1980s and in American open wheel racing in the 1990s. The prior split in F1 didn't result in as damaging a fracture as the CART/IRL split in the US. But the issues at hand could very well be as bad for F1 as the previous US split.
Personally, I'd like to see F1 lose its 'parade-like' aspects. There is little racing/passing in F1 at the top of the field. The aerodynamics preclude that. From a fan's perspective, I'd like to see them lose more aero grip (restrict the chassis configurations) and place a weight penalty on engine displacement/cylinder-count. Hopefully you'll end up with some screaming 4 cylinder turbocharged cars dicing for the lead on a week-in, week-out basis.
It's happened before, both in F1 in the 1980s and in American open wheel racing in the 1990s. The prior split in F1 didn't result in as damaging a fracture as the CART/IRL split in the US. But the issues at hand could very well be as bad for F1 as the previous US split.
Personally, I'd like to see F1 lose its 'parade-like' aspects. There is little racing/passing in F1 at the top of the field. The aerodynamics preclude that. From a fan's perspective, I'd like to see them lose more aero grip (restrict the chassis configurations) and place a weight penalty on engine displacement/cylinder-count. Hopefully you'll end up with some screaming 4 cylinder turbocharged cars dicing for the lead on a week-in, week-out basis.
Sunday, June 14, 2009
Peugeot Prevails
That was the preview from EuroSport for this year's race, but the results are in:
Audi is eclipsed at the 77th running of the Le Mans 24 hours. Peugeot's push to the first podium step took three years this go around, Peugeot's last overall win coming in 1993.
There's an old salt about racing that says while the American's enjoy the spectacular the Europeans revel in the epic. There is nothing else that compares with the French road race at Le Mans as an epic battle of man & machine against time and each other. But in the end at Le Mans you have to defeat time and entropy before you can beat your human opponents.
Nowhere else is the saying, "to finish first, you first have to finish", as apropos. Le Mans is grueling, unforgiving of the unprepared, and can test the will of the strongest. It is, quite possibly, the premier race in motorsports.
Run by the Automobile Club of the West (ACO), the race features four classifications of cars (two prototype and two sports car classes). It has been won overall by diesel prototypes for four years running.
Rules for next years race will open the door for hybrid systems, keeping the ACO in the forefront of technical innovation. Le Mans will continue to be important and relevant.
Thursday, June 11, 2009
Penske Purchases Saturn
Saturn's future is secure. Roger Penske has purchased the brand.
In statements made to the press, Mr. Penske has outlined the product plan for Saturn. In the interim they will continue to utilize products manufactured by GM. Down the road they are open to branding and supporting products from other sources.
Penske has associations with Renault Samsung Motors, which makes a couple of cars that are inherently prior generation Nissan vehicles. That is one possibility. But I don't think that likely personally.
There's the possibility that the products will be sourced from Opel (if they get the sale of that group to Magna sorted out). Opel builds decent product and it would help them to have a market in the US. (Ask Fiat if it's good to be in the US market. ; -)
However, I'll go out on a limb and say that Saturn may go after a Chinese manufacturer (and there's still a lot of work to be done to make that a viable proposition).
The one thing for sure that will happen with Penske ownership of Saturn is that Saturn will be a good company offering good product and service. Nothing is done shabbily, it's the Penske way.
In statements made to the press, Mr. Penske has outlined the product plan for Saturn. In the interim they will continue to utilize products manufactured by GM. Down the road they are open to branding and supporting products from other sources.
Penske has associations with Renault Samsung Motors, which makes a couple of cars that are inherently prior generation Nissan vehicles. That is one possibility. But I don't think that likely personally.
There's the possibility that the products will be sourced from Opel (if they get the sale of that group to Magna sorted out). Opel builds decent product and it would help them to have a market in the US. (Ask Fiat if it's good to be in the US market. ; -)
However, I'll go out on a limb and say that Saturn may go after a Chinese manufacturer (and there's still a lot of work to be done to make that a viable proposition).
The one thing for sure that will happen with Penske ownership of Saturn is that Saturn will be a good company offering good product and service. Nothing is done shabbily, it's the Penske way.
Tuesday, June 9, 2009
The Supreme's Fold!
Chrysler and Fiat - a marriage made in the biggest sausage factory in the world, Washington, DC. ; -)
Monday, June 8, 2009
What's Next?
The decision by Justice Ginsburg to delay the sale of Chrysler to Fiat until further notice may mean a lot or may mean very little. The action taken today is merely a delay - possibly only for a day or so, in order to review the documentation, before deciding to hear or dismiss the appeal.
If that's what is intended, an effort to peer under the hood to see if anything is amiss before dismissing, then look for a decision before Saturday. For some reason 15 June 2009 is important (upon which Fiat's obligation to 'purchase' Chrysler expires. ; -)
If, in the next day or so, the Supreme Court declares that they will hear the appeal, the Fiat deal is gone. Arranging a marriage partner at that point will be difficult at best and the most that can be hoped for is the liquidation of Chrysler, the most valuable piece of which is the Jeep brand.
And if the court does decide to hear the appeal, what has to be done to ensure the GM bankruptcy doesn't suffer the same fate?
If that's what is intended, an effort to peer under the hood to see if anything is amiss before dismissing, then look for a decision before Saturday. For some reason 15 June 2009 is important (upon which Fiat's obligation to 'purchase' Chrysler expires. ; -)
If, in the next day or so, the Supreme Court declares that they will hear the appeal, the Fiat deal is gone. Arranging a marriage partner at that point will be difficult at best and the most that can be hoped for is the liquidation of Chrysler, the most valuable piece of which is the Jeep brand.
And if the court does decide to hear the appeal, what has to be done to ensure the GM bankruptcy doesn't suffer the same fate?
Put Some Time Back On That Clock (and Kiss Fiat Goodbye ; -)
Wow! After seeing Justice Ginsburg was assigned to hear the Chrysler appeal, I called the bookie and got 1 in 9 odds (how appropriate ; -). But then the longshot came in and Justice Ginsburg decided that the Supreme Court would take the appeal. I had expected the deadline to pass without any action, essentially denying the appeal.
Now what? ; -)
Now what? ; -)
The Clock Is Ticking
There is a 4 pm deadline today for the Supreme Court to accept or decline intervening in a decision to let the Chrysler sale to Fiat go through. If the Supreme Court decides to take the case, look for lots of hand-wringing and gnashing of teeth on the part of administration spokespersons and talking heads on the boob tube.
Myself, I give it 1 in 3 odds of the court wanting to stick their noses in this one.
There's also been some discussion about how poorly vetted the deal with Fiat has been. To say the least it was a hastily arranged marriage, kinda like Bank of America and Merrill Lynch. ; -)
Myself, I give it 1 in 3 odds of the court wanting to stick their noses in this one.
There's also been some discussion about how poorly vetted the deal with Fiat has been. To say the least it was a hastily arranged marriage, kinda like Bank of America and Merrill Lynch. ; -)
Sunday, June 7, 2009
The Transparent Car Factory
VW has a plant in the heart of Dresden, Germany that is 'open' to the public. An interesting post-industrial-age take on an industrial process.
As for the car, the VW Phaeton, well as my wife said, "If I'm going to pay $80,000 plus for a car it's going to have something other than a VW badge on the grille." ; -)
As for the car, the VW Phaeton, well as my wife said, "If I'm going to pay $80,000 plus for a car it's going to have something other than a VW badge on the grille." ; -)
Saturday, June 6, 2009
Thursday, June 4, 2009
The Chinese Are Coming! The Chinese Are Coming!
Word has it that a Chinese company is negotiating to purchase the Hummer brand. Ostensibly to sell the existing inventory and continue building the H3 for a year or so. It would be within reason to expect that at some point the production of Hummers will move to China.
MotorAuthority had a piece regarding a new electric car startup called, Coda Automotive. This is a five passenger sedan that looks vaguely like a Volvo. Hmmm, a little digging shows that a Chinese aircraft manufacturer is involved in this venture, Chengdu Aircraft Company.
A couple of years ago a video of a Chinese car undergoing European crash testing made the rounds on the net. It wasn't pretty and showed that there was a lot of work left to do before folks would trust their families in them. But that will be done.
The Chinese manufacturers have a window of opportunity in the American market if they can get product that will pass US safety standards. There are a ton of dealerships that have had (or will have) their franchises stripped from them. They have the property and personnel to sell and service product. While some of that will disappear before the Chinese cars are approved for sale, there's still time to get in on the next upswing of car sales (which at a rate of 10 million or less a year at the moment has a long way to climb before they're back to normal).
Will the Chinese cars be well received right off the bat. No, not likely, this is a tough market (ask Chrysler ; -). But if they can compete on price initially they'll have the opportunity to compete on features and value later. Think of Kia just a few years ago, or the Japanese in the early '60s.
The Chinese are coming!!
MotorAuthority had a piece regarding a new electric car startup called, Coda Automotive. This is a five passenger sedan that looks vaguely like a Volvo. Hmmm, a little digging shows that a Chinese aircraft manufacturer is involved in this venture, Chengdu Aircraft Company.
A couple of years ago a video of a Chinese car undergoing European crash testing made the rounds on the net. It wasn't pretty and showed that there was a lot of work left to do before folks would trust their families in them. But that will be done.
The Chinese manufacturers have a window of opportunity in the American market if they can get product that will pass US safety standards. There are a ton of dealerships that have had (or will have) their franchises stripped from them. They have the property and personnel to sell and service product. While some of that will disappear before the Chinese cars are approved for sale, there's still time to get in on the next upswing of car sales (which at a rate of 10 million or less a year at the moment has a long way to climb before they're back to normal).
Will the Chinese cars be well received right off the bat. No, not likely, this is a tough market (ask Chrysler ; -). But if they can compete on price initially they'll have the opportunity to compete on features and value later. Think of Kia just a few years ago, or the Japanese in the early '60s.
The Chinese are coming!!
Monday, June 1, 2009
Spin, Spin, Spin
Reinvention? Why didn't they think about this - oh say - ten years ago? I was at a press preview of a redone Cavalier in 1999 when the brand manager said, "I don't have gasoline in my blood . . . " and you knew it was going to go downhill from there.
Well here's the spin from GM:
Go back twenty years and Maryann Keller's, "Rude Awakening" was published. Subtitled, "The Rise, Fall, and Struggle for Recovery of General Motors". Some things don't change evidently.
Well here's the spin from GM:
Go back twenty years and Maryann Keller's, "Rude Awakening" was published. Subtitled, "The Rise, Fall, and Struggle for Recovery of General Motors". Some things don't change evidently.
A Long Row to Hoe
Chrysler is said to be emerging from bankruptcy today to be swallowed by Fiat. This is a cashless transaction where Fiat converts equity in Fiat for the purchase price of Chrysler. And some folks will say, "swell".
GM enters bankruptcy today, ostensibly to clear the cancerous brands, Saturn, Pontiac, Opel/Vauxhall, Hummer, and Saab, from the books. The Canadian parts firm Magna has entered an agreement with the German government to purchase Opel (which saves Vauxhall). There has been a series of suitors for the Saturn brand (the brand NOT the products ; -) as well as the Hummer brand.
But, the road to recovery for both Chrysler and GM will be long and fraught with additional peril, especially while the economy continues to under perform. In the long run both will be mere shadows of their former selves.
GM enters bankruptcy today, ostensibly to clear the cancerous brands, Saturn, Pontiac, Opel/Vauxhall, Hummer, and Saab, from the books. The Canadian parts firm Magna has entered an agreement with the German government to purchase Opel (which saves Vauxhall). There has been a series of suitors for the Saturn brand (the brand NOT the products ; -) as well as the Hummer brand.
But, the road to recovery for both Chrysler and GM will be long and fraught with additional peril, especially while the economy continues to under perform. In the long run both will be mere shadows of their former selves.
Sunday, May 31, 2009
IRL in Milwaukee
The IRL is at the Milwaukee Mile - the oldest racing facility on the circuit (the track - in various forms - has been around since 1876 and auto racing was first held on the horse track dirt surface in 1903).
This is a great segue from the huge facility that is the Indianapolis Motor Speedway. The leaders end up passing back markers within 30 miles of racing! This is great racing and it's fun to watch the jockeying of cars as they try to keep competitors at bay while passing the slow folks.
This is a great segue from the huge facility that is the Indianapolis Motor Speedway. The leaders end up passing back markers within 30 miles of racing! This is great racing and it's fun to watch the jockeying of cars as they try to keep competitors at bay while passing the slow folks.
Mike Lawrence on F1
Mike Lawrence is a British author and reporter of the F1 scene. There's got to be some of his stuff in my library - juxtaposed amongst the Posthumus, Pritchard, Pomeroy, Boddy, and Setright. He has a wonderful set of random thoughts up at the PitPass site that I highly recommend taking the time to read if you are a fan of Formula 1.
The biggest chuckle I got out of it was his explanation of Ferrari's woes this season. He wrote, "I did warn that, having got rid of adult supervision, in the persons of Brawn and Todt, Ferrari would revert to being Italian. It has become Scuderia Shambles, its natural default."
Here's the link.
The biggest chuckle I got out of it was his explanation of Ferrari's woes this season. He wrote, "I did warn that, having got rid of adult supervision, in the persons of Brawn and Todt, Ferrari would revert to being Italian. It has become Scuderia Shambles, its natural default."
Here's the link.
GM Bondholder Agreement
The New York Times is reporting that GM bondholders have reached an agreement on restructuring their debt stake. Currently there are $27 billion in outstanding bonds. For that outstanding debt, the restructuring will offer a 10% equity stake in GM with an additional 15% available through warrants (a financial instrument allowing the holder to purchase stock at a later date for a 'fixed' price - hopefully the value of the stock goes up sufficiently to make the warrants valuable - much like a stock option).
Here's where the math gets interesting. There are about 600 million shares of GM stock outstanding, 10% of that is 60 million shares. The closing price for General Motors on 5/29 was $0.75. So without the future prospect of exercising warrants, the value of the 10% stake is about $45 million. Talk about a BAILOUT - GM wipes out $27 billion in debt for $45 million. And talk about taking a bath - the only way a bondholder could have gotten off worse would be to have invested in one of Madoff's schemes. ; -)
I'll say it again - if you have a company with a unionized work force, that may some day find itself asking this government for help, have fun trying to raise capital by issuing bonds.
Here's where the math gets interesting. There are about 600 million shares of GM stock outstanding, 10% of that is 60 million shares. The closing price for General Motors on 5/29 was $0.75. So without the future prospect of exercising warrants, the value of the 10% stake is about $45 million. Talk about a BAILOUT - GM wipes out $27 billion in debt for $45 million. And talk about taking a bath - the only way a bondholder could have gotten off worse would be to have invested in one of Madoff's schemes. ; -)
I'll say it again - if you have a company with a unionized work force, that may some day find itself asking this government for help, have fun trying to raise capital by issuing bonds.
Friday, May 29, 2009
The Starting Lineup
It's almost summer and the sports pages (Web and newsprint ; -) are chock full of baseball. So how does baseball have anything to do with cars, beyond the old Chevrolet ad campaign, 'Baseball, hot dogs, apple pie, and Chevrolet'?
Well, the heart of a car companies product lineup is analogous to the first four spots on a baseball team's batting order. You need an 'on-base' batter to lead off, a decent percentage hitter in second and third spots, and a power hitter in the cleanup spot.
For car companies that equates to a good compact and mid-size sedan, a mid-size SUV, and a full size truck.
Ford has a decent entry product, the Focus which compares favorably with Toyota's Corolla and the Chevy Cobalt. The Cobalt is a good product - much better than its predecessors - but the Corolla is the All-Star.
The Chevy Malibu is the first mid-size GM sedan in a long time that has the attention to detail in the interior that is needed in this segment. It's a very good product that anyone could use in their lineup. Ford's Fusion is good but the Camry is the gold standard.
The Toyota Highlander is as good a mid-size SUV as a product planner could hope for. The Explorer the aging 'slugger' and the late Chevy Trailblazer (gone now - replaced by the Traverse) the 'Roy Hobbs' of the bunch (it should have been a contender - especially with the creamy smooth in-line six cylinder GM did for that truck).
Cleanup hitter, Ford's F-150 - the best of the bunch, with the Silverado and Tundra playing catchup. Ford has managed to keep the F series at the top of the sales charts and is a big reason it is still healthy.
Now where does Chrysler's product fit. What's their Corolla equivalent, the Sebring? Nope that's the Camry fighter - but it's a minor leaguer compared to the rest. Medium sized SUV, the Dodge Durango - well check the interior out on that truck. And finally the Ram, a good product but an also ran - never getting any All-Star votes.
Notice also the first four slots for Chrysler are across two brands. Could this be why Chrysler couldn't make it? It's all about product.
Well, the heart of a car companies product lineup is analogous to the first four spots on a baseball team's batting order. You need an 'on-base' batter to lead off, a decent percentage hitter in second and third spots, and a power hitter in the cleanup spot.
For car companies that equates to a good compact and mid-size sedan, a mid-size SUV, and a full size truck.
Ford has a decent entry product, the Focus which compares favorably with Toyota's Corolla and the Chevy Cobalt. The Cobalt is a good product - much better than its predecessors - but the Corolla is the All-Star.
The Chevy Malibu is the first mid-size GM sedan in a long time that has the attention to detail in the interior that is needed in this segment. It's a very good product that anyone could use in their lineup. Ford's Fusion is good but the Camry is the gold standard.
The Toyota Highlander is as good a mid-size SUV as a product planner could hope for. The Explorer the aging 'slugger' and the late Chevy Trailblazer (gone now - replaced by the Traverse) the 'Roy Hobbs' of the bunch (it should have been a contender - especially with the creamy smooth in-line six cylinder GM did for that truck).
Cleanup hitter, Ford's F-150 - the best of the bunch, with the Silverado and Tundra playing catchup. Ford has managed to keep the F series at the top of the sales charts and is a big reason it is still healthy.
Now where does Chrysler's product fit. What's their Corolla equivalent, the Sebring? Nope that's the Camry fighter - but it's a minor leaguer compared to the rest. Medium sized SUV, the Dodge Durango - well check the interior out on that truck. And finally the Ram, a good product but an also ran - never getting any All-Star votes.
Notice also the first four slots for Chrysler are across two brands. Could this be why Chrysler couldn't make it? It's all about product.
Thursday, May 28, 2009
NHRA in Topeka
Big time drag racing's traveling circus takes the show to Heartland Park this weekend (Topeka, KS).
I was pondering on Formula 1 engine power this morning, in particular the notion that they have more power than they can adequately put to the ground at times now. What does that say about the power available to the upper reaches of the NHRA classes, Funny Car and Top Fuel?
Well a current F1 engine is rated at slightly under 800 hp. Or the power of about three-plus V6 Camrys. An NHRA Top Fuel dragster is producing around 8000 hp. A stinking fleet of Camrys. Yeeha!!
While some decry what they see as the simplicity of drag racing (go straight then shut the car down), that mindset misses the preparation, the almost impossible task of putting that much power to effective use, and the sheer violence going on inside the engines.
Anyone, and I mean anyone, who has a driver's license can pilot a car down a quarter mile dragstrip in a time of 14 seconds or above. But there are not many drivers that I'd trust with a car capable of sub 8 second runs.
Unlike land speed records, where top speed is achieved after a fairly lengthy run up to the timed section of the course, drag racing occurs from a standing start. And another oddity of drag racing is that age doesn't seem to be an impairment, either old or young.
For grins, here's an amateur video of top fuel dragsters burning out (to warm up the tires) and then approaching the line for the run. Notice the crew members helping to position the cars to take maximum advantage of the grip on the track.
This isn't an NHRA event, but rather an FIA event held at Mantorp Park in Sweden. Ah, American Graffiti at work in Europe. ; -)
I was pondering on Formula 1 engine power this morning, in particular the notion that they have more power than they can adequately put to the ground at times now. What does that say about the power available to the upper reaches of the NHRA classes, Funny Car and Top Fuel?
Well a current F1 engine is rated at slightly under 800 hp. Or the power of about three-plus V6 Camrys. An NHRA Top Fuel dragster is producing around 8000 hp. A stinking fleet of Camrys. Yeeha!!
While some decry what they see as the simplicity of drag racing (go straight then shut the car down), that mindset misses the preparation, the almost impossible task of putting that much power to effective use, and the sheer violence going on inside the engines.
Anyone, and I mean anyone, who has a driver's license can pilot a car down a quarter mile dragstrip in a time of 14 seconds or above. But there are not many drivers that I'd trust with a car capable of sub 8 second runs.
Unlike land speed records, where top speed is achieved after a fairly lengthy run up to the timed section of the course, drag racing occurs from a standing start. And another oddity of drag racing is that age doesn't seem to be an impairment, either old or young.
For grins, here's an amateur video of top fuel dragsters burning out (to warm up the tires) and then approaching the line for the run. Notice the crew members helping to position the cars to take maximum advantage of the grip on the track.
This isn't an NHRA event, but rather an FIA event held at Mantorp Park in Sweden. Ah, American Graffiti at work in Europe. ; -)
Wednesday, May 27, 2009
GM Headed for Bankruptcy?
Bondholders have rejected the latest offer to restructure their debt in GM. Look for a similar conclusion to this as occurred to the Chrysler bondholders.
On the other hand the UAW settled for a much smaller stake (17.5%) in GM than the proposed 39% they were asking for.
On the other hand the UAW settled for a much smaller stake (17.5%) in GM than the proposed 39% they were asking for.
Tuesday, May 26, 2009
North Korea Immitating a Porcupine?
North Korea effectively tests a nuclear device (possibly an implosion - plutonium fueled - device - or maybe they did an enhanced uranium 'cannon'). Then they fire off a handful of medium range missiles. They are rattling sabers. But why?
To say the North Koreans are bad actors is an understatement, but they are not proselytizing a religion/way of life (unlike radical Islamists or Al Gore ; -). Maybe they are in the throes of the last gasp of the Dear Leader - who wishes to maintain control as his vitality slips away.
Maybe what we're seeing is the first signs of the implosion of the North Korean state. The chaos of that event will be tumultuous.
So what are the options? I'd like to see more DDGs (guided missile AEGIS destroyers) in the neighborhood, and possibly an interdiction of material leaving North Korean harbors - not a complete blockade - but one looking for specific military 'exports'. And, as quietly as possible - no public announcements, an end to all aid to the North Korean regime. The aid is not reaching its intended recipients, the long suffering population, but is merely being used to prop up the existing regime.
The chaos of the disintegration of the North Korean regime will be a tough assignment for the international community. The only 'silver' lining I can think of is that we may have a chance to work closely with China, both diplomatically and militarily, when the chaos does erupt.
To say the North Koreans are bad actors is an understatement, but they are not proselytizing a religion/way of life (unlike radical Islamists or Al Gore ; -). Maybe they are in the throes of the last gasp of the Dear Leader - who wishes to maintain control as his vitality slips away.
Maybe what we're seeing is the first signs of the implosion of the North Korean state. The chaos of that event will be tumultuous.
So what are the options? I'd like to see more DDGs (guided missile AEGIS destroyers) in the neighborhood, and possibly an interdiction of material leaving North Korean harbors - not a complete blockade - but one looking for specific military 'exports'. And, as quietly as possible - no public announcements, an end to all aid to the North Korean regime. The aid is not reaching its intended recipients, the long suffering population, but is merely being used to prop up the existing regime.
The chaos of the disintegration of the North Korean regime will be a tough assignment for the international community. The only 'silver' lining I can think of is that we may have a chance to work closely with China, both diplomatically and militarily, when the chaos does erupt.
Monday, May 25, 2009
NASCAR's Coca Cola 600 . . .
. . . is underway again, after being delayed due to weather yesterday. I'm not a big NASCAR fan, but tend to keep loose track of it.
But, there are a couple of good books I'd recommend to get a flavor of the old and new NASCAR. For the old NASCAR I can heartily recommend Robert Edelstein's biography of Curtis Turner, "Full Throttle: the Life and Fast Times of NASCAR Legend Curtis Turner". Exceptionally well written with a sensitivity to the character of Curtis Turner that I believe ranks high in the pantheon of all the biographies in literature. Edelstein's literary construction of Curtis Turner's reaction to the death of Joe Weatherly is masterful.
For the new NASCAR there's "Sunday Money". As good a sendup as you could wish - in a league with Jim Bouton's, "Ball Four" (though without the author, Jeff MacGregor, being an insider). It is a good outsider's look at the sport that will leave you laughing out loud along the way.
Both books will help NASCAR novices and hard-cores alike.
There is one book that I have mixed emotions about - but will put on the list. It is, "Cheating: An Inside Look At the Bad Things Good NASCAR Winston Cup Racers Do In Pursuit of Speed", by Tom Jensen. There are some good tales spun in the book and they're all true, but I find it lacks some context for the cheating. Leo Levine's, "Ford: The Dust and Glory" (in two volumes), recounts some of the same tales but wraps the cheating into a contextual framework. Just remember the old adage, "If you're not cheating, you're not trying hard enough." ; -)
But, there are a couple of good books I'd recommend to get a flavor of the old and new NASCAR. For the old NASCAR I can heartily recommend Robert Edelstein's biography of Curtis Turner, "Full Throttle: the Life and Fast Times of NASCAR Legend Curtis Turner". Exceptionally well written with a sensitivity to the character of Curtis Turner that I believe ranks high in the pantheon of all the biographies in literature. Edelstein's literary construction of Curtis Turner's reaction to the death of Joe Weatherly is masterful.
For the new NASCAR there's "Sunday Money". As good a sendup as you could wish - in a league with Jim Bouton's, "Ball Four" (though without the author, Jeff MacGregor, being an insider). It is a good outsider's look at the sport that will leave you laughing out loud along the way.
Both books will help NASCAR novices and hard-cores alike.
There is one book that I have mixed emotions about - but will put on the list. It is, "Cheating: An Inside Look At the Bad Things Good NASCAR Winston Cup Racers Do In Pursuit of Speed", by Tom Jensen. There are some good tales spun in the book and they're all true, but I find it lacks some context for the cheating. Leo Levine's, "Ford: The Dust and Glory" (in two volumes), recounts some of the same tales but wraps the cheating into a contextual framework. Just remember the old adage, "If you're not cheating, you're not trying hard enough." ; -)
New Life for the Rotary Engine
Mazda has applied for a patent covering a direct fuel injection rotary (Wankel) engine. The rotary engine has some intriguing properties, it can produce good horsepower from a very small size and it is exceptionally smooth (based on it's rotary motion that doesn't involve the violent 'starting and stopping' motions of the connecting rods in a piston engine).
Number 15 is the direct fuel injector.
For grins, here's an animation of the rotary in motion.
It has two significant drawbacks though. One is it's difficulty in 'sealing' the rotors and the second is it's dicey pollution characteristics/fuel economy. The second problem has to do with the shape of the combustion chamber, a wide shallow space that's moving, that is difficult to do a complete burn of the fuel in. That is one reason each rotor chamber has two spark plugs, one leading ignition pulse and one trailing pulse.
The direct injection could reduce the impact of that problem by keeping the cloud of fuel very close to the ignition source (rather than having it dispersed throughout the elongated combustion chamber as has been the case until now). But it appears that they are injecting fuel before compression, which still leaves a fuel/air mixture to occupy the hard to reach edges of the combustion chamber (hard for the flame front to reach that is). Regardless, fuel economy will improve.
Hat tip to MotorAuthority.
For grins, here's an animation of the rotary in motion.
It has two significant drawbacks though. One is it's difficulty in 'sealing' the rotors and the second is it's dicey pollution characteristics/fuel economy. The second problem has to do with the shape of the combustion chamber, a wide shallow space that's moving, that is difficult to do a complete burn of the fuel in. That is one reason each rotor chamber has two spark plugs, one leading ignition pulse and one trailing pulse.
The direct injection could reduce the impact of that problem by keeping the cloud of fuel very close to the ignition source (rather than having it dispersed throughout the elongated combustion chamber as has been the case until now). But it appears that they are injecting fuel before compression, which still leaves a fuel/air mixture to occupy the hard to reach edges of the combustion chamber (hard for the flame front to reach that is). Regardless, fuel economy will improve.
Hat tip to MotorAuthority.
On Mileage Standards
The recently approved Corporate Average Fuel Economy (CAFE) standards have the automotive world in a bit of a dither. There are some that say the standards are set too high , that we'll end up with tiny (read fragile) cars, or that we'll sacrifice consumer choice.
I don't see it quite that way. For one, the positive news in this set of standards is that the California Air Resources Board (CARB) can no longer, until 2016 at least, apply a more 'difficult' standard than the federal CAFE standard. That is the prize for the automakers. They no longer have to treat California as if it were a foreign market.
As far as the mix of cars are concerned, I suspect that yes, we will see more A and B-class cars (we already have quite a few showing up, the Smart, Yaris, Fit, and Versa, to name a few). Ford will bring in a B-class (Fiesta?) and Chevy is already selling the Aveo. Heck even Cadillac has a well built little car called a BTS that they toyed with selling in Europe.
But while small cars may be the focus of the press and the yammering classes (both left and right), the real effort will go into producing hybrid powertrains in existing C and D-class cars as well as trucks. The cost of cars will go up (of course). But hybridization coupled with newer engine technology (direct fuel injection being a biggee for gasoline engines), will do the trick. There are also some new high strength steels coming into play that will allow weight savings while still providing requisite crash protection. The standards may be a stretch, but are not impossible.
In the 1970s when CAFE was introduced, most piston-heads donned sackcloth and ashes and took to the streets with signs decrying the end of the performance car. Well - it didn't die - it took about twenty plus years to sort things out, but we now have an array of high performance cars that make the '60s era muscle cars look like slugs.
The other thing we learned along the way is that as fuel economy improved the miles driven went up also. That leads me to believe there's another shoe to drop in this process. That 'shoe' will be a 'floor', or threshold price for fuel (fossil fuels only, I suspect) artificially established through taxation. Look for that floor to be in the neighborhood of $3.50 to $4.00 a gallon for regular un-leaded gasoline. Ouch . . .
I don't see it quite that way. For one, the positive news in this set of standards is that the California Air Resources Board (CARB) can no longer, until 2016 at least, apply a more 'difficult' standard than the federal CAFE standard. That is the prize for the automakers. They no longer have to treat California as if it were a foreign market.
As far as the mix of cars are concerned, I suspect that yes, we will see more A and B-class cars (we already have quite a few showing up, the Smart, Yaris, Fit, and Versa, to name a few). Ford will bring in a B-class (Fiesta?) and Chevy is already selling the Aveo. Heck even Cadillac has a well built little car called a BTS that they toyed with selling in Europe.
But while small cars may be the focus of the press and the yammering classes (both left and right), the real effort will go into producing hybrid powertrains in existing C and D-class cars as well as trucks. The cost of cars will go up (of course). But hybridization coupled with newer engine technology (direct fuel injection being a biggee for gasoline engines), will do the trick. There are also some new high strength steels coming into play that will allow weight savings while still providing requisite crash protection. The standards may be a stretch, but are not impossible.
In the 1970s when CAFE was introduced, most piston-heads donned sackcloth and ashes and took to the streets with signs decrying the end of the performance car. Well - it didn't die - it took about twenty plus years to sort things out, but we now have an array of high performance cars that make the '60s era muscle cars look like slugs.
The other thing we learned along the way is that as fuel economy improved the miles driven went up also. That leads me to believe there's another shoe to drop in this process. That 'shoe' will be a 'floor', or threshold price for fuel (fossil fuels only, I suspect) artificially established through taxation. Look for that floor to be in the neighborhood of $3.50 to $4.00 a gallon for regular un-leaded gasoline. Ouch . . .
Sunday, May 24, 2009
Indy 500
Polesitter, Helio Castroneves wins his third Indy 500. This is the Penske Team's 15th. It was a very good ending to a comeback month for Helio and his enthusiasm was more effusive than ever.
The youngsters got some good experience and maybe a few have learned just how unforgiving the walls are. Maybe one in particular will think with his head more than his right foot in years to come.
The youngsters got some good experience and maybe a few have learned just how unforgiving the walls are. Maybe one in particular will think with his head more than his right foot in years to come.
What's a Topless Sprinter?
Not what immediately comes to mind. ; -)
Here's a clip of un-winged sprinters on dirt. About 800 Hp and only 1300 lbs. Seriously dangerous and sideways all the way around a bullring of a dirt track. The clip is from qualifying at the Bloomington Speedway.
I do believe God is a sprint car fan.
Here's a clip of un-winged sprinters on dirt. About 800 Hp and only 1300 lbs. Seriously dangerous and sideways all the way around a bullring of a dirt track. The clip is from qualifying at the Bloomington Speedway.
I do believe God is a sprint car fan.
Brawn Sweeps Monaco
Strength upon strength - the Brawn GP team finishes one/two yet again, this time in Monaco. Jensen Button takes a commanding lead in the driver's championship while Brawn GP stretches its lead in the manufacturers' championship.
The race lead was never really contested. Button led from the pole and became the first British driver to win from pole since Sir Jackie Stewart did the same in 1973.
Interesting radio chatter from the team to Button after he won, "Congratulations and pick up as much rubber as possible please." Formula 1 cars are weighed (as well as the drivers) at the end of the race and must make minimum weight to pass scrutiny. The soft, hot, slick tires will pick up cigarette butts, pieces of rubber shed from other tires, gravel, small animals - you name it - and add to the weight of the car.
Good way to start the day!
The race lead was never really contested. Button led from the pole and became the first British driver to win from pole since Sir Jackie Stewart did the same in 1973.
Interesting radio chatter from the team to Button after he won, "Congratulations and pick up as much rubber as possible please." Formula 1 cars are weighed (as well as the drivers) at the end of the race and must make minimum weight to pass scrutiny. The soft, hot, slick tires will pick up cigarette butts, pieces of rubber shed from other tires, gravel, small animals - you name it - and add to the weight of the car.
Good way to start the day!
Race Day
Packed schedule today, Formula One in Monaco, the Indy 500, chased with NASCAR's Coca Cola 600. Throw in a USAC 'topless' sprinter race on a half mile dirt track and I'd be in heaven.
Crack House
I really enjoy Jim the Realtor!
But there's no basement, where do they go when there's tornadoes in San Diego? ; -)
But there's no basement, where do they go when there's tornadoes in San Diego? ; -)
Saturday, May 23, 2009
Memorial Day
'In Paradisum' is the closing of the Requiem Mass. As we remember the men and women who served their country and are no longer with us, especially those who died defending us, this portion of the mass attempts to explain the inexplicable - what comes after life. The text is copied below in Latin and English:
In paradisum deducant te angeli,
in tuo adventu
suscipiant te martyres,
et perducant te
in civitatem sanctam Jerusalem.
Chorus angelorum te suscipiat,
et cum Lazaro quondam paupere
aeternam habeas requiem.
May the angels lead you into paradise,
may the martyrs receive you
in your coming,
and may they guide you
into the holy city, Jerusalem.
May the chorus of angels receive you
and with Lazarus once poor
may you have eternal rest.
The first version presented is the original Gregorian chant.
The second is Maurice Durufle's 20th century interpretation of the original.
This hope for family and friends who've gone before us. Especially to Bob Feighner.
in tuo adventu
suscipiant te martyres,
et perducant te
in civitatem sanctam Jerusalem.
Chorus angelorum te suscipiat,
et cum Lazaro quondam paupere
aeternam habeas requiem.
may the martyrs receive you
in your coming,
and may they guide you
into the holy city, Jerusalem.
May the chorus of angels receive you
and with Lazarus once poor
may you have eternal rest.
The first version presented is the original Gregorian chant.
The second is Maurice Durufle's 20th century interpretation of the original.
This hope for family and friends who've gone before us. Especially to Bob Feighner.
Pioneers
Indy was a rough place for women to break into - ask Janet Guthrie. In fact Indy brought both Janet and Lyn St James out on Bump Day for a Q & A session. Very nice; and good to hear from both of them. I've read both of their autobiographies and can recommend both (Janet's is especially well written - she said it took 23 years to write.)
Janet is in the center, Lyn is on the right.
So this year there are three women in the race, Milka Duno, Sarah Fisher, and Danica Patrick. And some would argue that Danica has a chance to win.
I think it proper to remember the good will and help provided to Janet by Rolla Vollstedt . And since it is Memorial Day weekend, I'd like to honor the memory of Rolla's friend and the nicest Indy driver never to win the 500, Len Sutton. We miss you Len. Here's a checker in memoriam.
So this year there are three women in the race, Milka Duno, Sarah Fisher, and Danica Patrick. And some would argue that Danica has a chance to win.
I think it proper to remember the good will and help provided to Janet by Rolla Vollstedt . And since it is Memorial Day weekend, I'd like to honor the memory of Rolla's friend and the nicest Indy driver never to win the 500, Len Sutton. We miss you Len. Here's a checker in memoriam.
Bump Day Returns
The last two days of qualifying for the Indy 500 brought more drama this year than in recent memory. Sure the cars are nearly identical, but the setups and the drivers aren't and that's where the drama begins.
John Andretti (whose car is pictured below) pulled off a last minute bump last Sunday by finding two miles per hour that frankly seemed to appear magically. Word is out that they received a call from Tony Stewart advising John to go wider into turn one to pick up more speed through the short chute between turns one and two. It worked.
One thing of note is how horizontal the rear wing is. On most tracks it would be more upright, it practically lays down at Indy - these things are setup for MAX speed!
John Andretti (whose car is pictured below) pulled off a last minute bump last Sunday by finding two miles per hour that frankly seemed to appear magically. Word is out that they received a call from Tony Stewart advising John to go wider into turn one to pick up more speed through the short chute between turns one and two. It worked.
One thing of note is how horizontal the rear wing is. On most tracks it would be more upright, it practically lays down at Indy - these things are setup for MAX speed!
Friday, May 22, 2009
And Now for Something Completely Different . . .
. . . a tractor pull in the Netherlands with an exploding engine. Most of the time a connecting rod goes through the side of the block and leaves a nasty hole (or REALLY positive crankcase ventilation ; -). In this case it appears that the bulk of the rotating assembly stayed behind and the block and heads were sent flying. Pretty impressive, and to quote David Hobbs, "It blewed up"! ; -)
Monaco Grand Prix
The Monaco Grand Prix runs this weekend - thankfully earlier in the morning here in flyover country than the Indy 500. Giancarlo Fisichella talks us through a lap of the circuit - the greatest street race of them all!
Tuesday, May 19, 2009
Giuliano Carminogla . . .
. . . is also coming to Kansas City next season for the Friends of Chamber Music series.
This is baroque music at its finest. Superb and, of course, good seats are available.
Friends of Chamber Music - Kansas City
This is baroque music at its finest. Superb and, of course, good seats are available.
Friends of Chamber Music - Kansas City
Monday, May 18, 2009
Better Battery Business
The following article from Wired's Autopia discusses a decent alternative to the problem of rate of refueling for electric car battery packs. It's merely a swap out - drive-in with a 'flat' battery, drive-out with a 'fresh' one.
Though the article pooh pooh's the notion saying, consumers will equate changing out batteries to changing an engine, and then decries the fact that we'll never standardize misses a couple of important points.
1) The batteries are 'fuel' - and the consumer is likely to see them as that. Especially if a scheme is put in place to treat them as such, including the cost associated with 'using' the fuel. Charges based on the cell.
2) Battery powered vehicles are in their infancy. Standards will come. That's why automakers are members of the Society of Automotive Engineers (the US standards body). Think of it this way, at the dawn of the horseless carriage there was no standardization of controls. Today you can get into almost any car and drive it away without having an all day course to figure out how to drive it.
This idea has a lot of merit IF battery power is the fuel source of the future.
Though the article pooh pooh's the notion saying, consumers will equate changing out batteries to changing an engine, and then decries the fact that we'll never standardize misses a couple of important points.
1) The batteries are 'fuel' - and the consumer is likely to see them as that. Especially if a scheme is put in place to treat them as such, including the cost associated with 'using' the fuel. Charges based on the cell.
2) Battery powered vehicles are in their infancy. Standards will come. That's why automakers are members of the Society of Automotive Engineers (the US standards body). Think of it this way, at the dawn of the horseless carriage there was no standardization of controls. Today you can get into almost any car and drive it away without having an all day course to figure out how to drive it.
This idea has a lot of merit IF battery power is the fuel source of the future.
Sunday, May 17, 2009
Andrei Gavrilov
Andrei Gavrilov will be in KC as part of the Friends of Chamber Music 2009-2010 season.
Here he is playing a portion of Prokofiev's Sonata #8.
As can be seen in 'Allegro Moderato' section, he can really pound the keyboard. Some wag thinks we should bill this concert as:
Gavrilov vs. Steinway!!
Good tickets still available! ; -)
Here he is playing a portion of Prokofiev's Sonata #8.
As can be seen in 'Allegro Moderato' section, he can really pound the keyboard. Some wag thinks we should bill this concert as:
Gavrilov vs. Steinway!!
Good tickets still available! ; -)
Saturday, May 16, 2009
Helio on the Pole
Helio Castroneves has had some serious ups and downs the past couple of months. He was on trial for tax evasion (and why he wasn't offered a cabinet post, say Department of Transportation, is beyond me ; -). Then he was acquitted (removes his qualifications for a cabinet post ; -). Then he got to run a car again at the Kansas Speedway and now is sitting on the pole for the 2009 Indy 500.
By the way, that car isn't painted regular red & white. It is one ungodly day-glo red that I have yet to see rendered correctly on film or in digits. You have to see it in person - it really 'POPS!'
By the way, that car isn't painted regular red & white. It is one ungodly day-glo red that I have yet to see rendered correctly on film or in digits. You have to see it in person - it really 'POPS!'
Friday, May 15, 2009
The Track
On TV Indy's racing surface looks like it's smooth as glass, but take a peek at it up close:
The pavement is grooved asphalt, but better asphalt than your city fathers purchase. The friction this material can generate, with grooves, allows the speeds we're seeing. (The pencil is a reference for scale.)
By the way that scrape just above the pencil? It's the gouge Danica Patrick's car took out of the track a few years back. ;-)
The pavement is grooved asphalt, but better asphalt than your city fathers purchase. The friction this material can generate, with grooves, allows the speeds we're seeing. (The pencil is a reference for scale.)
By the way that scrape just above the pencil? It's the gouge Danica Patrick's car took out of the track a few years back. ;-)
Veritas Reborn
Immediately after WW II a small German firm, named Veritas, sprung up from the ashes of the BMW program. BMW's fate was cloudy immediately after the war and several of it's technical folks found other work, including building sports racing and formula cars under the Veritas banner.
There's a new Veritas, and true to its history, it utilizes a BMW powertrain. In this case the insanely powerful S85 V-10 lifted from BMW's M5. Ah heck, pictures are truly worth more than words in this case, here's the vid . . .
It's not retro - but it manages to pay homage to the marques styling cues. Well done, and I suspect scary quick!
Odd that in times of financial concern, somehow the bespoke builders manage to survive.
There's a new Veritas, and true to its history, it utilizes a BMW powertrain. In this case the insanely powerful S85 V-10 lifted from BMW's M5. Ah heck, pictures are truly worth more than words in this case, here's the vid . . .
It's not retro - but it manages to pay homage to the marques styling cues. Well done, and I suspect scary quick!
Odd that in times of financial concern, somehow the bespoke builders manage to survive.
Thursday, May 14, 2009
Bump Day Sunday
So I'm headed to Indy tomorrow (and have salted away a few blog posts to tithe us over until returning). It looks like there are 17 cars that could be fighting for the remaining 11 spots on the grid.
Realistically there may be only 13 or 14 cars that'll make the attempt - but that means someone will try to bump somebody out of the show.
Realistically there may be only 13 or 14 cars that'll make the attempt - but that means someone will try to bump somebody out of the show.
Friends of Chamber Music
Automobiles, music, and reading are my three lifelong passions. I am extremely proud to be a friend, volunteer, and patron of Kansas City's Friends of Chamber Music. This is one of the best reasons to live in Kansas City.
Wednesday, May 13, 2009
Blowover!
These accidents are known as 'blowovers' a quirk of dirty air, a bit of a ramp in the racing surface, and high speeds. Since the advent of aero in racing, the times when the downforce comes off the car can be frightening!
After Indy comes LeMans!
After Indy comes LeMans!
Tuesday, May 12, 2009
Well, It's a Little Early for the Silly Season, but . . .
. . . Ferrari never fails to fulfill the fun factor by throwing a true hissy fit. They've decided to withdraw from F1 next year, because the governing body wants to limit costs.
More in this article from one of my favorite sites: MotorAuthority
More in this article from one of my favorite sites: MotorAuthority
Snooze in Spain
I love Formula 1 - it's been a soap opera extraodinaire these past couple of years, with rules changes, scandals, pouting drivers, the whole kit and kaboodle - but the race this last weekend in Spain was, baring an early wreck fest, a snoozer. Watching Indy practice and qualifying has been much more fun!
What a Spin!
During practice this last weekend at Indy, John Andretti smacked the wall hard coming out of turn 1. The impact spun the car and drove it down the track, but as it spun it had its nose pointed back up track and it headed back to the wall.
Graham Rahal came up upon this scene at full throttle, backed off, decided as Andretti's car was going low that he'd go high only to have the wreck start closing the gap between Graham and the wall.
That was a spin! Haven't seen anything that good (and lucky) since 1985's 'Spin to Win'
Graham Rahal came up upon this scene at full throttle, backed off, decided as Andretti's car was going low that he'd go high only to have the wreck start closing the gap between Graham and the wall.
That was a spin! Haven't seen anything that good (and lucky) since 1985's 'Spin to Win'
GM: The News Isn't Good
Looking at a number of articles concerning GM over the past two days make it clear that things are not going as well as hoped. The notion that GM is going to abandon Detroit as it's headquarters is deeply disappointing. (GM has been ensconced in the Renaissance Center - previously a Ford building - for over 10 years.)
Detroit is fast becoming a third world city, abandoned commercial property and depressed home prices coupled with massive unemployment. And that's a real shame.
Detroit is fast becoming a third world city, abandoned commercial property and depressed home prices coupled with massive unemployment. And that's a real shame.
Friday, May 8, 2009
Got Gold?
This doesn't bode well.
Seems that an auction of 30 year treasury notes didn't yield the sales they anticipated. People are voting with their pocketbooks, or in this case possibly, countries are voting with their pocketbooks.
Plus word that the Chinese are buying gold, and using it as a reserve, not as a tool to facilitate exchange.
Basically they're saying they don't trust us to protect the value of our money, and the way the current congress is spending, I can't say that I blame them. ; -)
Seems that an auction of 30 year treasury notes didn't yield the sales they anticipated. People are voting with their pocketbooks, or in this case possibly, countries are voting with their pocketbooks.
Plus word that the Chinese are buying gold, and using it as a reserve, not as a tool to facilitate exchange.
Basically they're saying they don't trust us to protect the value of our money, and the way the current congress is spending, I can't say that I blame them. ; -)
The Indy 500
Practice is underway for the Memorial Day weekend Indy 500. The fastest speed so far is a 225 mph (~362 kph) lap by Marco Andretti in yesterday afternoon's session.
Qualifying for the race starts on Saturday, May 9. Indy is a bit different than F1 in that you qualify the car, not the driver. In addition, thanks to a very old AAA Contest Board rule - that set a ratio of cars to track size - only 33 cars can make the race.
On the first Saturday of qualifying, the first 11 spots on the grid will be filled by the fastest 11 cars. The car with the fastest time will be the 'pole-sitter', or the car closest to the inside front of the grid (nearest the scoring pylon - or pole).
On the first Sunday of qualifying, the cars that didn't qualify on Saturday can attempt to fill the next 11 slots. Depending on track temperatures and ambient temperatures, the times on Sunday can be faster than the times from Saturday. Too bad. Indy rewards the teams that can optimize their cars for the conditions at hand. Teams that are known for meticulous preparation are always a threat to capture the pole.
The final 11 spots are filled on the second Saturday of qualifying. But there still is a glimmer of hope for those that haven't made it. The second Sunday is known as 'Bump Day' and cars that have yet to qualify can attempt to displace the car that has qualified for the 33rd spot, or, as it is commonly called, the car on the 'bubble'. The next slowest car of the bottom 11 will be on the bubble, if the car previously on the bubble is bumped.
There are 40 entrants for this year's 500 (as of late last week). They represent 77 cars, some of which are 'spare' cars - there is always the chance of smacking the wall at Indy. Anytime there are more than 38 or so cars with the speed to make the field, bump day can be exciting.
The Indy 500 is truly a spectacle and it's an month long affair. It's neat that the car counts are finally great enough to add to the drama. I'll be there for bump day this year.
Oh, BTW, you can watch practice at http://www.indycar.com
Qualifying for the race starts on Saturday, May 9. Indy is a bit different than F1 in that you qualify the car, not the driver. In addition, thanks to a very old AAA Contest Board rule - that set a ratio of cars to track size - only 33 cars can make the race.
On the first Saturday of qualifying, the first 11 spots on the grid will be filled by the fastest 11 cars. The car with the fastest time will be the 'pole-sitter', or the car closest to the inside front of the grid (nearest the scoring pylon - or pole).
On the first Sunday of qualifying, the cars that didn't qualify on Saturday can attempt to fill the next 11 slots. Depending on track temperatures and ambient temperatures, the times on Sunday can be faster than the times from Saturday. Too bad. Indy rewards the teams that can optimize their cars for the conditions at hand. Teams that are known for meticulous preparation are always a threat to capture the pole.
The final 11 spots are filled on the second Saturday of qualifying. But there still is a glimmer of hope for those that haven't made it. The second Sunday is known as 'Bump Day' and cars that have yet to qualify can attempt to displace the car that has qualified for the 33rd spot, or, as it is commonly called, the car on the 'bubble'. The next slowest car of the bottom 11 will be on the bubble, if the car previously on the bubble is bumped.
There are 40 entrants for this year's 500 (as of late last week). They represent 77 cars, some of which are 'spare' cars - there is always the chance of smacking the wall at Indy. Anytime there are more than 38 or so cars with the speed to make the field, bump day can be exciting.
The Indy 500 is truly a spectacle and it's an month long affair. It's neat that the car counts are finally great enough to add to the drama. I'll be there for bump day this year.
Oh, BTW, you can watch practice at http://www.indycar.com
Thursday, May 7, 2009
The Weather Report
It's been a fairly wet, cool spring so far and the grass is growing thick and fast. Looks like about an inch a day. Mowing every third day is not fun.
Drag Racing at One Thousand Frames a Second
Received a 'tweet' from John Force Racing pointing to this video:
Drag Racing Filmed at 1000 fps - Watch more Fast and Furious
Drag racing has a lot more tech going on in it than most people give it credit for. The forces and physics involved are tremendous and a lot of extremely violent things happen in an amazingly short time. I like it!!
Drag Racing Filmed at 1000 fps - Watch more Fast and Furious
Drag racing has a lot more tech going on in it than most people give it credit for. The forces and physics involved are tremendous and a lot of extremely violent things happen in an amazingly short time. I like it!!
'Oh the Tangled Web We Weave . . .'
The NY Times is reporting that GM is seeking an equity stake in Fiat for the turnover of GM's Latin American and European operations.
So Fiat owns Chrysler and GM owns a big chunk of Fiat? Ho boy. ; -)
So Fiat owns Chrysler and GM owns a big chunk of Fiat? Ho boy. ; -)
Porsche and Volkswagen
In a slightly breathless piece, attempting to tie the story into current industry conditions, CNN reports that Porsche and Volkswagen are merging.
If you haven't been following the industry, you may come away thinking the world is coming to an end. But in reality Porsche has owned a majority stake in VW for about a year plus. This is merely the culmination of some internal politics on the composition of the boardroom.
The piece mentions 10 brands, and most folks would be hard pressed to name all 10. (I only came up with 8 when I tried yesterday.) But they are; Audi, Bentley, Bugatti, Porsche, Skoda, SEAT, Porsche, Volkswagen and a couple of truck makers.
(Hmmm, listed Porsche twice - I need to check for additional fingers now. ; -)
If you haven't been following the industry, you may come away thinking the world is coming to an end. But in reality Porsche has owned a majority stake in VW for about a year plus. This is merely the culmination of some internal politics on the composition of the boardroom.
The piece mentions 10 brands, and most folks would be hard pressed to name all 10. (I only came up with 8 when I tried yesterday.) But they are; Audi, Bentley, Bugatti, Porsche, Skoda, SEAT, Porsche, Volkswagen and a couple of truck makers.
(Hmmm, listed Porsche twice - I need to check for additional fingers now. ; -)
Biofuels
More on this later - there are some interesting things going on in alternative fuel sources. But here is an article from MotorAuthority that highlights government spending for biofuels. I am pleased to see that the administration has earmarked the bulk of the funding to pilot and demonstration units.
This means that this funding isn't just there to subsidize corn to ethanol. We know that works and we know its strengths and weaknesses. But there are a number of interesting alternatives to corn as a raw component for fuel. Here's one I've got my eye on: Sapphire Energy - they are working on converting algae to gasoline.
This means that this funding isn't just there to subsidize corn to ethanol. We know that works and we know its strengths and weaknesses. But there are a number of interesting alternatives to corn as a raw component for fuel. Here's one I've got my eye on: Sapphire Energy - they are working on converting algae to gasoline.
Another View of the Chrysler Bailout
From this Atlantic piece by Megan McArdle:
When the government gives money to favored constituencies--well, I don't like it, but as PJ O'Rourke says, that's basically what our government does. "It ought to be right there in the constitution: 'We the People, in order to form a more perfect union, establish justice, insure domestic tranquility, provide for the common defense, promote the general welfare, and give money to jerks . . . ' " But when it starts stepping in and trying to bypass the bankruptcy rules in order to make someone else give money to jerks, that's different in magnitude, and in kind.
I concur. What we needed to do was let our legal system run its course (and it can be expedited if need be). Of course the other piece of this I didn't quote was the notion that the institutions that have received TARP funds (and who now find the rules for repaying those funds changing) are on the hook to do their masters' bidding.
What we don't want are extra-legal reaches and grabs for our money - remember who ends up paying for all of this. We now own, thanks to our taxdollars-at-work, Chrysler and GM - we must want them to succeed. But what control do we have?
When the government gives money to favored constituencies--well, I don't like it, but as PJ O'Rourke says, that's basically what our government does. "It ought to be right there in the constitution: 'We the People, in order to form a more perfect union, establish justice, insure domestic tranquility, provide for the common defense, promote the general welfare, and give money to jerks . . . ' " But when it starts stepping in and trying to bypass the bankruptcy rules in order to make someone else give money to jerks, that's different in magnitude, and in kind.
I concur. What we needed to do was let our legal system run its course (and it can be expedited if need be). Of course the other piece of this I didn't quote was the notion that the institutions that have received TARP funds (and who now find the rules for repaying those funds changing) are on the hook to do their masters' bidding.
What we don't want are extra-legal reaches and grabs for our money - remember who ends up paying for all of this. We now own, thanks to our taxdollars-at-work, Chrysler and GM - we must want them to succeed. But what control do we have?
Wednesday, May 6, 2009
Chrylser Bankruptcy Proceedings
The bankruptcy judge has ruled against the senior debtors. Look for a quick turnaround and the empty hull of Chrysler to start churning out Fiat products in the next two years (with our tax dollars limping them along in the foreseeable future).
So who wants to loan money to a corporation that may be 'nationalized' now?
I'm still of the opinion that this company will not be profitable in my lifetime. But we're practically giving it away to Fiat. Frankly disgusting.
So who wants to loan money to a corporation that may be 'nationalized' now?
I'm still of the opinion that this company will not be profitable in my lifetime. But we're practically giving it away to Fiat. Frankly disgusting.
GM's Penny Stock
Automotive News reports overnight that GM will issue sixty billion (60,000,000,000) new shares of stock that they'll parcel out to the bondholders, gummint, UAW and give out as tickets to be redeemed for prizes at Chuck E. Cheese (well maybe all of the above except the last ; -).
So how much will GM shares be worth this morning? They closed at $1.85 yesterday. GM's current market cap is $1.13B so it looks like they're expanding equity by about 100 times current. Definitely penny stock territory.
Hmmmmm, I'll need to double check calculations after a full dosage of coffee, but if you haven't dumped your GM stock yet - it may be too late.
So how much will GM shares be worth this morning? They closed at $1.85 yesterday. GM's current market cap is $1.13B so it looks like they're expanding equity by about 100 times current. Definitely penny stock territory.
Hmmmmm, I'll need to double check calculations after a full dosage of coffee, but if you haven't dumped your GM stock yet - it may be too late.
Tuesday, May 5, 2009
Fiat's UK Customer Satisfaction Numbers
MotorAuthority has this story regarding Fiat's UK J.D. Power satisfaction rankings.
I owned a Fiat, a 128, an important vehicle in the grand scheme of things (at least LJK Setright thought so). But it was not a very well built car. That was in 1976, however, and hopefully Fiat has learned a few things about screwing cars together in the intervening years. ; -)
I owned a Fiat, a 128, an important vehicle in the grand scheme of things (at least LJK Setright thought so). But it was not a very well built car. That was in 1976, however, and hopefully Fiat has learned a few things about screwing cars together in the intervening years. ; -)
Monday, May 4, 2009
Fiat's Ambition
Fiat, not long from financial ill health itself, seems to be intent on soaking up the marginal players in the current business cycle. They are intent on picking up GM's Europe holdings.
Frankly this is a bit troubling because neither Chrysler or GM Europe has made a profit recently. Will these two additions prove to be the 'gravitas' that propels Fiat to the forefront of automakers, or will they prove to be the Albatross around the neck that brings Fiat down?
I suspect the answer will depend on the type of recovery we see from the current recession. If it is a V-shaped or even U-shaped recovery, they may come out smelling like a rose. But if it is an L-shaped recovery, Fiat may wish it hadn't reached for an Opel or Dodge too far. ; -)
Frankly this is a bit troubling because neither Chrysler or GM Europe has made a profit recently. Will these two additions prove to be the 'gravitas' that propels Fiat to the forefront of automakers, or will they prove to be the Albatross around the neck that brings Fiat down?
I suspect the answer will depend on the type of recovery we see from the current recession. If it is a V-shaped or even U-shaped recovery, they may come out smelling like a rose. But if it is an L-shaped recovery, Fiat may wish it hadn't reached for an Opel or Dodge too far. ; -)
Sunday, May 3, 2009
Mini/Micro Cars
The Suez crisis occurred in 1956 and in its wake the first of many oil price shocks hit western economies. Europe had yet to completely recover from the effects of World War II and if an individual could buy a car, it probably couldn't be very much of a car. But cars were being produced, mini and micro cars. And a great number of them came from Germany, where tax and licensing laws made the little vehicles appealing.
While a lot of folks are familiar with the BMW Isetta, there were a number of other interesting German micro cars, from Messerschmitt, Lloyd, Glas, and Heinkel for example. Some of these and others were found at the Kansas City Mini Micro Car Show on May 3.
So without further ado here are a few pictures from the show:
The BMW Isetta 300.
A Heinkel bubble car.
The NSU Prinz (a little later on the scene than the previous two):
A real jewel of a small car, the Abarth 750, gorgeous Italian bodywork.
And for good measure, something that predates them all, the Cruved Dash Oldsmobile from 1903:
Really small cars have probably seen their time in the sun come and go in western economies. Safety considerations have driven weight and size up (it is economically difficult to build a truly light weight car that meets current safety standards). That's why cars like the Aptera are three wheelers, they have a different set of safety standards to meet.
These are fun cars to see but especially when they are in motion in traffic! ; -)
While a lot of folks are familiar with the BMW Isetta, there were a number of other interesting German micro cars, from Messerschmitt, Lloyd, Glas, and Heinkel for example. Some of these and others were found at the Kansas City Mini Micro Car Show on May 3.
So without further ado here are a few pictures from the show:
The BMW Isetta 300.
A Heinkel bubble car.
The NSU Prinz (a little later on the scene than the previous two):
A real jewel of a small car, the Abarth 750, gorgeous Italian bodywork.
And for good measure, something that predates them all, the Cruved Dash Oldsmobile from 1903:
Really small cars have probably seen their time in the sun come and go in western economies. Safety considerations have driven weight and size up (it is economically difficult to build a truly light weight car that meets current safety standards). That's why cars like the Aptera are three wheelers, they have a different set of safety standards to meet.
These are fun cars to see but especially when they are in motion in traffic! ; -)
Friday, May 1, 2009
Another View of those 'Greedy' Hedge Funds
The Business Insider has this article up on the Chrysler Chapter 11 bankruptcy.
If you refuse to honor the debt, or deal with the debt in accordance to prevailing laws, how will you ever be able to borrow money? Who will be willing to lend? That's just what is going on with the auto industry bailouts. Got a union shop? Sorry, have fun attracting bondholders.
However, one of the overlooked pieces of the Chrysler puzzle is how to handle the dealers. There are too many, and there are contractual obligations to the dealers if Chrysler wishes to close them. The bankruptcy should clear some of those obligations.
And I'm afraid a friend of mine who owns a Chrysler dealership, and his employees, will be negatively impacted.
If you refuse to honor the debt, or deal with the debt in accordance to prevailing laws, how will you ever be able to borrow money? Who will be willing to lend? That's just what is going on with the auto industry bailouts. Got a union shop? Sorry, have fun attracting bondholders.
However, one of the overlooked pieces of the Chrysler puzzle is how to handle the dealers. There are too many, and there are contractual obligations to the dealers if Chrysler wishes to close them. The bankruptcy should clear some of those obligations.
And I'm afraid a friend of mine who owns a Chrysler dealership, and his employees, will be negatively impacted.
Thursday, April 30, 2009
Here's An Economy Car the 'New' GM Might Be Interested In
One of the fears of government ownership of a car company is that we'll get 'government' cars (cars the government thinks we need).
Well to give you a glimpse of what that may look like, let's take a peek at the Lane Motor Museum's Peel Trident. (Video is a bit longish at seven minutes.)
Jeff Lane has to be commended for taking that out on Murfreesboro Road in Nashville. The Lane Motor Museum is worth a stop if you're in Nashville.
Well to give you a glimpse of what that may look like, let's take a peek at the Lane Motor Museum's Peel Trident. (Video is a bit longish at seven minutes.)
Jeff Lane has to be commended for taking that out on Murfreesboro Road in Nashville. The Lane Motor Museum is worth a stop if you're in Nashville.
The 'Greedy' Speak
Found on The Business Insider, a communication from the non-TARP debt holders of Chrysler.
The TARP bondholders have some incentive for going along with what the gummint *ahem* suggests. Those debt holders that aren't on the public dole, however, have been frozen out of negotiations regarding debt relief for Chrysler. I especially find these lines informative from their communique:
As of last night’s deadline, we were part of a group of approximately 20 relatively small organizations; we represent many of the country’s teachers unions, major pension and retirement plans and school endowments who have invested through us in senior secured loans to Chrysler. Combined, these loans total about $1 billion. None of us have taken a dime in TARP money.
[SNIP]
Under long recognized legal and business principles, junior creditors are ordinarily not entitled to anything until senior secured creditors like our investors are repaid in full. Nevertheless, to facilitate Chrysler’s rehabilitation, we offered to take a 40% haircut even though some groups lower down in the legal priority chain in Chrysler debt were being given recoveries of up to 50% or more and being allowed to take out billions of dollars.
Greedy indeed - they end up losing. And the rule of law is being subverted in this process.
The TARP bondholders have some incentive for going along with what the gummint *ahem* suggests. Those debt holders that aren't on the public dole, however, have been frozen out of negotiations regarding debt relief for Chrysler. I especially find these lines informative from their communique:
As of last night’s deadline, we were part of a group of approximately 20 relatively small organizations; we represent many of the country’s teachers unions, major pension and retirement plans and school endowments who have invested through us in senior secured loans to Chrysler. Combined, these loans total about $1 billion. None of us have taken a dime in TARP money.
[SNIP]
Under long recognized legal and business principles, junior creditors are ordinarily not entitled to anything until senior secured creditors like our investors are repaid in full. Nevertheless, to facilitate Chrysler’s rehabilitation, we offered to take a 40% haircut even though some groups lower down in the legal priority chain in Chrysler debt were being given recoveries of up to 50% or more and being allowed to take out billions of dollars.
Greedy indeed - they end up losing. And the rule of law is being subverted in this process.
The Hypocrisy of Government
This irks me to no end. Gov. Granholm said the following regarding Chrysler bondholders, "On behalf of Michigan, on behalf of the thousands of people who will be affected if this company is forced into bankruptcy, I am publicly asking these hedge funds to not be greedy but to do what the banks have done and what everyone else around the table has done -- take the concessions,"
That's pure political horse manure! The bondholders have loaned money to Chrysler with conditions. They expect some repayment and if they aren't satisfied with thirty cents on the dollar they have a right to force it through bankruptcy to see if they can receive more. They are taking a loss regardless, they CANNOT be faulted for trying to minimize the loss.
If you loan $1,000 to your brother-in-law and he tells you he won't pay back the principal, let alone the interest, and then accuses you of being greedy when you ask for as much of the principal back as possible, you'd have a right to take him to small claims court.
But that won't stop politicians from railing against greed (don't ask them to give up any of the contributions they've received from greedy 'capitalists' though ;-).
That's pure political horse manure! The bondholders have loaned money to Chrysler with conditions. They expect some repayment and if they aren't satisfied with thirty cents on the dollar they have a right to force it through bankruptcy to see if they can receive more. They are taking a loss regardless, they CANNOT be faulted for trying to minimize the loss.
If you loan $1,000 to your brother-in-law and he tells you he won't pay back the principal, let alone the interest, and then accuses you of being greedy when you ask for as much of the principal back as possible, you'd have a right to take him to small claims court.
But that won't stop politicians from railing against greed (don't ask them to give up any of the contributions they've received from greedy 'capitalists' though ;-).
Not so Fast!
Well - there may be a fly in the ointment of the Chrysler deal. Those pesky bondholders have turned down the offer from Chrysler to relieve the debt burden. Expect a bankruptcy to unshackle the debt. Then will the Fiat deal still be in place? Stay tuned . . . another episode of this soap opera is sure to happen.
This first came to my attention from Calculated Risk. Seeking Alpha has this story on the potential bankruptcy too. Hat tip to both!
Also read this for an interesting view of what happens if Fiat gets Chrysler.
This first came to my attention from Calculated Risk. Seeking Alpha has this story on the potential bankruptcy too. Hat tip to both!
Also read this for an interesting view of what happens if Fiat gets Chrysler.
The Consumation of Chrysler
Well - what a turn of events. While GM is slowly being whittled away into what is hoped to be a sustainable company, Chrysler appears to be off the hook.
They're not really. Word is out that the UAW has approved contract concessions for Chrysler and Fiat has agreed to manage Chrysler (and Fiat still isn't taking on Chrysler debt, AFAIK). What exactly is going on?
Well, it may be best summarized as the invasion of the pod people, Italian style. Basically, Fiat is getting a husk of a company (or the infrastructure of an industrial company) with which it can mold its, Fiat's, reentry into the US market. Fiat will displace the current CEO, Bob Nardelli with a CEO of their own (and who knows what will happen to Jim Press).
What Fiat gets is the ability to build, service and sell Fiats, Alfa Romeos, (and please, please Fiat, bring in Lancias) in the US using the existing structure Chrysler has in place. Expect few if any Chrysler models to survive beyond 2011, possibly some Dodge product will survive, and Jeep should be left pretty much intact (with some of the weaker Jeep product, such as the Compass, going away).
This is a completely different outcome than expected for GM, it basically appears that the US government had enough sense to own only one auto maker. ; -)
They're not really. Word is out that the UAW has approved contract concessions for Chrysler and Fiat has agreed to manage Chrysler (and Fiat still isn't taking on Chrysler debt, AFAIK). What exactly is going on?
Well, it may be best summarized as the invasion of the pod people, Italian style. Basically, Fiat is getting a husk of a company (or the infrastructure of an industrial company) with which it can mold its, Fiat's, reentry into the US market. Fiat will displace the current CEO, Bob Nardelli with a CEO of their own (and who knows what will happen to Jim Press).
What Fiat gets is the ability to build, service and sell Fiats, Alfa Romeos, (and please, please Fiat, bring in Lancias) in the US using the existing structure Chrysler has in place. Expect few if any Chrysler models to survive beyond 2011, possibly some Dodge product will survive, and Jeep should be left pretty much intact (with some of the weaker Jeep product, such as the Compass, going away).
This is a completely different outcome than expected for GM, it basically appears that the US government had enough sense to own only one auto maker. ; -)
Tuesday, April 28, 2009
The Incredible Shrinking GM
GM held a press conference yesterday morning where Fritz Henderson discussed portions of the latest restructuring plan. As expected Pontiac will be dropped as a brand and the demise of Saturn will be accelerated.
That leaves four brands in the US; Chevrolet, Buick, GMC, and Cadillac. Chevrolet is a full line brand while the Buick, Cadillac, GMC brands together represent a full line of vehicles.
GM also announced that they intend to shrink the number of dealerships from over 6,000 now to around 3,600 in a couple of years. That is a costly proposition.
Discussion of exactly who will own GM ensued. Turns out about 50% will be owned by the government, and 39% by the union (technically the union's VEBA - Voluntary Employee Beneficiary Association). The bondholders are not happy - holders of $1,000 bonds are being asked to accept 225 shares of GM stock for their $1,000 loan. That's not much left at ~ $2.00 per share. Plus they'll not have much of an equity stake (around 10% of the total equity), which means little say in the direction of the company. And yet there is currently $27 Billion worth of outstanding bonds.
Also discussed were the future of Opel and Vauxhall (the venerated English brand that shares Opel platforms). Chevrolet is not a good replacement for Vauxhall or Opel since those brands occupy a higher rung on the status ladder than Chevy.
The Holden company was also talked about. Holden is GM's Australian arm that produces the Pontiac G8 and the last iteration of the GTO. The G8 has received great press and the GTO was one of the best cars GM produced. It had a great chassis, a Corvette motor, and the best interior to date for a GM car. A 2006 GTO can be had at a great price and if you want a rumbly V8 there are very few cars as good as the Holden developed Pontiac GTO.
That leaves four brands in the US; Chevrolet, Buick, GMC, and Cadillac. Chevrolet is a full line brand while the Buick, Cadillac, GMC brands together represent a full line of vehicles.
GM also announced that they intend to shrink the number of dealerships from over 6,000 now to around 3,600 in a couple of years. That is a costly proposition.
Discussion of exactly who will own GM ensued. Turns out about 50% will be owned by the government, and 39% by the union (technically the union's VEBA - Voluntary Employee Beneficiary Association). The bondholders are not happy - holders of $1,000 bonds are being asked to accept 225 shares of GM stock for their $1,000 loan. That's not much left at ~ $2.00 per share. Plus they'll not have much of an equity stake (around 10% of the total equity), which means little say in the direction of the company. And yet there is currently $27 Billion worth of outstanding bonds.
Also discussed were the future of Opel and Vauxhall (the venerated English brand that shares Opel platforms). Chevrolet is not a good replacement for Vauxhall or Opel since those brands occupy a higher rung on the status ladder than Chevy.
The Holden company was also talked about. Holden is GM's Australian arm that produces the Pontiac G8 and the last iteration of the GTO. The G8 has received great press and the GTO was one of the best cars GM produced. It had a great chassis, a Corvette motor, and the best interior to date for a GM car. A 2006 GTO can be had at a great price and if you want a rumbly V8 there are very few cars as good as the Holden developed Pontiac GTO.
Sunday, April 26, 2009
Reports of UAW Accord with Chrysler
Now Automotive News is reporting that the UAW has reached an agreement with Chrysler, Fiat and the US government regarding contract concessions. We'll have to see if it's too little. too late.
Anyone Need Machine Tools?
This doesn't look good. According to this article, on Seeking Alpha, there are reports from the German press that Fiat will pick up Opel. The machinations around the bailout and potential Chrysler bankruptcy had to have been a factor.
Chrysler will probably end up in liquidation.
Chrysler will probably end up in liquidation.
Saturday, April 25, 2009
A Glimmer of Hope for Chrysler
The Detroit News has a story up saying that the Chrysler and the Canadian Auto Workers (CAW) have reached on an agreement on concessions. That provides a small glimmer of hope that Chrysler may be able to survive.
Meanwhile, back at Rancho Fiat, Fiat has been working on a 'Plan B' in case the Chrysler deal comes to naught. Word is they've been talking to GM regarding picking up Opel.
In the grand scheme of things we'll have the biggies, VW, Toyota, Fiat, Ford, and a whole bunch of also rans and boutique brands.
Meanwhile, back at Rancho Fiat, Fiat has been working on a 'Plan B' in case the Chrysler deal comes to naught. Word is they've been talking to GM regarding picking up Opel.
In the grand scheme of things we'll have the biggies, VW, Toyota, Fiat, Ford, and a whole bunch of also rans and boutique brands.
Friday, April 24, 2009
Pontiac: the Next to Go
Motorauthority has this on the demise of Pontiac.
Pontiac as a brand evolved from the Oakland brand in the late 1920s. Through much of its life it has a been a step up rung on GMs ladder of brands. In the 1960s Pontiac stole the performance halo from sister brand Oldsmobile with the GTO (for which John Z. DeLorean gets too much credit).
The brand was very successful in the 1990s with Grand Am and Grand Prix models. They were never all that good as drivers but they appealed to buyers looking for something visually splashy with a high tech image. Pontiac has had a split grille front end actually longer than BMW.
Speaking of BMW, Bob Lutz, who was an executive at BMW during his long career, was hoping to bring that cachet to Pontiac. The problem was that buyers of Pontiac didn't necessarily want a car with the driving dynamics of a BMW as much as they wanted a car festooned with the cladding and chintz that appealed to them. Pontiac had a decently sized audience for its products but in migrating towards RWD and less conspicuous styling they may have alienated their potential customers.
My favorite Pontiac, besides the odd duck SOHC inline six Firebird, was the 1935 coupe, a hot rod version shown here.
Wednesday, April 22, 2009
Standard Plug Agreed to for Plug-In Hybrids
One of the first things needed to build an infrastructure to refuel electric vehicles is some sort of standard plug-in and voltage ceiling. Motorauthority had the story up this morning.
Imagine if the nozzles to dispense gasoline, and the openings to accept gasoline in the car, came in different shapes and sizes. Fords would have to have a separate set of pumps from Toyotas, for instance.
There are an amazing amount of standard configurations for automobiles. Some driven by international standards bodies, some by government and many by the Society of Automotive Engineers.
If you ever want a good lesson on why standards are good, arrange to drive a Model T. ; -)
What the announcement of a standard plug configuration means to me, is that we will start seeing a lot of plug-in vehicles within the next five years.
Imagine if the nozzles to dispense gasoline, and the openings to accept gasoline in the car, came in different shapes and sizes. Fords would have to have a separate set of pumps from Toyotas, for instance.
There are an amazing amount of standard configurations for automobiles. Some driven by international standards bodies, some by government and many by the Society of Automotive Engineers.
If you ever want a good lesson on why standards are good, arrange to drive a Model T. ; -)
What the announcement of a standard plug configuration means to me, is that we will start seeing a lot of plug-in vehicles within the next five years.
More On Chrysler
This WSJ article points out issues with the debt to equity swap purposed for Chrysler's bondholders. The current administration believes that the banks holding debt are receiving more value than they should (in other words, they've attempted to minimize their loses in this case. ; -)
If the banks in question are receiving TARP funds and the automaker in question is receiving government loans also, how much say does the government have in the process? Could the demands of the administration block a potentially hopeful resolution of Chrysler's situation? Stay tuned . . .
If the banks in question are receiving TARP funds and the automaker in question is receiving government loans also, how much say does the government have in the process? Could the demands of the administration block a potentially hopeful resolution of Chrysler's situation? Stay tuned . . .
More On GM
Here's a link to a good post on the issues facing GM if a decision is made to go to bankruptcy court. Basically, with all of the claimants and parties involved it would be messy regardless of any desire to do a 'quick turnaround'.
Of note is the fact that bondholders (basically people that have loaned money to GM with the hope of seeing it returned with interest) stand to lose substantially. One approach to this is to convert the bond value to equity. In other words, a bondholder becomes a stockholder (and that's something they didn't want to do in the first place.)
Also the union has to look out for the interest of their workers and their benefits. Wages may be negotiable, hopefully work rules will be negotiable, but pension and medical benefits are likely to cause the most angst.
It won't be pretty or easy and the judge assigned the case should be on the top of their game.
We are a long way from being out of the woods.
Of note is the fact that bondholders (basically people that have loaned money to GM with the hope of seeing it returned with interest) stand to lose substantially. One approach to this is to convert the bond value to equity. In other words, a bondholder becomes a stockholder (and that's something they didn't want to do in the first place.)
Also the union has to look out for the interest of their workers and their benefits. Wages may be negotiable, hopefully work rules will be negotiable, but pension and medical benefits are likely to cause the most angst.
It won't be pretty or easy and the judge assigned the case should be on the top of their game.
We are a long way from being out of the woods.
Tuesday, April 21, 2009
A Polite Rant
I put up a more vicious version of this - but took it down soon after.
There is too much government intervention in what should better be left to markets. The opportunity to fiddle with product in the reconstituted GM (or Chrysler) will just create cars that people won't buy. Especially at current fuel prices.
Further, the announcement of spending billions on high speed rail is a money losing proposition. Building passenger rail service has been a losing proposition in this country since the advent of jet air service. Sorry, but building trains that people won't ride is not a good use of public funds.
I get the feeling that the current administration resembles nothing as much as it does an undergraduate liberal arts college student council.
There is too much government intervention in what should better be left to markets. The opportunity to fiddle with product in the reconstituted GM (or Chrysler) will just create cars that people won't buy. Especially at current fuel prices.
Further, the announcement of spending billions on high speed rail is a money losing proposition. Building passenger rail service has been a losing proposition in this country since the advent of jet air service. Sorry, but building trains that people won't ride is not a good use of public funds.
I get the feeling that the current administration resembles nothing as much as it does an undergraduate liberal arts college student council.
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