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Automotive News articles from February 2004

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This newspaper provides breaking news and articles on the automotive industry, including coverage of market and industry, manufacturing, automakers and suppliers, design, technology, green cars and more.

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Automotive News archives from February 2004

Lincoln can't compete without new models; But Mercury's lineup is looking better.(News)
February 1, 2004... Lincoln-Mercury dealers are pleased to see new Mercury nameplates roll into showrooms, but the Lincoln lineup needs help. Lincoln needs new vehicles in new segments to make the brand competitive with other luxury brands such as Cadillac,...

After a turbulent year, Starling passes NADA torch; Fairness, diversity remain priorities.(News)
February 1, 2004... Byline: Edward Lapham As 2003 chairman of the National Automobile Dealers Association, Alan Starling, president of Holiday Chevrolet in St. Cloud, Fla., took on Public Citizen and "Dateline NBC'' over allegations that many dealerships...

Land Rover dealers eagerly await the new Discovery; Range Stormer also excites them.(News)
February 1, 2004... Byline: Karen Passino Sales may have been off 4.8 percent last year, but Land Rover dealers had a pretty good 2003, reports Michael Levitan, chairman of the Land Rover Business Operations Council. And with an all-new Discovery set to...

Ray Vrscak.(News)
February 1, 2004... Age: 43 Dealer since: 1996 Dealerships: Michael Jordan RPM Nissan, Michael Jordan RPM Lincoln-Mercury, Durham, N.C. Average monthly Nissan sales: 70 new, 50 used Quote: "We at Nissan do not enjoy the brand strength like at...

Top 3 issues.(News)
February 1, 2004... 1. Maintain dealer profits 2. Enhance marketing support for Titan pickup 3. Increase overall marketing budget

George Benson.(News)
February 1, 2004... Age: 58 Dealer since: 1973 Dealerships: Benson Lincoln-Mercury, Whitehall, Pa.; Norwin Dodge, North Huntingdon, Pa. Average monthly Lincoln and Mercury sales: 45 new, 35 used Quote: "That's our big issue for this year for the...

Top 3 issues.(News)
February 1, 2004... 1. Get new products for Lincoln 2. Craft a worthy successor to the Lincoln Premier Experience 3. Keep improving dealer profitability

On the record.(News)
February 1, 2004... "In years past, the Big 3 said that the competitors were `across town' in Detroit. Today, competitors from around the world not only want to eat our lunch, they want us for lunch.'' Joe Eberhardt Chrysler group vice president of global...

Question of the Day.(News)
February 1, 2004... Do you plan to remodel or expand your dealership this year? Why or why not? "Our dealership hasn't been changed in 25 or 28 years. We know we've got to do something soon, but we won't do it right now. Will Chrysler guarantee me that if I...

Ford boosts ad spending for vehicle debuts.(News)
February 1, 2004... Byline: Amy Wilson Ford Motor Co. will spend up to 10 percent more on advertising in 2004 to tout the introduction of several new or redesigned vehicles, Ford marketing chief Jim O'Connor said. The ad budget was hiked to introduce...

NADA economist raises specter of interest rate rise.
February 1, 2004... Byline: Dave Guilford Dealers will have another prosperous year in 2004 but face tougher prospects in following years, the National Automobile Dealers Association chief economist says. The likely culprit? Rising interest rates. ...

Lady Luck smiles on NADA.
February 1, 2004... Byline: David Sedgwick Super Bowl weekend in Las Vegas promises to match Mardi Gras for pure over-the-top partying. Some conference participants got an early start Friday. Ford PR's Sara Tatchio visited the roulette table and walked...

Banquet chatter.(News)
February 1, 2004... GM Vice Chairman Robert Lutz, center, and wife Denise Lutz chat with Greg Jackson at the General Motors Minority Dealers Association banquet. Jackson is president of the dealer group and runs Prestige Automotive Group in Ypsilanti, Mich.

Top 3 issues.(News)
February 1, 2004... 1. Develop a strong certified pre-owned vehicle program 2. Emphasize future product 3. Adjust dealership infrastructures in light of rapid growth

Michael Levitan.(News)
February 1, 2004... Age: 47 Dealer since: 1989 Dealerships: Long Island Automotive Group, which has 4 Land Rover stores in Glen Cove, Smithtown, Massapequa and Southhampton, N.Y., and 2 Jaguar stores in Huntington and Southhampton, N.Y. Average...

John Capps.(News)
February 1, 2004... Age: 53 Dealer since: 1974 Dealership: Plaza Infiniti of St. Louis Average monthly sales: 650-700 new Quote: "As long as (Carlos Ghosn) can produce great product, timely and ongoing, the dealers will continue to reward him...

Dan Feeny.(News)
February 1, 2004... Age: 51 Dealer since: 1986 Dealerships: Feeny Dodge Inc., Palatine, Ill.; Feeny Chrysler-Jeep Inc., Elgin, Ill. Average monthly Dodge sales: 75 new, 75 used Quote: "It wasn't the worst year we ever had. But it was extremely...

Zetsche: DCX will produce hybrid cars.
February 1, 2004... Byline: Diana T. Kurylko The Chrysler group and Mercedes-Benz will produce hybrid cars in the coming years, despite doubts about their high costs and long-term potential, said Chrysler group CEO Dieter Zetsche. The Chrysler group will...

Starling: Dealers share responsibility for flawed CSI.(News)
February 1, 2004... Byline: Donna Harris NADA Chairman Alan Starling acknowledged that dealers have a role in fouling up customer satisfaction scores. During his term as chairman, Starling has scolded the factories for pressuring dealers to boost their...

What's happening today.(News)
February 1, 2004... EXPOSITION 9 a.m.-4:30 p.m. Las Vegas Convention Center INSPIRATIONAL SERVICE 9:30-10:30 Convention center MAKE MEETINGS/WORKSHOPS 11 a.m.-12:15 p.m. and 2:15-3:30 p.m. Convention center RECEPTIONS, by invitation only Automotive...

Group encourages dealers to hire veterans.(News)
February 1, 2004... Byline: Donna Harris An industry group has enlisted the U.S. military to help car dealers combat a shortage of auto service technicians. Automotive Retailing Today, a nonprofit trade group, is promoting veterans as job candidates for...

Dealers would like Infiniti to stay the course; Good products keep franchise growing.(News)
February 1, 2004... Byline: Karen Passino With Infiniti sales up a resounding 35 percent in 2003 after a 23.2 percent rise in 2002, dealers want Nissan's luxury division to continue in the same direction it has been going, says St. Louis dealer John Capps....

Joe Shaker.(News)
February 1, 2004... Age: 36 Dealer since: 1994 Dealerships: Wellesley Mazda in Wellesley, Mass., is owned by Hometown Auto Retailers, a dealership group in Watertown, Conn., that owns several dealerships in Connecticut, Massachusetts, New Jersey, New...

Alan Starling.(News)
February 1, 2004... Age: 56 Title: President, Starling Auto Group Dealerships: Holiday Chevrolet-Oldsmobile in St. Cloud, Fla.; Fairway Chrysler-Jeep in Kissimmee, Fla.; and Saturn of Tallahassee and Tallahassee Mitsubishi in Tallahassee, Fla. 2003...

Carfax offers buy-back guarantee.(News)
February 1, 2004... Byline: Arlena Sawyers Carfax Inc. says it will buy back cars from dealers and consumers who find problems with used-vehicles that it gave a clean bill of health. Previously, Carfax would pay $5,000 if its report showed a clean...

Jackson touts 'eye-popping' technology.(News)
February 1, 2004... Byline: Donna Harris Greeters at Marooney Dodge in Pembroke Pines, Fla., ask each sales prospect permission to run his or her driver's license through a card swipe. The driver's license scanner is part of a multimillion-dollar test by...

It will be a full-sized year for Nissan dealers; New products abound, but challenges remain.(News)
February 1, 2004... Byline: Kathy Jackson Nissan dealers have an exciting year ahead. Their first full-sized pickup, the Titan, went on sale in December. Dealers also have their first full-sized SUV, the Pathfinder Armada. And the redesigned Quest minivan is...

Dealers will be Blue Oval watchdog in '04; Ford council chief wants to protect profits.(News)
February 1, 2004... Byline: Amy Wilson Ford dealers will lobby for an acceptable replacement to the Blue Oval dealer certification program in 2004. Leading that charge is Frank Rod-riguez, chairman of the Ford Division National Dealer Council for 2004 and...

Vendors push do-not-call software.(News)
February 1, 2004... Byline: Ralph Kisiel Several technology vendors are pushing products at the convention to help dealerships comply with do-not-call legislation. Autobytel Inc. is showing a tool developed by its Applied Virtual Vision subsidiary that...

Frank Rodriguez.(News)
February 1, 2004... Age: 54 Dealer since: 1995 Dealerships: Greenway Ford, Greenway Chrysler-Dodge-Jeep, The Kia Store, all in Orlando, Fla. Average monthly Ford sales: 284 new, 152 used Quote: "Generally the dealer body is not happy when someone...

Top 3 issues.(News)
February 1, 2004... 1. Develop an acceptable replacement for the Blue Oval program 2. Continue to press for better quality 3. Push for simplified incentive and contest plans

Ron Jelling.(News)
February 1, 2004... Age: 46 Dealer since: 1991 Dealerships: Westwood Chrysler-Jeep, Westwood, N.J.; Dodge of Paramus (Dodge- Hyundai) and Chrysler of Paramus (Chrysler-Kia), Paramus, N.J.; Dodge of Englewood, Englewood, N.J. Average monthly...

Mazda dealers want more high-volume cars; Keep 'em coming, says council chairman.(News)
February 1, 2004... Byline: Patricia C. Foley Joe Shaker, president of Wellesley Mazda in Wellesley, Mass., began his one-year term as chairman of the Mazda Dealer Advisory Council on Jan. 1. Jan. 1 also was the day that Mazda North American Operations...

Count on Toyota's Jim Press to inform - and entertain.(News)
February 1, 2004... Jim Press, executive vice president of Toyota Motor Sales U.S.A. Inc., is known as a magnetic speaker. Sometimes he's outlandish, other times he gets a laugh from turning the common sense remark on its ear. So after raising the house lights to...

F&I profits, CSI are hot topics; Finance reserves are in jeopardy.(News)
February 1, 2004... Byline: Edward Lapham Dave Power's comments about the future of the franchise system might be a sub-plot at this year's convention. Power made his remarks in an opinion column that appeared in The Wall Street Journal on Oct. 28. The...

Mercury launches Monterey minivan ad campaign.(News)
February 1, 2004... Byline: Amy Wilson National ads for the slow-selling Mercury Monterey minivan will start Monday, Feb. 2. The ads begin even as Ford Motor Co. is temporarily stopping production of the Monterey and the Ford Freestar at the Oakville,...

Lutz says Saturn to get 2nd SUV.
February 1, 2004... Byline: Dave Guilford General Motors Vice Chairman Robert Lutz said Saturn will get an SUV that will be "a big brother to the Vue.'' Lutz spoke to the GM Minority Dealers Association here Friday, giving a division-by-division review of...

Auto News Digest.(Briefs)
February 1, 2004... Paul Holloway wins Quality Dealer Award Paul Holloway, 65, has won the Time Magazine Quality Dealer Award. Holloway, president of Dreher-Holloway Inc. in Exeter, N.H., received the award yesterday at the convention. Holloway was NADA's...

New hardware improves Chrysler's prospects; Gung-ho marketing wouldn't hurt, either.(News)
February 1, 2004... Byline: Mary Connelly Chrysler-Jeep dealers are waiting for a string of new and revamped products to reach showrooms, including the 2005 Chrysler 300 sedan, the 2005 Chrysler PT Cruiser convertible and the 2005 Chrysler Town & Country...

Dodge dealers have 5 reasons to be upbeat; New products may put brand on more lists.(News)
February 1, 2004... Byline: Mary Connelly Dodge dealers are gearing up to push the brand as part of a new-product barrage, says Dan Feeny, chairman of the Dodge National Dealer Council. Dodge wants to regain sales after an "extremely difficult'' 2003,...

* NADA chatter.(News)
February 2, 2004... Jeffrey Shane, U.S. under secretary of transportation, left, shares a private moment with Stephen Girsky, managing director of Morgan Stanley Dean Witter, at the J.D. Power International Automotive Roundtable on Thursday, Jan. 29, in Las Vegas....

New Look.(News)
February 2, 2004... Dealership: Steven Infiniti-Volkswagen Location: Wichita, Kan. Average monthly retail sales: 70 to 100 vehicles Franchises affected: Infiniti and Volkswagen Top changes: Infiniti will move from its current home with Volkswagen...

New Look.(News)
February 2, 2004... Dealership: Sam Swope Honda World Location: Louisville, Ky. Average monthly retail sales: 200 new, 100 used Franchise affected: Honda Top change: Extensive construction and redesign Factory perks: None

New Look.(News)
February 2, 2004... Dealerships: Sunset Audi and Sunset Porsche Location: Beaverton, Ore. Average monthly retail sales for group: 60 new, 18 used Franchises affected: Audi and Porsche Top changes: Porsche store has a new building with a curved...

Auto News Digest.(Briefs)
February 2, 2004... Profits, sales rise at Lear DETROIT - Lear Corp. posted net income of $132.4 million on sales of $4.3 billion in the quarter that ended Dec. 31, compared with net income of $118.0 million on sales of $3.8 billion in the comparable 2002...

Rival carmakers shift their thinking; Engineers from Ford, GM collaborate on new transmission.(news)
February 2, 2004... Byline: Richard Truett Just before Christmas, two engineers got together to drive a vehicle around a Dearborn, Mich., test track to check out a transmission they have been working on. Nothing unusual about that. But the two...

Dave Szczupak.(News)
February 2, 2004... Title: Vice president of powertrain operations, Ford Motor Co. Age: 48 Education: Master of Science degree in automotive engineering, Cranfield Institute of Technology, England Job responsibilities: Oversees all engine and...

dealers.(People)
February 2, 2004... Citizenship The following nine dealers have won Ford Motor Co.'s 2004 Salute to Dealers award for performing good works in their communities and were honored Friday, Jan. 30, in Las Vegas at a reception before the opening of the National...

Dealerships take cues from malls, fancy hotels.(News)
February 2, 2004... Byline: Charles Child Customers driving toward Allen Samuels Chevrolet have no doubt where the service entrance is. It's out front, next to the showroom. The reason is simple, says owner Samuels, who built his Houston dealership three...

Dealers find a way to limit employee turnover.(News)
February 2, 2004... Byline: John K. Teahen Jr. Staff turnover, especially in sales, is a problem for every dealer. It's aggravating, expensive, and it steals time from other important duties. It often has been said that a customer will walk if he can save...

Staff shares the load; all prosper.(News)
February 2, 2004... Byline: Jenny King Regular internal communications have helped each of the 110 full-time employees at McEleney Autocenter and Southgate Motors in Clinton, Iowa, feel like a valued member of the multifranchise dealership group. Small...

CAMI builds its last Tracker.(Production)
February 2, 2004... Byline: - Debi Domby * The last Chevrolet Tracker rolled off the line at CAMI Automotive on Tuesday, Jan. 27. Over the past 15 years an estimated 616,750 Tracker SUVs - the vehicle began production as the Geo Tracker - were built at the...

GM leverages its size to simplify marketing, save money.(Marketing)
February 2, 2004... Byline: Dave Guilford The TV spot shows what appears to be a single vehicle speeding across a desert in a cloud of sand. Then three new Chevrolets emerge from the cloud. The commercial was shot in the Chilean desert to introduce three...

Ford reminds consumers that it makes cars, too.(Marketing)
February 2, 2004... Byline: Jason Stein Ford Division President Steve Lyons has a message for consumers inundated by the F-150 marketing blitz in 2003: Yes, Ford still makes cars. During its year-long truck campaign, Ford Motor Co. painted the Texas...

Can Suzuki pull a rabbit out of its hat? Without a strong image, 100,000 sales goal may require some magic.(News)
February 2, 2004... Byline: Kathy Jackson In the last five years, only three auto brands have posted a single-year sales increase of 70 percent or more in the U.S. market. Suzuki wants to join that exclusive club. Hyundai did it in 1999 after adopting a...

Calif. dealers: Finance profit cap won't help buyers.(News)
February 2, 2004... Byline: Arlena Sawyers A proposed California ballot initiative that would limit dealers' finance profits won't save consumers any money, says the head of the California Motor Car Dealers Association. The proposal, which would cap...

Family ties.(News)
February 2, 2004... 4 generations: Ben C. Jackson, founder and owner, 1925-1960; J.E. Newman (Jackson's son-in-law) dealer, 1960-1992, joined business in 1950; Michael Matetich Sr. (Newman's son-in-law), 1992-present, president, joined business in 1977; Michael...

Power point?(News)
February 2, 2004... Sid DeBoer, left, CEO of Lithia Motors, talks with Dave Power, chairman of J.D. Power and Associates, at the J.D. Power and Associates International Automotive Roundtable on Thursday, Jan. 29, in Las Vegas. The event preceded the opening of the...

There's more than one way to perk up a store.(News)
February 2, 2004... Byline: John K. Teahen Jr. Ask seven dealers how they revived a stodgy store or a failing dealership, and you'll get seven different answers. And they'll all be worth hearing because those guys have been there, done that. Let's...

Swope builds dealerships to meet many images.(News)
February 2, 2004... Byline: Michael Bradford It's becoming practically routine to have an image redesign or ground-up construction going on at a dealership owned by Sam Swope Auto Group Inc. "I'm not in the car business anymore; I'm in the development...

Chrysler group goes local with its marketing.(Marketing)
February 2, 2004... Byline: Lillie Guyer The Chrysler group is trying to create more buzz for its small dealers and new models by aiming a public relations campaign at local media. The automaker has hired eNR (eNews Releases), a Norwalk, Conn., public...

Lowering the price.(News)
February 2, 2004... Percentage of factory-to-dealer incentives for some makes that dealers passed through to car buyers as price reductions in December. % passed through on average Kia 80 Chrysler 79 Oldsmobile 79 Isuzu 78 Jeep 77 ...

Letters.
February 2, 2004... 'Dateline NBC' does it again To the Editor: The "Dateline NBC'' story that aired Dec. 5 has been the subject of a few letters to the editor recently. Have we all forgotten that this is the same network that applied explosives to a...

Volvo S40.(News)
February 2, 2004... Wheelbase: 103.9 in. Length: 175.8 in. Width: 69.6 in. Height: 57.4 in. Base engine: 2.4-liter inline-five Power: 168 hp @ 6,000 rpm Torque: 166 lbs.-ft. @ 4,400 rpm Curb weight: 3,084 lbs.

Valid Verdict.(News)
February 2, 2004... Issue: GM fights a multimillion-dollar award to the estates of 3 people who died after their Chevrolet Lumina ignited after a crash. Where it stands: Pennsylvania appeals court upholds jury verdict that found the fuel system was defective....

late news.
February 2, 2004... Ford eyes Nanjing for 2nd China plant LAS VEGAS - Ford Motor Co. is studying Nanjing as the location for its second assembly plant in China. David Thursfield, Ford's president of international operations, identified Nanjing as one of...

Tom Stephens.(News)
February 2, 2004... Title: Group vice president of GM Powertrain Age: 55 Education: Bachelor of Science degree in mechanical engineering, University of Michigan Job responsibilities: Oversees development of all GM engines and transmissions worldwide,...

Decision coming soon on Sling Shot; Dodge 2-seater would be sold in Europe.(News)
February 2, 2004... Byline: Rick Kranz The Chrysler group will decide in the next three months whether to produce the two-passenger Dodge Sling Shot. The Smart-based vehicle would be assembled and initially sold only in Europe. Chrysler group CEO Dieter...

GM's supplier report card fails to measure value.(Opinion)
February 2, 2004... The transparency that purchasing chief Bo Andersson brings to measuring the performance of General Motors' suppliers on price, quality, launches and on-time delivery should make it easier for the automaker to cut costs and improve quality on...

New Look.(News)
February 2, 2004... Dealership: Brodheadsville Chevrolet, Brodheadsville, Pa. (Milford Chrysler Sales, Dickson City Hyundai, Lehighton Chrysler-Kia-Suzuki, Middletown Pontiac-Buick-GMC are also part of the group) Location: Brodheadsville, Pa. Average...

Brick-and-mortar boom; Sales are strong and interest rates low so dealers are pouring money into remodeling their stores.
February 2, 2004... Byline: Mary Connelly A dealership building boom is under way in the United States. Low interest rates, strong dealership cash flow and pressure from manufacturers for new storefronts ignited the spending spree. Dealers say they are...

Neb. ruling could boost service contract prices.(News)
February 2, 2004... Byline: Donna Harris A Nebraska administrative ruling designed to protect dealers and consumers from shaky insurers could prompt some service plan providers to leave the state. The Nebraska Department of Insurance has published a...

Commitment, right staff aid makeover.(News)
February 2, 2004... Byline: Nick Lico In 2000, Subaru of Jacksonville sold about 100 new vehicles. Last year it sold 350. Achieving those results required a significant transformation: a new dealer principal, a new location, a new staff and a thorough...

New system helps VW dealers communicate.(News)
February 2, 2004... Byline: Ralph Kisiel You might call Volkswagen and Audi dealers star pupils. VW and Audi dealers are the first to use a new set of technology standards for their Web-based portals that streamlines the exchange of information with...

Volvo S40 eclipses its lower-cost cousins.(News)
February 2, 2004... Byline: Mark Rechtin Volvo's redesigned S40 sedan shares underpinnings and many components with the Mazda3 and the Europe-market Ford Focus, but Volvo Cars North America bets most people won't notice. Only the S40 comes with a...

Pawley gives $1 million for lean lessons; Ex-Chrysler exec wants to pay back industry via school.(News)
February 2, 2004... Byline: Robert Sherefkin Dennis Pawley could be sunning himself outside his second home in Las Vegas. Or he could be planning a fishing trip to Manitoba. But at age 63 - "a young 63'' as he puts it - the former Chrysler Corp....

Holloway wins Time dealer award.(News)
February 2, 2004... Paul Holloway has won the Time Magazine Quality Dealer Award. Holloway, president of Dreher-Holloway Inc. in Exeter, N.H., was scheduled to receive the award on Saturday, Jan. 31, at the National Automobile Dealers Association convention...

Mitsubishi eyes shift in media buying; Meanwhile, ad agencies have expressed interest in the creative account.(Marketing)
February 2, 2004... Byline: Jean Halliday In a bid to make its media buys more efficient, Mitsubishi Motors Corp. could combine its U.S. buying with that of DaimlerChrysler AG at Omnicom Group's PHD North America. DaimlerChrysler owns a controlling stake...

Hummer markets shoes for off-road set.(Marketing)
February 2, 2004... Byline: Lisa Sanders As General Motors' Hummer division unveils the H3T and H2 SUT, 1-year-old Hummer Footwear is adding to its line of Hummer-branded shoes. Hummer Footwear, which licenses the brand name from GM, will add items such...

Adams' strength: Customers; New GM ad chief has reputation for customer relations.(Marketing)
February 2, 2004... Byline: Claire Atkinson General Motors has maneuvered Roger Adams into one of its top advertising positions, as part of an effort to better understand its customers and wring more cost efficiencies out of its marketing. Adams, 47, a...

Volvo thinks outside of box for S40 marketing; Staid carmaker uses Xbox games, hip-hop to woo under-40 set.(Marketing)
February 2, 2004... Byline: Jean Halliday Volvo Cars of North America Inc., known for staid styling and safety, is taking a walk on the wild side in marketing its redesigned S40 sedan. Volvo hopes to build on its current sales tear. It wants to lure...

Ranch has a new trail boss: Toyota; Automaker purchases 2,600 acres held by one family for 210 years.(News)
February 2, 2004... Byline: Jason Stein When officials last month turned over the ceremonial first spade of earth to signal the start of construction on Toyota Motor Corp.'s assembly plant here, they ended a way of life that has been at the heart of Texas...

Honda lowers earnings forecast, may bring subcompact to U.S.(News)
February 2, 2004... Byline: Yuzo Yamaguchi Honda Motor Co. last week confirmed that it is studying the possibility of adding a subcompact to its U.S. lineup in an effort to lure young customers back into its showrooms. The car under discussion - described...

Ford Motor assigns mandatory reading.(Marketing)
February 2, 2004... Byline: Bill Britt A book published in 2002 has become important to the thinking of the Ford of Europe marketing department. The Hidden Power of Advertising by British marketing expert Robert Heath is mandatory reading for senior marketing...

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