US Government new majority owner of GMAC

The US Government will now be the new majority owner of GMAC after pumping another $3.8 billion into the struggling company. Let’s hope it works!

From Auto News.com:

GMAC Financial Services said today it will get $3.79 billion in additional aid from the U.S. government, on top of the $12.5 billion already received since December 2008.

GMAC, in a statement released late this afternoon, said that with the infusion it achieved the capital levels required by the Federal Reserve to meet the company’s “worse-than-expected economic scenario.”

GMAC said the $3.79 billion cash infusion was less than the $5.6 billion originally expected by the Fed in May 2009 because of lower-than-expected losses related to the General Motors Co. bankruptcy proceedings, which concluded in July.

As part of the latest bailout, the government also increased its equity stake in GMAC from 35.4 percent to about 56.3 percent, the statement said.

Read the full article here.


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Chrysler, Maserati, Ferrari to be at DAS

Talk about bringing a sharp date to town! Chrysler will be sharing the stage with Maserati and Ferrari at the Detroit Auto Show. That is one good looking group, my friends! This will also give us a first look at some rebadged Lancia’s and the electric Fiat 500.

From the Detroit News:

Ferrari and Maserati are moving into a new neighborhood at the North American International Auto Show — the Chrysler Group LLC stand, where they’ll be nestled between the Dodge and Jeep brands.

In the past, the high-end marques have leased real estate in the show’s luxury row with the likes of Lamborghini, Bentley and Rolls-Royce, although last year Ferrari didn’t have a display in Detroit.

But since last year’s auto show in Detroit, Chrysler formed a partnership with Italian automaker Fiat SpA, which is part of the Fiat Group that includes Ferrari and Maserati but also Alfa Romeo, Lancia, Iveco commercial vehicles, and CNH agricultural and construction equipment.

Read the entire article here.


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2010 Porsche Boxster gets solid review

Another strong review of a car everyone already loves! Will the strong reviews continue with the all new sports sedan Panamera next year? We think so!

From the Detroit News:

nullChristmas came early this year: Porsche agreed to let me test drive the 2010 Boxster S.

Who am I to question Porsche? Does anyone ever question them?

Well, with the Boxster, many people have. It’s one of the vehicles in Porsche’s lineup that some have derided for not possessing Porsche’s soul. Silly purests. For most people, if it says Porsche on the hood, it’s a Porsche. Do you really need a 911 for twice the price? The Boxster does the job quite well and carries just as much weight as any other Porsche for 99 percent of the population out there.

Read the full article here.

Lancia-based car to be shown at Detroit Auto Show

We are very interested to check out the new offering from Fiat/Chrysler with a Lancia badge. If it’s anything like the Delta that would be a great first step in introducing the new brand to potential U.S. customers.

From AutoGuide.com:

Contrary to previous reports that Chrysler will not present any new models at the Detroit Auto Show in just a few weeks, there is now word that the struggling U.S. automaker will show a new car based on a Lancia platform. The Lancia badge is a sub-brand under Fiat, which now runs Chrysler.

There is no word on what sort of a vehicle it will be, but Fiat is eager to help Chrysler where it needs help most – in the small and mid-size car market. This new model would be the first idea of how Fiat intends to integrate its European designs into the North American marketplace.

Read the full article here.

Trouble for Ford?

Is this writer from Car and Driver out of touch or does he see something we don’t? Ford is starting to get into gear but he sees things with their product line that could spell trouble.

The Ford Escape may be selling well, but just came in bottom of the heap (as a nearly identical Mercury Mariner) in our latest small SUV comparison test. The Ford Fusion is solid, but it’s not a Honda Accord or a Mazda6. The Ford Flex and the Edge are merely OK. The Taurus and SHO? Ho-hum, and a packaging disaster. The Focus is well past its sell by-date. Only the Fusion hybrid and the Mustang are top of their classes. As for the Lincoln lineup, the MKT is way too expensive, while the MKS is overpriced and underbaked.

OUCH!!!

From Car and Driver:

I’m not quite sure when the media collectively decided that Ford is the only American car company that knows what it’s doing, but it’s certainly the prevailing wisdom right now. A Detroit News editorial by Bryce G. Hoffman summed up the sentiment: “But the Dearborn automaker also scored major points with American consumers by foregoing a federal bailout and avoiding bankruptcy. That good will, together with a strong lineup of new cars and trucks, meant Ford fell neither as far nor as fast as the rest of the industry.”

Read the full article here.


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