Automotive News articles from March 1997

Automotive News back issues from March 1997:

Squeezing out pennies is top goal of engineers. (carmakers and part makers' cost-cutting measures)(Society of Automotive Engineers)(SAE '97)

Mar 03, 1997; ... DETROIT - To whittle away at sticker prices, automakers squeeze every penny they can out of their supplier costs.And parts makers at last week's SAE International Congress and Exposition here say they are responding - with double-digit reductions in some cases, and small, ...

Deja vu: keep exports down, Japanese told. (exports control for Japanese carmakers)

Mar 03, 1997; ... TOKYO - In a statement that might have seemed fanciful only 18 months ago, Japan's government has cautioned its carmakers to rein in exports to the United States for fear of reigniting trade tensions.Shinji Sato, Japan's minister of international trade and industry, said after a ...

United buys 9 more stores; stock falls. (United Auto Group Inc.)

Mar 03, 1997; ... United Auto Group Inc. acquired nine new-car dealerships, but the price of the company's stock dropped sharply.United Auto shares plunged $11.37 over two days last week. They clipped to $19.25 before closing at $20 on Wednesday, Feb. 26. The stock rebounded to $23.12 at week's end ....

GM uses 'Plant X' themes in Brazil plant. (General Motors Corp.'s revolutionary plant)

Mar 03, 1997; ... SAO PAULO, Brazil - Planning a dramatic leap forward in assembly efficiency, General Motors is asking suppliers to set up manufacturing operations inside a new assembly plant in Brazil.The greenfield plant is part of a $1.2 billion investment in three plants - for components, ...

Stallkamp leads Chrysler's push for diversity. (multiculturalism program of Chrysler Corp.'s Tom Stallkamp)

Mar 03, 1997; ... Tom Stallkamp sees diversity as good for business.As Chrysler Corp.'s executive vice president of procurement and supply, Stallkamp required the automaker's biggest suppliers to do at least 5 percent of their business with minority parts makers as one condition to win Chrysler's ...

More dealers ride the computer wave. (point-of-sale systems for car dealers)

Mar 03, 1997; ... Computer-savvy used-car super-store chains have prodded dealers into the information age.The dealers realize that they must collect and interpret customer data better in order to compete with the big-box stores."Up until now, the focus for us (dealers) has been mostly ...

Just-too-much single-sourcing spurs Toyota purchasing review: maker seeks at least 2 suppliers for each part. (Toyota Motor Corp.; Aisin Seiki Company Ltd.)

Mar 03, 1997; ... Maker seeks at least 2 suppliers for each partTOKYO - Companies not now supplying Toyota Motor Corp. will have a new-found chance to bid for the automaker's business in coming months as it completes a part-by-part review of its purchasing policies.Following a fire at a ...

Vendors meet dealer needs. (kiosks compatible with other computer systems)

Mar 03, 1997; ... Vendors are introducing software to satisfy dealers' growing demand for more integration, speed and compatibility in computer systems.One of the biggest breakthroughs is the debut of touch-screen kiosks that are compatible with computer systems for all the major vendors. Without ...

Freon smugglers serve a hot market. (smuggling of banned R-12 refrigerant)

Mar 03, 1997; ... Refrigerant buyers beware: The illegal sale of R-12 for vehicle air conditioners is proliferating.The ban on the production of that refrigerant, also known as Freon, a year ago has given birth to counterfeit refrigerants and a rash of indictments against persons accused of ...

If it's new technology, you saw it at SAE show. (Society of Automotive Engineers)(SAE '97)

Mar 03, 1997; ... DETROIT - SAE show exhibits and presentations offered a glimpse of the future. Some examples:THINK SMALLA staple of performance cars could be commonplace on small economy cars in a few years.Eaton Corp. has developed a small supercharger suitable for engines ...

N.Y. dealer liable for delay in filing of lien. (New Country Dodge; TCT Federal Credit Union)

Mar 03, 1997; ... In a costly cautionary lesson for dealers, a New York appellate court has found a Saratoga Springs, N.Y., dealership liable to a lender for failing to record a lien before the purchasers of a new vehicle went bankrupt.It is the first time an appellate court in the state put a ...

Want to crack the parts market in North America? Build it here. (European automotive parts makers)(Society of Automotive Engineers)(SAE '97)

Mar 03, 1997; ... DETROIT - European parts makers doing business in North America have a message for those who aren't: Set up a factory here, or forget it.While some European suppliers export to North American customers, industry executives agree that those suppliers must eventually manufacture ...

Internet is model for new corporate data systems. (automobile firms' intranets)(Society of Automotive Engineers)(SAE '97)

Mar 03, 1997; ... DETROIT - Automakers are taking the Internet inside.Ford Motor Co. and Chrysler Corp., for example, are rapidly expanding Internet-style computer systems for employees and suppliers and, in the process, creating an easily accessible, open system for sharing information. ...

Europe called more receptive to new technology. (Society of Automotive Engineers)(SAE '97)

Mar 03, 1997; ... DETROIT - It is easier to introduce new vehicle technology in Western Europe than in North America, says the only American on the board of Germany's biggest auto supplier.European drivers are more keenly aware of new technology and are willing to pay for it, said Robert Oswald, ...

Engineers foresee future without keys. (Society of Automotive Engineers' keyless vehicles)(SAE '97)

Mar 03, 1997; ... DETROIT - The automotive key someday may go the way of the 8-track tape player.With the advent of electronics embedded in fobs and keys, the mechanics of a key turning a lock have become less important, said Mathias Warmbrunn, manager of advanced engineering for VDO North America ...

Nissan allocates off-lease cars. (Nissan Motor Corp. USA)

Mar 10, 1997; ... New program sets resale valuesNissan Motor Corp. U.S.A. has scrapped closed dealer auctions in favor of an allocation system that gives the company tight control over the resale value of off-lease vehicles.The Nissan Plus allocation program that started last week is the ...

Dealers lease 155 EV1s in 3 months. (General Motors Corp.'s EV1 electric vehicle)

Mar 10, 1997; ... It is too early to push the panic button. But if deliveries of the EV1 don't improve, General Motors could knock off production for the rest of the year and still have plenty of the electric coupes to go around.EV1 deliveries dropped to 31 last month, leaving the company with a ...

Chrysler revamps dealer evaluations. (Chrysler Corp.)

Mar 10, 1997; ... Chrysler Corp. is challenging the retail environment again, this time with new ways to evaluate its best dealers.The automaker is dropping sales volume and reducing the importance of company-initiated customer satisfaction surveys as requirements for dealership excellence ratings. ...

Japanese brands climb in soft market. (automobiles)

Mar 10, 1997; ... Japanese brands have slapped a headlock on the affections of U.S. consumers so far this year, gaining share in both cars and trucks in a market that is up a mere 0.3 percent through February.Light-vehicle sales in February declined 4.8 percent overall from a strong year-ago month, ...

United Auto chief resigns. (Carl Spielvogel)(Brief Article)

Mar 10, 1997; ... Carl Spielvogel, 68, has resigned as chairman of United Auto Group, one of the first U.S. dealership groups to go public.He will be succeeded by United founder Marshall Cogan, vice chairman and chairman of the executive committee. Korn/Ferry International has been hired to search ...

Smart option: brawny backup. (optional lease as part of Smart city car promo)(Brief Article)

Mar 10, 1997; ... GENEVA - Those who buy or lease the teeny Smart city car will be able to obtain an optional "pool lease" that will include part-time use of other, larger vehicles, including those made by joint-venture partner Mercedes-Benz.The two seater is being developed by Mercedes and SMH, the ...

Lamborghini shuffles deck,(Brief Article)

Mar 10, 1997; ... The Italian-based management of Automobili Lamborghini S.p.A. has taken direct control of the U.S. distribution company.Robert Braner has been replaced as president of Automobili Lamborghini U.S.A. by Gianfranco Venturelli, who has been ...

CarMax sales up 85% in '96.(Brief Article)

Mar 10, 1997; ... CarMax sales rose 85 percent in 1996, to $510.3 million.The growth came in part from three new used-car superstores and the beginning of new-car sales at the CarMax store in Norcross, Ga. Sales at the four stores that were operating in 1995 grew 23 ...

GKN to appeal Meineke ruling. (GKN Automotive' US Meineke Discount)(Brief Article)

Mar 10, 1997; ... GKN PLC, the diversified British industrial group that is the parent of U.S.-based GKN Automotive, said it will appeal a North Carolina judge's order that it pay its U.S. Meineke Discount muffler franchisees $591 million for misusing advertising fees.Judge Robert Potter ruled last ...

Pawley: Mich. plant embraces new manufacturing plan, helps Chrysler close gap with Toyota. (Chrysler Corp. Executive VP Dennis Pawley)

Mar 10, 1997; ... Chrysler Corp.'s Warren, Mich., stamping plant is the apple of Dennis Pawley's eye.The plant has quickly caught on to Pawley's new system aimed at adopting the best manufacturing processes in the world. The factory reaped a 20-fold improvement in defects during a pilot program ...

Hyundai tightens grip on U.S. unit; Mazza steps down. (Hyundai Motor America Inc.; COO and Executive VP Doug Mazza)

Mar 10, 1997; ... LOS ANGELES - In a personnel shake-up that puts more day-to-day control of Hyundai Motor America Inc. in the Korean parent's hands, the top American executive of the U.S. sales arm and a senior deputy have resigned.Doug Mazza, Hyundai's chief operating officer and executive vice ...

Public groups snap 18 more dealerships.(Brief Article)

Mar 10, 1997; ... "Buy!"That was the word of the week as most of the nation's publicly traded dealer groups announced acquisitions.Combined, the deals brought 18 new-car dealerships into the fledgling sector, in transactions that totaled about $109 million. * Republic ...

Used vehicles help Lithia boost sales and profits, (Lithia Motors Inc.)(Brief Article)

Mar 10, 1997; ... An emphasis on used-vehicle sales boosted revenue and earnings for Lithia Motors Inc. in the fourth quarter and last year, according to Sid DeBoer, chairman of the publicly held dealer chain based in Medford, Ore.Lithia, which went public Dec. 18, sold 21 percent more new vehicles ...

Mercedes says tiny 'A' may be EV in America. (Mercedes-benz's A class vehicle; electric vehicle)

Mar 10, 1997; ... GENEVA - Mercedes-Benz says its tiny A-class city car could be sold in the United States in several years as an electric car.The A class, introduced at the Geneva auto show, breaks traditional ideas of car segments in Europe by offering middle-market features in a small car. ...

VW rolls out 3 redesigned models. (Volkswagen Group)

Mar 10, 1997; ... GENEVA - Three new Volkswagen Group cars making their debuts at Geneva's auto show are the first fruits of a new platform and marketing strategy that is driving the rebirth of Europe's largest automaker. The automaker introduced the redesigned Audi A6, VW Passat wagon and Seat Arosa. ...

Toyota's March sales blitz tied to 40th year here. (Toyota Motor Corp.)

Mar 10, 1997; ... LOS ANGELES - Not that it needs much help selling its vehicles these days, but Toyota Division will kick off its March sales push with an advertising campaign tied to the company's 40th anniversary in America.The advertising, done by Saatchi & Saatchi in Los Angeles, will be given ...

Mitsubishi selling Value. (Mitsubishi Motor Sales of America Inc.; Value Rent-A-Car)(Brief Article)

Mar 10, 1997; ... LOS ANGELES - Mitsubishi Motor Sales of America Inc. last week reached agreement in principle to sell its Value Rent-A-Car subsidiary to HFS Inc. for $175 million in cash.The deal is expected to close in the second quarter.HFS, of Parsippany, N.J., also owns Avis ...

Floods foul 2,000 Fords, disrupt some dealerships.

Mar 10, 1997; ... The storms that drenched much of mid-America last week disrupted some auto deliveries, slowed dealership traffic and ruined a parking lot full of Ford light trucks.Ford Motor Co.'s Louisville, Ky., assembly plant, which makes Ford Explorers, Mercury Mountaineers and Ford Rangers, ...

Court says dealer can sue Honda. (Hardin Oldsmobile; American Honda Motor Co.)

Mar 10, 1997; ... California's New Motor Vehicle Board does not have the authority to decide corruption-related claims made by dealerships against franchisers, a state appellate court has ruled in a case involving American Honda Motor Co.The administrative board's power is limited to resolving "any ...

Hyundai, NSK sued over belt. (Hyundai Motor Co. Ltd.)(Brief Article)

Mar 10, 1997; ... ST. LOUIS - A fatal accident in which the lap belt on a Hyundai Scoupe was severed has sparked a lawsuit against the company and the seat belt system supplier in federal court here.The Scoupe, owned by Kenneth Saake, 55, collided with a Chevrolet Chevette in Beaufort, Mo., about 30 ...

Chrysler bucks trend, sticks with Ram design.

Mar 10, 1997; ... The 1998 Dodge Ram Van and Wagon receive a minor nose job and modern instrument panel, but Chrysler Corp.'s full-sized van isn't up for a redesign any time soon."I doubt it very much that we'd do a full redesign," said Robert Lutz, Chrysler vice chairman. "Ford got little for its ...

Mark III adds Grand Cherokee conversions.(Brief Article)

Mar 10, 1997; ... Mark III Industries has added the Jeep Grand Cherokee to its growing stable of sport-utility conversions.Mark III, of Ocala, Fla., calls it the Jeep Excursion. It features an Excursion Sport Top, a raised roof behind the B-pillar that resembles the roof of the Land Rover Discovery ....

Rose will lead DVIA directors. (new Recreation Vehicle Industry Association director Kelly Rose)(Brief Article)

Mar 10, 1997; ... Kelly Rose, chairman of Starcraft Corp., a leading conversion firm, has been elected chairman of the Recreation Vehicle Industry Association's board of directors.Rose replaces Bill Prinz, who resigned after accepting a position with Jayco Inc., whose chairman, Wilbur Bontrager, is ...

RV deliveries slip 5% in January. (recreational vehicles; 1997)(Brief Article)

Mar 10, 1997; ... Deliveries of recreation vehicles to retailers totaled 35,000in January, off nearly 5 percent from the same month a year ago.Conversion deliveries fared the worst, down nearly 15 percent. All threeconversion categories were off, with van conversion deliveries down nearly 18 percent ....

Independent dealers pick online service. (National Independent Auto Dealers Association names Auto Trader Online its Internet services provider)(Brief Article)

Mar 10, 1997; ... The National Independent Auto Dealers Association has named Auto Trader Online as the Internet services provider for its 13,000 members.Through the arrangement, Auto Trader Online will design Web pages for participating dealers, according to officials at the dealers association and ...

Audit of dealer by IRS throws cloud over income from subprime loan pool. (White's Automotive Cp. Pres. Philip White III)(Brief Article)

Mar 10, 1997; ... A Virginia used-car dealer has contested the results of an Internal Revenue Service audit. His battle could have significant repercussions for new-and used-car dealers, industry officials claim.The IRS alleges that Philip White III, president of White's Automotive Co. in Chester, ...

Buyers prefer certified user cars sold by new-car dealers, survey says.(Brief Article)

Mar 10, 1997; ... Used-car departments of new-car dealerships are the preferred place to buy a used car - if the used cars are sold as part of a manufacturer's certification program, according to a new study.However, new-car dealerships not employing certification programs fall to the bottom of ...

Western boosts ADT bid, plans to sell auction. (Western Resources)(Brief Article)

Mar 10, 1997; ... Western Resources, making a hostile takeover attempt for ADT Ltd., said it will sell the nation's second-largest auto auction company if its bid succeeds.Last week, Western Resources increased its cash offer for the auction company's parent by 33 percent. Western, based in Topeka, ...

Denso serves as Delphi's role model. (Delphi Automotive Systems)

Mar 10, 1997; ... DETROIT - When reporters put General Motors Chairman JackSmith on the spot last month about what GM has in mind for its big in-houseparts operations, Smith caused a few jaws to drop.It was publicly known that GM wants to spin off its Delphi AutomotiveSystems, by far the world's largest ...

Boxster is important, but it's not Porsche's halo car.

Mar 10, 1997; ... PHOENIX - For all the hype and acclaim the Boxster has received, be assured it is not Porsche's halo car."It's fun and cute and all that, but it's not our core product. The 911 is our halo car, and you'll see a renewed emphasis on it when the more aggressive 996 arrives next ...

Hyundai, Kia net incomes nosedive. (Hyundai Motor Co.; Kia Motors Corp.)(Brief Article)

Mar 10, 1997; ... SEOUL - Korea's two biggest automakers, Hyundai Motor Co. and Kia Motors Corp., reported dismal earnings for 1996 despite higher revenues, production and exports.The results, reflecting cutthroat price competition in the home market and stagnant unit sales, are expected to be ...

Saab counts on image make-over to attract older, luxury buyers. (Saab Cars USA Inc.)

Mar 10, 1997; ... DETROIT - While makers of premium autos go after younger, near-luxury buyers, Saab wants to attract older luxury-car buyers to boost its U.S. sales.To do that, the Swedish automaker aims to change its image from quirky carmaker to an unconventional manufacturer that makes better ...

Buick, Saab trim Atlanta dealer count. (Kelley Automotive Group)

Mar 10, 1997; ... Kelley gains larger market areaThe Kelley Automotive Group, a growing dealer chain based in Fort Wayne, Ind., is bringing Saturn-style retail methods to Buick and Saab in Atlanta.President Tom Kelley has agreed to buy two Buick dealers in northeast Atlanta and will ...

Vintage Z's get new pizzaz. (rebuilt Datsun 240Zs)(Brief Article)

Mar 10, 1997; ... LOS ANGELES - Nissan is really going to do it.With the first restoration of an old Datsun 240Z completed last week, Nissan Motor Corp. U.S.A. has given the green light to rebuild 200 of the venerable sports cars to sell through select dealers. The initial batch of 56 rebuilt 240Zs ...

Texas says Nissan policies on incentives violate law. (texas Motor Vehicle Division; Nissan Motor Corp. USA)(Brief Article)

Mar 10, 1997; ... A state regulatory agency is attacking a type of factory-to-dealer incentive that has been a common industry practice, contending the programs are discriminatory.The Texas Motor Vehicle Division filed a complaint Feb. 14 against Nissan Motor Corp. U.S.A., alleging that some of its ...

Auto czar's death unlikely to affect Lotus. (Group Lotus Car Companies Inc. owner Tan Sri Yahaya Ahmad)(Brief Article)

Mar 10, 1997; ... The death of Tan Sri Yahaya Ahmad, the Malaysian auto czar who bought Group Lotus last year, will be felt more immediately at Malaysia's Perusahaan Otomobil Nasional, or Proton, than at Lotus.Tan Sri Yahaya died March 3 in a helicopter crash near Kuala Lipis, Malaysia, along with ...

Paper: Nissan will shed platforms. (Japanese newspaper Nihon Keizai Shimbun; Nissan Motor Co.)(Brief Article)

Mar 10, 1997; ... TOKYO - Nissan Motor Co. reportedly plans to adopt a single platform for virtually all of its ears worldwide with engines under 2.0 liters.By 2000, according to the daily newspaper Nihon Keizai Shimbun, Nissan will use the same platform for its Sunny sedan (Sentra in the United ...

1997 output lags year-ago totals by 0.6%. (North American car and truck production)(Brief Article)

Mar 10, 1997; ... * Last week's North American vehicle assembly was estimated at 342,715 units, 2.5 percent below last week but 9.0 percent above the year-ago week.So far this year, 2,941,564 cars and trucks have been assembled in the United States, Canada and Mexico, 0.6 percent (19,112 units) ...

Nasser drives Ford car review: venerable nameplates must aid profitability. (Ford automotive operations president Jac Nasser)

Mar 17, 1997; ... Venerable nameplates must aid profitabilityIn a relentless chase for more profit per unit and more capital to pour into truck development, Jac Nasser has launched a nameplate review expected to thin Ford Motor Co.'s North American can lineup.Five months into the job as ...

Toyota sends price hike message to D.C., not other Japanese makers. (Toyota Motor Sales U.S.A. Inc.)

Mar 17, 1997; ... In a move seen by competitors and analysts alike as a political gesture, Toyota Motor Sales U.S.A. Inc. last week raised prices an average of $54 across its model line.The Toyota action is unusual because it reduces the price advantage it and other Japanese makes enjoy in this ...

Mazda claims 18-month development time. (Mazda Motor Corp.)(includes related article on breakdown of car development time)

Mar 17, 1997; ... TOKYO - Mazda Motor Corp., the Japanese affiliate of Ford Motor Co., says it has slashed development time for all new vehicles to 18 months or less, from up to 28 months previously.That's one month quicker than the 19 months Nissan Motor Co. recently claimed, and would be the ...

From vehicle design to retail, Ford wants to be female-friendly. (Freedom Ford's women-oriented strategy)(includes related article on men and women car preferences)

Mar 17, 1997; ... In 1991, Scott Rigell began applying Sam Walton's customer-friendly philosophy to automotive retailing.Rigell knew he had to make his newly acquired Freedom Ford in Norfolk, Va., stand out from the pack.His answer: hiring women for nontraditional dealership jobs, ...

Flush with success, Audi looks again at U.S. plant. (Audi AG)

Mar 17, 1997; ... Audi AG is again studying whether or not to build cars in the United States.Flush with an uptick in sales and the arrival of new products, the automaker could join other German luxury makes that have opted for North American production in recent years.But Audi ...

Navistar, UAW keep hopes alive for future. (Navistar International Transportation Corp.'s Next Generation Truck; United Automobile Workers)

Mar 17, 1997; ... CHICAGO - Navistar's Next Generation Truck may be the Lazarus of the truck world.It was dead a few months ago. Now Navistar International Transportation Corp. and the UAW are trying to bring it back to life.The Next Generation Truck, or NGT, was a medium-duty truck ...

2 makers plan new engine in Europe: some remain skeptical of direct-injection power. (Mitsubishi Corp. and Toyota Motor Corp.)

Mar 17, 1997; ... GENEVA - Mitsubishi and Toyota say they will introduce gasoline direct-injection engines in Europe soon, but many European engine experts remain critical.In general, the experts say that both companies' products are unfinished, and that the technology is not ready. ...

Steel study of pickups, sport-utilities claims makers can cut costs, weight. (Light Truck Structure study)(includes related article on advantages of steel over plastic and aluminum)

Mar 17, 1997; ... DETROIT - Automakers can lower the cost and weight of pickups and sport-utilities by as much as 20 percent - without sacrificing comfort or safety - by improving the structural design of the vehicles.So says a new study commissioned by the industry's largest suppliers of sheet ...

Direct injection boosts mileage, maintains muscle.

Mar 17, 1997; ... A key component of diesel engines may give gasoline engines better fuel economy without giving up power,The technology is direct injection, which sprays gasoline into the cylinder. That enables an engine to use very lean air-fuel ratios. In contrast, today's conventional gasoline ...

Toyota plans retail overhaul; strategy targets computers, delivery. (includes related article on George Borst)

Mar 24, 1997; ... LOS ANGELES - Toyota Motor Sales U.S.A. Inc. will tackle the retailing revolution head-on with a "New Era Business Strategy" aimed at sharply boosting customer retention and creating a nationwide "virtual marketplace."Under a sweeping reorganization announced here late last week, ...

Dealership total drops by 170 in '96. (General Motors Corp., Ford Motor Co. and Chrysler Corp.'s downsizing plans for the year 2000)

Mar 24, 1997; ... The retail auto industry shake-out goes on as the number of dealerships selling new cars and light trucks dwindles.As 1997 began, 22,427 dealers selling new light vehicles were doing business in the United States, compared to 22,597 at the dawn of 1996. That means that 170 ...

Rockwell deal: '2-way winner.' (Rockwell International Corp. spins off its automotive division)

Mar 24, 1997; ... DETROIT - Rockwell International Corp. executives learned that it is not easy to build a high-profit automotive parts supplier.Flush with profits from the company's fast-growing electronics and automations units, a top Rockwell International executive ordered his automotive unit in ...