Automotive News - March 24, 2008 - (Page 3)

MARCH 24, 2008 • 3 82nd year — No. 6300 Debate at Scion: How to grow Some fear more products would hurt hip image Mark Rechtin mrechtin@crain.com Ford moves executives in Asia to new jobs SHANGHAI — Ford Motor Co. has shuffled its Asia management team. Mei-Wei Cheng, 58, chairman and CEO of Ford Motor China, will become a Ford Motor Co. group vice president and executive chairman of Ford Motor China. Robert Graziano, 48, executive vice president of Ford affiliate Mazda Motor Corp., will become CEO of Ford Motor China. Philip Spender, 54, COO of Ford Motor China, will become a Ford Motor vice president and executive vice president of Mazda Motor Corp. The new titles are effective April 1. — Alysha Webb Room for more? Scion’s lineup could go from its current 3 vehicles — the xB, xD and tC — to as many as 6. xB tend Scion’s reach, another feels that the youth brand should retain its low-volume, boutique positioning. Hollis said 5-year-old Scion “has never been a volume brand.” But he is ready to offer buyers a wider choice of vehicles. “Could it be a truck? A hybrid? An SUV? A subcompact roadster?” Hollis asked rhetorically. “We are not limiting our search. We are looking at all youthful products in Toyota’s global portfolio. We are open to products that could sell 20,000 to 25,000 units, and those that could sell from 40,000 to 50,000 units.” CEO of lanelogic: We’re still here The CEO of lanelogic says the used-vehicle management company is still in business and is resolving disputes with dealers over money or vehicle titles. Several dealers told Automotive News last week that lanelogic sales representatives said the business had folded. But Bruce Thompson, who founded lanelogic in 2005, said the Dallas company is just changing its business model. Last month, Thompson says, Bruce Thompson: lanelogic Company has new stopped business model. buying and selling used vehicles on behalf of dealerships. Now, he says, the company makes recommendations to dealerships about vehicle inventory and pricing. Thompson says lanelogic has reached agreements with 160 of its 200 clients. He says he expects to contact the remaining dealers within a week. — Arlena Sawyers NEW YORK — Toyota is considering an expansion of Scion’s product lineup over the next five years in an effort to build sales volume. The youth-oriented brand could go from its current three vehicles — the boxy xB, the xD hatchback and sporty tC coupe — to as many as six vehicles. “We will be bigger than we are today,” said Jack Hollis, Scion vice president. “We are studying two or three models in conceptual form right now.” But deciding how much to expand the lineup could lead to some heated discussions at Toyota Motor Sales U.S.A. For every executive who thinks adding products is a good way to ex- xD Scion managers are working with Toyota’s advanced product strategy group, headed by Chris Hostetter. The new products could be federalized versions of Japanese domestic market vehicles — as Scion’s original xB was — or could be new designs based on existing platforms. “Whatever it is, it needs to be a blank canvas for personalization,” said Dawn Ahmed, Scion corporate manager. Hollis said future volume growth for the Scion brand will come from the incremental products. After seeing sales spike to around 175,000 tC units in 2006, sales declined to about 130,000 last year. Scion sales have fallen year-on-year for 17 straight months. Scion wants its three core vehicles to settle in the 130,000 range. “We don’t want to push those three vehicles too hard,” Hollis said. “It puts too much pressure on our business model.” Scion introduced the boxy Hako concept coupe at the New York auto show (see photo, Page 40). Hollis said if built, the Hako would be an addition rather than a replacement for the tC coupe. c Photos by Brenda Priddy ■ Kia’s N.Y. duo Kia showed the sporty, Spectra-based Koup Concept car, right, and the facelifted 2009 Kia Optima at the New York show. The bright-red Koup Concept has a 2.0-liter turbocharged four, which produces 290 hp and 289 pounds-feet of torque. The Optima gets a bigger grille, narrower headlights and taillights and an additional 13 hp from its standard, 2.4-liter four-cylinder engine — up to 175 hp. A 2.7-liter V-6 that produces 190 hp is optional. Bob Irvin is a worthy addition to Hall of Fame John K. Teahen Jr. Sure, I remember Bob Irvin. I’ve been in the news business for 62 years (53 with Automotive News), and Bob is the best I’ve ever worked with. Last week we learned that Bob will be inducted into the Automotive Hall of Fame on Oct. 7. Regrettably, his untimely death in 1980 cut short our Automotive News association after only three years. Bob could do it all. Well, almost all. It reminds me of the story my friend Bob Calihan, the University of Detroit basketball coach, used to tell about his star player All-American Dave DeBusschere, later a New York Knicks immortal. Calihan once told me, “At practice today, I found something that Dave can’t do. He can’t dribble with his left foot.” I don’t think Bob Irvin could dribble with his left foot, either. Fortunately, that isn’t a requisite for greatness in our business. He was a reporter, a writer and a photographer, and he excelled at all three jobs. He wrote about the auto comment In 1980, Bob Irvin did a road test on a Chrysler-built XM1 tank. He was meticulous about giving credit to a competitor if he got beat on a story — which didn’t happen often. He once picked up one of my stories; I looked for the words “Automotive News reported.” They weren’t there. I called Bob and chided him gently. He apologized profusely for the oversight and promised it would never happen again. It didn’t. I remember the night Henry Ford II fired Lee Iacocca in July 1978. We had a clear scoop, thanks to the reporting of Keith Crain, who got the story straight from Iacocca. It happened after our weekly deadline but, naturally, we stayed open. Bob sat at a typewriter and banged out the background story that went with Keith’s scoop and fed the pages to me for editing. He was writing as fast as I could edit — and I am a damned fast editor. That was before the days of the Internet, so putting breaking news on autonews.com wasn’t an option. Instead, we announced the story that night in a press release that went out over the wires so that we got credit for the scoop. And now Bob will be in the Automotive Hall of Fame with Henry I and Henry II. With Alfred Sloan and Bill Knudsen. With Ed Cole and Lee Iacocca. They all deserve to be there. You may e-mail John K. Teahen Jr. at jteahen@crain.com HOW TO REACH US Web site: www.autonews.com Editorial staff: 313-446-0361, e-mail autonews@crain.com or fax 313-446-0383 Advertising: 313-446-6790 or fax 313-446-8030 To locate information that has been published in Automotive News, call 313-446-1662. To start or renew a subscription or to report an address change or a delivery problem, e-mail subs@crain.com or call 888-446-1422 (in the U.S. or Canada) or 313-446-1662 (in all other locations). John K. Teahen Jr. is senior editor of Automotive News. Irvin among 8 headed to hall ➤ 52 industry for United Press International before going to The Detroit News in 1965. He joined Automotive News in 1977 as editor-at-large and also was editor and associate publisher of our sister publication, AutoWeek. He died on Dec. 1, 1980, just three years after joining us. He was 47. Bob Lienert, who then was editor of Automotive News, called Irvin “just the best there was.” High praise from a man who himself ranked with the very best. Irvin was fast. He could write two or three stories while most reporters were still tinkering with their first. A remnant of his wire service days. CORRECTION A map on Page 27 of the March 10 issue gave the wrong location for Hyundai’s plant in the Czech Republic. It is in Nosovice. http://www.autonews.com http://autonews.com

Table of Contents Feed for the Digital Edition of Automotive News - March 24, 2008

Ford lists 6 to succeed Mulally GM pushes luxury superstores Industry straps in for rough ride Bob Irvin is a worthy addition to Hall of Fame Debate at Scion: How to grow Ford moves executives in Asia to new jobs CEO of lanelogic: We're still here Kia's N.Y. duo Chrysler's exec trio: Reports of friction mostly fiction Where others see gloom, Honda chief sees boom in U.S. Fukui: Nickel battery is best bet for hybrid Beijing conference explores key issues in China market Planworks keeps its role as buyer for GM ads Lincoln: MKS will make up for brand's slow start in '08 Deal's no big deal: Styling top reason to buy GM Penske's Smart start: He'd like 15,000 more Dodge's pitch for Challenger: A halo that you can afford Chrysler plans 'We listen' ads You go, Bob With zest, activist Ditlow remains on lemon patrol Autos did the job after 9/11; don't bet on that now Chinese cars? Dealer beware Solar power is the only answer Where will we get power for the Volt? Want higher CAFE? First, do this In N. California, hybrids are hot Detroit 3 can learn from the Marlboro Man The Prius is a phenomenon Wait 3 years, then judge Ford How many Jeeps will India buy? Lithia looks into improper sales reports at dealerships AutoNation's lead shrinks as largest U.S. dealer group Honda ad agency creates unit to build Acura brand Study: Consistent theme in auto ads builds viewer recall Big-truck sales continue slide in Feb. -- off 27.1% MazdaSpeed revs up racing accessory sales Calif. company eyes electric charging stations for Volt, Vue Indictment: Bribe scheme cost GM $83.3 million The greening of Toyota dealerships 6 more finalists in race for PACE recognition Tenneco expands Japanese work, seeks more Bosch buys diagnostic equipment firm in China JV will design vehicle platforms Citation moves headquarters NxtGen tests emissions system VW stake may help Porsche on fuel economy rules Chrysler's Project Genesis wins over Ore. dealer Germany, new EU members send up European sales Saturn will choose store system soon VW thinks modular for flexibility at auto plants Automakers eager as axles turn high-tech Talking drivetrains with American Axle Dollar halts U.S. retail sales of Audi Q7 hybrid Hyundai: Genesis Coupe offers more go for dough Maxima's target: Luxury Euro makes Pontiac adds 3 sporty variants Outsider Elmer Johnson shook up GM Importer Yanase was Hall of Fame member Obituaries Redesigned TSX has many Acura firsts Dealers Certified sales up 7.5% in Feb.; Audi leads the way eBay's new Web site has new look, more features Big pickups and SUVs lead plunge in used-vehicle prices Ex-Reynolds CEO O'Neill joins J.D. Power Auto Hall of Fame will induct 8 Liberatore looks beyond Daimler Molina gets the top job at GMAC F&I pioneer Pat Ryan to retire from Aon Study: Hydrogen research worth the cost Gulf States trial halted As yuan rises, so do prices of Chinese parts Personnel exec Laymon: Ford still seeking outside talent GE gives supplier credit Dana CEO wants Asian growth Tesla launches production Todt steps down as Ferrari CEO Union pursues Toyota effort Chrysler offers spiffs for military Land Rover ads focus on heritage Mark Rechtin Fresh heir: To turn green, must BMW create brand? GM ponders mini-muscle Camaro New Ford ads coming in April With a spiffier image, Lincoln would rock abroad Rival says Nardelli's OK Ford hails its cab, but mpg is an issue

Automotive News - March 24, 2008

For optimal viewing of this digital publication, please enable JavaScript and then refresh the page. If you would like to try to load the digital publication without using Flash Player detection, please click here.