Automotive News - March 24, 2008 - (Page 55)

MARCH 24, 2008 • 55 Union pursues Toyota effort CAMBRIDGE, Ontario — The International Association of Machinists and Aerospace Workers is continuing its organizing drive at Toyota Motor Corp.’s assembly plant here as the union contemplates a legal challenge to the automaker’s campaign tactics. On Wednesday, March 19, the union postponed an election at the plant after Toyota protested to regulators that the union had not collected enough signatures to hold a vote. Personnel exec Laymon: Ford still seeking outside talent DETROIT — Ford Motor Co. is still looking for outside executives to fill some key marketing jobs, says the company’s personnel chief. Appointments are likely soon, said Joe Laymon, Ford’s group vice president of corporate human resources. He did not identify the positions Ford wants to fill “because some of those positions have individuals in them right now.” Laymon did say Ford has not spoken with former Nissan executive Mark McNabb. The position to which McNabb “should aspire” is already filled, Laymon noted. This month, McNabb resigned as Nissan’s North American sales chief. According to rumor, he is eyeing a job with a Detroit 3 automaker. Last fall, Ford took its first step to strengthen its marketing talent when it hired Toyota executive Jim Farley to be its global sales and marketing chief. Since arriving, Farley has appointed new Ford and Lincoln-Mercury marketing leaders from within. The company also brought in Volvo executive Anne Belec to be director of Ford’s global marketing. — Amy Wilson THE BIG 6 Ford names top CEO contenders continued from Page 1 The horse race at Ford These 6 executives are on the short list to be Ford’s next CEO. Lewis Booth Title: Executive vice president in charge of Ford of Europe and Premier Automotive Group Age: 59 Background: The Liverpool, England, native joined Ford of Europe 30 years ago. He has led Mazda and held other top Ford jobs around the world. He now oversees the sale of Jaguar and Land Rover, plus Volvo’s turnaround. Outlook: Booth is one of Ford’s sharpest executives. But he turns 60 this year, which will put him close to retirement age when Mulally prepares to step down. Joe Hinrichs Title: Group vice president of global manufacturing Age: 41 Background: Hinrichs joined Ford in 2000 after stints in private equity and at General Motors. He ran Ford’s Canadian operations and is shepherding North American plants through drastic production cuts. At age 29, he became the youngest plant manager in recent GM history. Harvard Business School published a 1998 case study of his leadership at the GM plant. Outlook: He’s a well-respected fast-riser. Mulally named him global manufacturing chief, a pivotal role. Dana CEO wants Asian growth TOLEDO, Ohio — Dana Holding Corp. is “well behind the curve” in Asian sales and needs to do better, says acting CEO John Devine. “There’s no question but that you have to play Devine: “Behind globally. the curve” in Asia There’s no room for regional players anymore,” Devine told analysts last week while discussing 2007 results. Dana lost $551 million in 2007, compared with a loss of $739 million in 2006. Sales rose 2.6 percent to $8.72 billion, from $8.50 billion. Dana emerged from Chapter 11 reorganization on March 3 — exactly two years after it entered the process. from Boeing Co. to turn around the struggling automaker. Laymon said Mulally has been asked to develop a cadre of internal candidates who could succeed him when he retires. Mulally turns 63 this year and is expected to retire early next decade. While the company would prefer to promote from within, “This board of directors is not going to compromise,” Laymon said. “If we are not successful at developing that cadre of leaders from which they can select, they will have no qualms in going to the outside again.” Mulally’s five-year contract with Ford expires in 2011, although it has provisions for a one-year extension. Either option would take the current CEO beyond Ford’s traditional retirement age of 65. A further extension of Mulally’s contract is possible and is “occasionally” discussed, Laymon said. Ideally, Mulally’s successor would take a clear No. 2 role such as COO six to 12 months before the handoff, Laymon said. Jim Farley Title: Group vice president of marketing and communications Age: 45 Background: Hired by Ford last October after 17 years at Toyota. While there, Farley ran Lexus and launched the Scion brand. Outlook: Farley’s long-term potential as a CEO was a key attraction for Ford recruiters. He’s the only person on the short list who was hired by Mulally. Don Leclair Title: CFO Age: 56 Background: A 32-year Ford veteran, Leclair has been CFO since 2003. He also has worked in product development and manufacturing, and in Australia. Outlook: Leclair helped Mulally put together the $23.4 billion financing package secured in late 2006. Getting the money before the credit crisis was a coup for Ford. Mark Fields Title: President of the Americas Age: 47 Background: An 18-year Ford veteran, Fields ran Ford of Europe, Premier Automotive Group and Mazda before taking the top Americas job in 2005. Outlook: Fields has long been considered a future CEO candidate, but his attempt to turn around North America has had setbacks. He needs to show results. Stephen Odell Title: COO of Ford of Europe Age: 53 Background: A 28-year company veteran, Odell was named COO this month. He most recently headed Ford’s European marketing and held key leadership jobs at Mazda and Jaguar. Outlook: European job will give him broader operational experience, a necessity for a CEO-in-waiting. Todt steps down as Ferrari CEO MILAN, Italy — Ferrari CEO Jean Todt resigned last week and will be replaced by Amedeo Felisa, formerly the general manager. Todt headed Ferrari’s Formula One team when the Italian carmaker won six straight constructors’ titles from 1999 to 2004. Todt became CEO of the luxury sports car builder in 2006. Candidates speak Ford’s list of CEO candidates has a balance of relative newcomers and Ford veterans. The differences in their ages span nearly 20 years, giving Ford’s board lots of latitude. The company veterans are Fields, who is president of the Americas; Leclair, Ford’s CFO; Odell, Ford of Europe’s COO; and Booth, who runs Ford of Europe and the Premier Automotive Group. The newcomers are Farley, hired last October from Toyota; and Hin- Tesla launches production SAN CARLOS, Calif. — Upstart California automaker Tesla Motors Inc. said it began production of its 2008 Roadster all-electric sports car on Monday, March 17. The company plans to build and deliver about 600 cars to customers this year, Tesla spokesman Darryl Siry told Automotive News. About 400 of the zero-emission cars are to be made next year, he said. The Roadster is priced at $98,950. richs, the global manufacturing chief, who joined Ford in 2000. Farley and Fields declined to speculate last week on their chances to run Ford someday. “Listen, I am not going to go there,” said Fields, 47, who is leading the company’s North American turnaround. “I’m going to let the chips fall where they may. I am not focused at all on things like the succession race. We are focusing on doing our jobs.” Farley, 45, told Automotive News he will focus on day-to-day duties and avoid the distractions of the CEO horse race. “You earn those opportunities,” he said. “Right now, I haven’t done anything.”c PREMIUM GM offering help to unite luxury brands continued from Page 1 GE gives supplier credit DETROIT — International Automotive Components Group Inc. was issued a $200 million secured line of credit by GE Corporate Lending. IAC, controlled by New York billionaire Wilbur Ross, will use the loan for workingcapital needs, GE said last week. “GE understands the challenges and opportunities facing auto suppliers,” IAC CFO Jeff Vanneste said in a statement. “They worked closely with us and structured a financing solution to maximize liquidity and flexibility.” superstores where it makes sense, said Cadillac General Manager Jim Taylor. “We have to get a standing (list) of places so that if we had some money, we’d sure like this guy to be over here, or the city has grown up around him, or his facility is worn down and he doesn’t want to invest,” Taylor said this month during an interview at the Geneva auto show. GM was a key player in Hurd’s successful effort to create a superstore. Hurd says GM gave him 25 to 30 percent of the capital he needed to buy Wigwam Saab in Providence, which was for sale because its owner retired. “They want to take out the small mom-and-pop stores and integrate them into bigger stores and eliminate the amount of rooftops,” Hurd says. “It was a significant amount, and I wouldn’t have been able to make the offer I did if GM didn’t help.” Hurd says he doesn’t have to pay the money back but adds that GM set some conditions, which he declines to disclose. Without the Saab franchise, Hurd says, he might have had to convert his Hummer store into a used-car lot. “With Saab in there, I can continue to invest in Hummer and give those brands what they need to grow.” Blending the brands Other dealers say they would welcome the opportunity to acquire all three GM luxury franchises. But for some dealers, it won’t be easy to blend those franchises. Hummer dealers have spent millions on the brand’s distinctive Quonset hutstyle stores. How would Saab or Cadillac products look in a Quonset hut? Not to worry, says Hummer General Manager Martin Walsh. Of the 170 Hummer dealerships in the United States, 136 already are teamed with other GM brands and don’t have any problems with building design. Only 34 Hummer franchises occupy stand-alone stores. Walsh says GM has devised a reconfigured interior for the Quonset huts that will maintain each brand’s identity. Hurd says he will separate Hummer and Saab inside his store because they are radically different. “I’ll have to decorate the side that Saab is in differently, mayb

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

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