2009 In Review and Who has the Next Clunker

In a year of turmoil and financial uncertainty, one thing if for sure, GM still isn't making a profit. To hammer (not Hummer) a point, they failed to successfully negotiate the sale of Saab, not once, but twice. Why is it so hard to market a Swedish car company (when Tiger Woods has brought acute popularity to the country)? It isn't, but low-ball offers met with American stubbornness and the result, the Saab moniker goes the way of the Pontiac, Saturn, and Oldsmobile (remember those).


What does the future hold? If the LA Auto Show was any indicator, then it will be electric vehicles that the public cannot afford. Tesla, not interested. Audi (and I love Audis) may have a near miss with the E-tron. But the Chevy Volt is making its way to not finding its niche in the marketplace.



Hummer is still struggling to cut through the Chinese red tape and complete the sale to Tengzhong Industrial Machinery. So where are the new cars? The Ford Fiesta took a detour thanks to a mid-day siesta courtesy of half-hearted viral marketing and a grass-roots user experience launched by the Red Bull swigging crowd of twenty-somethings. The Taurus is back, however, and in the potent SHO formula, sho-nuff. But with American auto sales down 19% for the year, people seen to be holding on to their vehicles just a little longer. That is unless you own a Toyota. In that case, hold on to your hats! The Japanese powerhouse suffered a black eye of 1980's Audi proportions with their own version of unintended acceleration. Sure it was initially a floor mat problem that ultimately turned out to be bad PR spin when an accelerator issue was found to be the culprit. Toyota reluctantly launched the largest recall in its company's history.


So what does 2010 hold? How about some payback from GM and Chrysler. Remember those billions of dollars thanks to Paulson's TARP program? The American public would like a return on this particular investment, and a discount on a Chrysler with a HEMI that no one wanted in the first place seems like a continuation of cruel and unusual punishment. The only other hemi causing this much discomfort usually comes with a Costco-size dosage of Preparation H. 2010, you have the potential to look up...way up!

The LA Auto Show

Well, I made it. After complaining about the auto show in my hometown, I had the opportunity to attend the LA Auto Show. International and national vehicles debuted at the Los Angeles Convention Center. There is an air of imitation as I can see that this is the best balance in a new breed of sedans masquerading as coupes found in the Mercedes-Benz CLS, BMW 550i Gran Turismo, and yes, the other four-door Porsche, the Panamera. And you know? The offspring of the 928GT didn't look as awkward in person as it had on the printed page. An ugly duckling of sorts, maybe. But would I buy one? A used one? Probably. I was also impressed by Audi's products but a little disappointed in BMW. The X6 M looked eerily like a Pontiac Aztek! Could it be that Pontiac was the true visionary, ahead of its time, and sadly, just a few years too early to save itself from bankruptcy? Well, it was a GM product, and they would have found a way to ruin that success, so probably not.


There were a buzz in the air that wasn't weather induced. Known for its smog, LA actually experienced inclement weather during Friday's show. Was I impressed? Let me say this, my enthusiasm for some exhibits forced me to tour particular manufacturer's offerings more than once. Much love for the Audi R8 convertible and the whole wing dedicated to Porsche. The Panamera is big. Big and Tall. Like a plus man's shop with all the clothing and accessories that one could muster. There is an elegance to this heft, however. Maybe it was the color. Maybe it was the vibe (no not the Pontiac Vibe). Or maybe it was the fact that I just wanted to love the car. Well, it is a Porsche after all. Sat in the front, sat the back, had a photo taken. I was impressed, probably more so by the fact that a child's car seat fits squarely in the back without crushing any limbs (yours or a child's). And yes, an adult fits back there, too.

GM Reorganization That Does Not Involve the Container Store

After last Tuesday's removal of Fritz Henderson as GM's CEO, Robert Lutz, GM's marketing and product guru, does not have a place or the staff to call home. While GM said Lutz will serve in an advisory role, there is no such indication of what advice will be dispensed from the 77 year-old former Ford employee. Ed Whitacre, acting CEO, is looking to freshen the face of GM by placing some youngsters in charge of strategic operations in North America, Europe, and Asia. With an infusion of new blood, the hope is to revitalize the brand and promote fresh ideas from all of the ranks, not just executive management. It should also be noted that the new management team publicized its first official meeting today.

What does this mean for GM? That there is some serious consideration being made about its place in the automotive world, its reputation, and how it will compete in the "May the best car win" race. I have to commend Whitacre for working with GM's board and making such a powerful and decisive move. Am I impressed? Absolutely. Let's see just how much turbulence the system can tolerate during the course of this shake up. In this survival race, it was a necessary strategy for GM to muse over and execute. Next stop, paying the Fed those billions of dollars back!