Penske Automotive Posts Record Q4, Full-Year 2021 Results

Posted on 9 February 2022 by Ken Zino
Ken Zino of AutoInformed.com on Penske Automotive Posts Record Q4, Full-Year 2021 Results

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Penske Automotive Group (NYSE: PAG) today announced record fourth quarter and twelve-month 2021 results. During Q4, the company reported a 55.1% increase in income from continuing operations attributable to common shareholders to $310.4 million and a 59.4% increase in related earnings per share to $3.97. Adjusted income from continuing operations attributable to common shareholders increased 60.3% to $320.5 million and adjusted earnings per share increased 64.7% to $4.10. Foreign exchange positively impacted earnings per share by $0.01. (AutoInformed: Penske Automotive Group Buys Another BMW Store; Penske Automotive Posts Record Q2 Results; Penske Automotive Posts All Time Record Q1 Results)

“During the fourth quarter, our diversified business and strong execution by our team produced record revenue, earnings before taxes, net income, and earnings per share, driven by strong retail automotive and commercial truck vehicle margins, a 26% increase in same-store retail automotive gross profit, and continued strong earnings from Penske Transportation Solutions which increased 62%,” CEO Roger Penske said. Continue reading →

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Cadillac Project GTP Race Car Debuts This Summer

Posted on 9 February 2022 by Ken Zino
Ken Zino of AutoInformed.com on Cadillac Project GTP Race Car Debuts This Summer

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Cadillac said today that it is in the process of crafting  a forthcoming Grand Touring Prototype (GTP) race car. The Cadillac Project GTP race car will be unveiled this summer and make its debut in competition at the Rolex 24 At Daytona in January 2023. As such this will be the future of Cadillac Racing. The Cadillac GTP race car will be co-developed by Cadillac Racing, Design and race car manufacturer Dallara. The prototype will have a new Cadillac engine package working in conjunction with the GTP common hybrid system.* (AutoInformed: Daytona This Weekend Starts 2022 IMSA Racing Season; Corvette Racing at Daytona – Same or Different?)

The announcement comes less than a month after Ford Performance said in Daytona that an all-new Mustang GT3 race car will compete in the International Motor Sports Association (IMSA) 2024 race season, including the 24 Hours of Daytona. Continue reading →

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Biden Administration Cuts Republican Budget Deficit by 66%

Posted on 8 February 2022 by Ken Zino
Ken Zino of AutoInformed.com on Biden Administration Cuts Republican Budget Deficit by 66%

The Biden Administration economic recovery – note the revenue increases as the year unfolds – continues in spite of Republican opposition. Employed people pay taxes, except if they are rich.

The federal budget deficit was only $259 billion in the first four months of fiscal year 2022, the Congressional Budget Office estimates in a report just released. This amount is less than the deficits recorded for the same period in the two prior years under profligate Republican rule that cut taxes on the wealthiest people. (AutoInformed: Trump on Track for Largest Deficits in U.S. History.)

Moreover, the shrinking Biden deficit is roughly one-third of the deficit recorded during the same period last year ($736 billion) under fiscally-irresponsible Republicans. It is also only about two-thirds of the shortfall recorded for the same period two years ago ($389 billion), right before the start of the coronavirus pandemic, which severally hurt the US economy under the do-nothing, document destroying Trump rule. (AutoInformed: Ten-Month US Budget Deficit Now at $867 billion. $Trillion Deficits Now Certain Under Current Economic Policies) Continue reading →

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NHTSA Issues Consumer Alert on Hyundai, Kia Fires

Posted on 8 February 2022 by Ken Zino

The National Highway Traffic Administration issued today an unusual consumer warning on engine compartment fires covering ~485,00 2014-2016 Kia Sportage, 2016-2018 Kia K900 and 2016-2018 Hyundai Santa Fe vehicles. (AutoInformed NHTSA Warns Hyundai, Genesis Owners to Park Outside Away from Buildings Because of Computer Module Fires)

Owners should park their cars outside and away from homes, even if the vehicle is turned off, until their vehicles have been repaired, due to a new recall for the risk of fire. Continue reading →

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Spirit of Ecstasy is Redesigned for Rolls-Royce Spectre EV

Posted on 7 February 2022 by Ken Zino
Ken Zino of AutoInformed.com on The Spirit of Ecstasy is Redesigned for Rolls-Royce Spectre EV

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Literally bowing to the future, the Spirit of Ecstasy statuette in use at Rolls-Royce since 1911 is now 82.73mm tall, compared to her predecessor’s 100.01mm. Her robes, which flow behind in the slipstream, sometimes mistakenly characterized as ‘wings,’ have been reshaped to make them more “aerodynamic and realistic.” BMW-owned Rolls-Royce Motor Cars said today that the most visible change is her stance. Previously, the mascot stood with feet together, legs straight and tilting at the waist. Now, she is fixed for the wind, one leg forward, body pushed low, eyes focused ahead.

These changes help to shape the upcoming Spectre EV’s aerodynamic numbers. The earliest Spectre prototypes have a drag coefficient -Cd- of just 0.26, making it the most aerodynamic Rolls-Royce ever created. The figure is expected to improve during the Spectre’s testing protocols during 2022. (Rolls-Royce Announces First Full Electric Car) Continue reading →

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Two Tesla Recalls – Self Driving Software, Seat Belt Warning

Posted on 7 February 2022 by Ken Zino
Ken Zino of AutoInformed.com on the deadly Tesla AutoPilot

A toxic mix of  marketing, what the software does, what is perceived and what non-computerized people actually do while driving.

Tesla is recalling 2016-2022 Model S and Model X, 2017-2022 Model 3, and 2020-2022 Model Y vehicles because the “rolling stop” functionality available as part of the Full Self-Driving (Beta) software may allow the vehicle to travel through an all-way stop intersection without first coming to a stop. AutoInformed is unaware of any state where a rolling stop is legal?

In a related action, Tesla is recalling 2021-2022 Model S and Model X, 2017-2022 Model 3, and 2020-2022 Model Y vehicles because the audible chime may not activate when the vehicle starts and the driver has not buckled their seat belt. These vehicles fail to meet Federal Motor Vehicle Safety Standard number 208, “Occupant Crash Protection.” Continue reading →

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RAM – OE Firestone Truck Tires Recalled for Belt Separation

Posted on 5 February 2022 by Ken Zino

Bridgestone Americas Tire Operations is recalling Firestone light truck tires* because they were manufactured with an incorrect inner liner compound, which could cause increased inner liner permeability or cracking, resulting in belt separation.They are an all-season tire intended for use on light trucks and commercial vehicles. Bridgestone Canada made the tires. There have been no reports of accidents, injuries or consumer complaints, according to the NHTSA filing.

The tires were imported by Bridgestone Americas Tire Operations (BATO). BATO supplied the tires to Stellantis as original equipment for installation on 2021-2022 RAM 2500 and 3500 pickups. BATO also supplied the tires to retailers for aftermarket sales. Continue reading →

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Ford Motor Posts Tepid Q4, FY 2021 Financial Results

Posted on 4 February 2022 by Ken Zino
Ken Zino of AutoInformed.com on Ford Motor Posts Tepid Q4 and Full Year 2021 Financial Results

Vehicles sold, market share and cash flow (-$8.5B) for continuing operations declined during 2021.

Ford Motor has posted Q4 and full-year operating results for 2021 that  reflect continuing supply chain disruptions and ongoing but necessary design and reorganization costs. Q4 results show revenue of $37.7 billion, net income of $12.3 billion with an adjusted EBIT of $2.0 billion. Ford ended Q4 with more than $36 billion in cash and $52 billion in liquidity. Both measures included the company’s investment in Rivian, which was valued at $10.6 billion at the end of 2021. At the close of trading on Feb. 2, the value was $6.6 billion. Ford stock closed at $17.96. It was off -$1.93 (-9.70%) as of 4 February at 4:02 pm after earnings were announced, which missed forecasts of  $0.45 by, ugh, 19 cents.

Full-year net income was $17.9 billion with a company adjusted EBIT of $10.0 billion after the recent reclassifying of the Q1 Rivian gain warning shareholders and the capital markets that the $8.2 billion it earned from its Rivian investment after the public offering will not be included in full-year adjusted EBIT or adjusted EPS. Ford Credit posted solid results in Q4 with full-year earnings before taxes of $4.7 billion. (read AutoInformed on Ford Motor Warns of Large FY 2021 Special Items) Continue reading →

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Workers Vote For Independent Union at GM Silao in Mexico

Posted on 3 February 2022 by Ken Zino

Ken Zino of AutoInformed.com on Workers Vote For Independent Union at GM Silao in MexicoIn a decisive setback for General Motors’ old-style union practices in corrupt Mexico, 90% of the 6,232 workers at a plant in Silao in Mexico have cast their votes to elect new union representatives. With an overwhelming majority of 76% SINTTIA won. This is on the cutting edge for democratic unions in Mexico in the aftermath of the country’s labor reform.

In August of 2021, workers rejected the collective agreement signed by the old Miguel Trujillo López union, affiliated to the Confederation of Mexican Workers (CTM), accusing that union of siding with GM and putting the company’s interests before those of its workers. The rejection of the agreement meant holding elections to choose a new union. (Read AutoInformed on: GM Plant Workers Face Threats After Voting Out Corrupt Union; GM Workers in Mexico Reject Corrupt Union to Form New One) Continue reading →

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NADA – Light Trucks Dominating Market

Posted on 3 February 2022 by Ken Zino
Ken Zino of AutoInformed.com on Light Trucks Dominating US Market

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Light trucks accounted for 79.8% of all light-vehicle sales in January 2022, with pickups and SUVs gaining market share while the popular crossover segment was flat year over year, according to the National Automobile Dealers Association. After surpassing $45,000 for the first time in December 2022, the average transaction price is expected to decrease slightly, but should still be a record for the month of January.

According to J.D. Power, the average transaction price for a new light vehicle in January 2022 is expected to reach $44,905. High transaction prices continue to be supported by strong demand and very low OEM discounting. Average incentive spending per unit in January 2022 should total just $1,319, down by $2,163 from January 2021, J.D. Power says. Continued high demand for used vehicles has increased consumers’ equity in their trades. J.D. Power expects the average consumer trade-in equity to be up by 88% year over year for January 2022. Continue reading →

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January 2022 US Sales Off 9%. Chips, Supply Chain Issues Bite

Posted on 3 February 2022 by Ken Zino
Ken Zino of AutoInformed.com on January 2022 US Sales Drop 9%. Chips, Supply Chain Issues Bite

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Limited inventories pulled down US sales in January to just over 1 million units, according to the LMC Automotive consultancy. This was the scrawniest January since 2014. However, the -9% YoY decline marks the smallest percentage loss since monthly sales turned negative in the summer of 2021, said LMC. (Read AutoInformed on January US New Vehicle Sales to Decline. Profits, Prices Up; NADA Predicts 2022 New-Vehicle Sales of 15.4M, up 3.4%)

 The annualized selling rate, aka SAAR, improved from the average during the last six months. At 15.2 million units/year, this was the strongest SAAR since the 15.4-million-unit level in June 2021. Nevertheless, the average daily volume fell short of 42,000 units, but was consistent with the average daily volume of Q4 2021. Plus ca change… Continue reading →

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GM Posts Record $10.4B Earnings in 2021

Posted on 2 February 2022 by Ken Zino
Ken Zino of AutoInformed.com on GM Posts Record $10.3B Earnings in 2021

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GM posted record 2021 Earnings and EBIT-adjusted margins during 2021 in spite of a challenging semiconductor and supply chain hazards from the global Covid calamity. Q4 earnings were almost $2 billion. GM earned $10.4 billion for the year, excluding special items, compared to $7.1 billion in 2020.

Part of the record results came from execution by an all-star management team of a timely strategy, part from strong demand for what in AutoInformed’s view are the strongest product lines in GM’s history. However, vehicles it sold globally dropped to 6.3 million, -8% from 2020 and a drop of -18% from Covid-free 2019. (First Place! Toyota Ousts GM as US Sales End 2021 at 14.9m; GMC Shows Sierra Denali Ultimate and AT4X – $$$$$) Continue reading →

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First Wireless EV Charging Road Slated for Michigan

Posted on 1 February 2022 by Ken Zino

Electreon has been selected to build the first public wireless in-road EV charging system on a one-mile section of road in Detroit, Michigan Gov. Gretchen Whitmer said today. More than half of Michigan’s automotive suppliers conduct automated vehicle testing in the state. Michigan has ~600 miles of roadway equipped for connected vehicle testing and is building the road of the future with a new 40-mile connected corridor project being led by MDOT and the Office of Future Mobility and Electrification. (Ford Testing Autonomous Delivery of Food in Detroit; Michigan and Cavnue to Create Autonomous Vehicle Lanes Linking Ann Arbor and Detroit)

“As we aim to lead the future of mobility and electrification by boosting electric vehicle production and lowering consumer costs, a wireless in-road charging system is the next piece to the puzzle for sustainability,” said Governor Whitmer. Continue reading →

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Rolex 24 – Cold Beginning to Start a Sizzling Racing Season

Posted on 31 January 2022 by Ken Zino
Ken Zino of AutoInformed.com on Rolex 24 - Cold Beginning for a Sizzling Racing Season

Castroneves’ second consecutive Rolex 24 victory.

With a record entry list of 61 cars running, bumping, swapping paint while pushing flat out after the green flag dropped at a cold Daytona, the 2022 sports car racing season in the US debuted. In IMSA racing, races are tilted toward racing – with gaps reset during Full-Course Yellow periods with faster classes waived though the pack for the restart. It makes for fierce competition throughout and rarely any stints of boredom for fans. (AutoInformed – IMSA Rolex 24 at Daytona – 61 Cars Entered

Acura took a one-two finish in the top DPi class. Helio Castroneves held the No. 60 Meyer Shank Racing Acura ARX-05 ahead of the field during the final 30 minutes to give MSR and co-drivers Tom Blomqvist, Oliver Jarvis and Simon Pagenaud victory Sunday in the 60th anniversary of the Rolex 24 At Daytona. They drove 2709.160 miles. (Full results click here) Continue reading →

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Nissan Recalling 690,000 Rogue SUVs for Fires

Posted on 31 January 2022 by Ken Zino
Ken Zino of AutoInformed.com on Nissan Recalling 690,000 Rogue SUVs for Fires

Known safety problem. Unknown fix.

Nissan North America is recalling 2014-2016 Rogue SUVs because an electrical connector for the under-dash harness may corrode due to water and salt intrusion from the driver’s side foot well. The worst case from this safety defect is a fire. Rogues vehicles manufactured later are unaffected because a change was made after MY 2016 at each of the plants to remove the harness tape. No other Nissan or Infiniti vehicles are affected because the harness layout and tape used are specific to the Rogue.

In affected Rogues, if water and salt collect in the driver’s side foot well, it may wick up the dash side harness tape and enter the connector. If the connector becomes corroded, electrical current may continue to flow between the connector terminals, potentially causing the driver’s power seat or power window to become inoperative, AWD warning light illumination, battery discharge, and/or thermal damage to the connector. In the worst-case condition, a fire can occur. Continue reading →

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