Hyundai A Big Beneficiary in Germany. Most Sales Seem To Be Of Small Cars With Miniscule Profits. The fall in Western Europe’s car sales has been slowed by scrapping incentives in Germany and France, but investors worry that the quality of the sales in terms of profit margins and origin, are not going to be […]
Archive | Industry Analysis 2009
VW Battens Down Hatches After Record 2008
Losses Expected For First Quarter, Maybe Second Quarter Too. Volkswagen managed to stave off the effects of the credit crunch longer than most, but is resigned to a testing time in 2009. It was the best of times for VW in 2008, with operating profit of €6.3 billion. Sales revenue rose 4.5 per cent to […]
Nuggets Found In BMW Numbers After Initial Depression
Cash Preservation Impresses Investors. BMW Cut Production Faster Than Sales Were Falling. BMW lost money in 2008’s fourth quarter, but investors turned surprisingly bullish about the German luxury car maker’s prospects after they’d put the numbers under the microscope. “The earnings looked disastrous at first glance,” said Commerzbank analyst Daniel Schwarz. Indeed they did. BMW […]
Supplier Failure May Trigger More Euro Automotive Turmoil
Scrapping Incentives Provide Some Solace, For Hyundai, Logan. Falling Raw Material Prices Add Some Comfort Too. Experts Says Opel May Go, Either Peugeot or Renault As Well. Europe’s car manufacturers put on a brave face at the Geneva Car Show, but the odds on there being some notable, permanent, absences this time next year are […]
Bob Lutz Bids Farewell At Geneva Show
Forster Chokes On Line Saying How Much He Learned From Lutz Robert Lutz, evergreen leader at General Motors, and doyen of the global auto industry for almost half a century, bade farewell to Europe at the Geneva Car Show. Replying to a tribute from General Motors Europe president Carl-Peter Forster, GM chairman Lutz said he […]
Fiat Unveils New “Multair” Gas Engine Technology
GENEVA, Switzerland Fiat of Italy unveiled new technology called “Multair” which it claims raises power of gasoline engines by 10 per cent and increases fuel efficiency by between 10 and 25 per cent. The technology improves the flow of air in the engine’s combustion process, and will also be used to improve the efficiency of diesel […]
GM Europe Says Failure Would Hit 300,000 Jobs
If General Motors Europe fails, it would cost up to 300,000 jobs across the continent, including workers at manufacturing plants, suppliers and dealers, GM Europe President Carl-Peter Forster said. Speaking at a press conference at the Geneva Car Show with GM Chief Operating Officer Frederick “Fritz” Henderson, Forster said the company has about 30 per […]
Goodbye Commitment 2009 Says Renault
Prospects For 2009 Look Bleak And Red. For Those Willing To Look, There Are Positives. It has been obvious to investors for more than a year now, but Renault finally and officially ditched its ambitious targets, set by CEO Carlos Ghosn shortly after he took the job. Ghosn’s “Renault Commitment 2009” included the pledge to […]
Peugeot Survival Looks Assured Thanks To Government Help
Cheap Loan Avoids Rights Issue Blow. Small Car Portfolio Ideal To Exploit Scrappage Plans. Peugeot-Citroen lost almost €350 million last year and is likely to lose more than €1 billion this year, but still has some supporters among investors. According to Nomura International, Peugeot-Citroen’s finances deteriorated faster than expected in 2008, and earnings and cash […]
Mercedes-BMW Link, Mercedes-Opel Rumours Soar, Die
Daimler Results Distorted By Lingering Chrysler Interest. Prognosis for Mercedes Future Looks Good Though. The turmoil in car markets inevitably leads to wild rumours about takeovers and mergers as sales plunge and red ink engulfs balance sheets. The well rehearsed report that BMW and Mercedes are about to step up cooperation excited stock markets for […]