January 25, 2010

Snowbirds Dress Up for a Climate Change
According to Christopher Jensen at the New York Times, the redesigned 2010 Legacy sedan and Outback wagon are not just for Yankee blizzards anymore. Both models - all Legacys are now sedans and all Outbacks are wagons - have significantly more rear legroom, much better fuel economy, and upgrades in safety and civility. Click here for a photo of each. The Legacy and Outback share mechanical underpinnings but are aimed at different customers. The Legacy's competitors include the Honda Accord, Toyota Camry, Chevrolet Malibu, and Ford Fusion. Click here for a slideshow of the Legacy. The Outback's probable rivals include the Chevy Equinox, Honda CR-V, Toyota RAV4, and Ford Escape. Click here for a slideshow of the Outback. In length, both vehicles are little changed. But clever packaging has carved out almost four additional inches of rear legroom. Subaru says the openings for the Legacy's rear passenger doors are 15 inches wider than last year, and the Outback's increased by 12 inches. Attractive and similar, the interiors show that Subaru has moved upscale. There is a practical simplicity in the controls and enough storage to bring order to the daily mess of motoring. For extra gear, the back seats flop down. Click here for Jensen's entire run-down of new and improved features of the recently redesigned Subaru Legacy and Outback.

Spyker Set to Announce Purchase of Saab
Spyker Cars is set to announce the purchase of Saab from General Motors and Sweden has agreed to guarantee loans for the deal from the European Investment Bank. According to Reuters, the Dutch luxury carmaker is expected to present the purchase during a news conference on Monday. The report also said Swedish officials would hold a meeting to discuss the loan guarantees. Lars Carlstrom, the spokesman for rival bidder Genii Capital, said there was still a chance that the deal could be derailed, but expected an announcement later on Monday. "As long as they have not signed there is a chance (of the sale not happening) yet it's most likely we will see an outcome of this today." General Motors announced on Dec. 18 it was winding down the 60-year-old Swedish carmaker following the failure of sale negotiations with prospective buyer Koenigsegg. Two wind-down supervisors took control of Saab earlier this month, but GM said it was continuing to evaluate offers during the wind-down process after Spyker and other parties submitted updated bids for the loss-making brand. Spyker has been in negotiations with GM over the weekend in Stockholm and is seen close to clinching a deal. Click here for the latest on Spyker's attempt to purchase GM's Saab unit.

The Human Toll of a Terrible Year
The great dealership debacle of 2009 - plunging profits, tight credit, the targeting of more than 2,000 stores for closure by GM and Chrysler - has been thoroughly chronicled. But those business stories, filled with statistics and percentages, seldom capture the human toll on dealers - high-profile entrepreneurs who take their businesses very personally. Automotive News reports that the loss is so personal for dealers because a car dealership is a lot more than just a place to work. Many like Wade Walker, a third-generation dealer and owner of Walker Motors (Volkswagen-Mazda) in Montpelier, Vt., says he was deeply depressed by the loss of his rejected Jeep store and the circumstances that led to the sale of his Ford dealership in December. Most dealers either started their businesses from scratch or were carrying on a legacy started by a father or grandfather. They often have their names on their buildings and are pillars of their communities. They provide employment and support local causes - Little League Baseball, the high school band, the United Way. Losing their stores, or even seeing them threatened by extreme economic stress, took a heavy toll on many dealers. The economy may be starting to emerge from its depths, but many still shudder when they look back on 2009. To read more on what 2009 meant for auto dealers, click here.

Revamped Brands are Key to Chrysler Turnaround
Chrysler now has a turnaround plan that promises improved quality and a stream of new models. But it won't work unless Chrysler can get cars like the Sebring back on people's shopping lists. According to The Detroit News, to do that, Chrysler is going back to the basics: Reinventing its car brands - Chrysler as a luxury line, Dodge as a quirky value brand - and reintroducing them with head-turning ads. One of Chrysler's first actions under Fiat SpA, which took control of the automaker last year, was to split Ram truck from Dodge so Dodge could stand alone. The Chrysler brand, too, is aiming off the bull's eye, but it's trying to lure well-educated, sophisticated buyers. One of its first new ads, which aired on news channels, called for the release of Burmese human rights activist Aung San Suu Kyi. Another in production inserts a Chrysler 300 into a scene from "Breakfast at Tiffany's." Both are stylish and provocative. They're the brainchild of Olivier Francois, a 48-year-old Frenchman who heads the Chrysler brand and its European twin, Fiat's Lancia brand. He also controls marketing for the entire Chrysler Group. He sees the U.S. market share of Chrysler brand rising to 5 percent from its current 2 percent. Click here for more on Chrysler's restyling.

Under The Hood: Luxury Auto Heavy Hitters
Things were a little different for supercar makers at this month's North American International Auto Show in Detroit - this year, they technically weren't even at the show. Instead, they displayed their wares at The Gallery, located across Detroit's downtown in the MGM Grand, which served as an auxiliary venue for the annual autos extravaganza. For sheer prestige and luxe accoutrements, the $252,000 Spyker C8 Aileron Spyder and $245,000 Rolls-Royce Ghost were among the most dazzling. Still, the main show floor in Detroit's Cobo Center did have some star power that could well have been right at home in the MGM Grand. Audi flaunted its R8 Spyder 5.2 FSI Quattro and Mercedes-Benz's SLS AMG gullwing coupe, two of the newest additions to the luxury scene this year. However, according to Forbes, it's what's under the hoods of these cars that truly makes them special. Take the W12 Bentley Continental Supersports, for instance, with its 612-horsepower twin-turbo engine and 590 pound-feet of torque. Mercedes' new gullwing is another feat of precision and performance-as well as heritage. The AMG coupe is based on the famous 1954 300SL Gullwing and replaces the (now discontinued) $500,000 SLR McLaren in Mercedes' lineup. Click here for a slideshow of some of the luxury segment's heavy hitters. Click here to read Forbes' coverage of some of the top luxury nameplates that were on display at the Detroit auto show.

Around the Web
Preview: 2011 Volkswagen Golf R [TheCarConnection]
Spycam: Lamborghini Jota [Motor Trend]
40th Anniversary Nissan 370Z [Edmunds Inside Line]
That New Car Smell [AOL Autos]