“Dealerships have plenty of resolve - Detroit Free Press” plus 4 more |
- Dealerships have plenty of resolve - Detroit Free Press
- U.S. automakers thinking small for 2011 and beyond - Chicago Tribune
- BORDER BLUES - Buffalo News
- Consumers wait on electrics as companies build their fleets - Detroit Free Press
- GM's return policy may not be worth the hassle - detnews.com
| Dealerships have plenty of resolve - Detroit Free Press Posted: 27 Sep 2009 07:58 AM PDT (2 of 2) At Saturn of Warren, general sales manager Kevin Bilski said people were stunned in December when GM said it would sell or discard Saturn. "It was like being told your parents don't love you anymore," he said. But folks perked up a few months later when Roger Penske expressed interest in Saturn. Penske hasn't closed the purchase deal with GM yet or gone public with his plan for the brand's future, "but just that name Penske brings a lot of positive press," Bilski said. "GM never knew what to do with Saturn. We were the redheaded stepchild," said Carl Galeana, 57, vice president of the Galeana Auto Group that his father, Frank, founded in 1974. Frank, 80, is still president and remains active at the Florida stores. Rusty McBain, general manager of Saturn of Warren, said, "Our whole history has been adapting to changes. I don't think Saturn ever had a game plan more than two years out." Indeed, what ran through every conversation at Galeana's two Warren dealerships was a sense of resolve. Chrysler survived an earlier bailout plus ownership by the Germans of Daimler AG and the private equity gang at Cerberus Capital Management. Having Fiat and its CEO Sergio Marchionne at the helm now can't be any worse, right? Ditto for Saturn. After the hype, the erratic product, the lack of marketing money and then abandonment by GM, Penske sounds good. "You've got to be an optimist in this business," Galeana said. Then he related a mind-boggling tale of his first interaction with Cerberus when it bought Chrysler in 2007. "Cerberus came in and said all the right stuff about Chrysler being an American icon," he said. Galeana soon met Cerberus Chairman John Snow. "Snow was an affable guy and he said, 'Do me a favor, stay in touch. I want to hear from dealers about how things are going.' So I wrote him a note," Galeana said, "and two weeks later I get a letter from the HR. department at Cerberus, saying 'Thank you for your letter seeking a job opportunity, but we have nothing available at this time.' " "That," Galeana said, "was a metaphor for what Cerberus was about." After everything Carl Galeana and his folks have been through with Chrysler and Saturn, no wonder they choose to believe things will get better with Sergio and Roger. Contact TOM WALSH : 313-223-4430 or twalsh@freepress.com  This posting includes an audio/video/photo media file: Download Now |
| U.S. automakers thinking small for 2011 and beyond - Chicago Tribune Posted: 27 Sep 2009 08:12 AM PDT The future, as they say, is now, and it revolves around gas prices and fuel economy standards that require vehicle fleets to get 35 mpg by 2016.  This posting includes an audio/video/photo media file: Download Now |
| Posted: 27 Sep 2009 08:27 AM PDT New travel rules are hurting binational trade, tourismShare this story: With the experience of our first summer tourism season behind us since the Western Hemisphere Travel Initiative went into full effect, it's time to review its impacts. The WHTI is a congressional mandate designed to protect our borders and came out of the 9/11 Commission. Its worthy goal is to assure that folks entering the United States can document who they are and their citizenship. Many have referred to the initiative as the passport law, but as it stands now a traditional passport booklet is one of eight accepted documents. And actually, it is the least preferred of the lot. The purpose of the WHTI is to make sure no bad guys enter our nation and do harm to its citizens. Patrick J. Whalen is chief operating officer of the Buffalo Niagara Medical Campus. He founded and operated an international cross-border logistics firm, and is a board member of the Can/Am Border Trade Alliance. He also is a board member of the Binational Tourism Alliance and a number of other trade and civic organizations. However, ever since the idea was raised several years ago, it has exacted a heavy toll on trade and tourism around U. S.- Canada border regions. Since the travel rules were proposed in 2004, even the discussion of the final version caused a significant decline in border-crossing trips. And when it actually went into full effect on June 1, the drop was dramatic. The traffic numbers from just one crossing, the Peace Bridge, illustrate the cost of implementing these requirements. From August 2004 to August 2009, automotive traffic in and out of Canada via the Peace Bridge dropped 14.2 percent. That's 94,000 fewer cars —probably a quarter million fewer people—crossing to visit malls, restaurants, theaters, museums, etc. The tour bus picture is tragic. During the same period, overall bus traffic (roughly 95 percent tour buses) is down 10 percent. The big drop came after June 1, when bus traffic plummeted from 3,312 last August to 2,654 this August. That's 658 fewer buses at this one crossing in one month. If there is an average of 45 people on each tour bus, that's nearly 30,000 people; and we know every one of those missing is a tourist. Don't forget this is happening all along the northern border. Add it up and we are talking about the loss of hundreds of thousands of tourists and business people every month, which means hundreds of millions of dollars out of the economies of our two nations annually. So what can we do to ease the impact of the travel initiative on trade and tourism and the tens of thousands of jobs these sectors support? From the beginning, those proposing this legislation resisted discussion of any alternative to the traditional passport booklet. Ultimately, thanks largely to our northern border congressional delegation, options were developed (see left). That's a good thing because a traditional passport booklet needs to be handed over to a border guard who then physically swipes it through a document reader. The alternatives all contain radio frequency technology, which eliminates the need for the border guard to handle them. This means that the traditional passport book is actually the slowest form of acceptable documentation. Our passport agencies should move to replace these out-of-date documents but in the meantime, they should be promoting the alternatives. NEXUS card Alternatives for crossing the border include a NEXUS card, available to U. S. and Canadian trusted travelers. With radio frequency and eye scan technology this is the top-level documentation for the northern border. This program requires a face-to-face meeting with U. S. and Canadian border protection officers and an in-depth background check. It is inexpensive, $50 for five years, and offers many advantages. Once you have NEXUS, crossing the U. S./Canadian border is a snap. Holders can access special lanes at many border crossings and at a few airports where they can pass with minimum delay. NEXUS requirements should be harmonized with the very similar FAST program that is used by truckers. And if we are serious about expanding this important trusted traveler program, we should provide NEXUS holders easy access lines at all U. S. and Canadian airports. It would reduce wait time for everyone and give airport screeners more time to deal with other travelers. If our goal is increased security, NEXUS is the answer. It's hard to understand why any person crossing the border regularly would delay applying for NEXUS. Having NEXUS greatly reduces crossing times in both directions and makes one's life much simpler. The U. S. Department of State did a survey and statistical analysis of the 129 million border crossings in 2003. It determined that 23 million individuals made these 129 million crossings. But almost half — 48 percent of the crossings — were made by just 460,000 or roughly 2 percent of the 23 million people. Further, 61 percent of the crossings were made by roughly 1.8 million, only 8 percent of the people. Imagine our borders if most of those 460,000 people had NEXUS cards. They would sail through the special lanes coming and going, giving our border protection agents more time to deal with the rest of the folks in the regular lines. It seems like a no-brainer. Yet only about 350,000 NEXUS cards have been issued to date. Why? Like so many other things, it's all about location, location, location. There simply aren't enough NEXUS locations. We need more dedicated NEXUS lanes and more NEXUS sign-up locations on both sides of the border. And we need to promote this alternative. The U. S. and Canadian governments should set a goal to push the number of NEXUS card holders to more than a million. Enhanced driver's license While there are other border-crossing documents, for average folks it's the enhanced driver's license. Having this option available and recognized at our borders is a giant step forward. Now available in a handful of states and Canadian provinces, hopefully it will soon be offered across the United States and Canada. In New York State it's cheap, just a $30 premium over a regular license for eight years — less than $4 a year. Unfortunately it's not as easy to get as it should be. The Erie County Auto Bureau has done a lot of outreach and offers a convenient portal, but even if you have a valid driver's license you need five additional "required proofs" to get an enhanced license in New York. You don't need that many to get a passport. Ontario offers enhanced licenses, but it has done little to promote them. Nor is it making it particularly easy to get them either. There are only a handful of enhanced license locations across the vast provincial landscape, just one in St. Catharines for all of the Niagara Peninsula. And while officials on the U. S. side have installed advanced technology to read NEXUS, passport cards and enhanced driver's licenses, Canadian border officials have been slow to do so. This factor adds to backups for everyone headed into Canada. Passports—book or card Getting a passport is pretty straightforward, as is the newly created passport card. Go to any post office or online http://travel. state.gov/passport/ forms/forms_847.html to find and fill out the necessary form. Take it in person (along with a couple of pictures, your birth certificate and some documentation) to any of the more than 7,000 locations nationwide — post offices, town halls etc. — that accept applications, and your passport book or card will arrive in the mail within a few weeks. Many post offices now also can take the pictures for you. The new passport cards are the same size as a credit card, making them easier to carry. But while the cards provide faster processing at the border than the book, they are not yet accepted for travel outside of the Western Hemisphere. The fastest way to get either type of passport is to visit a U. S. Passport Agency office. There are almost two dozen offices scattered around the nation, but there are only two on the border with our largest trading partner, Canada. This needs to change and our congressional delegation is making every effort to have Passport Agency offices opened near the Canadian border. We need Secretary of State Hillary Clinton to make it happen. Passports are a function of the State Department, her turf. Private sector While we need action from the applicable government agencies to make it easier to get the appropriate documents, we need action from the private sector as well. Those with a specific interest in trade and tourism — as well as those genuinely interested in economic development — need to step up and support expansion of trusted traveler programs. They need to underwrite efforts to offer financial support to help folks meet the cost of NEXUS, as well as state and provincial enhanced driver's license upgrades. It's the smart thing to do. Dedicated lanes Finally, we need to continue infrastructure improvements at border crossings. Border traffic is down, but increased security demands have added to processing time and border delays. We need to create dedicated lanes for NEXUS and FAST card holders. We need more primary inspection booths and lanes to separate cars and trucks and speed up processing. Recent improvements at Fort Erie, Ont.; Champlain; Blaine, Wash.; and Sweetgrass, Mont., show that border crossings can be designed to facilitate quick crossings while maintaining security. In Queenston, Ont., trucks approaching the United States are separated from cars three miles from the border. Trucks are then split into FAST and non-FAST lanes so that the precleared FAST trucks are not held up by non- FAST trucks. In Blaine, Wash., the NEXUS lane starts several miles before the border, providing trusted travelers the fast lane they deserve. With the additional cost of WHTI-compliant documents, crossing the border has gotten more expensive. We need to see a return on that additional investment.  Log into MyBuffalo to post a comment  This posting includes an audio/video/photo media file: Download Now |
| Consumers wait on electrics as companies build their fleets - Detroit Free Press Posted: 27 Sep 2009 08:48 AM PDT While it could take years for everyday consumers to shell out their money for a new electric vehicle that will most certainly come with an initial price premium businesses like AT&T, Frito-Lay, Staples, utilities and others are lining up for new models. For consumers, electric vehicles compete against fuel-efficient alternatives that cost less. For example, the compact Chevrolet Volt, an extended-range electric vehicle, is expected to cost $32,000 to $38,000 after a tax credit of $7,500. We are still not very bullish on electric vehicles unless the prices come down, said Mike Omotoso, an auto analyst at J.D. Power and Associates. The 2010 Toyota Prius hybrid starts at $22,000 and gets 50 m.p.g. So its kind of a tough sell for the Volt to be $10,000 more than the Prius. For businesses, however, electric vehicles make more sense. Companies accustomed to managing a fleet can save by switching to vehicles powered by electricity, which is relatively cheap. They are also likely to find recharging issues easier to manage than everyday drivers, who might have to install a special outlet in their garage. Whats more, companies could get an image boost by going green and advertising it on their trucks. With our customers its How soon can we get them? said Bryan Hansel, CEO of Smith Electric Vehicles in Kansas City, which expects to begin production of a 180-vehicle fleet for business customers in October. Businesses ready to save on electric fleetsWhen Bright Automotive was founded in 2008 with investors such as Duke Energy Corp. to develop electric vehicles, it decided to serve customers that manage fleets, such as businesses. "Fleets have been under-served for a long period of time," said Lyle Shuey, vice president of marketing and sales for Anderson, Ind.-based Bright Automotive. Now, that business model is looking smarter than ever. On Thursday, Duke Energy Corp. and FPL Group Inc, said they would transition all their cars and trucks to plug-in hybrid or all-electric vehicles by 2020. This posting includes an audio/video/photo media file: Download Now |
| GM's return policy may not be worth the hassle - detnews.com Posted: 27 Sep 2009 07:58 AM PDT Dan Strumpf / Associated PressYou fell in love with that $22,000 Chevy Malibu because of its color, style and price. After driving it home, you realize it's not what you wanted. Maybe it's the way it handles on the highway, the location of the cup holders or the shape of the seats. Don't worry. Bring it back for a refund, no questions asked, says GM's Chairman and new TV pitchman Edward Whitacre Jr. But is it really as easy as returning an ill-fitting shirt to Macy's? Advertisement As with any deal, it's a good idea to read the fine print. As your love affair with the new car turns to hate, you'll need to drive very carefully and make sure to limit how many miles you put on the car. And don't expect your wallet to be made whole even if you follow the fine print to the letter. Q : So, I can bring back my car or truck to the dealer anytime? A : Not so fast. No returns are allowed within the first 30 days of purchase. It's anytime between day 31 and day 60 of ownership. That seems like a narrow window, but the policy makes sense for GM. Buyer's remorse can set in within days for new customers, who grouse over things like knobs and cup holders appearing to be in the wrong place. Owners can grow more accepting of problems over time, says Jack Gilles, director of public affairs for the Consumer Federation of America. Q : Do I have to cite a defect? A : No. You can hate the color for all GM cares. But the policy says a returned vehicle can't have more than $200 in damage -- and GM, through an inspection, gets to decide what constitutes that much damage. Q : Wow, $200? Doesn't even a small scratch or dimple caused by kicked-up gravel cost that much to fix? A : It's true the cost of vehicle repairs -- even small, cosmetic ones -- can easily exceed $200. (Repairs covered by warranty are excluded.) But GM insists it had to set a limit to protect itself from customers returning badly damaged vehicles and expecting a full refund. Gilles says the $200 limit is on the low side -- particularly when coupled with the prohibition on returning before 30 days. "You combine that with the 30 days, it's easier and easier to get $200 in damage," he says. Plus, with GM making the determination on damages, "it may appear that the cards are stacked against you." The lesson for consumers: Be extra careful during those first two months if you're thinking about returning your new ride. And no car can be returned if it's been in an accident. Q : If I keep the car free of dings, I get all my money back? A : In this case, "money back" doesn't mean all your money. Just the cost of the vehicle and sales tax. GM won't refund the title, registration and other fees, which can add up to several hundred dollars depending on your state. "It's not really unfair because otherwise you've rented the car for free for 30 to 60 days," says Terry Connolly, dean of the Ageno School of Business at Golden Gate University. GM also won't refund any accessories purchased through the dealer, like paint or rust protection, aftermarket equipment and the like. So choose those add-ons carefully if you think you might return the car. Q : What else do I need to look out for? A : Don't go on a cross-country jaunt. The new car or truck cannot have more than 4,000 miles on it. Also, owners must be current on payments. Forget buying his and hers pickup trucks. Only one return is allowed per household. In addition, leased vehicles are not covered. And GM says if you die, no refund. The program started Sept. 14 and runs through Nov. 30, which is the last day customers can take delivery of their new vehicles to qualify for a refund. Q : How does this compare with the Hyundai Assurance program? A : The Hyundai Assurance program, which the Korean automaker launched in January, also allows buyers to return their vehicle. But the key difference is a buyer is eligible only if he or she loses their source of income. In addition, the policy kicks in after two months of ownership, but is good for a year. Q : If I return my vehicle and everything is in order, will I get my old car back? A : No. According to GM spokesman Pete Ternes, dealers aren't obligated to return the car you traded in. In any case, after 30 days it's probably sitting on a used-car lot or in the hands of another driver. Instead, the dealer will treat the value of your trade-in as money toward your new car and refund you the full price, Ternes says. Q : What happens to my returned car? A : Dealers will put the returned vehicles up for sale on their used car lots. GM, through an insurer, then reimburses the dealer for any loss he or she takes on the refund. Q : How much could this program wind up costing GM? A : GM bought an insurance policy through the firm cynoSure Financial Inc. to cover the cost of any reimbursements, spokesman John McDonald says. The policy was purchased using funds from GM's marketing budget, which that automaker does not disclose. Q : With all the restrictions, why would anyone want to participate in this program? A : Several consumer experts say the hassle isn't worth it, particularly when you consider that GM is quietly offering an incentive NOT to participate. Customers who waive the return policy receive a $500 rebate toward the purchase of their vehicle. The sensible choice seems to be to settle on the car you really want and take the rebate, says Gilles of the Consumer Federation of America. "In my book, spend a little more time checking the car out and take the 500 bucks."  This posting includes an audio/video/photo media file: Download Now |
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