IAA 2011: Lancia Displays its Stars and Stripes

If anything else, and with a few exceptions such as the Ypsilon supermini, the aging Musa and theDelta compact hatchback, Lancia's range is beginning to look eerily similar to that of the Chrysler brand.
At this week's 64th International Auto Show in Frankfurt, the Italian company displayed its entire lineup including the Thema sedan, Flavia Cabrio and the Voyager MPV, which are rebadged versions of the Chrysler 300, 200 Convertible and Town & Country respectively.
The rear-wheel drive Thema will go on sale in Europe in October with a choice of V6 diesel and gasoline units. The Voyager will also reach dealerships at the same time with buyers having the option of either a 287HP 3.6-liter V6 petrol linked to an automatic transmission or a 163HP 2.8-liter Multijet diesel with a manual gearbox. .
Lancia has not yet clarified when the Flavia Cabrio will enter production, but it is believed that it will go on sale in Europe early next year. The roofless model shown in Frankfurt is equipped with a 175HP 2.4 litre petrol engine matched to a 6-speed automatic gearbox.
Even though Lancia exhibited a sedan variant at the Geneva Show earlier this year, the company decided against offering it in Europe due to the high cost of adding a necessary diesel engine option.

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Alfa Romeo Won't Come to the States Until 2013, Cancels SUV Plans

In what has become something of a joke for those closely following the Fiat Group's plans to re-introduce Alfa Romeo to the States, the Milanese firm's CEO Harald Wester told journalists in Frankfurt that the company has once again pushed back the U.S. presentation of several key models.

Wester also said that Alfa Romeo has canceled plans to build a mid-sized SUV at Chrysler Group's factory in Ohio.

In July, and following a string of delays that began in 2000, Fiat and Chrysler Group head honcho Sergio Marchionne said that Alfa Romeo would enter the U.S. market with the 4C sports car before the end of 2012, and launch a compact crossover model in 2013.

Now, Marchionne is claiming that the current debt crisis in Europe is forcing the company to reevaluate the timing of its new vehicle introductions.

"We are reviewing volumes and the timing of new products to see when it is really necessary to launch them," Marchionne said.

Under the new plan –which could very well be reassessed in a couple of months […]- Alfa will bring the 4C to the States in the first half of 2013, and the Ford Fiesta-sized MiTo hatchback in the second part of the same year.

In addition, the latest plan ditches the Jeep Liberty-based Alfa Romeo crossover and instead calls for a large rear-wheel drive sports sedan, loosely based on the next generation Maserati Quattroporte which will appear sometime after 2014.

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Brand New Chrysler Group Cars Driven at Warp Speed

While we are no strangers to offbeat incidents involving new cars and transporters, we'll admit that we've never seen anything like this – that is, if the video you're about to watch is original and has not been altered in any way as understandably, we can't be 100 per cent sure.

The clip appears to have been shot by someone standing on the top level of a double decker transporter train and it shows five allegedly brand new vehicles (all Jeep Grand Cherokee SUVs, if we're not mistaken) shooting out of the deck at warp speed.

The surroundings suggest the train is located at a parking lot terminal. Follow the break to watch the video for yourself and tell us what you think in the comments area below.

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Lancia Flavia Cabrio Coming to Frankfurt Show

The Fiat Group may have exhibited both the sedan and convertible variants of the Chrysler 200 re-branded as the Lancia Flavia at the Geneva Salon in March, but at the Frankfurt Motor Show, the Italians will only bring the open top model.
Citing inside sources from the Fiat Group,Autonews reported that only the convertible version of the Flavia will make it into production as the cost of adding an essential diesel engine wiped out the business case for the sedan model in Europe.
Fiat insiders claim that while the absence of a diesel option would kill any chances of success for the saloon, the convertible can attract buyers with a gasoline-engine only.
At the Frankfurt show, the Lancia Fulvia Convertible will be displayed with a 2.4-liter gasoline engine that generates 175-horsepower and is hooked up to a 6-speed automatic transmission.
Lancia said that its version of the Chrysler 200 Convertible comes with a "wealth of standard equipment" including leather upholstery, electronic stability control (ESC) and traction, numerous airbags (front multi-stage, side and window bags), the Uconnect multimedia system complete with satellite navigation system, and a “Boston Acoustic Sound System.

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25% of Americans Couldn’t Afford a US$2,000 Car Repair Bill

The former American Automobile Association, now known by its acronym AAA, is probably the most recognisable organisation of its type in the world.
And with some 52 million members, it’s also one of the world’s largest if not the largest automobile associations in the world.
Suffice to say, when the AAA speaks, the world listens. In a recent telephone survey of 1,009 adults in the continental United States, the AAA found that 12.5% couldn’t cover a US$1,000 (€701) car repair bill and 25% couldn’t cover US$2,000 (€1,402) car repair bill.
Additionally, 50% of those surveyed are holding on to an older vehicle until the economic climate improves and 25% have neglected repairs or basic maintenance on those vehicles over the last twelve months. Doing so, the AAA says, can greatly increase the risk of major and costly repairs.
Marshall L. Doney, AAA’s VP for Automotive and Financial Services explains:
“Economic conditions have taken their toll on many Americans resulting in them neglecting their cars and leaving them at increased risk for very expensive repair bills. Many Americans rely on their cars for their livelihood and losing access to them could be financially devastating during an already troubling economic time."
"It’s important for drivers to not only continue to maintain their vehicles, but also have a financial emergency plan in place should they be faced with a sudden unexpected auto repair bill,” continued Doney.
Of those who can afford the US$2,000 repair bill, 38% said they would pay with their savings account, 20% said they would pay by credit card and 11% would have to borrow money from friends, family, their retirement fund or home equity to pay it.
Things are a little less grim for those can afford the US$1,000 bill. 46% said they would pay with their savings account, 22% would pay with their credit cards and 14% would need to borrow money.
Such bills are not unheard of with older vehicles, especially those that have been mistreated or improperly maintained. A transmission repair can cost anywhere from US$2,000 (€1,402) to US$4,000 (€2,804) and engine repairs can exceed US$5,000 (€3,506).
Similarly, major brake repairs or a new set of tires can pull US$300 (€210) to US$1,000 (€701) depending on the make and model.
All in all, the AAA survey should give owners of older vehicles something to think about in the coming months or years of ownership.

 

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Nearly 300,000 Chrysler and Dodge Minivans Recalled Over Airbag

The Chrysler Group has issued a recall on 299,718 Dodge Grand Caravan and Chrysler Town & Country minivans from the 2008 model year to fix a problem that could cause the airbags to deploy unexpectedly.

The automaker said that the issue is related to the Occupant Restraint Control (ORC) modules that controls the airbags. According to Chrysler, the OCR module may have been exposed to moisture. If this happens, it could lead to the airbag warning light going on while in some cases, the airbag could deploy for no reason.
Chrysler had previously recalled the same batch of vehicles in January of 2011 to replace the Heating, Ventilation and Air Conditioning (HVAC) drain grommet, which had the potential to leak moisture into the area of the ORC module.
The company said that its engineers determined that "that the printed circuit board in ORC modules previously exposed to moisture could delaminate over time, despite the elimination of the source of prior moisture".
The Detroit automaker added that it is unaware of any accidents or injuries related to the condition in vehicles that have had the prior recall completed.
“Despite the lack of field reports, we believe it is in the best interest of our customers to replace these modules to ensure the proper functionality of the minivan’s advanced safety system,” said David Dillon, Head of Product Investigations and Campaigns.
The majority of the affected minivans were sold in the United States, but Chrysler said there are also 50,251 vehicles in Canada; 3,748 vehicles in Mexico, and 13,633 export models.
The company will begin sending letters to the owners of the affected models in September to schedule an appointment with dealers to replace the OCR modules free-of-charge.

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Marchionne Says 54.5 mpg “Doable”, Hints at Retirement

Chrysler and Fiat CEO Sergio Marchionne gave a speech today at the 2011 CAR Management Briefing Seminars. He quoted philosopher Albert Camus, talked about the reason geese fly in a V formation (they create uplift for those that follow, thus extending their range by 70%) and even used an excerpt from Alice in Wonderland, specifically a dialogue between Alice and the Queen in “Through the Looking Glass”.

Marchionne did all this to convey the message that he feels vindicated. For effectively taking over Chrysler, for receiving the bailout money when most were skeptical or openly opposed it (and paying them back six years before schedule) and for wanting to merge the American group with Fiat.
The Group's CEO explicitly stated that the US administration’s proposed 54.5 mpg by 2025 is “very doable”. He cited the example of the new Chrysler 300 full-size sedan, which is rated at 31 mpg on the highway. Although it is a far cry from the proposed targets, he said that the automotive industry has 14 years to utilize current and future technology and thus should have no trouble conforming to the 54.5 mpg target.
Marchionne believes that Chrysler is on the right track, having presented “16 all-new or significantly refreshed products” and that the integration of the two management teams was inevitable.
He also warned his audience about the rise of China “which cannot be ignored. It is the largest car producer in the world. If it exported even 10% of this production, the risk we face at our home markets is enormous”. He also hinted at his own retirement, saying that Chrysler’s future “is up to guys after me… after 2015 or maybe a year later”.
Last, but not least, Marchionne revealed later, at a radio show, that his everyday car is a “black on black” Dodge Charger SRT8. Not a “green” car, but not a bad choice at all. After all signore Marchionne and his team have 14 years ahead of them to make even the SRT comply with the new rules.

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Marchionne Merges Fiat and Chrysler Group

Sergio Marchionne, the CEO of Fiat and Chrysler, has announced the unification of the two automakers’ management teams in one, smaller unit. As Fiat said in a statement, from September 1, the group will have four regional managers for both companies’ operations in Europe, Asia, North America and South America.
These regional chiefs, along with Marchionne himself, and other 17 managers will form a “group executive council". Not surprisingly, Fiat execs dominate the new consolidated management team, with 14 people sourced from the Italian-based carmaker and only five from Chrysler.
Until now, the executives of both companies have worked together in all industrial functions like engineering, design, manufacturing, quality control etc. Marchionne has admitted that he aims to merge the two groups in order to reduce costs and increase their revenue to $140 billion (€100 billion) ‘till 2014.
In comparison, last year Fiat and Chrysler’s combined revenue was $81.47 billion while production reached 3.58 million units. Marchionne’s grander plan is to create a global group strong enough to compete against the biggest names in the industry such as VW, Ford, GM and Toyota.

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More American Car Buyers Opting for 4-Cylinder Over V6 and V8 Engines

Once upon a time, in the land of the free and the home of the brave, most consumers liked their cars with six- or eight-cylinder engines. Blame the rising costs of fuels or advances in technology, but now, American buyers are turning to smaller 4-cylinder units in increasing numbers.

According to a report from IHS Automotive, in the first half of the year, more than 43% of the light vehicles sold in the US were equipped with four-cylinder engines, compared to just 30% five years ago.
It was the opposite in 2006, when V6s had a 43% market share. In the meantime, four cylinders’ sales rose and those of six-cylinders declined, with the former overtaking the latter in 2009. The V8 is losing ground even faster: its sales account for one in every six vehicles, whereas in 2005 that number was one in three.
The four-cylinder domination is even bigger if you do not take into account fleet sales, where many vehicles are trucks or vans with V6 or V8 engines.
The choice of fewer cylinders in new cars is explained by the downsizing trend, due to the increasing oil prices and the manufacturers’ efforts to build more fuel-efficient cars in order to meet the 35.5 mpg average consumption target set by the government for 2016.
For example, Ford’s new Ecoboost turbocharged four-cylinder coupled with six-speed transmission as standard has been introduced in many new models in its US line-up.
In addition, sales of smaller vehicles in the US are increasing, with small and mid-size sedans accounting for 44% of sales in 2001, compared to 36% six years ago.

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2011 Chrysler 300 gets into the Limo Business

Even though Chrysler’s new 300 is being marketed as a more elegant and mature proposal than its predecessor, that doesn’t mean it won’t garner the same amount of attention from extreme tuners, rappers, professional athletes and of course, your occasional limo builder, as the previous model did.
Only a few months after it hit U.S. showrooms, and we have if not the first, at least one of the first stretch limousine transformation of the 2011 Chrysler 300.
It is based on the 3.6-liter V6 model and is virtually brand new having clocked only 71 miles.
As the seller notes on eBay, it comes with “all the bells and whistles”, which translates to a 140-inch stretch, more LEDs than you can possibly count, laser lights and the compulsory disco floor.
If you’re interested, it could be yours for $78,500 (Buy it Now price).

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