BREAKING: Penske Terminates Discussions with GM on Saturn After Failing to Agree with Third Party Automaker

This just in; Saturn will soon be history as Penske Automotive Group (PAG) announced today that it has ceased discussions with General Motors to buy the nameplate, ultimately sealing the fate of the brand. The automotive retailer said that it terminated the talks not because of a disagreement with GM, but due to concerns related to the future supply of vehicles beyond the agreed period it had negotiated with the Detroit maker.

In particular, Penske had negotiated a deal with General Motors to source its vehicles on a contract-manufactured basis for a specific period of time, after which, the company would source vehicles from another maker under a similar contract-manufacturing agreement.

Penske said that it had negotiated the terms and conditions of an agreement with another manufacturer (not GM, a third party), however as it turned out, the unnamed manufacturer's board of directors rejected the agreement.

"Without that agreement, the company has determined that the risks and uncertainties related to the availability of future products prohibit the company from moving forward with this transaction," said Penske in a prepared statement.

GM said that it just learned about Penske's decision to terminate talks noting that the news is "very disappointing" and that it "comes after months of hard work by hundreds of dedicated employees and Saturn retailers who tried to make the new Saturn a reality."

"As a result of PAG's decision, we will be winding down the Saturn brand and dealership network, in accordance with the wind-down agreements that Saturn dealers recently signed with GM. Pursuant to the terms of those agreements, the wind down process will be determined and communicated shortly," said GM's President and CEO, Fritz Henderson.

General Motors said that Saturn customers and owners will continue to be able to buy and service their vehicles at Saturn retailers during this process while when the wind down is complete, they will be able to service their cars at other GM dealerships.

"Today's disappointing news comes at a time when we'd hoped for a successful launch of the Saturn brand into a new chapter. We will be working closely with our dealers to ensure Saturn customers are cared for as we transition them to other GM dealers in the months ahead. I'd also like to thank every GM employee and Saturn retailer who worked so hard to try to make this new beginning happen for Saturn," said Henderson.

1:55 PM | 0 comments | Read More

BREAKING: Penske Terminates Discussions with GM on Saturn After Failing to Agree with Third Party Automaker

This just in; Saturn will soon be history as Penske Automotive Group (PAG) announced today that it has ceased discussions with General Motors to buy the nameplate, ultimately sealing the fate of the brand. The automotive retailer said that it terminated the talks not because of a disagreement with GM, but due to concerns related to the future supply of vehicles beyond the agreed period it had negotiated with the Detroit maker.

In particular, Penske had negotiated a deal with General Motors to source its vehicles on a contract-manufactured basis for a specific period of time, after which, the company would source vehicles from another maker under a similar contract-manufacturing agreement.

Penske said that it had negotiated the terms and conditions of an agreement with another manufacturer (not GM, a third party), however as it turned out, the unnamed manufacturer's board of directors rejected the agreement.

"Without that agreement, the company has determined that the risks and uncertainties related to the availability of future products prohibit the company from moving forward with this transaction," said Penske in a prepared statement.

GM said that it just learned about Penske's decision to terminate talks noting that the news is "very disappointing" and that it "comes after months of hard work by hundreds of dedicated employees and Saturn retailers who tried to make the new Saturn a reality."

"As a result of PAG's decision, we will be winding down the Saturn brand and dealership network, in accordance with the wind-down agreements that Saturn dealers recently signed with GM. Pursuant to the terms of those agreements, the wind down process will be determined and communicated shortly," said GM's President and CEO, Fritz Henderson.

General Motors said that Saturn customers and owners will continue to be able to buy and service their vehicles at Saturn retailers during this process while when the wind down is complete, they will be able to service their cars at other GM dealerships.

"Today's disappointing news comes at a time when we'd hoped for a successful launch of the Saturn brand into a new chapter. We will be working closely with our dealers to ensure Saturn customers are cared for as we transition them to other GM dealers in the months ahead. I'd also like to thank every GM employee and Saturn retailer who worked so hard to try to make this new beginning happen for Saturn," said Henderson.

1:55 PM | 0 comments | Read More

Tokyo '09: Subaru Exiga 2.0GT Turbo 7-Seater MPV Tuned by STI

There are very few things one can do to make Subaru's crossover-MPV-station wagon-thingamajig more pleasing to the eye. It's not that it's horrifically ugly or anything, it's just that it's boring to the point of being annoying... Even Subaru's highly praised STI department seems to have had a difficult job in making the seven-passenger Exiga look more interesting. Then again, STI's cosmetic enhancements on the 2.0 GT Turbo model appear to be limited to a front lip spoiler, side skirts, the new alloy wheels and exhaust tips.

The Japanese automaker's Spartan press release notes that that the STI-prepped Exiga 2.0 GT Turbo has also received some minor interior upgrades while the under the skin, the vehicle's chassis has been "fine-tuned" to further improve handling. The 'Exiga Tuned by STI' is scheduled to go on sale in Japan after the Tokyo Motor Show.

1:05 PM | 0 comments | Read More

Tokyo '09: Subaru Exiga 2.0GT Turbo 7-Seater MPV Tuned by STI

There are very few things one can do to make Subaru's crossover-MPV-station wagon-thingamajig more pleasing to the eye. It's not that it's horrifically ugly or anything, it's just that it's boring to the point of being annoying... Even Subaru's highly praised STI department seems to have had a difficult job in making the seven-passenger Exiga look more interesting. Then again, STI's cosmetic enhancements on the 2.0 GT Turbo model appear to be limited to a front lip spoiler, side skirts, the new alloy wheels and exhaust tips.

The Japanese automaker's Spartan press release notes that that the STI-prepped Exiga 2.0 GT Turbo has also received some minor interior upgrades while the under the skin, the vehicle's chassis has been "fine-tuned" to further improve handling. The 'Exiga Tuned by STI' is scheduled to go on sale in Japan after the Tokyo Motor Show.

1:05 PM | 0 comments | Read More

Audi Showcases A5 Coupe Prototype with Aluminium Body, Weighs 110kg / 240 lbs Less than the Regular Model

Making further use of its aluminium Audi Space Frame (ASF) concept, Audi has presented a special A5 Coupe prototype that has sheds 110kg or 240 pounds over the standard steel-bodied production car with a 2.0-liter TFSI. This was achieved by swapping steel for advanced aluminium and carbon fibre construction. Audi says that the aluminium A5 prototype has a kerb weight of 1,310kg (2,888 lbs), versus a total of 1,420kg (3,130 lbs) for the equivalent steel-bodied series production model.

This means that with the 211HP 2.0-litre turbocharged FSI engine, the A5 Prototype achieves a power-to-weight ratio of 161HP per tonne. For comparison, the 'standard' A5 Coupe 3.2 FSI V6 quattro with 265HP that weighs in at 1,540kg, is only slightly better at 172PS per tonne.

"The lightweight design of the test car not only enables a smaller engine to supplement a larger one with no impact on performance and gains in economy and emissions, but also has a knock-on effect on ancillaries such as the brakes and transmission, which can also be reduced in size and weight," said Audi.

"It also enables the car to change direction noticeably more keenly and nimbly and, thanks to the reduction in unsprung weight, to ride with even more refinement," the company added.

Even though the aluminium A5 Coupe Prototype isn't intended to make production, we suspect that the next generation model will most likely benefit from this lightweight concept.

12:36 PM | 0 comments | Read More

Audi Showcases A5 Coupe Prototype with Aluminium Body, Weighs 110kg / 240 lbs Less than the Regular Model

Making further use of its aluminium Audi Space Frame (ASF) concept, Audi has presented a special A5 Coupe prototype that has sheds 110kg or 240 pounds over the standard steel-bodied production car with a 2.0-liter TFSI. This was achieved by swapping steel for advanced aluminium and carbon fibre construction. Audi says that the aluminium A5 prototype has a kerb weight of 1,310kg (2,888 lbs), versus a total of 1,420kg (3,130 lbs) for the equivalent steel-bodied series production model.

This means that with the 211HP 2.0-litre turbocharged FSI engine, the A5 Prototype achieves a power-to-weight ratio of 161HP per tonne. For comparison, the 'standard' A5 Coupe 3.2 FSI V6 quattro with 265HP that weighs in at 1,540kg, is only slightly better at 172PS per tonne.

"The lightweight design of the test car not only enables a smaller engine to supplement a larger one with no impact on performance and gains in economy and emissions, but also has a knock-on effect on ancillaries such as the brakes and transmission, which can also be reduced in size and weight," said Audi.

"It also enables the car to change direction noticeably more keenly and nimbly and, thanks to the reduction in unsprung weight, to ride with even more refinement," the company added.

Even though the aluminium A5 Coupe Prototype isn't intended to make production, we suspect that the next generation model will most likely benefit from this lightweight concept.

12:36 PM | 0 comments | Read More

Tokyo '09: Subaru Impreza WRX STI A-Line with Carbon Roof and... 5-Speed Auto

For most enthusiasts, all-interest in the new Impreza WRX STI A-Line Carbon that will premiere at the Tokyo Show is probably lost upon reading the words "5-speed auto" but apparently Subaru figures that there's a crowd out there that's interested in a high-performance sport hatch with an automatic transmission. Bizarrely, the Legacy-sourced auto box in this model is combined with a carbon fiber roof that Subaru says helps reduce weight and lower the center of gravity for improved handling and performance. The two together don't make much sense, but whatev.

In addition, the special edition model's interior has been dressed in a suede fabric that covers most parts of the cabin including the dashboard top and the Recaro bucket seats.

The new Subaru Impreza WRX STI A-Line Carbon is scheduled to go on sale in the Japanese market sometime after the show.

11:57 AM | 0 comments | Read More