News Archive

Hamtramck, Michigan - Sitting U.S. Presidents are chauffeured pretty much everywhere they do not drive. So it was both spontaneous and special when President Barack Obama stepped into a black Chevrolet Volt just over a week ago, and took the shortest of test drives - about 12m.

"Pretty smooth," the President said as he stepped out of the Volt to resume his tour of the Detroit-Hamtramck assembly plant. The impromptu drive occurred after consultations among the Secret Service and Press Secretary Robert Gibbs, who said he hoped the Volt had an air bag. In fact, it has eight air bags.

Gibbs confirmed it was a highly unusual, though not unprecedented, opportunity for Obama. The President last drove a private vehicle three to four months ago at a Secret Service training facility.

During remarks at the plant, Obama referred to his other car, a specially built Cadillac limousine.

"Now, I have to tell you some of you saw me drive a Volt about 30cm. They don't let me drive much these days," Obama said. "But the Cadillac that I drive in is made right here. I got to admit the Secret Service soups it up a little bit."

It's the offer you thought you'd never hear: if you're not satisfied with your new car purchase, bring it back and be reimbursed, without any need for justification.

But this is what Renault South Africa is now offering its customers. The opportunity to return a new vehicle purchase, should they not be completely satisfied, regardless of the reason. The campaign is the first of its kind in the local market.

The premise of the Satisfied or Reimbursed campaign is unambiguous: if, for whatever reason, a customer is not satisfied after purchasing a new Renault, bring it back within 30 days, and Renault will reimburse the purchase price. Terms and conditions apply, but there are no hidden clauses, and the offer is discussed in detail with prospective buyers to ensure complete transparency.

The Satisfied or Reimbursed campaign is the most resolute expression to date of Renault's supreme confidence in its range of products, and its ability to deliver improved sales and after-sales service and support.  

This bold campaign follows on Renault's equally provocative 'So You Wouldn't Buy A Renault' campaign, which challenged perceptions about the brand and its products. That campaign not only created a stir in marketing circles, but also had a very real, positive impact on customer perceptions.

"The Satisfied or Reimbursed campaign demonstrates our unequivocal confidence in the Renault brand, its products and the services we offer," says Xavier Gobille, managing director of Renault SA.  
 
The Satisfied or Reimbursed campaign started on the 5th August.

Full details are available on the Renault SA website at www.renault.co.za.

Fiat Group Automobiles South Africa was one of only two brands to achieve the highest accolade - Gold - in this year's prestigious Dealer Satisfaction Index released by NADA, the National Automobile Dealers' Association.
 
The Gold award recognises Fiat as a leader in terms of being the most customer- and investor-friendly motoring brand currently in South Africa. The DSI survey, which covers over 1000 dealers across 37 brands, is fitting acknowledgement of the significant amount of work that the Fiat Group in conjunction with its dealer network has put into changing its local brand perception over the last few years. (In 2008 Fiat achieved a bronze in the DSI survey and a silver in 2009.)

Oscar Rivoli, Managing Director of Fiat Group Automobiles SA, commented: "This achievement demonstrates the value that can be found in a brand like Fiat which is most fortuitous for us at this time, since we are right now actively pursuing the expansion of our dealer network."

One of the highest scores achieved was in the area of product range. This is directly attributable to an aggressive roll-out of new models that kicked off late last year with the re-engined 1.4 Strada LCVs to the refreshed Fiat 500 range which now comprises four versions - the 1.4 Cabriolet, 1.4 MTA Sport, 1.4 Pop and the eco-friendly new 1.2 (with CO2 emissions of just 119g/km this model falls under the new 120g tax threshold).

According to Oscar the parts section was another highlight: "This is one area of our business where we have really driven the process to reach a position where we are amongst the best in the country and it's obviously paid dividends - the highest score was achieved by Fiat in this category, leading the Lexus brand marginally."

Zhejiang Geely Holding Group Co Ltd ("Geely Holding Group"), one of the fastest-growing car manufacturers in China, today announced it has completed the acquisition of 100 per cent of Volvo Car Corporation ("Volvo Cars") from Ford Motor Company. 

Geely also announced that Stefan Jacoby, the Chief Executive of Volkswagen Group of America, would become President and Chief Executive Officer of Volvo Cars.
 
Li Shufu said: "This is a historic day for Geely, which is extremely proud to have acquired Volvo Cars.  This famous Swedish premium brand will remain true to its core values of safety, quality, environmental care and modern Scandinavian design as it strengthens the existing European and North American markets and expands its presence in China and other emerging markets."
 
As announced on the signing of the stock purchase agreement on 28th March, 2010 Geely has agreed to pay USD 1.8 billion for Volvo Cars, which included a USD 200 million note with the balance paid in cash.
 
Geely issued the note and paid USD 1.3 billion in cash for Volvo Cars, utilising financing from Chinese institutions and its own balance sheet as well as international capital market resources. 

Under the new ownership, Volvo Cars will retain its headquarters and manufacturing presence in Sweden and Belgium; and its management will have the autonomy to execute on its business plan under the strategic direction of the board.

As part of the transaction, Volvo and Ford will maintain close component and supply relationships, ensuring continuity in areas where they provide supply to each other.

The Geely Chairman added that Mr Stefan Jacoby will succeed Stephen Odell as Volvo Cars' President and Chief Executive, taking up his role on 16th August, 2010.

Hans Oscarsson, deputy Chief Financial Officer, will become acting CFO of Volvo Cars, replacing Stuart Rowley.  Mr Odell and Mr Rowley are moving to leadership roles at Ford of Europe.

For Volvo Car South Africa it will be business as usual at our head office and in our dealer network and we can reassure our Volvo owners and potential owners that they will not be affected by the sale. Geely values Volvo's approach to business and quality, and as such will protect this strongly.

About Zhejiang Geely Holding Group Co Ltd
Zhejiang Geely Holding Group Co Ltd was founded in 1986 with its headquarters in Hangzhou, China. Zhejiang Geely Holding Group and its associated companies have established operations that span the automotive value chain, from research, development and design to production, sales and servicing. They are a fully-integrated independent auto manufacturer producing cars, engines and transmissions. Today, they are one of China's fastest growing automotive manufacturers, as well as the industry's leading privately held group.

The World Cup is long gone; schools are in full swing and everyone is back at work. Road users are once again faced with the awful reality of traffic, road rage, car crashes and lack of discipline on the road. Let's go back for a minute to the past two months and the lessons we learnt that we can take with us.

"Over the World Cup, we saw a shift in driver behaviour; people were more tolerant on the roads in light of welcoming the world and setting a good example. We saw that we really can exhibit exemplary time management on our roads, coupled with effective car pooling and a broad awakening to that incredible thing called public transport," says Gary Ronald, Head of Public Affairs at the AA.

Public transport is something that we need to adopt as a long-term plan, shifting our mindset to accommodate travel by bus, Metro Rail and options like the Gautrain. The World Cup has shown that our public transportation system is adequately efficient to handle increased volumes of passengers and that perhaps the issue is more about safety and visible policing than getting from point A to B.

There is huge pressure on our roads infrastructure with a drive to build more lanes to handle the traffic volumes that we currently see. However, with the growth of infrastructure we see a further increase in the number of cars on the roads and traffic volumes do not seem to go down.

"The solutions lie in the development of public transport and an increasing trend for motorists to opt for two wheeled transport, but South Africans are slow to take either option and loathe to leave the comfort of their vehicles at home," says Ronald.

Safety and enforcement have always been stumbling blocks in the successful implementation of public transport initiatives and for many motorists, the idea of public transport is too daunting.

"Getting the right systems in place, with proper enforcement and zero tolerance to reckless behaviour on the road will see us trusting public transport systems more, alleviating traffic congestion and having better traffic management systems," Ronald said.

The Volkswagen Golf 1.4 TSI 90 kW Comfortline has been named as the 2010 South African Guild of Motoring Journalists (SAGMJ) Car of the Year.

"To say that we are delighted with the 2010 Car of the Year Award bestowed upon Golf would be an understatement. We are absolutely thrilled. It is a tremendous honour for Volkswagen to have its global icon and best selling model, the Golf, named as the South African Car of the Year. Volkswagen believes that the sixth generation Golf is the best Golf ever," said David Powels, Managing Director of Volkswagen of South Africa.

The Golf, a perennial favourite within the Volkswagen Brand stable, has sold more than 26 million units (over 300 000 units in South Africa) in 120 countries, making it one of the top selling vehicles of all-time.

The new Golf has been designed to be quieter, sportier, more fuel and emission efficient and present a clean, distinctive appearance.

In 2009, the sixth generation Volkswagen Golf and TSI engine were also honoured with the World Car of the Year and International Engine of the Year Awards respectively. In addition, the Golf received the ultimate Euro NCAP Award - the safest car of the Year, scoring 36 out of a possible 37 points.

"The Golf remains the benchmark in its segment around the world," added Powels.

The internet dashboard, or 'infotainment system' is the next in-car device that could cause a major distraction to drivers, says the IAM (Institute of Advanced Motorists).

Intel and Google are both looking into interactive dashboards, including 10-inch screens above the gearstick which will show 3D maps, web pages and even videos. Other similar systems are being previewed at trade shows.
Peter Rodger, IAM Chief Examiner, said: "If drivers were tempted to use the internet or watch videos on the move, the results could be deadly,"

"If it's not acceptable to read a novel while driving, how can it be acceptable to read a multimedia display? Just how much information can a car driver absorb and still drive responsibly?

"There is a fine line between providing useful extra information and causing a dangerous distraction. This system appears to cross that line," Mr Rodger added.

"Viewing things like restaurant reviews and venue information online while driving should be illegal, and it should be an offence to buy, sell, fit and transmit information for this particular use."

The systems are not designed to be used on the move, but not all systems will be impossible to use while driving. One car manufacturer's version, due out this autumn, bears the notice: "Please only use the online services when traffic conditions allow you to do so safely."

"It should be made clear that the system should only be used when the vehicle is parked," Mr Rodger commented.

Renault has decided to maintain its commitment to Formula One and welcomes the perspective of a strategic partnership with Genii Capital; a Luxemburg-based firm specialising in new technologies, brand management and motor sport.

Following the proposed sale of a large stake of Renault F1 Team to Genii, both partners will operate the team together. The letter of intent signed by the two companies should be concluded in early 2010.

In 2010, Renault F1 Team will retain its name, its identity and the core ingredients that led to the successes achieved in 2005 and 2006. The team will continue to be supplied with engines by its sister company in Viry-Chantillon, Paris, which is also pleased to have received a renewed commitment from Red Bull Racing for the 2010 season.

After 35 years in the sport, Renault today announces a new phase for its F1 programme, consistent with Formula One’s drive for cost efficiencies. Formula One remains one of the biggest sporting spectacles in terms of annual television audiences and media exposure. 

Bernard Rey, Renault F1 Team President, said: "I am delighted to welcome Genii Capital as our new strategic partner as I am sure that their enthusiasm and business expertise will create a new dynamic for the team, the staff, and our partners. Altogether, we look forward to competing again at the highest level in Formula One.

"Today's announcement also confirms Renault's commitment and trust in the sport's governing bodies to improve the green credentials of Formula One."

Renault believes in the positive impact of promoting relevant technologies in synergy with its product plan. "With the ongoing evolutions of the Formula One regulations, Renault will be able to entertain its fans, while promoting a leaner and sounder Championship. We will show Renault's skill when it comes to developing high-performance, fuel-efficient cars" said Bernard Rey, Renault F1 Team President.

The important cost reduction measures, made possible by the collective work within FOTA, have already improved significantly the operating cost base. With the anticipated sale of a stake in its F1 operational base at Enstone to Genii Capital, Renault achieves today another step that will definitely bring F1 participation to an affordable level for the Group. In addition, the new partnership will contribute to procuring the team the resources to compete sustainably at the highest level, and creates a great opportunity to modernise its governance.

Cape Town - A bill passed on Wednesday by the National Assembly will allow drivers' licences to be suspended for excessive speeding. The National Road Traffic Amendment bill fixes a limit of 30km/h above the limit in an urban setting at which the uspension will kick in.

On a rural highway a licence will be suspended if the driver goes faster than 40km/h above the limit. The bill also lays down rules to be nationally observed by the traffic police. They include the wearing of name badges.

Don't get annoyed with pump attendants if your petrol card payment takes longer than usual. The Payments Association of South Africa, which regulates all banking transactions, has limited petrol card payments to R350 per transaction in an effort to combat fraud and overspending.

Peter Noke, national director of the SA Petroleum Retailers' Association, said any spending above the limit has to be approved by the bank first. It could take a couple of minutes and he asked motorists to be patient. "We receive complaints about stolen, cloned and misused petrol cards every day," Noke said. "It's not the trader's fault if the transaction is delayed."

Peter Morgan, chief executive of the Fuel Retailers Association, also said that the limit has nothing to do with the owners of petrol stations. According to him, banks do not prescribe how clients have to identify themselves to prove that a petrol card belongs to them. "However, if the situation looks suspicious, the petrol station owner can take action

Porsches, Dodge Vipers, Ford Mustangs, Chevrolet Corvettes, Lamborghinis... All these cars appear on a list of vehicles that Cape Town traffic officials would like as patrol vehicles.

The Mother City's traffic officials reckon their current patrol cars, which include old cars such as Nissan Sentras and Toyota Camrys, are not up to standard when compared to those used in other cities around the globe. Therefore a search has begun for companies that are willing to help the traffic department to make this dream come true.

At the monthly meeting of the Portfolio Committee on Safety and Security on Thursday Heathcliffe Thomas, the head of Cape Town's traffic department, showed one photo after the other of other countries' flashy patrol cars. "We have to have world standards," says Thomas. In Italy and the UK law enforcement officials use Lamborghini Gallardos, while Hummers patrol the streets in China and the US.

Other hot wheels that are a favourite among US traffic officials are Dodge Vipers, Ford Mustangs and Corvettes. Some of these cars have a 0-100km/h acceleration time of below five seconds, while it takes Cape Town patrol cars 13.5 seconds. "We want to find a way to acquire vehicles in this category," Thomas said. The portfolio committee's chairperson JP Smith of the DA pointed out that these kinds of super cars could motivate traffic officials. Smith said it is not necessary to always buy at the lowest end of the scale. However, the luxury vehicles will only be bought if there are private sponsorships for them.

 

Top Gear has become a global phenomenon and, just as the series is about to expand to the US, the BBC has tightened its grip on Jeremy Clarkson.

Clarkson is one of the BBC's top paid presenters. However, in a bid from the broadcaster to keep him happy its commercial arm, BBC Worldwide, has taken a 50% stake in a production company controlled by Clarkson and Top Gear executive producer Andy Wilman. According to The Guardian newspaper their production company, known as "Bedder 6", will concentrate on expanding and exploiting the Top Gear brand around the world.

The Guardian reports that Bedder 6 will control and promote Top Gear merchandising and other commercial ventures. That should include much of what goes on with any production and/or distribution of Top Gear in the US too. Furthermore the newspaper says that the deal incentivises Clarkson and Wilman to become involved in growing the Top Gear brand globally. Top Gear is BBC Worldwide's third-highest grossing show, just behind Doctor Who and Planet Earth. Allegedly the deal was crucial to keep Clarkson with the programme. In short, the better Top Gear does worldwide, the more money Clarkson will be getting.

 

Insurance claims by victims of vehicle theft and hijacking are being rejected because owners fail to install the alarm, immobiliser or tracking device required by their policy conditions.

Brian Martin, South African ombudsman for short-term insurance, has reported a "significant" number of complaints from vehicle owners about such claim rejections. "Vehicle owners must acquaint themselves with their insurer's requirements for theft and hijack cover. The insured person must make sure stipulated devices are fitted." People buying cover from a direct marketer - perhaps by phone - must, Martin said, be given a general explanation of the principles of the relevant contract and any information that could reasonably be expected to enable that person to make an informed decision.

"Any particular requirements or restrictions relating to theft cover should be drawn to the attention of a prospective policyholder by the insurer but the onus remains on the policyholder to make sure they comply with the insurer's requirements and conditions.
Reprinted by kind permission of Toyz Autohouse

A 20-year-old man has been accused of breaking into a small airport and trying to fill up his car's petrol tank with aviation fuel. "Other people have tried to steal fuel here," said Jim Meide of Reid-Hillview airport in San Jose, California. "It's really stupid; aviation fuel is so heavily leaded that eventually your engine valves will warp and you'll end up with some very expensive repairs".

The suspect was arrested Sunday night on suspicion of driving while intoxicated and attempted theft - but he probably wasn't trying to save money. The aviation fuel in the pumps used for aircraft and race cars was going for $6 a gallon - almost half as much again as normal petrol - and could only be accessed with a credit card. "Sometimes," Meide said, "these people have the notion that since it's racing fuel it'll make their car go faster." Airport officials are investigating the security breach. -Sapa-AP

New vehicle sales declined 20 percent from a year earlier last month despite a host of incentives being available to buyers.

Brand Pretorius, the executive chairman of McCarthy Motor Holdings, which represented 30 brands through its 126-dealership network, said yesterday that sales incentives were now almost the norm rather than the exception.

"New vehicle sales are currently artificially stimulated by some of the most aggressive marketing and sales campaigns in recent history," he said. "Spontaneous demand for new vehicles is considerably lower than what the declared sales figures are reflecting."
 
He said popular incentives were subsidised interest rates, a deferred first instalment, very attractive cash-back discount and heavy over-allowances on vehicle trade-ins.

The National Association of Automobile Manufacturers of SA said new car sales fell 19 percent from a year earlier to 26 015 units. Sales of light commercial vehicles, bakkies and minibuses fell 23.5 percent to 13 164 units. Medium commercial vehicle sales dropped 24 percent to 1 058 units.