Thursday, September 3, 2009

Canadian Saturn dealers lose out

he Saturn brand's lack of a profitable small car and its pairing with another ailing brand in Saab in Canada helped prompt the decision to close all Canadian Saturn and Saab outlets in the next few months, according to the company that will keep the brand alive in the U.S.

Tony Pordon, senior vice-president for the Penske Automotive Group, said there were various roadblocks to a distribution deal for Saturn in Canada, but the primary one was that neither GM nor Penske would be able to offer enough small cars to make the proposition viable Canada.

Although both companies said they studied continuing the Saturn brand in Canada, Pordon defends the call to drop the Saturn brand in Canada past the end of 2009 as a joint GM Canada and Penske decision.

“To say Penske's pulling the plug on Canada, I don't think it's fair at all,” said Pordon in an interview this week. “At best, it was a joint decision.”

The memorandum of understanding PAG signed with GM in June will provide Saturn dealers in the United States with continued supplies of the Aura mid-size sedan, the Outlook full-size crossover and the smaller Vue crossover for about two years; after that Penske will arrange its own supply of vehicles to be sold at Saturn dealers, reportedly through Renault-Samsung vehicles coming from South Korea, vehicles based on shared Renault-Nissan platforms.

The compact three- and five-door Saturn Astra hatchback that's now available has gone out of production, although the Astra is still built and available in near-identical form in Europe as an Opel and Vauxhall in the U.K. Roger Penske, CEO of PAG, said the deal would save 350 Saturn dealers in the United States when the MOU was announced in June, which employed about 13,000 employees.

Many of the Canadian dealers have already jumped ship to other brands, or closed entirely, as there are now 46 Saturn dealers in the country, down from 66 in June, according to Stew Low, GM Canada's director of communications.

“As local Saturn stores cease operations, customer service, parts and warranty needs will transition to local GM dealerships,” Low said this week.

BRP expanding Spyder lineup

After making a successful market splash with its three-wheel Can-Am Spyder in North America and Europe, Bombardier Recreational Products will introduce a more comfort-oriented Spyder RT touring model for 2010.

Still looking more like a sporty snowmobile for the street than a motorcycle, Spyder riders in Canada will continue to need a motorcycle licence to drive one.

The new addition to the lineup means that the sportier Spyder now becomes the Spyder RS (roadster sport), while the new Spyder RT (roadster touring) is set to arrive in Can-Am dealers for test rides this fall, with sales beginning in the fourth quarter.

Despite only one letter separating the two designations – bike makers are even better at confusing customers than letter- and number-addicted car makers – the RT looks very different from the RS, with more car-like bodywork and windswept integrated storage areas far removed from the boxy add-ons typically seen even on factory accessories on touring bikes.

Both models will continue to offer manual and semi-automatic (clutchless) transmissions, as well as electronic stability control, ABS and roll mitigation, and will share the same 998-cc V-twin Rotax engine that produces 100 hp.

The RT will offer an optional trailer that will provide a trunk-humbling 622 litres of storage space, what the firm calls an industry-first in its segment.

The RT appeals to those more used to car-level niceties than bike ones by offering features such as cruise control, an electrically adjustable front windscreen, AM/FM stereo with full iPod integration into the handlebar and front and rear heated hand grips.

No prices have been announced yet, but it will surely be priced higher than the under$20,000 starting price of the Spyder RS in Canada.

Mercedes to launch production fuel cell

Mercedes-Benz has reminded the automotive world that electric cars are not the only enviro-friendly option out there with news that it will produce a limited number of fuel-cell vehicles, called the B-Class F-Cell, in the United States and Europe by the end of 2009.

The first fuel-cell vehicles – about 200 are planned for production – will arrive in early 2010, Mercedes-Benz said.

The vehicle will have a range of 400 km and will be powered by a fuel-cell system that transforms gaseous, pressurized hydrogen as well as oxygen into current for an electric motor.

Not only is Mercedes promising more range than any of the planned all-electric cars from mainstream auto makers, but it also says the car can be refuelled in three minutes – with the proper hydrogen pumps, of course.

The lack of those pumps is why Canada and perhaps many countries won't be seeing vehicles such as the F-Cell on the road soon, although Mercedes says it is working with governments, oil companies and other infrastructure players in California, Hamburg and Stuttgart.

BMW said to be eying Toyota iQ microcar

After the mind-bending news that Aston Martin may develop a version of Toyota's tiny iQ microcar, complete with Aston styling cues, rumours are now circulating that BMW is negotiating with Toyota for its own version of the 3+1 city car.

Both Autoexpress in England and the Inside Line website in the United States are reporting that BMW is interested in a smaller Mini, or perhaps even a revival of its tiny Isetta brand. In return, Toyota would reportedly receive rights to the upcoming Mini Coupe that was officially shown in concept form on Mini's 50th anniversary last week.

The jazzier but familiar-looking two-seater will appear later this month at the Frankfurt auto show, along with its convertible counterpart, both of which ride on current John Cooper Works mechanicals. Powered by the same 211 hp blown four, but weighing about 200 lb less without the rear seats, both are planned to go on sale around the world in 2011, according to the Inside Line report.

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