View Mobile Version | View Web Version

SPONSORED BY
 
NADA.org
April 9, 2015 FacebookTwitterFlickrRSSSEND TO A FRIENDPRINT
nada.orgAdvocacyAffiliates | Convention | Jobs | Programs | Publications | Services | Training

Inside this issue
Low Rates Will Continue to Help Auto Sales, Financing in 2015, Experts Say
When New Cars Are Unveiled, Prices Can Fall On Old Models
Regulators Find No Brake-Line Defect in Older GM Trucks, SUVs
GM Mulls $1.3 Billion Expansion of Texas Truck Plant
Fiat Chrysler to Offer $3B in Bonds to Refinance Debt
Honda Ends Crosstour, Shuffles North America Production
Click here for more auto industry news at NADAFrontPage.com. .
Top Stories
Low Rates Will Continue to Help Auto Sales, Financing in 2015, Experts Say

Interest rates should remain low for the rest of 2015, helping auto dealerships sell vehicles, experts say. “Very low interest rates have been a great boon to the auto industry,” John Humphrey, senior vice president of J.D. Power’s global automotive practice, said at the NADA/J.D. Power Automotive Forum [in New York] last week. Nariman Behravesh, chief economist at IHS, said his outlook for 2015 remains optimistic. “For the most part, for the U.S., the news is pretty good,” he said at the forum. Behravesh said he expects the Federal Reserve -- specifically the Federal Open Market Committee -- to start raising interest rates in mid-September or October and then continue to raise them “every second or third meeting” thereafter.
Source: Automotive News
Share: LinkedIn Twitter Facebook

[back to top]

When New Cars Are Unveiled, Prices Can Fall On Old Models

When auto companies roll out exciting new models like they did at last week’s New York auto show, the unveilings can sometimes push down the price of cars already on sale. Usually the immediate impact is small, according to industry analysts, but the deals can get a whole lot better once the new models hit the showrooms and the automakers try to clear the old models from dealer lots. And the extent of the impact depends on whether the latest models are significantly more appealing than the old ones because of new features or styling changes. Last week in New York, Honda unveiled a new Civic compact that looks like a European sports car, and Chevrolet showed off a new Malibu midsize car that looks like a coupe, with more legroom better gas mileage and other features that one-up the current model.

This varies by whether media coverage of the new model is unexpectedly positive or negative, and by how well automakers manage their inventories during the year, says David Wagner, senior manager for analytics with the NADA Used Car Guide. If publicity is good and customers are excited, then values on outgoing models can fall. But the decline usually is small, around 2 or 3 percent in the first several weeks of media coverage. Higher inventories also can reduce prices.
Source: The Associated Press
Share: LinkedIn Twitter Facebook

[back to top]

Regulators Find No Brake-Line Defect in Older GM Trucks, SUVs

Federal regulators closed a five-year probe into failing brake lines in older General Motors Co. trucks and sport-utility vehicles without finding a manufacturing defect, underscoring the limits of the government’s ability to intervene on safety issues even amid numerous complaints. The National Highway Traffic Safety Administration instead on Thursday is issuing a safety advisory urging owners of the vehicles and all other truck, SUV and car models more than seven years old to inspect brake lines and thoroughly wash the undersides of the vehicles to remove salt and other chemicals that can lead to corrosion over time. Regulators are taking the action instead of pursuing a recall.
Source: The Wall Street Journal

Related Story:


Share: LinkedIn Twitter Facebook

[back to top]

GM Mulls $1.3 Billion Expansion of Texas Truck Plant

General Motors is mulling a $1.3 billion expansion of its Arlington, Texas, assembly plant to boost production of big SUVs, according to documents from the city. GM assembles the Cadillac Escalade and Escalade ESV; Chevrolet Tahoe and Suburban; and GMC Yukon and Yukon XL at the plant. The company will add 1.2 million square feet of space to the factory, adding 589 jobs to the existing 3,179 jobs, the city said. The company, which is among the top 10 employers in Arlington according to the city's website, will spend $307 million on the physical expansion and $986 million on new equipment.
Source: Reuters

Related Story:


Share: LinkedIn Twitter Facebook

[back to top]

Fiat Chrysler to Offer $3B in Bonds to Refinance Debt

Fiat Chrysler Automobiles said Wednesday it will offer $3 billion in new debt, in part, to pay off or refinance other debt owed by FCA US, the company previous known as Chrysler. Fiat Chrysler Automobiles said it plans to offer $3 billion in new debt to help pay for an aggressive five-year expansion plan. The automaker said it intends to use the net proceeds from the debt offering for general corporate purposes, which could include paying off other debt held by FCA US. FCA US is the new name for the company previously known as Chrysler and is 100% owned by Fiat Chrysler Automobiles.
Source: Detroit Free Press
Share: LinkedIn Twitter Facebook

[back to top]

Honda Ends Crosstour, Shuffles North America Production

Honda on Wednesday confirmed it will discontinue the slow-selling Crosstour full-size crossover after almost five years and announced a number of production changes for more efficient assembly of its products in North America. The wagon-like Crosstour saw sales fall 30% last year to 11,800. Its demise is not a surprise. Toyota made a similar decision to discontinue its unpopular Venza.
Source: Detroit Free Press
Share: LinkedIn Twitter Facebook

[back to top]

More Articles
 
Quotable

"For the most part, for the U.S., the news is pretty good."

   -- Nariman Behravesh, IHS chief economist, commenting on his optimistic outlook for 2015 at the NADA/J.D. Power Automotive Forum in New York last week, Automotive News, April 8

Sponsored by

NADA Market Beat
February Sales Up 5.4% from Last Year
Chairman's Message
Commentary: Navigating the Maze of Federal Regulations
Videos

Warren Buffett and Larry Van Tuyl Interview
(NADA-TV)


Q&A: Warren Buffett, Larry Van Tuyl
(NADA-TV)


Buffett & Van Tuyl: Tesla Not a Threat (CNBC)



Get the Facts: The Benefits of Franchised Auto Dealers


NADA Foundation: On the Go(Pro) with Canine Companions

Webinars
April 15 -- Car Buyer of the Future

Presented by Howard Polirer, Autotrader


Explore the six steps to the car buying process and examine what customers want in the sales process. The webinar will focus on the Car Buyer of the Future study and take a look at the current shopping, buying and ownership process through the lens of 4,000 customers interviewed about their buying experiences. Register now for this webinar to prepare for the future in a dynamic car buying industry.
NADA Foundation News
University of Portland Receives Grant from the NADA Foundation

ADESA Auction Raises $40,000 for Veterans’ Canine Companions

 
Search Back Issues | Unsubscribe | Subscribe | Manage your subscription | email us
NADA For more information on NADA, visit www.nada.org or contact NADA, 8400 Westpark Drive, McLean, VA 22102. This email may contain an advertisement of NADA products and services. Any opinions or statements contained herein do not necessarily reflect the views of NADA. Factual errors are the responsibility of the listed publication. If you are a franchised new-car or -truck dealer and would like to become a member of NADA, please visit the Join NADA section of www.nada.org. Questions or comments concerning NADA Headlines content may be directed to publicaffairs@nada.org .