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Aston Martin electric supercar might be in the works

Aston Martin could develop a lightweight battery-electric sports car in line with the Tesla Roadster as part of the British brand's shift towards hybrids and electric vehicles. CEO Andy Palmer told Auto Express the company is considering a pure-electric car that's smaller than the Vantage but faster and more expensive, taking aim squarely at the Roadster. "There are various challenges involved in making an EV, and the one everyone focuses on is the battery — the management system and the chemistry involved," Palmer said. He added: "The interesting thing is that the other three components of any electric car — weight, aerodynamic drag and rolling resistance — are areas sports car manufacturers, and us in particular, are really good at mastering. That puts us at an advantage over other brands who are making some big claims — such as Tesla, with a lightweight roadster. I think we could be in that space relatively easily." Aston Martin is building only 155 examples of its new RapidE, its first electric car due for launch in 2019, which will cost $255,000. It's also developing an electric version of its DBX crossover for 2019. More broadly, Palmer has said the brand plans to convert its entire six-car lineup to hybrid powertrains by the middle of the next decade, with 25 percent of its vehicles fully electric by the end of the 2020s. It recently unveiled an all-new Vantage, which it expects to price somewhere south of $150,000. Palmer also told Auto Express that Aston's coming hybrids will use 48V technology — but they won't be plug-in hybrids, which he says add complexity and costs. They could also pave the way for a six-cylinder Aston. "I have no objection to the principle of engines that are smaller and in a V configuration, in fact, but inline four-cylinder or three-cylinder units? No," he said. "I don't think we'll see an Aston Martin with a combustion engine that has any fewer than six cylinders."Related Video: Image Credit: Corbis via Getty Images Green Aston Martin Coupe Electric Hybrid Performance Supercars PHEV aston martin vantage aston martin dbx

Bond, junk bond? Aston Martin financial ratings go south as it awaits DBX

Ratings agencies Standard & Poor's and Moody's have taken a dim view of Aston Martin Lagonda. S&P cut its credit rating on the storied carmaker deeper into junk territory this week, and Moody's revised its credit outlook to "negative" after the company raised $150 million in debt from a bond issue at 12% interest, with the option to raise another $100 million at 15%. The Standard & Poor's rating was trimmed by one notch to 'CCC+', which reflects substantial risks and takes it close to default territory after a faster-than-expected cash burn this year. The outlook is negative.  The negative outlook reflects ongoing pressure on profits, a high cash burn, and very high leverage in the face of heightened risks linked to a potential no-deal Brexit and new tariffs on car imports threatened by the United States. The potential salvation for the company is its new DBX luxury SUV, the success of which is critical to its ambitious growth strategy and ongoing creditworthiness, S&P said. But Moody's noted that it's burning cash at a high rate as it nears the launch of the DBX. The British carmaker, known as James Bond's favorite marque, has been hit by falling demand in Europe, the Middle East and Africa. It slumped to a first-half loss in July. Chief Executive Andy Palmer said concerns around Brexit and U.S.-China trade relations were skewing the outlook to the downside, so it was prudent to address investor concerns about its balance sheet. "Taking this debt on — short-term debt — is we think the correct tool to completely remove that thesis that we don't have sufficient liquidity," he told Reuters. "In every substantial and material way, this ensures that we can get through to DBX in spite of what all of those global uncertainties might throw at us." The main tranche comprises notes with an interest rate of 12% due in 2022, while the additional notes could be issued under the same terms if permitted, or could be issued as unsecured notes with an interest rate of 15%, Aston Martin said. Shares of stock in the company, which have had a precipitous fall since they listed in London in October 2018 at 19 pounds, were trading down 5% at 545 pence in early deals. Broker AJ Bell said Aston Martin was known for its high end prices and that situation now also applied to its debt. "These rates are very high and are a major red flag that investors consider the car company to be a high risk entity," it said.

2013 Quail Motorsports Gathering wows with modern masterpieces

Pebble Beach is an outstanding event if you're interested in pre-war classics, but outside of the parking lots, it's a bit light on more modern stuff. The Quail, now in its eleventh year, leans far more towards the present day, and has become one of the must-attend events of the Monterey car week.
Like Pebble, though, it's a highly exclusive affair, with triple-digit ticket prices that usually sell out at the same rate as a Justin Bieber concert. If you're one of the lucky few to hold a pass, though, you'll be rubbing elbows with a who's who of the auto world. One of the highlights of this year's event was the appearance of one Michael Schumacher, who showed up alongside one of his Formula 1 cars. A retrospective was also held on Lamborghini's 50 years of production, as well as another celebration of Aston Martin's centennial. There was also a tribute to the late Martin Swig, one of the co-founders of the California Mille, who passed away last year.
The cars, not surprisingly, were epic. Lamborghini, Pagani, Spyker, Rolls-Royce, BMW, McLaren, Bugatti and Galpin Ford all showed new models to the public for the first time, while there were also appearances by Jim Glickenhaus and his Ferrari P4/5 and P4/5 Competizione, marking the first time the coach-built masterpiece and its racing offspring were shown together. Finally, the Petersen Museum showed off its wears, including the late Steve McQueen's gorgeous Jaguar XK-SS.