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Audi rumored to buy Alfa Romeo, officials deny it

For more than two years, Volkswagen has been making public statements about its willingness to buy Alfa Romeo and quadruple the Italian brand's sales, and for just as long, Fiat CEO Sergio Marchionne has replied with some version of "Mr. Piëch, drop it." According to a report in Ward's Auto, all that jousting might be over: it claims that sources close to both Marchionne and Audi CEO Rupert Stadler admit that the two are in talks for Audi to buy not just Alfa Romeo, but a production plant in Italy. In fact, a final deal could possibly include partsmaker Magnetti Marelli.
Against that backdrop, a report by German news weekly Stern quotes a Fiat spokesmen as saying it doesn't comment on rumors and an Audi rep has said flatly that "There is no substance in the news." If a sale is being arranged, the timing would seem to point to how eager Fiat is to raise cash to complete its major initiatives. Even though Alfa Romeo continues to delay its return to the US, it just showed off the production version of the 4C at the Geneva Motor Show (shown above) and said that preferred Fiat dealerships here would get them. Then there's Alfa's recently concluded deal with Mazda to develop a roadster based on the next generation MX-5 Miata - a deal that would seem to help both the Italian and Japanese brands.
The monetary issues are troublesome, though. Fiat is taking a beating in the European market and its weak-kneed balance sheet is delaying gotta-have-it products like the Jeep Cherokee. Fiat has been talking to banks about getting money to buy the rest of Chrysler and those financial institutions have also raised issues about debt and cash reserves, and the nasty game of chess Fiat is playing with the United Auto Workers (and now the court system about the portion of Chrysler it doesn't own) could end up blowing another hole in Marchionne's plans. It is possible that this could finally have convinced Fiat to at least see how serious Audi's parent company, Volkswagen, is about buying Alfa Romeo. Or it could be just another rumor.

Audi bringing Q3 Stateside after all?

One of the major changes that made to the Audi SQ5 to get it ready for the US market was a ride height that was lifted by 1.2 inches compared to its European counterparts. The small increase allowed the SQ5 to retain its "light truck" classification of the Q5 for emissions regulations. In a similar move, Car and Driver is reporting that the Audi Q3 crossover will also be joining the Audi lineup in the US once it receives a facelift and taller ride height.
Expect this facelift to fit in with other recent product updates including the Q5, which mainly focused on a cleaner, more upscale front end and the company's signature LED running lights. The report says that Audi could bring the Q3 Stateside "within a year or two," and it also says that a souped-up RS Q3 will follow close behind. This performance version of the compact crossover gets its power from a 2.5-liter turbocharged inline-five-cylinder engine shared with the Audi TT RS.

New Audi Quattro concept coming to Frankfurt?

We first saw the Audi Quattro Concept at the 2010 Paris Motor Show, and since then we've been tugged this way and that by a series of rumors as to whether the car will be built or not, and whether such a car will live at the accessible or the exalted end of the cost spectrum. A report in Germany's Auto Zeitung from June restarted the fires of gossip with a report that a production version of the concept will appear at the Frankfurt Motor Show, and put it firmly in the exalted sphere.
Now, just a month from the show, Auto Bild has a similar report, sketching out an upmarket car but on a different platform. Back when we drove it, the Quattro concept was built on a spaceframe based on the RS5 platform and got its go from a 2.5-liter five-cylinder engine with 380 horsepower and 354 pound-feet of torque (the show car got 408 hp from a turbocharged five-cylinder). The June report from Auto Zeitung said this new reveal would be powered by a modified version of the twin-turbo 4.0-liter V8 from the RS7 that would put out something like 650 hp. Auto Bild, on the other hand, reports that the engine will be tuned to something like 600 hp and the new concept will ride on an "enhanced" version of the A6 platform.
Both reports agree that the car we'll see will preview Audi's new design language with "tauter, more angular lines." Lightweight and exotic materials will be used in efforts to reach a supposed target weight of 1,200 kilograms (2,640 pounds), down from a target of 2,900 pounds in earlier report. Auto Bild says that Audi still hasn't decided whether to make a production version, but if they are correct about the direction of the concept, any retail offering based on it isn't going to be cheap.