Audi Q8 Premium Plus, page #14

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Mixed sales results, but automaker stocks rise on need for cars in Houston

DETROIT — The Big Three Detroit automakers on Friday reported better-than-expected August sales and issued optimistic outlooks for demand as residents of the Houston area replace flood-damaged cars and trucks after Hurricane Harvey, sending their stocks higher. General Motors, Ford and Fiat Chrysler posted mixed August U.S. sales, with GM up 7.5 percent and Ford and Fiat Chrysler down. Japanese automaker Toyota improved sales by nearly 7 percent, while Honda fell 2.4 percent. Still, analysts focused on the potential for Detroit automakers to cut inventories and stabilize used vehicle prices as residents of Houston, the fourth largest city in the United States, are forced to replace tens of thousands, perhaps hundreds of thousands, of vehicles after the devastation from Hurricane Harvey. Mark LaNeve, Ford's U.S. sales chief, told analysts on Friday that following Hurricane Katrina in 2005 "we saw a very dramatic snapback" in demand. That said, Ford sales fell 2.1 percent in August. It sold 209,897 vehicles in the United States, compared with 214,482 a year earlier. Sales were down 1.9 percent in the Ford division and off 5.8 percent at Lincoln. Demand was down for cars, crossovers and SUVs. It was not clear how many vehicles in the Houston area will be scrapped, LaNeve said, saying he had seen estimates ranging from 200,000 to 400,000 to 1 million. Ford's Houston dealers may have lost fewer than 5,000 vehicles in inventory, he said. Ford is the No. 1 automaker in the Houston market, with 18 percent share, according to IHS Markit. The company plans to ship used vehicles to Houston dealers and has "every indication we would have to add some production" of new vehicles to meet demand, LaNeve said. Investor concerns about inventories of unsold vehicles and falling used car prices have weighed on Detroit automakers' shares most of this year. Now, automakers can anticipate a jolt of demand from a big market that is a stronghold for Detroit brand trucks and SUVs. "It's got to be a positive for the industry," LaNeve said. Investors appeared to agree. GM shares rose as much as 3.3 percent to their highest since early March. Ford increased 2.8 percent at $11.34, and Fiat Chrysler's U.S.-traded shares were up 5.2 percent $15.91, hitting their highest in more than five years. GM reported a 7.5 percent increase in U.S. auto sales in August, helped by robust sales of crossovers across its four brands.

J.D. Power study identifies top seats for your tush

File under News your fanny can use: The seating systems in the Ford Escape and Edge, the Audi A3, Chevrolet Cruze, Kia Cadenza, Porsche Cayenne and Toyota Tundra received top marks in a new J.D. Power study on seating and seat belt quality and satisfaction. The J.D. Power 2017 Seat Quality and Satisfaction Study asked more than 77,000 new owners and lessees of 2017 model-year cars and light trucks to rate their vehicle's seats and seat belts within the first 90 days of taking ownership. The survey is broken up into seven vehicle segments and scored on total seat problems per 100 within each segment, with awards presented to the seating system supplier. Canadian auto supplier Magna won three of seven first-place awards for its seating systems in the A3, Escape and Edge. Ireland-based Adient got top marks for its seats in the Cadenza and Cayenne. Lear Corp. won for the Cruze, and Avanzar Interior Technologies scored highest for seats in the Tundra. J.D. Power says its study is intended for automakers and suppliers with quality and satisfaction information to be used in developing and marketing seating systems. "But the results are just as interesting to a consumer audience," the company says. "After all, some drivers spend a considerable amount of time behind the wheel, and it's helpful to know which vehicles offer the most comfortable seats for those long commutes." Ain't that the truth. Ford was the only automaker whose seat systems, both manufactured by Magna, received top honors in two segments: the Escape for mass-market compact SUV and the Edge for mass-market midsize/large SUV. J.D. Power says it used 22 attributes to measure seat quality, three measures of seat belt quality and 12 to measure satisfaction. Awards were presented to the seating suppliers. Related Video: Image Credit: Audi Auto News Design/Style Audi Chevrolet Ford Kia Porsche Toyota Safety JD Power seats

VW has received several tentative bids for Ducati

Italy's Benetton family is vying with motorbike firms and buyout funds for control of Italian motorcycle brand Ducati, which is being sold by Germany's Volkswagen, sources involved in the process told Reuters. Volkswagen, whose Audi division controls Ducati, has received several tentative bids with the Benetton family's investment vehicle Edizione Holding valuing the Monster motorbike maker at $1.2 billion, one of the sources said. As well as Edizione Holding, U.S. buyout fund Bain Capital, which owns a stake in Ski-Doo snowmobiles maker BRB, and two Indian motorbike firms, Eicher Motors and Bajaj Auto, have also bid for Ducati, the sources said. Indian carmaker Eicher controls Royal Enfield, a motorcycle brand established in 1893 which ranks as one of the oldest. Strategic bidders also include U.S. automotive firm Polaris Industries, which earlier this year said it would wind down its struggling Victory Motorcycle brand. A shortlist of bidders for a second stage of the auction could be selected as soon as Saturday, two of the sources said. Volkswagen adviser Evercore has a long list of bidders including private equity funds such as Ducati's previous owner Investindustrial, CVC Capital Partners, Advent and PAI, all hoping to outbid industry players, the sources said. If it gets to the second round, Edizione Holding could seek to form a consortium with a financial investor, two of the sources said, in a bid to secure control of Ducati, whose racers have won the Superbike world championship 14 times, with Carl Fogarty and Troy Bayliss its most successful riders. Audi, Edizione Holding, Investindustrial, Advent and PAI declined to comment, while the other interested groups were not immediately available for comment. PRICING CHALLENGES For some buyout funds, Ducati's valuation of up to $1.4 billion – which sources said is based on a multiple of more than 10 times its core earnings of roughly 100 million euros – is a tall order as they lack the synergies that some motorbike makers could achieve. But Investindustrial founder Andrea Bonomi, who sold Ducati to Audi for about 860 million euros in 2012, is serious about a comeback, one of the sources said. China's Loncin Motor was among a group of industry players that initially showed interest in Ducati, alongside Harley-Davidson. The latter has, however, decided against making a bid due to Ducati's price tag, while it could not be established if Loncin Motor had carried on bidding.

Formula E is on track financially, with NYC race coming up

LONDON - Formula E could be breaking even already were it not investing for the future, chief executive Alejandro Agag said on Monday after the electric motor racing series reported continuing losses in its latest annual accounts. Accounts filed at Companies House showed Formula E Operations Ltd reduced its operating loss to 33.7 million euros ($38.32 million) at end-July 2016, a period covering its second season, from a previous 62.7 million. Net liabilities rose to 107.2 million euros from 72.1 million, while total revenues reached 56.6 million from a previous 19.7 million. "Everything is going according to plan," Agag, whose city-based series will be racing in New York for the first time on July 15 and 16, told Reuters in an interview at his London offices. "Actually we are doing incredibly well financially according to our plan. "We could have broken even this year but we decided to invest more in marketing and promotion. We decided to add races like the one in New York, which is in year one a race which is costing, we have significant capital expenditure." "It's really up to us when we want to go to break even or not. We could be in break-even now, we could be in break-even next season but we may decide to invest more in marketing and promotion." Agag said the shareholders, including John Malone's Liberty Global and Discovery Communications, were supportive of the strategy and the series had attracted more investors, sponsors and car manufacturers. The New York races will be held in Brooklyn's Red hook neighborhood, with lower Manhattan and the Statue of Liberty as a backdrop with technology partner Qualcomm securing the naming rights. MANUFACTURER INTEREST Agag, whose series plays down competition with Liberty Media-owned Formula One, said more carmakers were set to join a series increasingly aligned with their commercial focus. "I think Formula E has become the preferred destination for manufacturers and there are a few reasons for that," said the Spaniard. "Obviously, one is that it is electric and manufacturers are more and more focusing on electric cars...and we are the only platform really to help them promote that technology and those types of cars. "And second, because of the cost. The cost of the team in Formula E is very moderate." Whereas top Formula One teams can burn through $300 million a year, as can the likes of Toyota in the World Endurance Championship, the budgets of successful Formula E teams are between 10 and 15 million.

Munich prosecutors expand Audi investigation

Munich prosecutors said they have widened an investigation at Audi to examine the carmaker's sales in Germany and elsewhere in Europe after the federal government accused the Volkswagen division of cheating on emissions tests in its home market. Audi on Thursday recalled around 24,000 older A7 and A8 models in Europe, 14,000 of which were sold in Germany, to update transmission software, which it said was causing nitrogen oxide (NOx) emissions to exceed EU limits. Munich prosecutors have been investigating Audi on suspicion of fraud and criminal advertising in the United States where parent Volkswagen's emissions scandal broke in September 2015. They have expanded the inquiry to include vehicle sales in the brand's home region, a spokesman for prosecutors said. Audi said late on Thursday that it would continue to fully cooperate with authorities and Germany's KBA motor vehicle authority, which the carmaker had notified about the latest emissions irregularities. The affected Audi models with so-called Euro-5 emission standards, and built between 2009 and 2013, emit about twice the legal NOx limits when the steering wheel is turned more than 15 degrees, the German transport ministry said. Prosecutors said the suspicion in the Audi investigation still centered on fraud, adding they have not yet received updated information from the KBA on the situation in Germany. Their investigation came to a head in March when prosecutors searched Audi's headquarters in Ingolstadt in connection with the emissions scandal, as well as a second German plant and subsequently even the law firm that VW had hired to clear up dieselgate.Related Video: Government/Legal Green Audi Emissions volkswagen diesel

Peek into Audi Q8/SQ7 interior: Fewer buttons, more screens

Our spy photographers have had plenty of luck shooting the flagship Audi Q8 SUV in trials at the Nurburgring. In the latest encounter, the exterior reveals no more than in previous shots, as you'll see compared with the previous exterior gallery below. What's new this time: We get a look inside. Seen with the doors open, it appears the Q8 will get frameless windows. The photographer also managed to get a glimpse into a SQ7-based Q8 to view the new controls and displays. That is, fewer controls, more displays. The Q8 is set to share not just the platform but also the engines with the Q7 with one possible exception. There's a rumor that the possible RS Q8 could get a twin-turbo 4.0-liter V8 delivering over 600 horsepower. - the same engine said to be destined for its Italian cousin, the Lamborghini Urus. The Audi Q8 is expected to go on sale in 2018. Related Video:

Trump calls Germans 'very bad,' vows to stop their car sales in US

TAORMINA, Italy -Talks between President Trump and other leaders of the world's rich nations at the G7 summit on Friday were expected to be "robust" and "challenging" after he had lambasted NATO allies and condemned Germans as "very bad" for their trade policies. Trump's confrontational remarks in Brussels, on the eve of the two-day summit in the Mediterranean resort town of Taormina, cast a pall over a meeting at which America's partners had hoped to coax him into softening his stances on trade and climate change. According to German media reports, Trump condemned Germany as "very bad" for its trade policies in a meeting with European Commission President Jean-Claude Juncker, signaling he might take steps to limit sales of German cars in the United States. "The Germans are bad, very bad," he reportedly told Juncker. "Look at the millions of cars that they're selling in the USA. Horrible. We're gonna stop that." White House economic adviser Gary Cohn on Friday confirmed the reports. "He said they're very bad on trade, but he doesn't have a problem with Germany." Cohn said Trump had pointed out during the meeting that his father had German roots in order to underscore the message that he had nothing against the German people. Trump's spokesman Sean Spicer said Trump had "tremendous respect" for Germany and had only complained about unfair trade practices in the meeting. Juncker called the reports in Spiegel Online and Sueddeutsche Zeitung exaggerated. The reports translated "bad" with the German word "boese," which can also mean "evil," leading to confusion when English-language media translated the German reports back into English. "The record has to be set straight," Juncker said, noting that the translation issue had exaggerated the seriousness of what Trump had said. "It's not true that the president took an aggressive approach when it came to the German trade surplus." "He said, like others have, that (the United States) has a problem with the German surplus. So he was not aggressive at all," Juncker added. In January, Trump threatened to slap a 35 percent tax on German auto imports. "If you want to build cars in the world, then I wish you all the best. You can build cars for the United States, but for every car that comes to the USA, you will pay 35 percent tax," he said. "I would tell BMW that if you are building a factory in Mexico and plan to sell cars to the USA, without a 35 percent tax, then you can forget that." Last year, the U.S.

2017 Audi A4 Prestige is round 2 of our long-term test

The first of our long-term Audi sampler platter, a Glacier White metallic 2017 A4 Premium Plus, has already departed from the fleet. Replacing that mid-grade model is a range-topping 2017 Audi A4 Prestige wrapped in a beautiful shade of Moonlight Blue metallic paint. At first glance, aside from the color, not much appears to be different between the two models. Here's what's changed. What we got The Prestige trim starts at $46,850 and sits atop the A4 range. The only way to go up is to step into the new S4, but that dish comes later. The A4 Prestige comes with all of the expected trimmings - a 2.0-liter turbocharged inline four making 252 horsepower and 273 lb-ft of torque, a seven-speed dual-clutch transmission, and Quattro all-wheel drive - along with most of the features from the Premium Plus package such as LED headlights and a 3D Bang & Olufsen sound system. Prestige extras include parking sensors with a surround view camera, a full-color heads-up display, LED interior lighting, and bits from the technology package such as Audi virtual cockpit, MMI navigation, and extra parking sensors. The technology package was a $3,250 option on our first A4. The biggest difference between the two models is the availability of certain options. Only the Prestige can be equipped with the warm weather package, the adaptive dampening suspension, and the driver assistance package with adaptive cruise control and active lane assist. We passed on these in order to keep things similar to our long-term Jaguar XE. We added 19-inch wheels with 245/35ZR19 Hankook Ventus S1 evo2 summer tires because Michigan isn't cold and desolate all year round. That said, we did check the box for the cold weather package with heated seats at all four corners and a heated steering wheel. The final option was the sport package that adds a black headliner, sharper suspension, and four-way power lumbar support. All in, the new A4 rings up at $51,575, just less than $2,000 more than the $49,825 Premium Plus, as the latter was equipped with the now-unavailable $1,100 First Edition package. What we skipped We decided once again to skip the manual transmission. While it may inject a little more fun into an already enthusiastic car, few shoppers actually opt for a three-pedal setup. With that in mind, we chose the excellent seven-speed dual-clutch transmission, a no-cost option. We also decided to keep things simple and passed on the driver's assistance package.

Audi features Google Android infotainment system in Q8 Sport concept

Volvo isn't the only company working on a Google Android-based operating system. Apparently Audi has bestowed the Q8 Sport, revealed at the Geneva show, with an infotainment system based on Google's Android operating system, rather than a proprietary one. The company revealed the system at the Google I/O conference. The system is controlled via the Q8 Sport's touchscreen, and should function like a normal Audi infotainment system. However, this one comes with applications such as Google Play Music, Google Assistant, and Google Maps built-in. Audi also says that running an infotainment system on Android should make it easier for applications and updates to be developed for the automotive version, since it won't require developers to learn to code for a single car line's completely unique and different operating system. Unlike Volvo, though, Audi doesn't have a timeline for introducing Android infotainment systems. The Swedish company announced that its Android-based system will be in production cars within the next two years. Related Video:

Power for the people who need crossovers | 2018 Audi SQ5 First Drive

The 2018 Audi SQ5 is pretty simple. It's the sporty version of the redesigned Q5. It's for the enthusiast. The buyers skew male, and Audi pitches it as the solution for when an S4 doesn't meet your needs. It's a 354-horsepower purple pill for the Dad who's resigned himself to driving a crossover — but still wants to have some fun. The SQ5 is simple, but it's also very important. The Q5 is Audi's best-seller, and a sportier sibling makes the entire family look good. The midsize crossover segment is big business, and the performance industry is hot. Archrivals Mercedes, BMW, and Porsche have formidable entries. A few years ago a hotted-up crossover was a nice thing for an automaker to develop – a bonus addition to the lineup. Now it's essential. The SQ5 definitely feels like the right vehicle at the right time. Cruising around Vancouver Island outside Victoria, the stately capital city of British Columbia, we're having heck of a good time. The crossover, based on a platform shared with the larger Q7, feels nimble and eager. Breaking free from early morning traffic, we find the Trans-Canada Highway, cue up Dynamic mode, and take off. Dynamic mode adds heft to the steering, lowers the vehicle 0.6 inches from Auto mode, and deepens the exhaust note. It's low, growly, and sounds surprisingly good. The 3.0-liter TFSI engine has plenty of punch. You know it from the S4 and S5. Like those cars, the SQ5 now ditches the supercharger for turbo power. It was a mildly controversial move as the blown motors in the S4 and S5 gave those cars true muscle-car character. We've made our peace, and turbos just seem like the natural move for the SQ5. Audi is quick to point out the wide torque curve – you get 369 pound-feet sooner than with the supercharger, and output is 23 more pound-feet than before. The horsepower remains the same, though it maxes out slightly sooner in the band. Audi says the turbo, mounted in the middle of the engine's V, makes the SQ5 more responsive, and with all of the low-end torque, we agree. It certainly feels capable as we open it up, finding gaps in traffic, side-stepping tree haulers and deftly out-maneuvering slow-moving motorists. We find a rhythm on the Pacific Rim Highway, smoothly tackling the curves, pulling the paddles for quick downshifts from the eight-speed automatic Tiptronic transmission, and aggressively accelerating before giving way to common sense. It's a beautiful drive.