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BMW looking to save billions with cost cuts

BMW is planning a fairly extensive overhaul in a bid to recoup some its annual costs, with CEO Norbert Reithofer (pictured above) aiming to save three to four billion euro ($4 to $5.4 billion) per year to help keep the company's profit margins between eight and 10 percent, while also maintaining investments in production expansion and new tech. BMW's profit margins sat at 9.4 percent in 2013.
According to Automotive News Europe, Reithofer is none too pleased about costs at Mini and on the 1 Series, although neither AN nor its source story, from Germany's Manager Magazin, elaborate on what steps could be taken to improve losses on either project. That makes it hard to figure out just where the fat will be trimmed from.
What may happen, though, is that BMW attempts to trim 100 million euros ($135 million) from its German labor costs each year; a solution hinted at a few weeks ago by Germany newspaper Muenchner Merkur. While a dramatic cost reduction, 100 million euros still doesn't begin to even approach the savings envisioned by Reithofer.

Refreshed BMW 6 Series sports an understated redesign in Detroit [w/video]

BMW is keeping its refresh for the 2015 6 Series family very subtle. The tweaks amount to an understated nose job for the luxury models and some new standard tech, as well. The Bavarian brand is definitely not going too far with this redesign for the vehicles, and they even remain mechanically the same. The most obvious change for the latest 6 Series models is the sharpened front end. BMW explains that the grille now features nine slats, rather than ten. Clearly, this is a major change in design. The lower air dam is slightly reworked to accentuate the vehicles' width, and, in addition, the four-door benefits from a tweaked window surround with the Gran Coupe name embossed near the rear doors. All versions also get standard full-LED headlights. Inside, there's high-gloss black trim covering the center and LEDs illuminating portions of the interior. Beyond these minor alterations, BMW is offering two new options packs for the family that tweak the looks. While the company doesn't have any earth-shattering changes in store, they are there. Try to spot the changes in the refreshed 6 Series models as they sit on the floor of the 2015 Detroit Auto Show. The new BMW 6 Series: Three Body Styles Rejuvenated and Ready to Take on the Competition Woodcliff Lake, N.J. - December 10, 2014 6:00pm EST/3:00pm PST... Through three generations, the BMW 6 Series has defined that unique blend of style and elegance with the performance and handling that one would expect of The Ultimate Driving MachineTM. For the 2015 model year the third-generation of BMW 6 Series receives a range of enhancements that refine the character that is unique to the 6 Series. Now offered in three distinct body styles – traditional two-door Coupe, open-air Convertible and unique four-door Gran Coupe – all three are again offered with a choice of BMW TwinPower Turbo engines, the 315 horsepower inline-six in the 640i models and the 445 horsepower V8 in the 650i models. Sitting at the top of the 6 Series range, in terms power and performance, is the BMW M6 with its 560 horsepower M TwinPower Turbo V8, again available in all three body styles. The 2015 BMW 6 Series will make its world debut at the North American International Auto Show and arrives in US showrooms in the first quarter of 2015. Sports performance and luxury – a combination rich in tradition. The new BMW 6 Series model range follows in a BMW tradition of legendary dream cars which now stretches back more than 75 years.

Weekly Recap: Mercedes continues the pseudo-coupe craze with AMG-tuned CUV

But as BMW's X6 has demonstrated, sport sells in in the crossover segment, and Mercedes is giving the people what they want. BMW proved there is a market for crossover utility vehicles designed to look like coupes – as much as a vehicle with four doors and noticeable ground clearance can look like a coupe, anyway. Now comes the reply from Mercedes-Benz: the GLE Coupe. The rakish crossover is a harbinger of things to come from Mercedes, as it begins the company's transition to a new nomenclature and marks the debut of the AMG Sport line. It also continues the recent coupe craze. Designers from many automakers, like Nissan and Volkswagen, have increasingly turned to swoopy, dramatic styling to make utility vehicles and sedans seem more desirable. By revealing the GLE 450 AMG Sport model first, Mercedes is clearly hoping to cast the GLE Coupe as a sportier, lifestyle-oriented alternative in its lineup of beefy crossovers and SUVs. Mercedes used the word "sport," or a variation of it, 53 times in its press release, so uh yeah, it's sporty. It's not an empty promise: Benz means business with the AMG Sport line. This GLE Coupe gets a 3.0-liter biturbo V6 rated at 362 horsepower and 384 pound-feet of torque paired with Mercedes' new nine-speed automatic transmission, and it runs with 4Matic all-wheel drive. Specs on the other GLE Coupe models were not disclosed. But as BMW's X6 has demonstrated, sport sells in in the crossover segment, and Mercedes is giving the people what they want. After all, more than 260,000 people have bought X6s since 2008, and Mercedes wants a piece of that. From certain angles, the GLE Coupe even looks vaguely like an X6. "This is really a vehicle that is all about status," said Dave Sullivan, product analysis manager for research firm AutoPacific. "You can buy a SUV that doesn't have the inherent qualities of a SUV, such as cargo hauling. People will likely be drawn to the looks. Coupes are all the rage." BMW, however, isn't running from the fight, and the updated 2015 X6 is arriving in showrooms this month. It also added a smaller sibling, the X4, to its coupe-crossover stable in July. The GLE Coupe arrives next year, though Mercedes hasn't specified exactly when it will hit showrooms from the factory in Alabama, or specified details on the rest of the non-AMG Sport models. In 2008, it was surprising the X6 was a hit. In 2015, it will be even more surprising if the GLE Coupe isn't.