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BMW looking to save billions with cost cuts
Wed, 18 Jun 2014BMW 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.
BMW M3 and M4 CSL not in the cards
Mon, 27 Jan 2014We aren't sure whether to file this one under "good news" or "bad news." BMW confirmed to Top Gear that there "are no plans" for lightweight versions of the new M3 and M4, in the same vein as the E46 M3 CSL (despite rumors to the contrary). The reason?
"There wasn't a CSL on the previous generation, and the way we look at it is like this: the CSL was great because it had this real focus on lightweight engineering. But we've already done that with these new cars. We've made them as light as possible - they come in under 1500 kilograms (3,306 pounds), which for a car like this is incredible," said Matt Collins, BMW's product manager for small to medium cars.
Now, as much as we love the idea of a hardcore version of any car, we appreciate BMW's point of view that the newest Ms are already as light and tough as they need to be. Collins elaborated, saying, "Rather than doing a halfway house to begin with and then rolling out a CSL, we thought we'd make the 'real' car as light as we possibly could. So we've no plans whatsoever to make a lighter, harder version just yet."
KBB 2013 Brand Image Awards has some obvious and oddball winners
Sat, 30 Mar 2013The sixth edition of the Kelley Blue Book Brand Image Awards have crowned a wide range of winners - in a couple of cases the recipient of the laurels might say more about KBB users than they do about the actual winner. Compiled from the responses of more than 12,000 shoppers on KBB.com over the past year, there are 13 categories broken into non-luxury, luxury and truck segments "representing the combined wisdom of the American car-buying public."
The award categories have been revamped this year, with some dropping off, some new ones appearing and at least one other given a new term. What isn't surprising is that Honda won Most Trusted Brand for the second year running, Best Value Brand for the third year in a row and took Best Overall Brand, which wasn't on last year's list of awards.
On our own shores, in the non-luxury categories Chrysler got Most Refined Brand and Buick took Best Value Luxury Brand. Neither one of those marques won anything in last year's Brand Image Awards, while Cadillac, which won Best Interior Design Brand and Best Comfort Brand last year - those awards disappeared this year - went home without a single accolade.