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Renault gets a 'wake-up call' — a record $8.6 billion loss

PARIS — French carmaker Renault said it had been given a wake-up call on Thursday with a record net loss of 7.29 billion euros ($8.6 billion) in the first half of the year, inflicted by the COVID-19 crisis and troubles at its alliance partner Nissan. Global automakers have been hit hard by the coronavirus pandemic, which has shuttered factories and kept many customers away from car dealerships. But the Renault-Nissan alliance has been hit especially hard as it was already weakened by low margins and boardroom turmoil surrounding Carlos Ghosn, the architect of the alliance who was ousted in 2018. Renault shares were down 3.3% when trading opened in Paris. "Today's results will be a disturbing wake-up call," CEO Luca de Meo, the former Volkswagen executive who started at Renault this month, said on a call with analysts. "We are currently touching the bottom of a negative curve that started several years ago, and probably even earlier," de Meo added. "We are in a complex, difficult situation. We all are. But ... we were already, I would say, feverish. So for sure it is even harder for us." De Meo said the company would now double down on a previously announced turnaround plan, laying off thousands of workers, reducing the range of models, and improving cooperation between alliance partners on vehicle production. He said a team of 40 senior executives from across Renault was cloistered on the top floor of the company's headquarters in Boulogne-Billancourt near Paris, working on details of a strategic plan which will be presented in January at the latest. He said his focus would be pushing the Renault brands that can deliver profits — especially compact cars, SUV crossovers, and electric and hybrid vehicles — and shifting emphasis from volume to value. "We know what we need to do," de Meo said. "Better times are waiting at the end of this twisty road." Renault said group operating losses, factoring out the effect of Nissan's losses, reached 2 billion euros in the first half, compared with operating income of 1.5 billion last year. Sales slumped 34.9%, a result the company attributed mainly to the global COVID crisis and Renault burned through $6.38 billion in cash over the first half. Nissan Motor Co this week warned of a record $4.5 billion operating loss this year and its lowest sales in a decade. Its negative contribution accounted for 4.82 billion of Renault's net losses, the French firm said on Thursday.

Cars with the most reckless drivers are full of surprises

Insurify is a site for comparing auto insurance quotes. Because insurance shoppers need to submit information like the vehicles they're driving and the infractions they've compiled while driving those vehicles, Insurify has quite the database of correlations tying certain models to a habit of breaking certain laws. When the site's data analysts decided to compile a list of the top ten models for reckless driving citations in the decade from 2010 to 2019, the ranking contained a few wild entries. The Dodge Challenger making the countdown will surprise precisely zero people. But the Saturn L200? First, a definition: USLegal.com defines reckless driving as "driving with a willful or wanton disregard for safety. It is the operation of an automobile under such circumstances and in such a manner as to show a willful or reckless disregard of consequences." So this list is a caution about particular drivers more than the cars. For a baseline, according to Insurify data, for any random model, 15 out of 10,000 people who drive that model have picked up one citation for reckless driving. Back to that Challenger, then. No shocker for being here, but it's actually number 10, with 44 out of 10,000 Challenger drivers nabbed for a willful disregard of consequences on the road. That's better than the first surprise entry, the Saturn L200, a sedan only on sale for six years, with the least horsepower on the list, and out of production since 2005. The data set put drivers of GM's extraterrestrial sedan at 45 reckless pilots per 10,000 drivers. There are two pickups on the list, the only modern one being the Ram 1500 at eighth, with a rate of 46 in 10,000. Somehow, drivers of the third-best-selling pickup in the U.S. outrun the overwhelming numerical superiority of the best-selling vehicle in the States, the Ford F-150. The other pickup is the Chevrolet K1500 at number five, with a rate of 56 in 10,000. This is not only the oldest vehicle on the list, it went out of production in 2002, before any other vehicle on the list. Between the trucks, the Volkswagen CC slotted in at seven with 47 in 10,000 reckless driving chits, the Cadillac ATS slipped into sixth with 48 in 10,000.  The top four is a bag of unexpected. The Nissan 370Z is the first hardcore sports car on the list at number four, with 61 in 10,000 Z drivers flaunting their Fairladys in the face of Johnny Law.

Five automakers now being investigated by NHTSA for airbag woes

It appears that Toyota's renotification to owners of recalled vehicles from last year is just the tip of the iceberg for what could potentially be a much larger industry-wide recall. The National Highway Traffic Safety Administration is opening a preliminary evaluation investigation into roughly 1.1 million vehicles from Chrysler, Honda, Mazda, Nissan, Toyota and parts supplier Takata regarding faulty airbag inflators in several models.
NHTSA has received six reports - three directly, two from Takata and one from Toyota - of vehicles with ruptured airbag inflators from 2002-2006, which resulted in three injuries. So far, all six incidents have occurred in high humidity areas like Florida and Puerto Rico. According to Toyota's latest recall announcement, the inflators may have an improper propellant that could cause it to rupture in a crash and the bag to deploy abnormally.
This new investigation follows a previous recall from April 2013 of about 3.4 million vehicles worldwide for the airbag inflators from Takata. As Autoblog reported, Toyota jumpstarted the new situation when it found that the original list of serial numbers for the faulty part was incomplete and discovered more cars in need of replacement. Honda and Nissan told us that they were investigating whether further models would need called in again as well. Mazda told Autoblog: "Regarding the current Takata situation, we're working closely with NHTSA and investigating the situation, but nothing else to report at this time." Chrysler Group responded to us with the statement: "Chrysler Group engineers are conducting the appropriate analysis. The Company will cooperate fully with the National Highway Traffic Administration."