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Volkswagen forced to sell stake in Suzuki

The six-year-long failed marriage between Volkswagen and Suzuki has finally come to an end. Almost. An arbitration panel in London issued its final verdict which, according to a VW press release, cleared Suzuki in terminating the agreement, so VW now needs to get rid of its 19.9-percent share. However, the tribunal's decision said VW performed all of its obligations and Suzuki didn't – the Japanese carmaker should have given VW last-call rights for a delivery of diesel engines, but failed to. The breach opens Suzuki up to damage claim, but so far VW only says it reserves the right to sue. Now that Suzuki has an outside investor to provide funds it meant to get from VW, perhaps both can get back to their reasons for being. The press release is below. Ruling in arbitration proceedings: Cooperation between Volkswagen and Suzuki deemed terminated - Arbitral tribunal confirms Volkswagen met contractual obligations and finds that Suzuki has ordinary right to terminate agreement based on reasonable notice - Volkswagen to dispose of its 19.9 percent stake in Suzuki and expects positive effect on Company's earnings and liquidity from transaction - Arbitrators also find that Suzuki breached its contractual obligations to Volkswagen under the agreement and that Volkswagen has right to claim damages Wolfsburg, 30 August 2015 - An arbitral tribunal in London has announced its ruling in the dispute between Suzuki Motor Corporation and Volkswagen Aktiengesellschaft. As a result, cooperation between the two parties is deemed terminated. The arbitrators confirmed that Volkswagen met its contractual obligations under the cooperation agreement and found that Suzuki has terminated the agreement upon reasonable notice. Volkswagen will therefore now dispose of its 19.9 percent stake in Suzuki and expects a positive effect on the Company's earnings and liquidity from the transaction. The arbitral tribunal also confirmed that Suzuki breached its contractual obligations to Volkswagen under the agreement and that Volkswagen has the right to claim damages. "We welcome the clarity created by this ruling. The tribunal rejected Suzuki's claims of breach and found that Volkswagen met its contractual obligations under the cooperation agreement. Nevertheless, the arbitrators found that termination of the cooperation agreement by Suzuki on reasonable notice was valid, and that Volkswagen must dispose of the shares purchased.

Funning around with ZF's Smart, Advanced Urban Vehicles

ZF has a lot of experience building various electric vehicle parts, including transmissions, but it doesn't put them all together into one cute little package that often. The ZF Advanced Urban Vehicle changes that, and shows what the company can do when it takes bits and pieces of its admittedly cool tech and throws them all into the shell of an old Suzuki Swift. We got to control the all-electric beast at an event in Germany this summer, using nothing but a connected iPad. There were three headline technologies on the AUV (also called the Smart Urban Vehicle): the remote control Smart Parking Assist function, the all-electric rear-axle drive electric Twist Beam (eTB), and the PreVision Cloud Assist. PreVision Cloud Assist ZF had a short track set up for us to try out the PreVision Cloud Assist. The first time around the track, nothing was different. It's not supposed to be. The trick with Cloud Assist is that the car saves real-world driver interactions into its memory and, with the addition of GPS coordinates, starts to learn how to drive the route. Go to work the same way every day? If you're being assisted by a cloud, then all you have to do is steer. The car learns how fast it can take a turn and when it needs to slow down, with the idea here is to let the car move when it can, increasing the efficiency and range of an EV. You're still in charge in case of traffic ahead, but in open road circumstances, you won't need to touch the brakes or the gas. Just the steering wheel. On my second time around the demo track (which had data from other drivers who had tested the car earlier in the day), I kept my feet off the pedals, and the darn thing worked. It slowed me down when necessary to make a curve, but kept me at a brisk pace that felt a bit too fast but was in fact totally appropriate. Electric Twist Beam There's another bit of cool tech hidden near the front wheels. The car uses a MacPherson strut that was modified to offer a wider steering angle, up to 75 degrees, to be exact. ZF calls this the electric Twist Beam (eTB), and it gives the car an incredibly tight turning radius, about 6.5 meters. An axle like this could go into an EV or an ICE vehicle, but it makes a lot of sense in an electric car since it does have a major problem: it can't be powered. No worries, thought ZF engineers, who made the little SUV rear-wheel-drive by adding two electric motors.

Suzuki, please come back and bring the Alto Works with you

The list of JDM vehicles we'd love to see imported into the United States keeps growing. But if there's one we could wish for in 2016, we dare say it's the one you see here. It's called the Suzuki Alto Works, and it looks like an absolute riot. The Alto, for those unfamiliar, is a tiny little Kei car. It rides on a 97-inch wheelbase and weighs less than 1,350 pounds, which makes it not only smaller than a three-door Mini, but also about half its weight. All it needs is a 660cc inline-three to pull it around the streets of Tokyo. And perhaps best of all, where the previous Alto adopted rounded, cutesy styling, the new model introduced in Japan a year ago takes a more squared-off, industrial design that looks much better to our round eyes. Suzuki made a punchy little Alto Turbo RS version (which you can scope out in the extra gallery below) that increased output to a still-puny 64 horsepower and 70 pound-feet of torque. And it won multiple awards for its compact, fun-to-drive nature. But now the Japanese automaker has made the Alto even more enticing with the new Works model. It's based on the aforementioned Turbo RS, but packs some key upgrades. Where the Alto Turbo RS was only available with an automatic, the new Alto Works can be had with a short-throw five-speed manual – driving either the front wheels alone or all four. Suzuki also boosted output modestly to 74 lb-ft, improved the throttle response, and recalibrated the steering for better accuracy. New 15-inch wheels are fitted to a retuned suspension with KYB shocks. It's all done up in a gunmetal finish with black trim, red-painted front calipers, and an interior with Recaro racing buckets, steel pedals, red stitching, and a boost gauge that changes color from white to red as it spools up. All of that can be had from only 1,509,840 yen, which may look like a lot, but translates to just $12,500 at current exchange rates. If only Suzuki still sold in the US market, because it does some of the best little hatchbacks around. And the new Alto Works looks like it'd be a hoot to drive.