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Audi rumored to buy Alfa Romeo, officials deny it

For more than two years, Volkswagen has been making public statements about its willingness to buy Alfa Romeo and quadruple the Italian brand's sales, and for just as long, Fiat CEO Sergio Marchionne has replied with some version of "Mr. Piëch, drop it." According to a report in Ward's Auto, all that jousting might be over: it claims that sources close to both Marchionne and Audi CEO Rupert Stadler admit that the two are in talks for Audi to buy not just Alfa Romeo, but a production plant in Italy. In fact, a final deal could possibly include partsmaker Magnetti Marelli.
Against that backdrop, a report by German news weekly Stern quotes a Fiat spokesmen as saying it doesn't comment on rumors and an Audi rep has said flatly that "There is no substance in the news." If a sale is being arranged, the timing would seem to point to how eager Fiat is to raise cash to complete its major initiatives. Even though Alfa Romeo continues to delay its return to the US, it just showed off the production version of the 4C at the Geneva Motor Show (shown above) and said that preferred Fiat dealerships here would get them. Then there's Alfa's recently concluded deal with Mazda to develop a roadster based on the next generation MX-5 Miata - a deal that would seem to help both the Italian and Japanese brands.
The monetary issues are troublesome, though. Fiat is taking a beating in the European market and its weak-kneed balance sheet is delaying gotta-have-it products like the Jeep Cherokee. Fiat has been talking to banks about getting money to buy the rest of Chrysler and those financial institutions have also raised issues about debt and cash reserves, and the nasty game of chess Fiat is playing with the United Auto Workers (and now the court system about the portion of Chrysler it doesn't own) could end up blowing another hole in Marchionne's plans. It is possible that this could finally have convinced Fiat to at least see how serious Audi's parent company, Volkswagen, is about buying Alfa Romeo. Or it could be just another rumor.

Volkswagen Cross Coupe GTE concept previews new midsize CUV... again

Volkswagen has taken a big step towards the long-awaited second model to be built at its Chattanooga, TN factory, introducing the two-row Cross Coupe GTE Concept at the 2015 North American International Auto Show. The relatively handsome two-row crossover borrows its basic styling language from the CrossBlue Concept that launched at the 2013 Detroit show (that we later had a brief chance to drive), and the CrossBlue Coupe from that year's Shanghai Motor Show. To be entirely frank, it just looks like a much more production-ready version of the Shanghai concept. The more aggressive elements of that model, like its rear taillights, rounded wheel arches, and aggressive front and rear fascias, have been toned down considerably. In other words, this concept almost wouldn't look out of place on the average road. Changes in the cabin are similarly minor, with the same basic design as the CrossBlue, complemented by a 12.3-inch digital instrument cluster and a 10.1-inch touchscreen display. While it's still quite clearly a concept car interior, it's not hard to imagine VW transitioning this cockpit into a production model. Riding atop the Volkswagen Group's MQB architecture – making it a relative, albeit distant, of cars like the VW Golf, Audi TT and the Euro-market Passat – the Cross Coupe GTE is motivated by a 3.6-liter VR6 that's been mated to not one, but two electric motors (one on each axle). The gas engine offers up 276 horsepower and 258 pound-feet of torque, while the front axle's electric motor generates 54 hp and 162 lb-ft of torque, and the rear can deliver a more robust 114 hp and 199 lb-ft of torque. That cacophony can be easily boiled down to this: the Cross Coupe GTE has a total system output of 355 hp and 280 pound-feet of torque, which is good enough to get the five-seater to 60 miles per hour in six seconds, on to a top speed of 130 miles per hour. As a plug-in hybrid, though, there's more to the Cross Coupe GTE then just its power output. Range plays a big role, and in that regard, this concept is fairly average. It can cover 20 miles when its 14.1-kilowatt-hour lithium-ion battery is charged up. Beyond that, the drivetrain can be set to a number of modes to optimize the behavior of plug-in-hybrid powertrain. In E-Mode, which can be locked in via a battery hold/battery charge mode, all 20 miles of range are available, although the Cross Coupe's driver will only have the 114-hp rear axle electric motor to work with.

Recharge Wrap-up: VW CEO mulls battery factory, voters approve $201B in transportation funding

Volkswagen Group CEO Matthias Muller says that it would "make sense" for the automaker to begin producing its own batteries. As the company moves toward electrification, Muller says it would be a smart move to build a battery factory. "If more than a quarter of our cars are to be electronic vehicles in the foreseeable future then we are going to need approximately 3 million batteries a year," he says. Volkswagen has agreed to cut 30,000 jobs in its restructuring, while committing to creating 9,000 jobs in Germany through battery manufacturing and mobility services. Read more at Automotive News Europe. Election results show a desire for transportation funding. Earlier this month, voters in 22 states approved ballot measures adding up to $201 billion in funding for transportation projects, according to the American Road & Transportation Builders Association. California passed 15 transportation measures, including one in Los Angeles worth $120 billion for roads, bridges, and transit. The state of Washington secured $54 billion for light rail and buses. Atlanta approved about $4 billion for road and transit projects. Illinois and New Jersey passed measures to prevent the diversion of transportation user fee revenue to other industries. Read more from ITS International. The US Department of Energy (DOE) must hand over confidential documents about Fisker's bankruptcy. A Delaware federal judge ordered the DOE to give the documents – which concern a presentation by Fisker to the DOE in which it falsely claimed to meet milestones set forth in a government loan – to lawyers in a case in which investors claim Fisker lied to them about financial troubles. While the DOE has given over documents already, they were incomplete and heavily redacted. "I understand that such disclosures may have a negative impact on future DOE analyses," says US District Judge Sue Robinson. "but conclude nonetheless that under the circumstances at bar – the public money at stake, the Congressional hearings, and the fact that Fisker Automotive is now a defunct company – the balance of interests favors plaintiffs." Read more at Law360. Related Gallery Volkswagen I.D.