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Vert-A-Pac train cars kept your Chevy Vega's price in check

Our apologies to those who've seen this before, but for the rest of the class, how awesome are these pictures of the Vert-A-Pac shipping system General Motors came up with to ship the Chevrolet Vega back in the 1970s? Developed along with Southern Pacific Railroad, GM was able to double the amount of Vega models it could ship by packing them into the unique storage cars vertically.
At the time, rail cars could fit 15 vehicles each, but Chevrolet was able to lower shipping costs by making it possible to ship 30 Vegas per rail car, in turn allowing the price of the Vega to remain as low as possible. Each rail car had 30 doors that would fold down so that a Vega could be strapped on, and then a forklift would come along and lift the door into place. All the cars were positioned nose down, and since they were shipped with all of their required fluids, certain aspects had to be designed specifically for this type of shipping, including an oil baffle in the engine, a special battery and even a repositioned windshield washer reservoir. See for yourself in our image gallery above.

Weekly Recap: The implications of strong new car sales

New car sales are on a roll in the United States this year, and analysts are optimistic the industry will maintain its torrid pace. Sales increased 1.6 percent in May and reached an eye-popping seasonally-adjusted selling rate of 17.8 million, the strongest pace since July 2005, according TrueCar research. That positions the industry for one of its strongest years ever, as consumer confidence, low interest rates, low fuel costs, and an influx of new products propel gains. In addition to the positive economic factors, May also featured warmer weather across much of the US, an extra weekend, and it came on the heels of relatively weak April sales. Analysts suggest income tax refunds and the promise of summer driving and vacations also traditionally help May sales. "While 2015 will be one of the best years in the history of the US industry, in some ways it may be the very best ever," IHS Automotive analyst Tom Libby wrote in a commentary. "Not only are new vehicle registration volumes approaching the record levels of the early 2000s, but now registrations and production capacity are much more closely aligned so the industry is much more healthy." Capacity, an indicator of the auto sector's health, is also expected to grow. Morgan Stanley predicts it will eventually hit at least 20 million units per year, as many companies, including General Motors, Ford, Tesla, and Volvo are investing in new or upgraded factories. "The best predictor of US auto sales is the growth in capacity, and frankly, we're losing count of all of the additions – there's literally something new and big every week," Morgan Stanley said in a research note. Transaction prices, another telling indicator, also continue to show strength. They rose four percent in May to $32,452 per vehicle, and incentives dropped $10 per vehicle to $2,661, TrueCar said. "New vehicle sector and segment preference indicates consumers are confident about the economy and their finances," TrueCar president John Krafcik said in a statement. Still, Morgan Stanley noted the robust sales did little to immediately impact automaker stock prices and suggested it might be a prime time to sell if sales reach the 18-million pace. "Perhaps the biggest reason may be that investors have seen this movie before," the firm wrote.

GM's Fairfax, Kansas, plant closed through mid-August due to chip shortage

General Motors is further extending downtime at its Fairfax Assembly facility in Kansas City, Kan., due to ongoing microchip supply issues, the company confirmed late Monday. The plant will now remain idled through at least Aug. 16, Automotive News reports. The facility, which produces the Cadillac XT4 and (for now, anyway) the Chevrolet Malibu, was already slated to be on standby until after the upcoming July 4th holiday weekend, but GM was forced to extend the outage again – this time by more than an another month – due to the continued lack of electronic component supply.  While microchip production has begun to catch up to existing production demand, it could take months (perhaps even more than a year) for customers to see relief from the shortage.  Related video: