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Automakers, dealers are rushing cars to Houston after Harvey

DETROIT — Houston-area car retailers and automakers are rushing to reopen dealerships and beef up inventory to replace many hundreds of thousands of vehicles damaged in flooding from Hurricane Harvey. Pete DeLongchamps, vice president for manufacturer relations at Group 1 Automotive, the third-largest U.S. auto dealer group, said the company prepared for the storm with a plan designed after Hurricane Katrina in 2005. This included moving moved inventory to higher ground and cleaning roof drains to avoid cave-ins. Group 1 thus lost a "relatively small percentage" of inventory and reopened its roughly 25 dealerships in the Houston and Beaumont area by Thursday. "Things have been moving fast and furious with a large number of tow-ins already," DeLongchamps said. "Our customers have lost a lot of vehicles, we need to help them replace." Harvey brought record flooding to Houston and killed at least 35 people. The storm is expected to briefly depress already slowing U.S. auto sales but could eventually help boost demand as damaged cars are replaced. Automakers report U.S. August sales on Friday. Estimates for the number of Harvey-damaged vehicles needing replacement range up to 500,000. By Thursday, AutoNation, the largest U.S. auto retail chain, had reopened its 17 Houston stores and is moving cars and trucks from other regions, company spokesman Marc Cannon said. The company plans to move 500 to 1,000 used cars to an AutoNation USA used car store and stage a sale Sept. 21-23, when many would-be buyers should have insurance checks to replace destroyed vehicles, Cannon said. AutoNation is still assessing how many vehicles it lost, but it too moved vehicles to higher ground ahead of the storm. General Motors spokesman Jim Cain said the number of damaged vehicles at dealerships "is relatively modest." "But there are still several dealerships that are inaccessible, so the number will increase," he said. GM will move new and used vehicles to Houston, "but it won't be done until the infrastructure and our dealers are ready." Ford is still assessing damage and inventory needs, a spokeswoman said. CarMax, the biggest U.S. used car dealer, will reopen its six Houston area stores on Labor Day, spokeswoman Claire Hunter said. "We are mobilizing additional inventory to the region as we speak," Hunter said. Paul Lips, chief operating officer at ADESA, a unit of KAR Auction Services Inc., which with Manheim dominates the U.S.

Peugeot maker PSA posts record profits ahead of FCA merger

PARIS — Peugeot maker PSA Group said its profitability reached a record high in 2019 but the French carmaker forecast falling industry sales in Europe this year as it pursues its merger with Fiat Chrysler, which is strong in North America. PSA has trimmed costs in areas such as the procurement of components as it has integrated its acquisition of Opel and Vauxhall, boosting operating margins to 8.5% last year. The group, which also produces cars under the Citroen and DS brands, offset a slump in vehicle sales by selling pricier SUV models, with launches including the Citroen C5 Aircross helping to lift revenues by a higher-than-expected 1% to $81.2 billion (74.7 billion euros). That helped it stand out in a car market where some rivals including France's Renault have struggled with sliding revenues and profits, amid a broader downturn in demand. PSA's group net profit increased 13.2% to a record 3.2 billion euros, and the company increased its dividend against 2019 results to 1.23 euros per share, up 58% from 2018 levels. The carmaker was "once again very solid", analysts at brokerage Oddo-BHF said in a note, adding the results confirmed the company's "best-in-class status." However PSA forecast a 3% contraction in Europe's car market this year, by far its biggest market. The tie-up with Fiat Chrysler will help it gain exposure to that group's strong presence in North America with brands like Jeep. The two companies struck a deal in December to create the world's No.4 carmaker, to better cope with market turmoil and the cost of making less-polluting vehicles. Fiat also posted more upbeat results than most rivals this year. CORONAVIRUS WEIGHS PSA boss Carlos Tavares told a news conference that the two groups were both in good shape and well placed to face market challenges together. He said he did not expect any major regulatory hurdles to the merger, adding it had so far submitted 14 approval requests to competition authorities out of the 24 it needs. There are no immediate plans to change anything in the large portfolio of brands within the combined group, he added. However the companies still face problems this year, including the coronavirus outbreak which has paralyzed production in China and hits carmakers' supply chain. PSA said the coronavirus impact was still difficult to assess. It factories in Wuhan, at the epicenter of the outbreak, are due to reopen in the second week of March.

Junkyard Gem: 2001 Chrysler Voyager

When a car brand gets the axe from its owners, it's not as easy as flipping a switch. Sometimes models of that brand still sell enough to be worth carrying on under the original name. That was the difficulty presented by the deletion of the Plymouth marque by Chrysler after the 2001 model year; sales of the Plymouth Neon could continue here (for a few more years) with Dodge badges, as had been the case all along, but what about the still-popular Plymouth Voyager minivan? As the most proletarian of the Town & Country/Caravan/Voyager minivan triumvirate, the Voyager name had been on Plymouth minivans since 1984 and on full-sized Plymouth siblings of the Dodge Tradesman/Sportsman since 1974. So, when an updated Chrysler minivan arrived for the 2001 model year, the Voyager name lived on — briefly — as the lowest trim level of Chrysler-badged minivans. Here's one of those rare machines, found in a Denver boneyard recently. For the 2001 through 2003 model years, the Dodge Caravan lived in the middle of the Chrysler Corporation minivan prestige pyramid, flanked by the Chrysler Voyager below and the Chrysler Town & Country above.  In the European market, of course, Chrysler Voyagers (and Chrysler Neons) were sold for decades. Trivia fans might also recall the Lancia Voyager and Chrysler Grand Caravan, both available for a while in the European market. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. In fact, the idea of a Lancia Voyager seems sufficiently amusing that we should watch a Dutch-language advertisement for it right now. This is the pushrod 3.3-liter V6 engine, originally developed as a more powerful alternative to the Mitsubishi V6s that went into so many Chrysler vehicles during the 1980s and 1990s. This one was rated at a respectable 180 horsepower. You could get a manual transmission in US-market Voyagers and Caravans through the 1995 model year, but the days of three-pedal Chrysler minivans were long gone for American car shoppers by the dawn of our current century. So, it's a gem from a historical standpoint but not exactly the sort of vehicle that inspires the howls of outrage from enthusiasts over, say, a discarded Lotus Esprit or Jensen Interceptor. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.