2014 Jeep Grand Cherokee Summit on 2040-cars

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Fiat Chrysler profit up as it closes in on retiring its debt

MILAN — Fiat Chrysler Automobiles reduced its debt by more than expected in the first quarter, putting the carmaker well on course to become cash positive later this year. Chief Executive Sergio Marchionne expects to cancel all debt during 2018 — possibly by the end of June — and generate around 4 billion euros ($5 billion) in net cash by the end of the year. Marchionne has said that forecast does not include any one-off measures, nor the impact of the planned spinoff of parts maker Magneti Marelli, which he hopes to execute by early 2019. The world's seventh-largest carmaker said on Thursday net debt had fallen to 1.3 billion euros ($1.6 billion) by the end of March, well below a consensus forecast of 2.6 billion euros in a Thomson Reuters poll of analysts. FCA said capital spending fell 900 million euros in the quarter due to "program timing," which analysts said implied higher investments for the rest of the year. The Italian-American group said first-quarter operating profit rose 5 percent to 1.61 billion euros, below a consensus forecast of 1.74 billion, as a weaker performance from its North American profit center weighed. Shipments there were higher due to the new Jeep Wrangler and Compass models. But currency moves hit revenues and earnings, and costs related to new product launches added to the pressure. FCA's shift to sell more trucks and SUVs boosted margins yet again in North America to 7.4 percent from 7.3 percent in the same quarter a year ago, although they were down from the 8 percent recorded in the preceding three months. Marchionne, preparing to hand over to an internal successor next year, is close to his goal of ending a margin gap with larger U.S. rivals General Motors and Ford. The 65-year-old has said becoming debt free and being able to compete on a par with U.S. peers would mean FCA no longer needed a partner to survive and could well succeed on its own. The CEO has previously said tying up with another carmaker would help to meet the huge costs in an industry investing in electric vehicles and automated driving. FCA shares fell immediately after the results, but recovered to trade up 3 percent at 19.71 euros by 1150 GMT, outperforming a 0.4 percent rise in Europe's blue-chip stock index. ($1 = 0.8214 euros) Reporting by Agnieszka FlakRelated Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

Lexus tops JD Power Vehicle Dependability Study again, Buick bests Toyota

It shouldn't surprise anyone, but Lexus has once again taken the top spot in JD Power's Vehicle Dependability Study. That'd be the Japanese luxury brand's fourth straight year at the top of table. The big news, though, is the rise of Buick. General Motor's near-premium brand beat out Toyota to take second place, with 110 problems per 100 vehicles compared to Toyota's 111 problems. Lexus owners only reported 89 problems per 100 vehicles. Besides Buick's three-position jump, Scion enjoyed a major improvement, jumping 13 positions from 2014. Ram and Mitsubishi made big gains, as well, moving up 11 and 10 positions, respectively. In terms of individual segments, GM and Toyota both excelled, taking home seven segment awards each. The study wasn't good news for all involved, though. A number of popular automakers finished below the industry average of 147 problems per 100 vehicles, including Subaru, (157PP100), Volkswagen (165PP100), Ford/Hyundai (188PP100 each) and Mini (193PP100). The biggest losers (by a tremendous margin, we might add) were Land Rover and Fiat, recording 258 and 273 problems per 100 vehicles. The next closest brand was Jeep, with 197PP100. While the Vehicle Dependability Study uses the same measurement system as the Initial Quality Survey, the two metrics analyze very different things. The VDS looks at problems experienced by original owners of model year 2012 vehicles over the past 12 months, while the oft-quoted IQS focuses on problems in the first 90 days of new-vehicle ownership. Like the IQS, though, the VDS has a rather broad definition of what a problem is. Because of that, a low score from JD Power is no guarantee of extreme unreliability, so much as just poor design. In this most recent study, the two most reported problems focused on Bluetooth connectivity and the voice-command systems. The former leaves plenty of room for user error due to poor design (particularly true of the Bluetooth systems on the low-scoring Fords, Volkswagens and Subarus), while the second is something JD Power has already confirmed as being universally terrible. That makes means that while these studies are important, they shouldn't be taken as gospel when it comes to automotive reliability. News Source: JD PowerImage Credit: Copyright 2015 Jeremy Korzeniewski / AOL Buick Fiat Ford GM Hyundai Jeep Land Rover Lexus MINI Mitsubishi RAM Scion Subaru Toyota Volkswagen Auto Repair Ownership study

We test the latest Easter Jeep Safari off roaders in Moab

The Easter Jeep Safari began as a play for tourism: in 1967 the Moab Chamber of Commerce invited "the Jeeping community" to ride a single trail on the Saturday before Easter. The attendees were mostly members and friends of the Chamber of Commerce. Now, 52 years later, the nine-day Safari takes place on more than 40 trails and lures thousands of Jeepers, who put on one of the biggest and best modified Jeep shows in the world. Cue the designers at Jeep and Mopar, who mastermind new ideas every year for what a modified Jeep could look like, with inspiration from the experiences they have and the mods they see at the Safari. We flew to Moab to drive the seven newest concepts, and start the recap with the disappointments: The B-Ute and the 4-Speed, but only because we couldn't drive them. Before the day had properly begun, those two designer treats had tapped out. The Renegade – internally codenamed B Utility, hence the "B-Ute" name – always feels like The Little Engine that Could when placed next to its halo Wrangler brother. In addition to the cosmetic changes, designers put the arcane caption "Lt. Jenkins" above "FWD1337" (explanations of those two memes here and here). The B-Ute would have been nice to drive if for no other reason than shouting "Leeeroy Jenkins" all around the course. View 16 Photos We rued missing out on the 4-Speed. The blue wonder is the third of a conceptual trio called "The Lightweights," focused on nimble trail handling provided by weight savings. The first of the Lightweights, the 2011 Pork Chop concept, cut 900 pounds from a standard Wrangler Sport. The 2013 Stitch concept lopped 1,100 pounds. The 4 Speed omits 900 pounds. Jeep brought both earlier concepts, and they were revelations. The Stitch was a throwback to stripped-out Dukes-of-Hazard-style Jeep romping. Round vents at the edges of the instrument panel act as side mirrors, Fiat Abarth seats grip occupants, the lemon-hued bikini top sewn from a transparent welding curtain bathes the cockpit in yellow light. Daisy Duke drove a 1980 CJ-7 that had 87 horsepower to move 2,700 pounds. The Stitch weighs about 3,200 pounds, but gets 290 hp. The Stitch skimmed over rocks and floated over sand, so light on its feet that Jeep lead designer Mark Allen told us the 35-inch Mickey Thompson MTZ tires were inflated to a mere 3 psi. The 4-Speed concept's pretty close to the Stitch weight thanks to carbon bits and lighter four-cylinder engine.