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Renault plans $2.2 billion 'no taboos' cost cutting after first loss in a decade

PARIS — Renault's first loss in a decade triggered a no-taboos commitment on Friday to cut costs by 2 billion euros ($2.2 billion) over the next three years as the automaker tries to put the Carlos Ghosn affair behind it. As ex-Volkswagen brand manager Luca de Meo prepares to take over as chief executive of the French automaker, which has been rocked by the Ghosn scandal, it did not exclude job cuts in a promised review of its performance across all factories. Like many auto industry rivals, including its alliance partner Nissan, Renault is grappling with tumbling demand in key markets like China, and said it expects the sector to be hit further this year, including in Europe. Nissan this week had its first quarterly loss in nearly 10 years and cut its operating profit forecast. In a reflection of this sobering assessment of the market outlook, Renault set a lower operating margin target of between 3% and 4% for 2020, down from 4.8% in 2019, and cut its proposed dividend against 2019 by almost 70% from a year earlier. While Renault faces high investment costs to produce cleaner car models and supply chain problems due to China's coronavirus outbreak, a major challenge remains moving on from the scandal involving former boss-turned fugitive Ghosn, which strained its relations with Nissan and paralyzed joint projects. "It has been a tough year for Groupe Renault and the alliance," acting Chief Executive Clotilde Delbos said on a conference call, adding that the broader autos downturn had hit the company "right when we were facing internal difficulties." Renault could not afford to wait for De Meo's arrival in July to attack costs, Delbos said, adding that nothing would be "taboo" as it reviews its business. Meatier goals would be made public in May, she said, alongside joint plans with Nissan, as executives repeated assurances that the alliance was on track. Delbos also stressed that Renault's automotive operational free cash flow, under scrutiny from analysts, would be positive in 2020 after stripping out restructuring costs. "We're very confident that there is no topic on cash availability within the group," Delbos said. Renault shares recovered from falls in early trading, and were up 1.8% at 1200 GMT despite it posting a loss of 141 million euros ($153 million) for the group share of net income.

Nissan recalling 300k Versas, Armadas in two separate campaigns

Nissan is issuing two recalls that affect a total of 300,301 vehicles in the US. By far the larger of the two covers 298,747 examples of the 2012-2015 Versa and 2014-2015 Versa Note. The center console trim panel on these vehicles can catch a driver's shoe when it's moving from the acclerator to the brake. The delay could potentially cause an accident. To fix things dealers will modify the part, and owners will start being notified in mid-October. NHTSA has been investigating this issue since 2014. The agency moved it from a preliminary evaluation into an engineering analysis earlier this year. At that time there was one crash with minor injuries, among the complaints of the problem. The second recall covers 1,554 examples of the 2015 Nissan Armada with manufacturing dates between April 30, 2015, and June 5, 2015. On them the driver and front passenger seatbelts might not latch properly, or they might not unlatch when the button is pressed. Dealers will inspect the affected vehicles and replace the necessary assemblies if necessary, and the campaign will start in early October. Related Video: RECALL Subject : Lower Trim Panel may Impede Pedal Operation , 1 INVESTIGATION(S) Report Receipt Date: AUG 12, 2015 NHTSA Campaign Number: 15V507000 Component(s): SERVICE BRAKES, HYDRAULIC , VEHICLE SPEED CONTROL Potential Number of Units Affected: 298,747 All Products Associated with this Recall Vehicle Make Model Model Year(s) NISSAN VERSA 2012-2015 NISSAN VERSA NOTE 2014-2015 Details Manufacturer: Nissan North America, Inc. SUMMARY: Nissan North America, Inc. (Nissan) is recalling certain model year 2012-2015 Nissan Versa sedan vehicles manufactured June 9, 2011, to March 11, 2015, and 2014-2015 Nissan Versa Note vehicles manufactured April 23, 2013, to March 11, 2015. The affected vehicles have a center console trim panel that may catch the driver's shoe and delay the transition from the accelerator pedal to the brake pedal. CONSEQUENCE: A delay in the application of the brake pedal would lengthen the distance needed to stop the vehicle and increase the risk of a crash. REMEDY: Nissan will notify owners, and dealers will modify the console trim panel, free of charge. The recall is expected to begin by mid-October 2015. Owners may contact Nissan customer service at 1-800-647-7261. NOTES: Owners may also contact the National Highway Traffic Safety Administration Vehicle Safety Hotline at 1-888-327-4236 (TTY 1-800-424-9153), or go to www.safercar.gov.

Is the skill of rev matching being lost to computers?

If the ability to drive a vehicle equipped with a manual gearbox is becoming a lost art, then the skill of being able to match revs on downshifts is the stuff they would teach at the automotive equivalent of the Shaolin Temple. The usefulness of rev matching in street driving is limited most of the time – aside from sounding cool and impressing your friends. But out on a race track or the occasional fast, windy road, its benefits are abundantly clear. While in motion, the engine speed and wheel speed of a vehicle with a manual transmission are kept in sync when the clutch is engaged (i.e. when the clutch pedal is not being pressed down). However, when changing gear, that mechanical link is severed briefly, and the synchronization between the motor and wheels is broken. When upshifting during acceleration, this isn't much of an issue, as there's typically not a huge disparity between engine speed and wheel speed as a car accelerates. Rev-matching downshifts is the stuff they would teach at the automotive equivalent of the Shaolin Temple. But when slowing down and downshifting – as you might do when approaching a corner at a high rate of speed – that gap of time caused by the disengagement of the clutch from the engine causes the revs to drop. Without bringing up the revs somehow to help the engine speed match the wheel speed in the gear you're about to use, you'll typically get a sudden jolt when re-engaging the clutch as physics brings everything back into sync. That jolt can be a big problem when you're moving along swiftly, causing instability or even a loss of traction, particularly in rear-wheel-drive cars. So the point of rev matching is to blip the throttle simultaneously as you downshift gears in order to bring the engine speed to a closer match with the wheel speed before you re-engage the clutch in that lower gear, in turn providing a much smoother downshift. When braking is thrown in, you get heel-toe downshifting, which involves some dexterity to use all three pedals at the same time with just two feet – clutch in, slow the car while revving, clutch out. However, even if you're aware of heel-toe technique and the basic elements of how to perform a rev match, perfecting it to the point of making it useful can be difficult.