California Set to Slash Lawmakers' Vehicle Costs in Half, No More Freebies

In an attempt to help reduce California's $26.6 billion deficit, the state's Citizens Compensation Commission has decided that members of the Senate and Assembly who drive state-sponsored vehicles will have their annual vehicle costs cut from $7,453 to $3,600. That boils down to $300 per month for expenses (gas, insurance, etc.), and oh, they'll have to drive their own cars as of December…

California lawmakers average an income of $131,000 per year before retirement benefits, and reducing vehicle costs is one minor cut that's being made for the betterment of the whole. Some people thought the measure was a bit too broad, not taking into account lawmakers' locations.

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Nissan to Show New Versa and a Motorsports Concept in New York, Infiniti to Announce New Addition to Range

One by one, automakers are revealing their plans for the upcoming 2011 New York International Auto Show. This time we have news from Nissan and its luxury division Infiniti. Starting with Nissan, the Japanese firm will debut a “new compact sedan” and a “new, zero emission motorsports concept”. While we have don’t have any information yet on the concept study, from what we know, the compact sedan will be the next generation of the Versa that was teased in an official sketch back in late 2010.

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Saved by Antonov: Saab Sells Production Facilities to Russian Banker to Get Cash

The Swedish government offered Saab conditional backing for a deal to free up cash for the company (see previous story here), whose production lines have been stopped for two weeks as Saab didn't pay suppliers. "We have decided to allow the Debt Office to conclude an agreement with Saab," said enterprise minister Maud Olofsson during a news conference on Friday.

The government has approved a proposal from the Debt Office to allow Saab to sell real estate, including the production plant, to Russian financier Vladimir Antonov and then lease it back from him. The minister said this deal would bring €30 million to Saab in the first phase, although the real estate was worth much more than that.

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Saab Roller Coaster Continues as Cash Gets Tight

Saab just can't seem to catch a break. After moving from the General's formerly overcrowded pocket into the hands of Spyker, the once-quirky brand is now doing all it can to bring production back online after failing to pay suppliers.

The gist is this: Saab received 400 million Euros (~$580 million) from the European Investment Bank so it could keep on ticking. Sweden guaranteed the loan, meaning whatever Spyker's resolution calls for must get the go-ahead from the Man.

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Seat to Launch in China in 2012, will be at the Shanghai Auto Show

As part of the VW Group’s strategy to expand its brands into new markets, the German automaker will bring Seat to the Shanghai Auto Show (April 21-28, 2011) offering Chinese buyers their first taste of the Spanish firm’s cars before sales begin with the Leon and Ibiza models in 2012. Read more »

Aston Martin Enters Indian Market, Opens its First Dealership in Mumbai

British sports car-maker Aston Martin announced its first foray into India’s booming luxury market on Friday with the opening of its first dealership in the country located in the city of Mumbai. India’s car market posted sales of 1.87 million units in 2010 recording an impressive 25 percent increase over the previous year. More importantly for brands like Aston Martin, the premium car sector grew by a staggering 70 percent last year.

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After Tsunami, American Automakers Looking for Home Turf Sales Boost

According to CNN’s Fortune and simple, cold-hearted business logic, now is the prime time for American manufacturers to take advantage of recent catastrophic events and pounce on their home market's consumers. A lack of Japanese parts (or entire vehicles), in conjunction with a strong yen and ever-improving American small cars, has given Ford, GM, and Chrysler a potential sales pick-me-up as we stroll into the summer months.

Two of the three factors which will help American manufacturers' sales stem directly from the tsunami in Japan a month ago: factory shutdowns have limited parts/vehicle availability, while the yen gained value as the Japanese are expected to repurchase some currency for disaster mitigation.

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Dodge Viper SRT10 ACR Shatters Corvette ZR1’s Record at Miller Motorsports Park [with Video]

The Dodge Viper SRT10 American Club Racer (ACR) broke the production car lap record at Miller Motorsports Park, dipping below the 2-minute mark for the first time ever at the 3.048-mile Outer Course configuration. Dodge driver Kuno Wittmer stopped the clock at 1:59.995, beating the previous record held by Jan Magnussen in a Corvette ZR1 by almost four seconds (2:03.86).

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Kia Confirms 2012 Rio Sedan and Hatch, and 2012 Soul Facelift for New York Show

In a move that shows Kia has no intention of letting the momentum it has gained with the launch of seven new products in the past two years fade away, the South Korean automaker confirmed today the world premiere of two new models at the rapidly approaching New York Auto Show (April 22 – May 1).

The first global debut concerns the four-door sedan version of the 2012 Kia Rio, which was unwrapped in hatchback form at the Geneva Salon in March. The 2012 Rio sedan will be joined by the North American debut of the Rio5 hatchback.

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European Union Asks Formula 1 to go Electric

In 2006, Al Gore’s An Inconvenient Truth brought global warming to the forefront of the world’s consciousness. Regardless of what end of the spectrum you stand on this issue, you have to admit that it’s real, it’s bad and if we don’t do anything it’s only going to get worse. To me and many others, it’s that simple.

So naturally we’re targeting the obvious culprits: Big Mining, Big Agriculture and Big Automotive. We’re also encouraging the average man and woman to use less and be environmentally responsible. So what about the world’s biggest and most prestigious automotive racing category: Formula 1? What are they doing to stem the tide of global warming?

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BMW Invests More in its 'i' Project, Snatches Chevy Volt’s Lead Engineer from GM

BMW recently acquired Frank Weber, formerly head of Opel/Vauxhall's product planning division and lead engineer on Chevrolet's Volt. Automotive News Europe reports that he will become head of BMW's vehicle architecture and integration division.

Weber will be in control of EfficientDynamics (the green stuff), driver safety/assistance tech, and "full vehicle concepts and architecture", as well as bringing a whole bunch of electrical wizardry and know-how to BMW's nascent electric future.

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Ford Expands Airbag-Related F-150 Recall to another 1.2 Million Units

Ford has issued a massive recall action for its top-selling U.S. model, the F-150 pickup truck, of which around 1.2 million units are involved. The move comes after Ford agreed in February to recall more than 150,000 F-150 vehicles built between 2004 and 2006 for possible airbag faults. Read more »

Fiat Announces U.S.-Spec Version of 500 Cabrio

After releasing the three-door hatchback variant of the 500 in the U.S., Fiat announced today a new addition to the range of its 1950s style model, the 500C, where ‘C’ stands for Cabrio. However, most will quickly notice that the 500C isn’t really a full-fledged convertible model as the Italian company opted to revive the rollback canvas roof from the original Cinquecento (500). Read more »

Fiat SpA Could Raise Chrysler Ownership to 46 Percent as Early as June

Only two days ago, Fiat SpA announced that it had obtained an additional 5 percent of Chrysler increasing its stake to 30 percent. Now it seems that the Italian group's plans are to raise Chrysler ownership to 46 percent by June of this year, according to an Automotive News report. The news site quotes two unnamed insiders with direct knowledge of the matter who talked about Fiat CEO Sergio Marchionne's plans.

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Definitely not a Safety Feature: The Broken Chevy Cruze Wheel that Launched 2,100 Inspections [with Video]

Thanks to the worldwide web of ours, we now have some video of the one and only (so far) recall-inducing 2011 Chevrolet Cruze. For the full story, check out our previous post here. The nitty-gritty is that a guy, his wife, one of their mothers, and their 19-month-old son were in the car when the steering wheel decided it wasn't really needed anymore and took a hike...at 65 miles per hour.

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Big Brother Is Watching (You Drive) Part Deux: Rule Britannia!

In the past we’ve reported on American insurers that are offering lower premiums to young drivers in return for some of their privacy. The idea is that a camera or electronic “black box” is installed in a provisional licensee’s vehicle, which monitors driving behavior on the road. It’s Big Brother behind the wheel and a lot of parents – and a few reluctant teens – are more than willing to make the trade.

Now a UK based insurer called Marmalade will offer a similar package across the pond. The idea is a simple one: Marmalade will lease cars fitted with a data recorder (a.k.a. “black box”) to newly qualified drivers. Information on every journey is recorded and beamed back to the insurance company’s website analysis. This includes how fast the car accelerates, how quickly it corners and how harshly it brakes.

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Lancia Opens Order Book for Ypsilon, Prices Start at €12,400 ($17,890) in Italy

Starting from today, the all-new Lancia Ypsilon is available for order in Italy with first deliveries scheduled for June in major European markets and September for the Chrysler badged model that will be offered in the UK and Ireland.

Available for the first time in a five-door body style, the fourth generation Ypsilon will be offered in three trim levels (Silver, Gold and Platinum), 17 body colors (four of which are two-tone schemes), six different upholsteries, three types of alloy wheels and three engine choices. All of these options will allow for a total of 600 different model combos.

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Japanese Carmakers Lose More than 500,000 Vehicles to Earthquake, Toyota hit the Worst

It’s been over a month since the first of a series of earthquakes along with a catastrophic tsunami hit Japan’s shores resulting in devastating destruction and flooding, but the country is still feeling the effects in more ways than one.

According to a news report, Japan’s big seven automakers have lost more than half a million units of output since the March 11 quake. To make matters worse, even though many factories opened recently, they have not yet reached their full production capacity due to a lack of parts.

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Fiat SpA Boosts Chrysler LLC Stake to 30 Percent

Fiat’s merger with the Chrysler Group seems to be going well as the Italian company increased its overall stake in the Detroit automaker from 25 to 30 percent on Tuesday.

“The increase is the result of the Company’s achievement of the second of three performance-related milestones outlined in a recent amendment to its June 10 2009 Operating Agreement, which broadens the Chrysler Group-Fiat partnership and enhances Chrysler Group’s international market position,” Chrysler said in a press statement.

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Patrick Pélata Resigns as Renault's COO in the Wake of EV Spy Scandal…but Remains at the Company

The botched espionage affair that rocked French carmaker Renault the past few months is once again in the headlines. Renault's Chief Operating Officer once again handed his resignation to the CEO Carlos Ghosn, but this time the group’s boss accepted it.

The move comes after the completion of two audits on Renault's wrongful handling of the affair, which resulted in three executives being fired without justification. “The audits evidenced the chain of failings and dysfunctions within the company, particularly as regards the supervision and control of the Group Security Department,” reads Renault's press release.

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