March 21, 2016
Toyota Dealers Get CPO Leasing
Toyota Division is offering leasing as an option to consumers who want to get behind the wheel of its certified used cars and trucks – just in time for an expected doubling in the number of Toyota and Scion off-lease vehicles that will return to the market, reports Automotive News. In January, Toyota Division began rolling out its certified leasing program in Northeast markets, where leasing is popular and off-lease volume is plentiful. The national rollout will continue as individual regions get their dealers trained, said Tom DeLuise, national Toyota certified and rent-a-car sales and operations manager at Toyota Motor Sales U.S.A. It should be completed by the end of April, when Toyota and Scion off-lease vehicles start returning to the market in greater numbers. The program will help Toyota Division to lower monthly payments and shorten buyers' required commitments to certified used vehicles. That in turn should help the division push its certified sales about 8 percent higher, to 400,000 units this year, said Bill Fay, Toyota Division general manager. The leasing program, he said, "helps protect our brand, is profitable for the dealer and delivers a great pre-owned value to the consumer." Read more about Toyota’s CPO leasing program here.
Baidu to Test Drive Autonomous Cars in the U.S.
Baidu Inc. will soon start testing autonomous cars in the U.S., part of the Chinese tech giant’s effort to introduce a commercially viable model by 2018, reports The Wall Street Journal. The move, disclosed by Baidu’s chief scientist Andrew Ng in an interview late Tuesday, is a significant step for the company, which is trying to get ahead in the race to build autonomous cars and is now calling on the resources of its Silicon Valley tech center to advance the effort. At the same time, Baidu is advocating for better coordination with the U.S. government, which the company says is necessary to get self-driving cars on the road. Central to the push is Mr. Ng, an artificial-intelligence scientist who conducted groundbreaking research at Stanford University and at Alphabet Inc.’s Google. He’s also a co-founder of online-learning company Coursera Inc. Late last year, Beijing-based Baidu became the latest technology company to publicize its intention to develop self-driving cars. As cars increasingly come to resemble robots, nontraditional car makers are gaining a wider berth into the automotive industry. For more on Chinese tech company Baidu’s plan to start testing autonomous cars in the U.S., click here.
Honda's $70 Million NSX Factory Also Serves as a Laboratory
Acura sees its new NSX as a 573-hp North Star, a showcase of technology and performance that the brand hopes will infuse its entire lineup in coming years. Honda has a similar vision for the factory that will build it, reports Automotive News. Next month, after a long wait, Honda's 206,000-square-foot Performance Manufacturing Center in Marysville, Ohio, will begin building the first NSX supercars for customers around the world. Tucked in a low-slung, nondescript building that used to be a parts supply warehouse, the center is a $70 million test bed for production methods that should eventually spread throughout Honda's global manufacturing empire. "The point with this [center] is, if we can do something with eight cars, can we do it with 800?" said Clement D'Souza, the center's chief engineer. "Can we expand that or take that technology and apply it to our other plants?" Potential advances include an innovative paint process, experience gleaned from working with one of the NSX's main elements – aluminum – and new tools and assembly procedures. The center's interior befits the birthplace of an all-wheel-drive hybrid supercar that starts at $157,800, including shipping. For more on Honda’s NSX facility in Ohio, click here.
Former Porsche Executives Acquitted of Manipulating VW Stock
According to The New York Times, two former top executives of Porsche were found not guilty on Friday of stock market manipulation in a case that had also posed a financial threat to the billionaire families who control Volkswagen. Wendelin Wiedeking, 63, the former chief executive of Porsche, and Holger Härter, 59, the former chief financial officer, were acquitted by a German court of charges stemming from a news release the company issued in October 2008. A panel of five judges rejected arguments by prosecutors that the news release and other statements in the months preceding it were intended to mislead investors and to push up the price of Volkswagen shares. Porsche had amassed a huge stake in Volkswagen as part of an aggressive takeover bid. The trial attracted attention because it shed light on events that culminated in the acquisition of a majority of Volkswagen’s voting shares by the Porsche and Piëch families, who owned the sports car maker. In a two-hour explanation for the verdict, in which he was harshly critical of the prosecution case, Judge Maurer rejected their assertion that the Porsche and Piëch families stood to lose 14 billion euros, about $15.8 billion at current exchange rates, if Volkswagen shares had continued falling. For more on last week’s Porsche verdict, click here.
ADESA Signs Deal to Buy SADE
Auto Remarketing reports that less than a month after purchasing all eight Brasher's auctions, ADESA has made yet another big auction purchase move and signed a definitive agreement to buy Sanford Auto Dealers Exchange. The auction is located in Sanford, Fla. ADESA now has five locations in this region, including ADESA Sarasota, ADESA Tampa, ADESA Jacksonville and ADESA Ocala. ADESA said in its news release that the auction will change names to ADESA Orlando. SADE president Mike Tumminello will stay on as general manager. With the purchase of SADE also comes the purchase of the Ocala Auto Dealers Exchange, which will merge into the existing ADESA Ocala auction. It is expected the transaction will close next quarter. “The addition of Sanford Auto Dealers Exchange expands our geographic footprint in the large, robust car market in central Florida,” ADESA president and chief executive officer Stéphane St-Hilaire said in the news release. “It is the perfect fit for bringing our end-to-end vehicle remarketing services and comprehensive online solutions to customers in and around that thriving market. I look forward to having Mike Tumminello and his experienced team join ADESA.” For more on ADESA’s purchase of Sanford Auto Dealers Exchange, click here.
Dealers United: Join AIADA at the 10th Annual International Auto Industry Summit
Make plans today to unite with other dealers in support of the international auto industry this spring at AIADA's 10th Annual International Auto Industry Summit. Happening on May 10-11, in Washington, D.C., AIADA's 10th Annual International Auto Industry Summit will help you understand what you can do to unite with other dealers in defense of your business. This year's event will feature a special congressional lunch on Capitol Hill, an industry executive panel discussion on the future of the auto franchise model, and engaging speakers like Gen. Stanley McChrystal, former commander of U.S. and international forces in Afghanistan; political prognosticator Stuart Rothenberg; and pollster and communications professional Dr. Frank L. Luntz, this year's event is one you don't want to miss. Register for this unique, 24-hour event by clicking here.
If you're attending NADA's convention in Las Vegas, make time to attend AIADA's 46th Annual Meeting and Luncheon. Held Sunday, April 3, the 46th Annual Meeting and Luncheon will feature keynote remarks by Toyota North America CEO Jim Lentz, who will share his vision for Toyota and America's international nameplate auto industry in the years ahead. Don't wait—register today for AIADA's 46th Annual Meeting and Luncheon by clicking here. For more on AIADA's upcoming events, visit AIADA.org/events.
Around the Web
Steps to Make Sure Your Dealership Implements Your Social Media Correctly [CBT News]
2017 Mercedes-Benz GLC Coupe Teased [MotorAuthority]
Maserati Levante: The Italians Deliver a Sporting SUV [Forbes]
Most Powerful Lamborghini Ever is Already Sold Out [CNN Money]