Winter is coming. Like any true Seattle suburbanite, I dread the debut of the white stuff. We’re so scared of snow up here that the local insurance company even aired commercials teasing us about it. (Read More…)
The predominant critique of the cash-for-clunkers programs that have proven so popular in the US and Europe is that they cause unsustainable demand bubbles which cause sales to collapse after they expire. Sure enough, a look at the German market’s Q1 performance shows that the OEMs who most benefited from the program (primarily firms who focus on low-cost cars) are seeing far more significant declines than US-market firms have seen. In the first three months of this year, firms like Hyundai (-40%), Fiat (-58%), Suzuki (-54.6%) and Kia (-49.4%) have been suffering mightily from a hangover caused by the world’s most generous cash-for-clunker program. But the big news isn’t this small-car bust: it’s the fact that these firms’ success last year have caused the percentage of cars on German roads with electronic stability programs (ESP/ESC) to fall.
sunridge place - ‘Thanks for bringing up the loan covenant and DIP financing. I didn’t want to get that explicit since someone would have taken exception to my comment and...
highdesertcat - Thanks for bringing up the loan covenant and DIP financing. I didn’t want to get that explicit since someone would have taken exception to my comment and...
jimbob457 - If you don’t know what a loan covenant or DIP financing is, you are clueless as a baby about what really happened in 2008-9. It was effectively not a bailout,...
highdesertcat - Buickman, doc’s not wrong. He just has a different perspective on the matter. He’s looking at it from the top down. We’re looking at it from...
Recent Comments
sunridge place - ‘Thanks for bringing up the loan covenant and DIP financing. I didn’t want to get that explicit since someone would have taken exception to my comment and...
TAP - The button trans was very reliable. My ’66 Saab had 4-on-the-tree also. It never hung up like my ’63 Nova shifter- I would...
28-Cars-Later - Well put.
28-Cars-Later - I agree its a bit crazy, but if you look a whats out there for families none of it is very fuel efficient.
highdesertcat - Thanks for bringing up the loan covenant and DIP financing. I didn’t want to get that explicit since someone would have taken exception to my comment and...
oldowl - If you live near Ft. Myers I sympathize. The Kia dealer there is ultimately obnoxious. And always on.
indi500fan - Excellent analysis. The clear coat is coming off like a lot of late 80s GMs that were factory painted with early versions of...
jimbob457 - If you don’t know what a loan covenant or DIP financing is, you are clueless as a baby about what really happened in 2008-9. It was effectively not a bailout,...
highdesertcat - Buickman, doc’s not wrong. He just has a different perspective on the matter. He’s looking at it from the top down. We’re looking at it from...
Scoutdude - Hatchback = Cheap/Econobox/Penalty box is a large amount of it IMHO.