The Truth About Cars » the wall street journal http://www.thetruthaboutcars.com The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. Fri, 04 Sep 2015 06:46:49 +0000 en-US hourly 1 http://wordpress.org/?v=4.2.4 The Truth About Cars is dedicated to providing candid, unbiased automobile reviews and the latest in auto industry news. The Truth About Cars no The Truth About Cars editors@ttac.com editors@ttac.com (The Truth About Cars) 2006-2009 The Truth About Cars The Truth About Cars » the wall street journal http://www.thetruthaboutcars.com/wp-content/themes/ttac-theme/images/logo.gif http://www.thetruthaboutcars.com Wall Street Journal v. GM: A Public Battle For Editorial Independence http://www.thetruthaboutcars.com/2015/04/wall-street-journal-v-gm-public-battle-editorial-independence/ http://www.thetruthaboutcars.com/2015/04/wall-street-journal-v-gm-public-battle-editorial-independence/#comments Fri, 24 Apr 2015 17:00:18 +0000 http://www.thetruthaboutcars.com/?p=1053417 Once upon a time, The Wall Street Journal faced off against General Motors over editorial independence, and won. According to ProPublica president Richard Tofel, who wrote an entire chapter about the story for his book, “Restless Genius: Barney Kilgore, The Wall Street Journal, and the Invention of Modern Journalism,” the conflict between the two giants […]

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Once upon a time, The Wall Street Journal faced off against General Motors over editorial independence, and won.

According to ProPublica president Richard Tofel, who wrote an entire chapter about the story for his book, “Restless Genius: Barney Kilgore, The Wall Street Journal, and the Invention of Modern Journalism,” the conflict between the two giants began over 60 years ago this May.

The story goes that GM CEO Harlow “Red” Curtice happened upon a report in the WSJ about the tactic of selling excess inventory through smaller independent dealers at cut-rate prices – bootlegging – a tactic used by his company and his competitors in Detroit. The report also covered the editorial policies of the newspaper’s local competitors – which had banned advertising of non-franchise dealers involved in bootlegging – citing the Detroit Three’s influence in advertising departments had begun to creep into the newsroom.

As a result, Ward’s Automotive Reports had cut the WSJ off from its weekly newsletter subscription. However, an exclusive published in late May – styling renders of the 1955 models from the Detroit Three – was the straw that broke Curtice’s back.

Fearing that sales of 1954 models would crash as a result of the exclusive, GM cancelled all of its advertising with the newspaper that day and barred access to its weekly production figures; the Associated Press was also barred when GM learned the Journal had tried to go through the media organization to get the figures. Editor Barney Kilgore later told Time magazine his paper declined to attend the “off-the-record” new-model briefing that year, citing the Detroit Three’s tendency to go “off the record” nearly all the time as the reason for not playing the game.

What followed was two months of editorials defending its stance on the two stories, letters to the editor from readers who either weren’t happy with Kilgore’s decision or stood behind the newspaper, and a number of other publications, such as Ad Age and Tide magazine (an advertising trade journal, not to be confused with Time), calling out GM and Curtice’s behavior in the matter.

Speaking of the letters, Kilgore chose one from a reader to pass along with one of his own – calling for a way to settle the issue reasonably – to Curtice. The letter, by Roy Brenholts of Columbus, Ohio, stated that Brenholts would trade one of his two Cadillacs for a Ford instead of trading the Ford he owned for a Chevrolet, adding that he would avoid Cadillac until GM stopped their “Hitlerite attitude” toward the newspaper.

The meeting between Curtice and Kilgore led to two letters being published back-to-back in early July. Curtice wrote that breaking off relations with the WSJ was better than suing – though he wouldn’t hesitate to consider the latter next time – but that he never intended to interfere with editorial. Kilgore, in return, noted that the flow of information – weekly sales figures, news releases et al – had come back to normal, his paper had the right to publish news from authorized and unauthorized sources, and he, not the advertisers, would be the final arbiter in what was published in the first place. This established the WSJ as a newspaper with unflappable independence and integrity before the public in so doing.

[Photo credit: Robert Emperley/Flickr]

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WSJ To Tesla: Cast Aside Corporate Welfare To Improve Image http://www.thetruthaboutcars.com/2015/02/wsj-tesla-cast-aside-corporate-welfare-improve-image/ http://www.thetruthaboutcars.com/2015/02/wsj-tesla-cast-aside-corporate-welfare-improve-image/#comments Tue, 17 Feb 2015 14:00:51 +0000 http://www.thetruthaboutcars.com/?p=1002850 Despite its visions of having a valuation on par with Apple within a decade, Tesla’s subsistence on subsidies may be hard for some to swallow. The Wall Street Journal said as much in an opinion piece following Tesla CEO Elon Musk’s proclamation to grow his company 50 percent annually, with a stock valuation of $700 […]

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Despite its visions of having a valuation on par with Apple within a decade, Tesla’s subsistence on subsidies may be hard for some to swallow.

The Wall Street Journal said as much in an opinion piece following Tesla CEO Elon Musk’s proclamation to grow his company 50 percent annually, with a stock valuation of $700 billion to come in 10 years’ time; the company is currently valued at $27 billion. The publication points out that its $108 million loss in Q4 2014 — thought to be linked to delivery issues, a strong dollar and manufacturing issues — would have been much worse had it not taken $86 million from selling federal carbon credits that quarter.

Continuing with the train of thought, WSJ noted those credits were the result of Tesla’s lineup falling in line with federal and state fuel-efficiency and ZEV mandates, the surplus of said credits being sold to other automakers whose own lineups may be lacking in the green department. In 2014 alone, Tesla sold $216 million in credits, matching 7 percent of what the company sold in EVs.

Other points noted include the $1.5 billion in tax breaks bestowed upon the automaker in its native California and in Nevada, where its Gigafactory battery-pack production facility, as well as the $7,500 federal tax rebate consumers receive upon purchasing a Model S. The publication concluded by urging Musk to “turn off the taxpayer tap,” on the premise that by so doing, he and his company would gain more friends “for the long haul,” whomever they may be.

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Ford: Automotive Industry Must Prepare To Rethink Transportation http://www.thetruthaboutcars.com/2014/07/ford-automotive-industry-must-prepare-to-rethink-transportation/ http://www.thetruthaboutcars.com/2014/07/ford-automotive-industry-must-prepare-to-rethink-transportation/#comments Wed, 09 Jul 2014 13:00:28 +0000 http://www.thetruthaboutcars.com/?p=862177 Sharing the pages of The Wall Street Journal’s 125th Anniversary issue with the likes of Mark Zuckerberg, Larry Summers and Taylor Swift, Ford Executive Chairman Bill Ford, Jr. sees a future for the automotive industry so bright, he’ll need to wear shades. The chairman wrote in his op-ed for the paper that the automobile will […]

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Bill Ford in Turkey

Sharing the pages of The Wall Street Journal’s 125th Anniversary issue with the likes of Mark Zuckerberg, Larry Summers and Taylor Swift, Ford Executive Chairman Bill Ford, Jr. sees a future for the automotive industry so bright, he’ll need to wear shades.

The chairman wrote in his op-ed for the paper that the automobile will become “part of a larger ecosystem,” and the industry must act accordingly. He explains that this challenge “represents a $130 billion business opportunity” to develop solutions to growing transportation concerns, such as a vehicle’s interactions with a city’s multi-modal infrastructure as a result of more people moving back into cities.

Ford also believes ridesharing companies like Uber and Lyft are signalling a shift from individual ownership, going as far as to proclaim the practice “may not be the primary model of vehicle ownership in the future.” He adds that future vehicles will be heavily connected with each other for high optimization of his future transportation ecosystem, noting the early phases of the connected car are already in existence.

Finally, the chairman states driving itself will need to be redefined thanks to autonomous vehicles taking the wheel — or lack thereof, in Google’s case — from the driver in more and more situations. In turn, drivers who would have handed over their keys in their twilight years would now have more time and greater mobility through autonomous technologies, as well as those with physical disabilities.

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Ed Niedermeyer In Today’s Wall Street Journal http://www.thetruthaboutcars.com/2012/11/ed-niedermeyer-in-todays-wall-street-journal/ http://www.thetruthaboutcars.com/2012/11/ed-niedermeyer-in-todays-wall-street-journal/#comments Sat, 03 Nov 2012 19:18:12 +0000 http://www.thetruthaboutcars.com/?p=465799 TTAC alumni Ed Niedermeyer has an op-ed in the Wall Street Journal. The piece discusses the spin surrounding the bailout in this year’s campaign. Check it out here.

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TTAC alumni Ed Niedermeyer has an op-ed in the Wall Street Journal. The piece discusses the spin surrounding the bailout in this year’s campaign. Check it out here.

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