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Archive for October, 2007

2007 Finalist: Chevrolet Avalanche Z71 Now more of a player than a leader

Written by Mehul Brahmbhatt on Oct 1st, 2007 | Filed under: Trucking News

From its introduction in 2002, the Avalanche has offered the best of both worlds: the passenger benefits of an SUV with the function and practicality of a full-size pickup truck. Sporting a new Suburban SUV platform, the Avalanche has all the same features (flop-down midgate, hardtop bed cover, and side-mounted lockable storage) of the previous model, with the addition of the redesigned frame, suspension, new body panels, and interior. In fact, the interior improvements are by far the vehicle’s most impressive enhancements–improved gauge layout, tight material seams, and texture choices. The dash itself has a more sedanlike look and feel, with a nav-screen option that includes a backup camera that’s functional and fun to play with–almost distracting.

 

The information computer, where a readout demonstrates exactly when the engine is in V-4 or V-8 mode, is addictive to watch. However, as much as we like these features, the Avalanche is far from perfect. This platform offers a comfortable soft ride when driven with a soft foot. But when pushed, it feels ponderous and bloated, especially when cornering. In fact, because it has an SUV platform, it’s carrying 500 or 600 pounds (or more) in extra weight when compared with a conventional pickup like the Silverado. Additionally, the complexmidgate (a pass-through drop-wall between the cab and bed) accounts for much of the vehicle’s bloated weight. Finally, although coil-spring suspensions have an advantage, the Avalanche springs caused sea sickness when running near full payload on our coastal mountain drive loops.

Most of our judges agree that the Avalanche, in spite of the extra mass and familiar tricks, didn’t hit the superiority or significance meter as it had when it won Truck of the Year in 2002. Add that to the fact that GM has taken away the heavy-duty version of the Avalanche–a bummer for truck guys who need the bigger, stronger towing option–and its fate was sealed.


September auto sales predictions at a glance

Written by Mehul Brahmbhatt on Oct 1st, 2007 | Filed under: Latest News, Latest News

THE FORECAST: Many industry analysts are predicting another down month for auto sales in September, increasing pressure on U.S.-based automakers who are restructuring to compete with their Asian rivals.

THE NUMBERS: JPMorgan auto analyst Himanshu Patel forecast an annualized selling rate of 15.9 million vehicles in September, 4 percent below the same month last year. The annual rate was 16.5 million in 2006. If the full-year selling rate drops to 16 million, 2007 would be the slowest year since 1998.

WHAT’S NEXT: Automakers release September sales numbers on Tuesday.


NJ auto insurance rates down, but still nation’s highest

Written by Mehul Brahmbhatt on Oct 1st, 2007 | Filed under: Latest News, Latest News

NEWARK, N.J. (AP) - New Jersey drivers still pay more for auto insurance than residents of any other state, but the gap is shrinking.

According to a study released by the National Association of Insurance Commissioners, the average Garden State driver paid $1,184 to insure each car in 2005. That’s about $10 per year below what motorists paid two years earlier.

The Garden State edged out the District of Columbia by $2 dollars per vehicle.

Still, New Jersey’s rates are 43 percent higher than the national average of $829.

State Assemblyman Louis Greenwald tells The Star-Ledger of Newark that a 2003 law designed to increase competition is working.

Information from: The Star-Ledger, http://www.nj.com/starledger


Auto Parts Retailers

Written by Mehul Brahmbhatt on Oct 1st, 2007 | Filed under: Latest News, Latest News

NEW YORK (AP) - Shares of several auto parts retailers fell Wednesday, after AutoZone Inc. reported disappointing fiscal fourth-quarter results.

Despite lower-than-expected sales, AutoZone said its profit edged up nearly 2 percent, as gross margin improved on category management and supply chain efficiencies.

Morgan Keegan’s John R. Lawrence reiterated his “Outperform” rating for AutoZone, saying that things at the Memphis, Tenn.-based company appear to be improving.

“Test initiatives and the commercial business are showing improvement, and sales improved as the quarter progressed with a weak start to quarter four as gas prices hovered above $3 per gallon,” Lawrence wrote in a note to investors.

“Moreover, management believes the company is seeing increased market share within both the sales floor and application parts businesses and that the initiatives detailed below will show meaningful benefits in 2008.”

In midday trading, AutoZone shares rose $2.57, or 2.3 percent, to $115.69, after trading as high as $117.09 earlier in the day.

Meanwhile, shares of Advance Auto Parts Inc. edged down 17 cents to $34.77 and O’Reilly Automotive Inc. fell 29 cents to $35.48.

Pep Boys - Manny, Moe & Jack, which on Wednesday announced plans to restate prior financial results to correct accounting errors, fell 63 cents, or 3.9 percent, to $15.45


Auto Suppliers Have Adequate Liquidity but Future Refinancing Risks Are Present

Written by Mehul Brahmbhatt on Oct 1st, 2007 | Filed under: Latest News, Latest News

CHICAGO–(BUSINESS WIRE)—-Liquidity in the U.S. auto supplier industry is expected to remain sufficient over the next 18 months despite numerous financial and operating pressures that are unlikely to abate, according to Fitch Ratings.

Nearly all the large, non-investment grade rated auto suppliers were able to expand liquidity and extend maturities by accessing the leveraged loan market over the past two years, during a period when credit market conditions were considerably more relaxed. Fitch notes that among these same issuers, operating cash generation is expected to remain weak over the near-term, limiting the ability to make improvement to balance sheets that have incurred significant leverage over the same period.

‘Refinancing risks may have been simply deferred to later years rather than resolved,’ said Mark Oline, Managing Director, Fitch Ratings. ‘The industry was able to obtain highly favorable lending terms that are no longer available in today’s market.’

Margin improvement and/or the reversal of negative cash flow trends will largely be the function of successful restructuring programs, and the geographic, product and customer diversity of the manufacturers.

As discussed in the full report, key liquidity and credit analysis is focused on capital expenditures, working capital and cash balances.

This report is part of a larger global liquidity review initiated by Fitch in May 2007 of its rated issuers across corporate finance as a number of liquidity-based sensitivities in the market continue to influence both issuer and investor decisions. The review’s goal is to gain a better perspective on the magnitude of maturities that would be coming due over the next 24 months per each North American corporate sector, and what organic and contingent sources were available to meet these obligations during this period of the credit cycle.

The full report ‘Liquidity Focus: Auto Suppliers’ is available on Fitch’s website www.fitchratings.com

Fitch’s rating definitions and the terms of use of such ratings are available on the agency’s public site, fitchratings.com Published ratings, criteria and methodologies are available from this site, at all times. Fitch’s code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the ‘Code of Conduct’ section of this site.


High Performance SUV Truck Parts

Written by Mehul Brahmbhatt on Oct 1st, 2007 | Filed under: Trucking News

You can find high performance SUV truck and parts that you desire at the online location. It is so handy and simple to just click your computer mouse and find SUV truck and repair parts and also SUV and truck accessories on the Web.

You can locate many different styles of SUV and truck accessories that you want like for instance the Xtreme Alloy wheels for your vehicle. A plus is being able to shop from home and not driving all over from dealer to various dealers trying to get the perfect SUV and truck accessories that you are wanting for your ride. You will save loads of time and gallons of gas.

With the awesome online show place it is possible to get great quality and high performance SUV and truck accessories almost instantly. Searching for SUV and truck accessories at normal stores is an option but then at the same time you spend so much energy going from each place to the next place. Plus, if you get something from a used dealer, you’re stuck not knowing for sure if the SUV and truck accessories you just got are high performance or shoddy products.

If you have a truck that you want to restore, you know how difficult it can be to find top-quality truck restoration parts. It can be very frustrating to spend time driving to a place that you think will have the truck restoration parts that you need only to find them closed. If you shop for your truck restoration parts online, you will never worry about the dealer being closed when you fight traffic and finally get there.

The convenience of online shopping for truck restoration parts is that the Internet is never closed. No matter what time of day or night it is, you can look for truck restoration parts, SUV and truck accessories, and other high performance products. The selection is tremendous and very easy to access.

You might not be restoring trucks but looking for products such as in-truck suspension, or a cool set of SUV tires with high quality rims. You don’t have to leave your house to find these. The SUV and Truck online shopping display will not only give you the items that you want but you will know that they are indeed high performance and the best quality available for the money.

One great thing about the SUV and Truck Parts is that you can sign up with them to get some really great savings and coupon offers. So not only will you be getting high performance SUV and truck accessories, you will be saving money and time with your shopping.