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Crunch watch Dec 08: the auto industry in crisis

By Tim Pollard and Simon Stiel Motor Industry 31 December 2008 14:05 Wednesday 31 December 2008• GMAC, GM's finance arm, said it would immediately revise its criteria for providing loans, after the US government bail-out of the General's credit arm. It will now supply credit for anyone with a score of 621 or more on the Fico scale, the scale used to assess Amercian customers' creditworthiness (Financial Times)• The news means that 80% of US consumers would now qualify for a loan from GMAC – which should improve sales in the depressed US market (Detroit News)• Chrysler is being lambasted for taking out full-page adverts in the American national press thanking the nation for supporting its auto industry. But critics point out this is a fresh waste of bail-out resources, as pages in the Wall Street Journal – one of the titles in which the ad ran – reportedly cost up to $264,000.

Whitacre says GM is making progress, could be profitable in 2010

General Motors Co. could be profitable later in 2010 if it can continue sales momentum and economic conditions even out, CEO Ed Whitacre said on Wednesday. “Certainly we're aimed at profitability as quickly as we can get there,” he said.

VW E-Bugster convertible concept car at 2012 Beijing motor show

Volkswagen, one of the biggest players in China's swelling car market, chose Beijing to unveil its latest E-Bugster - a good look at the forthcoming convertible version of the Beetle. We saw the E-Bugster in tin-top form at the 2012 Detroit auto show; now they've gone and chopped the top fully for Beijing. It's a two-seater speedster version of the Beetle hatch, driven by an 85kW electric drive system; essentially, the powertrain of this car is what will underpin the 2013 Blue-e-motion electric Golf.