100,000 auto-related jobs could be at risk in U.S.

Southfield, Michigan - A new report by corporate advisory and restructuring service Grant Thornton LLP said that with U.S. automakers reporting their worst monthly sales results of the year and no relief expected in 2009, it believes that as many as 100,000 industry-related jobs may be at risk.

“With a more than two million unit sales decline likely this year compared with 2007, followed by a prolonged slump expected next year, the downturn is placing unforeseen levels of stress on the industry,” said Kimberly Rodriguez, a principal at Grant Thornton. “We expect many players do not have the cash, credit or means to see the cycle through.”

U.S. sales in September were the lowest of 2008, with fewer than one million units sold. For the full year, Grant Thornton analysts expect full-year 2008 sales to drop to 13.8 million units. Given the weakening economic environment, forecasts for 2009 are for between 13.4 and 13.7 million units.
“Yesterday’s results put the entire industry on alert, as many experts had expected some level of recovery to occur in the second half of this year,” Rodrigeuz said. “Nine months into 2008, sales and economic conditions are worsening. We may not have seen the bottom. The full effect of such a two million-unit decline from 2007 is generally underappreciated and will likely lead to even higher unemployment numbers. Potentially, more than 100,000 jobs are at risk.”

Grant Thornton’s analysis shows that for automakers, a decline of one million units of production is equal to the lost ouput of nearly four vehicle assembly plants, 2.5 engine plants, and more than two transmission plants, on average. At the Tier 1 supplier level, more than 50 just-in-time assembly/powertrain sites and more than 500 supplier manufacturing locations could be at risk of collapse, with the losses cascading down to Tier 2 and Tier 3 operations, as well as the truck and rail companies that ship components.

Ford’s MyKey limits top speed, audio volume

Oakville, Ontario - Ford has announced an innovative new technology, MyKey, designed to help parents encourage their teenagers to drive safer and more fuel efficiently, and increase safety belt usage. The feature will debut as standard equipment on the 2010 Focus and will quickly become standard on many other Ford and Lincoln models.

The feature allows owners to program a key that can limit the vehicle’s top speed and audio volume. It also encourages safety belt use, provides earlier low-fuel warnings, and can be programmed to sound chimes at 72, 88 and 106 km/h.

“ Ford not only offers industry-leading crash protection and crash avoidance systems, we are also committed to developing new technologies such as MyKey that encourage safer driving behaviour,” said Susan Cischke, Ford group vice-president of Sustainability, Environment and Safety Engineering. “MyKey can help promote safer driving, particularly among teens, by encouraging seatbelt use, limiting speed and reducing distractions.”

A poll conducted by Harris Interactive Survey for Ford found that about 50 per cent of those who would consider purchasing MyKey also said they would allow their children to use the family vehicle more often if it were equipped with the new technology. More than half of parents surveyed worry that their teenage children are driving at unsafe speeds, talking on hand-held cell phones or texting while driving, or otherwise driving distracted.

The MyKey system allows the parent to program any key through the vehicle message center, which updates the SecuriLock passive anti-theft system. When the MyKey is inserted into the ignition, the system reads the transponder chip in the key and immediately identifies the MyKey code, which enables certain default driving modes, including Persistent Beltminder, an earlier low-fuel warning, and the inability to deactivate features such as Park Aid, Blind Spot Information System, and the traction control. The key allows for a limited top speed of 129 km/h, and limited audio volume to 44 per cent of the total volume.

Canadian Grand Prix dropped for 2009

London, England - Formula One racing’s governing body, the FIA, has dropped the Canadian Grand Prix from its 2009 schedule, and replaced it with the Turkish Grand Prix which has moved from its August slot to June.

According to F1-Live.com, Canadian Grand Prix organizers were not informed of the decision in advance, and won’t comment about the decision until they’ve discussed it with the FIA.

The Montreal Gazette reports that Premier Jean Charest wants to know why the Montreal Grand Prix was dropped, and said he is willing to work with the FIA to keep the event in Montreal.

The revised 2009 Formula One Championship schedule is as follows:
29 March Australia
5 April Malaysia
19 April Bahrain
10 May Spain
24 May Monaco
7 June Turkey
21 June Great Britain
28 June France
12 July Germany
26 July Hungary
23 August Europe (Valencia)
30 August Belgium
13 September Italy
27 September Singapore
11 October Japan
18 October China
1 November Brazil
15 November Abu Dhabi

Honda named official vehicle of the NHL

Toronto, Ontario - Honda Canada, American Honda Motor Company and the National Hockey League (NHL) have entered into a three-year agreement that names Honda as the official vehicle of the NHL.
The agreement includes Honda sponsorship of NHL television and Internet coverage, along with active participation at NHL events in both Canada and the U.S., such as the NHL Face-Off Rocks 2008, NHL Winter Classic and the NHL All-Star Weekend that will be held in Montreal.

“ Hockey is the national sport of Canada from coast to coast,” said Jerry Chenkin, executive vice-president of Honda Canada. “This NHL sponsorship aligns well, because of a variety of grassroots sponsorships and activities that are already being done by our Honda dealers with minor league hockey in communities across Canada. With more than 53 million hockey fans throughout Canada and the United States, the NHL is a significant part of the sports landscape, and we’re pleased to be associated with such a major sport.”

The agreement includes provisions for advertising on NHL.com and during game broadcasts, camera-visible signage during games and events, and on-site displays of Honda vehicles at select events.

Ford to offer advanced active collision avoidance

Dearborn, Michigan - Ford Motor Company has announced that it will offer a new, advanced active collision avoidance technology, Collision Warning with Brake Support, on some of its Ford and Lincoln vehicles next year.

The system uses radar to detect moving vehicles directly ahead. When the danger of a collision is detected, the system warns the driver with a beep and a red warning light projected on the windshield above the instrument panel. The system also automatically pre-charges the brakes, and engages a brake-assist feature that helps drivers quickly reach maximum braking once the brakes are engaged.
Collision Warning with Brake Support is one of three new radar-based technologies Ford is launching in certain 2008 and 2009 vehicles, along with Adaptive Cruise Control and Blind Spot Information System (BLIS) with Cross Traffic Alert.

“ The new Collision Warning with Brake Support technology puts us on the leading edge of active safety to help customers detect and avoid possible dangers,” said Paul Mascarenas, vice-president of engineering, Global Product Development. “Ford will be the first to offer this technology on mainstream models that many families can afford.”