Recently Fiat-Chrysler reported 40,000 vehicles backed up in storage lots, which was causing tension with its dealers. Back in 1980 and again in 2009, during its two worst financial crises, Chrysler used a tactic called “sales banks” to inflate their sales numbers. Instead of constantly slowing and speeding production to meet variations in demand, Their factories work at full capacity year-round. Any unsold cars are “banked” in storage lots until demand picks up, and dealers are generally pushed into taking as many of these cars as possible.
Investors and financial analysts frown upon the practice of sales banks because it can look like the company has falsified inventory figures. Dealers across the country do not like the practice because it can pressure them to take on greater numbers of vehicles than they want. Some dealers do see an upside to this practice, since if they need a certain model or trim package in a hurry odds are it will just be sitting there waiting for them, even if the manufacturer may try and use that vehicle as bait to unload more banked inventory.
This could could prove to be a repeat of the recent trouble Fiat-Chrysler had with the United States Securities and Exchange Commission (SEC) this past September. In response to complaints by several dealers that the manufacturer was falsifying sales figures, the SEC conducted an investigation of the banking practice using quarterly sales figures from 2012-2016. In the end Fiat-Chrysler agreed to pay a $40 million fine, revised five years of sales figures, and reviewed and refined its related policies and procedures.
These events pre-dated the recent merger with Peugeot parent company PSA announced this past October. However the ramp up of inventory coincided with the period where Fiat-Chrysler was looking for a merger deal with Renault, which eventually fell through, opening up the negotiations with PSA that led to the recent merger. It does not take a math professor to calculate that the SEC findings may have killed the Renault deal, while the quick resolution of the SEC investigation helped clear the way for the merger with Peugeot’s parent.
BYD has launched the third-generation Qin Plus DM-i in China, and the first thing that caught my eye is its price. According to CarNewsChina, the plug-in hybrid sedan starts at 79,900 yuan, which is about $11,980. That’s an incredibly low price for a brand-new car, especially by US standards.
What’s even more impressive is the range. The Qin Plus DM-i can drive up to 137 miles on electricity alone, which should cover most people’s daily commutes without using a drop of gas. Once the battery runs out, the 1.5-liter engine takes over. Thanks to its 17-gallon tank and roughly 91 mpg with a drained battery, the combined range reaches up to 1,423 miles.
Apple won the PC market’s worst quarter, but that’s not the entire story. It won the race by stumbling less than everyone else.
PC makers shipped just 57 million computers worldwide in Q3, which might look good, but it’s a 21% year-over-year plunge (via Counterpoint Research). And despite Apple’s Mac shipments falling by 11%, to 5.6 million, its market share rose from 8.7% to 9.8%. How did that happen?
Update (October 22 23:54 PT): In response to our query, GM clarified that offline recording support is already available on eligible vehicles. Like Tesla's Sentry Mode, it requires owners to connect a USB drive to save incident recordings, which can be viewed on the vehicle's infotainment screen. The upcoming Connected Cameras feature will build on this by giving owners remote access to these recordings via the revamped OnStar app, allowing them to check footage without walking out to their car.
General Motors has announced plans to add a new Connected Cameras feature to its OnStar service starting next year, giving drivers a way to monitor parked vehicles remotely and capture footage of certain incidents.