Archived Auto News and Events for July 2008

Exxon Breaks Quarterly Earnings Record
By posting a net income of $11.68 billion on revenue totaling $138 billion, Exxon Mobil set another record on Thursday, July 31, posting the largest quarterly profit in United States history.

Miles Driven by Americans in May Plummets Sharply
According to figures released this week by the Federal Highway Administration, Americans decreased the number of miles they drive in May 2008 by 9.6 billion miles over the previous year.

GM Takes Further Production Cuts
On Monday, July 28, General Motors announced further production cuts totaling 117,000 vehicles due to decreased consumer demand, particularly for trucks and SUVs.

Gas Prices Decline for 11th Day
In a welcome reversal of recent news, gasoline prices posted a decline on Monday, July 28 for the eleventh day in a row, retreating to levels last seen in May.

Honda Surpasses Expected Earnings but Cautious About the Future
Although Honda managed to surpass market estimates for its quarterly earnings, the company did lower both its annual profit and global car sales forecats in the face of a disintegrating marketplace and the high price of materials.

Ford Posts 2Q Loss, Plans Line Revamp
In the second quarter of 2008 the high cost of gasoline delivered losses to the Ford Motor Co. totaling $1.38 billion as consumers abandoned trucks and SUVs in favor of smaller, more fuel efficient models.

Ford to Use Mercury to Channel Smaller Cars
According to reports in The New York Times and by Automotive News , the Ford Motor Company will use Mercury to highlight its renewed emphasis on small, efficient cars, a move that includes converting three truck plants in North American to passenger car production.

Gas Stations Increasingly Offer Cash Discounts
In a growing trend, gas stations are offering discounts of as much as 10 cents a gallon to customers who pay with cash while those who pay with a credit card are paying full price and more.

GM Faces Tough Going Cutting Costs
By vowing to lop off $10 billion in costs General Motors has managed to reassure its investors and creditors that it is not facing imminent bankruptcy, but the company is now faced with improving passenger car sales and diverting its market focus from trucks and SUVs to fuel efficient models.

Mercedes-Benz Introducing Fleet-wide Turbocharging
Over the next two and a half years the entire line of Mercedes Benz vehicles will be switched to turbocharged engines according to a report in Automotive News .

Congress Organizing to Address Energy Costs
Congress is set to weigh in on the increasing burden gasoline prices are placing on the American public with legislation intended to bring down the per gallon cost of fuel by limiting oil market speculation.

Gas, Diesel Rise to New Record Overnight
AAA's daily survey of fuel prices for Wednesday, July 16, shows a new record level for both gasoline at $4.114 and diesel at $4.839.

The levels represent a jump of 35% over the past twelve months, an increase pressing hard on the budgets of American families and dramatically reducing pleasure travel and daily driving in the U.S.

GM Announces Dramatic Cuts
In a news conference on Tuesday, July 15, General Motors announced a 20 percent cut in salaried employment costs, the sale of assets worth $4 billion, and a loan of $2 billion in an effort to shore up the company's liquidity through 2009 by $15 billion.

Toyota to Build Prius in U.S.
In the face of rapidly dropping truck and SUV sales, Toyota Motor Corp. has decided to begin building its wildly popular Toyota Prius hybrid at a plant in Blue Springs, Mississippi.

Toyota Stands by Workers at Texas Truck Plant
By refusing to release 2,000 plant workers at a Tundra production line in San Antonio, Texas, Toyota , Motor Corp. has indicated that it is prepared to wait out the slump in pickup sales at least for the next three months.

No Bankruptcy for Chrysler Says Execs
On Wednesday, July 9 Chrysler , continued to fend off rumors of a potential bankruptcy and issued a reassuring statement to dealers.

In a letter signed by co-president Jim Press and executive vice president of North American sales, Steven Landry, the two cited recent media coverage and analyst reports concerning Chrysler's financial condition.

Crude Starts Back Up After Two Day Retreat, Gas Holds Steady
After a two day slide in the price of crude oil that took the per barrel value down $5, oil opened $2 higher on Wednesday, July 9.

The climb came in response to the test firing of nine missiles by Iran, a move that generated fears of potential disruption of global supplies.

GM Rumored to Be Pushing September Volt Debut
In an effort to stem bad publicity from depressed sales and speculation about its financial durability, General Motors has escalated the timetable for a production model of the much-discussed electric Chevrolet Volt to September.

Mitsubishi Loses Modest Gains in Current Economy
Mitsubishi had hopes in 2007 that its protracted performance slump in the U.S. market was making a turnaround, but current economic conditions have derailed those modest gains.

Gas Prices Surge Before July 4 Holiday
With the July 4 travel holiday already underway, gasoline prices struck a fourth record in as many days, settling on average at $4.098 per gallon up from $4.092, according to figures compiled by AAA.

Chrylser Weathers Brutal June Sales Figures
For the month of June Chrysler LLC suffered the greatest dip in sales among major automakers, a plunging 36% compared to one year ago, with just 117,457 cars and trucks sold.

As Gas Prices Rise, Experts Debate the Cause
For the second time this week gasoline prices have set a new average per gallon record, climbing to $4.087 overnight from $4.086 on Monday, June 30, according to figures compiled by AAA.