Stellantis replaces North American purchasing chief amid supplier relations woes

DETROIT — Stellantis has appointed a new head of purchasing and supply chain in North America amid deteriorating relations with its suppliers.

Marlo Vitous, 45, the company's supply chain vice president, is replacing Martin Horneck, who is retiring, two sources with knowledge of the matter told Automotive News. Horneck, 59, had been hired by Fiat Chrysler Automobiles in 2020 ahead of the merger with PSA Group that formed Stellantis.

Stellantis confirmed Horneck's departure Tuesday but did not comment further.

The change comes shortly after Stellantis created controversy among its suppliers with new purchasing terms and conditions that it later rescinded — and one day after a prominent study gauging suppliers' relationship with major automakers ranked the company lowest for a second consecutive year.

In Plante Moran's annual Working Relations Index released Monday, Stellantis dropped to the study's lowest ranking for any North American automaker i…

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2023 Honda CR-V redesign previewed

Editor's note: An earlier version of this story misstated when the CR-V was last redesigned, and then freshened under a midcycle update.

Honda is calling the redesigned 2023 CR-V compact crossover rugged, sophisticated and more versatile. It was previewed Tuesday with the release of several teaser images and will go on sale in September.

The current, fifth-generation CR-V was redesigned for the 2017 model year, and freshened for 2020, including a hybrid variant, and has been a top seller for the brand. Last year, U.S. sales of the CR-V topped 361,000, making it the fifth most popular nameplate across all segments. Toyota's rival RAV4 snagged the No. 4 slot.

In addition to revised styling, the CR-V also will have an advanced hybrid system that adds a "sportier driving experience and more capability."

Hybrids currently represent about 25 percent of CR-V sales, according to Honda. The company has said it will increase the mix of hybrid production fo…

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Ford to pay U.S. states $19.2 million over false advertising claims

WASHINGTON -- Ford Motor Co. has agreed to pay $19.2 million to resolve allegations it falsely advertised real-world fuel economy and payload capacity for some hybrids and pickup trucks, the Iowa Attorney General's Office said Tuesday.

The multi-state settlement covers 2013–2014 C-Max hybrids and 2011–2014 Super Duty pickups. In 2013, Ford lowered the advertised fuel economy ratings on its C-Max hybrid by up to 7 mpg and sent checks to owners of $550 to make up the difference in fuel costs.

"For years, Ford advertised impressive fuel economy and payload capacity for its cars and trucks,” Iowa Attorney General Tom Miller said. "Unfortunately, these figures were not based in reality, leaving customers with vehicles that did not meet their standards."

The settlement, with 40 states and the District of Columbia, prohibits Ford from making false or misleading advertising claims concerning the estimated fuel economy or payload capacity of a new motor vehicle…

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GM’s STEVE CARLISLE: Aiming for No. 1 in U.S. again with EVs

General Motors is angling to get back on top.

"We're looking to put ourselves back in the No. 1 position from a share perspective," GM North America President Steve Carlisle said.

While GM plots its path toward an all-electric future, the company also will strive to retake the U.S. sales crown it lost to Toyota Motor North America last year after nine decades as the country's top seller.

GM hopes to build enough inventory to overtake Toyota and meet pent-up demand while maintaining discipline.

But new-vehicle launches and updates to existing nameplates don't equate to a plethora of vehicles on the ground. GM has been refining its dealer tools to establish a more streamlined retail and delivery process, Carlisle said.

"We're putting tools in place to optimize the flow of product through the whole pipeline and allowing our dealers and customers to see further upstream," Carlisle said. "Those are all things that…

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Brockman ruled competent to stand trial in U.S. court for tax evasion

Former Reynolds & Reynolds CEO Bob Brockman must stand trial for the largest tax evasion case against an individual in U.S. history despite asserting dementia leaves him incompetent, a judge ruled.

U.S. District Judge George C. Hanks Jr. discounted claims that dementia leaves Brockman, 80, unable to help his lawyers defend against a 39-count indictment accusing him of evading taxes on $2 billion of income and other crimes.

Brockman’s lawyers argued that his progressive dementia, caused by Alzheimer’s and Parkinson’s disease, has worsened recently. They’ve said they’ll file a new incompetency claim.

Brockman was indicted on tax evasion and money laundering charges that accused him of using a complex trust structure in the Caribbean to hide $2 billion in income over two decades.

“The court finds that despite Brockman’s recent health problems, the government has met its burden of establishing that Brockman is competent to stand trial,” Hanks rul…

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Cavender Auto Family enters Oklahoma with purchase of two Ford dealerships

Growing Cavender Auto Family has expanded out of Texas with the purchase of two Oklahoma dealerships.

Cavender Auto of San Antonio on Monday bought Reynolds Ford of Norman and Reynolds Ford of Oklahoma City from Dale Daniels. The stores date to 1952 and had been owned by Daniels for the last 48 years, Cavender Auto said.

The group renamed the dealerships Confidence Ford of Norman and Cavender Ford of Oklahoma City.

"Our plan is to take what (the two dealerships) are already doing well and then add a few additional elements for which the Cavender Auto Family is known," Cavender Auto Family CEO Stephen Cavender said in a statement.

Norman, home to the University of Oklahoma, is south of Oklahoma City, the state's capital.

Chris Teape of buy-sell firm National Business Brokers in Irvine, Calif., represented Daniels in the transaction, Stephen Cavender confirmed.

Cavender Auto Family now has three Ford stores, part of its 14 dealership…

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Stellantis, Samsung SDI to build new JV battery plant in Indiana, reports say

Stellantis and Samsung SDI plan to announce on Tuesday they will build a new battery plant in Indiana as the Chrysler-parent ramps up EV production plans, sources briefed on the matter told Reuters.

The companies in October announced they were signing a memorandum of understanding to form a joint venture for lithium ion battery production in North America and said the plant was targeted to start in 2025 and aimed to have an initial annual production capacity of 23 gigawatt hours, with the ability to increase to up to 40 gigawatt hours in the future.

The Associated Press and The Detroit News also reported the plans.

The companies did not immediately comment on the reports, but Stellantis said it would provide an update on the future of its Kokomo operations on Tuesday that would include its North American COO Mark Stewart and Indiana Gov. Eric Holcomb.

The announcement could prove a disappointment to Michigan economic development officials. Earlie…

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Horne Auto Group’s next-manager-up planning will pay dividends

Jimmy Powell knows he has big shoes to fill. At the end of the year, he'll drop the "assistant" part of his title and replace his mentor, Bob Cawley, as Horne Auto Group's corporate fixed operations director.

If everything goes as expected, this seamless transition will greatly benefit Horne, an Arizona-based group with 10 dealerships covering 13 brands. It also will be big win for succession planning.

The move has been in the making for a long time. The pair met in 2008 and immediately hit it off while working for another dealership. Powell was a young service adviser who recognized Cawley's expertise; the experienced veteran saw Powell's raw potential.

After going their separate ways, they stayed in contact at new jobs and began to develop a friendship.

"He would always take my calls and help me, even though we weren't working together," Powell remembers.

It wasn't a surprise then when Cawley recruited Powell in 2011 to join him at Horn…

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Why car dealership leaders should train their replacements

Sustained, long-term success takes careful planning, strong leadership and a committed, well-trained team with key members ready to take on more responsibilities as needed.

The problem?

"Very few dealerships have a formal strategy in place," says Kendall Rawls, director of development with the Rawls Group, an Orlando-based consulting firm that works in the automotive sector among other industries.

Too often, she says, owners and managers think they're too busy growing their business to plan for the future and put the right people in place to make it happen.

True succession planning, Rawls says, should encompass the entire dealership, defining its culture, long-term growth goals and personnel strategy. This will help create value and provide options for the leadership team to achieve desired results, she adds.

Rick Wegley, now a fixed ops instructor with NCM Associates, came to a similar conclusion early in…

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Toyota to suspend more production due to Shanghai shortages

Toyota Motor Corp. is suspending more production due to parts shortages caused by the COVID-19 lockdown in Shanghai, a sign that supply-chain bottlenecks could persist even as the city starts to gradually reopen.

Toyota’s global production plan for June stands at about 850,000 vehicles, 250,000 of which will be made in Japan and the rest overseas. This represents a cut of about 100,000 vehicles for June worldwide.

The company aims to produce an average of 850,000 units a month through August and is keeping its fiscal year output target of 9.7 million vehicles.

“We will continue to make every effort possible to deliver as many vehicles to our customers at the earliest date,” Toyota said.

The automaker issued a statement Tuesday listing production lines that will be suspended in Japan, including at five plants early next month on top of stoppages already announced for May.

“The shortage of semiconductors, spread of COVID-19 and other factor…

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2023 Nissan Z: Old-school styling, modern tech, power

When everyone, it seems, is going electric in some form, Nissan has decided to zag with one of the most revered sports cars.

The redesigned, seventh-generation Nissan Z still features a classic long, sloped hood, wide rear flanks and a squared-off Kamm tail that recall early, 1970s versions of the storied nameplate, known then as the Datsun 240Z.

But the rear-drive Z now packs a record 400 hp with a 3.0-liter turbocharged twin-turbo V-6 engine, an increase of 50 hp over the previous 370Z's output. The power plant can be bolted to a six-speed manual or nine-speed automatic transmission with paddle shifters.

The latest Z is 4.9 inches longer than the outgoing model, with the extra sheet metal packed in the nose. The twin-turbo engine mandates heat exchangers, with an air-to-liquid intercooler and transmission and oil coolers packaged alongside the radiator and AC condenser.

Nissan is keeping it simple by making active safety features standard on th…

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BMW North America names new CFO, vice president of marketing

BMW North America named Raymond Wittmann to be its next CFO and Marcus Casey to become head of marketing communications, replacing a pair of executives who are taking posts with BMW in Europe.

Both appointments, announced Friday, will take effect Sept. 1.

Wittmann, 50, replaces Stefan Kramer, who was executive vice president and CFO since September. Kramer will now be head of finance and global financial services at the BMW Group headquarters in Munich.

Wittmann is an aerospace engineer by trade and previously was a vice president at BMW plants in Munich and San Luis Potosi, Mexico.

Casey, 44, who was named vice president of marketing, will "oversee all marketing communication for the BMW brand within the U.S. market," the automaker said. He previously was vice president of digital e-commerce and vice president of business management at BMW's Munich plant.

Casey replaces Uwe Dreher, who was vice president of marketing since 2019. Dreher wil…

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