Public health agency links 3rd death to Colo. Nissan store’s COVID outbreak

A Colorado public health agency on Tuesday announced a third person has died from a COVID-19 outbreak at Nissan of Durango.

San Juan Basin Public Health said the number of confirmed coronavirus cases linked to the dealership had grown to 12.

In addition to the third death, the agency reported that a fourth person had died after contracting COVID-19. But that death "does not meet the Colorado Department of Public Health and Environment's (CDPHE) case definition to be added to the outbreak fatality list," the agency wrote in a news release Tuesday.

The Colorado Department of Public Health and Environment confirmed five of the cases involved the Delta variant of the coronavirus. The San Juan health department reported two of the 12 cases as of Monday had been identified as "breakthrough" infections of fully vaccinated people.

The San Juan agency on July 9 had reported 10 "employees and contractors" had tested positive in the outbreak, with one confir…

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COVID outbreak at Malaysian chip plant to hit Nissan’s Smyrna, Tenn., factory

Editor's note: An earlier version of the story incorrectly characterized the number of plants affected by the shortage. Only Nissan’s plant in Smyrna, Tenn. is affected.

A new COVID-19 outbreak at a microchip supplier plant in Malaysia has caused Nissan to shut down production lines at its large assembly plant in Smyrna, Tenn., until the end of the month.

Nissan North America did not disclose the name of the supplier, but said that the plant will halt for the weeks of Aug. 16 and Aug. 23. Nissan said it now plans to restart the lines on Aug. 30.

Like other automakers around the world, Nissan has already had its share of production line interruptions this year because of a shortage in allocations of microchips. But those shortages have been due mostly to demand miscalculations by chipmakers with limited capacity and automakers with uncertain 2021 forecasts.

AutoForecast Solutions LLC now estimates the chip shortage has already resulted in the loss …

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Binding bids expected to value Hella at just over $8 billion, report says

MUNICH -- Strategic suitors are expected to hand in binding bids for Hella on Wednesday that value the German automotive lighting group at about 7 billion euros ($8.2 billion), two people familiar with the matter said.

French car parts suppliers Faurecia and Cie Plastic Omnium, as well as German automotive supplier Mahle, are still in the race, one of the people said.

The bids, due on Wednesday, are expected to be based on the three-month average of Hella's share price, the people said, adding this amounted to about 60 euros. Hella shares closed at 67.2 euros on Tuesday.

Bloomberg on Monday reported that Hella could be valued at around 8 billion euros, or more than 70 euros per share, in a potential deal, causing Hella shares to shoot up 11 percent.

Hella's founding family, which is seeking a buyer for its 60 percent stake, is working with investment bank Rothschild on the transaction, the people said.

Under German takeover rules,…

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Sleek Audi Sky Sphere transforms from GT to roadster, thanks to variable wheelbase

Audi has created a sleek, low electric one-off roadster concept with a variable-geometry wheelbase that transforms between autonomous Grand Tourer mode and a sports car.

The Audi Sky Sphere — the first of three electric vehicle concepts that will lay out a path for the brand as it transitions beyond the internal combustion engine — will be on display at this week's Concours d'Elegance events in Pebble Beach, Calif. The two still-unrevealed concepts are called Grand Sphere and Urban Sphere, and they are intended to define how users will interact with vehicles with Level 4 autonomous capabilities, as well as how those vehicles interact with their surroundings.

The Sky Sphere has a cool, defining trick — one that is very likely to remain in concept form, given regulatory requirements: the "engine bay" and front wheels retract nearly 10 inches rearward while a steering wheel and foot pedals appear in the cockpit when the user transitions from autonomous mode into t…

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Senate passes $1 trillion infrastructure package with auto safety, EV provisions

WASHINGTON -- The Senate passed a $1 trillion infrastructure plan that would represent the biggest burst of spending on U.S. public works in decades and notch a significant victory for President Joe Biden’s economic agenda.

The bipartisan 69-30 vote Tuesday was a breakthrough that has eluded Congress and presidents for years, despite both parties calling infrastructure a priority and an issue ripe for compromise.

The bipartisan spirit will quickly give way, however, as Senate Majority Leader Chuck Schumer immediately pivoted to a partisan budget resolution that will lead to a $3.5 trillion package of social spending and tax increases.

Senate passage of the infrastructure bill came after months of negotiations and days of slow-moving Senate debate during which Republicans opposed to the legislation forced Democrats to run out the clock on procedural motions.

“It’s been a long and winding road but we have persisted and now we have arrived,” Schumer…

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Car-sharing marketplace Turo files for U.S. IPO, report says

Daimler-backed car-sharing marketplace Turo Inc. confidentially filed paperwork with regulators on Monday for a U.S. initial public offering, seeking to take advantage of the country's red-hot capital markets.

The company's platform allows car owners in 5,500 cities across the United States, Canada and the U.K. to rent out their vehicles. It has over 450,000 listed cars ranging from pickup trucks and minivans to luxury options such as Lamborghini, Rolls-Royce and Porsche vehicles.

Several other venture-funded companies in the automobile space, including SoftBank-backed Full Truck Alliance and self-driving truck startup TuSimple Holdings, have also gone public this year.

Companies typically file IPO paperwork confidentially to sort out any potential issues in their financial reporting with regulators behind closed doors. It also allows companies to shield their finances from competitors for a longer time.

Turo's business boomed during COVID-19 lo…

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Ex-Tesla employee wins rare $1 million racial discrimination award

Tesla Inc. has paid more than $1 million to a Black former employee who won a ruling that the company failed to stop his supervisors from calling him the “N-word” at the EV maker’s northern California plant.

The rare discrimination award by an arbitrator to Melvin Berry, which followed a closed-door proceeding, caps years of complaints from Black workers that Tesla turned a blind eye to the commonplace use of racial slurs on the assembly line and was slow to clean up graffiti with swastikas and other hate symbols scrawled in common areas. It ends a yearslong and emotionally grueling fight launched by Berry, who was hired by the company as a materials handler in 2015 and quit less than 18 months later.

Arbitration typically keeps disputes between employees and companies secret, but court filings reveal that the arbitrator found Berry’s allegations more credible than Tesla’s denials, though she called it a “difficult” case after hearing from witnesses on both sid…

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Hella suitors near last round of $9 billion battle, report says

French automotive suppliers Faurecia and Plastic Omnium SA are competing in the final bidding for a majority stake in German rival Hella GmbH, people with knowledge of the matter told Bloomberg.

Hella’s founding Hueck family has asked for binding offers by Aug. 11 and could make a decision on a winner in the following days, according to the people, who asked not to be identified because the information is private. Any deal could value Hella at around 8 billion euros ($9.4 billion), equivalent to more than 70 euros a share, the people said.

That could make it the second-largest takeover in Germany this year and one of the biggest ever acquisitions of a German company by a French suitor.

Hella makes a variety of automotive lighting systems, sensors, battery systems and electronic power steering components.

Faurecia and Plastic Omnium, which both have smaller market values than Hella, are both planning capital increases to fund the potential acquisit…

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DAILY DRIVE PODCAST: August 9, 2021 | Daily Drive Rewind: ‘Bittersweet’: Why a third-generation dealer left the business

We revisit our October 2020 talk with Bob Shuman, who discussed the "stresses" of being a dealer and why he exited the auto industry.

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Time for a new pre-owned pricing tactic

For years, auto dealers were told they had to price pre-owned vehicles at 92 percent to market to move them. Of course, dropping prices forces your competitors to lower theirs, and so begins the race to the bottom. The problem with that approach is it has sucked billions of dollars out of the automotive market, with dealers struggling to average $1,500 in front-end profit per vehicle retailed even before COVID-19 hit.

The pandemic and the inventory shortage it caused confirmed that you don’t have to be the cheapest. In fact, many dealers started pricing vehicles at 115 percent to 135 percent to market and generated more gross profit than they have in years. They’re operating with less staff, less overhead, fewer days’ supply and making two to three times more gross per vehicle than before the pandemic.

Do we have to return to normal? Or is it time to reset the market and create a new normal — one in which dealers can enjoy healthy margins again? I would argue…

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Crisis as a Catalyst for Change: How automotive companies are thinking about and building a resilient supply chain capable of powering a future of electric vehicles

The global automotive industry faces a production loss of 6.2 million vehicles because of disruption in the semiconductor supply chain. It’s another example of how vulnerabilities in a supply chain that is often decentralized and built upon layers of suppliers can grind an entire industry to a halt. The microchip shortage, unfortunately, is also not the first time that auto manufacturers have faced massive production stoppages because of supply chain disruption. A 2012 explosion at a plant in Germany that was one of the largest producers of a resin used  to make fuel tanks, brake components and seat fabrics threatened to cripple global output. Similar disruptions were caused by the tsunami in Japan and a fire at another supplier facility, both in March 2011. 

In response to the chip shortage and like previous disruptions, auto executives are using the crisis as a catalyst to change sourcing strategies and how the…

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Canadian government’s 2035 ZEV goal needs a plan; otherwise, it’s just a wish

French Poet Antoine de Saint-Exupéry’s famous quote that “a goal without a plan is just a wish” perfectly describes the federal government’s hope to get consumers purchasing only zero-emission vehicles by 2035.

I’ve heard Prime Minister Justin Trudeau’s blueprint called many things, such as a goal, target, vision, ambition and mandate. What I have yet to hear it called is a law.

Ottawa hasn’t yet passed legislation banning the sale of vehicles powered by the internal-combustion engine.

On June 29, the federal government said its goal is now to have 100 per cent of new light-duty vehicle sales be of the zero-emissions variety five years earlier than the original target of 2040.

When I caught wind of the planned announcement, I immediately told my colleagues it was shaping up to be big news. By the time three Cabinet ministers finished speaking, I told those colleagues the news conference was a dud.

Basically, government officials tossed an…

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