As I'm getting my first peak at the Los Angeles Auto Show, there's some good news for a couple of struggling automakers. Ford CEO Alan Mulally had dinner with a handful of reporters Tuesday and shot down the suggestion Ford will need to partner up with another automaker or private equity firm. In fact, he says Ford is in "terrific" shape for growing the business globally.
Before you scoff and say, "yeah right, these guys have been a financial mess the last 4 years," consider this: under Mulally, Ford has posted much better then expected earnings the last two quarters. He's at least earned enough credit to take him at his word.
Today, Kelley Blue Book released its projection of the 2008 models expected to have the best resale value. This year Volkswagen is number one. BMW, Acura and Honda were second, third and fourth.
Kelley estimates '08 VW's will retain more than 48% of their residual value when sold as used cars. The report says, " A combination of value pricing, European styling and fuel efficiency make these models increasingly popular used-car choices.."
Not bad. Now VW needs to build some buzz generating new models and then the German automakers long slide.
Stay tuned: more blogs from the L.A. Auto Show later today.