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Audi helps charge Volkswagen profits

Volkswagen isn't performing up to past standards, but the company's Audi luxury brand is keeping profits high for the German automaker.

Despite being significantly smaller than the main Volkswagen brand, Audi accounted for nearly half of the company's total profits in the first nine months of 2010, with $3.1 billion of a total $6.6 billion. That's a significant turnaround from just $1.6 billion in 2009. The luxury automaker is currently on track for its best year ever in the U.S., on pace to break the 100,000 sales mark for the first time.

"All indications continue to point toward 2010 winding up as the best year Audi has ever enjoyed in the U.S. market," said Audi U.S. President Johan de Nysschen.

Unfortunately, the automaker got disappointing news this week when a Consumer Reports survey listed many cars in the fleet as having "below average" reliability. Audi had previously been enjoying a big year for awards, with the Audi S4 winning Esquire's Car of the Year award.

The next launch for the company is the A8, a redesign of the company's flagship sedan that's due in November.

Drivers may want to wait until they can buy a used Audi, as they'll be significantly more affordable a few years from now.

Battery company demonstrates 375-mile range on Audi

One of the caveats holding electric cars back from widespread adoption is the range limits that batteries impose. If the claims of a German battery company are to be believed, those problems could soon be a thing of the past.

DBM Energy recently held a road test for reporters to see if their batteries, which are primarily used in forklifts, could be adopted for road vehicles. The company modified a used Audi A2 for use in the test.

The results were somewhat jaw-dropping. Over 7 hours, the Audi A2 was able to travel 375 miles averaging 55 miles per hour. Perhaps even more shockingly, the battery only required a 6-minute charge. At the end of the ride, the CEO of the company, Mirko Hannemann, offered to charge the batteries of reporters' cell phones with the remaining juice.

At this point skeptics might assume that these batteries were highly expensive and years away from adoption. Yet DBM claims that it can manufacture the batteries for cheaper than the lithium ion solutions being used by cars like the Nissan Leaf and Chevy Volt.

If the company eventually does achieve a breakthrough, it could change the future of electric cars. Those interested in green technology may want to hold off on a new car purchase until the range is improved, instead buying a more affordable used car for the time being. 

Fun cars on the cheap

Just because a driver is limited by their budget doesn't mean that they have to settle for a boring car. In fact, shopping the used car market will give drivers years of options when it comes to vehicle selection.

Popular Mechanics recently listed the most fun used cars for under $3,000. These vehicles might not be running as well as they were new, but if buyers can find a model that's in relatively good condition with reasonable mileage, they can get a great deal on some truly enjoyable cars.

The BMW E30 was a high-end luxury vehicle in its heyday, but drivers searching the used car market will now be able to have these vehicles for less than $3,000. That price range typically means that drivers will be targeting cars from the late 80s or early 90s. For many models, finding running vehicles in this condition can be tricky, but BMW has a large number of fans who continue to support the older vehicles and keep them in good condition. Drivers should try to find an E30 with a 6-cylinder engine. If they find an E60i, they should jump on it quick, as these models are rare but offer increased performance.

The Toyota MR2 was a budget vehicle even when it debuted, with specs that, at the time, challenged high-end sports cars with its 145 horsepower. At the time, that was about half of what many Ferraris could produce. These vehicles can't compete with many modern entry-level cars in terms of pure power, but they still have the sports car handling that made the model famous.

When is a Mustang not a Mustang? When it's the Ford Probe GT. This car, built by Mazda and featuring front-wheel drive, was originally slated to be a Ford Mustang. But Mustang enthusiasts couldn't handle a non-American vehicle that didn't feature rear-wheel drive. Still, the mid-nineties Ford Probe is a fun-to-drive muscle car that boasts a 164-horsepower V6 engine.

The news source points out that drivers who don't pay a lot for their car are less likely to worry about it. Still, drivers should be sure that all the proper maintenance work has been performed so that they can avoid buying a lemon. If drivers already have a primary vehicle and simply want a car to fool around in, any of these vehicles could represent an enticing option. 

New technology that could be standard soon

Technology moves at a rapid pace, especially in the automotive industry. Just a few years ago, 200 horsepower was Ferrari territory – now Hyundais are pushing 300. The same is true for safety and technological features. Where anti-lock brakes and electronic stability control were once high-priced extras, they're now standard on most vehicles. One only needs to look at the features list of many used cars to see how far technology has come in recent years.

With this in mind, Kelly Blue Book, the used car pricing guide, recently put together a top ten list of new car features that could eventually all become standard issue for many vehicles.

As portable devices become more popular, wireless internet access becomes more important. That's why a number of manufactures, like Audi, Ford and GM, are offering cars with mobile hotspot technology. While the driver won't get much benefit out of this, kids on long road trips will likely appreciate the ability to log onto Facebook and chat with friends, all while using the car's own personal network.

On the other hand, drivers of manual vehicles will likely appreciate one of the innovations that has made its way to Nissan vehicles. Driving a stick can be a bit of a hassle, which is where SycroRev comes in. The new system makes sure that the engine is always spinning at the right speed for any gear, ensuring that a driver's shifts are always good.

Touchscreen navigation is currently all the rage, but Audi is taking it one step further with its new Multi Media Interface. The system can trace finger movements and recognize handwriting, so even drivers with poor penmanship don't have to deal with a keyboard – they can simply draw the letters onto a screen.

Perhaps the technology that has the best chance of becoming standard in the future is lane migration. Mercedes-Benz and BMW have been two big proponents of this safety technology, although it seems to be finding its way onto more affordable vehicles as well. The system can recognize the lanes on a road and tell when a car begins to drift, automatically combating driver inattentiveness and alerting the driver to mistakes.

All of these new features come with a price, however. Drivers who are interested in the technological innovations may want to wait until the vehicles hit the used car market so that they don't end up paying extra for features that will later become standard. 

Sienna vs. Odyssey in Minivan Throwdown

When one thinks of great car rivalries, it's usually two high-powered muscle cars going toe-to-toe on a drag strip. Yet drivers who have kids and gear to lug around simply can't justify a two-seater anymore. Fortunately, technological advancements have made minivans almost as powerful as the pony cars that tear up the track on race day.

If drivers are willing to pay for it, it's possible to deck out a minivan with enough performance upgrades to satisfy those with a need for speed. Edmunds Inside Line, a website normally known for debating the finer points of sports cars and sleek sedans, recently took two perennial van favorites and put them to the test.

Both the Honda Odyssey and Toyota Sienna have undergone facelifts for the 2011 model year, and families will have plenty of options when it comes to the vehicles. Edmunds opted to trick both cars out as much as possible, opting for the $45,000 Odyssey Touring Elite edition on the Honda and the Sienna's $40,000 XLE.

The Sienna might have the price advantage, but the news source ultimately determined that the Odyssey was a better value for families who wanted a true luxury experience. The Odyssey came with several substantial technological upgrades – including a blind-spot monitoring system, massive hard drive for holding music and movies, surround sound and a refrigerated storage unit – that drivers can't get on the Sienna no matter how much they're willing to pay. The news source did point out that budget shoppers might prefer the Sienna, as it had the option of a four-wheel engine with all-wheel-drive for a lower price that also gets better fuel economy than its more powerful counterparts.

The cheaper Sienna beat the Odyssey in 0-60, braking time and ride smoothness, but the news source concluded that it simply wasn't as fun to drive and didn't handle as well as the Odyssey. For drivers who want to inject a few thrills into their weekly shopping trip, the Odyssey's suspension can handle whatever a driver can throw at it. By contrast, the Sienna is probably better for those more concerned with making sure their kids stay sleeping.

Overall, the news source concluded that both cars were excellent choices and neither disappointed, but they ultimately do different things. With all the bells and whistles, the Odyssey is essentially a luxury sedan in minivan form. Meanwhile, the Sienna is tops in simply providing an affordable A-to-B ride.

Minivan prices have skyrocketed in recent years, as extra features like DVD players and refrigerated storage units ensure that every creature comfort is taken care of. Drivers interested in a more affordable vehicle may want to shop the used car market, as they'll be certain to find used Honda Odysseys and Toyota Siennas from years ago that give them just as much bang for their buck.

Honda preps electric vehicle for LA debut

GM and Nissan may have been the first out of the gate with their electric vehicles, the Chevy Volt and Nissan Leaf, but other automakers are planning to launch their own electric vehicles in the near future.

Honda recently announced that it will debut an electric vehicle concept car at the upcoming Los Angeles Auto Show, taking place from November 19th to November 28th. The company has publicly stated that it believes electric vehicles are a stopover technology on the way toward hydrogen-powered vehicles, but has also said it plans to put out an EV by 2012. Whether this concept will eventually become that model or if this is a separate project entirely is unknown.

The Japanese automaker will also be bringing a new gas-electric powertrain for hybrid vehicles. The system is expected to be used for larger hybrids, but Honda spokespeople were tight-lipped on details.

LA Auto Show organizers told AutoWeek that the show is currently slated to have close to 20 global first-time reveals. It will be the first time that Honda will debut a car at the show.

Drivers interested in a green vehicle may want to search the used car market for a hybrid, as they'll be able to save on the lot as well as at the pump.
 

Nissan to recall 2.14 million vehicles

Japanese automaker Nissan is recalling more than 2.14 million vehicles worldwide due to an issue that could lead to engine failure and stalling.

The notice affects used Nissans, mainly SUVs, from 2003 through 2006. The 762,000 vehicles recalled in North America include Pathfinders and Xterras from '03-'06, Armadas, Titans and Infiniti Q56s from '04-'06 and Frontiers from '05-'06.

The issue centers around the electric relay, which supplies power to the engine control module when the car is started. Over time, this relay can build up a silicon vapor. If that vapor becomes oxidized, the engine can stall and fail.

Drivers who bring their vehicle in as part of the recall, the third-largest ever for Nissan, will have a new electric relay installed. The process takes about half-an-hour.

Nissan says that no accidents, injuries or fatalities have been reported due to the problem. The flaw also applies to 835,000 cars in Japan and 354,000 in Europe.

If a driver is considering buying a used Nissan or any other used car, they should ensure that the dealer has made the necessary repairs to the vehicle. 

James Bond car up for sale

Every used car is unique, but some are a little more special than others.

Case in point: The Aston Martin DB5 used in the 1965 James Bond film "Thunderball." The classic DB5 would likely fetch a high price at a used auto auction, but this car comes with a few classic Bond gadgets that make it the ultimate collector's item.

Two machine guns on the front actually fire blanks, sure to intimidate anyone on the road. Some of the car's other features include a revolving license plate, bullet shield, nail spreader, tire shredders and radar navigation that puts modern GPS to shame. There's even an ejector seat (that doesn't work).

American radio station magnate Jerry Lee has owned the car since 1969, when he bought it straight from the Aston Martin factory for $12,000. Now, it's expected to fetch $5-$7 million dollars at auction.

A 1998 Jaguar XKR modified for "Die Another Day" is expected to go for substantially less.

Drivers don't have to be millionaires to afford a luxury used vehicle. In fact, buying used can be a great way for buyers to get a good deal on a luxury brand like BMW or Mercedes. 

How to buy winter tires

With the winter season coming soon, drivers will be swapping their year-round tires for winter tires (also known as snow tires, though modern tires are designed for a range of wintry conditions). Some drivers like to change to winter rubber every year, while others have never felt it necessary.

Winter tires are especially important for used car drivers, who might be driving a vehicle without modern safety features like anti-lock brakes or electronic stability control. According to Edmunds' Inside Line, even new car drivers should consider making the winter tire switch. Brakes and stability systems will certainly help the car handle better, but its ultimately useless if a tire loses grip on the road – which can become very dangerous in icy conditions.

Even for those who don't live in areas that typically see a lot of snow or ice, purchasing a season-specific tire can be a smart idea. That's because the issue at the heart of tire performance is heat. A softer tire conforms to the road and achieves much better grip and traction. In colder temperatures, below 45 degrees, the compounds that many all-season tires are made out of will become harder. Think of it as the difference between driving on rigid, near-stone solid wheels and softer rubber ones. Winter tires are made with a rubber that retains its elasticity even at low temperatures.

"This leads directly to reduced grip on the road and a much-reduced overall performance – mileage, braking distances, cornering, handling, etc. – ranging from 20-25 percent," said Joerg Burfien director of research and development for Continental Tire.

Skeptics might point out that Burfien works for a tire company. That's why Edmunds independently tested a number of wheels last year in icy conditions on a used Honda Civic Si. All-season tires had an extended braking distance of 16 to 18 percent and a slowed acceleration of 24 percent. Tires made strictly for warm weather were almost dangerous – a 120 percent longer stopping time and 257 percent slower acceleration.

Once drivers have settled upon making the switch, they'll find a long list of options with plenty of features designed to keep them safe in winter weather. Drivers should keep in mind that studded tires are banned in many states and towns. Those planning to buy a new car should ensure that they don't purchase one that's not street-legal. 

Toyota makes comeback on reliability report

Toyota, once known for making quality vehicles, has struggled with its image this year following a rash of recalls. In fact, the issues surrounding numerous vehicles' troubles with unintended acceleration were so damaging that the non-profit Consumer Reports removed its recommendation for nearly all Toyota vehicles.

The automaker got a double dose of good news today when Consumer Reports announced two movements on the automotive front. First, the organization decided to reissue its recommended status for eight Toyota vehicles, including the Camry, Corolla, Avalon, RAV4, Sequoia, Tundra, Highlander and Matrix.

The non-profit wrote on its website: "We believe that Toyota has adequately addressed the problem of unintended acceleration and that its new vehicles on sale now are fundamentally safe." It went on to state that the problem had been fixed in all new vehicles and the vast majority of used Toyotas. However, it still recommended that a driver interested in shopping for a used car check with the dealer to ensure that the recall-related maintenance has been performed.

The other good news was that the issues didn't appear to affect their standing among consumers in terms of reliability. The company released its annual Car Reliability Survey, which polls drivers on issues with their cars, and Toyota, along with Japanese rival Honda, remained on top.

The survey is a good resource for those considering buying a used car, as they detail the real-life experience with a car over time rather than a simple review that details performance characteristics.

The overall top brand was Scion, Toyota's youth-oriented brand. The nameplate obviously benefited by having a small sample size of just a few vehicles, but the main Toyota brand's sixth-place finish showed that the Japanese automaker is still ahead of most rivals. In fact, Toyota cars took home the top honors in several categories, including the Yaris for small cars, Tundra for full-sized pickup and Lexus LX for luxury SUV.

Honda posted a strong showing as well, with both the main brand and luxury Acura nameplate among the top four models. The Honda CR-V and Acura RDX were singled out as especially reliable compact crossovers.

Domestically, Ford and GM both made significant improvements to their vehicle lines. GM was able to successfully rid itself of poorly performing brands like Pontiac and Hummer, increasing its overall score, while Ford now has 90 percent of its entire lineup with scores of average reliability or better.

"There's a difference between actually having problems and having your car recalled," Jake Fisher, senior automotive engineer at Consumer Reports' vehicle test center, told Bloomberg. "While the recalls were widespread, the actual problems people were having associated with those recalls were much smaller."

Toyotas have long been a favorite among those shopping used cars, as the models are known for their longevity. Although the recalls were surely a stumbling block, drivers who buy a used Toyota now may be able to get a great deal because of the recent damage to the company's reputation.