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The USPS needs 180,000 new delivery vehicles, automakers gearing up to bid

Winning the New York City Taxi of Tomorrow tender was a huge prize for Nissan, even though the company is still working through the process of claiming its prize. The United States Postal Service has begun the process to take bids for a new delivery vehicle to replace the all-too-familiar Grumman Long Life Vehicle, and that will be a much larger plum for the automaker who wins it, perhaps worth more than six billion dollars. The Grumman LLV is an aluminum body covering a Chevrolet S-10 pickup chassis and General Motors' Iron Duke four-cylinder engine. The USPS bought them from 1987 to 1994, and the 163,000 of them still in service are a monumental drain on postal resources: they get roughly ten miles to the gallon instead of the quoted 16 mpg, drink up more than $530 million in fuel each year, and their constant repair needs like the balky sliding door and leaky windshields have led the service to increase the annual maintenance budget from $100 million to $500 million. A seat belt is about as modern as it gets for safety technology, and the USPS says that assuming things stay the same, it can't afford to run them beyond 2017. Last year it put out two triage requests for proposals seeking 10,000 new chassis and drivetrains for the Grumman and 10,000 new vehicles. The LLV is also too small for the modern mail system in which package delivery is growing and letter delivery is declining. The service says it doesn't have a fixed idea of the ideal "next-generation delivery vehicles," but it listed a number of requirements in its initial request and is open to any proposal. Carriers have some suggestions, though, saying they want better cupholders, sun visors that they can stuff letters behind, a driver's compartment free of slits that can swallow mail, and a backup camera. The request for information sent to automakers pegs the tender at 180,000 vehicles that would cost between $25,000 and $35,000 apiece, and it will hold a conference on February 18 to answer questions about the contract. GM is the only domestic maker to avow an interest, while Ford and Fiat-Chrysler have remained cagey. Yet with a possible $6.3 billion up for grabs and some new vans for sale that would be advertised on every block in the country, we have a feeling everyone will be listening closely come February 18. We also have a feeling the LeMons series is going to be flooded with Grummans come 2017. News Source: Wall Street Journal, Automotive News - sub.

GM isn't liable for punitive damages in ignition switch cases

NEW YORK — A federal appeals court said General Motors is not liable for punitive damages over accidents that occurred after its 2009 bankruptcy and involved vehicles it produced earlier, including vehicles with faulty ignition switches. The 2nd U.S. Circuit Court of Appeals in Manhattan said on Tuesday that the automaker did not agree to contractually assume liability for punitive damages as part of its federally-backed Chapter 11 reorganization. GM filed for bankruptcy in June 2009, and its best assets were transferred to a new Detroit-based company with the same name. The other assets and many liabilities stayed with "Old GM," which is also known as Motors Liquidation Co. Tuesday's 3-0 decision may help GM reduce its ultimate exposure in nationwide litigation over defective ignition switches in several Chevrolet, Pontiac and Saturn models. It is also a defeat for drivers involved in post-bankruptcy accidents, including those who collided with older GM vehicles driven by others, as well as their law firms. The ignition switch defect could cause engine stalls and keep airbags from deploying, and has been linked to 124 deaths. A lawyer for the drivers and their law firms did not immediately respond to requests for comment. GM had no comment. Circuit Judge Dennis Jacobs said GM's agreement to acquire assets "free and clear" of most liabilities excused it from punitive damages claims for Old GM's conduct. He also noted that the judge who oversaw the bankruptcy concluded that the new company could not be liable for claims that the "deeply insolvent" Old GM would never have paid. The decision upheld a May 2018 ruling by U.S. District Judge Jesse Furman in Manhattan, who oversees the ignition switch litigation. Drivers have sought a variety of damages in that litigation, including for declining resale values. GM has recalled more than 2.6 million vehicles since 2014 over ignition switch problems. It has also paid more than $2.6 billion in related penalties and settlements, including $900 million to settle a U.S. Department of Justice criminal case. The case is In re: Motors Liquidation Co, 2nd U.S. Circuit Court of Appeals, No. 18-1940. Government/Legal Chevrolet Pontiac Saturn Safety gm ignition switch

Nissan Leaf sales double Chevy Volt to close out winning 2014

To close out the year, sales of the two most-popular plug-in vehicles in the US kept going in the direction that they had been all year. The Chevy Volt dropped and the Nissan Leaf had another record month. Sound familiar? The Volt sold 1,490 units in December, a year-to-year drop of 37.7 percent. For all of 2014, Volt sales were down 18.6 percent to just 18,805 (from 23,094 in 2013). On the Nissan side of the ledger, the Leaf sold 3,102 units, up 22.7 percent from the 2,529 sold in December 2013. For the year, Nissan sold 30,200 Leafs, up 33.6 percent from the 22,610 sold in 2013. A few other things to note: For every month in 2014, the Leaf sold more than it did for the same month in 2013. For the Volt, this was only true for three months (April, May and July). Funnily enough, the Volt sold exactly 1,478 units in both March 2013 and 2014. The Volt's 2014 total was lower than both 2013 and 2012, while the Leaf had its best year ever. There were three months in 2014 when people bought at least twice as many Leafs than bought a Volt (September, November, December). The Leaf outsold the Volt every month in 2014. The closest gap was 215 units, in February. The biggest was 1,612, in December. As you've most likely seen, GM is still busy teasing the new Volt, which will make its official debut at the Detroit Auto Show next week. We'll have a more in-depth green car sales post up soon. <iframe embedded="true" "="" scrolling="no" src="https://docs.google.com/spreadsheets/d/1oIuH75vaSHaaplD4x6gLsYjSsiN4oGmez1T63eaYdhY/pubhtml?widget=true&headers=false" height="430"> Nissan celebrates 30,000 leaf sales in 2014, best year ever for sales of any plug-in vehicle NASHVILLE, Tenn. (Jan. 5, 2015) – Nissan, the world leader in electric vehicle sales, shattered yet another sales record with 30,200 LEAF vehicles sold in 2014, which is the first time any plug-in has sold more than 30,000 units in a single year. "Now in its fifth model year, Nissan LEAF is more popular than ever and continues to bring new buyers to Nissan," said Brendan Jones, director, Nissan Electric Vehicle Sales and Infrastructure. "From the beginning our vision was to bring electric vehicles to the mass market in a practical and fun-to-drive package, which is what makes Nissan LEAF the best-selling electric car in the world." Last month, Nissan sold 3,102 all-electric LEAFs, up 22.7 percent from the prior year and a December record.