1972 Dodge Charger Rallye - Rare 440hp , 4-speed , Dana60 on 2040-cars

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FCA and Peugeot reportedly agree on merger

Citing a Wall Street Journal report, the Detroit Free Press says "Fiat Chrysler and PSA Groupe have agreed to merge." The Journal reported on talks between the two car companies only yesterday. It's said that Peugeot's board met yesterday to approve the deal, FCA's board met today, and an announcement could come as soon as tomorrow, Thursday. Both automakers have released statements, but neither company has released any information beyond admitting to ongoing talks. If the merger happens, the combined entity would become the world's fourth-largest carmaker with a $50 billion valuation, slotting in behind Toyota, the Volkswagen Group, and the Renault Nissan Mitsubishi alliance. Among the merger options possible, "an all-stock merger of equals" is the one analysts and Moody's seem to give the best grade. The reported merger would come about four months after FCA walked away from merger talks with Renault. FCA said the French government scuppered those talks over the role of Nissan in a reformed entity, but there were also brewing issues with French unions, and ongoing turmoil among Renault and Nissan leadership thanks to continuing fallout from ex-CEO Carlos Ghosn's arrest last year. FCA makes most of its revenue in the U.S. and rules Italy, while Peugeot is the second-best-selling automaker in Europe with its own brand in France and Opel in Germany. The two companies already have a partnership in Europe making vans, one that FCA CEO Mike Manley has spoken highly of. Among the list of obvious benefits in a potential merger, FCA would get access to Peugeot's small, modern platforms, $10.2 billion in cash, and electrified and hybrid architecture developments, the latter especially important to FCA as those are fields where it lags. Peugeot would get much easier access to the U.S. market, and the money-printing brands Jeep and Ram. A merged carmaker would have combined sales of nearly 9 million a year, based on 2018 results. By comparison, both Volkswagen and Toyota sell over 10 million cars a year, while the Renault-Nissan-Mitsubishi alliance almost 11 million. Peugeot CEO Carlos Tavares has proved he knows how to do turnarounds and mergers. After leaving a position as Carlos Ghosn's right-hand man in 2012, Tavares took over Peugeot in 2014, navigated a bailout from the French government and China's Dongfeng Motors in 2015, and turned PSA into a regional powerhouse.

Weekly Recap: New bosses try to jump-start Cadillac and Lincoln

Both of America's domestic luxury brands seem to be stuck in neutral.
It's ironic that Cadillac and Lincoln got new bosses within days of each other this month. It's also a commentary on the fact both of America's domestic luxury brands seem to be stuck in neutral.

The last time Dodge recycled the Demon name, it was for a Miata fighter

We and the rest of the automotive world are eagerly awaiting the reveal of the Dodge Challenger Demon. And why wouldn't we be? It's going to be a Hellcat, but with less weight, bigger fenders, more performance, and more Vin Diesel. This isn't the first time we've been excited about a Demon from Dodge, though. Ten years ago, Dodge had another demonic car, but it was very different from the new one. The Demon of 2007 was a lithe little roadster that looked primed and ready to take on the Miata, as well as the now-departed Solstice and Sky twins. The Demon was just under an inch shorter than the MX-5 and the Solstice, and it packed a 172 horsepower 2.4-liter four-cylinder that fell right between the Miata's 170 and the Solstice's 177 outputs. Dodge's estimated the curb weight, which for a concept is largely theoretical, also slotted between the two cars at 2600 pounds. That was about 150 more than the Mazda, and about 200 less than the Pontiac. The pitch perfect specifications were presented in a crisp two-seat roadster wrapper. In many ways, it looked like a baby Viper, with a menacing crosshair grille, slanted headlights, and fat rear fenders. The Demon's line's were brutally simple and geometric, too. They didn't seem far removed from the first-generation Audi TT. The interior was also plain and simple. The key highlights were a horizontal aluminum accent that ran the width of the dash, echoed by an aluminum-covered center console. The instrument cluster was uncluttered, with just four gauges, and the only controls were some climate knobs, a double-DIN head unit, and a six-speed manual. It turns out that the 2007 Demon didn't drive very well, though. You see, we actually drove this concept back in the day, and like many concepts, it still had a long way to go to be production ready. The gearbox would grind, the ride quality was terrible. However, the interior was roomy, and the engine sounded suitably grumbly, if a bit coarse. At the time, we said Dodge should absolutely build the little roadster. In retrospect, the company probably made the right decision not to invest in the Demon. The small rear drive sports car segment was, and still is, an extremely niche market. It would have been a big investment for little return, something FCA today is trying to avoid. This is all before taking into account the fact that the recession was just around the corner. In the end, we can't be too sad though.