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Autoblog Minute: VW Q3 financial woes, 2015 Tokyo Motor Show

Consumer Reports pulls its Tesla recommendation, the U.S. Copyright Office offers a ruling affecting car owners, VW gets hit hard with third-quarter losses, and lots of exciting news from Tokyo. Autoblog senior editor Greg Migliore reports on this edition of Autoblog Minute Weekly Recap. Show full video transcript text [00:00:00] Consumer Reports pulls its Tesla recommendation, the U.S. copyright office offers a ruling that affects car owners and gear heads, VW gets hit hard with third-quarter losses, and lots of exciting news from Tokyo. I'm senior editor Greg Migliore and this is your Autoblog Minute Weekly Recap. After a week away testing vehicles for Autoblog's Tech of the Year award, we're back in the office to recap the week in automotive news. [00:00:30] One of the things you might have missed was Consumer Reports pulling its recommendation of Tesla's Model S sedan. The blemish for Tesla comes after a tally of reviews from customer surveys. The most common problem areas for the Model S as cited by survey takers included: the drivetrain, power equipment, charging equipment, body and sunroof squeaks, rattles, and leaks. So lots of stuff. Though they could not ignore a score of "worse-than-average", Consumer Reports still [00:01:00] highlighted the fact that the Model S was "the best performing car" they've ever tested. Telsa CEO Elon Musk took to social media to defend his sedans saying: "Consumer Reports reliability survey includes a lot of early production cars. Already addressed in new cars." And, "Tesla gets top rating of any company in service. Most important, CR says 97% of owners expect their next car to be a Tesla (the acid test)." In Financial news, Volkswagen took a hit and reported an operating loss of [00:01:30] $3.84 billion. This is the first such loss for VW in 15 years. Toyota reclaimed the crown as the world's largest automaker as well. It's important that it's not all doom and gloom for VW though in Q3. Sales revenues were up and the company's automotive division boasts $30 billion dollars in liquid assets. It's a sizable war chest that will no doubt come in handy, as the company has yet to feel the full brunt of the diesel emissions scandal. Good news for gear heads. The US copyright office [00:02:00] ruled in favor of mechanics and car owners by granting an exception to existing copyright law. The law was originally meant to prevent software pirating and bootlegging of Hollywood movies.

Mazda hopes to return to Le Mans

Mazda has been away from the winner's circle at Le Mans for some time now. But it could be preparing a return to the forefront at the famous French endurance race in the near future. That is, at least, if the racing enthusiasts within its ranks get their way. "I know that the expectation for us to return to Le Mans is high. I can imagine a day when Mazda returns," Nobuhiro Yamamoto told Top Gear at the Goodwood Festival of Speed this past weekend. "I hope - as with many other Mazda fans - that we go back to Le Mans." His words hardly serve as confirmation of the Zoom-Zoom brand's intentions, but they certainly speak rather loudly to a desire within its ranks. They hardly come out of left field, either. Yamamoto-san is arguably the man best positioned to spearhead such a campaign – or would at least be best informed if such a campaign were underway. He's currently the program manager for the MX-5, and decades ago was the racing engineer behind the 787B. That Group C prototype racer represented Mazda's last major effort at taking top honors at Le Mans, and take them it did when it won the race outright in 1991. The Japanese automaker was out in force this past weekend at Goodwood, the event's central sculpture honoring Mazda's racing history, and its presence only fueling rumors that it could be preparing a renewed assault on endurance racing – potentially once again under rotary power. The 787B, motorsport history buffs will tell you, represented the first and last time to date that a Japanese manufacturer won the 24 Hours of Le Mans. Although Toyota has been competing with Audi and Porsche at the front of the field with the TS040 Hybrid, it has yet to win the key race, despite having taken the FIA World Endurance Championship last year. "Everyone at Mazda would love to see the only Japanese company to ever win the 24 Hours of Le Mans return to the famed twice-around-the-clock classic," a spokesman for Mazda's North American motorsports department told Autoblog by correspondence. "Whether that'll actually happen isn't something we can discuss at this time, but, given our historical and current involvement in motorsports, our interest in the event should be no surprise to anyone. We agree with Yamamoto-san when he says he hopes it happens." So while Mazda may not be ready to confirm the prospect of its return to Le Mans, it certainly isn't ruling it out, either.

Mazda names new North American chief

Mazda has announced today the appointment of a new president and CEO of its North American operations. Jim O'Sullivan, who has been running the office for 13 years, is now leaving the company. In his place the head office has appointed veteran manager Masahiro Moro, and as you can see, he could not be more thrilled with the appointment. A 55-year-old native of Kyoto, Moro has been with Mazda since 1983. One of the company's managing executive officers, Moro currently heads up its global sales and marketing division. He also previously served as vice president of marketing and of product planning for Mazda Motor Europe, and as director of the company's Australian operations. He'll now be relocating with his wife and family to Southern California to take over the North American division based out of Irvine, effective January 1. His predecessor Jim O'Sullivan has held the office since 2003, also ranked as one of the Japanese automaker's managing executive officers. The Detroit native previously worked at Ford, where he started his career in 1976. "I have been very lucky that the car business has afforded me so many incredible experiences, and taught me so much. However, now is the right time for me to retire from Mazda," said the 40-year industry veteran of his departure from the company in the statement below. "I don't know how the next chapter in my life will read, but it's time for me to spend time with my wonderful wife, my children and my grandchildren. I've travelled the world for nearly 40 years, who knows what the future holds?" Related Video: Masahiro Moro Named President, Mazda North American Operations - Jim O'Sullivan, Current President, to Retire after 13 Years Leading the Company - IRVINE, Calif., Dec. 21, 2015 /PRNewswire/ -- Mazda North American Operations (MNAO) today announced the appointment of Masahiro Moro to the position of President and CEO, MNAO. Moro, a Managing Executive Officer of Mazda Motor Corporation, will take over from Jim O'Sullivan, the company's long-serving outgoing president, who will be retiring from the company. The changes were announced today to company employees, and will be effective January 1, 2016. O'Sullivan joined MNAO as President and CEO in 2003, and also held the title of Managing Executive Officer of Mazda Motor Corporation.