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BMW looking to save billions with cost cuts

BMW is planning a fairly extensive overhaul in a bid to recoup some its annual costs, with CEO Norbert Reithofer (pictured above) aiming to save three to four billion euro ($4 to $5.4 billion) per year to help keep the company's profit margins between eight and 10 percent, while also maintaining investments in production expansion and new tech. BMW's profit margins sat at 9.4 percent in 2013.
According to Automotive News Europe, Reithofer is none too pleased about costs at Mini and on the 1 Series, although neither AN nor its source story, from Germany's Manager Magazin, elaborate on what steps could be taken to improve losses on either project. That makes it hard to figure out just where the fat will be trimmed from.
What may happen, though, is that BMW attempts to trim 100 million euros ($135 million) from its German labor costs each year; a solution hinted at a few weeks ago by Germany newspaper Muenchner Merkur. While a dramatic cost reduction, 100 million euros still doesn't begin to even approach the savings envisioned by Reithofer.

2015 Mini John Cooper Works Hardtop First Drive [w/video]

In its previous iteration, the Mini John Cooper Works three-door was a bad little mother. It looked like an engorged puffer fish facing down a shark, sounded like squadron of hornets with even the tiniest provocation of the throttle, and turned corners like it was angry at them. It was hard riding and ill mannered in all sorts of daily driving situations, but supremely satisfying when used in the all-out-attack mode for which it was designed. I dug every minute I spent in one, when really concentrating on driving. (As a commuter or passenger, not so much.) It only took fifteen minutes of driving on the lilting, tree-lined roads outside of New Haven, CT, to realize that the 2015 Mini JCW Hardtop was a lot less pissed off. And with more power, refined ride quality, a better interior, and an available automatic transmission, a lot more suitable for a wide variety of drivers. The little hellion has matured. On that grownup tip, the first of the many '15 JCWs I sampled was fitted with a six-speed automatic transmission. Cue collective shocked gasp. I'll forgive you if you didn't know an auto was going to be available equipment on the JCW, as Mini product planners had to remind me that it had been offered for the first time on the model-year 2013 car. Even then, the manual trans saw an impressive 75-percent take rate, so it's not as if many of the auto-shifters made it to the street. That could change in this new generation, where the 6AT acquits itself quite well. Wheel-mounted paddles offer near immediate response to requested shifts, and programming for the sport setting causes gears to be held up to the top of the tach. The manual is far more engaging, even if the automatic is quicker than the human hand. The six-speed Getrag manual transmission is still the better option, even the car is two-tenths of a second slower to 60 miles per hour with it (6.1 vs. 5.9 seconds), and less fuel efficient in the city (23 vs. 25 miles per gallon). The manual uses a long-levered shifter that still feels positive going between gates, and a short-travel clutch that's got nice weight and an easy catch point. It also offers defeatable rev matching, smoothing out even very aggro downshifts. Mini measures the manual as slower than the auto, but I had a lot more fun using it to harness the increased power of the 2.0-liter turbo four-cylinder engine.

Mini prices new Cooper Hardtop from $19,950* as configurator comes online

As surprised as the face of the new 2014 Mini Cooper makes the model look, customers shopping for the third-gen hatchback won't be surprised at all come spring. When the Hardtop goes on sale, it will not only offer a similar design to the outgoing model, it will also have a familiar price with a starting MSRP of $19,950 (*plus $795 for destination).
That price is for the base, third-generation model with the company's new 134-horsepower, 1.5-liter three-cylinder turbocharged engine, and that MSRP amounts to a $250 increase over the 2013 Cooper. Looking for a little more power? The 189-hp Cooper S will go on sale at the same time, starting at $23,600 - just $300 more than last year's model.
Mini's press release discussing 2014 Cooper pricing is posted below, but for more detailed information on the options and packages, head on over to the live configurator.