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Employee warned Mitsubishi execs about mileage cheating in 2005

A damning report from the committee brought in to investigate Mitsubishi's alleged fuel economy fixing scandal has revealed a new employee stepped forward and implored the company to play it straight on its mileage data... Eleven years ago. The employee, identified in the report as F, pushed for honesty during a company workshop in February 2005, The Asahi Shimbun reports. The then-new worker told 20 company officials, including senior members of the performance testing department, that the way Mitsubishi measured fuel economy was different from the way government's method. Instead of acting on F's protests, officials said they had no memory of them, the report claims. The four-person committee, made up of lawyers and industry experts, isn't buying the excuse. "It is difficult to accept their explanations that they have no recollections because a new employee pointing out such a problem must have had a (strong) impact," the report read. But F's comments weren't the only internal sign that Mitsubishi allegedly ignored. In a 2011 questionnaire, multiple employees submitted responses claiming that the company had been falsifying data. But according to the committee's report, Mitsubishi's development department issued a report denying there was even a problem, which the company's execs accepted without question. According to The Asahi Shimbun, Mitsubishi CEO Osamu Masuko revealed that an internal investigation – which also denied F's remarks – acknowledged that the company hadn't followed government rules regarding fuel economy measurements since 1991. "We lacked unity needed to detect problems within the company and to solve them," Masuko-san said, backing up the committee report's claim that the company was divided. "From now on, we need to decide how to change our way of thinking." Related Video: News Source: The Asahi Shimbun via Motor TrendImage Credit: Toru Hanai / Reuters Government/Legal Green Mitsubishi Fuel Efficiency scandal

Mitsubishi Concept XR-PHEV II points the way forward with its angular look [w/video]

The Mitsubishi Concept XR-PHEV II on display at the Geneva Motor Show isn't really a completely new vehicle but more of thorough reworking of the earlier XR-PHEV from the 2013 Tokyo Motor Show. For the latest interpretation, the Japanese brand is getting the design ready for an eventual debut for the road. While the two concepts look practically identical at first glance, the XR-PHEV II is far more possible for production than its predecessor. The grille and hood now feature openings to let the vehicle cool its plug-in hybrid system, and the rear design offers enough glass to actually let the driver see out of the back. The interior for the latest version also looks mostly functional this time and is clad in eye-catching orange upholstery. The XR-PHEV II's powertrain is a bit more mysterious, though. It's a front-wheel drive PHEV that's powered by a 12-kWh battery and offers a total output of 160 horsepower. However, Mitsubishi isn't taking about the internal combustion engine's displacement or the model's transmission. Still, the company is clear that this look is a glimpse at its future crossovers, and that would be a welcome change. XR-PHEV II's more angular design would certainly liven up Mitsubishi's somewhat staid lineup.

FCA-Renault merger faces tall odds delivering on cost-cutting promises

FRANKFURT/DETROIT — Fiat Chrysler Automobiles and Renault promise huge savings from a mega-merger, but such combinations face tall odds because of the industry's long product cycles and problems translating deal blueprints into real world success, industry veterans told Reuters. BMW's 1994 purchase of Rover, and Daimler's 1998 merger with Chrysler both made sense on paper. The companies promised to hike profits by combining vehicle platforms and engine families. Both combinations proved unworkable in reality, and were unwound. Renault and Nissan, which have been in an alliance since 1999 designed to share vehicle components, have only managed to use common vehicle platforms in 35% of Nissan's products despite an original target of 70%, according to Morgan Stanley. FCA and Renault have raised the stakes for themselves by ruling out plant closures. That increases the pressure to achieve more than $5 billion in promised annual savings from pooling procurement and research investments. The two companies have yet to fill in many of the blanks in the merger plan put forward by Fiat Chrysler. Renault's board is expected to act soon to accept the proposal, but that would lead only to a memorandum of understanding to pursue detailed operational and financial plans. A final deal and the legal combination of the two companies could take months to complete if all goes well. Pressure to cut automotive pollution is driving the latest round of consolidation. Automakers are looking at multibillion-dollar bills to develop electric and hybrid cars and cleaner internal combustion engines. Fiat Chrysler and Renault are betting they can design common electric vehicle systems, then sell more of them through their respective brands and dealer networks, cutting the cost per car. Developing all-new electric vehicles can bring more opportunities to share costs from the outset, industry experts said. "With the emergence of connected, autonomous, electric and shared vehicles, carmakers face immediate investments, so new opportunities for sharing costs have emerged," said Elmar Kades, managing director at Alix Partners. However, most electric vehicles lose money. This is a challenge for city car brands in Europe in particular. Both Renault and Fiat rely heavily on this segment for sales.