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FCA-Renault revival may hinge on willingness to cut Nissan stake

Fiat Chrysler Automobiles and Renault are looking for ways to resuscitate their collapsed merger plan and secure the approval of the French carmaker's alliance partner Nissan, according to several sources close to the companies. Nissan is poised to urge Renault to significantly reduce its 43.4% stake in the Japanese company in return for supporting a FCA-Renault tie-up, two people with knowledge of its thinking also told Reuters. It is still far from clear whether any concerted effort to revive the complex and politically fraught deal can succeed. FCA Chairman John Elkann abruptly withdrew his $35 billion merger offer in the early hours of June 6 after the French government, Renault's biggest shareholder, blocked a vote by its board and demanded more time to win Nissan's backing. Nissan representatives had said they would abstain. The failure, which FCA and Renault blamed squarely on the French government, deprived both companies of an opportunity to create the world's third-biggest carmaker with 5 billion euros ($5.6 billion) in promised annual synergies. It also shone a harsh light on Renault's relations with Nissan, which have gone from frayed to fried since the November arrest of former alliance Chairman Carlos Ghosn, now awaiting trial in Japan on financial misconduct charges he denies. REVIVAL TALKS Italian-American FCA — whose brand stable encompasses Fiat runabouts, Jeep SUVs, RAM pickups, Alfa Romeo luxury cars and Maserati sports cars — has so far turned a deaf ear to suggestions by French officials that its merger proposal could be revisited. But since the breakdown, Elkann and his French counterpart Jean-Dominique Senard have had talks about reviving the plan that left the Renault chairman and his Chief Executive Thierry Bollore upbeat about that prospect, three alliance sources said. Renault and a spokesman for FCA declined to comment. One of Elkann's senior advisors on the Renault merger bid, Toby Myerson, was expected at Nissan headquarters in Yokohama on Monday for exploratory discussions with top management, two people with knowledge of the matter said. Nissan CEO Hiroto Saikawa is likely to attend. Myerson did not respond to a message from Reuters seeking comment. The meeting comes amid mounting strains that may preclude compromise, after Senard warned Saikawa that Renault was prepared to block key Nissan governance reforms in a dispute over board committees.

2015 Nissan Leaf gets B mode standard, new MorningSky Blue color

The Nissan Leaf is getting a few updates for the 2015 model year, some functional, some purely aesthetic. The appearance options will be made available later than the rest, and include a new exterior color called MorningSky Blue, as well as standard 17-inch aluminum alloy wheels for the SV trim level. In terms of driving, the 2015 Leaf gets a dedicated B-mode for every trim level, including the base S car (it was formerly only available in the SV and SL levels). This provides more aggressive regenerative braking when the driver is not on the accelerator - perfect for making the most of those downhill grades. Now every Nissan Leaf includes Normal, Eco-Mode and B-Mode, regardless of trim level. SV and SL trim levels also get a couple new convenience features. For those who find it impossible to disconnect while driving, the Hands-Free Text Messaging Assistant allows them to communicate without taking their eyes off the road, taking their hands off the wheel or risking a distracted driving ticket (perhaps you might want to rethink using it, though). Additionally, SV and SL customers will Voice Destination Entry to make spontaneous rerouting to the theme park a little easier. Of course, a lot of other Nissan cars got some cool upgrades this year. The Quest, NV200 Compact Cargo and V6-powered Altima, for instance, eke out another mile per gallon highway and combined. See what's new in the Leaf and the rest of the Nissan lineup in the press release below. The 2015 Nissan Lineup: Charting the Changes Nissan's U.S. sales have significantly outperformed the industry in 2014, up 12.7 percent CYTD through June. Sales have been led by the recently redesigned Altima, Rogue and Sentra – along with other models such as LEAF (+29.4%), JUKE (+44.9%), Frontier (+22.6%) and NV200 (+439.3%), which have shown strong results month after month. This gives the Nissan lineup great momentum heading into the 2015 model year. Headlining the changes for 2015 is the upcoming launch of the all-new Nissan Murano (due in late 2014). As the halo vehicle for Nissan's expanding range of bold crossovers and SUVs, the dramatic 2015 Murano features a new V-motion front end, LED boomerang lights and a unique "floating" roof. Murano's breakthrough exterior design carries into the interior, which offers an engaging social lounge feel through features such as advanced NASA-inspired Zero Gravity front and outboard rear seating and oversized Power Panoramic Moonroof.

Submit your questions for Autoblog Podcast #305 LIVE featuring Matt Edmonds of the Tire Rack!

We record Episode #305 of the Autoblog Podcast tonight, and we'll be joined by Matt Edmonds of podcast sponsor The Tire Rack, so drop us your questions and comments via the Q&A module below, especially if they have to do with tires and wheels! Subscribe to the Autoblog Podcast in iTunes if you haven't already done so, and if you want to take it all in live, tune in to our UStream (audio only) channel at 10:00 PM Eastern tonight.
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