2007 Rolls-royce Phantom Sedan on 2040-cars

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BMW warns profits will fall, plans $13.6 billion in cost-cutting

FRANKFURT, Germany — BMW said Wednesday that profits in 2019 will be "well below" last year's, and it will cut 12 billion euros ($13.6 billion) in costs by the end of 2022 to offset spending on new technology. The company said profits would be eroded by higher raw materials prices, the costs of compliance with tougher emissions requirements and unfavorable shifts in currency exchange rates. The Munich-based automaker also faces increased uncertainty due to international trade conflicts that could lead to higher tariffs. "Depending on how conditions develop, our guidance may be subject to additional risks; in particular, the risk of a no-deal Brexit and ongoing developments in international trade policy," said Chief Financial Officer Nicolas Peter. The company forecast a profit margin of 6 to 8 percent for its automotive business, short of the long-term strategic target of 8 to 10 percent, which it said still "remains the ambition" for the company if given "a stable business environment." BMW said it had no plans for layoffs even as it outlined cost saving measures that include dropping half of its engine variants as it seeks to reduce product complexity. The BMW, Mini and Rolls-Royce brands are to get a single sales division. Peter said that given the headwinds to earnings, "we began to introduce countermeasures at an early stage and have taken a number of far-reaching decisions." The company said the measures were needed "to offset the ongoing high level of upfront expenditure required to embrace the mobility of the future." Automakers around the world have faced heavy up-front costs for technology expected to change how people get from one place to another in the next decade. Those include electric cars and renting cars through smartphone apps. Yet the returns from such investments remain uncertain and auto companies face competition from tech firms such as Uber and Waymo. BMW made 7.2 billion euros ($8.2 billion) in net profit last year, down 17 percent from 2017, when it booked a gain of $1 billion from U.S. tax changes. The company faced headwinds from increased tariffs on vehicles exported to China from the United States. It also suffered from turmoil on the German auto market when companies faced bottlenecks getting cars certified for new emissions rules. BMW faces uncertainty from U.S.-China trade tensions that could result in new tariffs if talks do not result in an agreement. U.S.

Rolls-Royce Phantom to soldier on through 2020?

The more a car costs, the less frequently it's replaced - usually. Take, for example, the Bugatti Veyron. It's one of the most expensive cars on the market, and it's been there for eight years now. Eleven years passed in between the launch of the Ferrari Enzo and that of its successor LaFerrari. Now comes word that the Rolls-Royce Phantom could stick around essentially unchanged until the year 2020.
The report comes from LeftLaneNews, which cites Rolls-Royce communications chief Richard Carter in stating that the Phantom isn't going anywhere fast - despite its massive 6.75-liter V12 engine. The Phantom is the car that essentially relaunched the brand under BMW ownership way back in 2003. It has since spawned long-wheelbase, coupe and convertible models, and underwent a few minor upgrades in 2009. It may yet get another series of enhancements before it's replaced entirely, but don't expect anything drastic within the next half-dozen years or so.
For what it's worth, Rolls-Royce has other things to focus on, and we don't just mean an endless parade of special editions and one-offs for emerging luxury markets in Asia. After launching the Ghost, the company followed up with the Wraith coupe and is said to have a convertible version in the works. An SUV is reportedly under consideration, as is a sixteen-cylinder roadster. But that's not even why the Goodwood-based automaker is stretching out the Phantom's lifecycle like it did its wheelbase: the average Phantom buyer pays a good half million for their new ride, and they wouldn't be too happy to see it replaced quite so soon.

Six luxury-car features I'm ashamed to admit I love

A hot compress felt wonderful on my sore back. The methodical kneading of my shoulder blades loosened the knots that formed over several hours of driving. The Swedish-style pulses firing into my lumbar region released more tension.
I wasn't getting a much-needed massage following a recent road trip. I was getting it during the road trip.
I grew up riding in the back seat of a 1976 Chevy Nova. But once you use these lux features, it's easy to go soft.