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Here's the 2017 Toyota 86: Don't call it a Scion

After we heard the bells toll for Scion yesterday, we told you that the Scion FR-S will transform into a Toyota. That's right: just a rebadging. The practical question is, which badge? The philosophical question, which we can't answer yet, is where it'll sit in the pantheon of front-engined, rear-drive Toyota sports cars, of which the Supra was the last one to visit our shores, from 1992 until 1998 in its fourth generation. And as if summoned by this conversation, this camouflaged prototype appeared. Our best guess is that this is going to be the US-bound, Toyota-badged version of the Subaru BRZ and all the other 86-badged variants: the Toyota 86 (in Asia, Australia, New Zealand, South America, and South Africa), Toyota GT86 (in Europe and New Zealand again), and Toyota FT86 (in Nicaragua and Jamaica). For simplicity's sake, let's call it a Toyota 86. Peer into the 86's swirly camo, and it looks like the car is going in for a light refresh. The lower intake in the front fascia, if it's representative of a production part, adopts a different shape and is considerably wider and narrower than either the BRZ or FR-S units. It also appears that the turn signal and its surround are reshaped, different than any of the current variants. Changes out back appear mild. The area around the license plate seems to be smoother, and there is likely a predictable light restyle of the bumper skin and defuser under the camo. We don't expect a significant power increase, and certainly not a turbocharger (sorry!), but crossing fingers wouldn't do any harm. Related Video:

Scion pondering move upmarket?

Scion is simultaneously celebrating its ten-year anniversary with the 10 Series models and trying to figure out what to do with itself over the next ten years. Once a go-to consideration for young, first-time buyers who wanted something cool and different, in 2013 it has a model everyone is still talking about in the FR-S, a model few are still talking about in the iQ, and three models in between in the tC, xB and xD that make everyone wonder, "What happened?"
Automotive News spoke to Toyota's North American CEO, Jim Lentz - he was the VP in charge of Scion when it launched - about the options, and Lentz said one of them could be a move upmarket to challenge the established luxury brands that are moving downmarket. "There's going to be a big need in the $25,000 range for a fun-to-drive, nice-looking, value-oriented product," he said, and the FR-S, which starts at $25,255, could provide the platform for Scion to climb up a notch or two in price and perception. An idea like this could conceivably work in tandem with a proposal to move entry-level Scion products over to the Toyota brand - but remember, this is all just ideas on a whiteboard at the moment.
As opposed to an "entry-luxury fighter," the brand could swing back to the other option that was considered when it was formed, directly challenging the Korean makes that have usurped its cachet with first-time buyers. Lentz said Scion could go either way, and the tone of the piece seems to indicate that the final direction is still a ways away from being resolved.

Unintended acceleration settlement hits Toyota's Q4 bottom line

Depending on how you want to look at things, the US Attorney's Office $1.2-billion dollar settlement with Toyota in March over its unintended acceleration recall was either a big blow to the company or completely inconsequential. From January to March, net income fell five percent to 297 billion yen ($2.89 billion), compared to 313.9 billion yen ($3.05 billion) a year ago. However, the automaker still posted record full-year profits worldwide.
Operating profit also fell in the US by 9 percent to $498.1 million for the quarter, but sales were up by 6 percent to 581,261 vehicles. According to Automotive News, global revenue was still up from January to March by about 13 percent and vehicle sales were up 6 percent to 2.58 million units.
However, the payment to the feds did little to hold the company back last year. For the fiscal year ending March 31, 2014, Toyota had net income of 1.82 trillion yen ($17.7 billion), compared to 962.1 billion yen ($9.5 billion) in the last fiscal year. Total vehicle sales were also up.