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Weekly Recap: Volkswagen moves forward under Muller

Most stunning was the speed of it all. On the morning of September 18, Volkswagen AG stood atop the automotive world. It was profitable and sold more cars than Toyota and General Motors, its two main rivals for global supremacy. By nightfall, the company would be embroiled in scandal. Revelations the German auto giant cheated on diesel emissions testing in the United States reverberated from Washington to Wolfsburg, Germany. What started out as a problem with 482,000 VWs and Audis in the US exploded into an international scandal. Millions of vehicles have the rigged software, meaning VW broke environmental rules as its cars spewed pollutants all over the world. The fallout began immediately. Volkswagen CEO Martin Winterkorn – one of the most respected and capable executives in the business – apologized on Sunday and Tuesday. On Wednesday he resigned. As the week progressed, the company's stock took a beating and credit agencies threatened to drop their ratings. VW dealers and owners said they felt betrayed. The automaker hired a law firm that defended BP after the Deepwater Horizon oil spill. The EPA is already extending its testing procedures to look for "defeat devices" like the ones used by Volkswagen. On Friday the company announced a major restructuring. Matthias Muller, Porsche's chief for the last five years, took over as CEO of Volkswagen and is charged with picking up the pieces of a shattered company facing regulatory action and lawsuits. With GM, Toyota, and Takata scandals still fresh, Volkswagen will likely experience unprecedented levels of scrutiny. Additionally, VW's markets in the United States, Canada, and Mexico will be combined into a North American region under the leadership of former Skoda boss Winfried Vahland, though US chief executive Michael Horn will stay on. The company is also realigning its brands by specialty and streamlining its board. Firings, government action, restructurings, and international outrage – things that usually build up over months or years – all occurred in about a week. With dizzying speed, Volkswagen's future has changed dramatically. It all happened, it's still happening, so fast. OTHER NEWS & NOTES 2016 Buick Cascada to start at $33,990 Buick hasn't made a convertible in 25 years. That's a whole person who can drink plus a kindergartner. So it's been awhile. Enter the 2016 Buick Cascada. It has top-shelf Opel engineering, slinky design, and it's reasonably priced.

Mark Reuss: GM can't afford product 'misses,' has 'thought about' CT6 V-Series

Mark Reuss is a busy man. He oversees General Motors' global product portfolio, an all-encompassing task for a company that sold more than 9.9 million cars and trucks last year. When GM launches a well-received product, like the road-going rocket ship that is the Chevrolet Corvette Z06 – he gets credit. When the company stumbles with the slow-selling Chevy Malibu or grapples with fallout from the decade-old Saturn Ion and its flawed ignition switch, he gets blamed. GM owners, the press and sometimes the federal government, demand answers. Bob Lutz famously held the job before Reuss. So did Mary Barra, who's now GM's chief executive. There's a New GM, but the lineage is connected to a long history. When he's not thinking product, Reuss, an executive vice president, also runs the purchasing and supply chain for the company, which is still one of the largest industrial empires in the world. We caught up with Reuss on the floor of the New York Auto Show, where GM had just rolled out two crucial new products: the 2016 Cadillac CT6 and the 2016 Chevrolet Malibu. Speaking with a small group of reporters, Reuss delved into a variety of subjects, including the new Malibu, Cadillac's future (he thinks the ATS-V is going to "flame the M3 and M4"), and other topics. On fixing the Malibu: "We can't miss. We can't have those kinds of misses [like the previous generation] on our cars and crossovers and trucks. We can't do that. If we do that, we give a reason for someone to go buy something else. It's that simple. "On a car like the Malibu we have a chance to really fix all of that, which we have, and then lead. Then you've got a real opportunity there. So that's what we've really been focused on here – to fix those things." He later added: "We need that car here to transform Chevrolet desperately because it's the heart of the market. And when you think of Chevrolet, people will come back and think about what we did with the [new] Malibu and the Cruze... It's hugely important to us." On Cadillac: "If we go out and try and out-German the Germans, it's probably not going to work. We've got an opportunity here generationally where there's a lot of people younger than me that have parents that drove BMWs and Mercedes, and I think there's an opportunity there for those people to drive something different than what their parents did, and I think that's always been an opportunity in the auto industry if you look at the history of it.

Looking back at how and why GM saved Buick

Still uncomfortably fresh in our collective minds is 2008, the year when the US economy tanked, auto sales collapsed, and both General Motors and Chrysler endured federally managed bankruptcies. Then 2009, when, among other draconian measures, the government task forces dictating what they were compelled to do to earn taxpayer financial support ordered thousands of dealers cut and GM to discontinue four of its eight US brands. Three of those chosen for GM's axe were fairly obvious: off-road icon Hummer had become politically incorrect, Swedish-born Saab was a perennial money loser, and product-starved Saturn had sadly sagged after its strong early start. On the other hand, high-volume value brand Chevrolet, luxury Cadillac, and high-profit GMC seemed clear keepers. That left Pontiac and Buick, both boasting strong brand heritage and histories but both languishing at the time with lackluster image and sales. Most believed that "old man's car" Buick would be killed and once-youthful Pontiac and its performance image would be revived. So few understood why when exactly the opposite happened: Buick lived, Pontiac died. One key factor was Buick's long, distinguished history in China. In the early 20th century, many of that country's most influential citizens owned, drove, or were driven in Buicks. By 1930, one out of every six cars on the roads in Shanghai was a Buick. So when GM launched vehicle production at a Shanghai joint-venture plant in 1999, the chosen brand was Buick. Today it remains GM's best-selling brand in that fast-growing market. Another was an appealing new design direction that began with a shapely 2006 three-row crossover concept called Enclave. Inspired by the Buick Velite concept convertible of 2004, its curvaceous "form vocabulary," GM Design vice president Ed Welburn said at the time, previewed coming Buick production car and CUV design. "The body shape flows, like there's wind blowing over it," he enthused, adding that the Enclave concept's richly trimmed cabin foretold "a renaissance in interior design for GM." And when the production Enclave arrived for 2008, followed by platform siblings from Saturn and GMC (and later Chevrolet), it indeed caught the public's eye and started selling well. And once past GM's painful and embarrassing bankruptcy, Buick has been on a major roll. Continuing to sell strongly in China while growing substantially in the US, it has enjoyed four straight years of global sales records.