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Mazda3 sales off to rocky start despite massive critical acclaim

Like just about every other auto publication we've seen, we loved the way the Mazda3 drove when we reviewed it a few months ago, but those glowing reviews apparently aren't helping its sales. The new compact may be falling victim to a sales war between the Toyota Corolla and Honda Civic, with the newcomer getting squeezed out by those with more established names and bigger marketing budgets.
According to Automotive News, Mazda3 sales have fallen every month since last August, and its sales are down 27 percent in the first two months of 2014. It certainly isn't helping that the entire compact segment is down five percent this year as well.
The biggest problem for the new model seems to be its price compared to rivals. Mazda is not offering the incentives that are on the hood of competitors. With the previous generation, the company offered more than $2,700 on the hood to move them out, but the current model only carries about $1,233 in markdowns, according to AN.

Flyin' Miata is building a V8-powered MX-5 ND

It's cold in many parts of the country, but this V8-swapped 2016 Mazda MX-5 Miata that Flyin' Miata is developing has us dreaming about throwing on a parka and taking a very brisk drive. This beast is the product of the talented folks at Flyin' Miata, but we can't get too excited just yet. According to the company's brief Facebook post, this is just a dummy V8, placed under the Miata's hood to confirm fit. Judging by the photo, the engine fits like a glove. "There's still a long way to go before this is a real thing," Flyin' Miata writes, but the company admits everything looks "very promising" so far. The post doesn't mention any details about the estimated specs, but Autoblog reached out to Flyin' Miata for more information about this intriguing build. Keith Tanner, one of the mad scientists who shoehorns V8s into Miatas at the Colorado outfit, told us that Flyin' Miata is looking at both the LS3, which will provide between 430 and 525 hp, and the LT1 which is 460 hp out of the box. A supercharged LT4 is also being considered, but as Tanner put it, "that might be a little nuts" in a car as light as the ND. In any of these engine configurations, Tanner estimates the V8-swapped ND should comfortably be a sub-4 second to 60 mph car. The transmission will be a Tremec T56 Magnum six-speed manual. The suspension, brakes, fuel system, cooling system, and the chassis itself will all be beefed up to handle the power, as per normal FM practice. The one question mark is the rear end, as the ND's existing one simply won't be up to the task of putting that much horsepower to the ground. The 2016 Miata was one of the best cars we drove in 2015, but Flyin' Miata knows how to turn a standard MX-5 into an absolute hotrod with the company's LS3 V8 conversions for earlier models. Imagining the more modern chassis from the latest generation with a massive dollop of more power is an exciting thought. We can't wait to see how this project turns out. Related Video:

Mazda's first profit in five years in sight due to weak yen

Automotive News reports Mazda is set to turn a profit for the first time in five years. The automaker is more dependent on exports from Japan than other automakers based in that country, and as a result, it has long suffered at the hands of a strong yen. But the currency has declined in value by some 16 percent over the past six months and Mazda's shares have tripled in value to their highest level since 2008. Contrast this situation to a year ago when Mazda printed 1.22 billion new shares to raise cash. The move was equivalent to 70 percent of the company's then-outstanding stock, and values tumbled to record lows as a result.
Now that the yen has fallen to a value of around 96 per dollar, Mazda operations in the US are more profitable and the company now projects it will earn around $279 million for the next fiscal year. Automotive News says a one yen change against the dollar can have a 9.1 percent impact on Mazda operating profit compared to 4.7 percent at Subaru parent Fuji Heavy Industries or 3.1 percent at Toyota. Those automakers better insulate themselves from currency fluctuations with overseas manufacturing facilities.