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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.

Mini attempts first-ever backflip in a car

Not too long ago, the idea of doing a backflip seemed almost impossible on two wheels let alone four, but now the stunt is routinely performed using everything from dirtbikes to monster trucks. Now Mini is getting into the game by attempting to perform a backflip with French stuntman Guerlain Chicherit behind the wheel of a highly modified Countryman, which it claims is the first-ever attempt at doing so with a car.
Another unique element of the jump that Mini is claiming is in regards to the ramp. Past automotive backflips, including Rhys Millen's 2009 jump to ring in the New Year, have used special ramps that help rotate the car, but the ramp Chicherit uses is "unassisted" and the backflip is attempted using only "a gas pedal and a prayer" according to a Mini spokesman for the event.
The video posted below is only a teaser showing the car launch up into the air, but while we have to wait until February 10 to see the final result, it sounds like the landing was a success. According to the Chicherit's Facebook page, practice for the stunt took 18 months of work with "lots of crashes."

2018 Mini Cooper S E Countryman ALL4 Drivers' Notes Review | Plug and play

The second-generation Mini Countryman debuted at the 2016 Los Angeles Auto Show. In addition to the standard and S models, Mini added a new E Countryman plug-in hybrid model. That's what we have here, making our model's full name the Mini Cooper S E Countryman ALL4. It's distinguishable from other models by the green badges on the front and rear and on the charging port on the fender. There are a few changes inside, most notably a power gauge in place of the tachometer. The plug-in model combines a turbo inline-three cylinder engine with a 7.6-kWh lithium-ion battery pack. The gas engine motivates the front wheels while two electric motors power the rear. Three drive modes — Max eDrive, Auto eDrive and Save — adjust the amount of battery pack usage, with Max using all battery and Save mode using the starter generator to keep the battery charge above 90 percent. The biggest Mini (for what that's worth) is still far smaller than nearly every other crossover in its class. It's three inches shorter than a Mercedes-Benz GLA-Class and four inches shy of an Audi Q3. As compact as it is, there's still a good bit of usable cargo space thanks to the wide hatch and flat-folding seats. Our tester rang up for exactly $40,000 and includes features like 18-inch wheels, keyless entry and ignition, Cooper S heated sport seats, a heads-up display and LED lighting. Editor-in-Chief Greg Migliore: The only thing I don't like about this electrified Mini is its name: Mini Cooper S E Countryman ALL 4. That's a mouthful. You'd probably just say you bought a plug-in electric Mini Countryman and roll from there. And why would you spend time overthinking the name? The driving dynamics are razor sharp. Launches from stoplights with the electric fortification are brisk. Not in a cliched "this V6 Camry feels brisk" sort of way, but in a 29-degree February morning where the dog is walking too slow kind of way. I give Mini and its parent, BMW Group, a lot of credit for having the foresight to invest in electrification, adding performance and efficiency in a manner that's true to the character of Mini. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Then there's the traditional Mini goodness that shines through in the cornering and handling. I'm late for work. The light turns yellow. Am I stopping? Oh hell no. I'm not even slowing down. In this and all Minis, taking corners at full steam is expected.