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BMW looking to save billions with cost cuts

BMW is planning a fairly extensive overhaul in a bid to recoup some its annual costs, with CEO Norbert Reithofer (pictured above) aiming to save three to four billion euro ($4 to $5.4 billion) per year to help keep the company's profit margins between eight and 10 percent, while also maintaining investments in production expansion and new tech. BMW's profit margins sat at 9.4 percent in 2013.
According to Automotive News Europe, Reithofer is none too pleased about costs at Mini and on the 1 Series, although neither AN nor its source story, from Germany's Manager Magazin, elaborate on what steps could be taken to improve losses on either project. That makes it hard to figure out just where the fat will be trimmed from.
What may happen, though, is that BMW attempts to trim 100 million euros ($135 million) from its German labor costs each year; a solution hinted at a few weeks ago by Germany newspaper Muenchner Merkur. While a dramatic cost reduction, 100 million euros still doesn't begin to even approach the savings envisioned by Reithofer.

Mini may have overexpanded, some models may not be replaced

Surprise, surprise. According to Edmunds, Mini may be looking to reduce the number of vehicles in its range, which has recently expanded to include a total of seven offerings (not to mention the copious varieties of configurations found within each line). When Mini relaunched in the early 2000s, it did so with one model, the Cooper Hardtop, and has since added the Convertible, Clubman, Countryman, Coupe, Roadster and Paceman. It looks like those ambitions of expanding the range to include up to 10 models may have been a bit optimistic.
"When we start to replace models, I think you will see that we won't replace every model exactly," Jim McDowell, Vice President of Mini USA, told Edmunds in an interview. The brand's core models right now are the Hardtop and Countryman, and of the roughly 66,200 vehicles that Mini sold in the United States last year, these two vehicles accounted for some 75 percent of total sales.
McDowell declined to mention any specific models that may not be replaced in the lineup's next generation, though our best guess is that ultra-niche vehicles like the Coupe (pictured) or Clubman. As for replacing some of the current models with new products, the only clear gap we can see in the brand's lineup is a smaller car like the Rocketman concept, though we've been told several times that a mini-Mini isn't going to happen. Be sure to let us know what Mini models you'd like to see kept or axed in Comments below.

Mini's Oxford factory builds its 10 millionth car

Mini has a lot to celebrate in 2019. The original, pocket-sized city car that spawned the entire brand made its debut 60 years ago, and its historic factory in Oxford, England, made its 10 millionth vehicle in August. The zesty hatchback is already on its way to meet its biggest fans. Fittingly, the milestone car is a limited-edition 60 Years-badged model. It's based on the two-door Cooper S, so its 2.0-liter four-cylinder engine is turbocharged to 192 horsepower, and it receives several edition-specific touches like brown leather upholstery with green accents, an array of special decals and logos, plus 17-inch alloy wheels designed for the model. The 10 millionth Oxford-built car isn't destined for a life spent in a museum or in a private collection. At least not yet. It's already hit the road as part of a 61-car convoy making the 84-mile trip from the Oxford factory to Bristol to attend the International Mini Meet taking place August 11. The first Mini built, a white Morris Mini-Minor, is at the head of the pack. It's followed by an example made during every year of the model's unusually long production run. And what a run it was. There were 5.3 million examples of the original Mini made between 1959 and 2000, but not all of them were manufactured in Oxford, and none were sold under the Mini brand. Parent company BMW created Mini as we know it in late 2000 when it launched the first-generation Cooper (the car now known as the Hardtop). Its numerous predecessors were given more than a dozen names including Austin Seven, Austin Mini, Innocenti Mini, Morris 850, Riley Elf, and Rover Mini.