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During a gathering of 20,000 Volkswagen Group employees at company headquarters in Wolfsburg, Germany on Wednesday, CEO Martin Winterkorn dropped a bombshell. The boss stated that the automaker isn't operating efficiently enough and admitted the company needs to radically start cutting back to raise its profit margins. To right the ship, Winterkorn has proposed killing off less profitable models and spending less on research and development.

According to Reuters, Winterkorn wants to raise the VW brand's profit margin from about 2.9 percent in 2013 to a target of 6 percent. To make that possible, his plan amounts to increasing cost cutting until Volkswagen reaches about 5 billion euros ($6.7 billion) per year to get things back in order. "Over the short-term, we urgently need more efficiency and higher profit," the CEO said during his speech, according to Reuters.

However, Winterkorn can't make these decisions unilaterally. Volkswagen's works council also has a seat on the supervisory board to represent laborers, and it isn't likely to take the proposed cuts sitting down.

Winterkorn's plan is especially interesting because the Volkswagen Group is going gangbusters worldwide, even if it's not meeting expectations here in North America. In the first quarter, it posted the equivalent of over $3 billion in global profits after taxes, and the group is aiming to meet its 10-million vehicle sales goal in 2014, four years early. Contrast that to the problems of the VW brand that saw its Q1 operating profits fall to around 440 million euro ($592 million), compared to about 590 million euro ($794 million) in the same quarter for the previous year. At the time, the automaker attributed the lower figure to falling sales, like in North and South America, poor exchange rates and higher investments in technology.

We've all been there. You walk down the street and can't believe how people have parked like that. Maybe they're taking up two spots. Maybe they're sticking out and blocking part of the street, sidewalk or crosswalk. And maybe you think about leaving a note, but you probably don't. One vandal in New York, however, is taking things a step beyond.

An unknown parking-enforcement vigilante in the Glendale neighborhood of Queens, New York, has been going around tagging cars with spray paint, leaving indelible messages like "Learn to park S bag" and "Hey S*** bag park right" (expletive deleted).

Naturally, their owners are up in arms – as would we all if we found someone had spay-painted our vehicles. In the CBS 2 news video report viewable by scrolling below, victims of the graffiti are interviewed, maintaining that their cars were were parked correctly, further noting that it's already hard enough finding spaces in New York. On some level, both jilted parties probably have a point, but there's little doubt that local law enforcement will see things the vigilante's way. Watch news report and then let us know how you feel about this sort of civil rebellion in Comments.

If you're into classic cars and don't already know about the website BringATrailer.com, you're seriously missing out. The site highlights vintage cars of all stripes for sale on the internet, whether they are from eBay Motors, Craigslist, its own readers or practically anywhere else. Even if you're not shopping for something to add to your garage, the commenters' discussions are usually incredibly insightful and often amusing, if a little pedantic. With a newly launched redesign, our friends at BaT are branching out a bit and starting their own weekly auto auctions.

With the new feature, appropriately called BaT Auctions, the site is hoping to bring its high quality, low quantity ethos to the world of online car auctions. Unlike eBay Motors, not just any vehicle can get in. Each selection is curated, and in a novel twist, BaT's fervent commenter base get to discuss the car for six days before the 24-hour sale actually begins.

To keep sellers from getting ripped off, bidders have to put down a deposit and register a credit card beforehand. Also, in an interesting move designed to prevent bid sniping, if there is a bid anytime within the last three minutes of the auction, then the timer resets back to three minutes on the clock.

With three cars this week to kick things off, BaT plans to tweak the auction process as needed in the future. "Our goal is to create the absolute best way to buy and sell the best cars of all time, and we know that's something that will take us time to get just right," said Bring a Trailer co-founder Gentry Underwood to Autoblog via email. Scroll down to read more on the company's announcement.

While its crosstown competitors at General Motors are smarting over a drastic drop in net income to $200 million in the second quarter, Ford has reason to celebrate. The Blue Oval has announced its own Q2 financial results, including a growing net income of $1.3 billion, a $78 million increase over last year. Pretax profits for the company reached $2.6 billion, up $44 million from 2013, but total revenue dropped slightly to $37.4 billion, down from $37.9 billion. Profits per share before one-time charges totaled 40 cents per share, beating Wall Street analysts' expectations of 36 cents a share.

Regionally, the Blue Oval performed strongly, as well. North America posted a record quarterly pre-tax profit of $2.4 billion, a $119 million increase. Europe also showed signs of turn around with its first profit in three years of $14 million after a loss of $306 million in Q2 2013. Ford is actually predicting profitability in the troubled region in 2015. Asia Pacific operations also performed well with $159 million in profits, up $29 million from last year. The only region where the business posted a loss was South America.

According to Automotive News, Ford also announced more precise plans about the changeover to build the aluminum-intensive 2015 F-150. In August, the Dearborn plant will shutdown for eight weeks to retool and its Kansas City plant will do the same next year.

For the end of the year, Ford predicts it's on track to meet its pretax goal of a profit between $7 and $8 billion. You can read the entire financial announcement in PDF format, here.

Toyota released a new Yaris in Europe and its Vitz clone in Japan a few months ago, so we knew it would only be a matter of time before it would launch the new hatchback here in North America. And that time has come.

The new, more distinctive 2015 Yaris features far more aggressive exterior styling, a look set apart by that large lower air dam and X-motif front end. It rides on a retuned suspension hooked up to an altogether more rigid chassis, and Toyota promises it will ride more quietly and comfortably than the model it replaces. Inside the new model has additional soft-touch materials in a more comfortable cabin equipped with everything from a 6.1-inch touchscreen display to nine airbags.

The 2015 Yaris comes in both three- and five-door bodystyles, and three trim levels that seek to eliminate the need for options packages. In fact the only option to speak of is a dealer-installed nav system. Power comes from a modest 1.5-liter four with variable valve timing, dual overhead cams and sixteen valves, sending 106 horsepower and 103 pound-feet of torque through either a five-speed manual or four-speed automatic.

For all the updates, Toyota has only increased pricing by two or three percent (amounting to a few hundred bucks), with the 2015's MSRP ranging from $14,825 for a three-door, manual-transmission Yaris L to $17,620 for five-door, automatic Yaris SE (*before $825 destination charge). Scope out all the details and pricing in the press release below.

The Gas Guzzler schedule, with mpg ratings and charges that haven't changed since 1991, lays out which fuel-swillers owe what to Uncle Sam.

I started thinking about the "Gas Guzzler Tax" – considerably less well known as The Energy Tax Act of 1978 – when I was driving Dodge's new Challenger SRT Hellcat last week. Unsurprisingly for a car that can burn 1.5 gallons of gas per minute at max tilt, theoretically able to empty a full tank of premium in about 13 minutes, the Hellcat will be subject to the Gas Guzzler Tax schedule when it goes on sale.

Beyond knowing that it existed, and occasionally seeing a surcharge for it listed on the specification sheet for a press car I'd been loaned, I didn't really understand how the GGT worked or was calculated.

Thankfully, the Environmental Protection Agency makes learning about the GGT (and a lot of other stuff) pretty simple. EPA.gov has a clearly written explanation of the tax and the tax schedule. That schedule, operating with miles-per-gallon ratings and charges that haven't changed since 1991, clearly lays out which fuel-swillers owe what to Uncle Sam. Basically, if a car's combined fuel economy rating is 22.5 mpg or higher it's off the hook ­– trucks, minivans and SUVs are all exempt from the GGT – if the rating is lower, per vehicle taxes range from $1,000 to $7,700 for the very thirstiest.

Simple, right?

Oh, the heady days of 1993, back when the Clinton Presidency was just getting underway, and it seemed like every hot new rock band was coming out of Seattle. Sports cars in the US had finally shaken off the shackles that slowed them during the '70s and '80s, and you could buy any number of legitimately quick vehicles again. MotorWeek recently went digging into its archives to find this six-model test from 1993 showing off some of the best semi-affordable performance coupes that money could buy at the time, and it's priceless.

Featuring the 1994 model year Toyota Supra in twin-turbo guise and MY 1993 versions of the Porsche 968, Nissan 300ZX TT, Mazda RX-7, Dodge Stealth R/T Turbo and Chevrolet Corvette LT-1, MotorWeek definitely covered all of the bases. One thing that might surprise younger readers is these cars' performance. The video only provides 0-60 acceleration times, but several of these vehicles would still be considered pretty potent today – over 20 years since going on sale. The Supra is especially impressive, hitting 60 miles per hour in just 5 seconds. Even today, that's nothing to sneeze at.

Given their performance potential and still-attractive looks, it's amazing that some of these coupes are old enough to drink now. The progress of interior design and safety equipment in the intervening years is pretty shocking, though. In most of these models, having two airbags is touted as a big deal. Scroll down to watch a Throwback Thursday blast from the past about some of the '90s best sports cars.

It may be obvious at this point, but here in the United States, European manufacturers routinely give us the short end of the stick. Now, I'm not talking about models or brands that don't come here, like the Mercedes-Benz A-Class or the entire Renault line. No, instead, I'm referring to cars that are sold right here in the Land of the Free in one bodystyle, while Europe enjoys the same vehicle with a wider variety of configurations.

A prime example of this is the Audi S4/S5 line. In America, we can have the supercharged twins in two-door coupe, four-door sedan, and cabriolet body styles. Meanwhile, our Euroland cousins get the same trio of bodystyles, as well as the A5/S5 Sportback, a characterful 'four-door coupe,' and a versatile hauler, the S4 Avant. At first glance, Audi of America lacks a vehicle that can compete with the latter's blend of performance, versatility and subdued looks. So, what's an American with around $60,000 and an obsession with quick, conservative haulers to do? Well, he can buy an SQ5. (Though it bears mentioning, our US-spec SQ5 is vastly different than what's available to our European friends.)

The SQ5 has a huge number of things going for it that make it a viable alternative to a proper hot wagon, and foremost among them are its looks – this is a sleeper. Audi has thankfully decided not to molest the clean looks of the standard Q5 when penning the sportier model.

The SQ5 gains a unique set of wheels: 20-inchers are standard, but our tester was fitted with a set of 21-inch rollers. Visually, neither make a huge departure from the standard Q5 though. Other standard features of Audi's S models are also found on the SQ5, including a set of quad exhausts, silver mirror caps and mildly different front grille and foglight surrounds. If anything, the Q5 TDI diesel I tested late last year looks sportier than today's tester.

Given General Motors' steady stream of recalls this year (including a single day with around 8.4 million vehicles needing repair), it's not a huge surprise that the cost to deal with all of the problems will be high. However, few analysts expected the tab to be this steep. In the General's just-announced second-quarter financial filing, it revealed that net income for the quarter was just $200 million, compared to 1.2 billion in Q2 2013 – a drop of over 80 percent. To put this in proper perspective, though, that figure is still up from the $100-million income booked from the first quarter of 2014.

The cause of the sharp descent was not only the recalls themselves, but other costs related to them, as well. According to the report, GM paid out $1.2 billion in recall-related repairs during the quarter. The company had to set aside $400 million for ignition-switch compensation, an amount it admits is an estimate that may need to be raised by an additional $200 million in the future. To prepare for possible future campaigns, the automaker also took a charge of around $900 million to be ready to pay for them.

Earnings before interest and tax also fell to $1.4 billion, compared to $2.3 billion in the same quarter of 2013. However, net revenue was up slightly to $39.6 billion, compared to $39.1 billion in the previous comparable quarter, and revenue was also up through the first six months of the year.

CEO Mary Barra put a positive spin on the tepid results, saying, "Our underlying business performance in the first half of the year was strong as we grew our revenue on improved pricing and solid new vehicle launches," she said in the company's announcement. Scroll down to read the entire release, including a table comparing Q2 2014 to 2013.

Assuming all goes to plan, automakers test their vehicles to the breaking point in the months and years leading up to that vehicle's actual release into the public. Which is good, because it's much better for a car to break in glorious fashion in the hands of the company that produces it than in the driveway of an owner who just spent their hard-earned cash to get it.

Such was the case with this production-guise Acura NSX prototype that we saw running around the Nürburgring just the other day. We can't be 100-percent certain, but the burned-out carcass is wearing the same number plate as the car that was spotted earlier, so it's likely the very same NSX. We have no idea what was the cause of the blaze that turned this Acura into the car-b-q you see pictured above, but our spy shooters on the ground in Germany say it was not involved in any collision, having caught on fire all on its own with engineers behind the wheel.

The good news is that nobody was hurt, though the car is quite clearly a complete loss. We're sure there's another ready to to test in the burned car's place... just as soon as the engineers at Honda figure out exactly what went wrong. Have a look at the smoldering aftermath up above, and feel free to scroll down below to see a video of the car in much better circumstances.

Rogue or no, Tea Party darling and former Alaskan governor and vice presidential candidate Sarah Palin is still subject to traffic laws. That means when Sammy Hagar's "I Can't Drive 55," comes on the radio, she's still expected to keep a moderate pace, and even her celebrity status isn't enough to get her out of a speeding ticket.

"I wasn't speeding. I was qualifying," Palin allegedly told the celebrity gossip hounds at TMZ. She was nabbed going 63 miles per hour in a 45-mph zone while driving her Toyota Tundra in her hometown of Wasilla, AK on July 16. Palin, according to the website, amusingly blamed her lead foot on the Hagar track.

Palin was cited for driving 10 to 19 mph over the speed limit, which carries a $144 fine in addition to a $10 "police training" surcharge, according to The Detroit Free Press.

Never heard of ATS? Nope, we're not talking about the Cadillac sports sedan. We're talking about Automobili Turismo e Sport, an Italian automaker formed by a group of renegade Ferrari staffers in the mid-'60s. ATS was only on the map for a couple of years, producing models like the 2500 GT and competing in a handful of grands prix. But ATS (not unlike Mini and Bugatti) was revived a couple of years ago, hitting the scene with the ATS Sport with a number of other projects (not the least of them being similarly reviving De Tomaso). Here we have its followup.

Called the ATS Leggera, the two-seat roadster was previewed late last year but is now ready to cruise down the Italian coastline. Inspired by classic European roadsters of the 1950s and 60s, the ATS Leggera packs a 1.6-liter turbo four in a front-mid position for 50/50 weight distribution within a stainless steel tubular frame.

The base-spec ATS 300 Leggera drives 210 horsepower to the rear wheels through a five-speed manual transmission and Quaife rear differential, riding on 16-inch machined alloys packing six-piston calipers up front and gripping ventilated discs out back, fitted to a double wishbone suspension with adjustable Ohlins shocks and front and rear anti-roll bars. Weighing just 1,400 pounds, even the 300 model (so named for its power-to-weight ratio) is capable of reaching 62 miles per hour in 4.3 seconds en route to a top speed of 137 mph.

Those looking for a little more performance can opt for the ATS 365 Leggera with 240 hp. The first five customers, however, will have the opportunity to order the ATS 420 Super Leggera SS, packing a 2.2-liter Honda engine tuned by Spoon to produce 290 hp. With a chrome molybdenum frame, it weighs even less at 1,323 pounds for a power-to-weight ratio of 420 hp/tonne.

Both left- and right-hand-drive versions will be offered, with a cockpit trimmed in soft Italian leather, Nardi wood steering rim and Smiths instruments. But track-day enthusiasts (or those interested in entering in qualifying racing series) can opt for a six-speed sequential gearbox, semi-slick tires, carbon buckets, racing harnesses and an FIA roll cage to replace the chrome hoops among the long list of options. Scope out all the details in the press kit below and the images in the gallery above for a closer look.

Formula One racing in North America has come a long way in the last few years. Having been absent from the calendar from 1992 through 1998 and again from 2008 through 2011 (when American racing fans could only catch the Canadian Grand Prix up in Montreal), the United States Grand Prix is now a regular fixture on the calendar at the Circuit of the Americas in Austin, TX. There's even a second race in the works for the New York/New Jersey area, if that ever actually gets off the ground. And next year, there'll be one in Mexico, as well.

The idea of bringing back the Mexican Grand Prix first popped up on our radar screens back in 2011, but after it was initially slated for inclusion in this year's championship, it was ultimately postponed because local race organizers weren't ready. But at a press conference in Mexico City yesterday, organizers (including billionaire Carlos Slim and USGP organizer Tavo Hellmund) confirmed that plans are on track to hold a race there next year.

When the GP does finally take place, it will mark the first time the F1 circus will stop in Mexico since 1992, marking the end of a 23-year absence. Nigel Mansell won the last Mexican Grand Prix for Williams and still holds the lap record from the year before, but it's Jim Clark and Lotus who hold the record for the most wins there. The Autódromo Hermanos Rodríguez in Mexico City is expected to undergo considerable renovations to support the race, where we don't doubt that Sergio Pérez and Esteban Gutiérrez – the first Mexican F1 drivers in decades – will be warmly received by local fans.

An additional race in Baku, Azerbaijan, is also expected to be added to the calendar for next year.

Nissan's Nismo performance division has been getting more chances to shine recently with tuned models like the Juke Nismo RS and GT-R Nismo. But its latest creation moves closer to the bottom of the Japanese brand's lineup to make a hot hatch out of the (Versa) Note.

At least in Japan, the new model is due this fall, and Nismo is keeping a lot of the details about its latest creation a secret for now. What we do know is that it'll be available in two trims – the Note Nismo and the sportier Nismo S. "The development concept of this model was to build a car that makes you want to keep driving, no matter where your destination may be," said the division's chief product specialist, Hiroshi Tamura, in the company's announcement.

Aesthetically, the Note Nismo looks the way a tuned Nissan should, with the division's signature red trim outlining the car. It also wears a new, mesh grille, lower air dam, red side sills and rear spoiler. Inside, the S gets standard sport seats with full Recaro buckets as an option. Nissan didn't release technical specs for either version, but it promises that the S also gets a tuned engine with a five-speed manual.

But now, allow us to burst your bubble. Autoblog spoke to Nissan North America Product Communications Director Dan Bedore about the hot Note, and he told us, "There are no plans currently for a Nismo Versa Note in the US." That's too bad; if the specs turn out to be competitive, it could be an interesting rival for the Ford Fiesta ST. Scroll down to read the official announcement.