• Jul 7th 2011 at 4:55PM
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Subaru Hybrid Tourer concept – Click above for high-res image gallery

Subaru has officially confirmed it will enter the hybrid segment in 2013 with the launch of an undisclosed gas-electric vehicle. Reports point to some sort of Subaru vehicle, packed with Toyota's hybrid technology, debuting over in Japan in 2013. For the record, Subaru has not announced whether this hybrid vehicle will be U.S.-bound.

Some reports claim that Subaru's fuel-sipping vehicle will be loosely based on the automaker's Hybrid Tourer concept that debuted at the Tokyo Motor Show back in 2009. While others speculate that it will be either the Impreza or Legacy that gets Toyota's gas-electric technology. Regardless, Subaru's first-ever hybrid vehicle will makes its debut in 2013.

Photos copyright ©2011 Jonathon Ramsey / AOL

[Source: Fuji Heavy Industries]
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FHI Announces "Motion-V" Mid-Term Management Plan for FY2012-2016

Tokyo, July 6, 2011 – Fuji Heavy Industries, Ltd. (FHI), the maker of Subaru automobiles, today announced its new 5-year management plan for the fiscal years ending March 31, 2012 (FY2012), through March 31, 2016 (FY2016). FHI has positioned these 5 years to solidify the foundation of its core Subaru automobile business in order to ensure further growth by achieving an annual sales volume of 1 million vehicles within the next 10 years.

Under the 5-year plan, FHI will grow its base of Subaru fans and customers by offering them its core values of enjoyment and peace of mind, which are established aspects of Subaru's brand identity. In terms of product development, Subaru continues to build on its expertise in safety technology and driving performance while constantly addressing environmental issues in order to offer environmentally friendly solutions. In the next 5 years, its product lineup will be bolstered by the introductions of three all-new models and a hybrid vehicle. FHI will place emphasis on the U.S. and China markets and increase its global sales by 40% over the term of the plan. Subaru plans to strengthen its production capacity to accommodate the increasing sales efforts, yet always in consideration of the need to hedge foreign currency exposure.

The new mid-term plan specifies goals and measures for growth and operational expansion, and it also reckons overall cost reduction and accounts for the synergistic effects of the alliance with Toyota Motor Corporation. The plan was made in consideration of FHI's global level of risk and recent changes in business practices, such as the currently required investment in the development of environmental technology, foreign currency fluctuations, and increases in other costs.

With a basic philosophy of customers come first, which further incorporates the brand statement Confidence in Motion as a guiding principle, FHI's 5-year plan addresses major challenges and sets forth goals.

FHI has also announced its consolidated outlook of FY2012 as the first year of the plan as follows:
Automotive sales: 633 thousand units (-3.6% year-on-year basis)
Net sales: 1,480 billion yen (-6.4%)
Operating income: 30 billion yen (-64.3%)
Ordinary income: 25 billion yen (-69.6%)
Net income: 35 billion yen (-30.4%)
Foreign currency rate: 81yen per US dollar, 115 yen per EURO

FY2012-FY2016 Mid-Term Plan: Numerical goals for the fiscal year 2016

Global automotive sales target*: 900 thousand units

Sales target by region: 380 thousand units in North America; 180 thousand in China; 160 thousand in Japan; 60 thousand in Europe; 50 thousand in Australia; and 70 thousand in other regions

*Target sales consist of FHI's volume of non-consolidated shipments of complete cars, KD units for overseas assembly, and OEM units.

Operating income goal: 120 billion yen

Calculation based on current standard accounting practices, under operating conditions of a profit margin at 6% and estimated foreign exchange rates of 90 yen per U.S. dollar and 120 yen per Euro.

R&D expense: 250 billion yen*; Capital expenditure: 330 billion yen*; Depreciation: 310 billion yen*
*5 years total
"Motion – V" Five Challenges

1. Guiding principle for all activities

Guiding principle "Confidence in Motion"

Aiming the achievement of Mid-Term Management Plan through positive actions by all members

2. Provide distinctive Subaru experience

New brand strategy

To expand the base of Subaru fans and customers and increase sales by offering enhanced Subaru brand value

Safety: To become the world's leading brand in safety performance by providing all-around safety that comprises risk-avoidance technologies (active safety), systems in collision safety (passive safety), and pre-crash safety features

Environment: To review and improve the efficiency of all automotive power units, so that an average improvement of 30% in fuel economy will be achieved across the board in Subaru vehicles


To enhance the Subaru product lineup through the introduction of three all-new models and a hybrid car (planned for 2013) and through the availability in more models of advanced technological pre-crash safety features like the EyeSight, Subaru's unique Active Driving Assist System that uses stereo camera technology

3. Accelerate sales expansion

Sales plans

To focus management resources on the U.S and China markets as key markets and substantially expand the sales

Production capacity enhancement plans

To begin production in China in order to expand production capacity and mitigate the sensitivity of foreign currencies

To expand the Oizumi Plant's production of the new-generation boxer engines that excel in environmental friendliness

To begin assembly of KD units in Malaysia, thereby making inroads to the growing markets within the ASEAN Free Trade Area

4. Solidify operational foundation

Upgrade of quality

To enhance the quality based on the view point of customers and strengthen the global quality control system responding to diversification of sales globally

Overhaul of cost structure

To strive for a 20% cost reduction in new models under development despite increasing cost factors, such as for required development of environmentally friendly technology

Alliance with Toyota


Joint development: A jointly developed rear-wheel drive sports car will be launched in spring 2012. FHI will study enhancement of product appeal of the model toward the future.

Technology development: FHI, in consultation with Toyota, will pursue synergistic effects by participating in the developmental work on next-generation environmental technologies.

Minicars: All Subaru minicar lineups will be supplied by Daihatsu under an OEM agreement by spring 2012.

Compact cars: FHI plans to continue the OEM arrangement for its compact car supplied by Toyota and will study enhancement of product appeal.

North America: Subaru of Indiana Automotive, Inc. will continue production of the Toyota Camry.

Japan: FHI will begin production of the jointly developed rear-wheel drive sports car.

5. Improvement in management

Aerospace Company, Industrial Products Company, and Eco Technologies Company

To review and determine those operations' future growth and independence, with securing profits as a premise

Human resources

To recruit and nurture employees with a global a perspective who accept the challenges of lofty
To become a company where employees can get satisfaction from their work within flexible working arrangements

Corporate governance

To invite outside directors to the board of directors and add independent directors

Return to shareholders

In taking account of financial results, capital expenditure and current business environment of each year, continuous dividend policy is our basic idea. In closely examining future improvement of ROE (Return of Equity), consider payout ratio idea linked to financial performance.

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    • 1 Second Ago
      • 4 Years Ago
      The "hybrid tourer" is a totally useless concept for anything other than a design study. That being said, if you strip down all of the crazy auto show crap (gull wings, panoramic roof, suave interior) you essentially get an impreza. That'd be my bet for the first hybrid. Also, I'm not sure what reports you're hearing, but last I heard, Subaru isn't using the Toyota hybrid system at all, at least not in terms of major driveline components. They might borrow some management software etc, but I expect the setup will be all-new, and closer in theory to honda's IMA.
        • 4 Years Ago
        I agree it's not Toyota's HSD, but it seems far from Honda's IMA. The Hybrid Tourer Concept supposedly "combines a 2-liter, turbocharged, direct-injection gasoline engine with a continuously variable transmission and two axle-mounted motors." "The engine sends power to all four wheels via Subaru's new Lineartronic CVT. The 20 kW (27 hp) rear electric motor will propel the car at low speeds, and assist in acceleration and hill climbing. The 10 kW (14 hp) front electric motor acts as a generator to recapture brake energy and recharge the lithium-ion battery but will also provide additional propulsion for climbing hills."
      • 4 Years Ago
      How about bringing back the Legacy Wagon without the jacked up suspension. Crazy idea, i know.
        • 4 Years Ago
        Blame the stupid CAFE regulations. The Subaru Outback is jacked up so it qualifies as a "Light Truck" since 2005. I read the brain-numbing, bought-by-auto-lobbyists government regulations a while back, as I recall it's something to do with entrance and exit ramp angles, square footage, flat loading floor, etc.
      • 4 Years Ago
      But will it be 4wd like the concept with an electric motor on each axle or will it be just a boxer Atkinson with Toyota synergy planetary tranny?
      2 Wheeled Menace
      • 4 Years Ago
      By 2013.. lol. Just in time for plug-in hybrids and full EVs to make regular hybrids start looking obsolete. At least they are doing it; their fuel economy across the board needs a big bump.
      • 4 Years Ago
      they could've been market leaders if they continued w/ their R1E/G4E program. they shouldn't really be surprised if we seem underwhelmed by this news.
      • 4 Years Ago
      Good job Subie! Better late than never!
        • 4 Years Ago
        So in 2013 they will offer a model to compete with toyota circa 2003. If subaru management had any foresight they would partner with Michelin and use their wheel motor technology to build pure electric and range extended plug-ins. Either that or a through the road hybrid system would fit the bill for awd performance and handling. They have the opportunity to bring the first mass produced awd EV to market and dramatically simplify & improve the reliability of their drive-train systems. But instead they will use hybrid tech that was not designed for awd and make it more complicated.
          • 4 Years Ago
          Subaru is owned by Fuji Heavy Industries...i.e. Large Earth Moving Equipment, most of which uses hybrid systems to operate. They are a low build number niche automaker. It will take time to develop a realistic AWD Hybrid system but they can always go to the parent company for the tech. instead of just hating like the average idiot EV fan boy, try encouraging an automaker and applauding their efforts to do the right thing. I'd rather take a better future environment over half cocked ideas that are only meant to appeal to the EV fan boys need for instant gratification.
          • 4 Years Ago
          Read my reply to @joeboarder108 for Subaru's actual system. It's none of what you propose, it's different and possibly better for Subaru. Through-the-road doesn't let engine power shift to axle that most needs it. Some Subaru drivers actually use AWD to get to rugged far away places (200 miles and 7,000 foot pass for me), so a pure EV is unlikely. I hope the lithium battery is big enough for Subaru to provide a plug-in version of the hybrid. Michelin (and Siemens/Continental, and PML) have failed to get any large automaker to adopt their in-wheel motors and appear to have given up, why are you blaming Subaru? In-wheel motors remain an unproven tech with significant issues for unsprung weight, handling, durability, and expense.
      • 4 Years Ago
      Will it be awd or will they lose the image of being 100 percent awd?
        • 4 Years Ago
        Those are two separate questions, and the answer to the second is YES, Subaru won't be 100% AWD. If you read the press release, "A jointly developed rear-wheel drive sports car will be launched in spring 2012."
      • 4 Years Ago
      I was kinda hoping they would just skip over the Hybrid era and bring over a Diesel for now, then go big with an EV in a few years.
        • 4 Years Ago
        Whatever happened to the Diesel Boxer they were working on?
          • 4 Years Ago
          Its for sale in Europe. It has been called the worst diesel engine on the market today by reviewers over there.
      • 4 Years Ago
      Always 2 years away. http://www.allcarselectric.com/news/1020915_subaru-plans-for-cleaner-diesels-and-hybrid-models-by-2011
      • 4 Years Ago
      For those suggesting a Subaru EV, you obviously have never been in the Pacific NW, where the Subies are as common as Fiats in the streets of Italy. Let me give you a hint; my old Tercel used to get 40mpg in FL, moved to Seattle and mileage dropped to 29mpg with similar driving. Imagine what the combination of the weight of an AWD car plus the hills of Western Washington/Oregon would do to today's EV batteries. What would be the EV range? There are regions of this country where drivers select a car based on weekend activities and/or having to cross mountain passes a few times per year. And in those regions, Subarus are very popular. I am 100% behind EVs; but I believe the hybrid approach is the correct one for Subaru. Let's get that mileage over 30mpg already. I am tired of reading Consumer Reports calling Subies mileage of 24mpg "respectable".
      Dan Frederiksen
      • 4 Years Ago
      all these great car companies and the most innovation they can come up with is to buy toyota's old stuff. pathetic.
        • 4 Years Ago
        @Dan Frederiksen
        YOU HAVE NO IDEA. Subaru is Fuji Heavy industry (FHI), which is mainly a big supplier in Japan. They work together since 2005 and Toyota owns a stake in FHI and they are sharing their develoment. So quit yer ranting, sincs you are obviously uninformed about the business. FHI also manufactures the camry hybrid. so yo are the one who is pathetic
          Dan Frederiksen
          • 4 Years Ago
          nothing you said invalidates my point. try to think a bit more and have less emotional clouding of your mind. you'll make far fewer mistakes that way
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