Autoblog

Kirk Kerkorian's associate Jerry York stated last Thursday that Ford would do well to sell Volvo and extinguish Mercury. Coincidentally (or not) Ford's stock zoomed up to one of the highest price levels it's seen in the last six months. Tracinda Corporation, Kerkorian's firm, has expressed faith in Mulally's leadership and his plan to strengthen the automaker. There has been speculation about a sale of Volvo in the past, and punditry has been begging the Blue Oval to do something with Mercury, or put it out of its misery, for years.

While York seems certain that Volvo will be on the market in less than two years time, Ford continues to state that the Swedish subsidiary is not for sale. Looking at the Premier Auto Group shuffle of the last year, though, it could certainly be deduced that Volvo will indeed go on the market soon. Moving the brand out of the PAG location in Irvine, CA and back to Rockleigh, NJ, where Volvo had set up shop when it first started selling cars in the United States, is a move that set off whispers of impending sale. While it might be nothing more than right-sizing office space for Volvo now that the rest of the Premier Auto Group is gone, a cross country move is a deft way to trim operational fat without layoffs, and divorcing Volvo's North American operations from Ford locations makes an ownership transition easier, too. While Ford and Volvo products share a lot of engineering and parts, a well-negotiated deal wouldn't preclude a sale that gently phases out the currently entwined platforms as they age and replacements are brought to market.

[Source: Automotive News - sub req. - Photo: Bloomberg]

Hopefully the potential dispersal of the Ford Premier Group won't affect this wonderful Jaguar/Land Rover collaboration that is being rumored. By borrowing aluminum (aluminium?) expertise from Jaguar, future Land Rovers could be as much as 1,000 pounds lighter than current models. Utilizing Jaguar's rivet-bonded aluminum monocoque body design, Land Rover could continue to build large luxury SUVs that are lighter and return even better fuel economy.

According to What Car's inside source, the new Range Rover will be the first all-alloy, monocoque-bodied 4x4 when it debuts in 2010. "There's no decision yet, and we don't have to decide for a couple of years, but it seems a logical step to investigate," said their source.

As they further point out, the Discovery and Range Rover Sport are both due for replacement a couple of years after the Range Rover, and it would make economic sense to share the technology across as many models as possible to exact the best economies of scale for L-R. It was expected that the new RR might switch to Land Rover's semi-monocoque steel T5 platform, which underpins the Discovery and the Range Rover Sport, but this makes a whole lot more sense.

Curb weight for the current Range Rover is about 6,000 pounds, but with a similar 15% weight savings as Jag has witnessed, Land Rover could get that down to less than 5,000 while maintaining the off-road toughness for which its vehicles are known. The boost in fuel economy and performance wouldn't hurt either.

[Source: What Car?]