Driving Habits

Fuel is very expensive these days and more and more people are looking to buy more economical cars. This trend has caused quite a ruckus in the auto industry. All of a sudden, trucks and SUVs were no longer in demand. Car manufacturers like GM, Ford and Chrysler LLC have suffered the most since a huge chunk of their profits had always come from larger vehicles. As a result, giant auto makers are forced to restructure their production to accomodate the ever increasing demand for smaller cars. But in doing so, profitability is also sacrificed. Analysts recently announced that GM could burn as much as $13 billion worth in cash by 2011.

The sudden change of demand is proof that fuel economy is very important to most motorists these days. The better the efficiency of the car, the more appealing it becomes.

However, a car's fuel efficiency is not written in stone. Fuel consumption may go up and down depending on a driver's driving habits.

An extreme example that shows how a person's driving style affected a car's fuel consumption was highlighted in the first episode of the 11th season of Top Gear. In that episode, they were able to make the 46MPG average Toyota Prius consume around 17MPG. Of course, in that episode, they were flooring the Prius all the wayaround their track for 10 laps.

No one can floor any car in public roads in that manner to have that kind of effect in fuel consumption. However, it still proves how driving style can affect a car's fuel efficiency. If you waste even as little as say half a mile per gallon, in 20 miles, you waste 10 gallons worth of fuel. That is the equivalent of wasting roughly around $41.

Therefore, it is important to always think about your driving style and assess whether or not you are maximizing the fuel effiency of your car.

As a general rule of thumb, always try, as much as possible, to keep your revs below 3000 rpm. Around the city or inside the village, it is even possible to make the car run below 2500 rpm. It is good not to accelerate too quickly. Simply let the car speed up smoothly with a gentle application on the gas pedal. If you are driving a manual, you can also try to shift gears a little earlier than you normally would.

During tough economic times, a controlled drive is a must.

Ferrari Back on Top: Scores Another 1-2 Finish in France

After two lackluster races in Monaco and Canada, Scuderia Ferrari was back in its dominant form in France. Felipe Massa led the team's third 1-2 finish of the season with no other car on the grid able to challenge the two scarlet cars. With the victory, Felipe Massa now leads the drivers standings with 48 points ahead of Robert Kubica's 46 points and Kimi Raikkonen's 43 points. Lewis Hamilton, plagued by penalties during the race, was once again scoreless and dropos to fourth place in the standings with 38 points.

Felipe Massa has become he first Brazilian driver since Ayrton Senna to lead the championship standings.

However, the race wasn't all smooth sailing for Ferrari. Kimi Raikkonen's F2008 suffered from exhaust problems. The regning champion was running strong from pole and built a lead of more than six seconds in 38 laps. But after the mechanical problem, Raikkonen's pace dropped significantly and he had no choice but to let Massa through. With 30 more laps to go, it was uncertain whether Raikkonen would have the pace to keep his second place, or worse, be forced to retire for the day.

Raikkonen stayed on track. He was nearly 20 seconds down to his teammate. However, he still managed to finish almost 20 seconds ahead of the nearest rival. By the time Raikkonen parked his car, his F2008 looked as if it was shot by a cannon with a gaping whole at the car's body work. It could be said that Raikkonen was fortunate to come away with 8 points.

The drive of the day however should be Jarno Trulli's performance to bring Toyota back to the podium. A week after former Toyota Team Boss Ove Anderson was killed in a classic rally incident, Trulli drove an inspired drive fending off the much quicker cars of Heikki Kovalainen's McLaren and Robert Kubica's BMW Sauber. The three would finish nose to tail with Trulli leading the trio. After Trulli got out of his car, he pointed towards his black armband indicating that he was dedicating his podium performance to Ove Anderson.

Corvette ZR1 priced at $105,000

Despite the demand shift for more fuel efficient cars, General Motors still managed to announce the sticker price of its upcoming gas-guzzling sports car: The all new Chevrolet Corvette ZR1 to be available at $105,000 (base model). The sticker price already covers the gas guzzler tax as well as the shipping costs.

There will only be two extra options available: $2000 for chromed wheels and/or a $10,000 interior package that includes side airbags, leather sport seats, a navigation system and Bose audio. The full optioned ZR1 will be priced at around $117,000.

The Corvette comes equipped with a 632hp 6.2L LS9 V8 engine capable of going from 0-60 mph in just 3.4 seconds, 0-100 mph in an impressive 7 seconds and has a top speed of 205 mph: officially making it the fastest Corvette ever.

Although all that speed comes with a price. The Corvette has an EPA rating of 14 mpg city and 20 mpg highway. And that rating only comes from the most economical drive. Get a little bit gas heavy every now and then, and you could be burning fuel below 10 mpg.

Considering the present state of the country, is there really anyone interested in buying the ZR1?

The answer is 'most definitely'. The Corvette is one of the most fabled cars in the country and it has a considerable following. Recession or no recession, the Corvette always has a place in the hearts of its targeted niche of car buyers.

GM expects to produce 2,000 units a year starting this summer.

BMW Confident With the U.S. Market

The past few weeks were plagued by troubling news mostly associated with surging oil prices. Whether it was the fact that gas averaged $4 for the first time nation wide, or that the costs of commodities were also rising, companies were downsizing and of course laying off employees, the reality of a recession happening in the country is still hard to stomach.

But amidst all the economic issues surrounding the nightly news, there is at least still one company that expects brighter times ahead. BMW AG recently announced that it was investing $270 million to expand its U.S. operations. BMW sales chief Ian Robertson added in his statement: "These investments show that we are convinced of the continued long-term growth of the U.S. market despite the difficult economic conditions currently."

Last year, BMW sales in the U.S. climbed by 7.1% as the company sold 336,000 vehicles. The U.S. sales made up around 22% of the company's overall worldwide sales.

More sales mean more BMW car users which also means more clients to service. To be able to cope with the company's growth in the U.S. market, BMW is planning to invest $170 million dollars by the end of the year. The money will be used to build two new parts distribution centers in Pennsylvania and Illonois.

$100 million dollars will be used to expand BMW's U.S. headquarters in Woodcliff lake, NJ. The company predicts that it will be able to employ about 1,000 people in total.

Times may be hard at present, but there are still some groups that see some positive things going in the country.

Gas Prices Averaged $4 per Gallon for the First Time

This was supposed to be vacation time. In the week that marks the peak for summer travels, vacationers were greeted by yet another news of rising fuel prices. For the first time ever, gas prices reached a national average of $4 per gallon. The unprecedented average came after the price of oil surged to a staggering range between $138-$139 per barrel.

As bad as the situation is, many analysts suggest that gas prices are still likely to rise even further.

People who have no choice but to use their vehicles on a daily basis have been feeling the brunt of increasing gas prices. So much so that more and more car buyers suddenly started to switch to smaller, lighter and more fuel efficient cars that triggered the huge shift in demand that caught the auto industry by surprise.

People driving diesel powered cars do not benefit from the better mileage diesel engines usually bring. The price of diesel is even worse compared to regular gasoline. Currently, diesel prices are at $4.76 per gallon.

But rising gas prices don't just affect ordinary motorist. Pretty soon, everyone will be feeling the brunt of surging fuel costs.

Increasing fuel costs also mean added costs for businesses that need to transport their goods. Hence, consumers will also feel rising costs in the market place as a side effect of soaring gas prices.

So much for having fun under the sun. A vacation just became that much more expensive.

Kubica scores BMW-Sauber's first win

Goal for 2008: win at least one GP - Check

Last year, BMW-Sauber's goal was to be considered as one of the top three teams in Formula 1. This year the goal was to win at least one Grand Prix and establish themselves as a legitimate championship team.

After the Canadian GP, the team seemed to have met its goal convincingly. Not only did Robert Kubica win the Canadian GP dominantly, teammate Nick Heidfeld crossed the finish line in second place, securing BMW-Sauber's first ever one-two finish.

The result boosted Kubica on top of the drivers' standings with 42 points.

The win becomes even more impressive if you consider the fact that it was in Canada last year that Kubica suffered the worst shunt of his career. But rather than be flustered, the Polish driver came back to the famed venue with a dramatic victory.

Like Father Like Son

Not long after Anthony Hamilton (Lewis' dad) crashed a $600,000 Porsche Carrera GT into a ditch, Lewis Hamilton crashed his multi-million dollar McLaren Mercedes-Benz into the back of Kimi Raikkonen's Ferrari F2008 in the pit lane.

The bizarre accident hapeened during the safety car period. The pit lane entrance was opened to allow the front runners, running in fumes by then, to have a much needed refuelling and tire changing stop. The exit however wasn't opened yet as the pit lane light still flashed red.

Kubica and Raikkonen were side by side in the pit exit waiting for the green light. Lewis Hamilton, on the other hand, noticed the red light a little too late and failed to stop on time clobbering Kimi's Ferrari in the process. Both were forced to retire for the day.

Hamilton dropped to second in the standings with 38 points. He currently wins the tie breaker with Massa who also has 38 points after finishing fifth in Canada. Raikkonen drops to fourth with 35 points.

Formula Karma

Vijay Mallya, co-owner of Team Force India, wasn't at all delighted when Raikkonen lost control and crashed into Adrian Sutil during the Monaco GP. Sutil was currently running in an impressive fourth place with 9 laps to go. Had Sutil finished, Team Force India would have earned 5 valuable championship points. It would have been the team's first ever point scoring result.

But because of Raikkonen's mishap, Team Force India left Monaco still scoreless.

Raikkonen apologized, but Mallya still expressed his discontent days after the incident.

During the Canadian GP, however, Vijay Mallya may be quoting a lesson on Karma as Raikkonen now became the victim of Lewis Hamilton's error.

As for Hamilton, he will be given a 'plus 10' grid penalty in the following race in Magny Cours, France effectively diminishing his chances of winning and reasserting his position in the standings.

What goes around comes around I guess.

Another Four Way Battle:

The Bizarre Canadian GP left Formula 1 fans yet another four-way battle with Kubica, Hamilton, Massa, and Raikkonen currently neck-and-neck.

GM, Ford, and Chrysler Stagger in May

$4 gasoline has reduced the big 3's U.S. market share for the month of May. The three combined for a 44.4% share: the worst ever showing for the leading American automakers. Including the Month of May, the past year saw the Big three go below a 50% market share five times. Back in 2004, the big three controlled 60% of the market share.

The lackluster sales allowed Japanese auto makers to cut the lead of the big three in the U.S. Led by Honda for the month of May, Japanese car manufacturers trail by just 1.9 points with 42.5% market share: a 5.7 points gain to end the month.

General Motors' market share fell bellow 20% for the first time in the company's history. GM faced a trying month as the company not only had to deal with the issues of rising gas prices and shifting demand, but also had to deal with internal problems such as the UAW strike.

Although Toyota's volume dropped by 4.3%, the company still increased its market share as it climbed to 18.4%. Toyota closed the gap considerably to GM, trailing by just 0.7 percentage points. During the same month last year, GM's lead over Toyota was 102,033 units. Now however, the lead is just 11,488 units.

Overall however, the auto industry is still struggling. In the month of May, car sales have dropped by as much as 10.7%.

SUVs and Pickup Trucks Rapidly Losing Value: End of an Era?

There was a time when SUVs and pickup trucks were the kings of the road. They were big, sporty and powerful. Unfortunately, they tended to be fuel thirsty. And with gas prices soaring at nearly $4 per gallon, 13 MPG is just too impractical especially during trying economic times. Instead, Americans now prefer smaller and economical vehicles.

Just a few years ago, introducing the Smart ForTwo would have been seen as a corporate suicide. But because of rising gas prices, pumping fuel amounting to roughly $18 for the Smart car surely makes more sense than splurging $40-$80 worth of fuel for gas guzzling SUVs.

This situation has happened before. Americans tended towards smaller vehicles when gas prices spiked. But when things stabilized and gas prices came down again, America renewed its love affair with SUVs and pickup trucks.

But things are different now. Chances are, gas prices will stabilize at a high price and will never be cheap again. If so, why else would anyone want to buy SUVs or pickup trucks?

How bad is the decline of value for these vehicles? Last september, a 2005 Ford Expedition sold $16,350. Now, its worth $12,400. that's a 24% depreciation in just nine months.

Dealerships are finding it increasingly difficult to sell such vehicles. And current owners of either SUVs or pickup trucks are finding it increasingly difficult to sell or trade-in their vehicles.

The common sentiment is that people no longer want these Gas Guzzlers. Everyone is desperate to economize. So desperate that even the Geo Metro, a small car that has not been in production since 2001, has seen a revival in sales. Believe it or not, the value of the Metro even increased by more than 100%. The 1990 Metro used to have a price tag of $1,175. Now, it sells for $3000. the reason for the appreciation is that the Metro does 40 MPG (that rivals gas mileage of many hybrids worth more than $20,000).

In short, SUVs and pickup trucks have suddenly become obsolete. They no longer answer to the current wants and needs of people. This is the reason why no one wants to buy them anyore. Those who have them, want to get rid of them as though the vehicles were the plague (although many environmentalists do look at gas guzzling cars as a disease for our planet).

Is the end near for SUVs and pickup trucks? It seems very likely.

Gas Worth as Much as Your Blood

Rising fuel prices has been a painful trend for some time now. How much more will the prices rise? No one could tell exactly. But most analysts are pretty sure that gas prices will shatter the $4 barrier sooner or later.

But for some people in Las Cruces Biological, fuel costs as much as a pint of your blood.

As it turns out, Las Cruces Biological is one of the lab companies that offer gas money to entice more people to become blood donors. All it takes is ten minutes.

The system is like a "quick cash" service. But rather than paying money to settle your debt, you give part of your blood.

The plasma from the donated blood will in turn be used by Pharmaceutical Companies to further R&D for future, potentially life saving drugs.

Not only do you get gas money, you also get to contribute to society.

Eligible donors are allowed to donate twice a week with each session garnering up to $40.

But before you start running towards a donation center that offers gas money for your blood, you have to be sure that you are eligible to donate blood. The general guidelines are as follows: you must be at least 110 lbs and it is adviced that you eat before donating blood. In addition, you must disclose any medications that you are currently taking.

Analysts Expect 10% U.S. Auto Sales Drop for May '08

With gas prices bordering on $4 per gallon, analysts were quite pessimistic with their forecast for the month of May expecting a 10% U.S. auto sales drop compared to last year.

The rising oil prices have pushed car buyers from trucks and SUVs, opting for smaller and more economical vehicles instead. Hence, analysts also expect that America'a big three, GM, Ford Motor Co. and Chrysler LLC will suffer the largest declines considering that numerous pickups and SUVs have been a staple for these car manufacturers. Monthly reports will be disclosed by car manufacturers on Tuesday, June 3.

Analysts noted that aside from the ruckus caused by rising fuel prices, GM faced vehicle shortage problems due to the UAW strike. As a result, it is expected that GM sales would fall by about 22%-25% compared to last year's result.

Ford sales are expected to drop by around 22% while Chrysler sales are expected to drop by around 20%.

Some car manufacturers however will receive a little bit of good news.

Despite trying times in the auto industry, Honda Motor Co. is expected to have a sales gain from a year ago.

And although Toyota Motor Corp. has a projected drop in sales, the Japanese giant is still on target to increase its market share in the U.S. to a new level.

Valentino Rossi: Undisputed King of Mugello

By the time Rossi secured pole position during Saturday's qualifying session, there was little doubt that a seventh consecutive win in Mugello was going to follow. There was a feeling that a script had already been written that would deliver an ending only 'feel good' Hollywood movies can offer. For an Italian crowd, that 'feel good ending' had to be the chance to celebrate yet another victory of arguably Italy's greatest motorcycle rider of all time (and arguably the greatest motorcycle rider of all time).

Indeed, Mugello always looked to be Valentino Rossi's favorite circuit. After all, he remains unbeaten in the venue since 2001. Yes, even when Michelin was heavily disadvantaged last year thanks to the rule changes, Rossi still managed to find a way to win.

Perhaps it is because it is in Italy in front of his fanatical follwing that Rossi just gets that little bit of extra motivation. But whatever the reason, the fact remains that Rossi has been untouchable in the famous venue.

Of course the script took an unexpected twist at the start of the race. Repsol Honda's Dani Pedrosa and reigning champion Casey Stoner had great starts while Rossi dropped back to fourth place. But it wasn't long before Rossi was picking off his rivals, setting them up before overtaking them decisively. By the fourth lap, Rossi would snatch first position from Casey Stoner.

Stoner of course would try to fight back, trying to prevent Rossi from running away. But the pace of Rossi seemed to be too much, with the Italian padding up his lead by almost a tenth of a second per lap.

Stoner could not find any answer to counter Rossi's blistering pace. Stoner would then make an error running wide in the first turn and then dropping down to third behind Pedrosa.

Pedrosa too could not match Rossi's pace and the Italian only extended his lead even more. The best Stoner could do was battle for second position as Rossi pulled away.

Stoner eventually grabbed second position from Pedrosa. But by that time, Rossi already had a comfortable three second margin. Once again, Rossi remained untouchable in Mugello.

The race would finish with Rossi winning, followed by Stoner, and then by Pedrosa.

It was Rossi's third straight victory of the season. With the victory, Rossi also increased his championship lead in the rider's standings by 12 points.

Clearly, Valentino rossi has cemented his reputation as the undisputed king of Mugello.