Touring car racing

Touring car racing is a style of road racing that is run with production derived race cars. It often features exciting, full-contact racing due to the small speed differentials and large grids.

The major touring car championships conducted worldwide are the V8 Supercars, British Touring Car Championship, Deutsche Tourenwagen Masters, and the World Touring Car Championship. The European Touring Cup is a one day event open to Super 2000 specification touring cars from Europe's many national championships. Another European series is the FIA GT Championship, which features the Spa 24 Hours on their schedule.

The Sports Car Club of America's SPEED World Challenge Touring Car and GT championships are dominant in North America. America's historic Trans-Am Series is undergoing a period of transition, but is still the longest-running road racing series in the U.S. The National Auto Sport Association also provides a venue for amateurs to compete in home-built factory derived vehicles on various local circuits.

Single-seater racing

In single-seater (open-wheel) the wheels are not covered, and the cars often have aerofoil wings front and rear to produce downforce and enhance adhesion to the track. In Europe and Asia, open wheeled racing is commonly referred to as "Formula", with appropriate hierarchical suffixes. In North America, the "Formula" terminology is not followed (with the exception of F1). The sport is usually arranged to follow an "international" format (such as F1), a "regional" format (such as the Formula 3 Euro Series), or a "domestic", or country-specific format (such as the German Formula 3 championship, or the British Formula Ford).The best-known variety of single-seater racing, Formula One, involves an annual World Championship for drivers and constructors In North America, the cars used in the National Championship (currently the IndyCar Series, and previously CART) have traditionally been similar though less sophisticated than F1 cars, with more restrictions on technology aimed at controlling costs.

Other international single-seater racing series are the A1 Grand Prix (unofficially often referred to as the "world cup of motorsport"), and the GP2 (formerly known as Formula 3000 and Formula Two). Regional series include Formula Nippon and Formula V6 Asia (specifically in Asia), Formula Renault 3.5 (also known as the World Series by Renault, succession series of World Series by Nissan), Formula Three, Formula Palmer Audi and Formula Atlantic. In 2009, the FIA Formula Two Championship brought about the revival of the F2 series. Domestic, or country-specific series include Formula Three, Formula Renault, Formula Ford with the leading introductory series being Formula BMW.

Single seater racing is not limited merely to professional teams and drivers. There is a large amateur 'club racing' scene catering for those who want to race single seaters against similar people all over the world. In the UK the major club series are the Monoposto Racing Club, BRSCC F3 (Formerly ClubF3, formerly ARP F3), Formula Vee and Club Formula Ford. Each series caters for a section of the 'market', with some primarily providing low cost racing whilst others aim for an authentic experience using the same regulations as the professional series (BRSCC F3).

There are other categories of single-seater racing, including kart racing, which employs a small, low-cost machine on small tracks. Many of the current top drivers began their careers in karts. Formula Ford once represented a popular first open-wheel category for up-and-coming drivers stepping up from karts and now the Formula BMW series is the preferred option as it has introduced an aero package and slicks, allowing the junior drivers to gain experience in a race car with dynamics closer F1. The Star Mazda Series is another entry level series.

Students at colleges and universities can also take part in single seater racing through the Formula SAE competition, which involves designing and building a single seater car in a multidisciplinary team, and racing it at the competition. This also develops other soft skills such as teamwork whilst promoting motorsport and engineering.

In 2006, producer Todd Baker was responsible for creating the world's first all-female Formula racing team. The group was an assemblage of drivers from different racing disciplines, and formed for an MTV reality pilot which was shot at Mazda Raceway Laguna Seca.

In December, 2005 the FIA gave approval to Superleague Formula racing which debuted in 2008 whereby the racing teams are owned and run by prominent sports clubs such as AC Milan and FC Porto.

Corporate restructuring

After gaining market share in the late 1990s and making enormous profits General Motors stock soared to over $80 a share. However, in 2000, twelve successive interest rate hikes by the Federal Reserve led to a severe stock market decline following the September 11, 2001 attacks, caused a pension and benefit funds crisis at General Motors and many other American companies. General Motors' rising retiree health care costs and Other Post Employment Benefit (OPEB) fund deficit prompted the company to enact a broad restructuring plan. Although GM had already taken action to fully fund its pension plan, its OPEB fund became an issue for its corporate bond ratings. GM had expressed its disagreement with the bond ratings; moreover, GM's benefit funds were performing at higher than expected rates of return. Then, following a $10.6 billion loss in 2005, GM acted quickly to implement its restructuring plan. For the first quarter of 2006 GM earned $400 million, signaling a turnaround had already begun even though many aspects of the restructuring plan had not yet taken effect. Although retiree health care costs remain a significant issue, General Motors' investment strategy has generated a $17.1 billion surplus in 2007 in its $101 billion U.S. pension fund portfolio, a $35 billion reversal from its $17.8 billion of underfunding.

In February 2005, GM successfully bought itself out of a put option with Fiat for $2 billion USD (€1.55 billion). In 2000, GM had sold a 6% stake to Fiat in return for a 20% share in the Italian automaker. As part of the deal, GM granted Fiat a put option which, if exercised between January 2004 and July 2009, could have forced GM to buy Fiat. GM had agreed to the put option at the time, perhaps to keep it from being acquired by another automaker such as Daimler AG competing with GM's Opel and Vauxhall marques. The relationship suffered, and Fiat had failed to improve. In 2003, Fiat recapitalized, reducing GM's stake to 10%.

In February 2006, GM slashed its annual dividend from 2.00 to $1.00 per share. The reduction saved $565 million a year.

In March 2006, GM divested 92.36 million shares (reducing their stake from 20% to 3%) of Japanese manufacturer Suzuki, in order to raise $2.3 billion. GM originally invested in Suzuki in the early 1980s.

On March 23, 2006, a private equity consortium including Kohlberg Kravis Roberts, Goldman Sachs Capital, and Five Mile Capital purchased $8.8 billion, or 78% of GMAC's commercial mortgage arm. The new entity, in which GMAC will own a 21% stake, will be known as Capmark Financial Group.

On April 3, 2006, GM announced that it would sell 51% of GMAC as a whole to a consortium led by Cerberus Capital Management, raising $14 billion over three years. Investors also include Citigroup's private equity arm and Aozora Bank of Japan. The group will pay GM $7.4 billion in cash at closing. GM will retain approximately $20 billion in automobile financing worth an estimated $4 billion over three years.

GM sold its remaining 8% stake in Isuzu (which had peaked at 49% just a few years earlier) on April 11, 2006, to raise an additional $300 million. 12,600 workers from Delphi, a key supplier to GM, agreed to buyouts and an early retirement plan offered by GM in order to avoid a strike, after a judge agreed to cancel Delphi's union contracts. 5,000 Delphi workers were allowed to flow to GM. On June 28, 2007, GM agreed to sell its Allison Transmission division to private-equity firms Carlyle Group and Onex for $5.1 billion. The deal will increase GM's liquidity and echoes previous moves to shift its focus towards its core automotive business. The two firms will control seven factories around Indianapolis but GM will retain management of a factory in Baltimore. Former Allison Transmission president Lawrence E. Dewey will be the new CEO of the standalone company.

On February 12, 2008 GM announced its loss of $39 billion, the biggest loss of any U.S. automaker. GM has offered buyouts to all its UAW members.

In March 24, 2008, GM reported a cash position of $24 billion, or $6 billion less than what was on hand September 31, 2007, which is a loss of $1 billion a month. A further quarterly loss of $15.5 billion, the third-biggest in the company's history, was announced on August 1, 2008.

On November 17, 2008, GM announced it would sell its stake in Suzuki Motor Corp. (3.02%) for 22.37 billion yen ($230 million) in order to raise much needed cash to get through the 2008 US economic crisis.

Flexible-fuel vehicles in Brazilian market

GM's largest overseas subsidiary is General Motors do Brasil, which started producing flexible-fuel vehicles since its inception in the Brazilian market in 2003. Like other Brazilian flex-fuel vehicles, GM's flex fuel cars and light-duty trucks are optimized to run on any mix of E20-E25 gasoline and up to 100% hydrous ethanol fuel (E100). GM launched its first flex fuel in June 2003, the Chevrolet Corsa 1.8 FlexPower, just two months after the first flex car was launched by another Brazilian carmaker

GM do Brasil also introduced the MultiPower engine in August 2004 which was capable of using natural gas (CNG), ethanol and gasoline (E20-E25 blend) as fuel, and it was used in the multifuel Chevrolet Astra 2.0 model 2005, aimed at the local taxi cab market. The Brazilian GM Powertrain unit also developed the EconoFlex technology, used for the first time in the Chevrolet Prisma 1.4, which allows the flex fuel engine to maximize fuel economy and power.

Due to the success and rapid consumer acceptance of the flex versions, GM sold 192,613 flex vehicles and 135,636 gasoline-powered automobiles in 2005, jumping to 501,681 flex-fuel vehicles while only 949 cars and 6,834 light trucks powered by gasoline were sold in 2007, and reaching new car sales of 535.454 flex fuels in 2008, representing 97 percent of all cars and light duty trucks sold in that year.

Flexible-fuel vehicles in North American market

GM produces several flexible-fuel vehicles that can operate on E85 ethanol fuel or gasoline, or any blend of both. Since 2006 GM started featuring a bright yellow gas cap to remind drivers of the E85 capabilities, and also using badging with the text "Flexfuel/E85 Ethanol" to clearly mark the car as an E85 FFV.

GM is the North American leader in E85 flex fuel vehicles, with over 3 million FlexFuel vehicles on the road in the U.S. As of 2009, GM offers 18 ethanol-enabled FlexFuel cars and trucks in the US, and produce more than one million new FlexFuel vehicles. GM's goal is to have half of their annual vehicle production be E85 or biodiesel capable by 2012.

Despite the significant amount of flex fuel vehicles sold in the US and Canada, the percentage of users actually using ethanol has been very low as many owners are not aware they owned an E85 flex or not enough E85 fueling stations are available nearby, except for the Corn Belt states, where there is a great concentration of E85 stations, as most corn ethanol is produced there. A 2005 survey found that 68% of American flex-fuel car owners were not aware they owned an E85 flex. Several critics have argued that GM and the other American automakers have been producing E85 flex models motivated by a loophole in the CAFE (Corporate Average Fuel Economy) requirements, that allows for a fuel economy credit for every flex-fuel vehicle sold, whether or not in practice these vehicles are fueled with E85. This loophole might have allowed the car industry to meet the CAFE targets in fuel economy just by spending between USD 100 to USD 200 that it cost to turn a conventional vehicle into a flex-fuel, without investing in new technology to improve fuel economy, and saving them the potential fines for not achieving that standard in a given model year.

All-electric vehicles

The process of obtaining the EV1, GM's first electric vehicle, was difficult. The vehicle could not be purchased outright. Instead, General Motors offered a closed-end lease for three years, with no renewal or residual purchase options. The EV1 was only available from specialist Saturn dealerships, and only in California and Arizona. Before reviewing leasing options, a potential lessee would be taken through a 'pre-qualification' process in order to learn how the EV1 was different from other vehicles. Next came a waiting list with no scheduled delivery date.

In June 2006 the documentary Who Killed the Electric Car? was released, criticizing among others, GM for being responsible for the demise of the EV1. Several weeks before the debut of the movie, the Smithsonian Institution announced that its EV1 display was being permanently removed and the EV1 car put into storage. GM is a major financial contributor to the museum, but both parties denied that this fact contributed to the removal of the display.

General Motors has responded to complaints about the scrapping of the EV1 program and they dispute the existence of any conspiracy surrounding its demise. An entry was posted on the GM blog FastLane in 2006 in which GM defended its decision by saying that it was unable to guarantee the vehicles could continue to be maintained in a safe operating state.

GM alleges that during the four years available to the public, only 800 EV1's were released. Over $1 billion was spent on the EV1 program, with a great portion used for consumer incentives and marketing. With a waiting list of 5,000 applicants, only 50 individuals actually were willing to accept a lease on the EV1. Suppliers ceased production of replacement parts due to the low demand for the EV1. This made repairs and continued safety of the vehicles difficult. The EV1 was designed as a developmental vehicle and was never intended for serial production.

GM responded to allegations made in the film through a blog post by Dave Barthmuss, who said "Sadly, despite the substantial investment of money and the enthusiastic fervor of a relatively small number of EV1 drivers — including the filmmaker — the EV1 proved far from a viable commercial success. Barthmuss notes investments in electric vehicle technology since the EV1: Two-Mode Hybrid, plug-in hybrid, and fuel cell vehicle programs. The filmmakers suggested that GM did not immediately channel its technological progress with the EV1 into these projects, and instead let the technology languish while focusing on more immediately profitable enterprises such as SUVs. Contrary to this suggestion, as Barthmuss points out, GM is bullish on hydrogen:

According to GM, not all of the EV1's were destroyed. Many were donated to research institutions and facilities, along with museums. Some are still owned by General Motors themselves, and are kept at their technical design center in Warren, Michigan, and can occasionally be seen on the road within a closed area of the tech center.

On September 16, 2008, as part of its 100th anniversary celebration, GM unveiled the "production" version of the Chevrolet Volt at the GM headquarters in Detroit.

General Motors has announced that it is building a prototype two-seat electric vehicle with Segway. An early prototype of the Personal Urban Mobility and Accessibility vehicle—dubbed Project P.U.M.A. -- will be shown off in New York a day ahead of the press previews for the 2009 New York International Auto Show.

Alternative fuels and electric vehicles

General Motors is both active in environmental causes and, as a major industrial force, implicated in ecologically harmful activity. The company has long worked on alternative-technology vehicles, and has recently led the industry with ethanol burning flexible-fuel vehicles that can run on either E85 (ethanol) or gasoline. The company was the first to use turbochargers and was an early proponent of V6 engines in the 1960s, but quickly lost interest as the muscle car race took hold. They demonstrated gas turbine vehicles powered by kerosene, an area of interest throughout the industry, but abandoned the alternative engine configuration in view of the 1973 oil crisis. In the 1970s and 1980s, GM pushed the benefits of diesel engines and cylinder deactivation technologies with disastrous results due to poor durability in the Oldsmobile diesels and drivability issues in the Cadillac V8-6-4 variable cylinder engines. In 1987 GM, in conjunction with Aerovironment built the Sunraycer which won the inaugural World Solar Challenge and was a showcase of advanced technology. Much of the technology from Sunraycer found its way into the Impact prototype electric vehicle (also built by Aerovironment) and was the predecessor to the EV1.

GM supported a compromise version of the CAFE standard increase from 27 mpg to 35 mpg, the first such increase in over 20 years.