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BMW looking to save billions with cost cuts

BMW is planning a fairly extensive overhaul in a bid to recoup some its annual costs, with CEO Norbert Reithofer (pictured above) aiming to save three to four billion euro ($4 to $5.4 billion) per year to help keep the company's profit margins between eight and 10 percent, while also maintaining investments in production expansion and new tech. BMW's profit margins sat at 9.4 percent in 2013.
According to Automotive News Europe, Reithofer is none too pleased about costs at Mini and on the 1 Series, although neither AN nor its source story, from Germany's Manager Magazin, elaborate on what steps could be taken to improve losses on either project. That makes it hard to figure out just where the fat will be trimmed from.
What may happen, though, is that BMW attempts to trim 100 million euros ($135 million) from its German labor costs each year; a solution hinted at a few weeks ago by Germany newspaper Muenchner Merkur. While a dramatic cost reduction, 100 million euros still doesn't begin to even approach the savings envisioned by Reithofer.

Mini nixes plans for 7-seater, Countryman to stay largest model

Contrary to popular belief, it seems that Mini's growth plans do have a limit both in size and number of models. During the 2014 Geneva Motor Show, it unveiled the six-door Clubman concept (pictured above) that was 4.4-inches longer and about two-inches wider than even the current Countryman crossover. Mini design chief Anders Warming says that this is the new size limit for its models, and the BMW subsidiary isn't building a larger, seven-passenger vehicle above the current Countryman.
"We won't build anything bigger than the Countryman, not at this moment. You should be able to park a Mini in a city, so a Countryman or this new Clubman is as big as it should be," said Warming to Auto Express in Geneva. Rumors going back to last November, pegged the Mini as developing an even larger vehicle to take on mainstream CUVs.
While Warming is ruling out a bigger Minis for now, a smaller one like the Rocketman concept still might be in the cards. He said that the project has been warmly received but still had to be investigated because "it's a numbers game." So if bigger Minis aren't coming, there still might be a slim chance for a smaller one.

Watch Jay Leno bounce around with Dakar winner Roma in his Mini All4Racing

With Jay Leno off the Tonight Show, he has all the time in the world to focus on his passion for cars and can even travel a little. Leno teamed up with two-time Dakar Rally winner Nani Roma to jump and slide a Mini Countryman All4 racing truck around the dunes in Death Valley, CA.
The Mini-branded trucks are highly modified for off-road duty. They have won the Dakar Rally consecutively in 2012, 2013 and 2014 and even took a 1-2-3 finish in the most recent running. The specialized Minis are propelled over the dunes by a BMW-sourced, diesel engine with a six-speed sequential gearbox and heavy-duty all-wheel drive system with a locking center differential.
It is amusing to see the big smile on Leno's face, and Roma appears a little worried while Jay is driving. If this is what to expect from the post-Tonight Show Jay Leno's Garage videos, then things are only getting better from an already fantastic series. Scroll down to watch Leno and Roma take a Mini through the dunes.