Aston Martin - Opportunities and Threats Under New Ownership
The big news this week for Aston Martin fans is that the luxury sports car maker made famous by James Bond 007 is heading back into British hands.
Ford announced that they have sold the company to a UK-led group fronted by Dave Richards - boss of respected motorsport specialist Prodrive - for £479 million.
The American car giant has had a big stake in Aston Martin since 1987, buying the company outright in 1994 and overseeing a period of unprecedented sales success. Under Ford's ownership, the company developed a number of respected new models and reported record sales of 7,000 cars in 2006.
But with the onset of Ford's financial troubles, the group decided to sell the luxury marque. Ford lost more than $12bn in 2006, and faces huge restructuring costs. However the group has still held on to a £40 million slice of the company.
The sportscar specialist will remain at its purpose-built factory in Gaydon (Warwickshire), where 1,800 people are employed.
Prodrive success
Under the leadership of Dave Richards, Prodrive has built a formidable reputation in motorsport, running the Aston Martin racing team in the sports car series around the world as well as the highly-successful Subaru rally team.
Dave Richards also managed the BAR Formula One team from 2002 to 2004, taking the team from eighth to second in the manufacturers world championship in that period, before Honda took a greater role and BAR team was rebranded. Richards was also a leading figure in the Benetton F1 team in the late 90s.
Most interestingly for motorsport fans, Prodrive owns a slot to enter the 2008 F1 World Championship. But the consortium has called 'unfounded' speculation that Prodrive may now brand its F1 cars Aston Martin.
Also in the consortium with Dave Richards is finance and shipping banker John Sinders and two Kuwaiti investment companies.
Mr Richards reassured Aston Martin fans that the new owners were committed to the company long term and would not be seeking a quick turnaround like many private equity groups do.
Exciting future
As well as the potential for an Aston Martin presence in F1 racing to excite fans, the new owners of the company have announced plans to step up production by more than a quarter in the next three years.
Growth will be driven by the launch of two new models - the DBS, as seen in latest James Bond Casino Royale, and the four-door Rapide - taking the marque's range to seven cars.
At least 200 more workers are expected to be taken on at an expanded Warwickshire plant as a result.
Questions ahead
But looking further ahead, the biggest question facing the new owners is, without the backing of a well-funded major car group enjoyed by many of Aston Martin's main rivals, whether they will have enough cash to spend on developing the brand's cars to keep them ahead of the competition.
A further threat is looming EU car emissions regulations. If these are implemented on a per-manufacturer basis, that would present a major problem for independent car makers like Aston Martin, unable to meet average emissions limits across their range by balancing the inevitably higher output of their powerful sporting models against low-emissions city cars, as large car groups will be able to.
For the company to survive under such an imposed EU regime, huge investment would be needed to produce low-emissions powerplants that nevertheless maintain the required level of power and performance. Though it remains to be seen exactly how the EU will enforce the lower emissions limits on car makers that have been agreed.
By Stuart Coster.
Visit the Blog about antonio aston martin san2007 Aston Martin V8 Vantage Car Review
You'll Like This Car If: If you enjoy a classic combination of sensuous sheetmetal and a well-connected chassis, the V8 Vantage won't disappoint. Its 4.3-liter V8 is a visceral yet viable piece of machinery, offering performance more accessible than its $115K price point might suggest. In contrast to the Vantage's day-in, day-out capability, the performance parameters demonstrated by many of its more exotic brethren (Porsche 911 Turbo, Ferrari F430) are not as accessible, often requiring a private track to properly demonstrate and/or enjoy.
You May Not Like This Car If: If your dream coach is one capable of carrying you, a companion and two weeks' worth of luggage, the V8 Vantage will disappoint. Its interior is generous within the context of the genre, and it does offer space for two (reasonably) well outfitted travelers, but don't press the V8 into service for runs to the airport or Home Depot. The V8's proportions constitute an extension of the driver, assuming that driver is neither 300 pounds nor a serial shopper.
Exterior: With the popularity of Aston's direct competitors (Porsche 911, Mercedes SL) making their shapes---at least in major metro areas---almost commonplace, the aggressive, albeit mature, lines of the V8 Vantage demand your attention. While some might draw comparisons with Jaguar's XK Coupe, the smaller Aston offers a visual balance speaking to both the carmaker's storied past (Aston Martin won LeMans in '59 with Carroll Shelby as co-driver) and now-promising future. The V8's front is dominated by Aston's traditional grille and (optional) xenon headlamps, while its profile is marked by a compelling side vent and strake and the roof tapers provocatively to a functional hatch and integrated spoiler.
Interior: In what Aston describes as "a synthesis of high technology and hand-crafted elegance" the prospect is struck by the Vantage interior's authenticity and comfortable accommodation. The leather seating epitomizes its "bucket" descriptive, but will realistically accommodate a "wide" variety of dimensions. Speedo and tach are front and center, and feature an organic electroluminescent display, more easily read---we're told---than more conventional LCDs. Finally, the tach---reading to 8,000 rpm---registers counterclockwise, a process which should amuse throughout the ownership period. Everything---as reviewers are wont to say---falls readily to hand, with few of the ergonomic nightmares that often befall the limited production sports car.
Notable Standard Equipment: The list of standard equipment is fully appropriate to a $115K purchase. Functionally, the base model includes Dynamic Stability Control, Traction Control and Electronic Brake-force Distribution. Inside, you're supported by a full-grain leather interior, remain comfortable with automatic temperature control and kept secure by an alarm and immobilizer.
Notable Options: Typically, we'd note the attractiveness of the Sportshift manumatic, navigation system and premium 700-watt sound system; however, ordering a Vantage V8---or anything from Aston Martin---is anything but typical. A choice of twenty exterior colors and twenty interior hues is augmented by "Out of Range" paint (you want Miata yellow---you can get Miata yellow) for $1,595 or "Match to Sample" paint for $3,785. You can spec the interior in a similar manner. The Sports Pack provides more aggressive Pirelli tires in combination with alloy wheels finished in an anthracite finish. Notably, not every addition requires a four-figure check. Fine stitching is only $220, a color-keyed steering wheel is under $300 and piano black fascia trim is $750. Personalization of this order is rarely this inexpensive.
Pricing Notes: A Manufacturer's Suggested Retail Price (MSRP) of $114,550 confirms the Vantage V8 as expensive. However, among a growing number of big-buck GTs from Ferrari, Lamborghini and Maserati, this Aston seems almost attainable. With the gas guzzler penalty and transportation, along with typical options, expect to invest around $125K for a V8 built to your order.
Driving Impressions: Everything in the Vantage's new spec is designed for the driver. Beginning with a bonded structure composed of aluminum alloy, steel, magnesium and composite materials, Aston installs a 4.3-liter V8 and rear-mounted, six-speed manual transmission. The balanced 49/51 weight distribution is immediately evident, as is the powertrain's relatively flat torque delivery. As Aston suggests, the driving characteristics are perfect for both track days and shopping treks, helped in no small part by precise shifting, reasonable visibility and accurate rack-and-pinion steering. The multi-link suspension is well controlled, and supplies prodigious grip and adequate comfort even on the pock-marked pavement of our urban test.
By Siree Chamberlain.
