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Auto Fleet Market Trends Blog

Migration to 4-Cylinder Engines Continues with 2010-MY Ordering

June 29, 2009

The ongoing volatility of gasoline prices has prompted a growing number of fleets to transition to four-cylinder engines. This transition started in the 2008-MY and accelerated with 2009-MY ordering, when gas prices surpassed $4 per gallon in the summer of 2008. Early indications are that the migration to four-cylinder engines will continue with 2010-MY ordering. We have already seen glimpses of this trend in the 2010 RFPs submitted to major OEMs.

Tags: 2009-MY, 2010-MY, fleet ordering, four-cylinder engines, fuel, six-cylinder engines

Author: Mike Antich | Posted @ Monday, June 29, 2009 1:48 PM | » Comments(3)

Does LIBOR Still Correlate to Corporate Borrowing?

June 22, 2009

LIBOR was developed in 1984 as a measure of the real rate at which banks lend money to each other. Since the early 1990s, LIBOR has been used as a funding index for fleet leases. However, when the recent turmoil in the financial markets prompted governments to "backstop" bank borrowing, the cost of lending money began to represent a government-guaranteed rate, which no longer correlated to fleet lessor costs.

Tags: Emkay, fleet index, LeasePlan USA, lending, LIBOR, PHH Arval, Wheels, Inc.

Author: Mike Antich | Posted @ Monday, June 22, 2009 11:17 AM | » Comments(0)

Commercial Fleets Reveal 2010-MY Buying Intentions

June 15, 2009

Fleet ordering for the 2010 model-year is shaping up to be higher than 2009-MY, but that's not saying much since 2009 was such an abysmal year. Many commercial fleets deferred 2009-model ordering. Some fleets purchased no replacement vehicles and skipped the 2009 ordering cycle altogether. A large number of commercial fleets decreased the volume of their 2009 ordering and are now playing catch-up with the 2010 model-year.

Tags: 2009-MY, 2010-MY, vehicle orders, Vehicle Selector

Author: Mike Antich | Posted @ Monday, June 15, 2009 2:05 PM | » Comments(1)

Sluggish Economy Continues to Dampen Resale Values for Medium-Duty Trucks

June 9, 2009

Resale values have significantly declined across the board on all medium-duty trucks, with five-year old medium-duty trucks decreasing, on average, between 18-23 percent in the past 12 months. Trucks older than 10 years have been more difficult to sell due to higher fuel and maintenance costs. The ongoing sluggish business environment is the key reason for the soft resale market. Here's a forecast of what's to come.

Tags: Class 3-7, high mileage, medium-duty trucks, Resale Value, soft resale prices

Author: Mike Antich | Posted @ Tuesday, June 9, 2009 11:05 AM | » Comments(0)

Fleets Stand Behind GM in Chapter 11, But Questions Linger

June 2, 2009

Automotive Fleet magazine conducted a survey of General Motors' largest commercial fleet customers, immediately following its June 1 announcement that it filed for voluntary Chapter 11 bankruptcy protection. Here's what these commercial fleet managers had to say.

Tags: Chapter 11 bankruptcy, Customer Loyalty, fleet reactions, GM, GM bankruptcy filing

Author: Mike Antich | Posted @ Tuesday, June 2, 2009 2:08 PM | » Comments(2)

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AUTHOR BIO

Mike Antich

Editor & Associate Publisher

Mike Antich has been covering the fleet management and vehicle remarketing markets for more than 20 years. During this period, Mike has written or edited more than 4,600 articles on the subjects of fleet management, manufacturer fleet activities, the fleet leasing industry, and vehicle remarketing.

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