William Maley

Lamborghini has never been one to follow convention and this is very much the case with the Terzo Millennio concept. Working together with MIT, the concept is the Italian sports car builder's idea for a futuristic supercar. It certainly looks like a futuristic Lamborghini with a short front, deep and massive air vents, and a wild rear end look. The body is made out of carbon fiber and could be used to store energy. Lamborghini and MIT are investigating how they can use the carbon fiber shell as a big battery. This technology can also allow the vehicle to heal small cracks by varying the amount of charge throughout the body. The car is said to be able to monitor the structure for cracks or other damage. As you might have guessed from the previous paragraph, the Terzo Millennio concept is an electric vehicle. Each wheel comes with an electric motor. Power is drawn from a supercapacitor that can withstand rapid discharge and charge. Lamborghini doesn't say how much horsepower is being produced from the electric motors. “The new Lamborghini collaboration allows us to be ambitious and think outside the box in designing new materials that answer energy storage challenges for the demands of an electric sport vehicle,” MIT chemistry Professor Mircea Dinca said in a statement. We wouldn't be surprised if some of these ideas appear on a Lamborghini down the road. Source: Lamborghini View full article

Whenever Bob Lutz speaks, many people tend to listen as he a number of years of being in the automotive industry under his belt. Recently, Lutz wrote an editorial for Automotive News' Redesigning the Industry where he predicts we are “approaching the end of the automotive era,” within the next 20 years. “The end state will be the fully autonomous module with no capability for the driver to exercise command. You will call for it, it will arrive at your location, you’ll get in, input your destination and go to the freeway On the freeway, it will merge seamlessly into a stream of other modules traveling at 120, 150 mph. The speed doesn’t matter. You have a blending of rail-type with individual transportation,” Lutz wrote. Lutz sees governments pushing for a 'no-human-drivers' mandate when it becomes clear that self-driving vehicles are much safer than vehicles operated by humans. "The tipping point will come when 20 to 30 percent of vehicles are fully autonomous. Countries will look at the accident statistics and figure out that human drivers are causing 99.9 percent of the accidents." This according to Lutz will have catastrophic effects for the industry. Most of the driverless pods will be owned, operated and branded as "Uber or Lyft or who-ever else is competing in the market." Many automakers will be forced out of the business as people turn to sharing and not owning a vehicle. Some will remain, but acting as a supplier. Other parts of the business such as dealers, repair shops, and enthusiast magazines will fade away. "The era of the human-driven automobile, its repair facilities, its dealerships, the media surrounding it — all will be gone in 20 years." We're not fully on board with Lutz's train of thought. The time frame is a bit too soon as we are still on the ground floor when it comes to autonomous technology and the numerous hurdles that still need to be overcome. Plus, how will this driverless pod system work in rural areas? That isn't to say it will not happen. Elements of Lutz's viewpoint are coming into focus. For example, Waymo will not have any way for a human to intervene in emergency situations. We highly recommend reading this piece. Source: Automotive News (Subscription Required) View full article

GMC's Denali subbrand has been a huge success for General Motors. According to GM CEO Mary Barra, Denali-badged models now account for almost 30 percent of GMC retail sales, bringing in higher margins and average transaction prices. With Buick launching their Avenir subbrand, GM hopes for the same success. "Avenir already seems to be capturing the imagination. It just seems to have something maybe in the same way Denali has something," said Duncan Aldred, GM's vice president for Buick and GMC to Automotive News. But Buick knows they have to go slow and steady with the rollout of Avenir. One of the key reasons Denali has enjoyed immense success is that GMC allowed it to grow organically and slowly. Like GMC, Buick has only introduced one model with the Avenir trim, the 2018 Enclave. There are plans to roll out Avenir to other models, but Buick hasn't decided if it will do all of their models like GMC does with Denali. "Whether we make the investment for what would be a somewhat limited volume, we'll see," said Aldred. Buick is also making sure that it prices Avenir correctly so it doesn't push customers away. According to Automotive News, the base price of the Enclave Avenir ($54,410 with destination) is 33 percent higher than the base model. That may seem like a lot, but it pales in comparison to the 55 percent premium the Acadia Denali has over the base model. "We certainly didn't want to price it too high. We weren't going to overprice this to begin with, for sure," said Aldred. Source: Automotive News (Subscription Required) View full article

I can give some rough numbers via the Bloomberg article along with sales numbers for September and October. General Motors: 153,228* Tesla Motors: 136,520** Nissan: 113,268 *Doesn't include CT6 Plug-In (couldn't find any sales stat for that, yet) **Based on estimates from Automotive News.

Last month, General Motors announced an ambitious plan to launch 20 electric and hydrogen vehicles by 2023 with all of their brands playing a role. But Buick could be playing a prominent role in this plan. Duncan Aldred, vice president of sales and marketing at Buick-GMC tells Wards Auto that Buick will play a "huge part” in the coming years when it comes to EVs. “We will have multiple entries in a fairly short period of time. We’re GM’s biggest brand in the world’s biggest market. You’ll see a number of different technologies to go toward (our) zero-emissions objective,” said Aldred. That biggest market Aldred is referring to is China. In 2019, the country will require 10 percent of an automaker’s sales to be made up of low and zero-emission models. This rises to 12 percent in 2020. “A lot of the electrification adoption will be driven by legislation.” Already, Buick sells a hybrid version of the LaCrosse and rebadged Chevrolet Volt as the Velite5 in China. Rumor has it that Buick is working on an electric crossover using the Chevrolet Bolt as a base. Aldred wouldn't go into what Buick's plan entails, only saying that will not only be electric vehicles. Source: Wards Auto View full article

One key selling point automakers have been using to move electric vehicles is the federal tax credit of up to $7,500. But a new tax cut bill being proposed by House Republicans could eliminate that credit. The bill announced today includes a provision of eliminating the credit after the 2017 tax year if the bill goes into law. The credits are important as it helps level the playing field between internal combustion engines and EVs. Currently, the credit will begin to phase out once an auto manufacturer once it sells 200,000 EVs or plug-in hybrids. Bloomberg reports that Tesla would be the first automaker to reach the limit, followed by GM and Nissan. If that tax credit is eliminated, automakers worry they would experience a plunge in sales. “The credits matter a lot. In states without EV mandates or incentives, you’ll see sales crater,” said Eric Noble, president of the CarLab. Bloomberg cites the example of Georgia which cut its $5,000 electric vehicle tax credit back in 2015. Sales tumbled from 1,400 to just fewer than 100. Automakers are spending a lot of money and time in lobbying to make sure the credit is renewed partly due to new mandates being placed by California and a number of other states saying a certain percentage of new cars sold have to EVs. "The potential elimination of the federal electric vehicle tax credit will impact the choices of prospective buyers and make the electric vehicle mandate in 10 states — about a third of the market — even more difficult to meet," said Gloria Bergquist, a spokeswoman for the Alliance of Automobile Manufacturers, a trade group representing various automakers such as GM and Toyota. Source: Bloomberg, Reuters View full article

The past couple of months have not been pleasant for Tesla. Production delays of Model 3, the firing of 700 workers, and various parts of the Model 3 being handmade have put a negative light on the electric car company. Yesterday, Tesla announced their Q3 results and the news isn't pretty. Tesla reported a $671 million loss for the quarter, making it the largest quarterly loss. The company burned through $1.42 billion in cash in the quarter as it worked on ramping up Model 3 production. Revenue was slightly up to $2.98 billion. Tesla also revealed that it is pushing back its ambitious goal of 5,000 Model 3s per week by the end of this year to the end of the first quarter of 2018. On a call with analysts, Tesla CEO Elon Musk said issues at their Nevada Gigafactory was the primary constraint for Model 3 production with a subcontractor that “really dropped the ball.” Software used at the plant had to be rewritten from scratch and mechanical and electrical elements of one part of the plant had to be redone. Musk also said the welding for the mostly steel body for the Model 3 has proven to be quite complex. “There are thousands of processes to build the Model 3. We can only move as fast as the least competent elements of that mixture.” Only three months ago, Tesla was claiming that it would build 10,000 Model 3 cars per week in 2018. When asked if Tesla would hit this target, Musk reportedly was silent for about 10 seconds before giving an answer. When they reach 5,000 Model 3s per week, the company will introduce a “capacity addition” to increase the run rate to 10,000 per week. No mention of how long this addition would take place. But there are more issues than Tesla is letting on. Various reports over the past month have said that significant portions of the Model 3 were being made by hand and that body line equipment used on the production line was only getting installed. Tesla has denied these reports. Shares in Tesla have dropped 7.1 percent to $298.24 as of 2:26 PM. “We left the call frustrated with the lack of transparency from Tesla management,” said Jeffrey Osborne, a Cowen & Co. analyst in a note to clients. “Elon Musk needs to stop overpromising and under delivering and the board should rein in a CEO who publicly shares his aspirational goals that have rarely been hit.” Source: Automotive News (Subscription Required), Bloomberg, Tesla View full article

Luxury automakers have been taking full advantage of the high-demand for SUVs and crossovers and raking in the dough. But as Neuton's third law of physics tells us, "for every action, there is an equal and opposite reaction." In the case of luxury automakers, they have a number of sedans and coupes from lease turn-ins that they cannot sell. “It’s not necessarily the overwhelming amount of vehicles, it’s the mix of those flood of vehicles. You’re throwing all these cars into the marketplace a couple years after it has evaporated and jumped into SUVs,” said Scott Keogh, president of Audi of America to Bloomberg. This puts a lot of strain on luxury automakers as there is too much supply and not much demand, causing the value on used cars to fall. In turn, automakers have to raise the prices on leases to make up for the amount of depreciation over the term of the lease. It will cause consumers to be priced out of marketplace or automakers to offer generous incentives on leases. For luxury automakers, this is a big problem as they rely on leasing more than mainstream brands. According to Autodata, most luxury brands have increased incentives on their cars through the first nine months of the year. Audi: $4,696 (up $314) Lexus: $5,323 (up $296) Mercedes-Benz: $6,732 (up $289) So if you find yourself wanting a luxury sedan or coupe, now might be the best time to score a really good deal. Source: Bloomberg View full article

Hyundai Motor America Reports October Sales Best All-Time Tucson, Santa Fe and Combined CUV October Sales Genesis Sales Up 49 Percent FOUNTAIN VALLEY, Calif., Nov. 1, 2017 /PRNewswire/ -- Hyundai Motor America today reported October sales of Hyundai and Genesis branded vehicles of 53,010 units, a 15 percent decline in comparison with the company's all-time best October in 2016. Hyundai's lineup of CUVs continues to drive growth as it sets monthly October sales records for combined CUV sales (up 12 percent), Tucson (up 8 percent) and Santa Fe (up 15 percent). The reduction in fleet sales, down 23 percent from a year ago, is a contributing factor to the overall sales decrease. SALES BY BRAND Oct-17 Oct-16 2017 YTD 2016 YTD Hyundai 51,224 61,304 547,862 646,284 Genesis 1,786 1,201 16,888 3,909 TOTAL 53,010 62,505 564,750 650,193 HYUNDAI BRAND HIGHLIGHTS "The CUV growth trend for Hyundai continues as customers are able to find the right size, versatility and performance from Tucson and Santa Fe in highly competitive segments," said John Angevine, director, National Sales, Hyundai Motor America. "With two months remaining in the year, our focus is on maintaining retail market share and working closely with our dealers for a strong close to 2017." In October, Hyundai displayed its commitment to making things better for its customers with several corporate and product initiatives. Earlier in the month, Hyundai launched its new Shopper Assurance program in Dallas, Houston, Orlando and Miami, offering customers a streamlined and modernized car buying experience. Hyundai also introduced a new Rear Occupant Alert system and showcased the aftermarket potential of its vehicles by unveiling four unique custom-builds at the SEMA Show, while drivers of its Tucson Fuel Cell accumulated more than 3 million zero-emission miles since the vehicle's launch. HYUNDAI MODELS Vehicle Oct-17 Oct-16 2017 YTD 2016 YTD Accent 5,485 6,498 50,126 68,698 Azera 162 359 2,773 4,134 Elantra 14,733 15,917 157,800 172,967 Equus 0 30 20 1,327 Genesis 0 581 1,132 22,244 Santa Fe 13,024 11,311 108,679 109,609 Sonata 7,595 14,972 115,313 170,251 Tucson 8,731 8,088 91,570 73,421 Veloster 596 3,548 11,122 23,633 Ioniq 898 0 9,327 0 GENESIS BRAND HIGHLIGHTS October Genesis vehicle sales totaled 1,786, a 49 percent increase over last year, while G80 sales were up 27 percent. "Consumer demand and awareness for G80 and G90 are increasing, directly resulting in sales growth as both of our product lines have now been available for one year. We're pleased with how our brand is performing going into November and December," said Erwin Raphael, general manager of Genesis in the U.S. market. "In October, we also launched two key initiatives – an innovative new website called 'MyGenesis' for our customers and a partnership with the Executive Leadership Council." GENESIS MODELS Vehicle Oct-17 Oct-16 2017 YTD 2016 YTD G80 1,408 1,109 13,264 3,807 G90 378 92 3,624 102

MITSUBISHI MOTORS REPORTS OCTOBER SALES Total October sales of 7,381 are down 3.4 percent compared to last October Economical Mirage posted October sales up 18.7 percent with total sales of 1,768 Calendar year 2017 sales up 5.6 percent with 86,576 units sold CYPRESS, Calif. – Mitsubishi Motors North America, Inc. (MMNA) reported October 2017 sales of 7,381 down 3.4 percent from October 2016. The fun-to-drive, fuel-efficient Mirage sedan and G4 combined sales were up 18.7 percent for the month. Through 10 months, Mitsubishi calendar year sales are up 5.6 percent with a total of 86,576. The volume leader for the brand in October was the Outlander Sport with total sales of 2,537. Outlander Sport's bigger brother, the Outlander posted October sales of 2,397 and is up 30.4 percent for the calendar year 2017. October YTD 2017 2016 2017 2016 i‐MiEV 0 4 6 86 Mirage 1768 1489 20155 19239 Lancer 679 1021 11312 12560 Outlander Sport 2537 2694 26551 28212 Outlander 2397 2429 28552 21891 Total 7381 7637 86576 81988

Mercedes-Benz USA Reports October Sales of 28,995, Up 1.0% Nov 1, 2017 – ATLANTA Mercedes-Benz USA (MBUSA) today reported October sales of 28,955 units, an increase of 1.0% from the 28,659 vehicles sold during the same period last year. Mercedes-Benz Vans reported October sales with 2,446 units and smart reported 140 units, bringing the MBUSA grand total to 31,541 vehicles for the month. On a year-to-date basis, Mercedes-Benz retails totaled 271,205 units. "We are on track for a solid close to 2017 as we continue into the fourth quarter," said Dietmar Exler, president and CEO of MBUSA. "Momentum is growing with our newly launched S-Class Sedan, AMG models and the strong demand for our SUV lineup." Mercedes-Benz volume leaders in October included the C-Class, GLE and E-Class (including the CLS) model lines. The C-Class took the lead at 5,996, followed by GLE sales of 4,817. The E-Class rounded out the top three with 4,681 units sold. Mercedes-AMG high-performance models sold 3,256 units in October, with a total 26,822 sold year-to-date (up 52.9%).

Porsche Reports October 2017 Retail Sales of 4,715 Units Year-over-year increase of 4.6 percent; year-to-date sales up 2.7 percent ATLANTA, Nov. 1, 2017 /PRNewswire/ -- Porsche Cars North America, Inc. (PCNA), importer and distributor in the United States of the Porsche 911, 718 Boxster and Cayman, Panamera, Cayenne, and Macan model lines, today announced October 2017 sales of 4,715 units. This represents a 4.6 percent increase over October 2016. Year-to-date, deliveries are up 2.7 percent. "Porsche took care of business again this month. This is our ninth record month this year as we approach the finish line for 2017. On to November," said Klaus Zellmer, President and CEO of PCNA. The Porsche 911 and the Panamera sports sedan stole the show in October: Porsche 911 sales of 691 units were up 55.6 percent compared to last year's monthly total. The Panamera was in the same volume neighborhood with 644 deliveries, a remarkable 118.3 percent increase year-over-year. Macan sales stood at 1,779 units, up 16.3 percent year-to-date. Model October Sales Year-to-Date 2017 2016 2017 2016 ALL 911 691 444 7,221 7,491 ALL BOXSTER/CAYMAN 399 441 4,264 5,430 ALL PANAMERA 644 295 5,547 3,636 ALL CAYENNE 1,202 1,206 10,916 12,712 ALL MACAN 1,779 2,120 18,004 15,482 GRAND TOTALS* 4,715 4,506 45,952 44,752 *918 Spyder sales are reflected in 2016 grand total figures.

Kia Motors America Announces October Sales Best-Ever October Sales for the Forte Family of Compact Cars IRVINE, Calif., Nov. 1, 2017 /PRNewswire/ -- Kia Motors America (KMA) today announced October sales of 44,397 vehicles, led by the Soul urban passenger vehicle. The month also included the highest October sales total in company history for the Forte nameplate, up 15 percent year-over-year. MONTH OF OCTOBER YEAR-TO-DATE Model 2017 2016 2017 2016 Rio 1,657 1,826 13,609 25,991 Forte 9,219 8,013 101,311 87,621 Optima 7,554 9,974 92,258 99,301 Cadenza 1,021 289 5,464 4,042 K900 23 81 375 702 Niro 1,935 N/A 22,605 N/A Sportage 5,979 5,741 61,736 69,251 Sorento 6,478 7,651 83,791 93,253 Sedona 1,277 2,366 21,197 39,721 Soul 9,254 13,036 99,981 120,859 Total 44,397 48,977 502,327 540,741

Oops. Thanks for pointing that out, I have fixed it.

Automakers except for Tesla are finding it tough to appease to Wall Street. Despite rising sales and various plans for electrics and autonomous vehicles, Wall Street takes a very pessimistic view of the industry. Ford has been trying their best to change Wall Street's view but to no avail, so they are changing up their strategy. “In the past, maybe we said too much. This is a very competitive world we’re in. You want to give Wall Street enough information, but you also don’t want to telegraph exactly where you’re going. And I think that’s a balance that we are going to continue to work on,” said Ford Executive Chairman, Bill Ford at a Detroit Economic Club event. This assessment comes after analysts downgraded their rating of Ford after CEO Jim Hackett told investors that it would take time for him to turn the company around. According to Bloomberg, 19 analysts gave Ford a rating of Hold while 2 said to sell. “We are trying to provide clarity without being so open that we tip our hand in some areas that we think are very key for competitive advantage. The key is providing clarity when we’re ready so that investors can make an informed decision,” said Ford. Despite beating analysts’ earnings expectations for each quarter of this year, Ford's stock price has been hovering in the $12 range, down 2.5 percent year-over-year. Source: Bloomberg View full article

November 1, 2017 , Cherry Hill, N.J. - SUBARU OF AMERICA, INC. REPORTS RECORD OCTOBER SALES Record October - monthly sales increase 0.5 percent over October 2016 71 consecutive months of yearly month-over-month growth Best October ever for Crosstrek and Impreza 44 consecutive months of more than 10,000 Outbacks sold 51 consecutive months of more than 10,000 Foresters sold Subaru of America, Inc. today reported 54,045 vehicle sales for October 2017, a 0.5 percent increase over October 2016. The automaker also reported year-to-date sales of 532,893 vehicles, a 6.4 percent gain over the same period in 2016. October marked the 44th consecutive month of 40,000+ vehicle sales for the company. Crosstrek and Impreza monthly sales increased 29.9 percent and 123.7 percent, respectively, over October 2016. The two carlines also achieved the best October ever. “Our franchise continues to establish new sales records, despite the very competitive climate in the auto industry,” said Thomas J. Doll, president and COO, Subaru of America, Inc. “These continuing records are the result of the dedication of our retailer network in delivering the best purchase and service experience possible to our customers.” “With strong momentum for the all-new 2018 Crosstrek and Impreza, we expect good growth in the final two months of the year,” said Jeff Walters, senior vice president of sales, Subaru of America, Inc. “We are also looking forward to the tenth anniversary of our annual ‘Share the Love’ event with its tradition of giving back to local and national charities,” Walters concluded. Carline Oct-17 Oct-16 % Chg Oct-17 Oct-16 % Chg MTD MTD MTD YTD YTD YTD Forester 13,430 15,330 -12.4% 145,460 145,982 -0.4% Impreza 6,733 3,010 123.7% 71,322 48,080 48.3% WRX/STI 2,416 2,579 -6.3% 26,572 27,750 -4.3% Legacy 4,538 6,136 -26.0% 41,999 53,532 -21.5% Outback 15,786 18,008 -12.3% 156,277 144,434 8.2% BRZ 271 330 -17.9% 3,578 3,692 -3.1% Crosstrek 10,871 8,367 29.9% 87,685 77,177 13.6% TOTAL 54,045 53,760 0.5% 532,893 500,647 6.4%

Toyota Motor North America Reports U.S. Sales for October 2017 TMNA posts best-ever October light truck sales Toyota RAV4 posts best-ever October Lexus NX, Total LUV post best-ever October PLANO, Texas, Nov. 1, 2017 /PRNewswire/ -- Toyota Motor North America (TMNA) Inc., today reported October 2017 sales of 188,434 units. With one less selling day in October 2017 compared to October 2016, sales were up 1.1 percent on volume and up 5.2 percent on a daily selling rate (DSR) basis. Toyota division posted October sales of 165,540 units, up 2.5 percent on a volume basis, and up 6.6 percent on a DSR basis. "The first month of the final quarter of 2017 saw sustained strong sales for the industry, and we expect that momentum to continue through the last two months of the year," said Jack Hollis, group vice president and general manager, Toyota division. "The Toyota division had another best-ever for the month of October in light trucks, led by our tenth consecutive monthly sales record for RAV4. And the all-new 2018 Camry, with October sales of over 26,000 units, continues to generate excitement in our dealer showrooms." Lexus posted October sales of 22,894 units, down 7.7 percent on a volume basis, and down 4 percent on a DSR basis. "We're continuing to ride the luxury SUV wave with our sixth straight best-ever month for Lexus luxury utility vehicles," said Lexus Group Vice President and General Manager Jeff Bracken. "Now we're entering our favorite time of the year with our December to Remember sales event. The kick-off begins today with the best deals and product mix of the year. Of course, our customers can count on our iconic big red bows. Everything is lined-up for a great close to 2017." October 2017 Highlights: Camry posts October sales of 26,252 units TMNA, Toyota and Lexus divisions post best-ever October for light trucks RAV4 sales up nearly 30 percent, posts a best-ever October Highlander sales of 17,461 units in October 4Runner sales of 11,153 units in October Tacoma posts October sales of 15,804 units Tundra sales up more than 5 percent NX sets best-ever October, up more than 6 percent LX up nearly 8 percent in October RX sees more than 4 percent gain in October GX up nearly 15 percent *Note: Unless otherwise stated, all figures reflect unadjusted raw sales volume TOYOTA U.S. SALES SUMMARY OCTOBER 2017 -- CURRENT MONTH -- -- CALENDAR YEAR TO DATE -- 2017 2016 DSR % VOL % 2017 2016 DSR % VOL % TOTAL TOYOTA 188,434 186,295 5.2 1.1 2,019,913 2,008,756 0.6 0.6 TOTAL TOYOTA DIV 165,540 161,492 6.6 2.5 1,777,360 1,747,760 1.7 1.7 TOTAL LEXUS 22,894 24,803 -4 -7.7 242,553 260,996 -7.1 -7.1 YARIS IA (INCL SCI IA) 2,676 1,160 139.9 130.7 31,270 24,302 28.7 28.7 YARIS LIFTBACK 202 924 -77.3 -78.1 8,248 9,081 -9.2 -9.2 TOTAL YARIS 2,878 2,084 43.6 38.1 39,518 33,383 18.4 18.4 iQ 0 0 0 0 0 6 -100 -100 xD 0 0 0 0 2 9 -77.8 -77.8 xB 0 1 -100 -100 0 2,675 -100 -100 tC 2 375 -99.4 -99.5 197 9,066 -97.8 -97.8 COROLLA IM (INCL SCI IM) 1,490 1,219 27.1 22.2 17,641 14,405 22.5 22.5 COROLLA SEDAN 23,177 28,516 -15.5 -18.7 272,299 304,334 -10.5 -10.5 TOTAL COROLLA 24,667 29,735 -13.7 -17 289,940 318,739 -9 -9 86 (INCL FR-S) 458 633 -24.8 -27.6 5,965 6,387 -6.6 -6.6 MIRAI 249 103 151.4 141.7 1293 813 59 59 AVALON 2,648 3,674 -25 -27.9 27,703 38,703 -28.4 -28.4 PRIUS 7,710 8,132 -1.4 -5.2 91,031 113,693 -19.9 -19.9 CAMRY 26,252 29,562 -7.6 -11.2 308,759 327,017 -5.6 -5.6 TOTAL TOYOTA DIV. CAR 64,864 74,299 -9.2 -12.7 764,408 850,491 -10.1 -10.1 CT 10 564 -98.2 -98.2 4,673 7,385 -36.7 -36.7 IS 1,972 2,523 -18.7 -21.8 21,247 29,286 -27.4 -27.4 RC 828 1,081 -20.3 -23.4 5,851 9,242 -36.7 -36.7 ES 3,365 4,190 -16.5 -19.7 42,440 47,963 -11.5 -11.5 GS 558 1,388 -58.2 -59.8 6,118 12,352 -50.5 -50.5 LS 328 352 -3.1 -6.8 3,430 4,465 -23.2 -23.2 LC 219 0 0 0 1,917 0 0 0 LFA 1 0 0 0 3 6 -50 -50 TOTAL LEXUS CAR 7,281 10,098 -25 -27.9 85,679 110,699 -22.6 -22.6 TOTAL TOYOTA CAR 72,145 84,397 -11.1 -14.5 850,087 961,190 -11.6 -11.6 SIENNA 7,255 7,859 -4 -7.7 94,878 107,369 -11.6 -11.6 C-HR 3,638 0 0 0 18,498 0 0 0 RAV4 34,086 26,429 34.1 29 346,316 286,824 20.7 20.7 FJ CRUISER 1 0 0 0 4 8 -50 -50 VENZA 0 4 -100 -100 14 584 -97.6 -97.6 HIGHLANDER 17,461 17,668 2.8 -1.2 175,657 144,713 21.4 21.4 4RUNNER 11,153 8,537 35.9 30.6 106,239 91,853 15.7 15.7 SEQUOIA 996 939 10.3 6.1 9,995 10,073 -0.8 -0.8 LAND CRUISER 260 349 -22.5 -25.5 2,428 2,904 -16.4 -16.4 TOTAL TOYOTA DIV. SUV 67,595 53,926 30.4 25.3 659,151 536,959 22.8 22.8 TACOMA 15,804 15,875 3.5 -0.4 163,224 158,586 2.9 2.9 TUNDRA 10,022 9,533 9.3 5.1 95,699 94,355 1.4 1.4 TOTAL TOYOTA DIV. PICKUP 25,826 25,408 5.7 1.6 258,923 252,941 2.4 2.4 TOTAL TOYOTA DIV. TRUCK 100,676 87,193 20.1 15.5 1,012,952 897,269 12.9 12.9 NX 4,540 4,274 10.5 6.2 46,527 42,389 9.8 9.8 RX 8,374 8,044 8.3 4.1 84,254 84,284 0 0 GX 2,090 1,822 19.3 14.7 21,433 19,367 10.7 10.7 LX 609 565 12.1 7.8 4,660 4,257 9.5 9.5 TOTAL LEXUS TRUCK 15,613 14,705 10.4 6.2 156,874 150,297 4.4 4.4 TOTAL TOYOTA TRUCK 116,289 101,898 18.7 14.1 1,169,826 1,047,566 11.7 11.7 Selling Days 25 26 255 255 DSR = Daily Selling Rate

Cars Take Lead Role in American Honda October Sales Gains Nov 1, 2017 - TORRANCE, Calif. Civic leads strong month for Honda car sales, setting new October record with 15 percent gain All-new 2018 Accord helps America's best-selling midsize car to strong month Honda Pilot gains 18.5 percent, supported by increased production volume Acura MDX has strong month with sales of 5,287 based on increased production American Honda Motor Co., Inc. today reported October sales of 127,353 Honda and Acura vehicles, an increase of 0.9 percent vs. October 2016. With strong sales of passenger cars, Honda Division reported an increase of 1.2 percent on sales of 114,655. Acura Division sales were down slightly at 1.3 percent on sales of 12,698 vehicles. Honda Honda delivered another strong month with passenger car sales playing the lead role. Civic outpaced the market again with another double-digit gain while Accord, strengthened by the debut of the all-new 2018 model, gained 4.7 percent in October. Increased production of Pilot also paid dividends as sales climbed 18.5 percent for the month. Elsewhere in the truck lineup, tight supplies of key model trims checked sales growth. Honda car sales gained 6.3 percent in October, with 60,283 units sold. Civic sales climbed 15 percent on sales of 30,319 for the month, a new October record. Accord posted 26,740 sales, up 4.7 percent with the debut of the all-new 2018 model, with 2.0T and Hybrid variants yet to launch. Pilot sales gained notably in October for the second straight month, with sales up 18.5 percent on sales of 10,285. "With key competitors resorting to aggressive discounting and heavy incentives even on new models, Honda is riding the growing momentum of a robust product lineup boosted by the all-new Accord," said Jeff Conrad, senior vice president of the Automobile Division of American Honda. "As the rollout of the new 2018 Accord continues, we're focused on a strong finish to 2017 and a fourth consecutive year of record sales." Acura Acura sales were led by MDX, which gained again as it benefitted from higher production volume with the complete shift of production to the East Liberty Plant in Ohio. And while sedan and RDX sales were challenged by the aggressive incentives by competitors, the NSX had its best sales month since going on sale in 2016 with a 30 percent gain in October. MDX sales were up 4.7 percent in October, with 5,287 units sold. RLX sales are climbing, helped more significantly by the RLX Sport Hybrid as it continues to gain recognition. RLX gained 6.5 percent on sales of 99 units. ILX sales were up 2.6 percent on sales of 1,025 vehicles. "We're pleased to see the higher inventory from the move of Acura MDX production quickly result in stronger sales," said Jon Ikeda, vice president & general manager of the Acura division. "With the redesigned RLX ready to hit the market in the coming days sporting a strong expression of the new Acura design direction, we'll look to close 2017 with stronger sedan sales." American Honda Vehicle Sales for October 2017 Month-to-Date Year-to-Date October 2017 October 2016 DSR** % Change MoM % Change October 2017 October 2016 DSR** % Change YoY % Change American Honda Total 127,353 126,161 5.0% 0.9% 1,358,956 1,354,541 0.3% 0.3% Total Car Sales 64,162 60,592 10.1% 5.9% 677,343 689,603 -1.8% -1.8% Total Truck Sales 63,191 65,569 0.2% -3.6% 681,613 664,938 2.5% 2.5% Honda Total Car Sales 60,283 56,719 10.5% 6.3% 636,700 644,303 -1.2% -1.2% Honda Total Truck Sales 54,372 56,573 0.0% -3.9% 595,432 577,642 3.1% 3.1% Acura Total Car Sales 3,879 3,873 4.2% 0.2% 40,643 45,300 -10.3% -10.3% Acura Total Truck Sales 8,819 8,996 2.0% -2.0% 86,181 87,296 -1.3% -1.3% Total Domestic Car Sales 58,334 52,819 14.9% 10.4% 572,628 635,868 -9.9% -9.9% Honda Division 54,554 49,039 15.7% 11.2% 532,907 591,718 -9.9% -9.9% Acura Division 3,780 3,780 4.0% 0.0% 39,721 44,150 -10.0% -10.0% Total Domestic Truck Sales 63,191 65,569 0.2% -3.6% 681,613 664,938 2.5% 2.5% Honda Division 54,372 56,573 -0.0% -3.9% 595,432 577,642 3.1% 3.1% Acura Division 8,819 8,996 2.0% -2.0% 86,181 87,296 -1.3% -1.3% Total Import Car Sales 5,828 7,773 -22.0% -25.0% 104,715 53,735 94.9% 94.9% Honda Division 5,729 7,680 -22.4% -25.4% 103,793 52,585 97.4% 97.4% Acura Division 99 93 10.7% 6.5% 922 1,150 -19.8% -19.8% Total Import Truck Sales 0 0 0.0% 0.0% 0 0 0.0% 0.0% Honda Division 0 0 0.0% 0.0% 0 0 0.0% 0.0% Acura Division 0 0 0.0% 0.0% 0 0 0.0% 0.0% MODEL BREAKOUT BY DIVISION Honda Division Total 114,655 113,292 5.3% 1.2% 1,232,132 1,221,945 0.8% 0.8% * ACCORD 26,740 25,551 8.8% 4.7% 277,542 284,170 -2.3% -2.3% * CIVIC 30,319 26,359 19.6% 15.0% 314,699 310,142 1.5% 1.5% CLARITY 34 0 0.0% 0.0% 566 0 0.0% 0.0% CR-Z 18 168 -88.9% -89.3% 669 2,032 -67.1% -67.1% * FIT 3,172 4,641 -28.9% -31.7% 43,221 47,896 -9.8% -9.8% INSIGHT 0 0 0.0% 0.0% 3 63 -95.2% -95.2% CROSSTOUR 0 1 -100.0% -100.0% 5 726 -99.3% -99.3% * CR-V 27,773 30,306 -4.7% -8.4% 308,706 293,799 5.1% 5.1% HR-V 6,304 6,596 -0.6% -4.4% 80,338 64,866 23.9% 23.9% ODYSSEY 7,301 7,622 -0.4% -4.2% 82,610 102,457 -19.4% -19.4% PILOT 10,285 8,677 23.3% 18.5% 94,488 99,676 -5.2% -5.2% RIDGELINE 2,709 3,371 -16.4% -19.6% 29,285 16,118 81.7% 81.7% *** Memo: Accord FHEV 1,832 1,296 47.0% 41.4% 19,262 4,176 361.3% 361.3% Memo: Civic Hybrid 2 14 -85.1% -85.7% 62 869 -92.9% -92.9% Acura Division Total 12,698 12,869 2.6% -1.3% 126,824 132,596 -4.4% -4.4% ILX 1,025 999 6.7% 2.6% 10,098 12,746 -20.8% -20.8% NSX 87 67 35.0% 29.9% 442 150 194.7% 194.7% RLX / RL 99 93 10.7% 6.5% 922 1,146 -19.5% -19.5% TLX 2,668 2,714 2.2% -1.7% 29,181 31,254 -6.6% -6.6% TSX 0 0 0.0% 0.0% 0 4 -100.0% -100.0% MDX 5,287 5,052 8.8% 4.7% 43,469 44,630 -2.6% -2.6% RDX 3,532 3,944 -6.9% -10.4% 42,712 42,666 0.1% 0.1% *** Memo: ILX Hybrid 0 0 0.0% 0.0% 0 1 -100.0% -100.0% Memo: RLX Hybrid 26 13 108.0% 100.0% 187 171 9.4% 9.4% Memo: TSX Wagon 0 0 0.0% 0.0% 0 0 0.0% 0.0% Memo: MDX Hybrid 203 0 0.0% 0.0% 1,278 0 0.0% 0.0% Selling Days 25 26 255 255 **** Hybrid 2,168 1,558 44.7% 39.2% 21,903 7,462 193.5% 193.5% * Honda and Acura vehicles are made of domestic & global sourced parts ** Daily Selling Rate *** Memo line items are included in the respective model total **** Hybrid includes FHEV, PHEV, CR-Z, Civic Hybrid, Insight, ILX Hybrid, RLX Hybrid, RLX Sport Hybrid, MDX Sport Hybrid and NSX