After months of protracted negotiations, Ford has officially sold Volvo to Zhejiang Geely Holding Group Company Limited – aka Geely – for $1.8 billion.

The Chinese automaker originally included a $200 million note and the balance in cash, and today, it paid the remaining $1.3 billion to wrap up the sale, although the final sale price won’t be released until later this year and could put more cash in the pockets of FoMoCo.

Under the terms of the sale, Ford will continue to supply Volvo with everything from powertrains to stamping systems and other vehicle components for differing periods of time. Additionally, Ford and Geely have come to an agreement on intellectual property usage, with Volvo allowed to grant sub-licenses to specific systems to third parties, including Geely.

Stefan Jacoby – formerly of Volkswagen – will take the helm as the new President and Chief Executive of Volvo Cars, and under the new ownership, the automaker will continue to keep it headquarters and manufacturing centers in Swedehttp://www.automobilesnews.com/wp-admin/post-new.phpn and Belgium.

Full details in the dueling press releases after the jump.

FORD MOTOR COMPANY COMPLETES SALE OF VOLVO TO GEELY

DEARBORN, Mich., Aug. 2, 2010 – Ford Motor Company [NYSE: F] today announced it has completed the sale of Volvo Car Corporation and related assets to the Zhejiang Geely Holding Group Company Limited.

The total purchase price for Volvo and related assets set forth in the agreement signed in March 2010 was $1.8 billion, including a $200 million note and the balance in cash, with the cash portion subject to customary purchase price adjustments at closing. Pursuant to the terms of the agreement, Geely today issued the note and paid $1.3 billion in cash to complete the sale. The estimated purchase price adjustments used at closing are expected to be finalized and settled following final true-up of the purchase price adjustments later this year. The final true-up is expected to result in additional proceeds to Ford.

“Volvo is an excellent brand with a strong product line, and it has returned to profits after a successful restructuring. We are confident Volvo has a solid future under Geely’s ownership,” said Alan Mulally, Ford’s president and CEO. “At the same time, the sale of Volvo will allow us to sharpen our focus on the Ford brand around the world and continue to deliver on our One Ford plan serving our customers with the very best cars and trucks in the world.”

Ford will continue to cooperate with Volvo in several areas to ensure a smooth transition, but has not retained any ownership in the Volvo business. Ford will continue to supply Volvo with, for differing periods, powertrains, stampings and other vehicle components. Ford also has committed to provide engineering support, information technology, access to tooling for common components, and other selected services for a transition period.

Agreements between Ford and Geely govern the use of intellectual property; these agreements will allow both Volvo and Ford to deliver their business plans and establish the proper use of each other’s intellectual property.

“The Volvo team has made tremendous progress in restructuring its business and delivering results during the sale process,” said Lewis Booth, Ford executive vice president and chief financial offer. “We believe this agreement will provide Volvo with the necessary resources, including the capital investment, to strengthen the business and to continue to move it forward in the future. We wish Volvo’s management team, employees and new owners every success for the future.

“Ford appreciates the support of the Volvo management team, Volvo’s labor unions and the government officials in Sweden and China during this transaction,” Booth added.

As previously announced, Stephen Odell, CEO of Volvo Car Corporation, is returning to Ford as group vice president and Chairman and CEO of Ford Europe. Stuart Rowley, CFO of Volvo Cars, is returning to Ford as chief financial officer, Ford Europe.

“Volvo is a proud company with a talented and dedicated team of employees,” Odell said. “I am especially pleased that with Ford’s continued investment in recent years, Volvo is well positioned for the future with an exciting range of products that remain true to its core values – safety, quality, environmental responsibility and modern Scandinavian design.”

Geely Holding Group Completes Acquisition of Volvo Car Corporation

Stefan Jacoby Named President and Chief Executive of Volvo Cars; New Board Unveiled

HANGZHOU, China and GOTHENBURG, Sweden, Aug. 2 — Zhejiang Geely Holding Group Co., Ltd. (”Geely Holding Group”), one of the fastest-growing car manufacturers in China, today announced it has completed the acquisition of 100 per cent of Volvo Car Corporation (”Volvo Cars”) from Ford Motor Company.
Geely also announced that Stefan Jacoby, the Chief Executive of Volkswagen Group of America, would become President and Chief Executive Officer of Volvo Cars.

Li Shufu said: “This is a historic day for Geely, which is extremely proud to have acquired Volvo Cars. This famous Swedish premium brand will remain true to its core values of safety, quality, environmental care and modern Scandinavian design as it strengthens the existing European and North American markets and expands its presence in China and other emerging markets.”

Stefan Jacoby, the new President and Chief Executive of Volvo Cars, said: “I am honoured to join a company with the prestige and growth potential of Volvo. Our employees, suppliers, dealers — and above all our customers — can be confident that Volvo will preserve its special status as the industry leader in vehicle safety and innovation — even as it pursues new market opportunities.”

Following completion of the transaction, Mr. Stefan Jacoby will join the board of Volvo Cars, chaired by Li Shufu, Chairman of Geely Holding Group. The board will comprise several new directors including Hans-Olov Olsson, a former President and Chief Executive of Volvo Cars and a former Chief Marketing Officer of Ford, who will become Vice-Chairman of the board.

As announced on the signing of the stock purchase agreement on 28th March, 2010 Geely has agreed to pay USD 1.8 billion for Volvo Cars, which included a USD 200 million note with the balance paid in cash.

Geely issued the note and paid USD 1.3 billion in cash for Volvo Cars, utilising financing from Chinese institutions and its own balance sheet as well as international capital market resources. The closing consideration reflects adjustments in areas such as pension obligations and working capital.

Under the new ownership, Volvo Cars will retain its headquarters and manufacturing presence in Sweden and Belgium; and its management will have the autonomy to execute on its business plan under the strategic direction of the board.

As part of the transaction, Volvo and Ford will maintain close component and supply relationships, ensuring continuity in areas where they provide supply to each other.

Completion of the acquisition, which follows more than a year of talks between Geely and Ford, was marked at a signing ceremony in London attended by Li Shufu and Lewis Booth, Chief Financial Officer at Ford.

Mr. Li thanked Ford and the Volvo Cars management for their support during the transaction negotiations, and also paid tribute to union and government officials with whom Geely built close contacts.

“The signing and completion of this acquisition reflects the commitment of Ford and Volvo executives to the future of this company, along with the vital input of labour representatives and government officials in Sweden, Belgium and China as well as other relevant countries,” said Mr. Li.

The Geely Chairman added that Mr. Stefan Jacoby will succeed Stephen Odell as Volvo Cars’ President and Chief Executive, taking up his role on 16th August, 2010.

Hans-Oskarsson, deputy Chief Financial Officer, will become acting CFO of Volvo Cars, replacing Stuart Rowley. Mr. Odell and Mr Rowley are moving to leadership roles at Ford of Europe.

Along with the new management team at Volvo Cars, Geely today named the full board of directors for the Swedish carmaker, comprising:

Li Shufu (Chairman)
Hans-Olov Olsson (Vice-Chairman)
Freeman H. Shen
Hakan Samuelsson
Dr. Herbert Demel
Lone Fonss Schroder
Winnie Kin Wah Fok

The board — which will include three labour representatives nominated by unions at Volvo Cars — will assume its duties on completion of the transaction.

[Source:Autoblog]

Volvo may finally part ways with Ford by the end of next week. The Detroit Free Press reports that the Blue Oval is aiming to close its $1.8 billion sale of the Swedish automaker to Geely in as little as 10 days, though Ford has merely said that its goal is to hand over the Volvo reigns by the end of the third quarter of this year. The move to send Volvo packing is part of Ford CEO Alan Mulally’s strategy to slim the company down to focus on its core brands – a scheme that seems to be working so far.

In the meantime, Volvo managed to turn a profit of $53 million before taxes in the second quarter of this year. The news is a big leap from the same time last year – in the second quarter of 2009, the brand lost a heady $237 million. Ford’s sale of Volvo seems to have been on glacial pace, partly due to the number of government agencies in the U.S., Europe and China that were needed to sign off on the deal. By the time the ink dries on the last document, Geely will have secured the largest overseas acquisition of any Chinese automaker so far.

[Source:Autoblog]

The National Highway Transportation Safety Administration is investigating older Volvo XC90 models for potential faulty electronics that could cause the headlights and turn signals to fail. So far, the government isn’t aware of any crashes resulting from the fault, but 21 owners have filed a complaint. The defect manifests itself on 2004-2005 XC90 SUVs, and NHTSA says that 93,487 vehicles are potentially impacted by the problem.

Fortunately, should the NHTSA issue a recall, the problem is a relatively easy fix. Regulators say that simply replacing a bad control module is enough to set everything working again. So far, there are no reports of similar problems occurring in any other Volvo models of similar vintage, but you can bet your eyes that the NHTSA will be taking a closer look at the company’s line up from four years ago just to make sure.

[Source: Bloomberg via San Francisco Chronicle]

[Source:Autoblog]

Volvo and Polestar are set to officially unveil the C30 Polestar Performance Concept Prototype this weekend. Designed to be an exercise in what would happen if a race team was allowed to do what they do best without the burden of a regulatory body looming over them, the wicked hatch is about as far from what’s available at your local Volvo dealer as you can get.

The base C30 gets its power from a 2.5-liter, 227-horsepower turbocharged five-cylinder, and the Polestar version bumps that same mill up to a heavenly 405 ponies thanks to a larger turbo, massive intercooler and custom internals. The pistons, connecting rods and camshaft are all unique units build just for the project.

The Haldex all-wheel drive system stays in place, though mechanical differentials, front and rear, have been fitted to add a little control to the chaos. Polestar also dropped in a quick-ratio steering rack and an Ohlins suspension. Brake work gets handled by epic Brembo six-piston calipers up front and four-piston units out back.

Obviously Volvo doesn’t have any plans to bring a Polestar C30 to production, though it is cool to see a road-going version of a Swedish touring car come to life. Hit the jump for the press release.

Volvo C30 Polestar Performance Concept Prototype

Premiere for concept car from Volvo Cars’ official Racing and Performance Partner

This weekend Volvo Cars and Polestar enter their fifteenth consecutive motorsport season in the Swedish Touring Car Championship (STCC) as reigning champions. But even before the racing cars exit the pit for the weekends’ first practice session, Polestar now present the ultimate Volvo car for the street.

Main objective with the Volvo C30 Polestar Performance Concept Prototype is to explore what happens when racing engineers and designers get free hands to build a street car without any limitations set by a specific racing regulation.

Polestar has a long and successful competition history with Volvo, racing with 850, S40, and S60. In 2009, Polestar won the STCC for Volvo Cars with the C30, a car they developed completely from scratch.
The close relationship between Polestar and Volvo Cars in testing and development has lead up to Polestar receiving the responsibility to develop Polestar Performance Engine Optimization Products as a complement to Volvos standard cars.

These products are sold through Volvos dealers on several markets and are the only engine optimizations for Volvo cars covered by Volvos original warranty and where the certified fuel consumption and emissions remain unchanged.

With the Volvo C30 Polestar Concept Prototype, Polestar aimed to build further on the strong driving characteristics of the standard C30 and at the same time illustrate the link between the racing cars and the Polestar Performance products.

The car is based on Polestars unique experience from developing the Volvo C30 into a winning race car. The interior and exterior design reflects Polestars know-how on the C30’s aerodynamic and driving properties derived through several years of development and testing - from computer simulations, to wind tunnel and race track testing.

The car will premiere for the public at Gothenburg Motor show April 22-25.

Polestar C30 Performance Prototype Technical Specification
Engine:
Volvo T5: 2.5L Turbo with larger intercooler and KKK 26 turbo
Modified pistons, conrods and inlet camshaft
Power Output: 405 hp. Torque: 510 Nm

Drivetrain:
Quaife mechanical differential brake front and rear
Haldex AWD

Chassis:
Öhlins shock absorbers and springs
More responsive steering rack with 2,25 ratio

Brakes:
Front: Brembo 380mm discs with six piston calipers
Rear: Brembo 330mm discs with four piston calipers

Rims and Tires:
BBS FI 19×8,75″
Pirelli P Zero 235/35 ZR 19

Interior:
Racing seats with Ternsjö leather and four point harness

Exterior:
Aerodynamics derived from the STCC race car

[Source:Autoblog]

In a decision driven by upcoming EU regulations, Volvo has announced that it will not bring its C30 electric car to the U.S. market. Instead, the lithium ion-powered vehicle will only be sold in the European Union. Drafted EU regulations require automakers to cut carbon dioxide (C02) emissions by 25 percent within the next two years – and the rules tighten even further down the road. Volvo plans to meet the pending regulations with both electric and plug-in hybrid vehicles. The automaker plans to roll out 50 electric cars in Sweden over a two-year period, and then deliver 1,000 cars a year once production ramps up.

Volvo’s move is interesting in that it is not a consumer-driven initiative (like wider tires or upgraded infotainment systems). Instead, the automaker is solely trying to satisfy future C02 emission-related mandates. Reiterating this position, consumers have been receptive to gasoline-electric hybrids, yet Volvo – unwilling to waver from its focus on carbon dioxide mandates – says that particular type of hybrid powertrain adds technology and weight, but it doesn’t reduce C02 by much. With that, the automaker has no plans to make a gasoline-electric hybrid.

[Source:Autoblog]

The 2011 Volvo S60 is set to make its debut at next month’s Geneva Motor Show, and as expected, the automaker’s newest midsize offering remains true to the concept that bowed in Detroit last year and comes packing a formidable blend of tech and safety features.

The images in the gallery below speak for themselves, but with a sloping greenhouse and a pedestrian-safe front end, the all-new S60 certainly packs more presence than the outgoing model. A wagon variant is expected to arrive in Europe later this year, but Stateside consumers likely won’t get a crack at the five-door model.

Compared to its predecessor, the S60 grows by one inch to 182.2 inches overall, with a 109.3-inch wheelbase (up by 2.3 inches over the last generation) and a one-inch widening up front, along with 1.7-inch stretch in the rear. All told, the S60 is less than 100 pounds heavier than the outgoing model.

Power will be provided by a twin-scroll turbocharged 3.0-liter inline-six putting out 300 horsepower and 325 pound-feet of torque, with maximum twist available at 1,500 rpm. Coupled with a six-speed automatic and a Haldex all-wheel drive system, the S60 T6 AWD will run to 60 mph in 6.5 seconds and top out at 155 mph. Expect the front-wheel drive model to debut alongside the wagon late in 2010.

European consumers will have their choice of a turbo’d and direct injected 2.0-liter four-pot, along with a diesel and a dual-clutch gearbox. There’s also talk of the S40’s turbocharged 2.5-liter (T5) making its way underhood later in the S60’s lifecycle, which should be good for 227 hp and 236 lb-ft of torque.

Three separate suspension systems will be available: Base, Dynamic and Four-C Adaptive. Dynamic will be optional and use stiffer springs and bushings, combined with retuned dampers and thicker piston rods, with the Four-C setup utilizing Volvo’s new adaptive damping system.

Naturally, safety isn’t left out of the package, and with the S60, Volvo has incorporated it’s newest system – Pedestrian Detection – which utilizes the City Safety crash avoidance system, a front-mounted radar unit and mirror cameras to detect pedestrians over 31 inches tall and apply the brakes to prevent a collision.

All the details are available in the press release below the fold and expect a slew of videos later today showing the new S60 in action.

The all-new Volvo S60 - sculpted to move you

The all-new Volvo S60 has its world premiere at the Geneva Motor Show on the 2nd of March. It makes its entry into one of the automotive world’s toughest segments and is backed by an extroverted attitude that promises to deliver a thrilling driving experience, innovative safety and gorgeous design.

The all-new S60 has been sculpted to move you - both physically and emotionally.
It is without a doubt the most dynamic car model Volvo has ever introduced - and its Pedestrian Detection with Full Auto Brake is a groundbreaking safety feature.

“The sporty design delivers a visual promise of enthusiastic driving characteristics and I can assure you that the all-new S60 truly lives up to that promise,” says Volvo Cars President and CEO Stephen Odell. “Its driving properties are better than those of any previous Volvo. The all-new S60’s innovative new technologies help you become both a better and a safer driver.” With the all-new Volvo S60, Volvo Cars is advancing its position in one of the car world’s most competitive segments: CD Premium.

“The competition is razor-sharp and the customers know exactly what they want. The emphasis is on emotional stance, sporty design and dynamic driving properties. Success in this segment means a lot for the brand’s image and we are convinced that the all-new S60 will be one of the strongest contenders,” continued Odell.

Stunning coupe design with four doors
The all-new S60 is sportier and more dynamic than any previous Volvo. But it is still an unmistakable representative of Scandinavian design at its best.

“The S60 has been sculpted to move you. Every single line in its design is there to transport you both physically and emotionally. Its profile is very coupe-like so that the rear doors come as something of a pleasant surprise when you examine the car close-up,” noted Volvo Cars’ Design Director Peter Horbury.

The C-pillar of the all-new S60 stretches sensually all the way to the tail lamps - and the slim coupe-like roof line is accompanied by a new contour at the shoulders on either side of the lower body, creating a gentle yet powerful double wave that sweeps continuously from the headlights to the tail lights.

The dip in the middle of the double wave visually pushes the car down. This enhances the S60’s aggressive stance and makes the car look sleeker and lower. The sculpted hood and the short overhangs front and rear also emphasize the sports-car feel.

The most dynamic Volvo ever
The all-new S60 is much more than a beautiful study in design. It is without a doubt the most driver-oriented car model Volvo has ever presented.

“This project has been about pure passion for the task of driving Volvo’s chassis development expertise to its very pinnacle. We’ve crossed into territory where we’ve never been before,” commented Stefan Sällqvist, who is in charge of developing the chassis of the all-new S60.

In the U.S., it is planned that the all-new S60 will be offered with the sporty “Dynamic” chassis as standard, while other markets will be offered with a “Comfort” chassis as standard and the “Dynamic” chassis as an option.

The difference in ride and handling between the two chassis alternatives can be found in the dampers and the front and rear subframes. The Comfort variant has a somewhat softer setting to give a smoother ride on poorer road surfaces.

During the development process, the chassis team carved out a holistic solution featuring changes and refinements for virtually every single detail that influences a car’s driving properties. This includes improved steering, stiffer springs and bushings as well as more damping than in any previous Volvo.

The software in the All-Wheel Drive (AWD) system, which is standard on the S60 T6, has been modified to exploit the sporty new chassis to the limit. The all-new S60 can be specified with the advanced, self-adjusting FOUR-C active chassis. The FOUR-C active chassis has been modified and refined for better control and more comfortable feel compared to previous Volvos.

First sedan with Advanced Stability Control
The dynamic new chassis in the all-new Volvo S60 is backed up by a range of electronic systems that sharpen the driving experience even further.

The S60 is the first sedan model on the market with Advanced Stability Control. With a new roll angle sensor, it is possible to identify any skidding tendency at a very early stage. This means that the Dynamic Stability and Traction Control (DSTC) can step in earlier and with greater precision. Advanced Stability Control is a great asset in dynamic driving involving considerable lateral forces, thus improving handling and rapid avoidance maneuvers.

Corner Traction Control for tighter cornering
Corner Traction Control is a new feature that uses torque vectoring so the car takes curves with agility and precision. This technology is a further refinement of the DSTC system. When cornering, the car’s inner driven wheel is braked at the same time as more power is transmitted to the outer driven wheel. This allows the driver to take the curve more tightly while reducing any tendency to understeer.

A highly advanced braking system is an important part of the dynamic driving properties of the all-new S60. The sedan is equipped with a number of features that interact to provide the shortest possible stopping distance in all scenarios.

Exquisite quality inside
The interior of the all-new S60 takes Volvo Cars to a new dimension in terms of exclusive quality. In addition, Volvo Cars’ designers have added excitement, contrast and playfulness to the clean simplicity of Scandinavian design tradition.

“The interior has a more extroverted attitude than before, but without losing any of its practical Scandinavian roots. The all-new S60 brings us up to a whole new level when it comes to the integral experience of color, form, material and technology,” said Horbury. Scandinavian design is often described with rational adjectives such as functionality, simplicity and clarity. When creating the all-new S60, the design team added a modern touch and details that generate excitement, contrast and playfulness.

The interior of the all-new S60 is lavish in terms of its driver-oriented details, but it is still a five-passenger car offering comfortable space for all its occupants. The sculpted outer rear seats give the passenger in the middle welcome side support. The all-new S60 benefits from a nearly 2.5-inch increase in wheelbase, from 106.9 inches to 109.3 inches over the previous-generation S60. This increase has a direct impact on rear seat leg room. Rear passengers will notice a 2.0-inch increase in leg room. Knee space in the rear seat has also increased by 1.2 inches compared with the previous-generation S60. The rear seat splits 40/60 and the trunk is 4.2 inches wider than in the previous S60.

Pedestrian Detection with Full Auto Brake
The sporty interior of the all-new S60 is also the most advanced vehicle ever offered to a Volvo driver.

“The interior of the all-new S60 is all about innovative design in two areas: form and technology,” noted Tomas Ahlborg, Project Director for the all-new S60. “The design is characterized by sporty freshness down to the smallest detail. The technological aspect includes smart solutions that contribute to a driving experience unlike that of any other Volvo - from collision avoidance safety and comfort systems to infotainment and audio excellence of absolute world class.”

Pedestrian Detection with Full Auto Brake is a groundbreaking technological solution. It can detect pedestrians who walk into the road in front of the car, warn the driver - and automatically apply full braking power if the driver does not respond in time.

“We are truly proud of our success in making our technology so reliable that we can offer a complete system that can avoid a collision with a pedestrian by detecting, alerting and applying full braking. It’s a world first, to the best of our knowledge,” noted Thomas Broberg, Senior Safety Advisor at Volvo Cars. “With this technology we have increased the braking force in our automatic braking system from fifty percent to full stopping power,”

Can avoid collision with a pedestrian at up to 22 mph
In an emergency situation the driver first receives an audible warning combined with a flashing light in the windscreen’s head-up display. At the same time, the car’s brakes are pre-charged. If the driver does not react to the warning and an accident is imminent, full braking power is automatically applied.

Pedestrian Detection with Full Auto Brake can avoid a collision with a pedestrian at speeds of up to about 22 mph if the driver does not react in time. At higher speeds, the focus is on slowing down the S60 as much as possible prior to the impact.

A lower speed of impact means that the risk of serious injury is significantly reduced. For instance, if speed is cut from 30 mph to 15 mph, Pedestrian Detection with full auto brake is expected to reduce the fatality risk by as much as 20 percent and in some cases by up to 85 percent.

City Safety standard
The all-new Volvo S60 also features City Safety as standard.

With City Safety, the car automatically brakes if the driver fails to react in time when the vehicle in front slows down or stops - or if he or she is driving too fast towards a stationary object. The system can lessen or even entirely avoid low-speed rear-end impacts at speeds up to 18 mph.

More powerful T6 version offered in the U.S.
In the U.S., the all-new S60 will be initially offered with a more powerful version of the T6 engine currently offered in the XC60 premium crossover. All T6 models come standard with Volvo’s all-wheel-drive system.

The turbocharged T6 displaces 3.0 liters and has been improved still further, primarily thanks to lower internal friction. It now pumps out 300 hp and no less than 325 lb.-ft. of torque. Acceleration from 0-60 mph takes 6.2 seconds and top speed is electronically limited to 155 mph.

The engine’s power is delivered to the wheels via Volvo’s second-generation six-speed automatic Geartronic transmission. New valves and lower friction mean faster gear changes than before.

New infotainment system - and world-class audio system
The all-new S60 gets an all-new infotainment system where information from the audio unit, navigation system, Bluetooth-enabled phones and other functions are presented on a seven-inch high-resolution color screen (U.S. models) in the upper part of the center console. The screen is installed high in the instrument panel to make it easy for the driver to keep his or her eyes on the road.

“We are one of the few manufacturers to give the driver access to all infotainment functions via controls in the steering wheel,” noted Ahlborg,

The audio experience in the all-new S60 has been enhanced compared with previous models.

One of the first car models with MultEQ
The Volvo S60 is one of the first car models in the world to use Audyssey Laboratories MultEQ technology, the standard for room equalization in the home and professional theater markets. MultEQ removes distortion caused by the car cabin’s acoustics, enabling crisp, clear sound with improved sound quality for everyone in the car.

“Our most advanced system, Premium Sound, has a class-D digital 5×130W amplifier with circuits from Sweden’s Anaview, Dolby Digital in combination with Dolby Pro Logic II Surround, the award-winning MultEQ from Audyssey Laboratories and 12 loudspeakers. All this creates an audio experience of absolute world class,” said Ahlborg.

In addition to the top-of-the line Premium Sound, the all-new S60 is available with a choice of three other audio systems.

Annual target 90,000 cars globally
The initial annual target for the all-new Volvo S60 is 90,000 cars. The customer base is spread unusually uniformly throughout the world. Europe (including Russia), North America and the rest of the world will each account for about one-third of total sales.

The all-new S60 is built at the Volvo Cars factory in Ghent, Belgium. The first cars will be delivered to European customers this September, with U.S. S60s arriving late 2010. Pricing for the all-new S60 will be announced closer to the car’s on-sale date in the U.S.

“Irrespective of whether the customers are in the USA, Europe or elsewhere in the world, they all prioritize the same characteristics. Now we are giving them an entirely new S60 that has a unique appeal to even the most discerning of buyers,” says Stephen Odell.

[Source:Autoblog]

Should Geely succeed in its bid to purchase Volvo, the Chinese automaker does not plan to spend any time playing in its new Swedish sandbox. Ford moved about 380,000 Volvos around the world last year; Geely wants to sell 2.5 times that amount within five years. How so? By injecting “two or three bigger, more luxurious cars” into the lineup and working its home market of China, which Geely feels could be unlocked for 200,000 vehicles alone. Those units could be supplied by a Chinese factory capable of making 300,000 cars per year and would presumably be larger than the upcoming redesigned S60 (above).

Ford has designated Geely its preferred bidder for Volvo. However, in an echo of the tensions between General Motors and Magna’s Russian bidding partner Sberbank, Geely will need to address Ford’s intellectual property concerns among other issues to complete a sale. Volvo’s technologies and reputation for safety are probably worth as much as the company’s physical assets, so it’s not surprising that Ford wants to negotiate the technology transfer. Assuming they can come to terms, closing the deal is expected to cost Geely $2 billion.

[Source:Autoblog]

According to Autocar, Volvo has confirmed it’s planning to debut an all-electric C30 hatchback at its Innovation for Life event at the upcoming Frankfurt Motor Show. We first heard rumors of such a machine last week, but at the time the Swedish automaker wasn’t willing to confirm its presence.

Says an unnamed source from Volvo, “One of the cars that will be shown at the… event will be an all-electric C30 and that car will be driven. At the moment, the all-electric C30 is just a concept and Volvo has no current plans to put it into production.” When pressed about its chances of hitting dealers, the source said, “It is an evaluation concept… It’s being worked on and is part of an ongoing evaluation and we will make a decision in the future. At the moment, we are not considering putting it into production.”

Volvo has confirmed an upcoming plug-in hybrid hybrid version of its V70 wagon using an electric motor to power the rear wheels and a diesel engine to power the front. That car is expected to debut in full production form in 2012.

[Source: AutoBlog]

Volvo and racetrack: While the words aren’t mutually exclusive, we’re sure that the Swedish marque with the safety chops isn’t on the tip of your tongue when talk turns to motorsport. Volvo has made its name known through various racing efforts through the years, and in an effort to bring the S60 Concept to a wider audience has commissioned fellow Swedes SimBin Studios to whip up a video game that will help introduce the car.

“Volvo - The Game” will be officially released May 26th, presumably for the PC though the press release after the jump is silent on this subject. The price for digitally test driving future Volvos will be the entirely reasonable sum of $0, i.e. free, and gamers will have three levels of challenge to choose from, as well as being able to select between the sharp new S60 Concept and other well known Volvo racers. The action will take place on two tracks, and the game will offer exhilarating sound and visuals while also being appropriately challenging to hold the interest of gamers. There will also be leaderboards that Volvo will publish on its website to encourage specific competition for real prizes.
PRESS RELEASE
Volvo cars and SimBin join forces to release free racing game
Volvo Car Corporation and multiple award winning Swedish game studio, SimBin Development Team, announces that “Volvo - The Game” will be released at the end of May. The game will be free of charge.
The fresh and exiting Volvo S60 Concept headlines the car line up and will be accompanied by several well known Volvo race cars. The players will be able to hammer this variety of Volvo cars around two highly detailed and realistic tracks.

“Volvo - The Game gives us an opportunity to introduce the Volvo S60 Concept to a much wider target group. In an impassioned way and in an unusual environment we are able to expose the interior and exterior design of Volvo cars. As an extra bonus we also have the opportunity to show the players how we have worked in a focused way over the years to enhance and develop our Scandinavian design”, says Michael Persson, Director Global Marketing Communication at Volvo Cars.

“To work with such a professional team as SimBins has been a real pleasure for us”, he adds.

“When Volvo Cars asked us if we were able to develop a Volvo racing game for PC, suitable for a wide audience and including the new S60 Concept car, we picked up on the challenge straight away” says Henrik Roos, SimBin Studios CEO. “Especially since it was Volvo Cars located in Sweden that was asking. Two Swedish brands joining forces sounded like a perfect match to us”,

As in all games developed by SimBin this game will deliver a great experience in sound and detail with a fun and challenging game as a cherry on the cake. The game comes with three difficulty levels to appeal to a broad audience, from new comer to the experienced gamer.

“Our development team has felt welcome in all areas of the Volvo company and Volvo staff has really taken on the project in a positive and professional way”, says Magnus Ling, Executive Vice President, SimBin Studios.
As an extra feature “Volvo-The Game “includes leader boards that will be published on Volvo cars website with competitions and prices to be won when the game is released.

Please note: Volvo –The Game is set for release May 26.

[Source:Autoblog]

For years, Volvo has been pushing harder and harder to attract buyers of rival luxury automakers like BMW, Audi and Mercedes-Benz by slowly ditching its stodgy, safe and reliable reputation in favor of a more premium, upmarket marketing position. Now that money around the world is getting tighter, even those who can afford to shop in the fancy European section may be looking for a good deal.

Volvo’s Chief Operating Officer Stephen Armstrong believes Volvo’s lack of flashiness makes it more “socially acceptable” and might be perfect for today’s market, saying, “We have a real opportunity for Volvo with respect to premium positioning. As people cut back, it becomes a little less acceptable to flaunt your money.”

That’s all fine and dandy, but the fact remains that Volvo is currently faring at least as poorly as its competitors in these times of financial uncertainty. We’ll just have to wait and see how the introduction of the new XC60, along with the presence of possible Chinese bidders for the brand, changes things over the next few months.

[Source:Autoblog]