Slump Reaches New Rich

The new millionaires of Asia and the Middle East have curbed spending, executives from companies including Rolls and Ferrari said in interviews at the Geneva Motor Show this week, torpedoing a market they’d counted on to spur growth after the banking crisis eroded orders in Europe and the U.S.

Rolls-Royce, the U.K.-based top-end brand of Germany’s BMW, says demand is falling fastest in the once high-growth locations of China and Dubai. Volkswagen AG’s Italian Lamborghini division said yesterday that China has turned into a tough market after previously supporting sales.

Lamborghini’s worldwide deliveries rose 1 percent in 2008 to a record 2,430 vehicles, supported by sales in China and other emerging markets. That won’t be the case this year, Stephan Winkelmann, the division’s chief executive officer, said yesterday in an interview at the Geneva show.

More @ Bloomberg

Not much to report sorry....

With Audi closing plants and Eastern Europes failing Economy, Indias sudden halt to its rising middleclass, things aren't going to look well for the next 1.5 years for the Auto section. VW will of course announce production halts along with BMW, the rest of the VAG will follow. It seems though that Bugatti and Lambo seem to be doing ok (go figure all the hedgers who ran our 401ks off a cliff with derivitaives invested with creditdefault swaps made out ok). But hey it'll all get better by 2010....I hope, there's a Black RS4 somewhere with my name on it....even if it makes me look like a cock.