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Great Announcement from Torotrak
Allison increases its stake in Torotrak from 9.1% to 13%. Torotrak take 20% stake in Flybrid with a view to a full takeover by end 2013.
Lawrence E. Dewey, Chairman, President and Chief Executive Officer of mighty Allison Transmission, Inc., said: "Allison is committed to introducing fuel efficient, emissions reducing technologies and our licensing decision today with Torotrak reflects our determination to be a global leader in this field. A purely mechanical energy recovery system is in many ways an engineer's dream, but with the anticipated technology advancement and closer working relationship between Torotrak and Flybrid, we see the investment as having all the potential ingredients to make this a reality."
He added: "As an investor, we are pleased with the progression of the Company following the strategy announced in November 2012. In particular, we wanted to support the investment arrangements with Flybrid, which are forward looking and offer the potential for growth."
Jon Hilton, Managing Director of Flybrid Automotive, said: "This is a key announcement in the development of the Flybrid business. In Torotrak we have found a technology-focused investor with in depth understanding of our market space and a number of areas of common aspiration. The Flybrid technology is proven in prototype vehicles and products in several key markets are being made ready for production now. The time is perfect to expand the business both in manufacturing and in licensing, and we look forward to bringing our product to market in collaboration with Torotrak."
Full RNS is at :-
http://www.investegate.co.uk/torotrak-plc--trk-/rns/agreement--issue-of-equity---investment/201303180700162048A/
Parker debuts transmission with brake energy recovery
http://fleetowner.com/running-green/parker-debuts-transmission-brake-energy-recovery
Indianapolis. The Hybrid Drive Systems Div. of Parker Hannifin announced that its infinitely variable transmission (IVT) with brake energy recovery is now available for medium-duty trucks in North America.
Interim Statement issued 17 Feb 2012
Torotrak plc
(“Torotrak” or the “Company”)
Interim Management Statement
Torotrak (LSE: TRK) today announces its Interim Management Statement relating to the period from 1 October 2011 to 16 February 2012.
The Company has made good progress towards its key objectives, which we last reported on at the time of the half year results to 30 September 2011, announced on 22 November 2011. Our financial performance in the second half of the year is in line with our expectations with higher levels of licensing income being experienced.
Fuel economy testing in relation to commercial vehicle main drive transmissions is validating previous modelling. This confirms the strong fuel economy benefits in the target sectors of buses and trucks with high urban or stop/start cycles, which represent the largest share of the commercial vehicles market. We are continuing to provide engineering support to our lead industrialisation partner, Allison Transmission Inc., which is progressing towards representative hardware. The programme with our European truck and bus customer is focusing mainly on fuel economy testing across a range of vehicle types.
In our programme to develop a cost effective variable supercharger, Torotrak’s demonstration vehicle, and that of our Tier 1 partner, has now progressed to road testing. Results are positive and are confirming our expectations, with the full test results to be released according to our engagement programmes with manufacturers. The Company’s work with variable superchargers
continues to indicate considerable opportunity.
Progress on mechanical KERS (kinetic energy recovery systems) is very encouraging. The financial proposition compared with an electrical hybrid is strong, with typical pay back periods on the cost of investment from fuel saved in commercial vehicles more than halved. There are a number of opportunities to progress this technology towards commercialisation in both passenger cars and commercial vehicles. Test results relating to the Flybus consortium project will now be released following our financial year end on 31 March 2012 and as agreed with the consortium’s partners.
We are engaged in a number of programmes with key international component and fluid companies in order to identify quality validated and cost effective supply routes for our licensees. This is important in terms of assisting our licensees with resilient planning towards production.
We are experiencing a particularly busy period of discussions with potential business partners across the target areas highlighted above. We hope to be in a position to report on some of those more fully in May when announcing our final results for the year to 31 March 2012.
Press Release – Torotrak – Allison Nov 24 2011
Torotrak-Allison transmission project progresses
to next stage
Concept proven, timing to market could meet new legislation for truck fuel economy
Leyland, 24 November 2011 – Gearless traction drive company Torotrak PLC (LSE: TRK) is progressing to the next stage in its programme with Allison Transmissions Inc, the world’s largest supplier of automatic gearboxes for mid- to large-size commercial vehicles. The programme has moved through an important milestone that has proved the transmission’s required performance on concept hardware. The next phase of the multi-stage programme will develop prototypes of a fully representative production design.
Having completed an extensive process of knowledge transfer to Allison personnel, Allison Transmissions will lead the programme towards production of transmissions while Torotrak provides ongoing specialist technical support and engineering consultancy.
“Torotrak’s completion of a substantial proof-of-concept programme with Allison allows the programme to enter the next phase, proceeding to production-representative hardware,” said Jeremy Deering, Commercial Director, Torotrak. “Torotrak has re-shaped its engineering delivery structure over the last six months to provide the most relevant support as programmes such as Allison’s move closer towards commercialisation. Helping develop the production supply chain for important variable drive components, such as the discs, rollers and traction
fluid, is as important to success as is the disciplined engineering staged approach and forensic attention to detail in planning. We are engaged with a number of suppliers with a view to establishing relationships to support Torotrak licensees.”
The timing of the programme means Torotrak’s technology could be part of the commercial vehicle industry’s response to the growing legislative pressure to improve fuel economy. In the US, new regulations from the National Highway Traffic Safety Administration (NHTSA) and the Environmental Protection Agency require heavy trucks to achieve fuel consumption and CO2 emissions savings of around 20 percent from the 2018 model year onwards. Affecting vehicles built and sold in 2017, commercial vehicle manufacturers must move quickly to ensure they have solutions in place.
Full Press Release can be read at :-
Torotrak Press Release
Looking at the wider picture for automobiles
Here is an extract from the 2010/2011 annual report from Tata Motors of India (they bought Jaguar/Landrover from Ford you may remember and are now making money from Jaguar and Landrover) :-
"A good example of these recent global shifts is the case of passenger cars. In 1955 the United States was undisputedly the largest manufacturer of automobiles. It produced 7.1 million cars ~70% of world consumption. Detroit was the center for most important new automotive technologies in terms of new features, new materials, process and manufacturing innovations. By 1960, the U.S. ceded its technical dominance to the European carmakers which could develop and deliver more attractive cars of higher quality at competitive prices.
By 1980, Japan and later South Korea became serious competitors to the Europeans and began to take a larger share of the U.S. market by producing more appealing, higher quality and technically innovative cars at competitive prices. The landscape in 2010 has dramatically changed again! China has emerged as the world’s largest automobile producer.
Its production of 13.8 million cars in 2010 accounted for 24% of world production, surpassing the U.S., which produced only 2.7 million cars1 – 5% of the world’s production. Further, China
has emerged as the world’s largest domestic market for automobiles (In 2010 Chinese buyers bought about 18 million automobiles, against 11.7 million bought in the U.S.). Even after the economic meltdown in 2009, China and India saw 45% and 26% growth respectively in their domestic automobile markets while Europe, U.K. and the U.S. automobile markets declined
by 6%, 11% and 21% respectively.
The global automobile industry production in 2010 stood at about 58 million for passenger cars and about 19 million for commercial vehicles, registering a growth of about 22% and 38% respectively over the previous year."
Let us hope that Torvec are not too parochial in their outlook. There is business to be had outside the USA.
New readers begin here
At last Torotrak is looking good. The share price has risen from around 20p in Jan/Mar this year to 55p now (5th July 2011), has been a bit higher, and will in my opinion reach 100p by the year end. Product development is going very well with their top drawer customers.
Read the 2011 Annual Report to find out the detail. It is available free on line at :-
http://www.torotrak.com/pdfs/annreps/Torotrak_Annual_Report_2011.pdf
Just in case nobody here knows about Allison
Here is what they say about themselves :-
‘ We are the world’s largest manufacturer of fully-automatic transmissions for medium- and heavy-duty commercial vehicles, medium-and heavy-tactical U.S. military vehicles and hybrid-propulsion systems for transit buses. Allison transmissions are used in a variety of applications, including on-highway trucks (distribution, refuse, construction, fire and emergency), buses (primarily school and transit),motorhomes, off-highway vehicles and equipment (primarily energy and mining) and military vehicles (wheeled and tracked). The Allison brand is one of the most recognized in our industry as a result of the performance, reliability and fuel efficiency of our transmissions. We estimate that globally, in 2010, we sold approximately 60% of all fully-automatic transmissions for medium- and heavy-duty on-highway commercial vehicle applications, and we are well-positioned to capitalize on numerous attractive growth opportunities. For the year ended December 31, 2010, we generated net sales of $1,926.3 million, net income of $29.6 million, Adjusted net income of $273.7 million and Adjusted EBITDA of $617.0 million, representing a 32.0% Adjusted EBITDA margin.’
‘We have more new products under development today than at any time in our history. We are leveraging our success in hybrid transit buses to introduce a new hybrid-propulsion system for medium- and heavy-duty commercial trucks for which we received a $62.8 million cost-share grant from the DOE. We will pursue sales in the Class 6-7 and Class 8 straight truck markets as well as other end markets with this technology. We expect the first of these new products, for the medium-duty commercial truck market, will begin production in late 2012. The objective for this family of hybrid-propulsion products is to create an improvement in fuel efficiency of 25% to 35% for a typical vehicle, pendent upon vocation and duty cycle. We are also developing a new fully-automatic transmission for Class 8 tractors used in metro applications, which we believe offers better fuel efficiency and performance than manual transmissions and AMTs. We will continue to invest in these and other advanced fuel efficient technologies.’
Torotrak shares up 13% (5.25p) on this news
I managed to get another 5,000 yesterday at 39.95p and No I didn't know the good news was coming out today but I expected it to come out soon.
One of Torotrak's brokers, Charles Stanley, now has a target of 55p.
Here comes that good news today from Allison
13 April 2011
Torotrak plc
("Torotrak" or "the Company")
Further commitment by Allison Transmission, Inc.
£8.0 million additional licensing and engineering services revenue
Technology and Markets Review
Torotrak (LSE: TRK), leaders in the commercial application of gearless traction drive technology which delivers fuel efficiency and emission improvements in vehicles, announces the next stage of investment by multinational commercial vehicle transmission manufacturer, Allison Transmission Inc. ("Allison").
We are pleased to confirm that we have concluded agreements totalling approximately £8.0 million. This supports the immediate start of a production intent design as part of Allison's multi stage programme, supported by Torotrak, developing the technology to the intended end position where the transmission is production ready.
Since signing our initial agreement with Allison in March 2009, £9.6 million of licensing and engineering fees have been paid to Torotrak. The further commitments announced today will bring the cumulative value of licence and engineering fees to £17.6 million over the three year period to April 2012.
Allison remains Torotrak's largest shareholder with a 9% holding in the Company.
Licence and exclusivity payments
£6.8 million is payable in two instalments by way of Allison's election to take up further rights under the Licence and Exclusivity Agreement ("LEA") that was signed in March 2009. £3.5 million is payable immediately and £3.3 million a year thereafter. The payments secure Allison's rights to a non-exclusive licence in 2013 in the above 14,000 kilogram gross vehicle weight commercial vehicle market; such rights are currently held on an exclusive basis (other than pre-existing licensees) until 2013 by another commercial vehicle customer, our European Truck and Bus Manufacturer ("ETBM") whose name currently remains confidential.
In addition, the payments allow Allison a period of two years up to March 2013 during which the Company agrees not to pursue further licensing with other parties in key areas within the commercial vehicle market ("Exclusivity Rights"). Following this two year period, under the LEA Allison has the option to continue with its Exclusivity Rights on a perpetual basis for a further payment of £10.6 million. At that stage, Allison will have purchased perpetual full licence rights on a non-exclusive basis and may not view the option of purchasing Exclusivity Rights as being necessary, in which case Torotrak will at that time have the ability to license other commercial vehicle customers on a non-exclusive basis.
In addition to the licence and exclusivity payments, the LEA provides for per unit royalties payable to Torotrak upon start of production based on a percentage of the manufactured value of each transmission produced.
Production intent transmission design programme
In addition to the licensing arrangements described above, Torotrak has agreed to provide engineering support to Allison throughout its production intent transmission programme. This carries a committed level of engineering support from Torotrak of around £1.2 million in the first year of the multi stage programme.
The next phase will see the two companies working very closely together, with Allison commissioning application engineering support from Torotrak. The Company has been keen to support Allison in this way as it is beneficial in two key respects. First, through this collaboration the Company will be closely involved and can play a strongly supportive part in helping to deliver programme success. Secondly, it secures a substantial level of forward engineering order value, in addition to other consultancy work with other key customers.
The programme of work with Allison over the last two years has delivered in depth training in Torotrak's technology to Allison's engineers and has also seen a substantial level of testing and confidence building in the Company's technology. This has led to the successful conclusion of the first phase of engagement with Allison.
Following this milestone, the programme is now moving into a phase for which Torotrak will provide engineering support in core technology areas where Torotrak has particularly strong expertise, such as:
o system architecture selection
o variator design and validation testing
o hydraulics and software control system design and verification
o specialist testing utilising our purpose built test rigs in Leyland
Torotrak's technology and market benefits
The progress in Torotrak's various commercial vehicle programmes over the last three years has confirmed the Company's view of the benefits that Torotrak's technology can bring in this market, materially improving fuel economy and reducing emissions, whilst also improving smoothness of driver and passenger experience and vehicle controllability. Although the exact levels of benefit are dependent upon the particular drive cycle or route for a given vehicle, the results have shown that fuel savings in excess of 10% are achievable. In the delivery truck and urban bus sectors, which represent a high percentage of the commercial vehicle addressable market, greater levels of fuel saving will be possible due to the stop/start nature of the drive cycle (where Torotrak's technology is particularly effective).
This level of fuel economy improvement addresses directly the raft of C02 reduction legislation proposed for the USA and Europe for the second half of this decade.
In addition to the C02 reduction, there are confirmed legislative targets for noxious gas emissions (such as Euro VI) which seek to achieve a substantive reduction in exhaust emissions. The work carried out through our internal and customer programmes has demonstrated that Torotrak technology can be an important enabler for reducing emissions. This is achieved by managing engines at their most efficient operating conditions.
In addition to Torotrak's work with Allison, the Company's programme with ETBM continues to run to plan with the recent acceptance of the vehicle handover following the achievement of key test and vehicle performance milestones. This second programme, and the resilience that it brings in terms of a different programme approach and a separate route to market via a substantial OEM, adds considerably to the Company's confidence in the commercial introduction of Torotrak's transmission technology in the commercial vehicle market.
In other markets, Torotrak continues to work collaboratively on programmes to deliver more effective use of motive power and to help conserve energy. These programmes include applications such as main drive transmissions, supercharger drives, variable speed accessory drives and power transfer management for kinetic energy recovery systems. Torotrak's customers and partners include major international vehicle and equipment manufacturers and specialist component and engineering services providers.
Trading update
All parts of the business continue to operate in line with expectations and the agreement with Allison is a good start to the new financial year. The Company's preliminary results for the year ended 31 March 2011 are expected to be announced on 24 May 2011.
I don't post often either Dadio
and I share your view on the bonus and in fact I agree with your whole post (I miss the facility to recommend posts here which is available on other BBs).
I shall, neverthless, hang on to my Torvec shares, bought at $4.46 but, at my age of 74, I seriously doubt if I shall live long enough to get my money back, despite being in excellent health for the foreseeable future.
It seems to me that Torvec has many years to go yet before getting their inventions adopted in significant numbers. I agree with the current idea to concentrate on the clever differential and the equally clever hydraulic pump and motor, but viable aplications for these seem to me to be be only in niche markets.
I bought into Torvec because of their hydraulic IVT, fearing that I might have backed the wrong IVT horse. I have to tell you however that I was not wrong in my original choice. DYOR as they say.
Allison Transmission, Inc Corporation and Torotrak
Allison, http://www.allisontransmission.com/index.jsp, leads the world in the design, manufacture and sales of medium- and heavy-duty automatic transmissions. Since March 2009 Allison has owned nine percent of Torotrak, in return for which the company were granted worldwide licence and exclusivity options to commercialize Torotrak's Infinitely Variable Transmissions.
Under that deal Allison paid £2.41m for the 14.6m Torotrak shares and as licence fees paid £4.69m to Torotrak in 2009 and a further £3.75m in 2010. Additionally Allison secured options to purchase at a future date, a non-exclusive licence for large commercial vehicles and a further option to secure worldwide exclusivity (except for Torotrak's other existing licensees in this field) across the commercial vehicle market.
Additional fees payable to Torotrak could amount to a further £6.75m to £17.37m depending upon Allison's decisons relating to the extent and timing of the further rights that it may wish to take up.
Work on producing Allison branded IVTs has been going well with a prototype being produced within the first twelve months of technology transfer from Torotrak to Allison
Allison were due to announce by 31st March, their decision on the next phase of their development of Torotrak's IVT for their own use.
The fact that no announcement came should not worry us. The date was never cast in stone and could turn out to be any time until June. If Allison had decided not to further develop their brand of the IVT they would have said so and the fact that nothing was said means that negotiations are going on with Torotrak about how Allison are going to proceed.
The fact is that Allison need the IVT. They have been losing market share with their existing epicyclic based automatic transmissons to up and coming transmissions like automated dual clutch designs. They need a new technology to leapfrog their competitors which is why they took up with Torotrak in the first place.
Since that work started another possibility has emerged with the realisation that all Allison transmisions have a built in power take-off attachement which is not used in bus and commercial vehicle applications. This power take-off turns out to be ideal for attaching an energy recovery flywheel, such as is being developed by Flybrid in concert with Torotrak. This development is being subsidised by the UK Govt on a Jaguar car but Allison are co-operating in that development at their own cost (being an American company they don't qualify for UK Govt cash).
Putting IVTs in new buses and commercial vehicles will be great but the after market of retrofitting flywheels in buses will potentially be much greater.
We have been told by Torotrak that things are going well with Allison so the announcement when it comes, is bound to be good news.
The first page of broker's latest Torotrak coverage
dated 16th March. This perhaps may explain in part at least Torotrak's remarkable share price rise which closed today (March 23rd) at 48.5p/50p, up from just over 20p at the end of Feb.
Mass production promised for a Torotrak IVT
http://www.caradvice.com.au/109824/tata-pixel-production-for-europe-confirmed/
Torotrak's share price rose 10% on 21 March. Now 33.5/35p.
From Carblogindia.com. Looks very much like the Pixel will go into production, although of course we don’t yet know when.
http://www.carblogindia.com/nano-pixel-will-replace-europa-for-european-launch/
Recently at the 2011 Geneva Motor Show out of all the amazing cars showcased there, one car stood out and probably drew a unique attention. Tata displayed its latest concept small car Tata Pixel at the show and believe us the response was simply overwhelming.
On-lookers as well as critics, both were highly fascinated and praised this new product from our very own Indian manufacturer. In fact the appraisal was so impressive than the manufacturer has now decided to dump Tata Nano Europa, which was supposed to enter production for the European markets and now Tata Pixel will take its place.
Tata Group Chairman Ratan Tata, in talks with Autocar said that the new model will replace the Europa partly and production version will come with conventional doors instead of the scissors doors presented in the concept model. He added, after getting into production the car will become the ‘the most package-efficient 4-seater in the world’.
One Wheel Forward, One Back for Tata's Pixel
From Automotive Engineering International Online
A city car concept for Europe, the Tata Pixel has a rear engine and a turning circle radius of 2.6 m, thanks mainly to the effects of its infinitely variable transmission, which can control each rear wheel independently, allowing rotation in opposing directions when parking.
Tata's rear-engine Pixel, shown in concept form at the 2011 Geneva Motor Show, was conceived as a city car for Europe. At just over 3 m (9.8 ft) long, it is based on the Nano and is claimed to be the most package-efficient four-seat (for adults) car in the world.
Carl-Peter Forster, Group CEO of Tata, said the company believes there is an opportunity for such a car in Europe, particularly one with exceptional maneuverability. That maneuverability comes from the use of a prototype toroidal traction-drive IVT (infinitely variable transmission) from Torotrak, which has been developed to assist rotation of the outer rear wheel forward and the inner rear wheel backward as the front wheels turn at acute angles. The resultant turning radius is a remarkably compact 2.6 m (8.5 ft).
The Pixel’s transmission comprises Torotrak’s traction-drive and epicyclic technology. When the car is driven normally, the transmission provides seamless ratio changes, said Torotrak Product Development Manager Rob Oliver. "But when parking and when very tight maneuvering is needed, its ability to control each rear wheel independently is used to enable rotation of those wheels in opposite directions," he said.
He added that by linking the vehicle’s steering system with the control mechanism for the IVT, the car could pivot about its rear axle. “Zero turn capability provides tremendous opportunities to deliver new technology solutions for urban drivers,” he said.
The Pixel’s maneuverability is complemented by very short overhangs, and scissors-action doors provide added accessibility in tight spaces.
Connectivity is also central to the Pixel’s design, with key functions controlled by the driver’s smart phone.
The concept has a 1.2-L three-cylinder turbocharged diesel engine with stop-start facility. The engine is fitted with variable coolant and oil pump operation plus rapid warmup technologies. Low rolling resistance tires are fitted.
Claimed economy figures include a European combined (NEDC) fuel consumption figure of 3.4 L/100 km and CO2 emissions of 89 g/km.
Torotrak is working closely with Tata. Torotrak's technology focus is on traction-drive systems, developing main-drive transmissions and variable-speed drives for flywheel-based hybrids. Its variable drive technology is also being developed for use in engine auxiliary systems including superchargers, turbochargers, and fan systems to help facilitate engine downsizing. Its core technology platform is a full-toroidal traction drive designed to deliver improved fuel economy and reduced emissions in parallel with high levels of performance.
A name from the past?
Have a look at their web site and decide which of the two companies is doing the best. You won't like what you see.
I still have my Torvec shares BTW.
Latest broker report now available (Nov 2010)
Well worth a read.
http://www.mediafire.com/?g09djdl88cb39je
Lhasa
Form 8-K for TORVEC INC
--------------------------------------------------------------------------------
20-Jul-2010
Entry into a Material Definitive Agreement
Item 1.01 Entry into a Material Definitive Agreement.
On July 19, 2010 the company received $57,000 in connection with a Securities Purchase Agreement for the issuance of a Convertible Note in the principal amount of $60,000 due and payable on April 2, 2011, with interest payable at the rate of 8% per annum ($3,000 was paid by the company for legal fees incurred in connection with the transaction).
These dollars will enable the company to pursue programs in additional to existing, on going projects.
The outstanding Note principal and all interest accrued thereon can be converted, in whole or in part, into the company's common stock at the election of the Holder from time to time beginning 180 days after the issue date. The conversion price is equal to 58% of the average of the three lowest closing bid prices of the company's common stock during a 10 day trading period immediately prior to the date the Holder's conversion notice is sent to the company.
The company may prepay the principal amount of the Note and all accrued interest at any time beginning on the issue date and expiring 180 days thereafter. In the event the company elects to prepay within the first 90 days, the repayment amount is 150% of the $60,000 principal amount and if between the 91st and 180th day, the repayment amount is 175% of the $60,000 principal amount.
In the event of default, the amount of principal and interest not paid when due bears interest at the rate of 22% per annum and the Note becomes immediately due and payable.
The Note agreement contains covenants requiring the Holder's written consent for certain activities not in existence or not committed to by the company on the date of issuance as follows: common stock dividend distributions in cash or shares, stock repurchases, borrowings, sale of significantly all assets, certain advances and loans in excess of $100,000 and certain guarantees with respect to third-party liabilities.
General Motors: Doing the TARP Shuffle
From an article on Seeking Alpha by Kid Dynamite. May 3.
I wrote about GM's shenanigans where they claimed to have "paid back the taxpayers, in full, with interest, ahead of schedule" a few weeks ago. Then I saw the ad they were airing on TV - it's so brazenly wrong that it even made my wife gasp at the audacity. I am writing about this again because the NY Times's Gretchen Mortgenson wrote an article about it yesterday, with the tagline, "Fair Game: At GM, Repaying Taxpayers With Their Own Cash."
I was excited to see that Mortgenson was trying to explain the "TARP money shuffle" to her readers, but I think she missed the absurd simplicity of these accounting shenanigans. I want to make sure everyone understand this, so I'll try to simplify.
1.GM has a big pile of debts they can't pay back so:
2. The US Treasury gives them a huge loan: $52 billion
3. Now, GM has a) the same huge pile of debt it had before, along with b) a new pile of $52B in debt to the Treasury, and c) $52B in cash.... then:
4. GM declares bankruptcy, which massively reduces 3a, as preexisting debtholders restructure the debt they hold. It also massively reduces 3b, as the Treasury restructures the debt they hold - taking equity instead. In fact, it reduced the Treasury debt to $6.7B, which GM then paid back - using the cash it had - WHICH IT GOT FROM THE TREASURY!
Voila - the TARP shuffle.
At least we can feel good that GM is spending money bragging about its "payback," while the American Taxpayer is still $45Billion in the hole on this transaction.
Lhasa
This firm is way behind the two already existing IVT developers.
In Nov 2009 they only had their design on computer so how dare they claim to be the first and only supplier of an IVT. Their claim is frankly fraudulent. I guess that out in the wide open wilds of Utah they are in a world of their own. I see that they give no clue as to how it works either.
News Release on Yahoo Nov 1st 09
"November 01, 2009 - Just when the automotive world was beginning to embrace continuously variable transmissions (CVTs) as the wave of the future, a Utah-based company prepares to unveil its technology at a Nov. 4 press conference for a transmission it claims can replace many of the current transmissions, including CVTs. Called the “Universal Transmission,” it’s estimated to improve gas mileage by at least 30 percent (even more in large trucks) and allow for the production of high-performing hybrid SUVs and mid-sized trucks.
Unlike standard and automatic transmissions that only provide limited sets of pre-defined gear ratios and CVTs that require a friction-based belt, the Universal Transmission is the first and only to function as a positively engaged, infinitely variable transmission with an engaged neutral. In addition, it eliminates the need for a clutch or torque converter.
“Our Universal Transmission will provide hybrid economy with NASCAR performance,” said VMT Technologies CEO Richard Wilson. “It’s the ultimate green technology. We estimate it can reduce U.S. fuel consumption by 53 billion gallons annually. That’s about a $140 billion savings.”
Wilson said the Universal Transmission would be particularly beneficial to the hybrid and electric vehicle market because it will eliminate the need for the controller. The controller, an expensive component that can be up to half the vehicle’s cost, is necessary to manage the large amps needed when electric vehicles start to move. In addition to eliminating the controller, it will also allow electric vehicles to use much smaller battery configurations. According to Wilson, these modifications would greatly reduce the cost of hybrids.
“Because we have infinite increments of ratio change—meaning we can come out with high torque when a vehicle just starts moving—the engine is always at its optimal performance,” said Wilson. “Unlike CVTs, our transmission will work in SUVs, mid-sized trucks and large semi trucks. It has minimal dynamic friction, fewer parts, increased efficiency and greater ease of operation.”
VMT first began working on its new transmission technology in 2005. The Nov. 4 press conference will mark the company’s first public showing of the Universal Transmission’s CAD prototype. VMT does not plan to manufacture the transmission. Instead, it will sell licensing agreements to original equipment manufacturers.
The VMT Technologies press conference is 10-11 a.m. MST Wednesday, Nov. 4, 2009 at the Novell Technology Center, Conference Room – Lobby A, 34 East 1700 South, Provo, Utah 84606. News media may RSVP by e-mailing jeff ( @ ) pizzinovations dot com or calling (480) 606-8292 dot
About VMT Technologies, LLC
VMT is a development and licensing company of world-changing innovative technologies. The company is headquartered at the Novell Technology Center in Provo, Utah. For more information, call 801-228-1510 or visit http://theUniversalTransmission.com."
Lhasa
Commenting on the company report.
Visits by politicians are very nice but why do they come?
It is usually to keep their names in the papers to encourage people to vote for them. In this case there seems also to be a hint that they might help to get funding for TOVC which leads me to comment on the Air Force who, we are told, are working jointly with TOVC to secure funding.
The USA military have huge budgets but it seems that they are insatiable and want even more money for every pet project, so, one way or another, the American taxpayer (which leaves me out of course) is being asked to pay for Torvec to develop their FTV. I understand why from Torvec's point of view. We constantly read their mantra that they have no debt, but on the other hand they have no money to speak of and the Air Force, presumably, can't buy TOVC shares.
Any company short of money will usually try and raise it on the stock market. At least that way it is only shareholders (me included this time) who have to stump up but apparently this is not Torvec's way.
Two more things. The phrase "new drive system and independent suspension". What is new about this? OK we know that the Air Force wanted an FTV with double the payload of the original FTV, so a more substantial suspension was needed, but are they saying that Torvec have had to develop a bigger IVT to cope with this? If so then we could understand that but it would be nice to hear more.
Finally the phrase "next generation mission specific FTV" caught my eye. Does this refer to a third generation of FTV after the second generation one they have just made? It looks that way to me in which case I can see why Torvec will need a lot more money.
These compnay statements are like a woman's nightdress. They conceal more than they reveal, but hopefully what could be revealed is just as exciting.
Lhasa
Sulax. My investments in Torvec and Torotrak are not in the same league and so comparisons don't mean much.
I only have a few shares in TOVC, bought in 2007, and I have lost 90% of what they cost me, so my breakeven price for them is $4.60 and I am not holding my breath on getting that price again any time soon.
My wife and I between us have a large number of shares in Torotrak. Our TRK shares are showing a paper loss of 43% right now, but we have been buying and selling TRK since 2003 and taking into account our past gains (and a few losses) I reckon we are only down about 10% overall.
Lhasa
Cars will have to become lighter
—and more expensive
A thoughtful and well written article appeared in The Economist on April 9. The general thrust of the article is towards the greater use of aluminium but there is a glimmer of hope for IVT developers in there too.
Quote:
"So it comes down to this: if half the increase in efficiency demanded by the new CAFE requirements is to come from further improvements in the power-train, then the other half will have to come from reductions in a vehicle’s weight."
Full article at :-
http://www.economist.com/science-technology/displaystory.cfm?story_id=15883180&fsrc=rss
Lhasa
Thanks very much allnumbers
for the links to the explanations of how Torvec's IVTs work. I have held my TOVC shares now for three years and a long time ago I asked for that explanation but all I had previously was the "you have to slow it down to speed it up" one which told me nothing so I stopped asking.
Lhasa
Never heard of a sub-planetary gear
so I "Googled" it and got :-
"A planetary gear transmission gear system comprises a main planetary gear train composed of a main sun gear, a main ring gear, and main planet gears. The main sun gear is driven by an input rotary shaft to rotate. A sub planetary gear train is included to have a sub sun gear, a sub ring gear, and sub planet gears, and has a different gear ratio from the main planetary gear train. The sub sun gear is connected to rotate together with the main sun gear. A common carrier supporting the main and sub planet gears is rotatable about a common center axis and is drivingly connected to rotate an output shaft. A lock mechanism releasably fixes the main ring gear in order to allow the main planet gears to rotate about the center axis as the main sun gear rotates with the main ring gear fixed. A one-way clutch is connected to permit the sub ring gear to rotate in a first direction and to prohibit the sub ring gear from rotating in a second direction opposite to the first direction. The first direction is selected to be a direction in which the sub ring gear is permitted to rotate while the carrier rotates with the main ring gear fixed by the lock mechanism such that the sub ring gear is locked in the second direction after the main ring gear is released, thereby permitting the carrier to continue rotating at a speed reduction ratio different than when the main ring gear is fixed."
I really don't understand all that but it doesn't sound like anything I have ever heard about Torvec, or have I got that wrong?
Lhasa
Sulax I do so agree with your post
"Telling me that I should be quiet or sell my stock is ludicrous. With that mentality we would still be English"
That made me laugh. I have to tell you that here in England we do tell each other to sell or be quiet when, as so often happens, someone rubbishes a stock we hold dear to our hearts.
Oh and BTW we also value fredom of speech over here too which our forefathers also fought and died for. You see we are not so different after all, apart from our funny accents :)
Still holding on to my TOVC stock and hoping like the rest of you but not buying again yet anyway.
I wonder what the steam turbine is intended to be used for.
If they put the steam turbine in a ship then they would have plenty of salt water, however you wouldn’t want salt water to be boiled to make steam and you still have the problem of where do you get enough electricity for the RF generator. I really can’t envisage the turbine being in any sort of vehicle, even a train, so a static situation is all that is left. Maybe a power station situated between a fresh water canal and a tidal river. It would only work if you got more electricity from the steam turbine/generator combination than you took from the grid to run the RF generator.
They could compress and bottle the oxygen and sell it I suppose. They wouldn’t need it to burn the hydrogen as they could just use air for that. Altogether a most interesting invention but there are, typically of Torvec I have to say, no real details of the invention. They seem to always worry that someone will study their patents and get enough info to steal the ideas.
Lhasa
I came on to this board to contradict lies that were being stated about that British company that is developing an IVT. I stayed on and actually bought shares in Torvec because I was convinced by the posters on this board that Torvec had a future. I have now lost on paper about 90% of that investment.
1.....Why are you posting or just following this board?
I have a hope that one day I might read some good news about Torvec. At least I get links to or copies of Torvec company announcements here which I might otherwise miss.
2.....Why are you long?
I do not short on principle so I am long because I have in effect written off what I invested but hang on in the hope that I might one day get my money back.
Lhasa
From Rick Newman on seekingalpha.com
Ten cars Detroit should copy
I'm not a member of President Obama's automotive task force, which is overseeing the bailout of General Motors (GM) and Chrysler. But in a way, we're all on the task force, since these two automakers are staying afloat thanks to taxpayer funding that could reach $40 billion or more this year.
So I'm going to give Detroit some advice. Not about labor contracts or debt refinancing or global alliances, but just about cars. It's true that the quality of American-made cars has improved in recent years. But that's not enough. If the folks running the Detroit Three—including Ford (F), which hasn't asked for a bailout but still might—drove the latest offerings from the competition, they'd realize there are lots of innovations they're missing out on. Here are some of the top cars from which the Detroit automakers can learn:
Honda Fit (HMC) (Starting price, $14,750): Car buffs don't love the Fit because it's small. They love it because the packaging is brilliant, the styling is funky, and the car handles like a go-cart. It just so happens that the Fit is also a subcompact with a low price, which makes it a slam-dunk choice for thousands of owners. There's nothing in Detroit's inventory that comes close, because Detroit has long regarded small cars as a necessary evil, while importers know they can be fun and fulfilling.
Volkswagen Tiguan ($24,300): Like the Fit, this stylish crossover reveals something that the Europeans and Japanese know but Detroit doesn't: Small vehicles can be just as cool as big ones. Cooler, maybe. The Tiguan is everything people are looking for these days: practical, fun, and modestly sized. It's a lot sportier than a Saturn Vue or Ford Escape. Instead of skimping with cheap parts and a slapdash interior—criticisms that dog Saturn and Ford—Volkswagen gave the Tiguan upscale touches that help justify a price that can easily crest $30,000 with options. That leaves an opening for Detroit to match the flair, for less.
Infiniti EX ($35.450): Quick, name a small, luxury domestic crossover. . . . Trick question. There aren't any. But the importers are starting to offer them, because they know that consumers don't just pay for size. They also pay for saucy styling, great packaging, and an exhilarating driving experience, all of which the EX offers. Detroiters might sniff that the EX isn't a true SUV because it doesn't have off-road capability. News flash: It doesn't matter. Most people who buy SUVs never go off-road, which is why optional all-wheel drive is more than enough for most vehicles.
Honda Insight ($19,800): Honda and Toyota are so far ahead on hybrids that they could run them on sludge and still be greener than Detroit. The Insight ups the ante on Toyota, since it undercuts the class-leading Prius by a couple of thousand dollars. In response, Toyota has announced it will introduce a Yaris hybrid that's even cheaper. While the Japanese are raising the bar and lowering the cost of hybrids, Detroit remains a generation or two behind. Chrysler doesn't even offer a hybrid. GM hybrids like the Saturn Aura and Chevy Malibu offer just modest mpg improvement over conventional models. And big hybrid SUVs are a meaningful breakthrough, but, at $50,000, they're out of reach for most buyers. The $29,000 Ford Escape and $27,000 Ford Fusion hybrids are good entries, but they look awfully pricey compared to Honda and Toyota offerings. Detroit needs to find a way to cut the cost of hybrids and crank out a dozen different models, or just hand over the whole segment to the Japanese.
Audi A4 ($32,700): The most common complaint about Audis is that they're overpriced—precisely the kind of problem an automaker wants to have. The A4 isn't bodacious like the Cadillac CTS. It lacks the S-curve chops of the BMW 3 series and the regal parentage of the Mercedes C Class. Yet strong engineering, slick interiors, and edgy design cues like the "eyeliner" LED lights that accentuate the headlamps have made the A4 a top-shelf alternative to more commonplace luxury sedans. Domestic lines like Buick and Lincoln, meanwhile, can only lure customers from the German and Japanese luxury makes by offering lower prices.
Mazda MX-5 ($21,750): There used to be lots of fun little convertibles. Now it seems like a lost art. Pontiac made a splash a few years ago when it introduced the Solstice, a hot-looking two-seater, but enthusiasm faded as drivers noticed the ho-hum interior and some awkward internal tradeoffs. There are few such complaints about the MX-5, which gets high marks for zip, handling, refinement, and an optional power roof. Ford and Chrysler in particular ought to pay attention—neither even offers a two-seat roadster.
Volkswagen GTI ($23,230): It's not just a muscle car, it's a poor man's race car, with taut handling, amped-up brakes, and a sizzling 200-horsepower, turbocharged, four-cylinder engine that might provide more thrill per dollar than any other car on the road. Detroit muscle cars tend to be all about the engine, which is unfortunate, since big V-8s are falling out of favor. The Chevy Cobalt SS is a GTI imitator, but it's based on a middling economy car and isn't nearly as refined. Keep trying.
Hyundai Genesis (HYMLF.PK) ($32,250): The South Korean automaker has cracked into the near-luxury segment with a holy-cow sedan that ranks in the top five in its category in the U . S . News rankings and is the reigning North American Car of the Year. Buick, Chrysler, and Lincoln might want to study Hyundai's formula, which is to offer the same features and quality as the top Japanese and European brands for thousands less. If they don't, Hyundai may end up poaching what customers they still have.
Mazda 5 ($17,995): It's small for its category, so Detroit's probably not interested. Yet many families find the quirky 5—a three-row hauler that seats six—to be a fun, economical alternative to conventional minivans. It costs less than other minivans, gets better mileage, and even comes standard with a sporty, five-speed manual transmission. Some analysts think the 5 may actually kick off a new "microvan" category, with copycats like the Kia Rondo. But no domestics, apparently.
Subaru Forester ($19,995): Car reviewers find this crossover a bit frumpy—but they love to recommend it for their parents, because it's one of the most practical, unpretentious vehicles you can buy. The high, stodgy roofline provides great visibility whether you're a tall or short driver. There's lots of cargo space for the price. You could pay more for a Chevrolet Equinox or Jeep Liberty, but you'd probably end up wondering why. GM and Chrysler should ask themselves the same question.
OK Dread I want to double my money
but bear in mind that I paid $4.56 /share for my shares so a ten bagger from here would be needed for that.
Lhasa
P.S. I am intrigued that I now appear to have two identities on iHub, Lhasa and ADVFN_Lhasa. This happened recently after I logged out and later logged back in again and is probably because I use ADVFN as well as Investors Hub and the iHub suddenly thought I was a new user and sent me a welcome email:)
Got my old identity back agin by logging out and logging in again. Weird.
I have kept this board alive until now
But this is the end of 2008 and since nobody but me ever posts here, this will be my last ever post here. It would be pointless to carry on.
Lhasa
I really want to believe this, dare I?
http://www.jaguarnewswire.com/2008/12/jaguar-xj-spied.html
I can't paste the picture but this is the text :-
"These are early spy shots of the next generation Jaguar XJ, snapped in the UK today under heavy disguise.
Beneath all the cladding lies a radically modernised version of the British luxury saloon, with styling that's expected to be more in line with the smaller XF's.
Engines are likely to include an entry-level V6 and V8 plus a supercharged V8 version. A registration check reveals that this mule is running the naturally-aspirated 5.0-litre V8. But, crucially, the new XJ could also spawn Jaguar's first hybrid model.
Jaguar is believed to be working with Leyland-based engineering firm Torotrak. The firm has developed a mild hybrid system by fixing a starter generator between the engine and its owns Infinitely Variable Transmission (IVT).
Unlike most hybrid systems, which are inefficient at a steady cruise, Torotrak claims its system is more efficient in real-world driving conditions.
It says the system can offer a 35 percent improvement in fuel economy when applied to a conventional automatic transmission. Combined with Jaguar's petrol V6 engine, the system could allow the new XJ to easily achieve 35mpg-plus.
Dick Elsy, who was recently appointed managing director of Torotrak, used to be product development boss at Jaguar. The firm has also signed a licensing agreement to supply IVT technology to Jaguar's owner Tata.
The XJ will play a big part in Jaguar's new styling direction. This new luxury saloon will represent a significant shift towards a sleek modern looking four-door saloon. Jag's design team wants to take looks of the brand's saloons and its sports cars in two notably different directions.
At around five metres long, the new XJ is built around the same aluminium monocoque as its predecessor. All the body panels will be new and this XJ is expected to be marginally longer than the outgoing model.
Inside, expect an ultra-modern XF-inspired cabin with high-end technology and a focus on providing exceptional levels of comfort and refinement.
It's due to go on sale in 2010 and we're expecting to see the production car in the metal for the first time at next autumn's Frankfurt motor show.
Will Powell"
The Latest Broker Report
Arbuthnot Report 25/11/08 (11/25/08 for any American readers)
Torotrak reported H109 results slightly ahead of expectations, with revenues of £0.9m, and PBT (loss) of £1.9m (£2.3m estimate), and EPS (loss) of 1.27p. We also note a cash balance of £9.7m. It is important to note that (as in 2008) we expect the revenues and earnings to be second-half weighted. The statement reads positively, and it is clear that progress continues to be made in a number of places. However, it is also clear that the make up of contributions continues to be different from our original expectations. In particular, we note that there has been a notably slower start at Infinitrak, linked to a significantly more challenging economic backdrop. However, the development of the work in the truck and bus segment is continuing at a faster rate than we had anticipated. In addition, the company has stated that it is working with an enlarged number of prospective customers, particularly relating to licensees and engineering development programmes. In light of this, we are making some changes to our earnings estimates at the revenue line to reflect the change in business mix. At the PBT level, however, we are making no material changes.
Outdoor Power Equipment (OPE, Infinitrak)
At Infinitrak, the company has now started manufacturing of the twin-toroidal transmissions (TTT) at the US manufacturing facility. However, the economic pressures have been mounting in the US, and this has noticeably impacted demand for tractor mowers (and their transmissions), especially at the premium end of the market. To this end, we have downgraded our volume assumptions to 20,000 units for the year 2010E. However, we note that Infinitrak has also become more involved in the development of a more general transmission, with broader market appeal, to spearhead its activities with external customers (i.e. outside MTD), and we would expect to see the market introduction of this in 2009.
Truck and Bus
In the truck and bus sector, Torotrak’s existing licence and engineering development programme with a leading OEM is progressing well, with noteworthy benefits by way of improved fuel efficiency and emissions. It is clear that the potential reach of the technology is greater than originally anticipated, and this agreement effectively demonstrates the scalability of the technology into the heavy-duty segment. This business unit should deliver short-and medium-term licence and engineering income, and future royalty income streams.
Off Highway
Two of Torotrak’s key licensees – Iseki and Carraro – are continuing their development work towards series production and market introduction, which we estimate will be in late 2010. There has also been some progress in the Fork Lift Truck (FLT) segment, with prototype transmission under internal evaluation in a customer vehicle. While the early feedback has been positive, in our model we assume no benefit from the FLT segment until 2010E, and we believe it would be prudent to assume no changes to this until the results of the prototype programme are clearer.
Automotive
In the Automotive sector, as part of a consortium (Jaguar, Ford, Prodrive, Ricardo, Flybrid), Torotrak has started work on its kinetic energy recovery system (KERS) for mainstream passenger cars. While there has been much development of the technology in the F1 arena, the timing of technology adoption into F1 remains somewhat uncertain. Although early days for this project, our earnings model currently assumes no benefit from this.
Torotrak is also working with Aisin AW on a number of development programmes for mainstream automotive. The focus has shifted over the last 12 months from the premium segment towards higher volume smaller car applications (benefiting from the development work with Infinitrak). We also note that the company has started work for a new small car transmission with another new Tier-1 supplier.
The work with Tata is continuing well. As we have commented in previous reports, the scope of the licence is beyond the entry-level vehicles, and now covers a significantly wider application of the technology across a broader product range. We expect the main revenue driver from this to be from engineering and licence fees in the medium term.
Earnings
The delay and slower start at Infinitrak, coupled with a more cautious outlook for OPE in the US against the difficult economic backdrop has led us to reduce our revenue estimates (although no changes at the earnings level). While we remain confident that the long-term prospects remain strong, essentially, the mix in earnings is changed, and we now assume a greater earnings contribution from engineering and licence fees. While our PBT estimates remain unchanged, we now assume revenues in 2010E of c.£4m (from £8.45m), and in 2011E of £11m (from £15.9m).
Chinese carmakers SAIC and Dongfeng have plans to acquire GM and Chrysler, China’s 21st Century Business Herald reports today. [A National Enquirer the paper is not. It is one of China's leading business newspapers, with a daily readership over three million.] The paper cites a senior official of China’s Ministry of Industry and Information Technology– the state regulator of China’s auto industry– who dropped the hint that “the auto manufacturing giants in China, such as Shanghai Automotive Industry Corporation (SAIC) and Dongfeng Motor Corporation, have the capability and intention to buy some assets of the two crisis-plagued American automakers.” These hints are very often followed with quick action in the Middle Kingdom. The hints were dropped just a few days after the same Chinese government gave its auto makers the go-ahead to invest abroad. And why would they do that?
A take-over of a large overseas auto maker would fit perfectly into China’s plans. As reported before, China has realized that its export chances are slim without unfettered access to foreign technology. The brand cachet of Chinese cars abroad is, shall we say, challenged. The Chinese could easily export Made-in-China VWs, Toyotas, Buicks. If their joint venture partner would let them. The solution: Buy the joint venture partner. Especially, when he’s in deep trouble.
At current market valuations (GM is worth less than Mattel) the Chinese government can afford to buy GM with petty cash. Even a hundred billion $ would barely dent China’s more than $2t in currency reserves. For nobody in the world would buying GM and (while they are at it) Chrysler make more sense than for the Chinese. Overlap? What overlap? They would gain instant access to the world’s markets with accepted brands, and proven technology.
21st Century Business Herald, obviously with input from higher-up, writes that Chinese industry must change and upgrade. China wants their factories to change from low-value-added manufacturing to technically innovative and financially-sound high-value-add industries. Says the paper: “It would be much easier now for strong Chinese automakers to go global by acquiring some assets of their U.S. counterparts in times of crisis.”
Deloitte & Touche sees a trend: “Chinese automakers can start with buying out the OEM projects and Chinese ventures of some global carmakers such as GM and Chrysler.”
The Chinese appear to have bigger plans than an accounting firm can imagine. 21st Century Business Herald acts and writes as if its already a done deal, and the beginning of more to come. “In the coming two years China is likely to see a few of its large Chinese automakers and other manufacturing enterprises set a precedent for achieving globalization by acquiring global companies, just like SAIC or Dongfeng’s possible acquisition of troubled GM or Chrysler.”
Just in case you missed it, the Shanghai Automotive Industry Corporation (SAIC) is China’s largest auto manufacturer. In 1984, the company entered a joint venture with Volkswagen. A decade later, SAIC entered a joint venture with General Motors. In 2007, SAIC bought the Nanjing Automobile Corporation, which had acquired British MG Rover in 2005.
Dongfeng Motor Corporation is a public company, although 70 percent of their shares are reported to be in government hands. They also are one of China’s Big Three. The company has numerous joint venture partners, such as Nissan, Peugeot-Citroen, Honda, and Kia. Dongfeng (which means “East Wind”) was founded at the behest of Mao Zedong himself in 1968.
Torotrak in line, reduces half-year losses
MoneyAM
Torotrak said today trading in the half-year ended 30th September 2008 was in line with market expectations and consistent with its July outlook.
The company said it had £9.7m in cash resources, with no debt, at 30th September 2008 (2007: £8.7m).
Revenue grew to £0.9m from £0.5m from increased levels of engineering activity with key customers, with strong weighting of revenues expected in the second half from existing and potential new licensees.
Torotrak losses were reduced to £1.9m from £2.4m, in line with expectations.
Dick Elsy, CEO, said: 'As a result of the success of our diversification strategy, Torotrak is experiencing an increased level of business development activity and despite the difficult economic environment, has made good progress. Production and sales of our first transmission in the outdoor power equipment market has proven the cost-effectiveness of full-toroidal traction drives and has enhanced the appeal of our technology across our markets. The long term nature of the commitment from our lead customers, together with Torotrak's sound financial position, means that we are well placed on our path to widespread commercialisation.'
Off Topic - Torotrak Interims out today
I am posting this bit of news as I believe that there are still some on this board who will be interested in what is the current position with “the other IVT”.
Full report at http://www.investegate.co.uk/Article.aspx?id=200811250700118365I
My own summary can be read on the Torotrak iHub board at http://investorshub.advfn.com/boards/read_msg.aspx?message_id=33786702
Lhasa
Torotrak Interims out today
Full report at http://www.investegate.co.uk/Article.aspx?id=200811250700118365I
My overall assessment is that the Interims are as good as we could have hoped.
Financial highlights:
*
£9.7m cash resources, with no debt, at 30 September 2008 (2007: £8.7m) provide a solid foundation of financial capital to underpin commercialisation
*
Growth in revenues to £0.9m (2007: £0.5m) from increased levels of engineering activity with key customers
*
Strong weighting of revenues expected in the second half from existing and potential new licensees
*
Losses reduced to £1.9m (2007: £2.4m) in line with expectations
My own chosen excerpts from the report:-
Outdoor power equipment
Infinitrak's continuing investment in new technology has been unaffected by the difficult near term trading outlook. A second transmission is now in development, which is a simpler, lower cost unit than the TTT with broad market appeal. This will make it an easier proposition to launch into current market conditions. The first vehicles equipped with prototypes of this transmission demonstrate strong advantages over competing products.
Truck and bus
The extent and reach of our technology for commercial vehicle applications is proving to be greater than originally envisaged when we began to target this market. Torotrak's technology is increasingly being seen as potentially transformational for commercial vehicle applications as it offers fuel consumption and emissions benefits as well as providing high levels of refinement and sophistication in the driving experience. Furthermore, the detailed design work being carried out for our first customer in this field continues to support the view that transmissions featuring Torotrak technology provide a strong cost advantage compared to the automatic gearboxes that are currently available in this market.
The potential for Torotrak's technology in the truck and bus market is considerable and represents a significant opportunity to deliver short to medium term licence and engineering income and, most importantly, future royalty income streams.
Off-highway
Our active licensees in the agriculture sector, Carraro and Iseki, both continue to make progress with their respective plans towards market introduction. We are also working with an emerging-economy customer, new to Torotrak, that is keen to engage in a development programme in this sector.
Our first programme in the material handling sector, a prototype fork lift truck transmission, has been successfully commissioned in the customer's vehicle and delivered to the client, a leading manufacturer in the global materials handling equipment market. This customer has been pleased with the performance of Torotrak's technology which has provided a highly competitive driving feel together with excellent levels of control. Within the scope of this first programme we have been able to demonstrate a range of innovative capabilities and features of the technology which reinforces its appeal. The client is about to commence their programme of internal evaluation and testing, which will determine the next stage of our commercial engagement with them.
Automotive
As previously reported, much of our focus in the small car market has been with Aisin AW, with whom we continue to work closely. Additionally, we have now commenced a feasibility study for a new small car transmission with another tier 1 automotive transmission and components manufacturer, that is a new client for Torotrak.
Tata has now selected its first target application of Torotrak's technology and we are currently helping their engineers with the early stages of specifying and configuring this application, in preparation for commencing detailed design and prototype implementation.
Lhasa
THE AUTO INDUSTRY BAILOUT [ON ICE]
Bailout compromise plan put on ice, but hope remains
Pelosi: 'Until they show us a plan, we can't show them the money'
WASHINGTON -- Democratic leaders of Congress today rejected a proposed bipartisan compromise that would have provided $25 billion in emergency federal aid to the Detroit 3.
Sens. Carl Levin and Debbie Stabenow, both Michigan Democrats, announced this afternoon that they were signing onto a Republican proposal to redirect $25 billion in loans aimed at helping automakers build more fuel-efficient vehicles. Instead, those funds would provide bridge loans to the Detroit 3 to help them address fiscal crises.
But before a news conference announcing that compromise, House Speaker Nancy Pelosi, D-Calif., Senate Majority Leader Harry Reid, D-Nev., and seven other Democratic leaders entered the room in which the event was to be held. They said they did not support the proposal.
THE AUTO INDUSTRY BAILOUT
Compromise reached in Senate on auto bailout
Key members of the U.S. Senate have reached a bipartisan deal to fund a rescue package for the Detroit 3, according to a spokesman for U.S. Sen. Carl Levin.
It remains unclear whether the senators have enough votes or when the matter will be taken up. It's also unclear if Senate Majority Leader Harry Reid, D-Nev., has signed on to the compromise.
Stocks climb back on new auto aid optimism
Thursday November 20, 2008, 2:29 pm EST
NEW YORK (Reuters) - Stocks clawed back from multiyear lows on Thursday after hopes of a deal to rescue U.S. automakers were revived, offsetting growing concerns about the deepening economic downturn.
A group of senators said a bipartisan agreement had been reached on a bill to aid automakers, news that sent shares of General Motors (NYSE:GM - News) shares up more than 15 percent to $3.29 on the New York Stock Exchange. Ford (NYSE:F - News) was up more than 22 percent to $1.51.
Earlier, the S&P 500 benchmark index had tumbled to a six-year low on worries about the carmakers' fate and the economic turmoil.
Ford and GM are well up on this news and hopefully the good news feeling will percolate down to Torvec in due course.
I am also grateful to dread for creating this forum. Remote here in Britain as I am it is difficult to get info about the company as even the company website is short on details. So this board does give me some insight as to what is going on and I am old enough to be able to sift out the irrelevant stuff.
Incidentally Artguy you said "What automotive companies will be left to deal with is anyone's guess at this point," so here are a few current snippets I have gathered about the dire state of the US Auto industry.
"Ford Motor has raised $540 million after selling 20 percent of its 33.4 percent stake in Mazda. Mazda said that its Executive Vice President Takashi Yamanouchi is slated to become its new president and CEO. The Japanese carmaker said two of the three Ford members on its board would leave."
"DETROIT -- General Motors will delay incentive payments to dealers next week in an effort to save cash.
The payments for dealer cash, customer cash and other incentives will be delayed from Nov. 28 until Dec. 11, Mark LaNeve, GM's vice president of North American sales, service and marketing, said in an interview with Automotive News.
Letters to dealers explaining the delay are to be sent today, LaNeve said.
He declined to estimate the amount of delayed payments. On average, GM spends about $3,600 per unit in incentives, according to Edmunds.com. Based on GM's U.S. October sales, the company sold about 84,000 vehicles in two weeks. That amounts to total incentive payments of about $302.4 million for two weeks."
"Generating liquidity is Rick Wagoner's No. 1 priority. Between June 30 and Sept. 30, General Motors burned through $6.9 billion in cash, leaving it only $16.2 billion. Given that GM needs $11 billion to $14 billion to operate, that means the company is just months away from running short of money unless the company receives federal assistance. Wagoner, GM's CEO, has given liquidity top priority."
"GM to sell stake in Suzuki to raise cash
General Motors will sell back its 3 percent stake in Suzuki Motor for $232 million as the struggling U.S. automaker seeks to raise cash. Suzuki said it would pay 1,363 yen per share -- the price at which its shares closed on Monday -- to buy back the 3.02 percent stake. "
There are on the other hand some who think the unthinkable and say that the big three should be allowed to fail. Americans will still need and buy cars and other companies will step in and expand their outputs to provide them, creating jobs for at least some of those made redundant. There will also be a continuing need for spare parts for all the autos already sold and running around which will keep lots of work for many existing auto employees.
A pointer to what might happen in the USA can be got by looking at what actaully happened when MG Rover in Britain folded. Three years on from the collapse of MG Rover in April 2005, 90% of workers who lost their jobs have found new employment, but most have taken significant pay cuts, researchers found. A study of a sample of the 6,300 workers ex-Rover workers who lost their jobs when the Longbridge plant here in the UK closed, found that two thirds have suffered wage falls - of an average of £5640 per year in real terms.
For the whole article look at http://www.aronline.co.uk/ and click on the "More" link in the box headed "News: 90% back in work". At the end of this article it concludes that:-
"The real lesson from the Rover experience, and one that we urge government to pay close attention to at this time of tremendous economic uncertainty, is that we must never again allow highly skilled, well paid manufacturing jobs such as these to be lost from our communities. As recession grips the UK we need our leaders to take swift and significant steps to protect our remaining manufacturing jobs. Our government must do all in its power to ensure the mistakes of Rover are not repeated."