| By Mark Glendenning | Sunday, March 30th 2014, 18:17 GMT |
Zach Veach took the first Indy Lights win of his career with a dominant performance in St Petersburg
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Sunday, March 30th 2014, 21:12 GMT |
Kurt Busch recovered from an early spat with Brad Keselowski to take his first NASCAR Sprint Cup win in two and a half years at Martinsville
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Mark Glendenning | Sunday, March 30th 2014, 22:18 GMT |
Will Power opened the 2014 IndyCar season with a commanding win on the streets of St Petersburg
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By David Evans | Saturday, March 29th 2014, 20:48 GMT |
World Rally champion Sebastien Ogier took victory in the Fafe Rally Sprint, in the Frenchman's first outing in the Portuguese event.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Peter Mills | Saturday, March 29th 2014, 20:36 GMT |
Team Engstler has signed former Formula Renault 3.5 race winner Pasquale Di Sabatino to complete its 2014 World Touring Car Championship driver line-up.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Mark Glendenning | Saturday, March 29th 2014, 23:27 GMT |
Takuma Sato secured pole position for the IndyCar season-opener at St Petersburg in delayed qualifying session.Takuma Sato backed up his early weekend speed by charging to pole for Sunday's IndyCar's season-opener in a rain-delayed qualifying session at St Petersburg.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
Ford CEO Alan Mulally is credited with turning the company around.
NEW YORK (CNNMoney)
Mulally was paid $23.2 million in 2013, up from about $21 million the previous year, Ford (F, Fortune 500) said in a regulatory filing.
For 2013, the automaker's earnings rose 26% to $7.2 billion. The company also shared its strong performance with its hourly factory workers with a record profit-sharing bonus of about $8,800 each.
Mulally became Ford's CEO in 2006 and is credited with turning the automaker around, allowing it to avoid the bankruptcy and federal bailout that rivals General Motors and Chrysler Group required during the recession.
Mulally is also highly regarded in the corporate world and rumors circulated earlier this year that he would be tapped by Microsoft (MSFT, Fortune 500) to replace retiring CEO Steve Balmer. But Mulally put those rumors to bed in January and said he would stay with Ford at least through 2014.
Ford is paying Mulally more than what GM (GM, Fortune 500) paid former CEO Dan Akerson in 2013. Akerson retired in January and was replaced by Mary Barra, whose pay package totals $14.4 million.
Mulally's base salary remains the same at $2 million. His raise comes from a bigger bonus and increase in stock awards. 
First Published: March 28, 2014: 4:45 PM ET
NEW YORK (CNNMoney)
A weekly collection of design, data and interactive links.
Design/Data viz
Commoditized Warfare | Part of Yosuke Ushigome's Commoditised Warfare series.
Confusion of the Stars | Soviet Lithuanian children's book illustration.
Patatap | Visualize sounds with your keyboard.
Cyber Warfare | Real-time map.
Flipboard Design Process | A look at how Flipboard automates its layouts.
Photo/Video
Romain Laurent | Animated photography.
Nintendo History | A look at Nintendo's 124-year history.
Point Cloud City | Google Street View depth map and openFrameworks.
Crazy Furniture | Making classroom furniture go crazy.
See last week's links
Have a nice weekend!
@dubly and @talyellin
First Published: March 28, 2014: 11:59 PM ET
Tesla is installing underbody fire shields to its Model S electric cars, though CEO Elon Musk insists the risk of fire is much less than with gas cars.
NEW YORK (CNNMoney)
Musk wrote in a blog post that Tesla has been installing the underbody shields on new Model S cars since March 6, in response to some highly publicized fiery accidents.
Tesla (TSLA) received a lot of attention for three fires involving its Model S. Musk, who founded the electric car company, said concerns about fire problems with his vehicles are overblown.
"It is important to note that there have been no fire injuries (or serious, permanent injuries of any kind) in a Tesla at all," he wrote. "The odds of fire in a Model S, at roughly 1 in 8,000 vehicles, are five times lower than those of an average gasoline car and, when a fire does occur, the actual combustion potential is comparatively small."
Related: Fuggetabout it! Tesla sales back on in New Jersey
Two of the three fires occurred from road debris, while the third fire occurred last year in Mexico "after the vehicle impacted a roundabout at 110 mph, shearing off 15 feet of concrete curbwall and tearing off the front wheel, then smashing through an eight foot tall buttressed concrete wall on the other side of the road and tearing off the right front wheel, before crashing into a tree," Musk wrote.
The driver walked away "with no permanent injuries" and the fire started several minutes later, according to Musk.
A National Highway Safety Administration probe of the fires was closed this week.
"Telsa's revision of vehicle ride height and addition of increased underbody protection should reduce both the frequency of underbody strikes and the resultant fire risk," the agency wrote in a report. "A defect trend has not been identified."
Related: Where you can buy a Tesla
After the crash, one of the drivers announced he intended to buy a new Tesla.
There were 25,442 Model S cars sold worldwide through the end of last year. Tesla expects to double sales this year.
Tesla stock took a temporary hit from the publicity about the fire although the stock has since recovered and is up 40% so far this year.
First Published: March 28, 2014: 9:56 AM ET
The BMW plant in Spartanburg, S.C., is expanding its output by 50%.
NEW YORK (CNNMoney)
The automaker said it plans to hire 800 additional workers at its Spartanburg factory, which would be an increase of 10%.
The plant already makes its luxury crossover SUV X series there, including the the X3, X5 and X6 models. And it is set to start production on the soon to be introduced X4 model. Friday's announcement included plans for another entry in the series, the larger X7.
Related: China's top luxury cars
The plant currently builds about 300,000 cars a year, and about 70% of that production is exported elsewhere in the world. That makes it the U.S. auto plant with the most exports.
But exports from U.S. plants have been growing across the industry. Japanese automaker Honda Motor (HMC) announced last year that it exported more cars from its U.S. plants than it imported into the U.S. market. And U.S. manufacturers General Motors (GM, Fortune 500), Ford Motor (F, Fortune 500) and Chrysler Group have all reported increased exports from its U.S. plants.
Related: BMW vs Tesla - The electric car race heats up
The plant opened in 1994, and this will be its fifth expansion since then.
The expansion will take capacity of the BMW plant up to 450,000 by the end of 2016. With the expansion, the plant is set to overtake BMW's largest plant, which is currently outside of Munich and builds about 340,000 cars a year.
First Published: March 28, 2014: 3:35 PM ET
NEW YORK (CNNMoney)
The nation's largest fast-food chain said the campaign, which kicks off on Monday, will give breakfast customers at its participating locations a free 12-ounce small coffee. And it will be up to each McDonald's location to decide if customers get just one cup or refills on the free coffee.
McDonald's (MCD, Fortune 500) coffee gimmick immediately follows competitor Taco Bell's highly-anticipated rollout this week of its first-ever breakfast menu, which it dubbed as the "largest menu expansion in Taco Bell's 50-year history."
Taco Bell's move could take a big bite out of Mickey D's breakfast sales. Taco Bell said its breakfast ambition is aimed at making the quick-service chain standout in the crowded breakfast market by introducing items other than the usual breakfast sandwiches to customers.
Taco Bell's breakfast menu includes the Waffle Taco -- a warm waffle wrapped around a sausage patty or bacon, with scrambled eggs and cheese and served with sweet syrup -- and the A.M. Crunchwrap. The Crunchwrap is a tortilla wrap filled with scrambled eggs, hash browns, melted cheese and bacon or sausage.
Related Story: McDonald's and Taco Bell rethink breakfast
Facing a sales slump, McDonald's recently said it was also considering expanding its breakfast hours. Breakfast at the restaurant typically ends in the late morning, aggravating some customers.
"We know that breakfast on the weekend cut off at 10:30 doesn't go very well," said Jeff Stratton, the chain's U.S. head. He said the company is "just beginning" to reconsider how to best serve up the meal.
McDonald's said the free coffee is its way of encouraging new guests to try McCafe Coffee and "surprising them in unexpected ways all year long."
The company said that starting in mid-April, it will surprise a Twitter (TWTR)follower every day for the year with McCafe coffee and prizes.
Breakfast wraps and sandwiches are already on the menu at Burger King, but the company said earlier this month it is testing a Chicken and Waffle Sandwich.
First Published: March 28, 2014: 9:12 AM ET
NEW YORK (CNNMoney)
Spokesman Alan Adler confirmed that the automaker has ordered a halt to sales of models with the 1.4-liter turbo engine, the most popular version of the compact car.
Adler did not know the reason for the halt, and said there has not been a recall issued on cars already sold. The order applies to about 20,000 Cruzes in total.
The news comes as GM contends with a damaging recall of 1.6 million small cars worldwide due to an ignition switch flaw that has been linked to at least 12 deaths. This stop order is minor in comparison to that recall, but comes at a bad time, as Congress and federal prosecutors probe why GM did not recall the cars for a decade after it discovered the problem. GM CEO Mary Barra, who has apologized repeatedly for the delays in the recall, is due to testify before Congress on Tuesday and Wednesday next week.
Related: GM - steps to a recall nightmare
But today's move could turn out to be a positive for GM if it shows that the company is responding more quickly to safety issues than it did in the past.
"GM has to do more than appear to be making changes. They need to have verifiable shifts in how they handle safety issues," said Karl Brauer, senior analyst for sales tracker Kelley Blue Book. "What's the big problem with the ignition switch -- that they didn't act quickly enough. Now they're responding at the first signs of any problem."
GM recalled about 300,000 of the Cruze vehicles in the U.S. in August of last year to fix a problem with its brake assist system.
The Cruze is one of GM's best selling models worldwide, with more than 2 million sold globally since it went on sale in 2009. GM sold 248,000 in the United States last year. Adler said the stop sales order is only for U.S. dealerships.
Related: Recall isn't GM's biggest problem
Adler said stop orders are not uncommon and can be for something as minor as a flaw in the window sticker, or as major as a problem that leads to a recall. But not all stop orders lead to recalls. What is unusual, according to Brauer, is for GM to issue a sales halt without giving a reason.
Also on Friday, GM recalled just under 700 Cadillac ELRs, the plug-in hybrid that is the luxury brand's version of the Chevy Volt. Only 55 of the cars have been sold to customers, Adler said, while the rest are on dealer lots.
The recalled ELR's have a calibration problem with their electronic stability control. Adler said the fix is a 20-minute software update.
Shares of GM (GM, Fortune 500) were higher in mid-morning trading, though the news briefly sent the stock down from earlier highs.
First Published: March 28, 2014: 10:45 AM ET
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NEW YORK (CNNMoney)
The Dow was the only major US index to end the week in positive territory after a decent 60-point rally on Friday.
Things looked promising on Friday as the Dow had been up nearly 150 points in late morning trading, but the early gains were scaled back by the end of the day -- and week. Even the blue chips were only able to garner 0.1% for the week. The S&P 500 and Nasdaq edged higher for the day as well, but finished in the red for the week overall.
The dicey markets resulted in a lot of stock winners and losers.
Biotechs continued to get hammered with Gilead Sciences, (GILD, Fortune 500) Biogen Idec, (BIIB, Fortune 500)Celgene (CELG, Fortune 500) all closing sharply lower.
Microsoft (MSFT, Fortune 500)was up sharply after it said Thursday that its Office software will be ready for use on the iPad. Trader MTNBIKEJON on StockTwits thought he had a hunch why "old tech" was prospering, " $MSFT What if the dot com bubble is over?"
Shares of Tesla (TSLA) were also higher. The company announced it will install fire shields under its Model S sedan.
Positive economic news. Better news on the U.S. economy and good reports from a number of major companies helped lift the market in the morning.
Consumer spending rose 0.3% in February, the biggest gain in three months. Personal income also gained 0.3% last month. In addition, this month's University of Michigan consumer sentiment index was in line with expectations.
Big week for IPOs. CBS Outdoor Americas (CBSO), the billboard arm of CBS (CBS, Fortune 500), started trading Friday and was up more than 5% from its offering price of $28 a share to close at $29.50. From the looks of it, "old media" still holds a place in the hearts of investors.
The IPO today with the biggest gain though was Energous (WATT), a wire-free energy routing company. Shares soared more than 70%.
Also an IPO winner: 2U (TWOU), a cloud-based education provider that rose more than 7%.
But it was a very different story for shares of Everyday Health (EVDY). Investors don't seem to have as good a prognosis for the online health-related content provider. Shares fell more than 3%.
And the most hyped IPO of the week, Candy Crush Saga maker King Digital (KING), continued to struggle. Shares fell another 2%.
BlackBerry continues to struggle. Shares of BlackBerry (BBRY) reversed course and fell more than 7% after surging this morning. The swing prompted Nightrade to say, "$BBRY just becomes Redberry!"
The mobile device maker reported a narrower-than-expected loss for its fiscal fourth quarter. New CEO John Chen is trying to reverse the company's fortunes, and said in a statement that BlackBerry is "on sounder financial footing today with a path to returning to growth and profitability."
Related: BlackBerry is one of the better performers this year in CNNMoney's Tech 30
But Smithatude is bearish, "$BBRY Is there anything left for Chen to sell? Copper piping? Sure isn't going to be telephones. Never too late to short BBRY. $3 Price target."
Still, DomDom spoke more favorably about the turnaround efforts, "$BBRY Chen has done an amazing job stabilizing the ship, but #'s are needed first and it will be some time before the stock moves on that."
More winners and losers. Shares of Restoration Hardware (RH)are climbing after the furniture goods seller reported better than expected fourth quarter earnings. sciuridae sounded pumped-up, "$RH Great company. Great breakout potential in here." But trader Kasaby was critical,"$RH Clearly an overreaction on weak fundamentals..."
Also on the radar, Wal-Mart (WMT, Fortune 500) sued Visa (V, Fortune 500) for $5 billion in a price fixing case related to credit card swipe fees. Retailers and credit card companies have been fighting over these fees for years, but this latest move comes with a potentially hefty price tag. Wal-Mart was essentially flat, while Visa was down 1.7%.
In the great "breakfast wars" McDonald's (MCD, Fortune 500) took a swipe at Yum! Brands (YUM, Fortune 500) and its Taco Bell unit by offering free coffee for 2 weeks. Taco Bell just started rolling out its first ever morning menu featuring the Waffle Taco. As abubnic said on StockTwits: "Those Waffle Tacos must be a threat. $MCD Fights Back With Free Coffee."
Related: Fear & Greed Index continues backslide into fear
European markets closed up, and most Asian markets closed out the trading day with gains, though the Shanghai Composite dipped by 0.2%.
First Published: March 28, 2014: 9:51 AM ET
Last year's data breach keeps hurting Target. S&P downgraded it one notch.
NEW YORK (CNNMoney)
The breach compromised credit card numbers and personal information of tens of millions of customers during the 2013 holiday season. Target (TGT, Fortune 500) has said the hack cost the company as much as $61 million in the final months of 2013.
S&P expects the breach to have a "somewhat lingering effect" on traffic at the retailer's stores through at least August of this year. Sales slowed in the most recent quarter, which ended Feb. 1.
Target recently said its ongoing investigation of the breach could turn up "additional information that was accessed or stolen."
But the agency also said Target's outlook is stable. Although the retailer lost $723 million in Canada last year, S&P expects those losses to narrow in 2014. The agency also considers costs due to the data breach to be "significant but manageable."
First Published: March 28, 2014: 5:22 PM ET
NEW YORK (CNNMoney)
Until today the recall included the Chevrolet Cobalt and HHR, the Pontiac G5 and Solstice, and Saturn Ion and Sky through model year 2007. Now the company is including all model years of those vehicles because faulty switches could have been installed as a repair after owners purchased one of the newer models.
About 95,000 faulty switches were sold to dealers and wholesalers and about 90,000 of those were used to make repairs, the company said.
The new recall adds to the 1.4 million vehicles already recalled in the United States.
In affected vehicles, the ignition can switch the car off while it is running, disabling the power steering and air bags. At least 12 deaths have been attributed to the issue. Although GM has recalled the vehicles, it has said they are still safe to drive if owners remove any extra weight from key rings.
Related: GM's steps to a recall nightmare
"Trying to locate several thousand switches in a population of 2.2 million vehicles and distributed to thousands of retailers isn't practical," said CEO Mary Barra in statement. "Out of an abundance of caution, we are recalling the rest of the model years," she said.
GM has been criticized for how it has handled the recall because it has admitted that some employees were aware of problems with the ignition switch in small cars at least as early as 2004. Barra will testify before a U.S. congressional subcommittee on April 1 as part of an investigation into the automaker's handling of the flawed ignition switch.
Owners who may have had a suspect part installed in their cars will receive a letter the week of April 21, according to the company. GM (GM, Fortune 500) dealers will replace the ignition switch for free and customers who had paid to have the switch replaced previously will be eligible for a reimbursement.
The National Highway Traffic Safety Commission urges impacted drivers to have their vehicles repaired promptly after receiving the notification from GM. In the meantime, the group advises them to follow GM's recommendation to use only the ignition key with nothing else on the key ring when driving the vehicle.
First Published: March 28, 2014: 6:16 PM ET
NEW YORK (CNNMoney)
Late in the day, GM said it had recalled 172,000 Chevrolet Cruzes "to replace a right front axle half shaft that can fracture and separate without warning during normal driving."
Hours earlier, the automaker said it had told dealers to stop selling those Cruzes but did not disclose what the problem was.
The recall covers some 2013 and 2014 models with the 1.4-liter turbo engine, the most popular version of the compact car.
The Cruze is GM's best selling car model in the United States, and is also sold internationally.
Even more seriously, General Motors is contending with a damaging recall of millions of other cars because of an ignition switch flaw linked to fatal crashes.
In fact, GM expanded its ignition switch recall on Friday to add 824,000 cars sold in the United States between 2008 and 2011. Until then, that recall had included cars only through model year 2007.
GM also said Friday that it had confirmed that one more death had been caused by the ignition switch problem, meaning it now believes 13 people have died in accidents related to the faulty switch.
GM Chief Executive Mary Barra said the switch recall now covers 2.2 million cars sold in the United States.
In affected vehicles, the ignition can switch the car off while it is running, disabling the power steering and air bags.
Although GM has recalled the vehicles, it has said they are still safe to drive if owners remove any extra weight from key rings. GM has said it will begin the repairs on April 7.
Congress and federal prosecutors are investigating why GM did not recall the cars for a decade after it discovered the problem.
Barra, who has apologized repeatedly for the delays in the recall, is due to testify before Congress on Tuesday and Wednesday.
She explained the expansion of the ignition switch recall in a statement Friday, noting faulty switches could have been installed as a repair after owners purchased one of the newer models
"Trying to locate several thousand switches in a population of 2.2 million vehicles and distributed to thousands of retailers isn't practical," Barra said. "Out of an abundance of caution, we are recalling the rest of the model years."
She added: "We are taking no chances with safety."
--CNNMoney's Chris Isidore, Katie Lobosco and Peter Valdes-Dapena contributed to this report.
Related: Wheels video series - BMW 535d
First Published: March 29, 2014: 8:41 AM ET
| By Mark Glendenning | Friday, March 28th 2014, 18:56 GMT |
Takuma Sato took the honours in the second practice session for this weekend's IndyCar season-opener at St Petersburg by edging out Graham Rahal to set the fastest time.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Mark Glendenning | Friday, March 28th 2014, 20:28 GMT |
IndyCar's most famous rivalry strayed off the track before the season-opener at St Petersburg as Penske and Ganassi engaged in an escalating war of words.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Friday, March 28th 2014, 21:38 GMT |
Kyle Busch snatched pole in a hectic NASCAR Sprint Cup qualifying session at Martinsville.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Gary Watkins | Thursday, March 27th 2014, 16:19 GMT |
Chrysler's decision to pull out of the Le Mans 24 Hours was motivated by a desire to focus on its attempt to win the United SportsCar Championship in 2014.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Ben Anderson | Thursday, March 27th 2014, 16:36 GMT |
Fernando Alonso feels uncomfortable discussing the merits of Formula 1's new regulations, because of the potential for disgruntled fans to turn their ire on him.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Thursday, March 27th 2014, 17:35 GMT |
Dino Zamparelli set the pace on the opening day of 2014 pre-season testing for the GP3 series at Estoril.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Glenn Freeman | Wednesday, March 26th 2014, 19:45 GMT |
Pietro Fantin topped the final day of Formula Renault 3.5 pre-season testing at Jerez on Wednesday
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Mark Glendenning | Wednesday, March 26th 2014, 20:03 GMT |
Denny Hamlin will return to racing at Martinsville this weekend after NASCAR received medical clearance from the Joe Gibbs Racing driver's doctors
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Gary Watkins | Wednesday, March 26th 2014, 22:14 GMT |
Audi reserve driver Marc Gene will race for the Jota Zytek LMP2 team in the Le Mans 24 Hours
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Jonathan Noble | Tuesday, March 25th 2014, 17:14 GMT |
Formula 1's new style of racing is more enjoyable, according to Australian Grand Prix winner Nico Rosberg.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Mark Glendenning | Tuesday, March 25th 2014, 16:02 GMT |
Rahal Letterman Lanigan's preparations for this weekend's IndyCar season-opener at St Petersburg suffered a setback when the team's transporter caught fire
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Tuesday, March 25th 2014, 22:54 GMT |
Oliver Rowland set the pace on the second day of Formula Renault 3.5 testing at the Jerez circuit on Tuesday
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Glenn Freeman | Monday, March 24th 2014, 16:25 GMT |
Carlin is prepared to take a sabbatical from Formula Renault 3.5 if it cannot put together a suitable financial package with drivers for the 2014 season
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Gary Watkins | Monday, March 24th 2014, 17:51 GMT |
Five-time Le Mans 24 Hours winner Derek Bell has been named as grand marshal for the Silverstone 6 Hours World Endurance Championship round next month
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Glenn Freeman | Monday, March 24th 2014, 20:03 GMT |
Jazeman Jaafar topped the opening day of the final Formula Renault 3.5 pre-season test at Jerez on Monday
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Sunday, March 23rd 2014, 21:20 GMT |
Valentino Rossi insists there was no sense of disappointment about missing out on victory to Marc Marquez in MotoGP's Qatar season-opener by just a quarter of a second.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Sunday, March 23rd 2014, 21:33 GMT |
Marc Marquez admits the crash-strewn start to this year's Qatar Grand Prix threw his confidence and convinced him to adopt a cautious early approach to his MotoGP title defence
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Sunday, March 23rd 2014, 22:52 GMT |
Kyle Busch held off a determined Kyle Larson to claim his first victory of the 2014 NASCAR Sprint Cup at Fontana Auto Club Speedway
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Saturday, March 22nd 2014, 20:03 GMT |
Alvaro Bautista admits he had expected to be fighting for the second row of the Qatar Grand Prix grid given the pace of the Open bikes during MotoGP practice.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Saturday, March 22nd 2014, 20:25 GMT |
Marc Marquez has downplayed his chances of taking victory in this year's MotoGP season-opener despite taking a surprise pole at Losail.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Saturday, March 22nd 2014, 21:58 GMT |
Valentino Rossi says his fourth row starting berth for MotoGP's season-opener in Qatar disguises the 'good step' he has made compared to 2013
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
Dayton basketball players celebrating their wins that crushed many fans' dreams of a perfect NCAA bracket.
NEW YORK (CNNMoney)
Long-shot wins by Mercer University over perennial powerhouse Duke, University of Dayton over Ohio State, Harvard over Cincinnati and North Dakota State over Oklahoma might have trashed your brackets. But 16 unknown contestants got all four upsets right, along with 16 other games completed through 4:30 p.m. ET Friday.
"We're excited. We want a winner," said John Perich, spokesman for Quicken Loans, one of the sponsors of the contest.
Quicken and co-sponsor Yahoo (YHOO, Fortune 500) won't be on the hook for any extra money if someone does win their perfect bracket challenge. That's because they have an insurance policy sold to them by Warren Buffett's Berkshire Hathaway (BRKA, Fortune 500), which will cover the cost of any prize money.
The companies are not disclosing how many people entered the challenge.
Going into the tournament, the chance of winning $1 billion in the NCAA brackets was the ultimate long-shot -- 9.2 quintillion to one by some estimates.
The chances of winning dropped to zero after the very first game Thursday for an estimated 84% of the fans who picked Ohio State to beat the University of Dayton.
The slim chance that anyone was going to claim the prize got even slimmer with the first game Friday afternoon, when perennial powerhouse Duke lost to upstart Mercer University. About 98% of fans had picked Duke to win that game.
And despite that, 16 people are still perfect.
Related: College basketball's real billion-dollar winners
The odds of anyone picking a perfect bracket are subject to debate. The 9.2 quintillion estimate assumes each team has a 50% chance of winning every game, which past practice suggest is not the case. Others have put the odds at 7.4 billion to 1, or 42 times worse than your chance of winning the Powerball lottery.
"There is no perfect math...There are no true odds, no one really knows," Buffett told CNN in January when the challenge was announced.
One of the things that makes it so hard to pick a perfect brackets is that every year there are upsets like the Dayton-Ohio State game.
It is still possible that no one will make it out of the first round alive -- CBS Sports, which runs one of the bigger bracket challenges, reports that in the past two years the last remaining perfect brackets were eliminated in the 22nd and 23rd games of the tournament. ESPN reports that of the roughly 30 million entrants it has had over the 13 years, no one has come close to a perfect bracket, and that only one person has had a perfect first round in the last seven years.
"I don't want to say it's impossible, but it's basically impossible," said John Diver, director of product development for ESPN Fantasy
So Buffett probably didn't have to worry about paying $1 billion heading into the tournament. But with 16 people dodging four big upsets, he might be a bit more nervous than he was Thursday morning.
First Published: March 21, 2014: 11:53 AM ET
The fight over swipe fees stems from new laws enacted after the U.S. financial crisis.
WASHINGTON (CNNMoney)
The U.S. Court of Appeals for the District of Columbia Circuit struck down a lower court ruling that sided with retailers saying the Fed should lower fees even more.
The ruling is a win for the Federal Reserve and the banks. For consumers, nothing is expected to change.
The fight over swipe fees stems from new laws enacted after the U.S. financial crisis. Congress ordered the Federal Reserve to ensure that fees to process debit card purchases were "reasonable." At that time, the average fee per transaction was about 40 cents.
After initially proposing to limit fees to 12 cents, the central bank issued a final rule in 2011 that capped fees at 21 cents.
Soon after, the National Association of Convenience Stores and the National Retail Federation filed a lawsuit against the Fed, saying that the fees should be lower.
It was not clear that consumers got any of the savings. One industry-sponsored survey found that 67% of retailers kept prices the same or raised them instead of passing on savings to customers, according to the Electronics Payments Coalition, a group of banks and credit unions.
A 2013 report by the retailers, called the Merchants Payments Coalition showed that swipe fee caps saved consumers $5.8 billion in 2012 through lower costs for goods and services.
But banks Bank of America (BAC, Fortune 500) , J.P. Morgan Chase (JPM, Fortune 500) and Wells Fargo (WFC, Fortune 500) took big hits to revenue. The banks tried to charge new debit card fees, but public outrage caused them to reverse course.
Related: Big Wall Street bonuses are back
The ruling also impacts charge card processors Visa (V, Fortune 500) and Mastercard (MA, Fortune 500), which collect swipe fees for the banks and keep a portion for use of their payment networks. Shares of Visa rose 4% in trading in Friday. MasterCard was down 1%.
A Federal Reserve spokesperson said the Fed board is "pleased with the outcome of the appeal."
-- CNN's Bill Mears contributed to this report.
First Published: March 21, 2014: 12:10 PM ET
Visa and MasterCard have shut down some operations in Russia.
LONDON (CNNMoney)
Three Russian banks reported Friday that Visa (V, Fortune 500) and MasterCard (MA, Fortune 500) cards were not working for the banks' customers.
Western financial institutions are reacting to U.S. sanctions designed to punish some of the top people in Russian President Vladimir Putin's inner circle.
The sanctions ban transactions with several named individuals, and one of the banks -- Bank Rossiya.
MasterCard said it stopped offering card services at three Russian banks -- Bank Rossiya, Sobinbank and SMP Bank -- in accordance with the sanctions. Other operations in Russia continue normally, it said.
Sobinbank is a subsidiary of Rossiya, and SMP Bank is controlled by two of the named individuals.
Visa was not available for comment.
Russian oligarchs, banks and corporations have borrowed heavily from the West, underscoring the risks for both sides in escalating the Ukraine crisis.
Total Russian foreign debt stood at $732 billion at the end of 2013, up by nearly $200 billion over two years. Russian companies continue to tap Western finance but analysts say banks may become wary about taking on new business given the risk of more far-reaching sanctions in the future, or retaliation by Moscow.
"Foreign investors may anticipate further official action and restrict Russian entities' access to external financing," noted ratings agency Fitch. "In a worst-case scenario, the US may prevent foreign financial institutions from doing business with Russian banks and corporates."
Several European and U.S. banks declined to comment on whether they were changing their approach to Russia.
Bank of America (BAC, Fortune 500), Deutsche Bank (DB) and ING (ING) said they would honor any U.S. sanctions.
"It is our long-standing policy to comply with any official U.S. government sanction against any country or individual, and we will do so in this case," Bank of America said in a statement.
Deutsche Bank said: "We are following developments and will apply any sanctions, if appropriate, as directed by the relevant authorities."
Related: U.S. sanctions on Russia begin to bite
U.S. banks have lent relatively little to Russia, at just $37 billion, or about 0.25% of assets, according to data from the Bank for International Settlements.
Bank of America called its $6 billion in credit exposure to Russia "modest", compared to its total exposure of more than $1.9 trillion.
European bank lending to Russia is much larger, at $184 billion, or 0.4%, of total banking industry assets.
French banks have lent the most, with a total of $51 billion, followed by Italy, Germany, the U.K. and the Netherlands. Austria is also significantly exposed, relative to the size of its banking sector.
Economists at Deutsche Bank said foreign financial institutions could suffer if Russia decided to freeze assets in retaliation for sanctions, or if the creditworthiness of Russian borrowers declined as a consequence of an escalation in the crisis.
But the risks to the European banking sector would be tightly concentrated in a small number of banks. "Lending outside the euro area is not an operation on which 'bread and butter' institutions would easily embark," they said.
The sanctions are part of a strategy by the West to exert pressure on Russia for annexing Crimea.
First Published: March 21, 2014: 12:41 PM ET
Credit Suisse settled a lawsuit with the FHFA over mortgage-back securities.
NEW YORK (CNNMoney)
The Swiss bank will pay $885 million to settle two lawsuits with the Federal Housing Finance Authority (FHFA) over $16.6 billion of mortgage-backed securities it sold between 2005 and 2007.
Credit Suisse is one of 18 banks and financial institutions sued in 2011 by the agency, which accused them of selling risky mortgage investments to backers Fannie Mae and Freddie Mac.
The settlement with Credit Suisse announced Friday is the ninth related to those lawsuits. Morgan Stanley (MS, Fortune 500) agreed to pay $1.25 billion in February and Deutsche Bank (DB)reached a $1.9 billion settlement in December. Societe Generale agreed to pay $122 million to the FHFA two weeks ago.
Related: Credit Suisse helped clients hide billions from IRS - Senate report
Though Credit Suisse agreed to pay, it did not admit to any wrongdoing, according to the settlement.
The payment will result in an aftertax charge of $311 million for 2013, which will result in a net loss for the final quarter of last year.
First Published: March 21, 2014: 3:42 PM ET
Jawbone, Logitech and Sonos: Three portable speakers that rock.
(Money Magazine)
Here, three portable versions that rock.
BEST FOR TRAVEL
Jawbone's Mini Jambox: $180
Battery life: Up to 10 hours.
Why it's a buy: At just 2.3-by-6 inches and weighing a half-pound, this speaker fits in a tiny carry-on yet is powerful enough to fill your hotel room with sound.
Like all the models we tried, the Jawbone connects wirelessly to your device. To control the music, use your phone or computer, or, for simple adjustments, such as changing volume and skipping a track, hit the buttons directly on the speaker.
BEST STEREO REPLACEMENT
Sonos's Play:1: $200
Battery life: Plug only.
Why it's a buy: The Sonos is the audiophile's choice, with volume and sound quality that blow away the competition. Indeed, this 6.4-by-4.7-inch speaker is the only one in our test that deserves a slot in your stereo or home theater setup.
Related: Is Siri safe for your car?
One caveat: Unless you purchase a separate $49 "bridge" gadget that uses Wi-Fi, the Sonos requires a cable to connect to your Internet service.
BEST FOR OUTDOORS
Logitech's UE Boom: $200
Battery life: Up to 15 hours.
Why it's a buy:This slim speaker blasts music in a 360-degree radius and has a water-resistant skin, making it a go-to for picnics or pool parties.
Like the Jawbone, the 7.1-by-2.6-inch Logitech can also act as a speakerphone, though you must answer or end each call by touching the actual phone.
MANAGE YOUR MUSIC
Don't let your digital library slip into disarray. Here's how to keep your tunes user-friendly:
Zap duplicates. iTunes often registers multiple copies of the same song (usually because it has been saved to more than one folder).
To fix this, click the "View" menu, select "Show duplicate items," then delete the repeats.
Digitize everything. If you still have some old CDs kicking around, try a conversion service. For between 69¢ and $1 per disc, companies like MusicShifter and Murfie will convert your music to MP3 or other digital formats.
Create playlists. Is "Shuffle" too jarring? Make it simple to listen to only what you want by making lists by genre, mood, or activity. On iTunes, try Genius, which lets you pick a track, then creates a playlist filled with similar songs.
First Published: March 21, 2014: 4:10 PM ET
NEW YORK (CNNMoney)
The agency audited 1.4 million people last year, down 5% from 2012 and the lowest number of audits conducted since 2008, according to IRS statistics released Friday.
The IRS blamed its shrinking budget for the drop-off, saying "an ongoing decline in appropriate funding presented challenges."
Related: 10 tax audit red flags
Since 2010, the agency's budget has been reduced by almost $1 billion and around 10,000 employees have been cut. Under the 2014 budget, the IRS will receive $11.3 billion -- nearly $2 billion less than the White House had requested for the agency and a $526 million drop from 2013.
Meanwhile, government spending cuts last year forced the IRS to furlough workers without pay for three days, making it even harder for the agency to keep up with its workload.
To cut costs, the IRS has been conducting more audits by mail than in person. Last year, more than three-quarters of examinations were correspondence audits, and the rest were field audits -- meaning they were conducted at an IRS office or a taxpayer's home.
Related: Quiz - 7 surprising 2014 tax facts
And while the overall number of audits was low, at around 1% of all taxpayers, there are still certain groups that aren't getting a break.
One of those groups is the rich: About 9% of taxpayers with income between $1 million and $5 million were audited last year, and that rate rose to 16% for those with income between $5 million and $10 million. For the nation's top earners, with income over $10 million, the audit rate was 24%.
Business owners are also more likely to be audited, and so are taxpayers who claim a home office deduction or the Earned Income Tax Credit. Reporting -- or failing to report -- a foreign bank account could also lead to additional scrutiny, as the IRS continues to crackdown on people hiding offshore income.
Related: Tax season unleashes cyberscams
In addition to being unable to conduct as many audits, the agency's taxpayer assistance has been deteriorating, the National Treasury Employees Union said in a statement Friday.
"We are seeing the results of these reductions in staffing, particularly in customer service, all across the country," NTEU president Colleen Kelley said. "Both taxpayers and employees are frustrated by the lengthy lines at Taxpayer Assistance Centers and the long telephone hold times for those who call the IRS with a question."
First Published: March 21, 2014: 4:58 PM ET
Reed Hastings says Netflix is "reluctantly" paying for faster connections to broadband networks.
NEW YORK (CNNMoney)
Hastings sounded off Thursday on the likes of Verizon (VZ, Fortune 500), Comcast (CMCSA, Fortune 500) and others, accusing them of "sacrific[ing] the interests of their own customers" in demanding fees to ensure quick delivery of content from Netflix (NFLX) and other data-intensive services.
The dispute flared up earlier this year following news that Netflix streaming speeds for customers of major ISPs were slowing, as these firms attempted to extract a fee from Netflix in exchange for connecting directly to their networks and resolving the issue.
Netflix announced an agreement with Comcast last month under which it will indeed pay for a connection, and has been in talks with Verizon as well.
Hastings said his company was engaging in these talks "reluctantly." He accused the ISPs of abusing their market power and short-changing customers.
Related: New chapter begins in net neutrality fight
But the ISPs tell a very different story. They point to the fact that Netflix generates a massive amount of data consumption -- around a third of traffic online during peak hours -- while sticking them with the ever-increasing delivery costs.
The National Cable and Telecommunications Association says just one percent of broadband subscribers -- primarily heavy streaming-video users -- consume nearly 40% of bandwidth going into homes.
Other big tech companies, including Microsoft (MSFT, Fortune 500), Google (GOOG, Fortune 500) and Facebook (FB, Fortune 500), already have paid-connection deals with big ISPs. Comcast vice president David Cohen said in response to Hastings that these arrangements "have been an essential part of the growth of the Internet for two decades."
Dan Rayburn, an industry analyst at Frost & Sullivan, says it's not clear that the ISPs are to blame for customers' lagging Netflix speeds. In a blog post Friday, he noted that Netflix has the option of rerouting the traffic it sends to ISPs when congestion occurs at one connection point.
The heart of the problem is that high-speed Internet networks are extremely expensive to deploy. There aren't many companies with the resources to do it, and there isn't enough competition in most regions to push ISPs to quickly upgrade their infrastructure.
Paid-connection deals like the one between Comcast and Netflix are part of the way the broadband industry wants to address this issue. But Hastings says this cost-sharing doesn't make sense if the ISPs aren't also willing to share subscription revenue.
"When an ISP sells a consumer a 10 or 50 megabits-per-second Internet package, the consumer should get that rate, no matter where the data is coming from," Hastings wrote in his blog post.
Related: Court strikes down net neutrality rules
ISPs have accused Netflix of "dumping" data onto their networks, a characterization that Hastings rejected.
"Netflix isn't 'dumping' data; it's satisfying requests made by ISP customers who pay a lot of money for high speed Internet," Hastings wrote. "If this kind of leverage is effective against Netflix, which is pretty large, imagine the plight of smaller services today and in the future."
Going forward, broadband providers would like to move to a tiered pricing structure for customers depending on how much data they consume, similar to those offered by mobile carriers.
"[I]t's unfair to ask lighter users to subsidize super-user activity," the NCTA says.
But part of that formula will likely involve letting content providers subsidize consumer data consumption that goes toward their services. AT&T announced this kind of "sponsored data" program earlier this year for the mobile Web. The worry with this system is that it favors established companies that can pay up for speedy delivery of their content, putting smaller firms at a disadvantage and potentially stifling innovation.
"On a tiered Internet controlled by the phone and cable companies, only their own content and services -- or those offered by corporate partners that pony up enough 'protection money' -- will enjoy life in the fast lane," the advocacy group Free Press says.
First Published: March 21, 2014: 5:34 PM ET
Letting your house slip behind your neighbors' could lower your home value and cost you when you sell.
(Money Magazine)
"You never want to exceed the neighborhood norm, but you definitely want to stay up with it," says John Bredemeyer, an appraiser in Omaha.
Must-haves and deal breakers
Home shoppers have strong opinions about what they do -- and don't -- want in a house.
| BUYERS WHO WANT | |
| Laundry room | 93% |
| Bathroom linen closet | 90% |
| Eat-in kitchen | 85% |
| BUYERS WHO DON'T WANT | |
| Wine fridge | 42% |
| Game room | 31% |
| Outdoor kitchen | 31% |
Source: National Association of Home Builders, 2013.
Bringing your home up to speed doesn't have to mean a massive, six-figure renovation. Small-scale projects that address some typical flaws of older homes can do double duty: They'll make your home more attractive when it's time to sell, and turn it into a more comfortable place for you to live.
These three upgrades all cost $5,000 or less.
Expand your closets. Homes built before the mid-1970s often share a frustrating problem: nowhere to put stuff. Small, one-rod closets are a prime offender and a big turnoff for buyers, says Rockaway, N.J., realtor Ellen Klein. Make the most of these spaces by installing an organizing system equipped with additional rods, shelves, baskets, and more, available at big-box home stores (starting at $50 per closet). For those who would prefer to use a pro, firms like California Closets handle the installation, starting at $500 or so.
Calculator: Was my home a good investment?
Look for places to add closets or other storage areas. Building a closet into the existing footprint of a room usually costs less than $2,000. If you have a bedroom with a centered window, Jason Gettum, a design and remodeling contractor in Indianapolis, suggests installing a closet on each side and creating a window seat between them.
No extra room in the bedroom? You may be able to break through the wall into a smaller room or an unused space that can be converted into a closet. Expect to spend at least $2,500.
Open up the kitchen. Today's kitchens serve as a favorite spot for families and guests to congregate, but that hasn't always been the case. "Previously the only thing that happened in kitchens was cooking," says Bredemeyer, noting that in older homes the room is often small and closed off.
Related: Cut the cost of home maintenance
Say you're already planning to renovate or at least freshen up your kitchen with new countertops or appliances; you may want to expand the project to include removing the wall between the kitchen and dining or living area.
Assuming you don't need to move pipes or build new structural support, the removal will most likely add $2,000 to $5,000, including the cost of refinishing the affected floor, ceiling, and walls.
Some kitchens may already have an opening into the next room, often created by a "peninsula" countertop that extends from one wall. But when this area is lined with overhead cabinets, the room can still feel boxed in. Having these cupboards removed is relatively simple and should cost only $500 to $1,000. Worried about losing storage space? Max out your remaining cabinets by installing dividers or roll-out drawers, says Bredemeyer.
Get the laundry out of the basement. You may have grown accustomed to schlepping your dirty clothes down to the depths of your home, but potential buyers probably won't be so keen on the idea.
Installing a washer and dryer on the second floor, close to bedrooms and bathrooms, is becoming increasingly popular, says Lou Mihalko, president of a general contracting firm in Johnstown, Pa.
The cheapest way to do this is to stack two front loaders in a closet or corner (you'll need at least a three-by-three-foot space) that abuts the bathroom, minimizing the necessary plumbing work. Cost: about $2,500, not including the units. Or say you have a small bedroom that doesn't get much use. It's possible to split and remodel that space, using half for a laundry room and half to create a walk-in closet, says Mihalko. You should plan to spend a minimum of $4,000 on the conversion.
Considering a bigger project, like building a new downstairs bathroom? Think about adding an adjoining laundry room at the same time. Yes, you'll pay around $25,000 for the new bath, but the laundry room will add just $5,000 or so to your total. The investment should pay off when it's time to sell, and in the meantime, no more trudging down to the basement!
First Published: March 21, 2014: 4:07 PM ET
The administration may let some people finish their Obamacare applications after March 31
NEW YORK (CNNMoney)
Administration officials have repeatedly said they are not extending the open enrollment deadline. But they are now considering giving those who start applying for health insurance by month's end additional time if they run into technical trouble during the application process. A similar grace period was put in place in December to allow applicants to sign up in time to obtain coverage by Jan 1.
"As was the case for the December deadline, we're going to want to make sure that people who are already in line can finish their enrollment," Press Secretary Jay Carney said Friday.
Back in December, some people who missed the deadline on the 23rd were given an extra day if they had started their applications but couldn't pick a plan because of technical issues. The federal exchange saw record-high traffic on Dec. 23.
Eligible applicants were directed to the federal exchange call center for instructions on how to obtain coverage in the new year. The 14 states running their own exchanges instituted their own extensions, some beyond the 24th.
"We are preparing for a surge in enrollment, and if consumers are in line on the 31st and can't finish, we won't shut the door on them," said Dept of Health and Human Services spokeswoman Joanne Peters.
"To be clear, if you don't have health insurance and do not start to sign up by the deadline, you can't get coverage again until next year," she said.
Administration officials have said they expect a similar last-minute crush to exchange websites as the March 31 deadline approaches.
Some states running their own exchanges are already giving applicants more leeway. The Nevada Health Link board decided Thursday to create a special enrollment period for people who are not able to complete the process by month's end. Those who apply online, by phone or through paper forms but run into technical issues have until May 30 to finish signing up.
Americans who don't have insurance this year will face a penalty of $95, or 1% of income, whichever is greater.
More than 5 million people have picked plans, with more than 800,000 signing up in the first half of March alone. The administration and consumer advocates are doing a final outreach push before the final deadline.
-- Additional reporting by CNN Senior White House correspondent Jim Acosta
First Published: March 21, 2014: 4:37 PM ET
NEW YORK (CNNMoney)
The $1 billion prize for a perfect NCAA bracket that his Berkshire Hathaway (BRKA, Fortune 500) was backing will go unclaimed.
None of the fans who signed up for the perfect bracket challenge sponsored by Quicken Loans and Yahoo Sports made it out of the first round of 32 games played without at least one mistake. The two firms would not say how many fans entered the free contest.
Buffett sold an insurance policy to Quicken Loans and Yahoo (YHOO, Fortune 500) which would have compensated them if they had to pay out the 10-figure sum.
One estimate puts the odds of picking a perfect bracket at 9.2 quintillion to one -- an awkward, rarely-used number that can also be thought of as 9.2 billion-billion. Those odds are longer than the likelihood of winning Powerball and Mega Millions in the same weekend.
Related: College basketball's real billion dollar winner
But the 9.2 quintillion estimate assumes each team has a 50% chance of winning every game, which is probably not the case. Others have put the odds at a marginally better 7.4 billion to 1. That's 42 times worse than your chance of winning Powerball.
"There is no perfect math...There are no true odds, no one really knows," Buffett told CNN in January when the challenge was announced.
The odds became even longer with upsets this week. In Thursday's opener, 84% of fans picked Ohio State to win, only to see the University of Dayton upset its rival. Then on Friday upstart Mercer University knocked off perennial powerhouse Duke, which was the choice of 98% of fans with Yahoo brackets.
The tournament is so popular partly because of the history of first-round upsets that play havoc with fans' brackets.
Related: More billionaires pledge to give away fortunes
CBS Sports, which runs one of the bigger bracket challenges, says that in the past two years its final perfect brackets were eliminated in the 22nd and 23rd games of the tournament, or about two-thirds of the way through the first round.
ESPN reports that of the roughly 30 million entrants it's had over the 13 years, no one has come close to a perfect bracket, and that only one person has had a perfect first round in the last seven years.
"I don't want to say it's impossible, but it's basically impossible," said John Diver, director of product development for ESPN Fantasy.
First Published: March 22, 2014: 9:51 AM ET
| By Gary Watkins | Friday, March 21st 2014, 19:07 GMT |
Former FIA GT1 World Champions Marc Basseng and Markus Winkelhock will return to the championship in its latest guise as the Blancpain Sprint Series
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By David Evans | Friday, March 21st 2014, 19:29 GMT |
Pictures have emerged from Toyota's first test of the Yaris WRC in Italy this week
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Saturday, March 22nd 2014, 02:01 GMT |
Matt Kenseth captured his first pole of the 2014 NASCAR Sprint Cup following a close-fought qualifying session at Fontana Auto Club Speedway
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Matt James | Thursday, March 20th 2014, 17:15 GMT |
Alain Menu says that the opening British Touring Car Championship meeting of the season at Brands Hatch on March 30 will be an extended shakedown for him
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Jonathan Noble | Thursday, March 20th 2014, 17:00 GMT |
McLaren is eyeing a half-second per lap improvement for the Malaysian Grand Prix, but knows it will not totally close the gap to Formula 1 pacesetter Mercedes
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Thursday, March 20th 2014, 18:03 GMT |
Aleix Espargaro continued his storming start to 2014 by topping the first practice session of the year in Qatar
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Jonathan Noble | Wednesday, March 19th 2014, 17:08 GMT |
Red Bull believes it can make a massive step forward in form once engine partner Renault gets on top of its ongoing problems in Formula 1
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Sam Tremayne | Wednesday, March 19th 2014, 16:25 GMT |
McLaren will instigate a "very aggressive" development push in a bid to close its deficit to Formula 1 rival Mercedes, according to its new racing director Eric Boullier
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Wednesday, March 19th 2014, 16:39 GMT |
Marc Marquez believes it would be foolish to say he can win MotoGP's Qatar Grand Prix season-opener this weekend given his leg injury
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Jonathan Noble | Tuesday, March 18th 2014, 16:17 GMT |
Red Bull believes there is no obvious explanation as to why Sebastian Vettel had the brunt of his Formula 1 team's reliability problems in Australia.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Matt James | Tuesday, March 18th 2014, 17:24 GMT |
Reigning champion Andrew Jordan was the fastest man in the official British Touring Car Championship test session during media day at Donington Park
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Mark Glendenning | Wednesday, March 19th 2014, 00:04 GMT |
Will Power remained on top in the second and final day of IndyCar testing at Barber Motorsports Park on Tuesday
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Monday, March 17th 2014, 16:02 GMT |
Formula E has agreed a deal with ITV4 that will ensure free-to-air live television coverage for all 10 rounds of its inaugural championship.
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Monday, March 17th 2014, 15:40 GMT |
Gary Bettenhausen, a 25-time Indianapolis 500 participant and a member of one of US single-seater racing's prominent families, has died in Indiana at the age of 72.
Bettenhausen, son of 1940s and '50s racing great Tony, was a regular at the 500 between 1968 and '94, qualifying for the race on all but five occasions.
He never managed to win, although he made a place for himself in the event's history books by becoming one of the small club of drivers to have set the fastest qualifying time for the race without starting from pole.
In Bettenhausen's case, it happened in 1991, 30 years to the day after his father was killed at the same track. His 224.468mph effort was better than Rick Mears' 224.113mph pole time, but came 24 hours too late.
His brother Tony Jr, who also raced and owned a CART team, observed at the time that "it was typical Bettenhausen luck. High speed. Wrong day."
Bettenhausen's best result at Indy came in 1980, when he raced through the field from 32nd on the grid to finish third, although he led for 138 laps in 1972 before dropping out with an ignition failure.
In addition to his IndyCar exploits, Bettenhausen also dabbled in NASCAR and made eight Winston Cup starts; a dalliance that resulted in four top-10 finishes and a best result of fourth at Michigan in 1974.
Tony Jr was killed in a plane crash in 2000, while another brother, Merle, was badly injured in his only Champ Car start at Michigan in 1972.
| By Peter Mills | Monday, March 17th 2014, 19:09 GMT |
Lada completed a maiden test of its 2014-spec Granta TC1 World Touring Car at Magny-Cours last week
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Ben Anderson | Sunday, March 16th 2014, 13:46 GMT |
The FIA says Red Bull ignored requests to reduce the fuel flow rate of Daniel Ricciardo's car during the Australian Grand Prix
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Jonathan Noble | Sunday, March 16th 2014, 13:48 GMT |
The Red Bull Formula 1 team has no doubts that its fuel flow rate was within the maximum limits laid down by the FIA, despite its exclusion from the Australian Grand Prix
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| Sunday, March 16th 2014, 20:33 GMT |
The NASCAR Sprint Cup race at Bristol Motor Speedway has been red-flagged at quarter-distance due to rain, with Matt Kenseth leading
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Jonathan Noble and Stuart Codling | Saturday, March 15th 2014, 17:22 GMT |
Formula 1 drivers say all they can do is hope that 'lift and coast' tactics do not cause any safety issues in the Australian Grand Prix
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Gary Watkins | Saturday, March 15th 2014, 19:15 GMT |
The Sebring 12 Hours was briefly red flagged early in the fifth hour after an incident involving two Prototype Challenge cars at the final corner
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
| By Gary Watkins | Saturday, March 15th 2014, 20:55 GMT |
The Extreme Speed Motorsports HPD squad led the Sebring 12 Hours under the safety car at half distance
You have viewed over 20 free stories this month. Why stop there? Click here to find out how to continue reading.
Elon Musk is sending NJ customers to New York or Pennsylvania after Garden State bans direct sales of the cars.
NEW YORK (CNNMoney)
The Tesla CEO lashed out at New Jersey -- and particularly Gov. Chris Christie -- in a company blog post Friday, three days after a state agency agreed to ban the electric car company from selling vehicles directly to customers in the Garden State.
"The rationale given for the regulation change that requires auto companies to sell through dealers is that it ensures 'consumer protection,' Musk wrote. "If you believe this, Gov. Christie has a bridge closure he wants to sell you" -- referring to the closure of the George Washington Bridge last September, allegedly instigated for political reasons by aides to Christie.
Musk wants to sell the cars at Tesla stores instead of going through a franchised car dealership, and has been doing so at two locations in New Jersey for about a year. But a vote by the state's motor vehicle commission on Tuesday makes that illegal, effective April 1.
After that date, Musk encourages New Jersey residents to visit Tesla stores in Manhattan or in King of Prussia, Pa., or to buy a Tesla car online and have it delivered. The New Jersey stores will become galleries where people can view Tesla's Model S and ask questions about the car, but not purchase the vehicle. Its service centers will not be affected.
Related: NJ agrees to ban Tesla's direct sales
Musk claims that the auto dealer lobby "cut a backroom deal with the governor to circumvent the legislative process."
But Jim Appleton, the president of the New Jersey Coalition of Automotive Retailers, also known as NJ Car, say there was no backroom deal. In fact, the vote taken by the motor vehicle commission "simply conforms their regulations with existing state law."
The governor's office Friday stood by what it has been saying all along, that if the law is to be changed, it should be done so through the legislature.
"This administration does not find it appropriate to unilaterally change the way cars are sold in New Jersey without legislation and Tesla has been aware of this position since the beginning," said spokesman Kevin Roberts.
Advocates of the law say it aims to encourage price competition and ensure customers have access to warranty and recall services.
But Musk fears dealers will promote gasoline cars before Tesla's electric ones.
He encouraged New Jersey residents to write to their state senators and assemblymen if they believe Tesla should be able to continue selling its cars directly to consumers in the state. His blog post also indicated that Tesla might take the battle to court.
First Published: March 14, 2014: 4:30 PM ET
GM has recalled 1.4 million cars, including the Chevrolet HHR, over a defect in the ignition switch that can turn the car off unexpectedly when it's on the road.
NEW YORK (CNNMoney)
Here's what we know so far:
What's the problem? The cars' ignition switch, where the key is inserted and turned to start the car, can easily be knocked out of the "Run" position into the "Off" or "Accessory" position. This can happen if the key is jostled by a driver's knee, for instance, or if the car hits a bumpy patch of road. The loss of power means the power breaking and steering, as well as the airbags, can stop working.
What cars are involved? The cars involved in the recall are the Chevrolet Cobalt and HHR, Pontiac G5 and Solstice and the Saturn Ion and Sky. All are from model years 2003 through 2007. Not all of these models were available through all of those model years.
How many people have been killed? GM acknowledges that at least 12 deaths are linked to this problem.
The non-profit Center for Auto Safety says there may be as many as 303 deaths that could be tied to the defect. But the organization simply counted every fatal crash these cars had where the airbags failed to deploy.
GM says the report misrepresents raw information about crashes.
It's important to keep in mind that there are many reasons airbags don't deploy in a crash, beyond an ignition switch failure. So the 303 figure doesn't tell us much.
All we can say, for now, is that the number fatalities is probably somewhere between 12 and 303.
How long did GM know about this? GM engineers experienced a seemingly related problem when it was testing a Saturn Ion in 2001. Internal reports from GM indicate that the problem was solved with a redesigned switch.
However, in 2004, another GM engineer driving a Chevrolet Cobalt, hit the key and accidentally shut the car off. That is apparently the first time GM became aware of the problem that ultimately caused this recall.
Why did it take GM so long to recall these cars? When the problem first surfaced it wasn't thought to be a safety issue, according to documents GM shared with the National Highway Traffic Safety Administration. Drivers could still still steer and stop the car and they could restart it.
GM says its safety engineers weren't aware of any deaths as a result of this issue until 2007. It then took GM engineers years to trace the problem back to a defective ignition switch, according to the papers.
Will GM be held accountable? Currently, GM faces a criminal probe by the Justice Department as well as investigations by Congress into this delayed recall. The National Highway Traffic Safety Administration is also looking into whether GM recalled the cars quickly enough. GM could be fined as much as $35 million if it decides it didn't act quickly enough.
There are also a number civil lawsuits filed on behalf of people killed and injured in crashes.
Gallery - Consumer Reports' Top Pick cars
How come NHTSA wasn't on this sooner? The National Highway Traffic Safety Administration has a massive database of fatal car crashes that happen throughout the United States. The agency also collects consumer complaints about potential safety issues. Still, NHTSA failed to notice a trend of deaths attributable to this problem. In its defense, NHTSA points out that finding trends within such a tremendous amount of data can be difficult.
How will the ignition problem be fixed? These cars were built using a defective ignition switch. A better ignition switch was installed in cars built after the 2007 model year. GM dealers will replace the defective ignition switch in the recalled cars with the new, redesigned switch.
When can my car be fixed? Not until April. It will take time to manufacture and distribute 1.4 million ignition switches. If you have one of these models, you should have already received a letter alerting you to the recall. Another letter will arrive later telling you to make an appointment to get your car fixed.
I'm worried. Should I stop driving my car? For now, GM advises drivers to make sure that there isn't anything hanging from their car key that could knock it out of place. GM dealersare authorized to provide loaner cars to owners who are really scared about this issue. That will be handled on a case-by-case basis.
First Published: March 14, 2014: 3:47 PM ET
NEW YORK (CNNMoney)
The banks named in the suit filed in federal court in New York on Friday include U.S. banks such as JPMorgan Chase (JPM, Fortune 500), Bank of America (BAC, Fortune 500) and Citigroup (C, Fortune 500), as well as international banks such as Barclays (BCS), the London bank that was the first one to admit its role in manipulating the interest rate.
The rate, known as the London Interbank Offered Rate, or Libor, is used as a benchmark to set rates for trillions of dollars worth of business and consumer loans worldwide. Employees at the banks allegedly manipulated the rate in order to make profits in their trading of derivatives based on the rate.
Related: Explaining the Libor scandal
The suit alleges that manipulation caused substantial losses at 38 smaller U.S. banks that closed and were taken over by the FDIC. The federal agency banks deposits at U.S. banks, and takes control of failed banks, seizing its assets and assuming most of its liabilities.
Most of the closed banks were relatively small, although one cited by the agency, Washington Mutual, was the nation's largest thrift when it was taken over by FDIC in September 2008.
Bank of America wouldn't comment on the lawsuit. JPMorgan, Citi and Barclays didn't return calls for comment.
First Published: March 14, 2014: 3:35 PM ET
NEW YORK (CNNMoney)
A weekly collection of design, data and interactive links.
Design/Data viz
Aircraft disappearances | Infographic showing the 83 aircraft missing since WWII.
Mobile Infovis | Data visualization gallery for mobile phones.
Europe 24 | Air traffic over Europe.
Beerviz | Visualizing beer as data.
Takeo Takei | Illustrated magazine covers for Kodomo no kuni ("Children's Land"), 1922--33
AgIC Print | Printing circuit boards with home printers
Photo/Video
Murmurations | The murmurations of starlings.
The Top of America | Views from the World Trade Center.
Futuristic Illustrations | What the future looked like 100 years ago.
Will It Crush? | Arnold Schwarzeneggar destroys things with his tank.
Wooden Stop Motion | Elliot The Bull - Colourblind.
Playful Animation | Happy Camper - The Daily Drumbeat.
Fabian Oefner | Tricking the eye at MAD Gallery in Geneva.
See last week's links
Have a nice weekend!
@dubly and @talyellin
First Published: March 7, 2014: 3:26 PM ET
It's a tough week for fast food chains. Both Quiznos and Sbarro filed for bankruptcy.
NEW YORK (CNNMoney)
Quiznos has filed for bankruptcy protection, five days after the Sbarro pizza chain did the same.
Executives at the restaurant chain, known for its toasted sandwiches, agreed to a restructuring plan that will reduce its debt by more than $400 million, the company said in a statement Friday.
All but seven of Quizno's 2,100 restaurants in the United States and 30 other countries are independently owned franchises, and will remain open and operating as usual.
Quiznos once had more than 5,000 stores and could have threatened rival Subway's hold on the sub market. But now, Subway has nearly 20 times the number of stores, with about 40,000 locations in 100 countries.
Related: 10 big overtime pay violators
Quiznos CEO Stuart Mathis said the company will take action to help increase sales and profits for its franchise owners going forward. It will look to reduce food costs, invest in local advertising and, in some circumstances, make loans available for restaurant improvements.
The Denver-based company said it has lined up $15 million from investors to help keep the business running during the bankruptcy.
First Published: March 14, 2014: 12:47 PM ET
