All posts by Jim Dvorak

Managing Director of SOEC since 2005. Veteran of the Southern California automotive scene. Involvement with Saleen dates back to the mid 1990s.
Enthusiast News

HAPPY ANNIVERSARY TO THE NEW SALEEN FORUMS AT SOEC.ORG!

This week we celebrate the 1-year anniversary of the new Saleen Forums at soec.org.

During this past year we have increased our activity ten-fold over the previous year, thanks to a new forum design and an expanding membership. We are currently enjoying more than 13,000 visits and 80,000-plus page views per month, making this the most active Forum of its kind.

We are incredibly proud to have nearly 600 new owners and enthusiasts who have joined the Saleen Forums in the past 12 months, making this the premiere place to discuss Saleens online with nearly 1,400 participants total!

It’s especially rewarding that many of you come here to seek authoritative information and news about the hobby, or to obtain help or guidance about your vehicles — and when asked, numerous people step-up to help, and that’s really what this community is all about.

Certainly a driving force behind the success of Saleen Forums has been the vast historical library of Saleen sales literature and related publications that has been archived at the new soec.org website by SOEC Historian and Webmaster, Dave Bruno. If it were not for his passion for documenting these past 25 years of Saleen history, we would not have the audience we have here. This has been a multi-year project involving hundreds of hours, and it will be enjoyed and referenced for generations to come.

And many grateful thanks to Liz Saleen and SOEC President Debbie Blaylock who inspired us to collaborate on this collection — to help current and future owners learn about these exciting vehicles.

And certainly a gracious thanks goes to Greg Wackett of Saleen Locating Service (http://www.saleenls.com) who loaned us much of his precious collection and offered a tremendous amount of moral support as well as invaluable expertise.

Here’s to another year of Aiding the Addicted.™

Happy Anniversary!

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Press Release

SALEEN WARRANTIES DISSOLVE AS FORMER OWNER CEASES OPERATIONS

Saleen Inc., amidst financial distress, ceases operations and
leaves Saleen vehicles and its owners without warranties

Breaking News — March 06, 2009

Today, all certified Saleen and Racecraft dealers were sent a letter from MJ Acquisitions, Inc., the new caretakers of the Saleen brand.

And like most stories these days, there is often good news and bad news — and this story is no different.

The Good News

MJ Acquisitions, consisting of an experienced and energetic staff who are very familiar with the Saleen brand, will continue to provide service parts, performance parts, accessories and letters of authentication to support Saleen and Racecraft vehicle owners well into the future.

The Bad News

Those Saleen and Racecraft owners needing dealer-provided in-warranty repairs of Saleen components are likely to incur an unforeseen out-of-pocket cost that my not be reimbursed, due to unfortunate circumstances with the financial condition of the brand’s former owners, Saleen, Inc.

Bad News Backgrounder

After announcing it was seeking a buyer last Fall due to the recent and current economic conditions, Saleen, Inc. — a company majority-owned by Hancock Park Associates — was on a direct path to cease all operations for public business as of February 01, 2009. After a brief period of negotiations, MJ Acquisitions stepped-in as a bailout action and purchased certain assets of Saleen, Inc. on January 30, 2009. This transaction was an effort to keep the brand from becoming completely extinct.

The now-former owner of the brand, Saleen, Inc., has just announced it has ceased all operations. Saleen, Inc. is responsible for warranties existing before February 2, 2009, and thus regrettably it has been announced that they are now unable to honor any warranties on any of its parts, services, and vehicles including cars, trucks, and aftermarket parts prior to this date. All inquiries regarding these and other financial claims for Saleen, Inc. should go to Jaimee L. Witten of Bodman LLP at (313) 392-1045.

Furthermore, it has been stated that Saleen, Inc. is responsible for parts and labor costs on all vehicles with a remaining Saleen, Inc.-backed factory warranty – those currently in the hands of owners, as well as those that may remain on showroom floors.

MJ Acquisitions, the “new Saleen,” will continue to sell parts to the certified dealers, at a discount, to allow dealers to service their existing inventory and customer vehicles. It will, however, be the dealer’s responsibility to contact the representative of Saleen, Inc. at the number above to obtain any reimbursement for parts and labor costs associated with the repair of a Saleen or Racecraft vehicle manufactured by Saleen, Inc.

It was further emphasized in the letter to dealers:

“MJ Acquisitions, Inc. is not responsible or obligated to cover warranties and/or any financial liabilities of Saleen, Inc.”

It was also expressed that the team at MJ Acquisitions does apologize for the hardship this places on its valued customers, and they understand that this will impact all parties, as it would with any automotive manufacturer closing its doors.

A Little More Good News

Parts purchased from MJ Acquisitions, on or after February 2, 2009, will have a 12 month/12,000 mile limited warranty against manufacturer defects.

MJ Acquisitions, Inc., as the new caretakers of the Saleen brand, has a dedicated staff of “Saleen-bred” professionals who are knowledgeable about Saleen, Racecraft, and Mustang products, and are eager to help.

And the balance of your Ford-covered components and their related warranty remains intact.

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Enthusiast News

SALEEN INC. PREPARES ANNOUNCEMENT REGARDING ITS ABILITY TO HONOR WARRANTY CLAIMS

Breaking News: Saleen Owners and Enthusiasts Club/Saleen Forums News

March 4, 2009 — Irvine, California — Less than a month after the “sale of certain assets” by Saleen Inc. to MJ Acquisitions — a deal to which the details still remain unclear — Saleen Inc. prepares to announce that it is unable to honor any warranty claims on its vehicles and aftermarket parts.

Immediately following the sale, it seemed that it was “business as usual” for Saleen owners, since some were reportedly receiving support for warranty claims through dealers, as well as directly from employees of MJ Acquisitions, but that is no longer the case and they are now referring inquiries to Saleen Inc.

While production of vehicles had been stalled for some time, its aftermarket parts business under the Speedlab brand also picked up where it left off before the sale. MJ Acquisitions stated in the sale announcement that it was exploring its options for the 2010 model year Ford Mustang under the Racecraft brand initially, and to hopefully follow with the S Series.

Plans for the future of the Saleen branded vehicles are now more unclear, though MJ Acquisitions stated it will continue to produce service parts, performance accessories, and develop new products through its Speedlab department.

Saleen Inc., whose headquarters was moved from Irvine to Troy, Michigan last year, is still majority-owned by Hancock Park Associates, which also owns ASC Global. Following the sale of certain assets to MJ Acquisitions, the company stated it continued to seek a buyer for its sophisticated paint facility, the S7 supercar program, and the S5S Raptor concept program.

While Saleen Inc. CEO Chris Theodore stated in a press release regarding the sale, “This influx of new life into the Saleen, Racecraft and Speedlab brands is a win-win situation” and he continued to note that loyal Saleen customers, dealers and enthusiasts can look forward to an exciting transition period, he has now left the company.

Furthermore, various other assets, including the prototype Racecraft Focus RC2 are up for sale.

The Saleen Owners and Enthusiasts Club (SOEC) has confirmed that Saleen Inc. prepares to draft a formal communication regarding the company’s inability to honor warranty claims, and SOEC will report the details online at https://www.soec.org/news as soon as they are made available.

SOEC, founded in 1991, is the premiere organization for Saleen owners and enthusiasts, with thousands of members worldwide.

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Automotive News

VIPER TIRE-KICKERS MAY INCLUDE SALEEN BUYER

By: ROBERT SHEREFKIN and DAVID BARKHOLZ on February 16, 2009
Original Article: AUTOMOTIVE NEWS, VOL. 83 ISSUE 6347

Dateline: DETROIT —

The investor who bought much of performance-vehicle builder Saleen Inc. may be one of three tire-kickers for Chrysler LLC’s Viper unit.

Mike Shields — who with his brother owns controlling interests in several Michigan auto-related companies — says he has “considered a purchase of Viper,” according to AutoWeek, a sister publication of Automotive News.

Separately, Saleen and Chrysler are in talks to settle a legal dispute, Saleen CEO Chris Theodore told Automotive News. Chrysler declined to comment. A resolution would remove a legal hurdle to Chrysler’s announced plans to sell the Viper operation.

In a conference call this month, Chrysler co-President Jim Press disclosed that three potential buyers had emerged for Viper. Chrysler spokesman Dave Elshoff declined to discuss the potential buyers or say whether Shields and his brother are among the bidders.

Last month, Chrysler and Saleen traded lawsuits over Viper.

On Jan. 21, Chrysler sued Saleen in Oakland County (Mich.) Circuit Court for the return of tooling for the sports car after Saleen told Chrysler it was ceasing certain operations. Saleen countersued. Saleen, which said Chrysler had reneged on its contract, sought $1.25 million.

Saleen said it plans to sell many of its assets. Theodore said Viper operation assets were not included in the planned sale. Saleen painted fenders, hoods, doors, fascias and a number of parts for the Viper and performed some assembly work.

Enthusiast News

SALEEN INCORPORATED FINDS BUYER FOR PART OF ASSETS

Breaking News: Exclusive

By SOEC/Saleen Forums News Staff, February 2, 2009

After announcing it was looking for a buyer in early November, Saleen Incorporated announced today that MJ Acquistions has acquired certain assets of America’s premier automotive lifestyle brand, relating to Saleen’s supercharger, aftermarket and high performance street vehicle businesses.

The transaction reportedly was finalized last Friday, which left all of the employees (including Saleen Inc. CEO Chris Theodore) with the legal formality of being without jobs — at least temporarily. Some hirebacks have already taken place as the transition progresses.

While the terms of the deal were not disclosed, the purchase does not include the assets associated with the supercar (S7 or S5 Raptor vehicles) or the paint operations, which will remain with Saleen Incorporated.

The ownership of MJ Acquisitions controls a family of companies which provide full service engineering, design, manufacturing, assembly and control systems for the automotive industry. It’s affiliated companies include Cyltec, LLC, Power-Tec Engineering, LLC, Arrow Racing Engines, LLC, and Control-Tec, LLC.

“MJ Acquisitions and its affiliates are a group of true car professionals with vast experience in the engineering, production, assembly and distribution of performance and racing vehicles” said Theodore in a press release. “This influx of new life into the Saleen, RaceCraft and SpeedLab brands is a win-win situation.”

Theodore noted loyal Saleen customers, dealers and enthusiasts can look forward to an exciting transition period.

“We moved on this purchase quickly to ensure that the process of delivering high-quality automobiles and components to the consumers is not disrupted,” said Mike Shields, President and CEO of MJ Acquisitions. “We are working with the talented team from Saleen and our own experts to continue the quality, delivery, and performance the customer base and dealership network have come to expect from the Saleen brand. I am particularly excited about Saleen’s supercharger experience and its synergies with Power-Tec’s development of the next generation of superchargers.”

Immediate plans are to roll out the 2010 version of the newly designed Mustang for the Racecraft brand and commence other Racecraft designs for additional vehicles. The new Mustang is shipping from Ford later this month. Additionally, the Saleen brand will have a new design of the flagship S-Line that is already in the works and scheduled for release in the third quarter of 2009.

While this announcement may provide more questions than answers for some, Saleen owners should be assured that key warranty and sales staff are still at the company to serve dealers and owners, with more hirebacks likely coming in the days ahead.

MJ Acquistions does plan to work with the dealer network and others to establish the future product line. A company spokesperson told SOEC that more announcements will be forthcoming, so stay tuned.

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Press Release

STEVE SALEEN UNVEILS THE SMS 570 CHALLENGER AT ORANGE COUNTY NIGHTCLUB “TENTATION”

First product offering from SMS Supercars

Jan 21, 2009 – Orange County, California. Late last Friday night, automotive icon Steve Saleen and his new company SMS Supercars launched the production version of the SMS 570 Challenger to media and customers. The lifestyle unveiling at “Tentation” nightclub in Newport Beach proved to be the perfect venue for the automotive enthusiast audience. “We have an exciting new vehicle and wanted to shake up the old standard introduction at an auto show” explains Steve Saleen.

After its late night launch the SMS 570 Challengerbegan its lengthy tour to numerous US destinations and Dodge dealerships. First stop last weekend was the Barrett-Jackson auction in Scottsdale, AZ, where it was on display for attendees to admire. “Scottsdale was just a stopover en route to the NADA Convention in New Orleans”, notes Steve, “I will present the car to Dodge dealers at the convention January 24-27”. The car will then continue on to a number of locations in the South East where it will be shown to customers and dealers. A US press tour with both production models will follow at the end of the first quarter of 2009.

The 500 HP SMS 570 Challenger and the 700 HP SMS 570 X Challenger can be ordered through all Dodge dealers at this time. In addition to the patented SMS Supercharger atop the ultra high-performance engine, both production models feature completely revised aesthetics, aerodynamics and performance features including; SMS Series 4 suspension and high performance cross drilled brakes with six pistons up front and four pistons at the rear. The interior features the SMS Signature Series chevron seats with deep bolsters, rich leather and Alcantara suede for high-performance comfort. Aerodynamic features include a front fascia with high volume radiator intake, a “GTX” inspired front grille, a high downforce front splitter with intercooler ducting, side skirts with rear brake ducting, a vented rear fascia with an extended blackout taillight surround, a high downforce rear diffuser and rear spoiler, as well as Steve Saleen’s new signature SMS Red ButterflyTM Dual Side Induction Hood. SMS 570 Challenger pricing starts at $64,870.00.

[Source: SMS Supercars]

Press Release

STEVE SALEEN PRESENTS THE SMS 570 CHALLENGER

Steve Saleen and his company SMS are well on the way to production with the first vehicle in the line of Signature Series ultra-high performance vehicles. The SMS 570 Challenger will be the first vehicle with a host of aesthetic and functional innovations including the patented SMS Red Butterfly Induction™ hood and a full compliment of SMS ultra-high performance components including: drivetrain, suspension, aerodynamics, tires, wheels and interior.

“When you combine Steve Saleen and Dodge Challenger you get the pairing of two powerhouse automotive icons.” – Edmunds/Inside Line

The fully certified and street legal SMS 570 Challenger and SMS 570X Challenger will be based off the 2009 Dodge Challenger R/T platform and will feature a SMS designed and engineered SMS 296 Supercharger atop the 5.7L Hemi, with power ratings from 500 to over 700 horsepower respectively.

“Who wants a Steve Saleen Supercharged Challenger? We Do!” – Dodgepedia.org

The MSRP’s for the 2009 SMS 570 Challenger and SMS 570X Challenger are targeted to start at $60,000 to $70,000 respectively with production commencing in 2008. Both models will carry a bumper-to-bumper factory warranty.

This is an exciting opportunity for the Mopar community to finally take part in the ultra-high performance niche production vehicle market! So act now to reserve yours.

“We’re big fans of Steve Saleen. He’s created some pretty incredible Mustangs over the last 25 years, and any guy that successfully builds his own supercar gets major props in our book.” – Autoblog

Each of these limited edition vehicles will be personally signed by Steve Saleen as part of the Signature Series product line, complete with unique badges and graphics. Production numbers will be limited per year depending on the model, so the opportunity to be one of the few owners is limited to a first come first served basis. So act now, by placing your preproduction orders though any Dodge dealer in the US. Or call us directly for more details.

SMS
We are a niche manufacturer of lifestyle ultra-high performance vehicles, technical performance parts, lifestyle accessories and apparel. We design, engineer, test, certify, manufacture and assemble all our own products and vehicles.

“I am drawing upon 25 years of rich experience in the automotive industry to address the rapidly expanding global market of automotive lifestyle vehicles, technical performance parts, accessories and apparel” explains Steve Saleen, Chairman and CEO of SMS.

Click here to participate in the discussion.

[Source: SMS Supercars]

Automotive News

MERCEDES-BENZ FINED $28.9 MILLION FOR VIOLATING FUEL EFFICIENCY RULES

By: KEN THOMAS on January 6, 2009
Original Article: CANADIAN PRESS, THE

WASHINGTON – Mercedes-Benz’s U.S. division paid a US$28.9 million fine in December for violating federal fuel efficiency requirements, the U.S. government said Tuesday.

Mercedes-Benz USA LLC paid the fine for imported passenger cars from the 2007 model year, the National Highway Traffic Safety Administration said in documents released to The Associated Press.

NHTSA assessed more than $37 million in fines from six automakers in 2008, records show. Many manufacturers of luxury vehicles consider the Corporate Average Fuel Economy, or CAFE, fines as the cost of doing business.

The fines were established to ensure that vehicles meet basic gas mileage standards.

Volkswagen of America Inc. paid NHTSA $4.5 million in fines in August for light truck violations. Porsche Cars North America and Maserati Automobiles of America both paid $1.2 million while Ferrari North America paid $1.1 million.

Saleen Inc., a Troy, Mich.-based manufacturer of specialty high-performance cars, paid more than $41,000 for violations involving 2003-2006 model year vehicles.

The Mercedes-Benz fine was the second-largest ever assessed by NHTSA for CAFE violations. The former DaimlerChrysler AG paid a record $30.3 million fine in 2007 for imported passenger cars from the 2006 model year. Most of the imported vehicles from that year were Mercedes-Benz luxury cars.

Messages were left with Mercedes-Benz and Volkswagen officials after business hours.