Toyota Prius : The Hybrid Car I am loving

Since the debut of the second-generation Toyota Prius in 2003, the quintessential gas-electric hybrid has risen from a niche product to become Toyota’s third-best-selling model in the United States. The car inspires a cult-like devotion from its drivers. Satisfaction rates, consistently at about 98 percent, are unparalleled.

The third-generation 2010 Toyota Prius, officially unveiled at the Detroit auto show in January 2009, went on sale in April. The updated Prius is bigger and more powerful. The engine grew from 1.5 liters to 1.8 liters—giving a boost in horsepower from 110 to 160, and thereby reducing zero-to-60 time by a full second. In addition, the body is about four inches longer and about an inch wider. Despite the added power and size, the 2010 Toyota Prius becomes the only vehicle available today to offer 50 miles per gallon in combined city/highway driving.

Toyota achieved this level of fuel efficiency by keeping the vehicle’s weight down, maintaining the best aerodynamics of any production vehicle in the world, and re-engineering the powertrain to extend the range of all-electric gas-free driving. (Despite rumors over the past year, the new Prius does not offer plug-in capabilities and continues to use nickel metal hydride batteries, rather than switching to lithium ion batteries.)

Prius Exterior

Toyota added a slightly sportier feel and more aggressive stance to the 2010 Prius—perhaps to disarm criticism that the Prius looks like a corrective appliance on wheels. The logo shifts from the hood to the top of the point of the grille. The crease in the doors has shifted lower, but a more pronounced angle is added above the door handles. The overall effect is to make the 2010 Prius stand taller—not as rounded and squat—as its predecessor.

The distinct space-age shape of the Prius is still apparent: a deliberate effort by Toyota to maintain the Prius’s essential and iconic appearance. Its large, diamond-cut headlamps and snub-nose front-end are the starting point for the Prius’s quasi-flying saucer appearance. The angled hood seamlessly flows into the windshield, then to a flowing roofline that is sleek and low. Short overhangs and a sawed-off rear section finish off the hybrid’s futuristic hatchback character.

Of course, beauty is subjective, so the Prius continues to receive mixed reviews on outward show. There are many who think the Prius looks gimmicky, if not entirely ugly. But for many hybrid owners, the distinctive look of the Prius sends a message, which declares that we must take steps to reduce our voracious thirst for oil—with all its negative consequences in terms of the environment and geo-politics. For this camp, the Prius is like a middle-finger-on-wheels aimed at Hummers, Suburbans, Escalades, and the like.

In 2006, the toy and game-maker Hasbro added a game token in the shape of the Toyota Prius to the “here and now” version of Monopoly. In other words, the Prius is an official icon of our times.

Bells and Whistles

The previous Prius had loads of gizmos—including keyless entry, joystick shifter, high-tech energy monitor, and a rear-view camera system. Toyota throws even more technology at the new model.

For the first time, the Prius offers a moonroof and heated seats. The sliding glass moonroof, packaged with a slick-looking solar panel, provides power to a new ventilation system that doesn’t require help from the gas engine. Not only does the AC system keep the interior air temperature from heating up when the vehicle is parked (thus reducing the time/energy needed to cool things down), the system can be operated remotely to heat or cool the cabin before getting into the car. (That’s a neat trick even if the rooftop solar panels don’t produce enough energy to power the wheels.)

Three driving modes are now available: Power, Economy and EV. Power improves throttle response; economy reduces throttle response for better gas mileage; and with a flip of the dashboard EV button, the car can go about one mile at low speeds without using any gasoline.

An optional radar system using advanced millimeter waves enables “Lane Keep Assist” to help the driver stay safely within the lane, and the “Pre-Collision System” retracts seatbelts and applies the brakes in certain conditions when a crash is unavoidable. Intelligent parking offers settings to help guide the Prius into parking spaces. A backup monitor, which provides a view of rear obstacles when reverse is engaged, is available with an optional voice-activated navigation system.

The new touch sensor system on the steering wheel helps keep the driver’s eyes on the road. Images of the switches and their positions are shown on the instrument panel directly in front.

Prius Interior

The past success of the Toyota Prius has been its ability to combine great fuel efficiency and utter practicality. Five adults can fit comfortably, with more than 16 cubic feet of cargo room left over in back. The 60/40 split rear seats also can be folded flat, creating a surprisingly large cargo space for hauling groceries, strollers, large boxes, and gardening supplies—all at the same time.

Short and tall drivers should feel equally comfortable behind the wheel. The back seat is roomy, beating the Toyota Camry by a few inches and providing a little more legroom than the Civic Hybrid—and a lot more than found in the Honda Insight.

Interior storage spaces are abundant and flexible. The sound system is adequate, but not groundbreaking compared to other cars in this class. The stereo's most-used functions are easy to see, read and use. Many of the Prius’s standard features are either optional or unavailable on comparably priced competitive vehicles.

Some Prius drivers complain that the hatchback design limits the visibility through the rear window. They refer to this drawback as the "Prius blind spot."

You have to take a test drive to see how it feels to you. The new generation's rear view has improved a bit, even if the backseat headrests and spoiler continue to partially obstruct the view. Hatchback visibility makes some people crazy and is a non-issue for others. Take a test drive to see what you think.

If you're thinking about buying a Toyota Prius, you might also consider a Toyota Camry Hybrid or Ford Fusion Hybrid. Click here Compare these vehicles.

Airbus, Boeing Hope to Convince Suppliers of Their Build Forecasts

Single-aisle jets accounted for 73% of the orders taken by Boeing last year and 61% by Airbus. So it is hardly surprising that aerospace suppliers of all sizes are anxious about whether the two aircraft builders will really be able to maintain their optimistic narrow-body production plans. For their part, Boeing and Airbus worry that sub-tier suppliers will begin to pull back in anticipation of reductions that may never materialize, setting the stage for component shortages and delayed deliveries in years to come.

At the heart of theuncertainty that permeates this year's Paris air show is the question of whether the immense order backlogs held by the two aerospace monoliths are durable enough to keep the Boeing 737- and Airbus A320-family production lines busy until the global airline industry rebounds from a massive slump. Adding to the nervousness is that no one can predict when growth will return, although Airbus CEO Tom Enders is optimistic that next year may see some increase in order activity from this year's meek levels.

While Boeing is reducing 777 wide-body production, it maintains that there is no need to scale down from the 31 737s it builds each month. Airbus, after scuttling plans to increase monthly A320-family production to 40, will modestly reduce rates from 36 to 34 aircraft in October. But many suppliers--some burned by the business jet industry's steep production pullbacks early this year--are worried that further fallout from the global economic downturn could force much deeper cuts. Airbus officials acknowledge they are looking at alternative rates, but argue that it is simply a matter of contingency planning.

"Boeing and Airbus are saying they can handle this downturn and the financial analysts and suppliers are saying 'no way,'" observes Dan Greenfield, director of investor relations at Allegheny Technologies, a supplier of titanium used in aircraft engines and other components. "We're just saying, 'Tell us what you want us to ship.'"

With the downturn in the airline industry having choked off demand, some investors are asking how long either manufacturer can avoid scaling back single-aisle production. This year, Boeing's net aircraft orders--new orders minus cancellations--stands at seven, while Airbus has 11. "I don't buy the argument that the backlog is so deep that there won't be a meaningful cut to production," says John P. Nelson, managing director of investment banking at Cowen & Co. "I think the downturn is going to get much more severe."

That skepticism is shared, to varying degrees, by many suppliers. "Half my brain says you can't get through this without cutting narrow-body [rates]," says Rockwell Collins CEO Clay Jones. He recalls receiving similar assurances about record backlogs from business jet manufacturers last fall.

"When I called them last October, none of the business jet OEMs [original equipment manufacturers] thought they were going to have to adjust their production rates," says Jones. By early 2009, those same companies were making deep cuts that waylaid Rockwell Collins.

There are suppliers that continue to have faith in Boeing's assertion that its hefty backlog--equivalent to 6-7 years of aircraft production--will enable it to maintain 737 build rates. Goodrich CEO Marshall Larsen says he is hopeful that U.S. and Asian airlines will be rebounding next year, helping to underpin a return in demand. "I am optimistic about both OEMs maintaining their single-aisle production rates," Larsen says. "I'm reasonably optimistic that 2010 will be a better year. The downturn can't last forever."

To help sustain deliveries, Airbus and Boeing are relying on export credit agencies to help airlines finance aircraft. Airbus has seen export credit agency support increase to approximately 40% of deliveries this year, with Boeing reporting about the same.

A week after Boeing Chairman and CEO James McNerney strongly reiterated the company's plan to maintain 737 production rates, Scott Carson, president of the company's Commercial Airplanes unit, in an interview with Aviation Week & Space Technology, appeared to open the door a sliver to changes. He told reporters here that Boeing has asked its 737 suppliers to be prepared for anything from a 10% increase in production to a 10% decrease.

While Airbus is not ruling out further cuts to A320-family production rates, Louis Gallois, CEO of parent EADS, says it is too early to make a decision because the company has little visibility on what lies ahead. The true impact of the global economic crisis won't be known until 2010, he believes. For now, Airbus is overbooked in single-aisle production for both 2010 and 2011 deliveries.

Another reason both companies are cautious about reducing single-aisle rates is that slowing down aircraft production lines is a costly and complicated process that takes several months. Long-lead inventory can pile up, and skilled employees that will be needed for the next ramp-up are lost. "It costs a lot of money to change line rates," says one knowledgeable industry observer. "It might be better to take on a few whitetails," he adds, referring to aircraft that are built before a buyer has been secured. However, Airbus officials have vowed to try to avoid such a route.

A big worry of both manufacturing giants is that some suppliers--particularly those at the lower tiers--could curb output on their own in anticipation of cuts. If rates are maintained, that would make it difficult for the air-framers to meet future delivery commitments. "One of our biggest threats is if suppliers start to make their own assumptions and come up with production rates that are not in sync with our planning," says Enders.

A key Airbus goal at Le Bourget was to persuade suppliers that it will not precipitously cut output, leaving them stuck holding inventory and further straining already weakened balance sheets. "It is our task to convince suppliers that we have a plan that is not built on sand," Enders emphasizes.

Carson says Boeing is "going to great lengths" to keep suppliers in the loop. But, he concedes, the company's visibility goes only so far down the supply chain. "We encourage our suppliers to communicate with their sub-tier suppliers," he says. "That's about as good as you can get."

A senior industry official says that both Boeing and Airbus have recently become more communicative with suppliers about their outlook, noting that in April they were less forthcoming with details about order backlogs.