Strathlachlan

2009 Mercedes-Benz SLK350 Review

I took delivery of my brand new 2009 SLK350 today. The smile is still on my face. For the past three years I've had a 2005 SLK350 (R171) and simply love the car. So the new updated version has some very big shoes to fill.

Here are the specifications on the 2009 SLK350:

Iridium Silver with Gullwing Red leather interior

P1: Premium I package
- Power seats and steering column with memory
- 4-way lumbar support
- SIRIUS Satellite Radio
- Rain sensor
- SmartKey
- Garage door opener
- Interior Ambient Lighting Package
- Auto-dimming mirrors
- iPod/MP3 Media interface

Multimedia Package
- COMAND navigation with 6-disc in-dash CD/DVD changer
- 6.5-inch color display
- harman/kardon® LOGIC7® digtial surround-sound system
- SD-Memory Card slot
- Voice Control

Heating Package
- AIRSCARF with neck level heating system
- Cloth Windscreen
- Heated front seats

Also added: Digital Dual-Zone Climate Control

Engine: 3,498-cc DOHC 24-valve V-6. High-pressure aluminum-alloy cylinder block. Alloy heads. Counter-rotating balance shaft.
Net Power: 300 hp @ 6,500 rpm
Net Torque: 265 lb-ft @ 4,900 rpm
Compression Ratio: 11.7:1
Transmission: Standard 7-speed automatic with electronically controlled shifting
Drive Configuration: Rear-wheel drive
Rear Axle Ratio: 3.27:1

My 2005 SLK350 was Iridium Silver with red leather interior, and I think my comments are a good review of what's new and cool with the 2009. Here goes:

First, if there's one word to sum up the new 2009 SLK350 it's this: Aggressive. Front nose styling looks very aggressive up-front, chrome around front fog lights looks great, and all the pictures that I saw previously don't do the changes justice. New side-view mirrors and revised front-facing turn signal lights are good improvements. The new wheel rims are simply awesome. I thought about swapping them out before seeing them in person, but they are fantastic and much better than the 2005. Changes to the rear end also look good. New exhaust pipes have a more square look and the rear diffuser is a nice touch. Red and smoke-tinted rear lights are also new. Satellite radio antenna is subtle and can't be seen while driving, and they updated the radio antenna to be a bit stronger looking.

Second, the interior changes are minor but still noticeable. New COMAND navigation system rocks and the iPod display combined with voice command is pretty killer. Lots of changes and it will take me a while to figure out how to use it all. Six disc changer is now all in-dash which means you actually have a glove compartment now. Changes to the steering wheel give it a much more sportier appearance, but it's still growing on me a bit. Dashboard display and styling is updated with a silver and red treatment that looks really good. I'm not keen on the climate control system changes and the "Auto" feature is now gone. Changes to seat adjustments are better and they changed the window controls, including the ability to open/close the smaller rear windows. Oh...and the new "Gullwing Red" looks great! Much brighter and more pronounced than the old red interior in the 2005.

Third, when you turn the key there is a very distinct engine note that's a throaty growl. It's a very sweet sound indeed! The performance tune up is quickly noticed when you step on the throttle. Mercedes-Benz increased the compression ratio to 11.7:1 (up from 10.7:1) which gives the 2009 SLK350 about 32 more horsepower. I haven't had a chance to do more than a few miles so far, but I'll report back later on how things go.

And for a few more days I'll have two Silver Arrows in the driveway.

The Ford GT Gamble

Millions of you saw Ford Motor Company's advertisement for the Ford GT just before the kickoff of Super Bowl XXXVIII. As I blogged about previously, the muscle car is back, and Ford is taking a gamble on the Ford GT. That's because the reaction of most people to the ad was just one question: So how much does it cost?

The Ford GT goes into production in early summer 2004 with deliveries beginning shortly after that for the low, low price of just $139,995. That's right, $139,995. A pretty penny even for a car with a hand-built aluminum 5.4-litre DOHC supercharged V8 producing 500 horsepower that goes 0-60 mph in 3.3 seconds. But for Ford this is probably more about restoring its image than trying to sell a lot of GTs.

The entire Ford GT project began as a concept car for the 2002 North American International Auto Show in Detroit. The design was inspired by Ford GT40s of the 1960s, which in 1966 finished 1-2-3 at the 24 Hours of Le Mans. At the time, Henry Ford II tried to buy Ferrari for $10 million, but at the last minute Enzo Ferrari pulled out of the deal. The GT40 was born out of Ford's desire to show "The Old Man" that his company could build a world class automobile. William Clay Ford Jr. appears to have a similar plan in mind for the Ford GT.

In the wake of the Firestone tire fiasco and changes in management, Ford is looking to restore some of the past glory of the Blue Oval. The Dearborn, Michigan-based automaker was also recently bumped from the No. 2 spot in sales by Toyota. Ford can still argue that including sales by it's partially owned Mazda unit give them back their spot, but the writing is on the wall. Ford needs to reestablish itself as a leader in both quality and performance...and quickly.

So why drop a lot of money on a Super Bowl ad for a car that most people watching can't afford? Because it gives Ford a chance to show that it has the vision and ability to produce innovative cars. The major advertising blitz for the new F-150 was just a glimpse and hopefully future promotion of the Ford GT will create some buzz for the company. Ford's other brands include Lincoln, Mercury, Aston Martin, Volvo, Jaguar, Land Rover, and Mazda (33%). But at the moment Ford is hoping that the new Ford GT can be a rising tide that lifts all its boats.

Depreciation Appreciation

I read your advice about leasing a car. You made some good points I hadn't thought of. But I was wondering why you thought leasing was still a better use of your money than financing?

You read correctly that although leasing might not be right for everyone I think it's a better use of your money than financing. The reason is simple: You never buy something that depreciates in value. A house can be an investment. Gold, diamonds, stocks, and bonds can be an investment. Buying a car is not an investment. The moment you drive it off the lot it drops in value. Now your parents will talk about equity this and equity that, but they are living in the past.

This is all thanks to our friend depreciation. This is why corporations lease computers, office furniture, and just about anything else that will be worth next to nothing by the time they are done using it. They don't tie up all their money to own things that will only depreciate in value and neither should you. Cars are not yet as disposable as computers or swivel chairs, but the economic principle is still the same.

Unless you plan on driving the car until the wheels fall off or already know your break even point, then it's a money loser from day one. If you plan on trading this car in down the road the equity bubble really bursts. The trade equity (Actual Cash Value) of your car will always be higher than the dollar amount (Trade Allowance) the dealer will give you. They need to make some money for taking your used car and then trying to resell it. Plus, a lot of that Trade Allowance is just funny money that is taken off the MSRP. (And remember that MSRP is just a starting point for negotiation.)

You can run crying to Kelley Blue Book all you want, but that is how the trade-in business works. Now you might say that leasing leaves you with nothing when the lease is over. That is true but at least you only paid for the depreciation (Residual Value) for the time period you were driving the car. I would say that is a lot better than taking the hit for the entire value of the car.

Driving Directions

For the past few years most of the coverage of the auto industry has been about the rise in popularity of SUVs. While these monsters of the motorway have been very popular with customers the mainstream media has missed another emerging trend: The return of the muscle car. It started out as kids putting spoilers on Dodge Neons and has progressed to the point of dropping $50,000 on aftermarket parts without batting an eye.

I must admit that I was very skeptical of this trend at first. I got a good chuckle every time I saw a Honda Civic with a rear-wing big enough to generate Hungaroring levels of downforce. But what I was missing was the rebirth of muscle cars, and I dare say that I'm not the only one. Movies like The Fast and the Furious raked in a ton of cash at the box office and the magazine racks are full of titles like Import Tuner and Turbo, complete with scantily clad women on the cover.

The reality is that the aftermarket automotive performance enhancement market is big business. (Think Viagra for your car.) Nitrous oxide is not just for dentists anymore, and it would appear as though the big boys are taking notice. (That my friend, is a sign this ain't a fad.) Both Mercedes-Benz and Bayerische Motoren Werke are both putting some muscle behind the marketing of their own performance lines. (Muscle cars for the metrosexual, if you will.)

Mercedes-Benz recently stepped up the print and television advertising of its AMG high-performance line of cars. AMG was founded in 1967 by two former engineers, Hans-Werner Aufrecht (A) and Erhard Melcher (M), in the German city of Grossaspach (G) to design and test racing engines. Over several decades the company developed a solid reputation for building some of the best high-performance Mercedes-Benzs in the world. Mercedes was so impressed by AMG’s skill that the company began selling AMG-prepared cars through European retailers in 1993. By 1999 DaimlerChrysler had acquired AMG, renaming it Mercedes-AMG GmbH, and the unit now produces an AMG counterpart for every model in their lineup. The 2004 model year includes the C32, E55, S55, CLK55 Cabriolet, CLK55 Coupe, CL55, SLK32, SL55, and G55.

BMW has also been ratcheting up the marketing of their M Series line of automobiles. BMW established BMW Motorsport GmbH in 1972 as BMW's own motorsports company. The factory was built at Garching near Munich and was also responsible for providing support and technical assistance to various tuners. The first M series car was introduced in 1979 and has grown in popularity among enthusiasts over the years. The current lineup includes the M3 Coupe, M3 Convertible, and M5. Rumors suggest that the new M4 (4.0Liter 400bhp V-8) will be available in 2006 and the M6 Coupe (5.5Liter 500bhp V-10) will hit the showrooms in 2005.

Other manufacturers are also getting in on the action. Nissan's highly successful 350Z now has a convertible roadster version for 2004. Chrysler's new Crossfire is an amazing piece of automotive machinery and a steal at $34,495. (And it should be considering this is the first post-DaimlerChrysler merger car where Chrysler was allowed to use Mercedes' skunk works, and the car is being built in Germany.) Even Pontiac is getting into the act their new 2004 GTO. The Ford GT turned heads at the auto shows this year and at the United States Grand Prix, but with a sticker price just under $150,000 they'll miss a huge mainstream opportunity.

So get your internal combustion engine running and head out on the interstate highway system. The muscle car is not just for late night parking lot burnout contests. Rest assured that the fine engineers in Grossaspach, Garching, and even Detroit are paying attention. But will the mainstream media finally get over their fascination and consternation with the SUV? Perhaps the horsepower hungry buyers out there should take them for a spin around the block.

Pay Now or Pay Later

"Need some help. You wrote something about financing not being a good deal. I'm in the market for a new car, but should I lease it or buy it? Which is the better deal?"

The lease versus finance debate has gone on for years now, and everyone thinks they're right. That's probably because the answer to your question has more to do with your personal preferences than any one right payment method. You need to know how much you plan on driving, how often you're going to want a new car, how well you take care of your current ride, and what your cashflow looks like today and down the road.

If you drive more than 15,000 miles a year for work or pleasure right now, then leasing is probably not a smart idea. The leasing companies make a lot of cash on overages (15 to 20 cents per mile), and buying extra miles at a reduced rate (10 cents per mile) upfront assumes you own a crystal ball. Don't fool yourself into thinking you'll start driving less miles than you do today, unless something major has changed in your situation.

If you know you are going to buy a car and drive it until the wheels fall off, and then give it to your kids, then leasing is bad idea. Leasing a car for more than 48 months is just plain stupid, and realistically most leases are for 36 or 39 months these days. If you know you want to drive a new car every 2 or 3 years, then leasing is a better option than financing a car.

If your current love sled is full of scratches, dings, and gets an oil change only on leap years, then leasing is probably not your style. You will have to pay for any damage to the car when you turn it in, and that means more out-of-pocket expenses. Leasing locks in the residual value of the car upfront, but the leasing companies can get very particular about the condition of the car when the term is up.

If you don't have piles of cash lying around, then leasing might be easier on your wallet. Most leases require less money down and fewer fees compared to the hefty downpayments on a finance deal. If cash on hand right now if more important to you than equity down the road, then leasing is the way to go. Keep in mind though that when the term is up you own nothing, get nothing.

Don't get me wrong. I think leasing a car is a much better use of your money than financing one, but it's not for everyone. A car lease is designed for people who don't drive a lot of miles, take care of what they own, want to drive a new car every 3 or 4 years, and are willing to sacrifice equity for more car for their dollar. If that doesn't sound like you, then you could end up getting taken for a ride when your lease is over.

Bang for Your Buck

SmartMoney.com has put out its Hot Cars for 2004 list based on the top value holders as a percent of MSRP. Here's a look at the best buys* by category:

TOP 2004 VALUE HOLDERS BY CATEGORY
(Type; Vehicle; MSRP; 5-Year Retention Rate)

Sedan: Honda Accord LX V6; $23,760; 41%
Coupe: Infiniti G35 Coupe; $29,795; 49%
Convertible: Mercedes-Benz CLK 320 Cabriolet; $52,120; 51%
Wagon: Subaru Impreza WRX Sport Wagon; $24,545; 44%
Hatchback: MINI Cooper; $16,999; 46%
Luxury: Mercedes-Benz S55 AMG; $109,450; 52%
Pickup: Toyota Tacoma PreRunner Crew CabV6; $19,890; 49%
Sport Utility: BMW X5 4.4i; $67,495; 52%
Van/Minivan: Honda Odyssey; $24,950; 42%
Sporty: Corvette ZO6; $52,385; 50%

The list is also another sign that the year is quickly coming to an end. The 2004 model year cars are beginning to fill up the car lots, and that means dealers will be anxious to get rid of any remaining 2003s. With interest rates beginning to rise and 0.00% finance specials drying up the auto manufacturers must be crossing their fingers. Production numbers are probably still too high across the board and something new has to keep the cars moving off the lot. Signs of an improving economy might be enough to coerce buyers into the showroom. With each passing week the interest rates are slowing rising, and customers could be afraid of missing a good deal.

* Of course, that assumes financing a car is a good deal to begin with, but that is a subject for another day.