are you waiting for your brand new Bimmer? BMW NA loses 370+ cars : culture|garage

are you waiting for your brand new Bimmer? BMW NA loses 370+ cars

January 11, 2008

Posted by Bart

Tags: damaged

“The Courage” tipped over today at the port in Jersey City, NJ, causing major damage to over 300 BMWs, not including some 70+ BMWs that were total losses.

A majority of the destroyed vehicles were M3s (mostly in dark blue), with a variety of 3-series and 1-series smashed up as well. A small number of the cars destroyed had German Tourist plates on them, and unfortunately those European delivery customers will not be getting their cars back.

If you were expecting your M3, E90/92, or 1-series in the next month, you’re going to be in for a sad surprise.

More info and pictures of the damage Those cars that were a total loss will be crushed as stated by the BMW rep. He also stated that they will not be auctioned, as there is a liability for letting previously damaged cars on the road.

The shipping company’s insurance is footing the bill, and how they will handle those cars that are already owned by the European Delivery customers is unknown at this time. Stay tuned to culture|garage for more up to date information.

Those cars with light damage will be repaired at the Elizabeth Receiving facility and sold through BMW’s dealer network as new cars. Might want to spring for the CARFAX this time.

ShareThis

Was it good for you? Subscribe to our articles.

Trackback from your own site

35 Responses to “are you waiting for your brand new Bimmer? BMW NA loses 370+ cars”

pat Says:
January 12th, 2008 at 2:48 am

This is major. Is “The Courage” the name of the ship? Good find!
Ryan Says:
January 12th, 2008 at 3:10 am

Someone is so fired.
Breakdown Cover Says:
January 12th, 2008 at 7:21 am

Something similar happened about 5 years crossing from Germany to the UK, the ship went down, along with many BMW’s from the factory.
Why Go Sixty Says:
January 12th, 2008 at 7:53 am

We’re huge bimmer fans over here, and this one really hurts. Ryan’s comments says it all.
Tonka Says:
January 12th, 2008 at 8:57 am

370 cars is what, a few hours production for them? Retail loss is probably in the $10-$15 mil range, or not even .1% of their annual revenue, and 370 vehicles is a little over 0.1% of the units sold in 2007 in the USA. An inconvenience at best.

The ones that are really screwed are those European Delivery customers. When I looked into doing a European Delivery a few years back I found that unless you bought separate transit insurance for $150 the insurance the company provided only covered their losses due to damage caused by your vehicle. It did not cover damage or loss of your vehicle. I hope BMW does the right thing and replaces the vehicles, but they may figure it’s cheaper to got the Ford calendar route.
Tom Says:
January 12th, 2008 at 9:20 am

Owned.
Bimmers are generally driven by assholes anyways, no big loss.
Chris Says:
January 12th, 2008 at 9:42 am

“Tom Says:
Owned.
Bimmers are generally driven by assholes anyways, no big loss.”

Well in that case, I’m so sorry that your car was destroyed…it’s a true shame.
Chris Says:
January 12th, 2008 at 10:53 am

What a bummer!
Scooter Says:
January 12th, 2008 at 11:09 am

Hmmn, I’m an asshole and drive a on old Ford pickemup truck…no wonder I’ve felt lost all this time.

Thanks Tom!
Pat Says:
January 12th, 2008 at 11:15 am

Tonka, it may only be a few hours production, but imagine the disappointed customers that have waited for their new M3s. I would be pissed!
Chris Says:
January 12th, 2008 at 1:00 pm

Too bad it wasn’t a boat load of 1-series coupes.
Markstre302 Says:
January 12th, 2008 at 5:29 pm

It’s a shame they are going to crush the total loss cars. I can think of many older BMWs that would really benefit from a V8 M3 motor swap.
Erich Haun Says:
January 12th, 2008 at 6:50 pm

The shipping company’s insurance is picking up the bill so the only loss is the dealerships not having the cars in stock. Maybe those discounts will go away cause demand is higher and everyone will make a little more money.
Adam Says:
January 12th, 2008 at 8:04 pm

“M” cars aside, that is probably about half a day’s for a dedicated assembly line, if even that.
Nissan Enthusiast Forums - cloverfield monster destroys cargo ship Says:
January 12th, 2008 at 11:04 pm

[...] monster destroys cargo ship carrying 300 BMWs. are you waiting for your brand new Bimmer? BMW NA loses 370+ cars : culture|garage __________________ 05 WRX Stage 69 [...]
LEXman Says:
January 13th, 2008 at 2:42 am

Money is better spent on the IS-F or the C63 anyways…Saved some people time and money.
bmman93 Says:
January 13th, 2008 at 10:58 am

it said a lot of them where m3’s i only see like 1 or 2 in those pictures
Dana Says:
January 13th, 2008 at 11:15 am

I love to drive a BMW… but It is better to drive safely!
Mobius Says:
January 13th, 2008 at 12:08 pm

The four cars in the foreground are all M3s. Look at the mirrors.
Hacku Says:
January 13th, 2008 at 1:33 pm

They say 300+ BMW’s but from the pics I only see 4 different BMW’s.
Kelly Says:
January 14th, 2008 at 12:21 pm

holy crap, i ordered my last car, factory direct..
if that had happened… it’d be a sad day…

what kind of severence/reimbursement will the ‘owners’ from the EU Delivery receive??
ELiOT Says:
January 14th, 2008 at 1:06 pm

The redish orange one is the 1 series and other 3 are M3’s. Like others have mentioned, it isn’t all that big of a deal for BMW to lose 400 cars that are being paid for anyway by the shipper…but for the BMW enthusiasts whom ordered them, I feel bad for them.

As Ryan mentioned, someone is SO fired…LOL.

PS; LEXman guy, Go to school!
BRuce Says:
January 14th, 2008 at 2:47 pm

The real bummer is six months from now when the damaged M3’s are on your dealer’s lot with $75,000 stickers slapped onto windows that have been replaced in doors that have been bondoed and repainted: “Those cars with light damage will be repaired at the Elizabeth Receiving facility and sold through BMW’s dealer network as new cars.”

Anyone interested ought to email BMW NA and all your favorite magazines with this url attached.
Charley Says:
January 14th, 2008 at 6:42 pm

This same thing happended to my Veyron.
Hisham Says:
January 14th, 2008 at 8:45 pm

That looks like 6 BMWs to me, not 370.
Hisham Says:
January 14th, 2008 at 9:12 pm

Where can I get in touch to get those damaged bimmers>?
micks69 Says:
January 14th, 2008 at 9:12 pm

Where can I get in touch to get those damaged bimmers>?
Mike Says:
January 15th, 2008 at 10:04 am

You people do not have a clue and post a lot of BS… just because there are only a few cars in pictures does not mean that there are not MORE still on the boat. It takes almost half a day to unload them when they are driven off the ship. It will take several days to get them off via dollies etc. This has happened before (TriColor) and does set production and delivery back a good deal. The way BMW produces cars is based on allocation and “spots” so these cars will be replaced later and bump others that were already spoken for. Each car is made for a specific customer or order, unlike other manufacturers BMW does not just build cars and hope someone will buy it. An M car takes a good deal more time
As for those who did Euro Delivery, they will be fine and have full coverage included in the delivery unlike a misinformed poster stated was extra. BMW does not charge extra for any form of insurance unless it is greater than a 2 week trip (driving in the EU). Ocean transport is fully covered by the shipping company with a $0 deductible.
All of the cars damaged more than replaceable parts (bumpers, wheels, front fenders, windows etc.) will need to be disclosed up to a certain value or destroyed.
Most of these cars would be dealer cars at this point, except for the ED cars and 3ers,
Everyone will be taken care of, it is just a matter of time.
Mike Says:
January 16th, 2008 at 5:04 pm

Official BMW report is 470 damaged cars…. you all need to get a clue and not be rash and base things on a few pictures.

A cargo ship carrying new BMWs, Mercedes, and Volkswagens arrived in the Port of New Jersey on Friday with more than 470 damaged cars in one of its cargo holds. The cargo ship Courage, operated by Wallenius Lines, encountered rough seas in the Atlantic before arriving at port. Vehicles in one of the ship’s cargo holds were ripped from their lashings during the storm, hurtling cars into one another. In total, about 470 BMWs were damaged, roughly 120 of which are a total loss.

BMW North America spokesman Tom Plucinsky confirmed the incident, which was first reported on the eve of the start of the North American International Auto Show in Detroit. Plucinsky indicated that while there were BMWs in several holds of the ship, the damage appears to be limited to just the one. Nevertheless, BMW plans to inspect every one of their vehicles that was on the Courage, looking for damage at chassis tie-down locations and conducting a four-wheel alignment check on each one before releasing them to dealers.

The exact breakdown of the damaged vehicles is still being sorted out, but a significant number of the cars in the affected cargo hold were M3s intended for use as dealer demonstrator vehicles ahead of the full launch of the M3. A fair number of new 1 Series coupes, also intended for dealer use, were damaged as well. The remaining cars consist of customer orders and European delivery vehicles.

BMW says customers concerned about ending up with a damaged car can rest assured that any and all damage will fully disclosed before being sold to dealers. Following its long-standing policy, the damaged vehicles will be handled appropriately based on the degree of damage incurred. For instance, any vehicle whose repair costs approach or exceed its inventory value will be crushed in whole at the port.

Vehicles with damage greater than three percent of their value will be repaired and used as employee vehicles for a period of time before being sold at dealer auctions with full disclosure of the damage and repairs. After being sold at auction, the cars will carry the balance of the original factory warranty.

Cars with less than three percent damage will be repaired, after which the dealer, or the customer in the case of a special order vehicle, will be notified of the damage and repair and then given the option of accepting or refusing the car. Any repaired car that is rejected by either a dealer or a customer will be sent to a dealer auction and the vehicle will be replaced with an identical one at the earliest possible time. All repaired vehicles will carry the full factory warranty.

Those customers who were waiting for their European Delivery vehicle to arrive will have the same options and everyone else. Essentially, they can take a similar vehicle from dealer stock, or they can order an identical replacement new from the factory.

The damaged inventory is an unfortunate setback given the timing. New M3s, 128i and 135i coupes are scheduled to go on sale in just a few weeks, and the loss of at least 120 cars will certainly cause problems with their launch. The remaining 350 or so damaged cars will take weeks to repair, further hampering the introduction of these popular models. Even the process of inspecting and aligning the remainder of the shipment will hold up the delivery of several hundred cars at a time when supply is already low.
Hermanempire Says:
January 17th, 2008 at 11:39 pm

If there’s alot of bmw cars wrecked and they will be selling and repair as 2nd hand car for cheap sale. I don’t mind be buying it. I will be the first one to order…Hehehehe
Darrell Says:
January 18th, 2008 at 9:28 pm

I am still waiting on my 528I
rami Says:
January 19th, 2008 at 7:51 am

Anyone know how long it takes to send the cars to Los Angeles. I ordered a 335i, supposed to arrive between late January and mid February.
Phyllis Aliberto Says:
January 27th, 2008 at 8:52 pm

I have a car that was on the Courage. Is it true that the dealer MUST inform me if any repairs were done on the car?
Joe Says:
February 10th, 2008 at 7:33 am

Mike,

Thanks for the correct information. Wish the other posters just gessing about the situation would “cool their jets” if they do not really know what they are talking about!

Sad to see this happen to any car.
BMW Collector Says:
February 13th, 2008 at 12:29 am

That’s a very sad sight to see, especially for anyone waiting for their new M3. You can be sure that these will take some time to be replaced. BMW production is only slightly affected, but the individual customers will have to be patient as they see some customers who ordered their cars after them receive them first.