Now comes word that the company is taking the scalpel to models carrying the Acura badge that feature RWD and a V8 engine. Other models include the successor to the Honda S2000 and one is a convertible based on the upcoming CR-Z coupe.
Reports also say that Honda has stopped development of a new V8 engine. The company is also considering paring down the number of Accord variants -- one for the U.S. and one for the rest of the world -- with just one model. Such a move is expected to save billions of dollars in development costs.
All is not gloom and doom, though. Honda is now committed to constructing more hybrids and a new small so-called "city car". These will include the Honda Insight, the world’s first hybrid super mini. Honda has set a goal to build 500,000 hybrids by 2012.
Is this the future for all world auto manufacturers? Stay tuned.