PEUGEOT, MERCEDES, BMW RUMOURS?

Rumour: a statement or report current without known authority for its truth.

There is some suggestion that Mercedes and BMW could share architecture for the next Mini and Mercedes-Benz B-class. Add PSA Peugeot/Citroen to the mix with the next C4. Or, better yet, chuck the two German automakers in with the French for a tiny city car, probably cheaper than anything available right now in North America. One BMW board member did admit that none of this could happen between rivals like BMW and Mercedes "...at the expense of either brand's core values." BMW and Mercedes can already be found labouring together with General Motors to further their hybrid and diesel technology.

The latest rumour involving Peugeot, BMW, and M-B concerns an engine alliance. The 4-cylinder you know from the new Mini (itself a BMW-owned brand) is the same one you would see in Peugeot's 207. That 4-cylinder is much smoother and more refined than the engine the previous Mini four that BMW shared with Chrysler.

One French high-value automaker and two rival luxury car companies from Germany. Strange mates.