Further Toyota Recalls

Toyota to recall 870,000 Sienna minivans for rusty spare-tire cables

Automotive News
April 16, 2010 - 5:53 pm EST

UPDATED: 4/16/2010 7:45 p.m. ET

(Reuters) -- Toyota Motor Corp said it would recall 870,000 Sienna minivans sold in the United States and Canada since the 1998 model year because of a risk that the spare tire could drop onto the road.

The recalls cover minivans sold in 20 cold-weather U.S. states and Canada due to potential corrosion from long-term exposure to road salt that could in the worst case cause the spare tire to separate from the vehicle, Toyota said.

All told, the recalls cover some 600,000 two-wheel-drive Sienna minivans from the 1998 to 2010 model years sold or registered in the United States and 270,000 of the same vehicles in Canada.

Friday's action pushes the number of Toyota vehicles recalled since late last year to more than 9.3 million. Most address the risk of unintended acceleration tied to faulty gas pedals and floor mats that can interfere with pedals. The Prius and other hybrids have also been recalled for brake problems.

On Tuesday, Toyota halted sales of its Lexus GX 460 SUV after Consumer Reports said its handling in certain curves posed a "safety risk."

The automaker has not yet decided whether it would have to recall the GX 460, but has said its engineers duplicated the results of Consumer Reports' tests.

For the Sienna recall, Toyota said prolonged exposure to high use of road salt could cause excessive corrosion in the cable. Owners will receive a letter urging them to bring their minivans to a dealership for inspection while Toyota develops a remedy.

The recall covers vehicles sold or registered in the District of Columbia as well as Connecticut, Delaware, Illinois, Indiana, Kentucky, Massachusetts, Maryland, Maine, Michigan, Minnesota, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, Virginia, Vermont, Wisconsin and West Virginia.

Owners in other states also can choose to have their vehicles inspected, Toyota said.

Toyota Halts Sales of Lexus

Toyota temporarily halts sales of Lexus GX 460


Automotive News
April 13, 2010 - 6:56 pm EST

Toyota has temporarily halted sales of its Lexus GX 460 after a safety warning was issued by Consumer Reports magazine.

The magazine said the 7-passenger SUV was at risk for a roll over accident during certain types of turns. The Japanese automaker said it would suspend sales until it had conducted its own testing.

On its Web site, the automaker said, "for any customer who has purchased a 2010 GX 460 and is concerned about driving their vehicle, we will provide a loaner car until a remedy is available."

Lexus Deemed Unsafe By Cnsumer Reports

Toyota's Lexus GX SUV called ‘safety risk'


Bloomberg News
Automotive News
April 13, 2010 - 7:12 am EST

LOS ANGELES (Bloomberg) -- Toyota Motor Corp.'s new Lexus GX SUV was labeled a “safety risk” by a magazine, complicating efforts by the world's largest automaker to repair its image after record recalls.

The 2010 GX 460 received the designation because of handling in emergency driving tests, Consumer Reports said today in a statement. The magazine, published by Yonkers, New York-based Consumers Union, said it hadn't deemed any vehicle a potential safety risk since 2001.

The GX's rear end “slid out until the vehicle was almost sideways before the electronic stability control system was able to regain control” at a Connecticut test track, the magazine said. “In real-world driving, that situation could lead to a rollover accident, which could cause serious injury or death.”

Toyota's recalls of more than 8 million vehicles worldwide for defects linked to unintended acceleration and brakes have hurt its reputation and led to U.S. congressional hearings and a rebuke by Transportation Secretary Ray LaHood. The U.S. assessed a $16.4 million penalty against Toyota for delaying its recall of sticky accelerator pedals and said there may be more fines.

“We're concerned with the results of Consumer Reports testing on the Lexus GX 460 and their suggested buyer recommendation,” Bill Kwong, a Lexus spokesman, said in an e-mail. While the model meets or exceeds U.S. safety rules, Toyota will try to duplicate the test results, Kwong said.

The company “appreciates Consumer Reports bringing it to our attention,” he said.

The GX has a starting price of about $52,000, according to Lexus's Web site. The Japan-based company has its U.S. sales headquarters in Torrance, California.

Consumer Reports checked the initial findings in the “lift-off oversteer” test of the GX by repeating it on a second vehicle, said Douglas Love, a spokesman for the magazine. The publication said it shared the results with the U.S. National Highway Traffic Safety Administration.

The magazine said it is unaware of reports of accidents resulting from what it found in the GX tests.

GMC Announces Prices of HD Trucks

By: Chrissie Thompson, Automotive News online April 9, 2010

DETROIT -- General Motors Co.'s 2011 heavy-duty pickups will start at $28,960, including delivery, undercutting the Ford Super Duty's starting price by $35.


Both automakers are releasing re-engineered heavy-duty pickups this year. The Super Duty goes on sale this month, while the heavy-duty GMC Sierra and Chevrolet Silverado will arrive at dealerships in June.

The GM pickup prices, released today, underscore the truck battle brewing between the automakers. As the economy improves, automakers are also hoping new home construction will show signs of a recovery to boost new truck sales, as builders invest in pickups to carry supplies.

The automakers' truck battle starts with optional diesel engines. Upgrading to a diesel on the Sierra and Silverado costs $8,395, while Ford's diesel engine costs $7,835. The GM diesels offer 397 hp and 765 pounds-feet of torque, while the Super Duty gives 735 pounds-feet and 390 hp. Neither automaker has released fuel-economy ratings, but Ford has promised “class-leading” fuel efficiency for its diesel.

The Sierra and Silverado can pull up to 20,000 pounds and carry 6,335 pounds, GM says.

GM increased the base-model price of heavy duties from the 2010 models by $500, while Ford upped its starting price $600.

U.S. Fidelis Files for Bankruptcy

Several months ago I wrote an article in the Cenla Focus about the automobile warranty companies that advertise on television on on satellite radio. Essentially, the article warned customers about these aftermarket companies that are not supported by the local franchised dealer network. Many of the companies had failing Better Business Bureau grades and others were being investigated by certain state's attorneys general.


Well, the shoe has dropped on at least one of the companies that I warned against. U.S. Fidelis, based in St. Louis, filed for bankruptcy protection in March citing more than $25 million in debt. The company is supposed to be issuing refunds to customers for cancelled contracts and claims that all warranty obligations are insured. In news articles published in Automotive News in March, reports show that the two brothers who owned U.S. Fidelis borrowed more than $49 million from the company to spend on themselves and their families.

When shopping for a vehicle or related products remember to shop locally and with people you know.

GM Recalls Vans

GM recalls 5,000 vans for potential engine fires



Sales halted; owners advised to stop driving until fix is found


Chrissie Thompson


Automotive News
March 27, 2010 - 10:51 am EST

DETROIT -- General Motors Co. is recalling about 5,000 heavy-duty vans and stopping production and sales because of alternators that could cause engine fires.

The recall, announced just before midnight Friday, affects some 2010 Chevrolet Express and GMC Savana 2500, 3500 and 4500 Series built in February or March. Light-duty versions use a different alternator.

GM says that until it has a fix for the alternators, customers should stop driving the vans; park them outside, away from buildings or other vehicles; and disconnect both battery cables if possible.

Few of the vans are owned by retail customers.

“It's in the teens,” GM spokesman Alan Adler said. “We're calling the customers we know who have them.”

About 1,300 of the vans are in fleets, and GM's stop-sale order prevents people from renting them. Many vans are still on dealer lots or are awaiting export.

GM builds the vans in Wentzville, Mo., where 60 percent of the production is typically devoted to heavy-duty models.

Honda Gets Aggressive With Pricing

Honda enters price war with Toyota



The automaker moves to preserve its market share amid aggressive sales incentives offered by its rival.

By Jerry Hirsch - LA Times

March 25, 2010

The auto price war is escalating with American Honda Motor Co. offering its biggest lease deal ever, a move analysts said was designed to offset aggressive sales incentives by rival Toyota Motor Corp.

What's unusual about this price war is that it is being fought the hardest by Japanese automakers, which historically have resisted using large incentives to sell vehicles.

Toyota fired the first volley when it announced a variety of discount financing and special lease deals this month in a move to regain market share in the U.S. after a series of embarrassing recalls.

"There is an irony in the fact that you have a price war launched by Toyota, which has never been reactionary before," said James Bell, an analyst with auto information company Kelley Blue Book. "They are playing the game other brands previously had to play to keep up with Toyota."

American automakers, by comparison, are showing restraint, if for no other reason that they don't have a lot of cash to burn on incentives, said Aaron Bragman, auto industry analyst at IHS Global Insight.

The discounting comes in the wake of a turbulent period of plunging sales for the automakers and bankruptcy restructurings for General Motors Co. and Chrysler Group last year. The industry has been working to wean itself from stimulating sales with large profit-trimming incentives.

"Any type of price competition hurts everybody's profits," said Shelly Lombard of Gimme Credit, a corporate credit research firm.

But moves by manufacturers to close factories and reduce expenses last year should make the companies less vulnerable to the current round of incentives because they have learned to make money on a lower sales volume, she said.

Honda has to act because it has the most shoppers who also consider buying Toyota vehicles and faces the "most competitive pressure," Lombard said. GM also is vulnerable because it has been supplanted by Ford Motor Co. as the biggest auto seller nationally and is still working to gain sales momentum after its bankruptcy reorganization. Ford, which "is on a roll," would be less vulnerable because it has fewer cross shoppers with Toyota, Lombard said.

Honda is offering lease promotions across all of its models -- the first time the automaker has had such a large incentive program. These include no down payment or security deposit, no money due for a month and waiving of any fees when the agreement is signed, spokesman Kurt Antonius said. The program runs until May 3, about a month longer than the current Toyota promotion.

"It just shows how slow the car business is," Antonius said.

Analysts said Honda had lost the most sales to Toyota.

"Honda needed to match [Toyota] to maintain its market share," Bell of Kelley Blue Book said.

Through mid-March, the Toyota incentives had allowed the company to build back market share lost to a continued recall and controversies over unintended acceleration in its vehicles, according to TrueCar.com, an auto pricing information company. Sales were running at about 15.5% of the market, the slice it held at this time last year.

Prior to offering its own incentives, Honda saw its share drop this month almost a full percentage point to 9.4%, TrueCar.com said.

Toyota's incentives may haunt it in future months, Bell said. The company has seen sales soar as bargain hunters and loyal customers stream into showrooms to take advantage of the deals, he said. But once that traffic runs out, Toyota faces the daunting task of selling to "people who are not loyal or who are skeptical of the brand," Bell said.

Parts Availability for recalled Honda Models

Earlier this week Honda issued a recall for 2007-2008 Honda Odyssey minivans and Element SUVs.  The recall has to do with extended travel of the brake pedal.  In essence the pedal can feel mushy.  Parts should become available for the fix by mid-April 2010.  For specific information on certain models or to determine if a vehicle is affected, contact Walker Honda at 318-445-6677.  Honda is mailing all customers later this week. 

TOYOTA CONSIDERS ADDITIONAL RECALLS

Toyota Motor Corp. has told U.S. safety regulators it is considering how to fix nearly 1.2 million Corolla and Matrix models that risk stalling because of flaws in an electronic system.


In a letter to the National Highway Traffic Safety Administration, Toyota said it wanted to meet U.S. officials to discuss an early-stage investigation of the stalling problem.

"Toyota does not believe that the alleged defect creates an unreasonable risk to motor vehicle safety," Toyota's regulatory affairs manager Chris Santucci said in the letter, which was dated March 2 and available on the NHTSA Web site on Wednesday.

The discussion of the engine stalling problem comes at a time when Toyota's safety record is under intense scrutiny. The automaker has recalled some 8.5 million vehicles globally this year, mostly for accelerator-related problems.

U.S. safety regulators and members of three congressional panels have criticized the Japanese automaker for moving too slowly to address consumer complaints of unintended acceleration and other safety concerns.

NHTSA opened a preliminary evaluation of Corolla stalling complaints in November.

Engine control module issues

The agency said then that it had received 26 complaints of engines stalling in Toyota Corolla and Matrix models because of failures in the engine control modules.

U.S. safety regulators said drivers reported the stalls happened "randomly" and some had occurred in highway driving or when drivers were passing through intersections.

Toyota said it did not believe drivers would have any "prior warning" that the engine was about to stall because of a glitch with the engine's electronic control unit, or ECU.

But Santucci said Toyota had concluded it would be better for the engine to stall than "become damaged or dangerous," putting it at risk of "catastrophic failures" or "fire."

"Toyota would like to meet with the agency to discuss this issue," Santucci said in the letter.

Toyota said it believed the ECU could malfunction because of a crack in soldered joints in the unit or because of an electrical short. Both conditions could cause the engine to shut down without warning or fail to start, it said.

The stalling problem affects 1.19 million Corolla and Matrix models from the 2005, 2006 and 2007 model years, Toyota said.

GM checking Vibes

The Matrix is sister vehicles with General Motors Co.'s Pontiac Vibe. The automakers built the Vibe at their former joint-venture NUMMI plant in Fremont, Calif. The Vibe also was part of Toyota's floor mat and accelerator pedal recalls that included the Matrix, which is built at Toyota's plant in Cambridge, Ontario.

GM spokesman Alan Adler said GM is assessing the engine-stalling situation.

Honda Recalls Odyssey Vans and Element SUV

From Automotive News Online MArch 16, 2010

Honda Motor Co will recall about 412,000 vehicles in the United States to address the risk that brake pedals may feel soft and slip closer to the floor over time.


The recall covers about 344,000 Odyssey minivans and 68,000 Element SUVs for the 2007 and 2008 model years and follows customer complaints over the issue, Honda said in a statement.

On some of the vehicles, air could enter the unit that controls braking and stability system, which may result in the "soft brake pedal" or "low brake pedal" after months or years, the company said.

Honda spokesman Chris Martin said several crashes and three minor injuries have been reported to the U.S. Transportation Highway Safety Administration regarding the problem.

"Although not all vehicles being recalled are affected by this issue, we are recalling all possible units to assure all customers that their vehicles will perform correctly," Honda said.

The recall comes at a time of public and regulatory scrutiny over vehicle safety issues in the wake of damaging safety problems involving Toyota Motor Corp vehicles.


For more information or to set up an appointment to get your vehicle repaired, Contact Walker Honda at 318-445-6677

Nissan Recalling 598,000 Trucks

Nissan is recalling about 598,000 trucks, according to the National Highway Traffic Safety Administration. The Nissans are being recalled for two problems, which in a few cases means two repairs on the same vehicle. The first recall involves about 179,000 vehicles because the brake pedal could become “partially disengaged” from its bracket. The recalled vehicles are the 2008–10 Titan, Armada and Infiniti QX56 and the 2008–9 Quest minivan. The second recall covers almost 419,000 vehicles on which the fuel gauge could show there is a quarter tank of fuel when the tank is, in fact, empty, the automaker told the safety agency. The vehicles affected in this second recall are the 2005–8 Titan, Armada and QX56, as well as some 2006 and 2008 Frontiers, Pathfinders and Xterras.  For more information contact your local dealer or check the NHTSA web page.

Continued Complaints of Sudden Acceleration By Toyota Owners

Reproduction of Articel From Automotive News.


Neil Roland

Automotive News
March 4, 2010 - 12:01 am EST

WASHINGTON -- U.S. regulators are investigating 10 recent cases in which owners of recalled Toyota vehicles say they brought their cars in for repair and yet still experienced unintended acceleration.

The National Highway Traffic Safety Administration has started contacting consumers about these complaints “to make sure Toyota is doing everything possible to make its vehicles safe,” agency chief David Strickland said in an e-mailed statement on Wednesday.

A recurrence of unintended acceleration, even after sticky gas pedals and obtrusive floor mats have been addressed by dealers, would suggest there may be other causes of the loss of speed control in Toyota vehicles.

“We are confident that Toyota vehicles are safe, and we're doing everything we can to ensure that our customers are satisfied with the repairs we are making,” Toyota spokesman Brian Lyons said in an e-mail.

Lyons said Toyota has asked NHTSA for the information needed to contact customers with post-repair complaints.

Toyota's top executives have repeatedly denied that electronic throttle-control systems may interfere with acceleration, most recently at a Senate Commerce Committee hearing Tuesday. The company has hired the Exponent consulting firm to look into the matter further.

Since October, Toyota has recalled more than six million U.S. vehicles for unintended acceleration. The causes were attributed either to sticky gas pedals or to floor mats that entrap pedals.

The Safety Research & Strategies consulting firm reported this week that four Toyota customers complained to NHTSA last month of recurring unintended acceleration, even after their vehicles were recalled and repaired.

In one case, the owner of a 2008 Toyota Avalon reported Feb. 25 that a few days after a recall, the driver had the car in reverse and was slowly backing out of a residential carport when it accelerated on its own, the Safety Research report said.

“The car did about three loops around the garage area of the home, causing damage to the car, benches, tree, bushes, lamp post, etc.” the report said.

The owner of a 2010 Camry reported that within a week of its Feb. 12 acceleration fix, the car sped up as the driver was entering a parking space.

“I was pressing the brake,” the complainant said, according to Safety Research. “I jammed both feet into the brake. After three seconds, as my car was climbing up a snow bank, it stopped.”

The complainant added: “The fix done by Toyota is not the fix for the acceleration problem.”

Said Toyota's Lyons: “We have rigorously tested the solutions that Toyota engineers have developed, and are aggressively investigating any complaints.”

Nissan Recalls 539,000 Vehicles

Nissan Motor Co., Japan’s third- largest automaker, will recall 539,864 vehicles to check and fix potentially faulty parts in models sold mainly in the U.S. Nissan will inspect and fix brake-pedal pins in 2008-2010 model year Titan pickup trucks, Quest minivans and Armada and Infiniti QX56 sport-utility vehicles, the company said in an e- mailed statement. The Yokohama-based carmaker will also check and fix fuel gauges in 2005-2008 model year Titans, Armadas and QX56s, as well as Frontier pickups and Pathfinder and Xterra SUVs produced from January to March 2006 and October 2007 to January 2008.  From Bloomberg News

0% on GMC Vehicles

GMC is offering a 0 percent/60-month financing program on most of its 2010 model vehicles, its head of sales said today.
GM reported a 12 percent U.S. sales gain for February in a market that rose 13 percent.

The program will cover GMc Trucks and the Acadia.  about   This is an opportunity to launch GMC Truck Month which has traditionally been in March each year.  The incentives also give APR's as low as 1.9 and 2.9% on some Buick models.
The plan also includes 0 percent/72-month financing for remaining 2009 model inventory which covers about 97 percent of GM's 2009 models.  Contact Walker Automotive at http://www.walkerautomotive.com/ or 318-445-6421 for more information on low financing rates and other programs that may apply.

GM Recalling Chevy Cobalt and Pontiac G-5

From: Automotive News

March 2, 2010 - 1:46 am EST

DETROIT (Reuters) – General Motors Co. is recalling 1.3 million compact cars in North America to address a power steering problem that has been linked to 14 crashes and one injury, the company said on Tuesday.

U.S. safety regulators opened an investigation on Jan. 27 into approximately 905,000 Cobalt models in the United States after receiving more than 1,100 complaints of power steering failures. The complaints included 14 crashes and one injury.

The recall covers the 2005-2010 model year Chevrolet Cobalt and 2007-2010 Pontiac G5 in the United States; 2005-2006 Pontiac Pursuit sold in Canada, and the 2005-2006 Pontiac G4 sold in Mexico, GM said in a statement.

GM said it told the U.S. National Highway Traffic Safety Administration about the voluntary recall on Monday after concluding its own investigation that began in 2009.

GM said the affected vehicles can be still be "safely controlled" but it may require greater steering effort under 15 mph (24 kph). Drivers will see a warning light and hear a chime if the power steering fails.

"After our in-depth investigation, we found that this is a condition that takes time to develop. It tends to occur in older models out of warranty," GM Vice President of Quality Jamie Hresko said in the statement.

"Recalling these vehicles is the right thing to do for our customers' peace of mind," he said.

GM said it is currently developing a remedy to fix the problem and will notify customers when the plan is finalized.

Chrysler to Replace Airbag Sensors in 355,000 vehicles

Chrysler to replace airbag sensors in 355,000 minivans



Automotive News
February 24, 2010 - 3:00 pm EST


DETROIT (Reuters) -- Chrysler Group LLC said it will replace a front airbag sensor in more than 355,500 minivans, starting in June.

The automaker's "safety improvement campaign" covers 355,562 of its 2005-2006 Chrysler Town & Country and Dodge Grand Caravan minivans, including 259,437 in the United States and 72,035 in Canada.

The move comes after Chrysler found one of the front airbag crash sensors could crack under some environmental conditions and allow water to enter the sensor, potentially causing the sensor to become inoperative.

The company, which is controlled by Fiat S.p.A., said it is not aware of any complaints, injuries or property damage related to this issue.

Chrysler said the campaign is different from a recall because should problems occur, the vehicles would still meet crash standards outlined by U.S. safety regulators.

"If the front crash sensors become inoperative, the driver is immediately alerted by illumination of the airbag warning light," Chrysler said in a document sent last week to the National Highway Traffic Safety Administration to notify the agency of its decision.

"Until the vehicle is repaired, the airbags may not provide the enhanced protection in the event of a crash," Chrysler said.

The voluntary safety action comes at a time when Toyota Motor Corp. faces heightened scrutiny over its handling of a series of safety problems that rocked its reputation and results.

Hyundai Motor Co. said on Tuesday it will recall 47,000 of its new Sonata sedans to fix faulty door latches.

2011 Hyundai Sonata Recalled

Hyundai to recall 2011 Sonata because of door glitch

Dealers informed of sales halt

Lindsay Chappell
Automotive News
February 24, 2010 - 12:01 am EST


UPDATED: 2/24/10 1:08 p.m. ET

Hyundai Motor America Inc. late Tuesday told regulators that front door-lock modules on some 2011 Sonatas can stick under some circumstances.

The Korean automaker planned to notify customers of a recall.

“Anything to do with door latches warrants a recall,” said Hyundai spokesman Miles Johnson in Fountain Valley, Calif.

Earlier Tuesday, Hyundai ordered a halt to sales of the 2011 Sonata after notifying dealers of the problem.

The recall will affect about 1,300 of the 2011 Sonata sedans built through Feb. 16 at Hyundai's plant in Alabama and sold to customers, plus 46,000 Sonata units produced through Dec. 6 in South Korea. The new model started to be sold from September 2009 in South Korea and this month in the United States.

It will notify South Korea's transport ministry and the U.S. National Highway Traffic Safety Administration this week of the decision to recall the cars in March.

The company said it received complaints from customers but no reports of accidents or injuries related to the model.

Quick resolution

With intense scrutiny bearing down on rival Toyota Motor Corp., Hyundai hopes to quickly resolve the product glitch on the recently released sedan.

The Sonata is Hyundai's biggest-volume vehicle, with 2009 sales of 120,028 cars. The 2011 model went on sale only two weeks ago. There are currently only about 5,000 cars in U.S. inventory, and about 1,300 have been sold, Johnson said .

It is unclear how many of those have the faulty locks.

Johnson said the malfunction occurs only in situations where front-seat passengers try to open their doors from the inside while simultaneously holding down the lock button. In that circumstance, the interior door handle will not return to its normal position, and passengers cannot fully close the door.

If they press the lock button again, the handle will correct itself and allow the door to function correctly.

Heightened sensitivity

He acknowledged that there is heightened sensitivity to product issues at the moment because of the headlines and congressional hearings surrounding Toyota's global recalls of 8.5 million vehicles over safety concerns since late last year.

The Sonata repair will consist of replacing the front door-lock mechanism. Johnson said the replacement parts will begin reaching dealerships tomorrow, and the stop-sale will be lifted as soon as repairs are made.

He said communications to NHTSA and to vehicle owners will begin this week.

Reuters contributed to this report.

GMC President's Day Sale extended until end of February

Toyota Has Problems With Corolla

FROM THE NATIONAL AUTOMOBILE DELAERS ASSOCIATION

Toyota Probes Corolla Steering, Considers Recall


Toyota is considering a recall of its hot-selling Corolla subcompact after complaints about power steering problems — another blow to the world's largest automaker already reeling from a string of recalls for safety troubles. ... in an alarming disclosure that could widen Toyota's recall crisis, the executive in charge of quality controls, Shinichi Sasaki, said Toyota was taking seriously the complaints about power-steering problems in the Corolla, the world's best-selling car. He said it was still uncertain if a Corolla recall would be necessary, but it is an option the automaker is considering. He didn't disclose model years or regions that could be affected and said there have been fewer than 100 complaints. Toyota sold nearly 1.3 million Corolla cars worldwide last year.

Toyota recalls another 8,000 trucks - From Automotive News 2/12/2010

From Automotive News Article February 12, 2010

Toyota Motor Corp. will recall 8,000 Tacoma pickups due to possible cracks in a common drive shaft component that Ford Motor Co. and Nissan Motor Co. said posed no safety risk to their vehicles.

Toyota's decision to call back the 2010 model year trucks in the United States, which it announced on Friday, was the latest in a series of recalls that have hurt the automaker's sales and its reputation for quality.

The recall followed supplier Dana Holding Corp.'s report to U.S. safety regulators that 34,000 drive shaft parts it supplied to Toyota, Ford and Nissan could have cracks.

Dana said it was investigating the cause of the problem, and remedies would be specific to each vehicle on which the parts are used. It believed less than 2 percent of the parts shipped to the automakers had cracks.

Toyota dealers will get instructions on how to perform a 10-minute inspection to locate identification numbers, the automaker said in a statement. In some cases, the part may need to be replaced. Owners will begin receiving notices in mid-March.

Dana spokesman Chuck Hartlage said the issue was detected quickly. The supplier believes only a small percentage of affected vehicles have been sold.

The vehicles "will not experience a loss of control or present a safety risk even in the unlikely event the part should fail," Nissan spokesman Colin Price said in a statement.


Toyota said in a document obtained by Reuters that the all-wheel drive version of the 2010 Tacoma trucks may have a component containing cracks in the joint portion of the drive shaft due to an "improper manufacturing process control."

The cracks eventually could cause the drive shaft to separate and strike the road surface, potentially causing drivers to lose control of the vehicle, the document showed.

Toyota said in the document the pickups were built from mid-December to early February. It told the National Highway Traffic Safety Administration of its planned recall on Thursday and was not aware of any accidents caused by the defect.

Dana said it has told the agency about a crack in some ''yolks'' that transfer torque between the drive shaft tube and universal joint.

Toyota's latest move follows a string of recalls in recent months that cover more than 8.5 million vehicles globally due to the risk that a loose floor mat or a sticky accelerator pedal may lead to unintended acceleration, and to resolve a problem with regenerative braking on its Prius hybrid car.

The 2005-10 model year Tacomas were also involved in a safety recall last September for the risk of unintended acceleration, which Toyota said was linked to floor mats that can become lodged under the acceleration pedal.

Toyota sold about 112,000 Tacomas in the United States last year, down from nearly 145,000 in 2008.





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GM Announces Pricing on New Regal

BUICK ANNOUNCES PRICING FOR 2011 REGAL

Detroit – Buick announced pricing for the all-new 2011 Regal. Prices start at $26,995 for the premium CXL model, including a $750 destination charge. Regal’s CXL turbo model will start at $29,495, including a $750 destination charge.

Regal will initially be offered in premium CXL trim only, with additional trim levels to be offered in the 2012 model year. The well-equipped Regal CXL includes the following as standard or available equipment:

• Standard 2.4L Ecotec direct injected engine rated at an estimated 182 horsepower (136 kW)

• Available 2.0L Ecotec turbocharged and direct injected engine rated at an estimated 220 horsepower (164 kW) – available late-summer 2010

• Both engines have six-speed automatic transmission standard with Driver Shift Control (DSC)

• Estimated 30 mpg on the highway with the 2.4L and 29 mpg highway with the 2.0L turbo engine

• MacPherson strut front suspension and four-link independent rear suspension

• Class-exclusive Interactive Drive Control System is available with the 2.0L turbo, offering enhanced vehicle stability and greater driving safety, while also adapting the driving characteristics of the car to the driver’s preferences. The driver selects among three operating modes that adjust suspension, steering, throttle, transmission, and stability systems to personalize the driving experience.

• Four-wheel disc brakes with four-channel anti-lock braking system, brake assist and electronic parking brake

• Standard StabiliTrak stability control system and full-function traction control

• Standard dual-stage frontal air bags, side-curtain air bags and pedal-release system; and available rear-seat thorax air bags

• Available navigation system, Harman Kardon sound system, and internal flash drive (1GB)

• Standard 18-inch aluminum wheels (19-inch aluminum wheels come with available Interactive Drive Control on the 2.0L turbo)

• Standard 12-way power, leather and heated driver seat; leather and heated passenger front seat; Bluetooth for phone capability; i-Pod auxiliary jack and USB port; XM Satellite Radio and OnStar

“The Regal is the next chapter in Buick’s transformation and we’re excited to bring this Buick sport sedan to market,” said Craig Bierley, Buick Marketing Director. “The dynamic driving experience and intuitive, personal technologies offer customers a premium sport sedan for great value.” 2011 Regal pricing compares to the 2010 LaCrosse as follows:

Buick Trim Level 2011 Buick Regal 2010 Buick LaCrosse

(CX) Available 2012MY $26,995

(CXL) $26,995 $30,395

(CXL) with turbo $29,495 N/A

CXS N/A $33,765

Regal production for sale in the U.S. and Canada begins late Q1 2010 in Russelsheim, Germany, with vehicles expected to start arriving at dealerships in Q2 2010. North American production will begin at the Oshawa Car Assembly plant beginning in Q1 2011.

About Buick

Buick is in the midst of a transformation that started with the Enclave luxury crossover and continues with the completely redesigned LaCrosse luxury sedan and Regal sport sedan. Buick is emerging as a modern, premium brand with vehicles characterized by sculpted designs, personal technologies, luxurious interiors and responsive performance. Future new sedans and crossovers are planned and will continue to expand Buick's portfolio both in North America and China. More information can be found at www.buick.com

Alexandria Attorney files suit against Toyota on Behalf of Dealers and Auction Companies

Lawsuit Filed on Behalf of Auto Dealers and Auction Companies by Neblett, Beard & Arsenault and Davis, Bethune & Jones


JEFFERSON CITY, Mo.--(BUSINESS WIRE)--Auto dealers and auction companies are bearing the financial brunt of Toyota’s recent recalls and Stop Sales Order and deserve to be compensated for the extra costs they are incurring, according to a class action lawsuit (2:10-cv-04025-NKL ) filed in Missouri federal court on Friday.

“Class actions allow small businesses to come together and take on a corporate Goliath like Toyota”

The lawsuit, filed by Shawn Foster of Davis, Bethune and Jones in Kansas City, Missouri and J.R. Whaley of Neblett Beard and Arsenault in Louisiana, details the financial pain that holding excess and unsellable inventory causes automotive dealers generally. The lawsuit then specifies the financial strain that the recent recalls and Stop Sales Order have caused the automotive sales industry.

The lawsuit also claims that Toyota knew over a year before the recent Stop Sales Order that its gas pedals were defective. The lawsuit claims that Toyota hid that information from the automotive sales industry and instead blamed bulky floor mats for the sudden acceleration problems plaguing the auto maker. That delay, according to the lawsuit, caused automotive dealers and auction companies to buy vehicles they cannot now sell and forces those businesses to carry costs to hold this currently unsellable inventory.

“Most used car dealerships are small businesses that really cannot afford to hold excess inventory, particularly in these tough economic times. This lawsuit seeks some reimbursement for the costs these dealers are incurring because of Toyota’s actions,” said Shawn Foster. The lawsuit seeks class action status on behalf of all automotive dealers and auction companies but specifically excludes licensed Toyota dealers. “Class actions allow small businesses to come together and take on a corporate Goliath like Toyota,” J. R. Whaley explained. “Class actions are oftentimes the most affordable way to prosecute claims like this.”

The lawsuit is pending in the federal court in Jefferson City, Missouri and is entitled Jerry Baker Auto Sales, LLC v. Toyota Motor Sales, U.S.A., Inc. et al. The docket number is 2:10-cv-04025-NKL.

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Honda Recall cars - Article From Automotive News

AS A PUBLIC SERVICE TO OUR CUSTOMERS, RECALL NOTICES WILL BE PRINTED ON THIS BLOG.  FOR INFORMATION ABOUT A PARTICULAR RECALL OR TO DETERMINE IF YOUR VEHICLE IS AFFECTED, CONTACT A LOCAL DEALER. 

BELOW IS AN ARTICLE FROM AUTOMOTIVE NEWS ABOUT A HONDA RECALL.

Automotive News

January 29, 2010 - 6:01 am EST

UPDATED: 1/29/10 4:45 p.m. ET

TOKYO (Reuters) -- Honda Motor Co. recalled 646,000 of its Fit/Jazz and City automobiles globally over a faulty window switch after a child died when fire broke out in a car last year.

The recall includes 141,084 vehicles in the United States and covers the models sold in North America, South America, Europe, South Africa and Asia, but not Japan, a spokeswoman said.  The Fit is Honda's best-selling model in Japan.  The U.S. recall covers Fits from model years 2007 and 2008, Honda spokeswoman Christina Ra said. 

Earlier this week, Toyota Motor Corp. announced it would extend to Europe and China a recall of millions of vehicles due to faulty accelerator pedals and floor mats.  Honda said the recall was to fix a defective master switch, which could cause water to enter the power window switch and in some cases cause a fire.

There were three reported cases of fires due to the defect, two in the United States and one in South Africa, the spokeswoman said.  A spokesman for Honda in Britain said the company had recalled all 2002-2008 year model Jazz units in South Africa and will recall 172,000 units in Britain after a fire broke out in one last year, killing a toddler.  Honda said on its Web site it would "inspect and modify driver door power-window switches that may, in some cases, short circuit as a result of water intrusion".

"There has been a recall to do with a window switch and 172,000 cars will be affected by the recall in the UK," a Honda UK spokesman told Reuters today.  "The recall will start towards the end of February. Now we will start talking to customers and dealers as to how we set up that recall."  Honda UK said that water was entering the drivers' window of its Jazz model and reaching a master power switch, potentially causing the switch to over heat and "potentially cause fire".

"At the recall a waterproof skirt will be fitted to the window to avoid any damage," the spokesman added.
Honda's Jazz was its best-selling brand in South Africa in December, selling 352 units during the month. 

Toyota Troubles

Toyota suspends sales of 8 models in recall -

FROM: AUTOMOTIVE NEWS

Kathy Jackson


Automotive News
January 26, 2010 - 6:27 pm EST

LOS ANGELES – Toyota Motor Sales U.S.A. is suspending the sales of the eight vehicles that it recalled last week for sticking accelerator pedals.

Toyota last week recalled 2.3 million vehicles, citing a problem caused by a pedal mechanism. Pedals jammed by floormats were the focus in the 4.2 million Toyota and Lexus vehicles that Toyota recalled last fall for unintended acceleration.

“Helping ensure the safety of our customers and restoring confidence in Toyota are very important to our company,” Toyota Division General Manager Bob Carter said in a statement. “This action is necessary until a remedy is finalized.”

Production will be halted for the week of Feb. 1 at plants that make the eight models involved in the recall. Two are in Indiana, with one each in Texas, Kentucky and Canada.

The affected vehicles are the 2009-10 RAV4, Corolla and Matrix; 2005-10 Avalon; 2007-10 Camry; 2010 Highlander, 2007-10 Tundra and 2008-10 Sequoia.

Reuters contributed to this report.

PLan For Success in 2010

By:  Lawrence S. Searcy, Jr.

I had the pleasure recently of listening to Rapides Parish Sheriff Chuck Wagner give a speech to a group of sales professionals about his first two years in office. He emphasized his business background and how his training in business planning helped him transition into his leadership role at the Sheriff’s department. When Sheriff Wagner was elected, the sheriff’s office did not have a written business plan. One of his first tasks was to assess the department’s needs and then write a business plan to address those needs. He used his professional sales experience to set measurable goals for his department. He then measured his successes and failures throughout the year according to the benchmarks that he set. Finally, at the end of the year, he reviewed the plan for the past year and proposed a new one for the coming year.


Every business, regardless of whether it is a governmental agency, private enterprise or non-profit organization, needs to follow the fundamental rule that Sheriff Wagner adopted. Make a plan. Follow the plan. Measure the success and failure according to the plan, and modify the plan as needed.

Make a plan:

Write your plan down. An unwritten plan is no plan at all.

When I was practicing law, I was measured by the number of billable hours that I billed to clients each month and for the year. In the car business, we measure monthly vehicle sales, repair orders written for service and parts sales. Regardless of what is being measured, the fundamentals are the same. You must know what measurements are critical to your success and how you plan to achieve the goals. The only way to do this is to write it down as a constant reminder.

By now, your 2010 business plan should already be in place. If not, it is not too late to start. Begin by looking at the past year, examining the past and current economic environment and setting realistic goals for success based on those observations. While the goal should be achievable, it should not be easy. Objectives should be set for short and long measurement. Start first with weekly and monthly benchmarks. Compare these at the end of each month to determine if you are on track for yearly goals. If not, then modify the plan as needed to reach new and achievable goals.

Follow the Plan:

Your plan is a long-term projection measured in short-term segments. While it can be modified, the fundamentals should be followed throughout the year. Think of your strategic plan like a roadmap. While you may use different roads to get to a final destination, the result is always the same – you arrive at the destination. When analyzing your plan throughout the year, it is ok to modify the way you get to the final result but the original outcome should remain the same. The final outcome should only be changed when it is clear that the original forecast is impossible to achieve. When that becomes necessary, amend the plan by re-forecasting for the remainder of the year. Do the same thing you did in the beginning of the year by setting realistic estimates you can achieve by the end of the year.

Measure success, failure and modify:

A business plan means nothing if the results are not measured. Again, like a roadmap, you cannot know where you are going without knowing where you are during the journey. Every day, week, and month, all measurements need to be reviewed to determine if the plan is on target. In many cases the plan may need to be modified because the goals are either too easy or unrealistic. If success comes too easily, then the original goals were not challenging enough and they need to be strengthened. If your numbers fall short, then the original expectation may not have been based on realistic economic conditions and should be scaled back.

Forecast for success and write a plan to meet your goals. Do this and 2010 will be a successful and profitable year.

Walker BMW Specials January 2010

Proper Alignment

By:  Tim Nortier
Service Manager, Walker Automotive

As part of our continuous efforts to improve our service, Walker Automotive has recently invested in a significant upgrade to our alignment equipment. This new HUNTER WinAlignment equipment and software exceeds the requirements of all major Original Equipment Manufacturers (OEM), including Mercedes-Benz, BMW, Mitsubishi and General Motors vehicles. Further, as an authorized dealer for Mercedes-Benz and BMW, only Walker Automotive has access to the customized software required for proper wheel alignment of all BMW and Mercedes-Benz vehicles.


Out of alignment conditions occur when vehicle suspension and steering systems are not operating at their desired angles. On an older vehicle this condition is most often caused by wear of suspension components (shocks, struts, springs, ball joints, etc.) Out of alignment can also be the result of impact with a pothole or curb, or a change in vehicle ride height (lowered or raised) on any vehicle, regardless of age.

Reduced Tire Wear:

Incorrect alignment settings will usually result in more rapid tire wear. Alignment should be checked whenever new tires or suspension components are installed, anytime unusual tire wear patterns appear and after the vehicle has encountered a major road hazard or curb impact. Over the years, a properly aligned vehicle can add thousands of miles to tire life.

Think of it this way - Research indicates the average vehicle is driven about 12,000 miles per year. A vehicle with toe alignment just 0.34 degrees (or just 0.17 inches) out of specification has dragged its tires sideways for more than 68 miles by the end of the year!

Better Gas Mileage:

Gas mileage increases as rolling resistance decreases. Proper alignment sets all four wheels parallel to the road surface, which, along with proper tire inflation, reduces rolling resistance.

Improved Handling:

Does your vehicle pull to one side? Does the steering wheel vibrate? Do you constantly have to move the steering wheel to keep your vehicle traveling straight ahead? Many handling problems can be corrected by an alignment. With all the system components aligned correctly, road shock is more evenly distributed for a smoother ride.

Safer Driving:

A suspension system inspection is part of our alignment procedure. This allows us to spot worn parts before they cause costly problems. Remember, maintenance is always less expensive than repair.

How often should I have my vehicle aligned?

Follow the manufacturer’s recommendation as noted in your owner’s manual, but as a general rule, have your vehicle’s tires rotated at least every 10,000 miles and alignment checked at least once per year.

Walker Supports Susan G. Komen For The Cure in Alexandria

By:  Lawrence S. Searcy, Jr.

Walker Automotive is excited to be a part of the newest expansion chapter of the Susan G. Komen for the Cure organization. The Northeast-Central Louisiana Chapter of Susan G. Komen For The Cure® announced recently its expansion into the Central Louisiana community. The affiliate expansion will add the parishes of Vernon, Rapides, Grant, Avoyelles, LaSalle, Catahoula, and Concordia parishes. The expansion was officially announced at a celebration on January 5, 2010, at the River Oaks Arts Center in Downtown Alexandria.

More than twenty-five years ago, Susan G. Komen for the Cure started the breast cancer movement. Susan G. Komen for the Cure is the global leader in the fight against breast cancer through the funding of innovative research and community-based health programs. Collectively, the local Komen affiliates are dedicated to ending breast cancer forever by empowering people, ensuring quality care for all and energizing science to find cures.

As part of the local expansion, Alexandria will host Susan G. Komen Race for the Cure® event September 18, 2010. The race series helps raise money for local communities to put back into finding a cure and helping breast cancer patients locally. This year, CHRISTUS St. Frances Cabrini Hospital is proud to be the Presenting Sponsor of the race.

Around the world local races raise money for local communities’ initiatives to help fight and cure breast cancer. Participants can run or walk the 5K route or even Sleep In for the Cure®. There is also a special race and activities for kids 12 and under.

Up to 75 percent of the money raised by the Alexandria Susan G. Komen Race for the Cure stays in the Central Louisiana area to fund screening, treatment and education programs. The remaining dollars support the national Komen initiatives. For more information or to volunteer, contact Lawrence S. Searcy, Jr. at 318-445-6421.

WHERE ARE YOU POSITIONED IN THE WORLD OF SOCIAL MEDIA

A recent newspaper article stated that more than 28 million people in the U.S. use a Blackberry device. An additional 78 million are using an Iphone or Itouch to make calls and wirelessly connect to the internet. Add to that all of the other mobile internet devices in use around the country, and pretty soon it’s easy to realize that the general public is only satisfied by receiving instant, up-to-date and relevant information. Mobile users are accessing the internet with these devices to instantly find your company, research your products and comment on the level of service received at your business. All of this is done instantly and with the simple push of a button. Once the message is sent, it cannot be retrieved and it exists in cyberspace without input unless you intercept it and control the message.


As we end 2009 and move forward into 2010, the most important thing a business can do is examine its position on the web and in social media. Social media and instant communications are now revolutionizing the way Americans comment on their experience with a company. Customers now post comments by instant message, on Facebook, blogs, Linkedin and a host of other sites. As a business owner or manager, you must be aware of what is being said about you and your company by your customers.

Businesses need to be aware of communication trends and how they potentially affect your business. Smart phones have maps showing your address, real pictures of your location, access to blogs and social media. The result is that customers utilize these tools to instantly communicate with their friends and colleagues about the level of service received at your business. The message and responses are instant as is the potential impact on your business. These sites provide a voice to millions to speak honestly and openly on all matters of customer experience. The scary thing is that customers may be having a positive or negative conversation with hundreds of friends via social networking while still shopping at your business. Even more problematic is if you do not even know that the conversation is occurring.

The trick for the business owner is to be a part of the conversation. Whether it is positive or negative, businesses need to engage and try to control the messages that are out on the internet by monitoring what is being said on these sites. If the message is negative, control the potential outcome by offering a solution or response. If the message is positive, pass it on and use it as testimonial advertising. Use social media tools and websites to get your own personal message out about your business, community activities and your products.

Businesses need to have a blog, a Facebook account, and a presence on other social networking sites. Content must be fresh and relevant. This means adding content constantly. Information that is hours, weeks or months old is irrelevant to today’s consumer. If the information is stale, customers turn away and find current information elsewhere. Businesses must monitor what the customers are saying on these sites and respond to both compliments and criticism. The worst thing to do is not be a part of the conversation. If you have a blog, add information to it at a regular interval and use it to respond to compliments or criticisms.

Customers want current and relevant information from the internet. Give them what they want and your business will be successful in the coming year.

Walker Automotive Receives 80-Year Award from General Motors

Walker Automotive is pleased to announce that on December 15, 2009 it will celebrate its 80th anniversary as a General Motors partner. The dealership was started in 1919 and ten years later Walker began selling Oldsmobile vehicles. The Oldsmobile franchise was awarded in 1929 and the official name of the company was changed to Walker Oldsmobile Company, Inc. Since then, Walker has sold GM brands including Oldsmobile, GMC, Pontiac, Saturn and Buick.

Steve Kuhl, Zone Manager for General Motors will personally present a recognition plaque to W. Foster Walker III, President of Walker Oldsmobile Company, Inc. The recognition ceremony will be at 4:00 p.m. on Tuesday, December 15, 2009 at 1616 MacArthur Dr. Alexandria.

“In the 80 years since 1929, we have had several GM franchises and have enjoyed a prosperous relationship with GM,” Walker said. “GM has made many changes over the years and, in the last year, has reinvented itself with fewer, stronger and more properly located dealers. We are excited to receive the 80 year recognition and look forward to continuing our partnership with GM for many years to come.”

On June 1 of this year Walker was selected as a General Motors “Key Dealer” for its Buick and GMC brands. GM’s selection of Walker Automotive as a Key Dealer shows the confidence that GM has in Walker being part of the new GM.

Throughout the years, Walker Automotive has endured many changes in the automotive business. This year represents Walker’s 90th year in the car business and its 80th year associated with General Motors.

“We consider all of our employees and customers a part of “Team Walker” and believe that our commitment to honesty, integrity, quality, and excellence help us to maintain lasting relationships with customers over multiple generations. Many of the families we sold to 80 years ago have new generations of family members buying from us today. That is due in large part to the quality of brands that we sell including the long partnership we have enjoyed with General Motors, and our commitment to great customer service” said Mr. Walker.

Walker was founded in 1919 as Alexandria Auto Company, Inc. by Foster Walker Sr. After returning from World War I, Foster Walker Sr. began selling Durant, Reo and Star automobiles from a gas station in Downtown Alexandria. That business eventually became Walker Oldsmobile Company and is now run by Foster Walker III. Ninety years after its inception the dealership has expanded from its meager origins to three locations, 8 manufacturers, three service departments and a collision center. Over the last 9 decades, Walker has won numerous national and factory awards for all aspects of its business and offers new and pre-owned vehicles ranging from quality entry level models to German luxury vehicles.

WARRANTIES THAT ARE TOO GOO TO BE TRUE

BY: LAWRENCE S. SEARCY, JR.

Almost anyone who watches late night television is familiar with the convincing pitches for service contracts on out-of-warranty vehicles. Most of the commercials promise full coverage for repair bills regardless of the vehicle’s age or mileage. However, increasing media attention of these warranty companies is exposing what many call a telemarketing scam.


In June, 2009, I wrote an article about companies selling service contracts using automated telephone dialers and national commercials. At that time, the Better Business Bureau was warning consumers about unsolicited telemarketing calls from vehicle extended “warranty” companies. In the last three years, the BBB has received more than 1200 complaints and 33,000 inquiries on one of the companies, US Fidelis, based in St. Louis, Missouri. Moreover, a recent Federal Trade Commission settlement with another warranty company, Transcontinental Warranty Company, put the company out of business and awarded damages to victims. Transcontinental was involved in what the FTC called “Your Warranty is About to Expire” telemarketing and postcard scheme that involved more than 1 billion phone calls to consumers. More recently, the December 2009 issue of Car and Driver magazine exposed three companies’ attempts to use bait and switch tactics to get consumers to purchase products they either did not need or did not want. In the Car and Driver article the author called three warranty companies, US Fidelis, Mogi, and Stoprepairbills.com and exposed efforts to pressure consumers into buying products they did not need or would not pay claims for repair bills.

A quick internet search of these and other service contract companies reveals a host of consumer complaints and investigations by consumer groups and state’s attorneys general. Most of the complaints against these companies allege that customers were pressured into buying unwanted products, misled about the coverage that applied or excluded items that the consumer was told would be covered. The Federal Trade Commission (FTC.gov) and the Better Business Bureau (BBB.org) have excellent information on how to avoid being scammed by an extended warranty companies. (For some additional information see my article in the June 2009, Cenla Focus). The most important lesson is to research any company you do business with.

To avoid being scammed by these or any other company soliciting information by phone or internet, be cautious of the information you give. The Better Business Bureau advises consumers to check its web site for the company’s grade. All of these companies mentioned above have a grade of “F” with the BBB, which is the lowest possible grade. Also, use state resources like the Attorney General, the state’s motor vehicle commission or the state automobile dealer association. Each of these agencies can receive complaints and steer consumers to the appropriate reporting agency for a particular issue.

As a general rule, buy products from the people you know and trust. Locally, extended service contracts can be purchased from your local car dealer. These companies are invested in the community in both location and employees. If there is a problem, you can go directly to the dealer for a resolution. If you are not comfortable going to your selling dealer, call one of the agencies listed above to get information on reputable alternatives for purchasing an extended service contract.

When purchasing any warranty product, ask specifically what items are covered by the contract and those that will be excluded. All contracts will exclude maintenance items like tires, oil changes, windshield wipers and the like. Be sure to ask when coverage begins and when it ends. Some coverages are based on mileage while other are based on years in service or a combination of both

It is important to understand the exact price of the service contract and if a deductible exists for a repair. Some contracts have no deductible, some have a single deductible per items repaired, and others require a single deductible payment for each service visit. Also, ask whether the coverage can be cancelled and, if so, whether a refund will be issued to you for the unused term. Many consumers will sell or transfer their vehicle and may be entitled to a refund for amounts paid but not used during the term of the contract.

Protect yourself by dealing with those you know and trust. Do not give out personal information over the phone or by mail to anyone you do not know. Read the manufacturer’s warranty and be sure that you do not pay for coverage that the manufacturer already provides. Finally, trust your instincts. If something sounds too good to be true, it usually is.

Treats in Trunks Raises Money for Charity

On Saturday October 31, 2009 Saturn of Alexandria and Walker Automotive hosted the Third Annual Treats in Trunks event.  The successful event raised almost $1,000 for the United Way of Central Louisiana and AMIKids - Alexandria.  The ability to raise this money was due in large part to the many sponsors who donated time, money, food and gifts to the event.  Special thanks to the following:

• Sonic on Jackson Street and Tad Hunter
• Opus Broadcasting and Country 103
• Cheryl Jones and CJ Karaoke
• Jon Oats and his pony rides
• Autotrader and Pam Lee
• AMIKids for volunteers
• Alexandria Fire Department
• Sheriff Chuck Wagner, Vince Meadows and the Rapides Parish Sheriff's SWAT Unit
• United Way of Central Louisiana and its volunteers
• Kroger stores
• News Channel 5
• ABC 31
• KSYL Morning Show
• All of the employees at Walker Automotive who donated money to the charities

The event was a great success with more than 350 people participating.  All of the employees of Walker Automotive look forward to another successful event next year. 

WHAT IS THE DIFFERENCE BETWEEN A CERTIFIED PRE-OWNED VEHICLE AND A PROGRAM CAR?

By: Lawrence S. Searcy, Jr.
In a tight economy many consumers opt for a used vehicle rather than a new vehicle to save money. Consumers are often presented with different terms like Certified Pre-Owned or Program Car when shopping for a quality pre-owned vehicle. While the terms “certified pre-owned” and “program” vehicle are often used interchangeably by car buyers, they have completely different meanings. A certified pre-owned or “CPO” is one sold by a manufacturer’s franchised dealer on the dealer’s used car lot after undergoing a rigorous inspection. A program car, on the other hand, is a loosely defined term that could include rental cars, vehicles driven by employees or dealer demonstrator car. The reason the distinction is important is because with the consolidations and closings in franchised dealerships, many non-franchised used-car dealers are advertising “program cars” as if they were certified by the manufacturer. Since these dealerships no longer have a new car franchise, they cannot “certify” a used car in accordance with the manufacturer’s guidelines.

In 2008, more than 700 franchised dealerships closed across the country. By July 2009 the number of closings for the year had already topped 1,000 with an estimated 2,200 closings by the end of the year according to the National Automobile Dealers Association. Many were closed because of the economic downturn and many others will close because of the General Motors and Chrysler bankruptcies. Some of these closed franchised dealerships are trying to survive with a used car only operation. In an attempt to maintain a competitive edge, these used car dealers are advertising “program cars” to appear as if they have passed the rigorous tests associated with a certified used car.

A program car is usually defined in the car industry as a late model used car with low mileage. A dealer demonstrator may also be referred to as a program car but it must be sold as a new vehicle since it has never been registered or titled. According to Carfax, approximately 70% of “program cars” are rental cars that are subsequently sold at car auctions. They may not undergo any type of pre-sale inspection and are not sold with any type of extension of the manufacturer’s warranty. A program car may have some of the remaining factory warranty left on it but an additional service contract will cost the buyer extra money.

A “certified pre-owned car” on the other hand must be sold by a franchised dealer and undergo a rigorous inspection process. The vehicle must fit within the manufacturer’s mileage and age restrictions and cannot have prior damage or suspicious title histories. Most CPO programs require a Carfax report or similar title history be given to the customer. The Carfax report will detail the car’s origin, title history and any reported accidents in the vehicle. In addition, the CPO program will extend the manufacturers warranty on the vehicle for additional time and mileage. A program car does not have to meet these requirements.

As an example, General Motors’ CPO program requires that only certified GM dealers sell CPO cars. The vehicles must be less than 4 years old and have a mileage restriction of less than 75,000 miles. GM-trained technicians will conduct a 117-point inspection of the vehicle and repair any non-conforming item. The dealer will also check the Carfax report and be sure no deficiencies exist with the title or damage history. Once the vehicle passes inspection, it will have an additional 12-month or 12,000-mile warranty attached to it from the date of sale. Also, the powertrain warranty will extend to 100,000 miles or 5 years from the original in-service date. Other manufacturers programs are similar and can be found by looking at the manufacturer’s website.

Before buying any pre-owned vehicle, research the dealership, the manufacturer’s Certified program, and the vehicle itself on the internet. Any additional questions should be answered directly by the sales associate. If a dealer is reluctant to disclose the CPO inspection report or the Carfax report, go to a dealer that will provide the information willingly. For more automotive news and information about car purchases, visit http://www.walkerautomotive.com/.

TREATS IN TRUNKS

On October 31, 2009 Saturn of Alexandria will sponsor the third annual Walker Automotive “Treats in Trunks”. This event provides a safe trick or treat location for families. Walker employees will hand out candy and there will be a host of fun games and treats for people of all ages. This year’s event will raise money for The United Way of Central Louisiana and AMIKids – Alexandria. The scheduled time for the event is from 4:30 p.m. to 6:00 p.m., at Saturn of Alexandria, 1515 Dorchester, Alexandria. Every year local companies contribute to assist with the event in the form of donations and prizes. Look for the November Newsletter which will contain a full list of companies that helped make Treats in Trunks possible. For more information, contact Khristi Romero at 318-445-6421.


AMI Kids is a non-profit organization dedicated to helping troubled youth develop into responsible and productive citizens. AMI Kids has been active in Alexandria since 2006, there are 56 AMI Kids programs in eight states including 9 programs in Louisiana. The United Way is a non-profit local partnership that links donors and helping agencies with business, government, and other key players in central Louisiana to build a stronger community.

Can You Text Customers?

TEXTING IN BUSINESS

BY: LAWRENCE S. SEARCY, JR.

In 2007, more than 363 billion text messages were sent in the United States. That number has since risen to more than 1 trillion messages a year in 2008. According to a recent Nielsen poll, teenagers between the ages of 13 and 17 text an average of 1,742 times per month. Most of this messaging is person-to-person. However, with texting popularity rising among all age groups, businesses are starting to use it as a tool to communicate with customers. Many businesses use texting to advertise, promote a product or event, or notify customers of sales. What used to go into the mail is now being sent by e-mail or text.

At first glance, most businesses would not see a problem with texting customers about a special offer. However, there are legalities that must first be considered. Unfortunately, the law has not caught up with technology and texting is caught in the middle of some outdated laws that apply to other mediums such as telephones and emails. Federal agencies, courts and regulatory bodies are now struggling with how to categorize a text message and apply the old rules to a new technology.

Is a text message a phone call?

A federal law called the Federal Telephone Consumer Protection Act (TCPA) generally governs telephone calls. The problem is that the act itself does not define the term telephone call. Instead the regulatory body enforcing the law, the Federal Communications Commission (FCC), considers a text a call even though the law giving the FCC its power does not define it one way or the other. If a text is treated as a call, then businesses need to be aware of at least two implications.

1. A business cannot text a message to any number that is on a business “Do Not Call" list” or on the national “Do Not Call" list.

2. A business cannot send a text message to a cellular phone regardless of whether the number is on the "Do Not Call" list, if the text is sent from an automatic dialer or “robo-dialer.” Be careful because any computer may be considered an automatic dialer.

Is a text message an e-mail?

If the text is considered an e-mail, then any communications to consumers in e-mail format are subject to the “CAN SPAM” Act. The Can Spam Act is another federal law regulating e-mail messages and their content. For example, all commercial solicitation e-mails must contain the sender’s name, physical address, and a notice that the program is cost- free. Additionally, the consumer must have an opportunity to “opt-out” of additional solicitations. Moreover, the FCC has regulations that prohibit sending commercial e-mail messages to mobile devices without express prior permission.

Is a text message both an e-mail and a phone call?


According to the FCC, a text message qualifies as both an e-mail and a call. If this is the case, then businesses wishing to use the technology should comply with both sets of regulations. To do so, be sure to do the following things before sending the messages:

1. Get express prior permission from the recipient before sending the message.

2. Review your company's personal "Do Not Call" list to be sure the recipient is not on the list.

3. Review the national "Do Not Call" list to be sure the recipient is not on the list.

4. Determine if the delivery of the message complies with all of the requirements of the CAN SPAM Act.

In the end, each business needs to determine if the risks of texting are worth the compliance hassles. It may be better to hire an experienced outside consulting firm to implement the program. Also, always be sure to consult with an experienced attorney about compliance issues before starting a new program.

WALKER #21 ON WARDS LIST FOR USED CARS

Every year “Wards Dealer Business” magazine publishes a list of the 150 most successful used vehicle dealerships in the country. The annual list, published each September, ranks dealerships according to total revenue. This year, Walker Automotive ranks #21 nationwide on the list. No other dealer in Louisiana made the list. This distinction comes two months after Walker was named #64 on the Ward’s annual list of the nation’s largest dealerships.

Foster Walker, III, President of Walker Automotive, said he is pleased with the ranking and that the people in the organization are the ones deserving praise. “This ranking marks a significant achievement for our business. In a year when the industry is showing signs of slowing, Walker Automotive continues to excel in all of our operations. This is a real testament to the people in our organization. We are fortunate to have a great sales and management team. They work hard each day and are passionate about their profession. Their enthusiasm shows through our continued growth in a time when the industry as a whole is struggling,” Walker said.

Ray Leggio, Used Car Manager at Walker’s Big Lot Used Cars on MacArthur Drive (one of Walker’s three used car locations), said that the key to success is the right product mix and a number of financing options. “We try to have the vehicles in stock that people want. With the right inventory, we are able to offer competitive financing options through local banks, national lending institutions, credit unions and alternative lending for those customers who may have a negative credit history,” Leggio said.

Wards Dealer Business is an automotive trade publication distributed monthly to more than 25,000 automotive dealers. The annual used vehicle rankings are issued each September with an analysis of the top performing used vehicle retailers based on total used vehicle revenue. In 2008, Walker automotive retailed more than 2,100 used units with a total used revenue in excess of $40 million.

Walker Automotive is a fourth generation family company with more than 180 employees. Walker was founded in 1919 as Alexandria Auto Company, Inc., by Foster Walker, Sr. After returning from World War I, Foster Walker, Sr., began selling Durant, Reo and Star automobiles from a gas station in downtown Alexandria. That business eventually became Walker Oldsmobile Company and is now run by Foster Walker, III. Ninety years after its inception, the dealership has expanded from its meager origins to three new and used vehicle locations, eight manufacturers, three service departments and a collision center. Over the last nine decades, Walker has won numerous national and factory awards for all aspects of its business and offers new and pre-owned vehicles ranging from quality entry level models to German luxury vehicles.

Buyer Beware

Buyer Beware



By: Lawrence S. Searcy, Jr.



On a Saturday afternoon, while reading through one of the many automobile trade magazines that come to the office, I noticed another article about two used vehicle dealers being arrested for odometer fraud. Unfortunately, this kind of crime is not uncommon and despite federal laws aimed at protecting consumers, a number of unsuspecting car buyers are defrauded each year by odometer fraud. In this particular article two dealers in Wyoming conspired for four years to misrepresent the mileage on the vehicles that they sold. The dealers would allegedly buy high mileage vehicles and then roll back the odometers and change title documents to increase the value of the car. Every customer that bought a car from these two dealers could have prevented the fraud with a little extra investigation into the car’s history.

This story is important because it notes a growing trend in used car sales. Even though digital odometers are more sophisticated than their old mechanical cousins, they are not immune from tampering. In fact, the National Highway Safety and Traffic Administration (NHSTA) estimated that between 2002 and 2005 approximately 450,000 vehicles have been sold each year with false odometer readings. Total cost of the fraud to consumers is estimated at $1 billion annually.

Congress passed the Federal Odometer Law to prohibit the disconnection, resetting, or alteration of a vehicle’s odometer with the intent to change the mileage stated on it. The law now requires written mileage disclosures to all buyers when ownership is transferred. The law was passed because Congress realized that consumers rely heavily on the mileage to determine issues of price, safety, and reliability.

To protect yourself from unscrupulous dealers, research the vehicle before you purchase. It is best to buy from a reputable franchised dealer and ask questions about the car’s history. For instance, Walker Automotive offers a free Carfax on every pre-owned vehicle. By offering the Carfax upfront, customers can be confident that they are buying a quality, pre-owned vehicle. Providing the customer with a free Carfax report gives the customer the peace of mind that the vehicle has not been wrecked, damaged, or driven more miles than stated on the odometer. If a dealer refuses to give you a Carfax report or similar ownership information, the buyer should be suspicious and use extra caution before purchasing that car from that dealer.

A Carfax report can also be ordered online with the 17 character Vehicle Identification Number (VIN) and for a nominal fee. Each report will contain title information, flood damage reports, total loss accident history, lemon law or other manufacturer buy back claims, the number of owners and other pertinent information.

In addition to Carfax, official state reports on vehicle can be obtained from the state for a nominal fee. Louisiana provides the records by requesting information from the Department of Public Safety, Motor Vehicle Division, in Baton Rouge. A charge of $7.50 will be required for the records. Be sure to contact the office at (225) 925-6388 before making the request because the costs may have changed. When requesting the documents from the DMV be sure to specify what type of information you want and include the VIN, the year, make and model of vehicle. If you suspect that a vehicle odometer may have been tampered, a complaint can be made to the Louisiana Attorney General Auto Fraud Section in Baton Rouge.

Pre-owned vehicles can cost a lot of money and a little investigation can go a long way. Protect yourself from fraud by researching the vehicle’s ownership history before you buy. Beware of dealers that won’t give you the information for free or won’t access the information while you are at the dealership. A Carfax report can be obtained in minutes and it might make the difference of thousands of dollars in the selling price.

Walker WOW Factors

• On any given day Walker Automotive has almost 1,000 vehicles in stock.

• Every year more than 4,000 customers purchase from Walker Automotive.

• In June 2009 Walker Automotive was named #64 on the list of the largest automobile dealers in America by Wards Dealer Business

• Walker has been family owned since 1919 and now is operated by its third and fourth generation family members.

• Walker Automotive is the largest volume dealer in Central Louisiana selling 1 out of every 3 new cars in the area.

• Our employees have an average tenure at the dealership of more than 10 years.

• Walker Automotive is the only General Motors Certified Collision Center in the area.

• Walker Automotive has an A+ rating from the Better Business Bureau

How to Get a Free Credit Report

A credit report contains information about individuals, their income, bill paying habits, address, lawsuits, arrest records and bankruptcies. Every consumer is entitled to a free credit report every 12 months and all individuals should take advantage of this right to insure the information is correct.


The federal legislation known as the Fair Credit Reporting Act (FCRA) controls credit information and requires the nationwide consumer reporting agencies (Experian, TransUnion, and Equifax) to provide consumers with a free copy of the report when a written request is made. The purpose of the legislation is to promote the fairness, accuracy and privacy of the information in the consumer’s file. This is important because businesses use the credit score to evaluate applications for credit, insurance, employment and leasing.


Under the Act you have the right to know what information is in the credit file and whether that information has been used against you to deny credit. If the information is incorrect or incomplete it can be disputed and corrected. As a general rule of thumb, credit agencies cannot report derogatory information older than seven years or bankruptcies older than ten years.


While many websites promote free credit reports, there is only one website authorized to fill orders for free reports: annualcreditreport.com. Other websites that offer free reports are not part of the federally mandated free program and may try to sell consumers additional products in exchange for the credit report. It is important to note that annualcreditreport.com will never send a solicitation e-mail requesting personal information. If you get a solicitation from a company claiming to be from the free program do not respond by giving out personal information. If you prefer to use the telephone you can call 1-877-322-8228 or mail a request to P.O. Box 105281, Atlanta, Ga. 30348-5281. The government website at ftc.gov/credit has a wealth of information about credit scoring and the information that will usually be found on a credit report.


If you order the report on-line it will be available immediately. If you order by phone the report should take about two weeks to be mailed. The same is true when you request a copy by mail. If inaccuracies are found, you must report the inaccurate information in writing. The company will perform an investigation and usually respond within 30 days. The agency must give you written results of the investigation and another free copy of the report if the information has changed as a result of the report. For more information go to www.ftc.gov.

WALKER NAMED TOP DEALER IN THE COUNTRY

Every year “Wards Dealer Business” Magazine publishes a list of the 500 biggest automobile dealerships in the country. The annual list has been published for 22 consecutive years and ranks dealerships according to total revenue. While overall sales in the industry took a nose-dive, Walker Automotive advanced 11 spaces from number 75 to number 64 on the list. No other Dealer in Alexandria or Central Louisiana made the list.

Foster Walker, President of Walker Automotive said that he is please with the ranking and that the people in the organization are really the ones who should get credit for its success. “Without the tremendous sales, service and support team that we have in place we would be unable to continually grow in an era when so much pressure is put on retail sales,” Walker said. “We remain committed to honesty and integrity in every facet of our business and it is this philosophy that has earned our company an outstanding reputation and continued prosperity.” Walker continued.

Mr. Walker also emphasized that as a fourth generation family company, Walker Automotive always tries to do what is in the best interest of its customers. “Our customers make it possible for us to be and stay in business and we realize that customer loyalty is the key to generations of success. We believe that we are rewarded for our efforts by the vast majority of our customers who are repeat and lifetime buyers.”

Walker was founded in 1919 as Alexandria Auto Company, Inc. by Foster Walker Sr. After returning from World War I, Foster Walker Sr. began selling Durant, Reo and Star automobiles from a gas station in Downtown Alexandria. That business eventually became Walker Oldsmobile Company and is now run by Foster Walker III. Ninety years after its inception the dealership has expanded from its meager origins to three locations, 8 manufacturers, three service departments and a collision center. Over the last 9 decades, Walker has won numerous national and factory awards for all aspects of its business and offers new and pre-owned vehicles ranging from quality entry level models to German luxury vehicles.

Gap Protection

For most people, buying a car will be one of the largest single purchases of their life. In addition to the daunting task of picking the right car with the correct trim package, you also have to arrange financing and secure insurance coverage before driving off of the lot. Unfortunately, the minute the vehicle is purchased it begins depreciating such that it may not be insured for what you owe in the event the car is totaled or stolen. Most people think that when they buy “full coverage” insurance that the car loan will be paid off in the event that the car is later totaled. In many instances this assumption is incorrect.

In the early part of a vehicle loan, most people are “upside down” in their vehicle. That means the value of the vehicle is less than what is owed is owed to the finance company. When this occurs there is a “gap” between what the insurance company will pay for the total loss and what is actually owed to the finance company. There is, however, a special kind of protection called “Gap Coverage” that is designed to protect consumers from being upside down in the event of a total loss. Simply put, the protection pays the “gap” between what the insurance company pays (minus your deductible) to the finance company for the loss and what you owe the finance company. In many cases there is a gap because the actual cash value of the vehicle is far less that what is owed on the loan.
Here is how it happens:

Basic Information:

What you owe the bank when car is totaled: $23,000.00
Actual value (what the insurance pays you) $20,000.00
Primary insurance deductible $1,000.00

Insurance Payment:

Actual Value: $20,000
Minus Customer Deductible -$1,000
=============
Amount Insurance Pays $19,000

What you owe the bank $23,000
Minus amount paid by Insurance - $19,000
=============
Amount needed to payoff car loan (“GAP”) $4,000

Gap coverage would pay this $4,000 in the event there was a total loss. Without Gap, another $4,000 would have to be paid to the finance company before purchasing another vehicle or $4,000 negative equity would have to be rolled into another loan agreement.

Because of the large amount of customers that are now financing negative equity or taking low annual percentage rates in lieu of rebates, Gap protection is becoming more popular. In fact, in Louisiana, every customer purchasing a vehicle with credit must be offered the opportunity to purchase or decline Gap coverage. Buyers who choose to put little or no money down on a vehicle, or those who roll unpaid balances into their new loan, probably need Gap coverage. The same is true for those buyers who extend their loan terms beyond 48 months or add expensive accessories to the vehicle and roll the amount into the loan agreement.

Gap coverage can be purchased from many places but is easiest to obtain from the car dealership at the time you purchase your vehicle. The amount of the coverage is purchased separately but may be included in your finance agreement. The charge varies but is usually paid for with a single premium charge for the coverage. In many cases, Gap coverage bought at the dealership will also cover the amount of any insurance deductible. Other Gap policies may not offer deductible protection so it is best to ask before purchasing. Finally, Gap will not cover amounts already paid to the lender, past due premiums, personal property taxes or other charges. If you think you may need Gap coverage, contact your local new car dealer for more information.

Walker Automotive Selected as a Key Dealer By GM

By Lawrence S. Searcy, Jr.

Walker Automotive is pleased to announce that on June 1, 2009 it was selected as a General Motors “Key Dealer” for its Buick and GMC brands. On June 1, 2009 General Motors filed for Chapter 11 bankruptcy protection with the Federal Bankruptcy Court in the Southern District of New York. In doing so, GM hopes to reinvent itself with fewer, stronger and a more properly located dealer network. GM’s selection of Walker Automotive as a Key Dealer shows the confidence that GM has in Walker being part of the new GM.

Throughout the years, Walker Automotive has endured many changes in the automotive business. This year represents Walker’s 90th birthday and Walker is excited about the next 90 years. GM’s announcement means that Walker will continue to sell and service GMC and Buick vehicles well into the future. The Pontiac brand will be phased out over the next 18 months but Walker will continue to provide sales support, warranty service and parts on the all Pontiac vehicles into the foreseeable future.

“We remain committed to honesty and integrity in every facet of our business and it is this philosophy that has earned our company an outstanding reputation and longevity,” said Foster Walker III, President of Walker Automotive. Mr. Walker emphasized that as a fourth generation family company, Walker Automotive always tries to do what is in the best interest of its customers. “Our customers make it possible for us to be and stay in business and we realize that customer loyalty is the key to generations of success. We believe that we are rewarded for our efforts by the vast majority of our customers who are repeat and lifetime buyers.”

Walker was founded in 1919 as Alexandria Auto Company, Inc. by Foster Walker Sr. After returning from World War I, Foster Walker Sr. began selling Durant, Reo and Star automobiles from a gas station in Downtown Alexandria. That business eventually became Walker Oldsmobile Company and is now run by Foster Walker III. Ninety years after its inception the dealership has expanded from its meager origins to three locations, 8 manufacturers, three service departments and a collision center. Over the last 9 decades, Walker has won numerous national and factory awards for all aspects of its business and offers new and pre-owned vehicles ranging from quality entry level models to German luxury vehicles.