hyundai motor co ltd-2nd prf (HYMOF) Key Developments
Hyundai Agrees to Pay a $17.35 Million Civil Penalty and Comply with the U.S. Department of Transportation's National Highway Traffic Safety Administration Oversight Requirements
Aug 14 14
The U.S. Department of Transportation's National Highway Traffic Safety Administration announced that Hyundai has agreed to pay a $17.35 million civil penalty and comply with NHTSA oversight requirements outlined in a Consent Order as a result of the manufacturer failing to report in a timely manner a safety-related defect affecting 2009-2012 Hyundai Genesis vehicles. The defect involves corrosion in critical brake system components that can result in reduced braking effectiveness and increase the risk of a crash. NHTSA found that Hyundai had been aware in 2012 that brake fluids used in the model year 2009-2012 Hyundai Genesis did not sufficiently inhibit corrosion in key components of the vehicle's brake system. Rather than issue a recall, Hyundai instructed dealers to change the brake fluid in affected vehicles without explaining the consequences of failing to change the brake fluid. Hyundai also did not inform Genesis owners of the potential safety consequences. Hyundai finally issued a recall of the affected vehicles in October 2013 as a result of a NHTSA investigation. While there have been no fatalities relating to this safety defect, six consumers reported collisions, including two reports of injuries. As of January 14, 2014, Hyundai had received 87 consumer complaints with regard to Genesis vehicles, most of which suggest increased difficulty in braking. NHTSA said Hyundai failed to act to protect their customers and others that were harmed in an accident, and must change the way they deal with all safety related defects. As part of the Consent Order, Hyundai agrees to make improvements to its processes for identifying, reporting, and communicating safety-related defects in a timely manner. This includes the creation of a U.S. Technical Committee to review and make decisions regarding potential Hyundai-specific safety recalls. Hyundai will ultimately be responsible for responding to safety concerns in a timely manner based on the Technical Committee's recommendations.
Hyundai Motor Co.'s Union to Engage in Last-Minute Talks
Aug 13 14
Hyundai Motor Co.'s labor union said it will engage in last-minute talks with management to sort out their differences on working conditions and wages before deciding on a walkout later this month. Union leaders had called for a strike following a meeting of representatives at the automaker's main production plant in Ulsan as negotiations with the management on standard wage and other workers' benefits weren't making any headway. The matter will be put to a vote with the company's 47,000 unionized workers asked to approve or reject the strike. Despite the agreement to hold the last-minute talks, union insiders said the motion for the strike is expected to pass because there is almost no chance of workers rejecting a call made by its leadership.
Hyundai Motor Company to Offer KRW 56 Billion to Settle Inflated Fuel Economy Suit
Aug 13 14
Hyundai Motor Company is offering to pay up to KRW 56 billion to settle a suit against the company. The company had publicized inflated fuel economy figures for the Santa Fe SUV. The company stated that it is to reimburse up to KRW 400,000 to each customer that has purchased a diesel-powered Santa Fe SUV, for extra fuel costs and inconvenience. The reimbursement is applicable to models produced and sold in South Korea since May 2012.
Hyundai Motor Company to Launch New Elite i20 in India
Aug 11 14
Hyundai Motor Company is launching its new Elite i20 in India on August 11, 2014. The vehicle is likely to be available in 10 versions, five petrol and five diesel. It will be available in Era, Magna, Sportz, Sportz (option pack) and Asta. The model is to be equipped with a 1.2-litre, four-cylinder Kappa petrol developing 83bhp and 113Nm of torque, and the 1.4-litre CRDi with an output of 89bhp and 219Nm of torque.
Hyundai Launches Elantra Sport in Thailand and Malaysian
Aug 9 14
Hyundai is expanding its product line-up in Thailand with Malaysian-made models starting with the Elantra Sport. The Elantra Sport is priced from THB 749,000 for an entry-level 1.8 GL model, THB 819,000 for the 1.8 GLE and THB 898,000 for the 1.8 GS. These prices are introductory, meaning they will be offered for a month or two, and all three come with free first-class insurance for one year.