GM to recall another 8.4m cars
The recalls cover vehicles from the 1997 to 2014 model years. GM added that among these recalled vehicles, it is aware of seven crashes, eight injuries and three fatalities. The fatal crashes occurred in older model full-size sedans being recalled for inadvertent ignition key rotation.
However, it said ‘there is no conclusive evidence that the defect condition caused those crashes’.
GM added that it expects to take a charge of up to approximately $1.2bn in the second quarter for the cost of recall-related repairs announced in the quarter. This amount includes a previously disclosed $700m charge for recalls already announced during the quarter.
At the same time GM announced details of a compensation fund for recall victims.
Commenting on the recalls, GM CEO Mary Barra said: ‘We undertook what I believe is the most comprehensive safety review in the history of our company because nothing is more important than the safety of our customers. Our customers deserve more than we delivered in these vehicles. That has hardened my resolve to set a new industry standard for vehicle safety, quality and excellence.
‘We have worked aggressively to identify and address the major outstanding issues that could impact the safety of our customers,’ Barra said. ‘If any other issues come to our attention, we will act appropriately and without hesitation.’
GM added that until the ignition recall repairs have been performed, it is very important that customers remove all items from their key ring, leaving only the vehicle key, and always use their seat belts. The key fob, if present, should also be removed from the key ring.
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