Published May 20, 2014
General Motors (GM) disclosed four new recalls covering 2.42 million vehicles in the U.S., as the nation’s largest automaker continues to resolve safety reviews.
GM said Tuesday it plans to take a $400 million charge in the second quarter to cover costs tied to repairs. The company expected to book a $200 million write-down after recalling 2.7 million cars and trucks last week.
The nation’s largest automaker has come under pressure for a years-long delay in fixing defective ignition switches used in 2.6 million cars worldwide. According to a timeline provided by the company, some GM engineers were aware of a possible defect as early as 2001. The issue has since been connected to 13 deaths.
On Friday, GM agreed to pay the maximum $35 million fine to the National Highway Traffic Safety Administration, admitting it failed to initiate an ignition-switch recall within the amount of time required by law. GM has said an internal investigation led by former U.S. Attorney Anton Valukas may be completed by June.
GM recalled the vehicles with faulty ignition switches earlier this year. It recently began asking owners to schedule service appointments.
Following the ignition-switch recall, GM promised to hasten pending safety reviews. The company said it has added 35 product investigators so far this year.
The latest recalls include a seatbelt issue affecting 1.34 million Buick Enclave, Chevrolet Traverse and GMC Acadia sport-utility vehicles from model-years 2009 to 2014, as well as the 2009-2010 Saturn Outlook.
About 1.07 million 2004-2008 Chevrolet Malibu and 2005-2008 Pontiac G6 cars are being recalled because their transmission shift cables may wear out over time, GM said.
The third recall covers 1,402 Cadillac Escalade SUVs, and the smallest of the bunch includes 58 Chevrolet Silverado HD and GMC Sierra HD full-size pickups, all from model-year 2015.
In the Escalade recall, GM told dealers to stop selling the SUVs and notified owners to not let occupants sit in the front passenger seat until their vehicles are serviced. GM said the infrared weld that adheres the passenger airbags to the back of the instrument panel was not sufficiently heated.
No fatalities have been reported in connection with the four recalls.
GM shares fell 1.3% to $33.79 in recent trading.