Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News  >  Economy & Forex

News : Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Ford to recall 3 million vehicles for air bags at $610 million cost

01/22/2021 | 03:23am EST
FILE PHOTO: Logo of Detroit-based Ford Motor Co

WASHINGTON (Reuters) - Ford Motor Co said on Thursday it will recall 3 million vehicles for air bag inflators that could rupture, at a cost of $610 million.

The National Highway Traffic Safety Administration on Tuesday ordered Ford to issue the recall for driver-side air bag inflators, rejecting the automaker's 2017 petition to avoid it.

The defect, which in rare instances leads to air bag inflators rupturing and sending potentially deadly metal fragments flying, prompted the largest automotive recall in U.S. history of more than 67 million inflators. Worldwide, about 100 million inflators installed by 19 major automakers have been recalled.

The recall includes 2.7 million U.S. vehicles. Ford will include the cost in fourth-quarter results.

The vehicles were previously recalled for passenger-side inflators. "We believe our extensive data demonstrated that a safety recall was not warranted for the driver-side airbag. However, we respect NHTSA's decision and will issue a recall," Ford said.

NHTSA also required Mazda Motor Corp to recall 5,800 air bag inflators in 2007-2009 B-Series vehicles.

Takata inflators have resulted in at least 400 injuries and 27 deaths worldwide - including 18 U.S. fatalities with two in previously recalled 2006 Ford Ranger trucks.

The Ford vehicles being recalled include various 2006-2012 model-year Ranger, Fusion, Edge, Lincoln Zephyr/MKZ, Mercury Milan and Lincoln MKX vehicles.

In November, NHTSA rejected a petition filed by General Motors Co to avoid recalling 5.9 million U.S. vehicles with Takata air bags. GM said the callback covered 7 million vehicles worldwide and would cost $1.2 billion.

Ford separately disclosed on Thursday it expects to record a pretax remeasurement loss of $1.5 billion in the fourth quarter related to pension and other post-employment benefits plans, driven by lower discount rates.

Ford said the remeasurement loss is expected to reduce net income by about $1.2 billion, but did not change expectations for 2021 pension contributions.

(Reporting by David Shepardson in Washington; Editing by Leslie Adler and Matthew Lewis)

By David Shepardson


© Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
GENERAL MOTORS COMPANY 1.44% 51.33 Delayed Quote.23.27%
MAZDA MOTOR CORPORATION -2.67% 839 End-of-day quote.21.24%
Latest news "Economy & Forex"
12:24pSpanish government says all cattle on pariah ship should be killed
RE
12:23pU.S. seeks to put Saudi crown prince in his place - for now
RE
11:26aUNECA UNITED NATIONS ECONOMIC COMMISSION FOR AFR : Young Africans create software thanks to UN bootcamp
PU
11:04aBAFRA BHUTAN AGRICULTURE AND FOOD REGULATORY AUT : Awareness meeting on Biosecurity and Food Safety Requirement to Facilitate Trade( 25-26 Feb 2021) at Hotel Pema Karpo, Wangdue
PU
10:42aPRESIDENCY OF REPUBLIC OF TURKEY : “We will make Turkey one of the top 10 economies of the world”
PU
10:38aINTERNATIONAL LITHIUM : Announces $2,000,000 Private Placement
PU
10:38aINTERNATIONAL LITHIUM : Closes Final Tranche of $3,000,000 Oversubscribed Private Placement
PU
10:08aUNECA UNITED NATIONS ECONOMIC COMMISSION FOR AFR : Renewable energy is key to Africa's growth – ECA's Jean Paul Adam
PU
09:35aNigeria seeks asset managers for $2.6 billion new infrastructure firm
RE
08:55aSunak to give UK Infrastructure Bank £12 billion of capital in budget
RE
Latest news "Economy & Forex"