Company News: Toyota recalls some Tundras for inspections
Toyota Motor Corp. said Friday it is recalling 15,600 four-by-four versions of the 2007 Tundra pickup in the United States because of problems with a propeller shaft connected to the rear axle.
The automaker said a joint in the rear propeller shaft may have been improperly heat-treated, leading to an inadequate amount of hardness. A section of the rear propeller shaft could separate at the joint and immobilize the truck and force it to coast to a stop, the company said.
Toyota spokesman Bill Kwong said in an e-mail that there were no accidents or injuries linked to the recall. The rear propeller shaft helps drive the rear axle, which turns the rear wheels.
Owners will be notified of the recall beginning in late December and will need to contact dealers to have their truck inspected. Toyota said if the hardness is not correct, the dealer will replace the rear propeller shaft at no charge.
Customers with additional questions can contact Toyota at (800) 331-4331.
“Lawyers for the lead plaintiffs in a lawsuit that has recouped about $7.8 billion lost by Enron Corp. shareholders and investors asked a judge Friday to give preliminary approval of their plan to distribute the funds, calling the proposal fair and reasonable.
But attorneys representing other investors and shareholders who are also part of the ongoing litigation objected, saying the plan unfairly allocates money and dismisses some legitimate claims.
U.S. District Judge Melinda Harmon didn’t immediately decide whether to sign off on the plan so it can be mailed to investors and shareholders for their review. About 1.5 million individuals are eligible to receive money from the settlement fund.
“Chrysler LLC says it’s pleased with sales of its new minivans, but there are signs that the vehicles – which are crucial to Chrysler’s success – aren’t doing as well as the company had hoped.
The company plans to idle its Windsor, Ontario, minivan plant for two weeks in January in an attempt to reduce inventory, and it has put up to $1,500 worth of incentives on the minivans. The Dodge Grand Caravan also is in danger of losing its spot as the top-selling minivan in the U.S. to the Honda Odyssey, which was outselling Dodge by 3,300 vehicles through November.
It’s not all bad news for Chrysler. Sales of the more luxurious Chrysler Town & Country were up 10 percent in November – the second full month of sales – compared to the year before, according to Autodata Corp. Dodge Grand Caravan sales fell 6 percent, a drop Chrysler blamed on the elimination of the shorter, lower-priced Dodge Caravan model. Still, that was a better performance than August, when sales of the aging Caravan and Grand Caravan were down 28 percent.
Chrysler remains the industry leader, with the Dodge Grand Caravan and Chrysler Town & Country together controlling nearly 40 percent of the minivan market.