Toyota's $3.4 Billion Settlement * USA: Corrosion in some trucks and SUVs
* California - Suits claim certain of Japanese auto maker’s vehicles, lacked proper rust protection
--- Toyota Motor Corp. has agreed to pay up to about $3.4 billion to settle claims that certain of its trucks and sport-utility vehicles lacked proper rust protection, leading to premature corrosion of vehicle frames... The agreement is a substantial financial setback at a time when the Japanese auto giant’s record-breaking profit streak has slowed in recent quarters as a strong yen dents its performance. The company also is part of a broader group of auto makers facing plateauing retail sales in the profitable U.S. market... The deal, filed in U.S. District Court in Los Angeles this week, settles litigation in two states over problems with Toyota Tacoma trucks from model years 2005 to 2010, Tundras from 2007 to 2008 and Sequoias from 2005 to 2008... Around 1.5 million vehicles in the U.S. are covered by the settlement, court filings show... The agreement represents a significant settlement for the auto industry and follows several costly agreements auto makers have forged in recent years to address quality, safety or emissions issues in vehicles... The litigation dates back to 2014, when consumers filed a lawsuit in Arkansas that was later combined with litigation in California...
(Photo AP) -- Sacramento, CAL, USA - The WSJ, by SARA RANDAZZO - Nov. 13, 2016