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FCA US under-reported death and injury claims to NHTSA

The National Highway Traffic Safety Administration says FCA US significantly under-reported death and injury claims due to flaws in its early warning system. The government first discovered a potential problem with the automaker's reporting in late July, and FCA US has been investigating the issue since. NHTSA claims that the problem appears linked to the way the company gathers and reports safety information. The agency is still investigating how serious the flaws are and their causes. "This represents a significant failure to meet a manufacturer's safety responsibilities," NHTSA Administrator Mark Rosekind.Rosekind said in a statement. FCA US admits that it "identified deficiencies" in the reporting, but in a statement the company said that it notified NHTSA of the issue immediately. The company promised that it is taking this problem "extremely seriously" and pledged to remedy the situation. In late July, FCA US was hit with a potential $105-million fine by NHTSA for the way the automaker conducted some recalls. As part of that agreement, the company also consented to more rigorous oversight by safety regulators in the future and a buy-back of some affected vehicles. Other automakers have been punished for failing to submit EWR data. Honda incurred a $70 million fine in January from NHTSA for missing 1,729 incidents over 11 years. Ferrari had to pay $3.5 million in 2014 for not sending them in for three years. Statement from NHTSA Administrator, Mark Rosekind, on Fiat Chrysler Automobiles' under-reported discrepancy in FCA's Early Warning Report data September 29, 2015 "In late July, NHTSA notified Fiat Chrysler Automobiles of an apparent discrepancy in FCA's Early Warning Report data. FCA has informed NHTSA that in investigating that discrepancy, it has found significant under-reported notices and claims of deaths, injuries and other information required as part of the Early Warning Reporting system. Preliminary information suggests that this under-reporting is the result of a number of problems with FCA's systems for gathering and reporting EWR data. This represents a significant failure to meet a manufacturer's safety responsibilities. NHTSA will take appropriate action after gathering additional information on the scope and causes of this failure." – Mark Rosekind, NHTSA Administrator. Statement: TREAD Reporting September 29, 2015 , Auburn Hills, Mich.

Automakers, dealers are rushing cars to Houston after Harvey

DETROIT — Houston-area car retailers and automakers are rushing to reopen dealerships and beef up inventory to replace many hundreds of thousands of vehicles damaged in flooding from Hurricane Harvey. Pete DeLongchamps, vice president for manufacturer relations at Group 1 Automotive, the third-largest U.S. auto dealer group, said the company prepared for the storm with a plan designed after Hurricane Katrina in 2005. This included moving moved inventory to higher ground and cleaning roof drains to avoid cave-ins. Group 1 thus lost a "relatively small percentage" of inventory and reopened its roughly 25 dealerships in the Houston and Beaumont area by Thursday. "Things have been moving fast and furious with a large number of tow-ins already," DeLongchamps said. "Our customers have lost a lot of vehicles, we need to help them replace." Harvey brought record flooding to Houston and killed at least 35 people. The storm is expected to briefly depress already slowing U.S. auto sales but could eventually help boost demand as damaged cars are replaced. Automakers report U.S. August sales on Friday. Estimates for the number of Harvey-damaged vehicles needing replacement range up to 500,000. By Thursday, AutoNation, the largest U.S. auto retail chain, had reopened its 17 Houston stores and is moving cars and trucks from other regions, company spokesman Marc Cannon said. The company plans to move 500 to 1,000 used cars to an AutoNation USA used car store and stage a sale Sept. 21-23, when many would-be buyers should have insurance checks to replace destroyed vehicles, Cannon said. AutoNation is still assessing how many vehicles it lost, but it too moved vehicles to higher ground ahead of the storm. General Motors spokesman Jim Cain said the number of damaged vehicles at dealerships "is relatively modest." "But there are still several dealerships that are inaccessible, so the number will increase," he said. GM will move new and used vehicles to Houston, "but it won't be done until the infrastructure and our dealers are ready." Ford is still assessing damage and inventory needs, a spokeswoman said. CarMax, the biggest U.S. used car dealer, will reopen its six Houston area stores on Labor Day, spokeswoman Claire Hunter said. "We are mobilizing additional inventory to the region as we speak," Hunter said. Paul Lips, chief operating officer at ADESA, a unit of KAR Auction Services Inc., which with Manheim dominates the U.S.

Values snowball for legendary Tucker Sno-Cats, latest toys of the super rich

Here's a fun-sounding vehicle perfect for the cold and snow that's currently gripping much of North America. Tucker — no, not that Tucker — just marked its 75th anniversary making the Sno-Cat, its orange-painted, four-tread snow vehicles that have inspired backcountry skiers, collectors — and increasingly, the super rich. Bloomberg in a recent story writes that demand for the Medford, Ore.-based company's products is soaring on demand from the wealthy, who need a way to get to their backcountry mountain retreats. They're also in demand from collectors and gearheads who also love snow, like two anonymous collectors who are believed to have amassed more than 200 vintage Sno-Cats. The value of vintage models has reportedly tripled in the past five years to well over $100,000 for a fully restored rig. Tucker Sno-Cat Corp. claims to be the world's oldest surviving snow vehicle manufacturer, launched by E.M. Tucker in 1942 out of a desire to design a vehicle for traveling over the kind of deep, soft snow found in the Rogue River Valley of his childhood. It was four Tucker Sno-Cat machines that helped English explorer Vivian Fuchs and his 12-man party make the first 2,158-mile overland crossing of Antarctica in 1957-58. While many of the company's competitors either shuttered or adapted to serving ski resorts with wider, heavier treads, Tucker has stuck to its formula of making lightweight vehicles to travel over deep snow. Many Tuckers use Chrysler's flat six-cylinder engine, or its Dodge Hemi V8 for larger Sno-Cats, mounted rear or centrally, with basic, no-frills aluminum cabins. Sno-Cats all have four articulating tracks that are independently sprung, powered and pivoted at the drive axle. Track options come in three different types: conventional steel grouser belt track, rubber-coated aluminum grouser belt track, and one-piece all-rubber track. Steering is hydraulically controlled by pivoting the front and rear axles for smooth movement over undulating terrain with minimal disturbance of the ground cover. The company today makes 75 to 100 Sno-Cats a year for customers including the U.S. military, oil-drilling crews in cold places like Alaska and North Dakota, and utilities. But demand is so high that it's launched a profitable service reselling and refurbishing old machines. E.M. Tucker's grandson, Jeff McNeil, now head of this division, scours Google Earth for abandoned Sno-Cats rusting in backyards that he might be able to acquire and fix up.