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Hyundai, Kia looking to cut costs

Hyundai and Kia are off to roaring starts in the United States this year, underscored by Kia's best sales month ever in May. But globally the situation for the South Korean siblings hasn't been nearly so positive. Recently, they reported their fourth consecutive quarter of decreasing operating profits worldwide, and now they're "making efforts to cut costs," according to a statement in a joint email obtained by Bloomberg. However, the companies aren't detailing where they would make the cuts or how much they want to save. The amount could be significant, though. An unnamed Hyundai senior executive reportedly told a South Korean newspaper that the business might be aiming for up to 30 percent in reductions. According to Bloomberg, Hyundai and Kia are facing falling total sales worldwide. Making the situation worse is that the strong Korean won versus the weaker Japanese yen gives competitors an advantage. The automakers also angered investors enough last year to prompt a stock buyback after paying $10 billion for the land for a future headquarters. The prognosis doesn't look utterly dire, though, and new products are on the way. For example, the Hyundai Santa Fe is being refreshed in South Korea, and the next-gen Elantra debuts at this year's Los Angeles Auto Show. There's also the Creta on the way for foreign markets. Additionally, several models are still awaiting the green light, including a Hyundai Genesis-based luxury crossover, a compact CUV, and the Santa Cruz unibody pickup. Meanwhile, the Kia GT is reportedly close to production, too. Related Video:

Good Samaritans rescue driver from sinking car in Florida

A pair of good Samaritans and three police detectives saved an elderly Florida man from drowning in his car after it crashed into a pond this week. According to Port Saint Lucie police, Hixford Banton was traveling westbound along Port Saint Lucie Boulevard in Port Saint Lucie when his Mercedes sedan was struck by another motorist attempting a turn on to the street from Arioso Boulevard. The collision caused Banton to lose control of his Mercedes. In his confusion, he ran off the road, drove across a lawn, and crashed into a pond in front of the town's City Hall. James "Randy" Brazier was across the street when he heard tires screeching, and turned to see Banton's Mercedes go into the pond. He rushed across the busy street, jumped into the pond, and swam to the rapidly sinking Mercedes to save the driver. Once Brazier reached the car and opened the door, it immediately capsized and sank to the bottom of the pond. "When I got to the guy, he was real scared, so I told him to calm down, " Brazier told the TCPalm newspaper. "I opened the door and got him out, he panicked, took us both under and then I hit the bottom, pushed ourselves back up." Brazier was assisted by another passerby named Charles Proulx, who waded into the pond to help the struggling men. Three Port Saint Lucie police detectives–Stephen Reuther, Peter Chunn, and Maiga Auguste–arrived soon after with a rescue ring and helped to pull the men out of the pond. Once everyone was ashore, salvage divers were brought in to locate the car and pull it out of the pond. Thanks to the murky water and the pond's surprising depth, roughly fifteen feet, it took divers nearly thirty minutes to locate the car. Later, at the police station, Banton said that he had yet to meet his rescuer. "Somebody I have yet to meet came in and helped me. He came to me and he said, 'I got you, I got you, are you ready?'" Banton said. "And he opened the door, and I just went out." Banton also stated that he could not swim, and that he would have died had Brazier not come to his aid. Soon after, the two were reintroduced under less stressful circumstances. News Source: TCPalm, Palm Beach Post, WPBF Government/Legal Weird Car News Kia Driving Safety Autoblog Minute accident

Porsche tops J.D. Power quality index as Korean brands soar

While complaints about infotainment systems remain a thorn in the side of automakers for J.D. Power's annual Initial Quality Study, there's a lot to celebrate this year. The average number of problems reported per 100 vehicles fell to 112 in 2015 – a three-percent improvement compared to 116 in 2014. The results of this year's survey are based on the responses of over 84,000 people about problems within the first 90 days of buying or leasing a 2015 model-year vehicle. For the third consecutive year, Porsche tops the rankings with an average of 80 problems per 100 vehicles. Although, that's slightly more than the 74 the German sportscar maker scored in 2014. "While the Japanese automakers continue to make improvements, we're seeing other brands, most notably Korean makes, really accelerating the rate of improvement," Renee Stephens, vice president of US automotive quality at J.D. Power, said in the study's release. In fact, Kia ranks as one of the biggest movers in this year's list. The Korean brand jumped to second place from seventh last year. The company had an average of 86 problems per 100 vehicles, a 20-point improvement. Third place went to Jaguar with an average of 93 problems reported, versus last year's second-place finish with 87 of them. Fourth place was Hyundai, and fifth-place Infiniti also earned a gold star for improvement with 97 issues per 100 vehicles – 31-points better than last year. Fiat still anchored the bottom of the list. However, its 161 problems this year is a lot better than the 206 in 2014. Ranked by nationality, Korean brands (Hyundai and Kia) are now leading the industry in initial quality with an average of 90 problems reported per 100 vehicles. According to J.D. Power, this is the first time Europe's figure beat Japan with 113 and 114 issues, respectively. The American brands also averaged 114. Whereas General Motors dominated last year, the segment awards are spread out in 2015. GM, Hyundai, Nissan, and Volkswagen Group are all tied with four models each earning prizes. For more information, you can also see all of the graphs, here. J.D.