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GM recalls 3.6 million vehicles for airbag-software problems

The Basics: General Motors is recalling 3.64 million vehicles across its lineup for an airbag-related issue. The recall covers the 2014-2015 Buick LaCrosse, Chevrolet SS, and Spark EV; 2014-2017 Chevrolet Corvette, Trax, Caprice PPV, Silverado 1500, Buick Encore, and GMC Sierra 1500; and 2015-2017 Chevrolet Tahoe, Suburban, Silverado HD, GMC Yukon, Yukon XL, Sierra HD, Cadillac Escalade, and Escalade ESV. The Problem: Affected vehicles have a sensing and diagnostic module that controls the airbags and seat-belt pretensioners. The software it uses has a defect that can prompt the module to run a diagnostic test under specific driving conditions, which will also deactivate the front airbags and pretensioners. This means that it would be possible for those safety systems to not activate in a crash, potentially leading to injury or death. Injuries/Deaths: General Motors began an investigation that led to the recall after a 2014 Silverado was involved in a crash in which the airbags did not deploy. No information was given as to injuries or deaths. The Fix: Owners can bring their vehicles to a local General Motors dealer where a software update will be installed to fix the issue. The fix will be free of charge. If you own one: General Motors will contact owners of affected cars, and owners can check whether their vehicles are affected by visiting entering their vehicle identification numbers at either the GM Owner Center website or the NHTSA website. Owners can then schedule a time to have the update installed. Related Video:

GM earnings rise 1% as buyers pay more for popular pickups

DETROIT — General Motors said Thursday that higher prices for popular pickup trucks and SUVs helped overcome slowing global sales and profit rose by 1% in the second quarter. The Detroit automaker said it made $2.42 billion, or $1.66 per share, from April through June. Adjusting for restructuring costs, GM made $1.64 per share, blowing by analyst estimates of $1.44. Quarterly revenue fell 2% to $36.06 billion, but still beat estimates. Analysts polled by FactSet expected $35.97 billion. Global sales fell 6% to 1.94 million vehicles led by declines in North America and Asia Pacific, Middle East and Africa. The company says sales in China were weak, and it expects that to continue through the year. In the United States, customers paid an average of $41,461 for a GM vehicle during the quarter, an increase of 2.2%, as buyers went for loaded-out pickups and SUVs, according to the Edmunds.com auto pricing site. The U.S. is GM's most profitable market. Chief Financial Officer Dhivya Suryadevara said she expects the strong pricing to continue, especially as GM rolls out a diesel pickup and new heavy-duty trucks in the second half of the year. "We think the fundamentals do remain strong, especially in the truck market," she said, adding that strength in the overall economy and aging trucks now on the road should help keep the trend going. Light trucks accounted for 83.1% of GM's sales in the quarter, and pickup truck sales rose 8.5% as GM transitioned to new models of the Chevrolet Silverado and GMC Sierra, according to Edmunds, which provides content to The Associated Press. As usual, GM made most of its money in North America, reporting $3 billion in pretax earnings. International operations including China broke even, while the company spent $300 million on its GM Cruise automated vehicle unit. Its financial arm made $500 million in pretax income. Suryadevara said GM saw $700 million in savings during the quarter from restructuring actions announced late last year that included cutting about 8,000 white-collar workers through layoffs, buyouts and early retirements. The company also announced plans to close five North American factories, shedding another 6,000 jobs. About 3,000 factory workers in the U.S. whose jobs were eliminated at four plants will be placed at other factories, but they could have to relocate. GM expects the restructuring to generate $2 billion to $2.5 billion in annual cost savings by the end of this year.

KBB 2013 Brand Image Awards has some obvious and oddball winners

The sixth edition of the Kelley Blue Book Brand Image Awards have crowned a wide range of winners - in a couple of cases the recipient of the laurels might say more about KBB users than they do about the actual winner. Compiled from the responses of more than 12,000 shoppers on KBB.com over the past year, there are 13 categories broken into non-luxury, luxury and truck segments "representing the combined wisdom of the American car-buying public."
The award categories have been revamped this year, with some dropping off, some new ones appearing and at least one other given a new term. What isn't surprising is that Honda won Most Trusted Brand for the second year running, Best Value Brand for the third year in a row and took Best Overall Brand, which wasn't on last year's list of awards.
On our own shores, in the non-luxury categories Chrysler got Most Refined Brand and Buick took Best Value Luxury Brand. Neither one of those marques won anything in last year's Brand Image Awards, while Cadillac, which won Best Interior Design Brand and Best Comfort Brand last year - those awards disappeared this year - went home without a single accolade.