1992 Honda Accord on 2040-cars

Auto blog

Honda charged another $363 million over Takata airbags

The Takata airbag recall is growing increasingly expensive for Honda. In the latest hit to the automaker's bottom line, the company is revising the expected costs of its global safety campaigns by an additional 44.8 billion yen ($363 million) after the massive expansion in May. Months ago, Honda announced that it had set aside 50 billion yen ($425 million at the time) to meet the predicted expenses. According to Automotive News, due to the rather arcane laws of accounting, these new costs will actually be applied to the fiscal year that ended on March 31, rather than the current one. Honda's revised earnings will be announced in late June. The company previously reported an operating profit of 651.7 billion yen ($5.3 billion), which was down 13 percent from the previous year. There has been no change to planned dividends for investors. In the US, Honda and Acura have a total of about 6.28 million vehicles in need of a replacement airbag inflator, and the automaker says about two million of those are already repaired. In addition to the Takata campaign, the company has faced other financial setbacks during this calendar year. For example, in early January, it received a $70 million fine from the National Highway Traffic Safety Administration for failing to report 1,729 cases of injuries or deaths over 11 years. As part of a strategy to improve quality globally, Honda cut back its global sales forecasts for the coming year, and it also decided not to make any volume predictions through 2017. To: Shareholders of Honda Motor Co., Ltd. From: Honda Motor Co., Ltd. 1-1, Minami-Aoyama 2-chome, Minato-ku, 107-8556 Tokyo Takanobu Ito President and Representative Director Notice of Events after the Reporting Period Regarding Product Warranty Expenses Honda Motor Co., Ltd. (the "Company") and its consolidated subsidiaries have been conducting market-based measures in relation to airbag inflators, such as product recalls and a Safety Improvement Campaign. Due to factors arising since May 2015 such as an expansion of the scope of these market-based measures based on an agreement between our supplier and the U.S. National Highway Traffic Safety Administration, a change has arisen in the estimate relating to product warranty expenses. The amount of product warranty expenses now expected to be incurred is 44,800 million yen.

Honda thumbs nose at fleet sales, claims it leads in key vehicle segments

Fleet sales are a way of life in the automotive industry. There are many non-retail customers that need vehicles, but going too far can reduce brand image and vehicle resale value. While some of its competitors have fleet sale that account for up to 20 or 30 of overall sales, Honda is bragging that it has the lowest fleet sales of all mainstream automakers for the first five months of 2013.
After calculating new-car registration data from R.L. Polk, Honda says that just two percent of its sales through went to fleet customers compared to an industry average of 19 percent. Even though this means Honda leaves plenty of sales on the table each month, it also claims to have the highest resale value and lowest cost of ownership among its competitors. In terms of retail sales, Honda says that the Civic, Accord, CR-V and Odyssey all lead their respective segments, and it breaks down/brags about its retail sales success in the press release, which is posted below.

Honda City Adventure off-road scooter concept shown at EICMA

Set aside the cars and trucks for a minute and you'll see that Honda still builds a huge variety of machinery: everything from power equipment to jets to robots – and a whole lot more in between. But what's caught our attention today is a motorcycle... of sorts. Headlining the Japanese company's lineup at the EICMA motorcycle show this week is the City Adventure concept. Though little in the way of details were released, the vehicle seeks to blend the go-anywhere capability of an endurance off-road motorcycle with the convenience and versatility of an urban scooter. That means chunky off-road tires, disc brakes, shielded handlebars, and a movable windscreen, among other elements. The result is a concept for now, but Honda says it foreshadows "a new development direction for adventure-focused machines." If reception is positive enough, Honda might put something like this into production. While the City Adventure concept is surely the most unusual of the motorcycles Honda brought to the Milanese expo this year, it's not the only one. Alongside it, the company is showcasing the new CRF1000L Africa Twin adventure bike, a range of new 500cc bikes, a trio of 750cc New Concept bikes with dual-clutch transmissions, a revised version of the Integra maxi scooter, and new colors for a host of other models as well. Scope out the full details in the press release below. New City Adventure concept revealed alongside CRF1000L Africa Twin and six heavily revised mid-sized machines - City Adventure concept indicates a new development direction for adventure-focussed machines - European show debut for CRF1000L Africa Twin - Range of rider-focussed upgrades for A2 licence-friendly CB500F, CB500X and CBR500R - Revised looks and added practicality for NC750X, NC750S and Integra - New functionality for unique Dual Clutch Transmission technology - New paint options for VFR1200X Crosstourer,, CB650F, CBR650F, CBR300R and SH125i Honda today reveals its full 2016 motorcycle line up at the EICMA show in Milan, comprising six mid-sized capacity machines with a range of significant updates, and the return of one of motorcycling's most illustrious names in the form of the CRF1000L Africa Twin. With an eye to the future, Honda has also revealed its new City Adventure concept machine, offering a unique new interpretation of the idea of adventure on two wheels.