2014 Honda Ridgeline Rtl on 2040-cars

Auto blog

Honda finance to pay $24M for discriminatory lending practices

Honda has found itself in hot water in the United States over allegations of discriminatory lending practices. However the Japanese automaker's American subsidiaries are taking actions to not only alter its practices, but compensate the victims of such past discrimination. According to the Consumer Financial Protection Bureau, some Honda dealers were found to have offered less preferential loans to customers of African-American, Hispanic, Asian, and Pacific Islander ethnicities than they have offered to white customers, irrespective of their individual financial situations. The American Honda Finance Corporation has allowed dealers to mark up individual loans by two percent or more, depending on the length of the loan's contract, thereby opening the door for dealers to set interest rates at their discretion. And that discretion, according to the CFPB and the Department of Justice, has been applied in a discriminatory fashion, in violation of the Equal Credit Opportunity Act. Honda, for its part, refutes the allegations and maintains that its practices have not been racially or ethnically discriminatory. The company is nevertheless taking measures to address the charges. For one thing, Honda's US financial arm is reducing the amount of wiggle-room it gives its dealers to only 1.25 percent above the buy rate for short-term loans (5 years or less), and one percent for longer-term loans. It has also set up a $24-million fund to compensate victims of the alleged discrimination, coordinating with the CFPB on the dispersal of said funds. The CFPB reports that "because of Honda's responsible conduct," it is not seeking penalties to be levied against the company for the alleged discrimination. STATEMENT BY AMERICAN HONDA FINANCE CORPORATION RE: Settlement with the Department of Justice and Consumer Financial Protection Bureau Jul 14, 2015 -- American Honda Finance Corporation (AHFC) has reached an agreement with the Consumer Financial Protection Bureau (CFPB) and the Department of Justice (DOJ) that shows our commitment to work together to be part of the solution and to establish the path forward that best supports our Honda and Acura customers and dealers with clear and convenient financing options. AHFC strongly opposes any form of discrimination, and we expect our dealers to uphold this principle as well. We firmly believe that our lending practices have been fair and transparent.

Honda to use English as its official language

Honda still has its headquarters in Japan and offices all over the world, but expect to hear a little less Japanese from the automaker in the coming years. A small statement in the business' latest sustainability report (available here as a PDF) announces English will become the official language for interregional communication by 2020. Honda believes that the change should foster better contact between countries as Japan becomes a less central focus for the company. As part of this shift, any documents or questions during interregional meetings, plus any other information being shared between territories, must be in English. To put some extra weight behind the mandate, the ability to speak the language is going to be a requirement for future promotions to management. In the meantime, "Honda has implemented measures in Japan that include study programs aimed at boosting English language skills," the sustainability report said. According to Automotive News, former CEO Takanobu Ito called the idea of making English an official language for company communications "stupid" five years ago. Although even under his watch, things were changing. In 2013, Honda adopted English as the main form of discourse in global meetings. The decision to lessen the focus on Japanese within Honda stems in part from changing worker demographics and major sales regions. According to Automotive News, 81 percent of the company's production comes from outside of Japan, and the country only accounts for about a third of the workforce. Also, 40 percent of global sales are from North America. Honda is quickly transitioning into a more global company in general. For example, the latest Civic Type R is assembled in the UK but has an engine from the US. Also, North America is getting the European made Civic five-door hatchback for the venerable model's next generation. English as the Official Language Setting English as the official language in inter- regional communications It is vital to develop an environment that achieves close communication between associates in six regions worldwide in order for the Honda Group to display its comprehensive capabilities while local sites are independent.

Next-gen Honda Accord PHEV may have 39-mile EV range [UPDATE]

UPDATE: Disregard what The Asahi Shimbun said on this. The paper apparently conflated the upcoming Clarity-based PHEV and the non-plug Accord Hybrid and has since updated its article. We got an email from Honda clarifying the situation: The refreshed Accord Hybrid, slated to launch in the middle of this year, will not have a plug-in variant. Honda will bring a new, dedicated plug-in hybrid to market by 2018 that leverages the same platform that underpins the upcoming Clarity Fuel Cell. This new PHEV will feature more than triple the 13-mile electric range of the last generation Accord Plug-in Hybrid. We apologize for the error. Honda's next-generation Accord Plug-in Hybrid could triple the previous model's electric driving range when the new one debuts in the US in 2018. To achieve such a significant improvement, the company would equip the PHEV with a higher capacity battery of the same physical size and more efficient electric motors, according to the The Asahi Shimbun. The next Accord PHEV could drive the equivalent of 68 miles in EV mode, the newspaper claims. However, we believe this figure comes from the Japanese test on electric models, which produces higher figures than the US evaluation. Tripling the 2014 Accord Plug-in's EPA-estimated 13-mile range suggests a number closer to 39 miles when the new generation reaches this country. A figure around 39 miles would still make the 2018 Accord a contender among the current PHEV sedans. For example, the EPA rates the Hyundai Sonata Plug-in at a 27-mile range and estimates the Ford Fusion Energi at 20 miles. The latest Chevrolet Volt, which would likely be smaller than the Honda, wins out with 53 miles of driving distance, though. Honda plans a new pure EV and PHEV in its US lineup by 2018, and the plug-in shares a chassis with the upcoming FCEV fuel cell sedan. The next-gen Accord would give the company another flavor of PHEV to offer customers, too. American Honda Motor Executive Vice President John Mendel told Autoblog last year the company would update the standard Accord Hybrid in 2016 and introduce the next PHEV variant here in 2018. Related Video: