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Hyundai, Kia to temporarily close U.S. plants in path of Irma

SEOUL — South Korea's Hyundai and sister car maker Kia said on Monday they planned to temporarily shut down plants in the United States to avoid potential damage from Hurricane Irma. The shut down comes at a time Hyundai's U.S. sales have fallen more than the market average, and after it recently announced plans to expand its SUV lineup and launch a pickup truck in the market in an attempt to reverse the slide. In a statement, Hyundai Motor said it would suspend operation of its Alabama plant for two days - between Monday and Wednesday — while Kia Motors will stop operation of its Georgia plant for one day - between Monday and Tuesday. The suspension is expected to result in lost production of about 3,000 vehicles for both, the Yonhap news agency earlier said on Monday, citing a Hyundai Motor group spokesman. A Hyundai spokeswoman declined to comment on the number. Hurricane Irma took aim at heavily populated areas of central Florida on Monday as it carved a path of destruction through the state with high winds and storm surges that left millions without power, ripped roofs off homes and flooded city streets. Hyundai's U.S. sales are down nearly 11 percent this year through July 31, worse than the overall 2.9 percent decline in U.S. car and light truck sales. Sales of the Sonata, once a pillar of Hyundai's U.S. franchise, have fallen 30 percent through the first seven months of 2017. In contrast, sales of Hyundai's current SUV lineup are up 11 percent for the first seven months of this year. Reporting by Joyce LeeRelated Video: Plants/Manufacturing Hyundai Kia alabama

Hyundai closes the books on fuel economy litigation

Hyundai-Kia ended up with a lot of kimchi on its face in 2012 when it admitted it had mistakenly exaggerated fuel economy estimates on several 2012 and 2013 model-year offerings like the Hyundai Accent, Veloster and Elantra and Kia Soul. Before the admission a lawsuit had been filed by an entity called Consumer Watchdog, afterward there were "approximately 53" lawsuits filed in federal court that were eventually consolidated into one case in a California Central District court.
The companies apologized profusely and gave customers prepaid gas cards that they could refill with funds for as long as they own their vehicle, as well as perks like free car washes and routine maintenance services. The company has just announced that it has reached a preliminary settlement of the case by adding another method of reimbursement, a lump sum payment that would free drivers from having to go back to the dealership to have their mileage verified for debit card refills.
Assuming the preliminary agreement is approved by the judge, customers could choose the lump sum or the cards. The settlement's value could be as much as $210 million, but the exact number depends on which program plaintiffs choose. On average, affected customers will receive $353. Approval could come in "early 2014," after which Hyundai will notify customers. You'll find more particulars on the potential settlement in the press release below.

Kia wants to keep Stinger fresh with frequent variants

Kia is apparently feeling confident enough in the early sales figures of its new Stinger sedan to be mulling ideas for future variants of its GT-inspired fastback. The brand's North American product planner tells AutoGuide it wants to keep the nameplate's lineup fresh with frequent updates and additions. "The reaction has been phenomenal to (the Stinger)," Orth Hedrick, Kia North America product planner, told AutoGuide. "We're doing great, we have a very high mix of buyers, a lot coming from Optima, so we're looking to see if we can grow that. And I think there might be other opportunities down the road." He added that it was still early in the product's lifecycle and that the brand will wait to amass more data from consumers before building out the Stinger lineup. "We're going to be very aggressive for the lifecycle of this vehicle," Hedrick added, "we're going to be very aggressive with the colors. It's a fashion statement. You have to keep the car going with powertrain variants and other stuff coming down the road." Through March, Kia has sold 3,920 Stingers in the U.S., including 1,555 in March alone and not including the 843 it sold in late 2017. That's a fraction of the 50,645 vehicles Kia sold overall during the month, and it puts Kia on pace to sell nearly 16,000 for the full year. It's hard to independently assess whether that should be seen as a successful mark for a performance sedan that starts at $32,795 for the standard 255-horsepower 2.0-liter turbo four-cylinder, much lower than many of the German competitors it's established as benchmarks. Hendrick last year told Wards the Stinger was intended to increase both sales and brand recognition and was aimed squarely at auto enthusiasts. Its U.S. sales are slightly above those of the Alfa Romeo Giulia, which has sold 3,085 through March (this Stinger owners forum thread also offers some interesting guesstimates). And as long as Kia is pleased ... Anyway, if Kia wants to release variants, we're totally cool with that. It's already announced the limited-edition Atlantica, and we're down with more colors and maybe a manual transmission. And while they're at it, why not borrow the 5.0-liter V8 from the Korean version of the K900? Related Video: