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Hyundai, Kia recalling 1.2 million vehicles for seized engines

The Basics: Hyundai and Kia are recalling a total of 1,190,160 vehicles because the engine may seize, resulting in a crash. The vehicles affected are the 2013-2014 Sonata and Santa Fe Sport and the 2011-2014 Optima, 2012-2014 Sorento and 2011-2013 Sportage. The Problem: Errors during the machining process can cause a bearing in the engine to prematurely wear. This could cause the part to fail and the engine to seize. This in turn may cause a vehicle to crash. The issue was found due to the high number of warranty repairs for a recurring issue. Injuries/Deaths: There was no information on the websites for the National Highway Traffic Safety Administration, Hyundai, or Kia. We've reached out to the automakers for comment. The Fix: For Hyundai, the automaker will notify owners, and dealers will inspect the engine, replacing the engine short block, as necessary, free of charge. The recall is expected to begin May 19, 2017. Owners may contact Hyundai customer service at 1-800-633-5151. Hyundai's number for this recall is 162. The same goes for Kia, though the recall is expected to begin May 25, 2017. Owners may contact Kia customer service at 1-800-333-4542. Kia's number for this recall is SC147. If You Own One: Wait for the notification letters from Hyundai and Kia. When possible, take your vehicle to your local dealer. If you want more details, contact either automaker at the number above. Related Video: Recalls Hyundai Kia kia sorento kia sportage hyundai santa fe sport

Hyundai and Kia set aside $412 million for false mileage claims

We still don't know how the whole fuel economy ratings debacle is going to play out for Hyundai and Kia, but both automakers are preparing to make good on their promises to reimburse vehicle owners for lower-than-promised mileage figures. According to Automotive News, Hyundai and Kia have set aside a combined total of $412 million ($225 million for Hyundai and $187 million for Kia) as compensation, which will be sent out on a case-by-case basis via debit cards depending on the vehicle and the mileage driven.
Announced back in November, the exaggerated miles per gallon claims affect around 900,000 Kia and Hyundai products produced for the 2011 through 2013 model years sold in the US and Canada. This whole deal has had plenty of action ranging from suspected whistleblowing from a rival US automaker and even insider trading, but it has probably been most frustrating for vehicle owners who, in most cases, saw their vehicles' city and highway ratings drop between one and three digits.

Hyundai promoting younger execs in bid to 'smoothen an eventual leadership succession'

Experience versus the next generation. It's the decision any organization has to make when it comes to its succession of leadership. But even companies that value wisdom over vitality will eventually have to hand the reins to a new generation of leaders. And that seems to be what the Hyundai Motor Group is preparing for. The Korean automaker has promoted three executives in their early 50s to the rank of Executive Vice President. Chief marketing officer Cho Won-hong (50), PR chief Kong Young-woon (50) and Kim Gyun (52), head of strategic planning at Kia, are all being promoted to the role, putting them in senior leadership positions at one of the world's largest automakers. Reuters frames the promotions as earmarked to "smoothen an eventual leadership succession" at Hyundai. The family-owned company is currently chaired by Chung Mong-koo (76), who has given little indication that he's preparing to step down in the near future. But when he does, he's widely expected to relinquish control to his only son, current vice-chairman and former Kia president Chung Eui-sun (44, pictured), who is said to have chosen the aforementioned US-educated Cho for the promotion. News Source: ReutersImage Credit: SAMUEL KUBANI/AFP/Getty Hirings/Firings/Layoffs Hyundai Kia