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Just add power | 2017 Subaru Impreza First Drive

The phrase "all new" gets bandied about way more than it should in the automotive world. Depending on how lenient an automaker's marketing department is feeling at the time, refreshed fascias and a reshuffling of trim levels might earn a tired vehicle the all-new appellation. That's not what Subaru has done with its reborn Impreza compact. Everything from its wheels to its windows has been completely redesigned for 2017. With one glaring exception, the 2017 Subaru Impreza has benefited immensely from its rebirth. The chassis is stiffer, the steering is better, and the interior is larger than before. Like on most Subarus, standard all-wheel drive remains a key selling point. The only thing that's missing is more power. Subaru has gotten guff over the years for its exterior design, with vehicles being called everything from ugly (Baja) to odd (B9 Tribeca). The 2017 Impreza doesn't fit those descriptions. There's just enough surfacing pressed into its bodysides to attract the eye, and the burly flared-shoulder fenders add a muscular stance. Dead-on, the Impreza's face is a bit too nondescript – if it didn't wear a Subaru badge, you'd be forgiven for mistaking it for a Honda or Toyota – but it's not unattractive. The bug eyes of Imprezas past are now nothing more than a historical footnote. The Impreza is again available as either a sedan or, for $500 more, a hatchback. The trunk of the sedan measures 12.3 cubic feet. Obviously, the hatch offers more utility than the sedan, with 20.8 cubic feet of space behind the rear seats and a maximum of 55.3 cubes with the seats folded. That's more than the VW Golf's 52.7 and way more than the new Honda Civic hatchback's maximum of 46.2. The first thing we noticed from the driver's seat is how easy it is to see out of the 2017 Impreza. Visibility is excellent in every direction, and all that glass means the cabin feels light and airy. Large, easy-to-read speedometer and tachometer gauges sit front and center, but the rest of the information needed for the task of driving is spread across three different LCD screens. The first sits between the two gauges, and the second is atop the center stack. The third screen is the largest, measuring 6.5 inches on base 2.0i models and 8.0 inches in Sport and Limited trims.

Subaru investigates possible mileage data cheating, shares drop

TOKYO — Subaru, already smarting from a vehicle inspection scandal at home, said it was now investigating whether mileage readings may have also been falsified during final checks, driving its shares down as much as 8 percent. Mileage readings, an indicator of fuel efficiency, do not fall under safety requirements. However, any proof of what would be a second instance of misconduct in as many months would taint the image of not only Subaru but also Japan's manufacturing industry, which has been rocked by a slew of scandals recently. Just last year, Mitsubishi Motors saw around 40 percent of its market value, or $3.2 billion, wiped out in three days after it admitted it had overstated the fuel economy of its minivehicles. Subaru on Wednesday said it was checking to see if any possible fabrication could have impacted its official mileage readings and if any exported models may have been affected. "At the moment we are trying to confirm whether data was indeed fabricated, and if so, how this happened and which models are affected," Subaru spokeswoman Miyuki Yasuda said. She added that any evidence of falsified mileage figures was unlikely to result in a recall as it would not constitute a violation of safety requirements. The mileage probe follows Subaru's revelation in October that uncertified staff had been for decades carrying out final checks that the Japanese government requires on new cars sold in the Japanese domestic market. The company this week vowed to improve oversight, but it did not mention any probe into mileage readings at the time. Subaru said reports of falsified mileage readings emerged as external investigators looked into the inspection scandal. Some inspectors told investigators that mileage data had been altered on some sample vehicle models tested during final checks. Subaru said it had not confirmed that any such fabrications had taken place. "Coming on the heels of the certified inspection issue, this could be a sign of a bigger problem of how Subaru manages its manufacturing operations," said Janet Lewis, head of Asia transportation research at Macquarie Securities. Subaru shares fell as much as 8.5 percent to their lowest since July 2016, before ending down 7 percent. The stock has given up almost 10 percent over the past two months amid the inspection scandal.

Subaru recalls more cars, slashes guidance as cheating issue widens

By Naomi Tajitsu TOKYO — Subaru Corp said it would recall more vehicles sold in the Japan domestic market on new cases of inspection cheating, and cautioned that rising recall costs would lop off about a quarter from its annual profit forecast. Shares in Subaru, already reeling from a series of recalls for issues ranging from faulty components to inspection do-overs, fell 5 percent to a four-year low on Monday after news of the fresh recalls and the bleak outlook. The company, the smallest among Japan's major automakers, said it would recall around 100,000 vehicles, including its popular Impreza sedan, after discovering that final tests for components including brakes were not conducted properly. Vehicles sold overseas will not be affected. "It's unforgivable that these inspection-related issues are continuing," CEO Tomomi Nakamura said at a briefing, while repeatedly adding that the latest recall would be the last related to testing misconduct. The automaker expects to incur 6.5 billion yen ($57 million) in costs related to the latest recall. This, along with other quality-linked issues, is expected to push down Subaru's operating profit to 220 billion yen in the year to March 2019. It had previously forecast a 300 billion yen profit. Subaru posted a surprise operating loss of 25 billion yen for the three months ended September, its first time in the red for a quarter since 2009 and missing a mean forecast for a 68.46 billion yen profit from 10 analysts polled by Refinitiv. Recall-related costs were the main driver of the loss, while global sales fell 6 percent over the quarter due to weak demand in the United States — its biggest market, where overall demand has cooled since record-high sales in 2016. (Click here for an interactive version of this chart) Engine recall Last month, Subaru nearly halved its first-half operating profit view, citing higher quality-related costs. It later announced a global recall of around 400,000 vehicles, including its Forester SUV and Impreza sedan, to fix a design flaw in the engines' valve springs. That came on the heels of another series of recalls stemming from revelations last year that uncertified workers had been submitting final inspection reports for vehicles sold in Japan. That had also led to a recall of about 400,000 cars. Recalls are common in the auto industry, and automakers regularly put funds aside to pay for them.