WASHINGTON — In the latest public relations fiasco for embattled Toyota, an internal document shows the automaker crowing that it saved $100 million by negotiating a limited recall for the Toyota Camry and the Lexus ES 350.
The document is dated July 6, 2009, and is part of a presentation entitled "Wins for Toyota — Safety Group."
It states that Toyota "negotiated" an "equipment recall on Camry/ES re: SA [sudden acceleration] saved $100 million+ with no defect found." The reference, while not spelled out, was apparently to a September 2007 recall to secure floor mats that could trap the cars' accelerator pedals. The document is among 50,000 documents that Toyota has turned over to members of two committees in the U.S. House of Representatives that are looking into the automaker's response to consumer complaints about potential safety problems. Among the other "wins" listed in the document were "avoided investigation on Tacoma rust," a reference to the Toyota pickup truck.
On Sunday, Toyota's U.S. arm posted an oblique reference to the document on its corporate Web site.
"Our first priority is the safety of our customers and to conclude otherwise on the basis of one internal presentation is wrong," said the statement. "Our values have always been to put the customer first and ensure the highest levels of safety and quality. Our recently announced top-to-bottom quality review of all company operations, along with new quality initiatives and a renewed commitment to transparency, are all designed to reaffirm these values."
This latest chapter in Toyota's ongoing recall saga comes just days before CEO Akio Toyoda's scheduled testimony on Wednesday before the House Oversight and Government Reform Committee.
Inside Line says: A damning document surfaces on the eve of some critical Congressional hearings for Toyota. — Anita Lienert, Correspondent
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bigjimcrimebos says:
02:08 AM, 04/17/2010
All I got to say is that Toyota picked up some bad business practices after building cars in this country for so long. Too bad they let Americans slid, tho. Also, these Toyota documents are being read to us quote by quoute. Edited in other words! Im sure if I edited everyones blogs and submitted certain quotes without the other supporting words everyone would sound any way I choose to make them sound!
For example, "avoided investigation on Tacoma rust". Theres more to that story but our biased media wants us to think like them! I don't buy it!
mikedrud says:
04:06 PM, 02/23/2010
notabigdeal: that's a particularly disturbing element of this story: regulators in the U.S. may have been complicit with this.
debbaranko says:
11:49 PM, 02/22/2010
Where are senetors Shelby and Corker during all of this. Shouldn't they be riding up on in a white Lexus saying that this is a witch hunt and we should all be ashamed of ourselves for incriminating a Japanese car company? Wait a minute. Toyota saved 100 million dollars. I guess to pay for their corporate jet and Nascar teams. Or did senetors Shelby and Corker get that 100 million to blast American carmakers? Their silence is making me deaf
corevett5404 says:
09:00 PM, 02/22/2010
walkerrs how can you say that the congress review is bs. Did you not read that toyotas documents said "avoided investigation on Tacoma rust." It raises alot of red flags on what they might be avoding and not righfully telling customers.
calspecial68 says:
06:22 PM, 02/22/2010
This really has turned out to be a media circus like beermagazine said. Too bad for Mr. Toyoda the spotlight is all on Toyota. If I was heading any other auto company, I'd be making sure my cars are in tip-top shape and that all recalls and/or problems are being addressed. Im talking to you, Chrysler LLC and GM Corp. You two are the ones with the greatest risk of losing it all if this sort of attention falls on you.
l1tech says:
05:42 PM, 02/22/2010
Bob Lutz says he will personally fly Mr Toyoda on a gm corporate jet to those hearings. Rick Wagner and Fritz Henderson will be flight attendents. The UAW will be waiting at the airport as the welcoming committee. He will be driven in a cadillac limo. A crown vic escort and maybe a few tahoes for good measure. Then he woke up in a lexus going a buck20 with no brakes. OH WHAT A FEELIN!!!!!
walkerrs says:
04:15 PM, 02/22/2010
This congressional review is such BS. Congress is acting like Toyota WANTED to have safety defects in their cars. The last thing Toyota wanted was their safety in question, as safety has always been one of their strong suits. If Toyota is going to stay in business they WILL fix their safety and quality problems. There's no doubt about it. They don't need prodding from Congress to do that.
efinils2 says:
02:37 PM, 02/22/2010
Once on top, there only but one way to go, and that's down; it has happened to every manufacturer that makes it to that spot. Needless to say, the drop is more glamorous to some than to others, so wish you the best VW!
beermagazine says:
01:32 PM, 02/22/2010
Realistically all manufacturers would take some pride in saving money. Recalls are a strange thing and a balancing act. I know that in the past Hyundia and other companies have been in trouble for hiding problems and recalls. If I remember correctly the head of Mitsubishi killed himself over it.
Truth is all the cars we drive have some problem that will pop up. The gas pedal thing isn't really a huge design flaw just one that caused a problem. The floor mats...don't people see it hitting? I adjust mine all the time, although most of the cars I've had had the pedal mounted to the floor.
It really just is a cycle of somebody elses problems taking over the media attention...before it was Ford and their tires and other stuff. Every car I've owned has had problems...some safety and never recalled. Audi had Coil Pack failure that could have caused accidents, BMW has oil temp issues that cut power and fuel pump issues that does the same.
Driving a car is a risk. A low one, but it's still prone to fail.
notabigdeal says:
12:46 PM, 02/22/2010
Check this out apparently Toyota hires ex-NHTSA people to talk them out of making Toyota do recalls. Interesting news is that nobody else does it.
http://www.fool.com/investing/general/2010/02/17/toyota-its-getting-even-worse.aspx?source=ihpsitmpa0000001&lidx=6