From: C. E. White on
Toyota's Lentz to spell out flaws, fixes
Kathy Jackson
Automotive News -- May 20, 2010 - 12:01 am ET

LOS ANGELES -- Toyota has taken several steps to improve its flawed
quality control procedures, the company's U.S. sales chief plans to
tell Congress today.

But Toyota Motor Sales U.S.A. President Jim Lentz will say that the
company has found no evidence that its electronic throttle-control
technology caused unintended acceleration of vehicles.

"We now understand that we need to improve our communication with
customers about the features, characteristics and normal functions of
our vehicles," Lentz will say in prepared remarks.

He will appear before the House Energy and Commerce Committee
subcommittee on oversight, which is holding a hearing to review what
Toyota and the National Highway Traffic Safety Administration have
done in the last few months to identify and address the causes of
unintended acceleration.

It will be the second time for Lentz on the hot seat in Washington. He
appeared there in February following the recall of about 8 million
Toyota and Lexus vehicles worldwide for unintended acceleration.

Toyota now faces hundreds of lawsuits in connection with the safety
crisis and has already paid a $16.4 million fine for delays in
notifying regulators about safety defects in gas pedals. Additional
penalties could be assessed if the Transportation Department finds
evidence the company delayed other recalls.

Lentz will tell the committee that Toyota has made progress in its
quality control systems.

"We are taking major steps to become a more responsive, safety focused
organization -- listening more closely to our customers, responding
more quickly to their concerns and those of our regulators and taking
concrete actions," he plans to tell the committee.

But he will add that Toyota "remains confident that our electronic
throttle-control system is not a cause of unintended acceleration."

Progress report

Lentz will outline several steps the company has taken, including:

.. Establishment of a special global quality committee to review all
aspects of operations including design, manufacturing and after-market
support.

.. Appointment of U.S. manufacturing executive Steve St. Angelo as
chief quality officer for North America.

Lentz says St. Angelo will "act as the voice of the customer and has a
direct line to (Toyota President Akio) Toyoda when it comes to
ensuring our customers' safety."

He cites "speed and decisiveness" last month when Toyota recalled the
2010 Lexus GX 460 after Consumers Reports magazine identified a
software problem with the vehicle's stability control system.

"Within a week we had replicated the test, developed a software fix,
communicated our findings to NHTSA and initiated a voluntary recall."

.. Formation of a special team called SMART (for Swift Market Analysis
Response Team) that is comprised of 200 engineers and field
technicians who can be deployed anywhere in the country to investigate
customer reports of unintended acceleration.

Lentz says the company has already completed more than 600 on-site
vehicle inspections under the evaluation process. He said dealership
technicians have completed an additional 1,400 inspections under the
program.

.. Making more safety features standard on its vehicles, including
brake override and event data recorders. By the end of 2010, all new
Toyota and Lexus vehicles will have event data recorders that can
record both pre- and post-crash data.

.. Formation of a North American quality advisory panel, headed by
former Transportation Secretary Rodney Slater, to examine the
company's technology, specifically the electronic throttle-control
system.

Lentz will testify that about 3.5 million recalled vehicles have been
fixed -- 1.7 million for sticky pedals; 1.6 million for floor mat
entrapment and 118,000 to update anti-lock brake systems in the 2010
Prius and Lexus models.

Says Lentz: "We continue to reach out to all affected owners to make
sure they bring their vehicles to dealers for attention."


You can reach Kathy Jackson at kjackson(a)crain.com.


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