GM (GM) CEO Barra 'Personally Sorry' About Switch Recall; Will Not Rush Investigation
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General Motors (NYSE: GM) is active Tuesday following an executive conference with reporters in Detroit earlier today.
EVP Mark Reuss were both unaware of a switch defect and informed CEO Mary Barra about the issue on January 31st.
Barra said the board was notified after the recall was filed and it would be better informed under its new recall plan. The exec commented that the latest recall
Reuss said GM would also pay for loaner cars at dealerships.
Barra commented that the internal investigation will not be rushed and she expects to testify before a Congressional panel if asked. Families will be contacted after the investigation has concluded.
GM staff will also be meeting with Congressional staff this week regarding the recall.
Barra said she was
On Monday, GM announced the following recalls:
-- 303,000 Chevrolet Express and GMC Savana from the 2009-2014 model years with gross vehicle weight under 10,000 pounds
-- 63,900 Cadillac XTS full-size sedan from the 2013 and 2014 model years
-- 1.18 million Buick Enclave and GMC Acadia models from the 2008-2013 model years, Chevrolet Traverse from the 2009-2013 model years, and Saturn Outlook from the 2008-2010 model years
GM said it expects to take a charge of approximately $300 million in the first quarter primarily for the cost of the repairs for the three safety actions and the previously announced ignition switch recall.
EVP Mark Reuss were both unaware of a switch defect and informed CEO Mary Barra about the issue on January 31st.
Barra said the board was notified after the recall was filed and it would be better informed under its new recall plan. The exec commented that the latest recall
clearly ... took too long.
Reuss said GM would also pay for loaner cars at dealerships.
Barra commented that the internal investigation will not be rushed and she expects to testify before a Congressional panel if asked. Families will be contacted after the investigation has concluded.
GM staff will also be meeting with Congressional staff this week regarding the recall.
Barra said she was
personally sorryand hopes all repairs will be completed by October.
On Monday, GM announced the following recalls:
-- 303,000 Chevrolet Express and GMC Savana from the 2009-2014 model years with gross vehicle weight under 10,000 pounds
-- 63,900 Cadillac XTS full-size sedan from the 2013 and 2014 model years
-- 1.18 million Buick Enclave and GMC Acadia models from the 2008-2013 model years, Chevrolet Traverse from the 2009-2013 model years, and Saturn Outlook from the 2008-2010 model years
GM said it expects to take a charge of approximately $300 million in the first quarter primarily for the cost of the repairs for the three safety actions and the previously announced ignition switch recall.
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