NewburyportNews.com, Newburyport, MA

Local News

February 4, 2010

Concerns over Toyota recall grow

Local owners worry, wait for dealerships to make repairs

SALISBURY — Like millions of other people across the nation, Salisbury driver Danielle Mason is waiting for Toyota to fix a worrisome problem.

Upon learning her car was on the most recent recall list for potentially having a sticky gas pedal, Mason called Ira Toyota in Danvers, where she leased the car. She had hoped to drive over and get it fixed right away.

"They said unless I was having problems with a sticky pedal not to come in until I'm notified," Mason said yesterday. "I haven't had any problems so far. I was a little nervous at first, but I can't let this problem wrap me up. I just have to be aware of the problem and be prepared to do what I need to if it happens."

Some 2.3 million Toyotas — mostly late model versions of the RAV4, Corolla, Matrix, Avalon, Camry, Highlander, Tundra and Sequoia — are being recalled for sticky gas pedals that have been blamed for causing several crashes and deaths.

Toyota's recall nightmare stepped up several notches yesterday, when U.S. Transportation Secretary Ray LaHood told Toyota and Lexus owners with recalled vehicles that the only place they should be driving them is to dealerships to get them fixed. He quickly backpedaled and called it an "obvious misstatement."

Toyota has begun shipping the repair part, a shim that prevents the pedal from sticking, and dealers have been told to start alerting customers and scheduling repairs.

Toyota says the problem "is rare and generally does not occur suddenly. It can occur when the pedal mechanism becomes worn and, in certain conditions, the accelerator pedal may become harder to depress, slower to return or, in the worst case, stuck in a partially depressed position."

Mason said she was told if her gas pedal sticks to continue accelerating, hit the brakes, shift into neutral and if necessary put on the emergency brake.

Mason picked a Toyota because of its good gas millage and good reputation. She had planned to purchase the car outright after the three-year lease is up. But if this problem hasn't been fixed to her satisfaction, she said her plans could change.

"If that happens, that's going to be part of my negotiation when this lease is up," Mason said.

'Enormous recall'

It's the second major recall for Toyota in the past four months. Starting in October, Toyota recalled more than five million vehicles to replace floor mats that were suspected of causing accelerators to get stuck, leading to crashes. Toyota has announced a separate fix for that problem. In Europe, some 2 million Toyotas have been recalled due to the gas pedal problem. On top of that, questions now are being raised about the brakes on Toyota's Prius hybrid.

Aside from drivers, local Toyota dealerships are taking it on the chin. Not only do dealers have to get the parts, notify their customers and fix thousands of Toyota and Lexus vehicles, they have to comfort scared customers and try to keep brand loyalty alive so they can continue to sell what was one of the strongest car franchises in the country, even during the recession.

"This is an enormous recall compared to anything we had to deal when we were with GM," said Salisbury's Chris Fraser, who sold his Buick/Pontiac/GMC franchise back to GM before the bottom fell out of the American car industry. "Recalls by and large aren't devastating to a dealership. They create warranty work because the manufacturer pays the dealer to make repairs. They don't pay a lot, but they pay. However, it's the size and scope of this recall that's the issue."

Fraser, who now repairs and sells used cars at Fraser Automotive, said he's heard angst in the voices of people over the recall. Some who own recalled Toyotas are worried about driving them, some are looking to get rid of the cars because of it and some want to buy something else, he said.

"They're saying, 'Maybe I'm going to stay away from Toyota for a while.' I'm hearing that a lot. Toyota dealers are doing everything right. They're willing to stay open 24 hours to fix their customers' cars; they're rallying around the brand. But this could be hard on them."

Historically, Toyota is very demanding on their dealers, especially when it comes to the look of their facilities, Fraser said.

"Toyota may have gotten so big it got a little arrogant," Fraser said. "It makes its dealers spend a lot of money putting up palaces from which to sell Toyotas. Consider that these dealers spent a fortune on their facilities and then Toyota stopped selling some cars until they found the problem, that has to be brutal."

Sales fell 16 percent in January, hurt by Toyota's decision to halt sales while it sorted out a fix for problems with faulty gas pedals. Most other automakers reported sales gains for the month as the broader industry continued to show signs of improvement.

And as Toyota's problem trickles through the car world, Enterprise Rental Car, which has a branch in Fraser's building, has had to respond to Toyota's safety problems.

"Enterprise as a corporation has pulled all the recalled Toyotas it was renting off active use," Fraser said. "It's costing Enterprise a small fortune. They have tens of thousands of these cars they can't rent until they're fixed."

Toyota's famed resale value will also probably take a hit," Fraser added.

Fraser believes Toyota dealers can overcome the huge black eye this issue has given their brand, but the carmaker has to carefully "rebuild the brand."

"I think Toyota can get over this; by and large, it is a good company," Fraser said. "But Toyota has lost their bulletproof status. They need to deal with this quickly and deal with this well. If they do that, and if there are no further incidents of accidents or fatalities over this issue, they can recover."

Feds rebuke

On Tuesday, a day before his remark at the appropriations hearing, LaHood sharply criticized Toyota Motor Corp. for dragging its feet on safety concerns over its gas pedals, suggesting the automaker was "a little safety deaf" to mounting evidence of problems.

LaHood said federal safety officials had to "wake them up" to the seriousness of the issues. The wake-up call included a visit to Toyota's offices in Japan to persuade them to take action.

"They should have taken it seriously from the very beginning when we first started discussing it with them," LaHood told the Associated Press. "Maybe they were a little safety deaf."

LaHood also said the government was considering civil penalties for Toyota over its handling of the recalls but declined to elaborate.

Toyota executives apologized Monday to consumers for the problems, which has shaken the confidence of many Toyota drivers.

Toyota hopes a small steel insert the size of a postage stamp will solve problems with friction blamed for the potential glitch. Dealers said they expected to receive parts for the fix starting yesterday.

But recently more problems have arisen. A transportation official, who was not authorized to speak publicly about the investigation, said the government was taking a fresh look at the electronic throttle control system and potential electromagnetic interference.

The Associated Press contributed to this article.

What's been recalled?

Certain 2009-2010 RAV4

Certain 2009-2010 Corolla

2009-2010 Matrix

2005-2010 Avalon

Certain 2007-2010 Camry

Certain 2010 Highlander

2007-2010 Tundra

2008-2010 Sequoia

Highlander hybrids and Camry hybrids are not affected by this action and will remain for sale. Camry, RAV4, Corolla and Highlander vehicles with VINs that begin with "J" are not affected.

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