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Huge Mazda Recall - Reuters

 
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Old 05-29-2003 | 09:11 AM
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Huge Mazda Recall - Reuters

Mazda to Recall Over 174,000 Vehicles

Thu May 29, 2003 06:25 AM ET

TOKYO (Reuters) - Japan's Mazda Motor Corp 7261.T said on Thursday it plans to recall more than 174,000 vehicles worldwide, including the hot-selling Atenza sedan, after reports of a defective fog lamp which in one case caused the bumper to catch fire.

There have been no reports of any accident resulting from the defective parts, according to Mazda's report submitted to Japan's Transport Ministry. The automaker declined to disclose the estimated cost of the recall.

The news deals a heavy blow to Mazda, coming on the same day that it announced the Atenza had snapped up 50 awards in 22 countries since its launch a year ago.

Mazda had attributed the big jump in profits it reported for the business year ended in March largely to the popularity of the Atenza, especially in its crucial European market.

Japan's fifth-largest automaker, owned one-third by Ford Motor Co F.N , said it would recall 78,505 vehicles in Japan and about 96,000 overseas, including the United States, Canada and the UK.

Of the cars to be recalled in Japan, 37,386 are Atenzas produced between March 2002 and May 16 of this year.

The other models to be recalled are the MPV multi-purpose vehicle built between May 1999 and February 2003 and Roadster sports cars made between December 1997 and February 2003.

Mazda said the front fog lamp in all three models was not wired properly.

The Atenza was also reported to have a faulty brake oil tank that could fail to illuminate the brake lamp, the automaker said.

News of the recall came after the close of trading. Mazda's shares rose 0.84 percent to 241 yen on Thursday, underperforming a rise of 1.71 percent in the Nikkei share average
 
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