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Friday, February 26, 2010

Class Canceled Today- 2 -26-10 - Friday

Class is canceled today- Friday 2-26-10. The test will be on Wednesday. Make-up class tba. Rick Custin

Did possible Toyota crashes in the past cause more deaths and incorrect sentences?

LINO LAKES, Minn. – Ever since his 1996 Toyota Camry shot up an interstate ramp, plowing into the back of an Oldsmobile in a horrific crash that killed three people, Koua Fong Lee insisted he had done everything he could to stop the car.

A jury didn't believe him, and a judge sentenced him to eight years in prison. But now, new revelations of safety problems with Toyotas have Lee pressing to get his case reopened and his freedom restored. Relatives of the victims — who condemned Lee at his sentencing three years ago — now believe he is innocent and are planning to sue Toyota. The prosecutor who sent Lee to prison said he thinks the case merits another look.

"I know 100 percent in my heart that I took my foot off the gas and that I was stepping on the brakes as hard as possible," Lee said in an interview Wednesday at the state prison in Lino Lakes. "When the brakes were looked at and we were told that nothing was wrong with the brakes, I was shocked."

Lee's accident is among a growing number of cases, some long resolved, that are getting new attention since Toyota admitted its problems with sudden acceleration were more extensive than originally believed. Numerous lawsuits involving Toyota accidents have been filed over the recent revelations, and attorneys expect the numbers will climb.

In testimony before Congress, company executive renewed their apologies for underestimating the safety problems but also acknowledged that they still may not have identified all the causes for the sudden acceleration.

The uncertainty could wind up helping Lee and others. Attorneys for both the 32-year-old St. Paul man as well as the victims' families say they're encouraged by the evidence that the problems went beyond models that originally were recalled.

If Lee's car was defective, "We don't want an innocent man sitting in prison," said Phil Carruthers, who prosecuted the case for Ramsey County.

A Toyota spokesman declined to comment on Lee's case.

Lee, a recent Hmong immigrant with only about a year of driving experience, was driving his pregnant wife, 4-year-old daughter, father and brother home from church the afternoon of June 10, 2006, when their Camry zoomed up an Interstate 94 exit ramp in St. Paul. Police said it was traveling between 70 and 90 mph when it rear-ended an Oldsmobile stopped at a red light.

Javis Trice Adams, 33, and his 10-year-old son, Javis Adams Jr., died at the scene. Adams' 6-year-old niece, Devyn Bolton, was paralyzed from the neck down, and died shortly after Lee was convicted.

At his 2007 trial, Lee testified he was certain he tried to brake. But a city mechanic testified the brakes worked fine, and Carruthers, the prosecutor, argued Lee must have hit the gas by mistake. Lee's attorney at trial, Tracy Eichorn-Hicks, seemed to concede as much, arguing Lee's actions fell short of gross negligence.

In the end, a jury convicted Lee on two counts of criminal vehicular homicide. At sentencing, Ramsey County District Judge Joanne Smith gave Lee the maximum after emotional testimony that included Devyn Bolton's mother, Bridget Trice, saying to Lee: "I hope you understand what you've done to my family, Mr. Lee. You have ruined it."

Lee's Camry wasn't among those subject to Toyota's recent safety recalls, but Toyota did recall some 1996 Camrys for defective cruise controls that could cause sudden acceleration.

Lee's current attorney, Brent Schafer, said several '96 Camry owners whose cars were not in the recall have filed sudden-acceleration complaints with federal regulators.

Bob Hilliard, a Texas attorney, is preparing a lawsuit by the victims in the Lee crash. Hilliard said other federal complaints suggest a defect more widespread than recalled cruise controls — something with engine control modules that could extend to other Toyota makes and model years.

Hilliard said he's aware of about 16 potential class-action cases filed around the country on the basis of the automaker's recent revelations. Attorneys for the victims' family declined to make them available, but Hilliard said they feel differently about Lee now. "They seem to have made peace with the fact that he's telling the truth," Hilliard said.

Lee said he's grateful.

"I feel like them believing in me is a gift that I've received from God," he said.

Schafer said he'll file paperwork soon asking to reexamine the wrecked Camry, which still sits at the St. Paul police impoundment lot. All sides expect that request to be granted. Then Schafer would have to persuade the judge that new evidence merits a new trial.

Judges usually are skeptical about claims of new evidence, but Joseph Daly, a law professor at Hamline University in St. Paul, said Lee's chances appear to be good. "I really think a judge would be inclined to let that evidence be presented," Daly said.

Still, Carruthers said several factors would work against Lee. Lee testified his brakes didn't work, not that his car suddenly accelerated. And two experts — a city mechanic and an engineer hired by Lee's insurance company — didn't identify sudden acceleration as a problem with the car. Schafer said sudden acceleration is the only reasonable explanation for what happened.

Lee said he never had driven before immigrating to the United States and settling in St. Paul's large Hmong community in 2004. He was working to get his high school equivalency degree before the crash, and he's still working on it in prison. He wept as he described the impact of his imprisonment on his wife and four children, ages 8, 5, 3 and 2, who are on welfare.

"Right now it is very difficult for them," Lee said tearfully. "It's because my children are still very young. My wife is going to school and there aren't people to help her out. My kids ask about me constantly. They ask me when I'm going to come home. They ask about me. I don't know what to say to them."

Thursday, February 18, 2010

Corolla probe threatens Toyota brand

Toyota will be meeting with congress in the upcoming days, when we all thought Toyota is beginning to handle the situation well, it is struck with another major setback, the steering wheel of the corolla which is the 2nd most selling Toyota car in the states. If I recall occurred, it would futher worsen the companies reputation and cost them 5 to 6 billion dollars.
The full report is below

TOKYO (Reuters) – Toyota Motor Corp braced itself for further damage to its brand on Thursday, as it waited to hear if a U.S. probe into steering complaints would lead to another recall of its flagship Corolla model.

U.S. regulators launched a preliminary probe on Wednesday into reported steering problems with Toyota's second most popular vehicle in the U.S. market behind its Camry sedan.

Preliminary investigations are a common step by regulators and are often closed without leading to a recall.

Analysts said another recall would cost the company's reputation far more than it would cost directly in dollars.

So far the Corolla problem appears contained to the United States. Japan's transport ministry said there had been no complaints reported about the Corolla's steering system in Japan, adding that the model sold in Japan used different parts.

A Toyota Motor Europe spokeswoman said the version of the Corolla sold in Europe also used different steering, suspension systems and tires.

The world's biggest carmaker said it was looking into complaints about the steering systems of the 2009 and 2010 Corolla models, of which some 550,000 have been sold in North America, but that it would only recall the car if the issue were deemed a safety risk.

But analysts and investors are worried about the damage renewed scrutiny on the Corolla, which is already subject to a recall for an accelerator pedal defect announced less than a month ago, could do to Toyota's brand and sales.

Toyota's safety woes are spiraling at a time when carmakers worldwide are struggling to emerge from a deep industry crisis that led to bankruptcies and consolidation.

"Another recall of the Corolla may cost only 5 billion yen to 6 billion yen ($55 million to $66 million). But the Corolla is synonymous with the Toyota name," said Koji Endo, an auto analyst at Advanced Research Japan.

"Recalling the flagship model over and over again could damage Toyota's brand. I am afraid its customers might leave for rival cars."

Toyota's quality chief, Shinichi Sasaki, said at a briefing in Tokyo on Wednesday that internal studies had shown that drivers had complained about a change in steering response versus older Corollas, possibly due to a switch from a hydraulic power steering system to an electronic one.

He also said it was not yet clear if the problem was due to the steering, tires or another part.

In late January Toyota recalled 2.3 million vehicles in the U.S., including the 2009 and 2010 Corolla models, to fix faulty accelerator pedals. It has repaired about 500,000 cars so far, a Tokyo-based Toyota spokesman said.

Toyota is recalling about 1.7 million vehicles in Europe for problems linked to accelerator pedals as part of its wider global recalls.

A Toyota Motor Europe spokeswoman said the repairs were under way. The process may take around six months to complete but it was hard to estimate as the recall process worked differently in different countries, she added.

Shares of Toyota closed down 0.6 percent at 3,360 yen, underperforming the Nikkei average's 0.3 percent rise.

Toyota is already under intense scrutiny for its handling of the earlier safety complaints, with U.S. lawmakers seeking to establish whether it acted quickly enough to recall cars for acceleration problems.

The carmaker is gearing up for a grilling at two congressional panels next week. North America chief Yoshimi Inaba is due to testify.

Wednesday, February 10, 2010

Group 5's memo

Group 5


MEMO

To: The Toyota CEO

From: The Crisis Management Team

Re: Recall - Accelerator Pedals

Date: February 10, 2010

We have been informed about the recall problem and are advising you to further investigate the sticky accelerator issue in your defective Toyota automobiles. This shouldn't be taken lightly. Time is of the essence. Our crisis management team has put together a list of necessary steps to handle the issue and minimize legal damages as well as to prevent the tarnish of Toyota’s brand name by the media:

1. Find out which cars are affected and put a halt to production. Stopping production will genuinely reassure the public that safety is still a primary concern of the company. Toyota must ensure that not a single Toyota vehicle is manufactured that has the faulty break system.

2. Immediately run tests to figure out EXACTLY what the problem is and how Toyota is going to fix it. Assemble a team of experts on the Toyota automobile’s break system and direct them to examine the various affected Toyota vehicles through a series of thorough testing. When a solution is found, formulate an exact diagnosis so that the company may inform dealerships about how Toyota is solving the problem, and depending on what the solution is, inform the dealerships about what Toyota is doing. Or, perhaps if the problem is easily fixable by the dealerships themselves, ship them the "fix" and send a representative from our team of experts to each of the dealerships so that they may properly assist the dealerships in fixing the faulty breaks.

3. Create a 24-hour "help hotline," and then hold a press conference to respond to the issue. The press conference is an excellent way of getting our company’s voice out before the media can bombard the public with false information and stir the anxiety of our customers. At the press conference, Toyota should accept full responsibility for the problem and assure the public that our company will not hesitate to take every possible step to promptly diagnose and fix the problem. To end the press conference, inform affected vehicle owners about how they can access the 24-hour help hotline, which will provide them with real-time communication with our best Toyota personnel who are informed about the issue and are trained well in customer service.

4. Launch website delineating the findings from the diagnosis and testing of the problem and the steps Toyota car owners must to take to find out if their vehicle is affected and what to do to fix it. Create a unique website that clarifies what the problem is using colloquial explanations that can be understood by the average person. Also indicate which Toyota cars are affected and how the accelerator problem is going to be fixed. In addition to the launching of this website, Toyota should partner up with Twitter.com to create a Twitter account so that it may provide continuous updates to the public about new information pertaining to the problem and what Toyota is doing to solve it. Advertise the website through banners featured on Facebook.com that allow people to type in their VIN to see if their car is affected by the recall. Using online services such as Twitter and Facebook to alleviate damages to our brand name will help Toyota affectively communicate with users of social networking sites before the media does.

5. Send out apology letters to affected car owners. The sorry letters will help the customers feel more appreciated and feel as if their experience with Toyota is a lot more personal. Mailing apology letters will also allow our company to reach those consumers who seldom use the Internet as a source of information and news. In each letter, we will include with the formal apology, a voucher for an oil change as well as a pamphlet that explains where they can go to get additional information (a physical location, such as a dealership, or online—through our company website or through Facebook and Twitter) and how to contact the help hotline that is available to them 24 hours.

6. Create 3-D simulation on the website that shows how the problem is being fixed, and then, hold a second press conference as a follow-up. By having another press conference, Toyota can reinforce its core values and its concern for customer satisfaction and safety of its vehicles. The press conference can also be used to further inform the public about the solution to the problem and how a 3-D simulation is accessible to them on the company website. By allowing car owners to see a 3-D simulation of the problem and how it is being fixed, we can reassure them that the solution is viable and effective.

Toyota Crisis Memo

Memo Group: Greg Maehara, Drew Kootman, Dominic Demark, Kevin Fanelli, Benyamin Widjojo, and Erica Hollern

To: CEO Toyota

From: The Director of Crisis Management

Date: February 5, 2010

RE: Toyota Recall Accelerator, Pedal sticking


Hello,

Due to recent problems regarding the malfunction of the gas pedal in the following Toyota models, 2005-2010 Avalon, 2009-2010 RAV4, 2007-2010 Camry, 2008-2010 Sequoia, 2009-2010 Corolla, 2005-2010 Tacoma, 2008-2010 Highlander, 2007-2010 Tundra, 2009-2010 Matrix, 2009-2010 VENZA, and 2004-2009 Prius, we are planning on recalling and replacing the pedal and other malfunctioning parts.

The following steps are being taken to ensure customer satisfaction and increase our brand image. The first action that we will be taking is holding a press conference, addressing the issue and what we plan to do about it. In this conference we will be apologizing to the public for the error in production, while assuring them that we will be doing everything in our power to rectify this malfunction. We will be stopping production so that we can focus on fixing the current problem. This will also give us the opportunity to understand what is going wrong during the production of these vehicles. The next step will be to contact our customers who have bought the models that are listed above, offering to bring their car in to be fixed, as well as, giving out loaner cars in the mean time.

In order to increase our brand image, we will be making a commercial that explains exactly what is going on to the general public, this should eliminate any rumors that could harm our image of reliability and loyalty. To help keep in front of the media we will be setting up a blog where owners can log on and ask questions and get immediate answers in return. We will also continue to hold press conferences to keep the public informed on how the problem is going.

Once we start production again our plan is to not produce any cars with malfunctions, and to ensure this we will be running more tests on them at every step of the production line. There will also be a 30 day money back guarantee for new buyers.

Sincerely your risk managers,

Greg Maehara

Drew Kootman

Dominic Demark

Kevin Fanelli

Benyamin Widjojo

Erica Hollern