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Weekly Recap: FCA hit with record fine as NHTSA crackdown continues

The National Highway Traffic Safety Administration slapped Fiat Chrysler Automobiles with a record fine this week that could reach $105 million. The punishment comes after NHTSA found problems with the automaker's execution of 23 recalls that affect more than 11 million vehicles. The consent agreement, announced Sunday, calls for FCA to pay a $70-million cash fine and requires the company to spend at least $20 million over a three-year period on industry outreach programs and to beef up old recall campaigns. Failure to comply will result in another $15-million fine. FCA also agreed to federal oversight, which includes an independent monitor to oversee the company's recalls. The $70-million cash fine equals a penalty NHTSA levied on Honda in January. "Fiat Chrysler's pattern of poor performance put millions of its customers and the driving public at risk," NHTSA administrator Mark Rosekind said in a statement. "This action will provide relief to owners of defective vehicles, will help improve recall performance throughout the auto industry, and gives Fiat Chrysler the opportunity to embrace a proactive safety culture." FCA called the deal a "consensual resolution," but admitted that it "failed to timely provide an effective remedy" during certain recalls. "We are intent on rebuilding our relationship with NHTSA and we embrace the role of public safety advocate," the company said in a statement. The announcement kicked off a busy week for the automaker. NHTSA agreed FCA did not need to recall 4.7 million vehicles after an investigation failed to find defects with a power module used in some Jeep, Dodge, and Ram vehicles. A Georgia judge also reduced a civil verdict involving a death in a Jeep Grand Cherokee crash. Amid all of that, the company reported net profit of about 333 million euros, or $364 million in the second quarter on Thursday. OTHER NEWS & NOTES FCA ramps up Hellcat production Despite a decidedly legal and financial week for FCA, there was still time for the performance side of the business to briefly grab the spotlight. The automaker is more than doubling its production of the Dodge Challenger and Charger SRT Hellcats in response to strong demand. The order bank opens the second week of August and production begins in September. FCA will finish up its scheduled 2015 model-year Hellcat builds, and cancel any "unscheduled" versions, though customers will get discounted pricing for 2016.

Fiat Chrysler expands Takata airbag recall to 3.3M vehicles

Fiat Chrysler Automobiles is expanding its recall of vehicles equipped with Takata airbags, moving beyond Florida, Hawaii, Puerto Rico and the US Virgin Islands to the greater US, as well as Mexico, Canada and beyond. The affected vehicles, some 3.3 million in total, were built between 2004 and 2007, with many models, including the Dodge Ram 1500, 2500 and 3500, Durango and the Chrysler 300, having been affected by Chrysler's previous recall. Despite the somewhat alarming nature that comes with a recall of this many vehicles, it seems that Chrysler is moving more out of an abundance of caution (and federal pressure) than anything else, saying: "Neither FCA US, nor Takata Corporation, the supplier, has identified a defect in this population of inflators. These components also are distinct from Takata inflators cited in fatalities involving other auto makers. More than 1,000 laboratory tests have been performed on these components. All deployed as intended, but FCA US continues to study the suspect inflators, which are not used in the Company's current production vehicles." Owners of affected vehicles will be notified and asked to report to dealers for a free replacement driver's side airbag. Scroll down for the official press release from FCA. Statement: Global Air-Bag Inflator Replacement December 19, 2014 , Auburn Hills, Mich. - FCA US LLC will replace driver's-side air-bag inflators in an estimated 3.3 million older-model vehicles worldwide, in an expansion of an ongoing regional field action. Neither FCA US, nor Takata Corporation, the supplier, has identified a defect in this population of inflators. These components also are distinct from Takata inflators cited in fatalities involving other auto makers. More than 1,000 laboratory tests have been performed on these components. All deployed as intended, but FCA US continues to study the suspect inflators, which are not used in the Company's current production vehicles. Outside of Florida, one of the areas covered by the original action, no FCA US vehicle has been linked to an air-bag deployment of the type that has raised public concern. Nevertheless, the Company is replacing the Takata components tied to that concern. FCA US is aware of one related injury involving one of its vehicles, an older-model sedan. It occurred in a southern Florida region marked by persistent, high, absolute humidity – a condition believed to be a contributing factor in the air-bag deployments under investigation.

Dodge Scat Packages add Mopar performance upgrades in three stages

Dodge has revealed what it calls Scat Package Stage Kits that enhance the performance of the Charger and the Challenger equipped with the 5.7-liter V8, and the Dart equipped with the turbocharged 2.4-liter inline four-cylinder engine. The Scat Packs use Mopar performance parts that also can be bought separately. Most of the upgrades increase engine output, but Dodge somehow manages to not specifically mention the power gains associated with each Scat Pack.
The three Scat Packs offered for the V8-powered cars focus on higher power ratings, and each stage comes complete with a unique engine-management calibration to optimize output. Stage one comes with a cold-air intake and a cat-back exhaust; stage two adds a performance camshaft; and stage three really gives you the goods, adding ported polished cylinder heads and performance headers.
For the Dart, the Scat Packs focus on engine, transmission, chassis and brake upgrades. Stage one will net you a cold-air intake, a short-throw shifter and slotted rotors with performance brake pads; stage two adds a cat-back exhaust system and an engine-management calibration to increase output by taking advantage of premium-octane gasoline; and stage three adds 13-inch vented brake discs up front clamped by four-piston calipers, suspension with adjustable springs and struts and performance front and rear antiroll bars.