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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.

2014 Dodge Durango Ron Burgundy ads already have 2.7M views [w/videos]

The guy who once made the Dodge Stratus a punchline of sorts is now a spokesman for the 2014 Dodge Durango, and the move appears to be paying off handsomely for Dodge. Will Ferrell, acting as 1970s-era TV news personality Ron Burgundy, has teamed up with the automaker for co-branded advertisements between the refreshed 2014 Durango and Ferrell's new movie, Anchorman 2: The Legend Continues. Like Ferrell's fictional character, the ads are outrageous, flamboyant and a bit random. They're also successful: Automotive News says that more than 2.7 million people have already watched the videos since they debuted on October 5.
Those views are similar to the numbers that AN's top viral video of the year (e.g. Volkswagen's "Get Happy" Super Bowl ad) received, but there will eventually be as many as 70 videos comprising the Burgundy-Durango spots. According to the report, the videos were created primarily as a viral campaign online, although some are airing on television, too. For Dodge's part, the cost of the videos was significantly lower than a usual television campaign thanks to the fact that Ferrell wasn't paid for the spots since they were made in cooperation with promotional efforts for his new movie.
We've already posted a few of the videos in our previous post, but scroll down for several more - and head over to Adweek for a little added background on how these spots came to be.

Dodge Dart Mopar '13 special edition recalled over airbag woes

Dodge is only building 500 examples of the black-and-blue Mopar '13 Dart, but the majority of them are now being recalled. Part of the Mopar upgrade included replacing the stock seat skins in the Dart with black and blue Katzkin leather, but the seat-mounted side airbags were reinstalled improperly during the upfitting process, which could affect the performance of the front seat side airbags.
According to the official National Highway Traffic Safety Administration bulletin, a total of 374 Mopar '13 cars are being recalled due to side airbags that might not deploy in a side-impact collision. There have been no reports of the airbags not going off, but Chrysler will still need to reinstall the bags to ensure proper deployment. The recall notice is posted below, which gives information for Mopar '13 owners to contact Chrysler and NHTSA.