2014 Hyundai Elantra Limited on 2040-cars

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Hyundai admits 'error' in KDM Sonata fuel economy announcement

Stop us if you've heard this one before: Hyundai is going to have to reduce the officially announced miles-per-gallon number for its 2014 Sonata. While there's a lot of similarity between this new situation and events that transpired in 2012, there are some important differences. For one, the new mileage mistake, which Hyundai says was once again caused by an error at its test centers, is only applicable to cars in the Korean Domestic Market. Secondly, it's not so much mpg as kilometers per liter. "We are very sorry for causing confusion to reporters" - Hyundai According to Reuters, the numbers for the Korean Sonata were originally announced as 12.6 kilometers per liter (29.63 mpg), a six-percent increase over the previous model. The automaker has just announced that government verification showed an actual result of 12.1 kpl (28.46 mpg), which is only a two-percent increase. Since these numbers were done using the South Korean economy test, they are not equivalent to the US EPA numbers, the latter of which say the 2014 Sonata gets 36/40/38 miles per gallon. The correction came before the new Sonata went on sale in South Korea. In an official statement, Hyundai said, "We are very sorry for causing confusion to reporters." Hyundai Motor America's Jim Trainor, product public relations senior group manager, assured AutoblogGreen that the Korean error will have "no effect" on US ratings. In 2012, Hyundai and Kia faced a media and consumer firestorm after being caught up in exaggerated mileage claims for vehicles like its 2013 Accent, Veloster and Elantra. The sister companies agreed to compensate buyers to the tune of $395 million for what they said were "honest mistakes" and "human error" during in-house fuel economy tests. There is no word yet on whether similar customer satisfaction actions will follow this domestic market snafu.

Hyundai reveals CEO's pay for first time ever

Thanks to some government pressure, Hyundai's billionaire chairman, Chung Mong Koo, has revealed just how much he gets paid each year. Honestly, the amount is a bit lower than we'd expect considering he helms such a huge industrial empire. The 76-year-old chairman brought home $13 million in 2013, $5.2 million of which came from Hyundai's automotive business while both Mobis and Hyundai Steel chipped in $3.94 million, each. For reference, Ford CEO Alan Mulally netted $23.2 million in 2013, although the vast majority of that money came from stock options.
The push for Chung to reveal his pay was part of a larger effort by the South Korean government called the Financial Investment Services and Capital Markets Act. The act forces several thousand companies to release info on annual pay, bonuses and severance for employees earning over $5 million won ($469,000), according to Bloomberg.
"With the disclosure of the executives' compensation, the pressure to deliver better profits will increase," said Heo Pil Seok, the CEO of Midas International Asset Management. It seems to be working, as Hyundai shareholders, of which Midas is one, have seen their shares increase by 6.1 percent in 2014, which includes a 1.2-percent jump as of yesterday, according to Bloomberg.

Hyundai Recalling 883,000 Sonata Sedans

DETROIT (AP) - Hyundai is recalling its popular Sonata midsize sedan to fix problems with the gear shift levers. The recall covers 883,000 cars from the 2011 through 2014 model years. The Korean automaker says the automatic transmission shift cable can separate from the shift lever. If that happens, the lever may not show the correct gear, increasing the risk of a crash. Also, if the driver stops the car and puts the transmission in "park," the car may still be in gear and could roll away, injuring drivers, passengers or bystanders, Hyundai said in documents posted Wednesday by the U.S. National Highway Traffic Safety Administration. Other symptoms include an inability to start the car because it can't be shifted into park. Hyundai has received 1,171 warranty claims about the problem, plus seven other reports with related symptoms. The documents don't say if there have been any crashes or injuries. The Sonatas being recalled were made from Dec. 11, 2009 through May 29, 2014. The Sonata is Hyundai's second-best-selling car in the U.S. so far this year. First is the compact Elantra. Hyundai will notify owners by letter between now and the end of September. Dealers will inspect the shift cables and repair the connection if needed. Owners with questions can call Hyundai customer service at (800) 633-5151. Recalls Hyundai