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Hyundai And Kia Penalized $350 Million For Overstated MPG Claims

Nearly two years after Hyundai and Kia announced they exaggerated fuel economy numbers for several of their most popular models, the two Korean automakers have paid a heavy penalty for the transgressions. The Department of Justice and Environmental Protection Agency announced a settlement Monday that will cost the two car companies approximately $350 million. The financial sum includes a $100 million fine, the largest ever levied under the Clean Air Act, and about $200 million in forfeited greenhouse-gas emissions credits. At a time when car buyers rank fuel economy as a top concern when they head to dealerships and the federal government has mandated increased efficiency, Attorney General Eric Holder said the settlement should serve as a warning to automakers not to fudge their numbers. "This will send a strong message that cheating is not profitable," he said. The settlement ends a federal lawsuit filed against the automakers in U.S. District Court, but it's important to note that it doesn't end a class-action lawsuit filed on behalf of consumers. A preliminary settlement in that case, based in Los Angeles, was approved last month, but final approval isn't expected until July 2015. Officials with the EPA said the $100 million figure roughly equals the economic benefits the two companies received from exaggerating the mileage claims on the window stickers of new cars. Fuel-efficient boasts helped Hyundai and Kia establish a strong foothold in the U.S. marketplace. Advertisements for the Hyundai Elantra stated the vehicle achieved 40 miles per gallon in highway driving, and helped the car win the prestigious North American Car Of The Year honors at the Detroit Auto Show for its 2012 model. In July 2011, the advocacy group Consumer Watchdog began receiving complaints from consumers that the Elantra and other Hyundai models fell short of their stated mileage claims in real-world driving. The group wrote to the EPA and Hyundai, asking both to investigate. Government officials said Kia had overstated the mileage on its popular Kia Soul crossover by 6 miles per gallon, and more than a dozen overall models were affected. On Monday, EPA administrator Gina McCarthy said the violations were "egregious." Based on the exaggerations, the EPA calculated that Hyundai and Kia had underreported the greenhouse gas emissions of their fleets by about 4.75 metric tons over the estimated lifetime of the vehicles. That figure aided in the $200 million credit forfeiture.

Is Kia working on a sporty convertible?

It's been a number of years since we last heard rumors about a drop-top Kia, but as the South Korean automaker continues to grow into new segments, why not stir things up again? Fan site Kia-world.net got its hands on what is claimed to be an exclusive drawing (click to enlarge) of the Kia Pro_cee'd GT Cabrio.
This rendering looks exactly like what we'd picture a topless version of the three-door hatchback to look like, but until there's any official information, we'll keep this filed under "we'll believe it when we see it." The idea of a Kia convertible sounds good to us, especially if it looks like this, but we're still waiting for the sporty model that lead designer Peter Schreyer said could happen "sooner or later" back in 2010.

2016 Kia Soul EV gets $2k-cheaper base model

With the 2016 Kia Soul EV arriving at dealers in Washington, Oregon, Texas, Georgia, and Hawaii, the company is set to tap a huge array of new customers. Perhaps recognizing that fact, the South Korean brand has added a new base trim that allegedly slashes the electric car's starting price by some $2,000. Joining the former entry-level Soul EV and top-of-the-line EV+, is the new EV-e. While it's considered the base model, it still offers push-button start and a special driver's-side-only ventilation function for the HVAC system, on top of standard front heated seats and a heated steering wheel. The charging system – two ports, one for Level 1 and Level 2 AC charging, and another for DC fast charging – and electric motor/battery pack remains unchanged on the new base trim. As for the rumored pricing figure, it comes from Kia World, which claims the new EV-e will ring up at just $31,950 before and state or federal incentives. As we said, that's some $2,000 less than the current starting price, if the report proves true. Kia is also addressing the customers at the top of the Soul EV range, adding a new Sun and Fun package for the EV+. The new package adds a panoramic sunroof and LED speaker lights that match to whatever music is playing through the six-speaker stereo. Both features have existed on the gas-powered Soul for some time, but are welcome additions to the electric hatchback. As we reported previously, sales of the Soul EV in Oregon, Washington, Texas, Georgia, and Hawaii should be underway as of this month. It's not clear, however, when the new entry level EV-e will arrive in dealers. Related Video: 2016 KIA SOUL EV OVERVIEW Kia Expands Eco-friendly and Affordable Soul EV Lineup for 2016 New 2016 Soul EV-e trim1 adds new value to the electric vehicle segment New Sun & Fun Package for Soul EV+ (plus) adds a host of premium amenities, including panoramic sunroof IRVINE, Calif., July 8, 2015 – The 2016 Soul EV marks the second year of Kia's first mass-market zero emissions, battery electric vehicle. For 2016, the Soul EV is offered in three trims – Soul EV-e, Soul EV, Soul EV+ (plus) – up from two in 2015. Offering a long list of standard equipment at a lower price point, the Soul EV-e brings new value for those looking for a fun and funky alternative in the EV segment. The Soul EV+ continues as the range-topping trim, and is further enhanced for 2016 with the addition of the Sun & Fun Package.