1997 Subaru Legacy Outback Limited Wagon 4-door 2.5l on 2040-cars

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Kayaba, Sumitomo to pay millions for price-fixing in US

Kayaba Industry Co, which does business in the US as suspension parts maker KYB, and Sumitomo Electric Industries are facing payments in the millions to settle price-fixing cases about the components that they make. As part of the Department of Justice's ongoing crackdown of price fixing in the auto industry, KYB agreed to pay $62 million and pleaded guilty to conspiracy to set the cost of shock absorbers from the mid '90s through 2012. The company allegedly worked with co-conspirators to keep the cost of the parts high, and those components then made it into vehicles from Honda, Kawasaki, Nissan, Subaru, Suzuki, and Toyota. "Any collusive agreement among competitors to restrict price competition undercuts our free enterprise system and violates the law," said Carter M. Stewart, US Attorney of the Southern District of Ohio, in the DoJ's announcement. Over the past few years, the DoJ has brought cases against 37 parts suppliers and 55 executives, leading to over $2.6 billion in fines. The investigations haven't always been so successful – some of the Japanese execs fled from the US to avoid prosecution. Critics allege that price fixing is simply how business is done. According to Automotive News, Sumitomo Electric Industries is also facing a $50 million settlement in a civil lawsuit that's related to price fixing of parts like wiring harnesses and heater control panels. The plaintiffs include owners and dealers that purchased vehicles with these parts. The company asserts that the violations are from before 2010, and it now has different process in place to avoid further violations. KYB Agrees to Plead Guilty and Pay $62 Million Criminal Fine for Fixing Price of Shock Absorbers Kayaba Industry Co. Ltd., dba KYB Corporation (KYB) has agreed to plead guilty and to pay a $62 million criminal fine for its role in a conspiracy to fix the price of shock absorbers installed in cars and motorcycles sold to U.S. consumers. According to charges filed today, KYB conspired from the mid-1990s until 2012 to fix the prices of shock absorbers sold to Fuji Heavy Industries Ltd. (manufacturer of Subaru vehicles), Honda Motor Co. Ltd., Kawasaki Heavy Industries Ltd., Nissan Motor Company Ltd., Suzuki Motor Corporation and Toyota Motor Company, including their subsidiaries in the United States.

Subaru might build WRX hatchback after all

The 2015 Subaru WRX is awesome. Really awesome. We told you as much in our first drive of the new sedan back in December. Honestly, our only complaint about Fuji Heavy's new performance machine is that it's no longer offered as a hatchback - the new WRX is a sedan-only affair, despite the more functional five-door variant accounting for some 50 percent of sales in the car's last generation.
But there's hope on the horizon, if a report from Australia's Motoring.com is to be believed. Speaking with Masuo Takatsu, Subaru's general manager for the WRX, the company is now re-considering putting the "hatch" back in its hot hatch.
"We have received strong interest from the US, where the hatchback was 50 percent (of previous-generation WRX sales), so we're now considering," Takatsu told Motoring, noting that the United States is Subaru's main target for this car. Additionally, Takatsu said the company's decision to only offer the sedan was the result of limited engineering resources, echoing statements we've previously heard from Subaru's US arm.

Subaru recalling 660k vehicles in some states for possible brake line corrosion

Subaru is recalling 660,238 vehicles located in 20 US states that use salt on their roads. It's possible that salty water could splash onto the rear brake lines, and it could eventually cause corrosion and potentially perforation, leading to a fluid leak.
The recall covers the 2005-2009 Outback and Legacy, 2008-2011 Impreza, 2008-2014 WRX and STI and 2009-2013 Forester. However, only vehicles currently or formerly registered in the following snowy US states or districts are covered: Connecticut, Delaware, Illinois, Indiana, Iowa, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, Vermont, West Virginia, Wisconsin and the District of Columbia. The company previously recalled the 2005-2009 Legacy and Outback to repair this problem, and now it's added the additional models, plus any of the original cars it missed the first time.
According to the defect notice from the National Highway Traffic Safety Administration, Subaru found a total of 24 cases of corrosion in US leading up to the recall. There was a single case of actual brake line perforation, but it happened in Switzerland, according to the document. The company believes that it would take seven or more seasons of winter driving on salty roads before any corroding would begin.