Friday, 20 May 2016

GM SUV Owners Will Get up to $900 for Misstated Fuel Economy Ratings

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General Motors just announced that it will compensate approximately 135,000 U.S. vehicle owners after it was discovered that three crossover models were sold with incorrect mpg ratings on their window stickers. 

GM will offer debit cards worth $450 to $900 to U.S. owners affected by the mislabeling. Customers may instead choose a four-year, 60,000-mile extended warranty plan designed for high-mileage customers and those who plan to keep vehicles for an extended period, while those who leased vehicles will be offered a pre-paid debit card, Reuters reports.

A source told Reuters that the action will cost GM approximately $100 million, though a GM spokesman said the program would not have a material impact on financial results.

The action affects the 2016 Chevrolet Traverse (shown above), GMC Acadia, and Buick Enclave. As Automotive News reports, all-wheel-drive versions of these vehicles were sold with window stickers claiming an EPA rating of 17 mpg city, 24 highway and 19 combined; in truth, the actual EPA number was 2 mpg lower for each. Front-wheel-drive models, which are EPA rated at 15 mpg city, 22 highway and 18 combined, also were mislabeled.

The automaker blames the 1-2 mpg overstatement on “improper calculations” that did not include data pertaining to new emissions-related hardware included for the 2016 model year, Reuters reports.



Last week, GM put a temporary stop-sale order on all unsold 2016 crossovers thought to carry the incorrect mpg label, affecting a U.S. inventory of more than 60,000 vehicles. Sales resumed after corrected labels were rushed to dealerships.

This story originally appeared on Road & Track.


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