Mass Recalls & Government Investigation Can't Keep TOYOTA Down...

[Obama 2012 1,714]

Now THAT's brand recognition right there..... They made some mistakes, but people are still flocking to them....

As they should really. They are damn well built cars that last a long time.

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http://www.wfaa.com/news/business/Toyota-profit-quadruples-to-12B-despite-recalls-106810288.html

TOKYO – (AP) Toyota's second quarter profit more than quadrupled despite lingering worries about the safety of its cars after massive recalls that are still dogging its sales in the U.S.

Toyota reported July-September profit of 98.7 billion yen ($1.2 billion) on Friday, up dramatically from 21.8 billion yen profit a year earlier but lower than analysts expected. Quarterly sales rose 5.8 percent to 4.807 trillion yen ($59.5 billion).

Toyota Motor Corp. is the only major automaker whose U.S. sales have been sluggish despite a recent onslaught of incentives that have boosted other automakers' results — underlining how its once sterling image continues to be tarnished in that crucial market.

Like other Japanese exporters, Toyota is also fighting damage from a strong yen that erodes the value of overseas earnings.

The world's top automaker by vehicle sales raised its profit forecast for the year through March 2011, albeit modestly, to 350 billion yen ($4.3 billion) from an earlier forecast for 340 billion yen ($4.2 billion) profit.

That would mark a 67 percent rebound from the previous year, when the maker of the Prius hybrid and the Camry sedan was hit hard by the recall woes. But that's a shadow of what it used to rake in during its heyday.

Toyota raised its global vehicle sales forecast for the full year to 7.41 million vehicles from 7.38 million. That would be a 2.4 percent gain from 7.24 million vehicles sold the previous year.

Toyota said it was more upbeat about sales in Japan, the rest of Asia and Europe, but lowered its forecast for North American sales by 80,000 vehicles.

"We continue to suffer a strong backlash from the repercussions," said Executive Vice President Satoshi Ozawa of the quality problems. "The situation may be tough for us, but we will try to sell one car at a time."

Over the past year, Toyota has recalled more than 11 million vehicles around the world for a range of problems, including faulty gas pedals, floor mats that can trap accelerators, defective braking and stalling engines.

Just Thursday, Toyota recalled 135,000 compact cars in Japan and Europe for a software problem that could cause power steering to stop working.

Koji Endo, an auto analyst with Advanced Research Japan Co., thinks more time is needed before Toyota can patch up its image because "the Toyota Way," reputed for quality and long the foundation of the automaker's growth, has been debunked.

"We can't see any overall vision or a model for its business that points the direction in a big way about where Toyota is going," he said. "We are not going to see a powerful Toyota for a long time yet."

Toyota's results follow even stronger earnings recoveries from other Japanese automakers including Honda Motor Co. and Nissan Motor Co.

Like Toyota, both had booming sales in China and other emerging markets despite the strong yen.

Toyota said it had calculated the dollar trading at an average of 86 yen for the latest quarter, while it had been at 94 yen last year. In recent months, the dollar has tumbled to about 80 yen.

Where Toyota differs is the serious damage to its reputation in the U.S. because of the recalls and a perception that it was slow or reluctant to come forward with problems.

Toyota faces hundreds of lawsuits in the U.S., many from families of people who died or were injured in accidents related to unintended acceleration suspected of being linked to the quality lapses.

Jesse Toprak, Vice President of Industry Trends and Insight at TrueCar.com, said Toyota lost market share in the U.S. despite hefty incentives.

"Toyota has not recovered from the recalls," he said. "Until we stop hearing news about another recall, consumers are not going to gain confidence in the brand — if they haven't already left."

One bright spot in Toyota's performance is the popularity of the Prius in Japan, where it was the best-selling model for the 18th straight month for October, even after green car subsidies ended.

For the fiscal first half, Toyota's profit totaled 289 billion yen ($3.6 billion), a reversal from the loss of 56 billion yen a year earlier. First half sales climbed 15.5 percent to 9.68 trillion yen.

Toyota stock finished 2,964 yen, up 1.9 percent. Earnings were announced after trading ended.

[lostinblue 1,989]

Having bought 2 toyota's during the last 12 months I will say we are pleased. No more union government motors for me. Just wait until the chinese start selling autos here. The union boys will be begging for a $12/hr factory job.

Edited November 6, 2010 by lostinblue

[Danno 1,228]

YEah we bought a new Toyota this year too.

I won't say I am proud of it, I would have preferred to buy American but didn't find anything I liked.

THis is actually the first foreign car I have bought new now that I think of it.

It would be sweet if an American manufacturer could have bough some of Detroits old plants and started cranking out american made, nonunion products, everyone would have been winners (Except the Union bosses of course).

[Obama 2012 1,714]

YEah we bought a new Toyota this year too.

I won't say I am proud of it, I would have preferred to buy American but didn't find anything I liked.

THis is actually the first foreign car I have bought new now that I think of it.

It would be sweet if an American manufacturer could have bough some of Detroits old plants and started cranking out american made, nonunion products, everyone would have been winners (Except the Union bosses of course).

depending on which model you bought, a lot of Toyotas are actually made here with American parts as well. Especially the trucks!

[Gary and Alla 3,694]

But the government keeps trying to kill the competition.

[spookyturtle 9,465]

Buy American.

[lostinblue 1,989]

Buy American.

http://www.actsofvolition.com/archive/2010/march/gms1600car

GM’s $1,600/car Health Tax

Posted by Steven Garrity on Wednesday, March 31, 2010 - 3 comments

A recent episode of This American Life uses the story of NUMMI, a joint-venture auto plant between GM and Toyota in 1984, to help tell the larger story of why the American auto industry produced such poor quality cars for so many years.

Though it was peripheral to the main point of the story (how GM failed to learn from Toyota, despite amble opportunity), this quote stood out to me:

“Over the years General Motors negotiated contracts with the UAW with such generous health care coverage that by 2007 it amounted to more than $1,600 for each vehicle GM produced in North America.

Sorry I will not pay for an underworked GM union employee's health care ever again.

[mawilson 2,133]

Sorry I will not pay for an underworked GM union employee's health care ever again.

Why not? Would you rather pay for some Chinese guy's healthcare?

[mawilson 2,133]

Ultimately all products made in the US and other first world countries include the cost of healthcare and other employer-provided benefits.

When you buy bread, do you ask yourself, "Gee, I wonder how many slices account for the cost of the bakery's healthcare plan? Maybe I should buy my bread elsewhere."

See how silly it is?

[Usui Takumi 1,562]

I'm buying Ford next go around, which is a big deal since i'm a subaru,mitsubishi fan.

[lostinblue 1,989]

Why not? Would you rather pay for some Chinese guy's healthcare?

I would rather have a union worker pay for his own health care.

Sorry you buy a new car and pay for it . I have no problem buying a used car. I was talking to a postal worker a few months ago and he was complaining that he had to cough up 25/week towards his health insurance. WOW....

[mawilson 2,133]

I would rather have a union worker pay for his own health care.

Employers in this country provide health care benefits to their workers - that's the

way the system works.

These costs are recognized as part of the cost of doing business, and are incorporated

into the cost of their products.

Car manufacturers are no different. Why are you railing against their health care

plans but not everyone else's?

[Ban Hammer 13,334]

Employers in this country provide health care benefits to their workers - that's the

way the system works.

These costs are recognized as part of the cost of doing business, and are incorporated

into the cost of their products.

Car manufacturers are no different. Why are you railing against their health care

plans but not everyone else's?

seen how much of a car's cost is part of the price? i've seen as much as 5k.

[mawilson 2,133]

seen how much of a car's cost is part of the price? i've seen as much as 5k.

If the car is too expensive, don't buy it. If it's competitively priced, who cares

how much of it is healthcare and how much is 401(k) and pension plans?

[spookyturtle 9,465]

http://www.actsofvolition.com/archive/2010/march/gms1600car

GM’s $1,600/car Health Tax

Posted by Steven Garrity on Wednesday, March 31, 2010 - 3 comments

A recent episode of This American Life uses the story of NUMMI, a joint-venture auto plant between GM and Toyota in 1984, to help tell the larger story of why the American auto industry produced such poor quality cars for so many years.

Though it was peripheral to the main point of the story (how GM failed to learn from Toyota, despite amble opportunity), this quote stood out to me:

“Over the years General Motors negotiated contracts with the UAW with such generous health care coverage that by 2007 it amounted to more than $1,600 for each vehicle GM produced in North America.

Sorry I will not pay for an underworked GM union employee's health care ever again.

But you don't mind lining a Japanese company's pocket? And Toyota has a healthcare cost per car of $0?

I'm buying Ford next go around, which is a big deal since i'm a subaru,mitsubishi fan.

Being open minded is a good thing.