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Hyundai Admits HP was overstated

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Old 09-09-2002, 08:20 AM
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Default Hyundai Admits HP was overstated

Hyundai: Horsepower Was Overstated
03:29:34 PM Today

Hyundai: Horsepower Was Overstated
By JOHN PORRETTO
AP Business Writer

DETROIT (AP) _ Hyundai Motor America said Monday it has published incorrect horsepower ratings for more than one million vehicles in marketing materials dating back a decade.

The company said 1.3 million vehicles in a number of model lines were involved. The average overstatement was 4.6 horsepower.

``It has no impact on the safety or reliability of the vehicles,'' HMA president and chief executive Finbarr O'Neill said in a conference call.

``Obviously I'm quite regretful and very
sorry that this has occurred and for any concern it would raise among Hyundai customers.''

Hyundai Motor America, based in Fountain Valley, Calif., is a subsidiary of Hyundai Motor Co. in South Korea.

Models with misstated horsepower ratings include the Sonata,Accent, Tiburon and Elantra.

The 1997 and 1998 Sonata 2.0 liter had the largest
overstatement. The published horsepower was 137 when it actually was 125 a difference of 9.6 percent.

The 1992-94 Sonata and the 2001 Accent were the only models with published horsepower less than actual horsepower.

Hyundai said the errors occurred because the automaker didn't have a procedure to verify that preliminary horsepower matched actual horsepower.

O'Neill said the company has rectified that by establishing a new policy that says only actual horsepower ratings for engines will be used in marketing material.

To atone for the mistake, the automaker is offering a choice of three warranty-enhancement options for customers with 2000 and
later models. For those with 1999 or older models, the company is offering five-year roadside assistance coverage.

O'Neill said he didn't know how much the error would cost the company.

Owners and lessees will receive a letter from Hyundai Motor America in the next few weeks explaining the options and how they can be activated. The disclosure comes as Hyundai builds its first U.S. auto manufacturing plant in Alabama.

Analyst David Healy with Burnham Securities Inc. said horsepower overstatements have been known in the industry but seldom on such a large scale.

``It's a significant embarrassment short-term and maybe a short-term financial hit, but in the long-term I don't see any real damage,'' Healy said.
___
NOTE:
Hyundai customers can call their dealer or a toll-free consumer hot line at 1-800-218-9797 or check the Web site
www.hyundaistatus.com.

From www.hyundaisatus.com

QUOTE
Q: I heard the news that something may be wrong with my Hyundai. What is the problem and is my vehicle affected?

A: First, you should know there is nothing wrong with your car. We recently discovered that the horsepower information on some of our vehicles had been inaccurately reported in Hyundai's marketing materials.

Q: What is Hyundai going to give me as a result of this error?

A: As a gesture of apology and an attempt to demonstrate how important Hyundai customers are to us, we are offering those individuals whose model's horsepower ratings were misprinted by more than four percent their choice of three warranty-enhancement options, or, for the 1999 model year and earlier, five-year roadside assistance coverage. The warranty-enhancement options include:Extension of Roadside Assistance Benefit from five years/unlimited miles to 10 years unlimited miles, or Extension of New Vehicle Limited Warranty from five years/60,000 miles to 6 years/72,000 miles, or Extension of Powertrain Limited Warranty from 10 years/100,000 miles to 12 years/120,000 miles for original owner only.

Q: How do I know if my car's horsepower rating was misprinted by more than four percent:

A: Please enter the vehicle indentification number for your Hyundai at www.hyundaistatus.com. This will provide you with the necessary information.

Q: What is horsepower and how significant is it to my vehicle's performance?

A: Horsepower is a measure of an engine's ability to perform work. The horsepower rating indicates the maximum horsepower produced at a high engine speed such as 5500 or 6000 RPM.

Q: How will this error affect the performance of my vehicle?

A: This error has no impact on the current operation, performance, safety or reliability of your vehicle or any Hyundai vehicle. This error pertains only to published materials about these vehicles.

Q: How can I get the performance on my vehicle back?

A: Your vehicle performs that same today as it always has. The rating correction only involves the maximum horsepower that could be produced at a high engine speed.

Q: How will this error affect gas mileage?

A: Fuel economy ratings are as stated when the vehicles were purchased. This error pertains only to published materials regarding horsepower.

Q: Why can't I get 181 horsepower?

A: Your engine's maximum horsepower rating was incorrectly reported. The correct maximum horsepower rating has now been published. Extensive mechanical changes would be required to increase the maximum horsepower that could be produced. These changes could adversely affect other engine performance characteristics, such as fuel economy and reliability.

Q: Are the new 2003 models affected in any way?

A: Materials for the 2003 Tiburon were distributed before we learned of this error, but we are working to ensure that ratings will be accurate from now on. We have removed the horsepower ratings from all marketing materials for 2003 models, and the ratings we've announced are accurate for those models.

Q. Where can I get more information?

A: Please call 1.800.218.9797


[ September 09, 2002, 04:18 PM: Message edited by: Random ]
Old 09-09-2002, 08:47 AM
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i wonder what hyundai will do to make there name more repitable now. I don't really care. I love my accent even if it has 4 less horsepower. When i bought my car it wasn't the hp numbers that sold it was the all around package.
Old 09-09-2002, 08:52 AM
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Is this also valid for us Canadian owners? rolleyes.gif
Old 09-09-2002, 08:57 AM
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I saw an article a while ago about a class action lawsuit against Hyundai for overstating HP numbers. It was first discoverd in Europe. Hey, I am not too concerned about it, most other companies still do it, its just that they got sued, and now must state real HP numbers. Maybe they will com out with a Beat III with a real 140whp! I still love Hyundai.
Old 09-09-2002, 09:00 AM
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I had my 2002 Hundai Accent(bought in September 2001) dynoed recently. With only the semi cold air intake and a 2" exhaust system with a Dynomax Super Turbo muffler installed it came out to 90 hp and 95 ft lbs of torque at the wheels. That sounds like the factory hp and tq numbers are accurate to me.
Old 09-09-2002, 09:01 AM
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umm BETA was not one of the engines with a hp rating problem.

It makes 140hp!

Remember, HP ratings from the dealer are from the flywheel. We take HP ratings from the wheels.

140 is about 125whp. which is about 15% drive loss, which is about correct.
Old 09-09-2002, 09:26 AM
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QUOTE
Shadohh:
umm BETA was not one of the engines with a hp rating problem.
If you notice, the press release includes TIBURONS and ELANTRAS

Actually, yes it is. The 1.8L beta is affected. The 2.0L beta is not.
Old 09-09-2002, 09:40 AM
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Companies state power at the crank. The way consumers find power is through a DYNO which measures power at the WHEELS. The 2003 Tib GT has 181 hp at the CRANK, while ~160hp at the WHEELS.

My car in its stock form makes 227hp at the CRANK but at the wheels, makes only 165hp. Does it mean they overstate? No, its called powertrain loss.

EDIT: this is meant to reply to HE-MAN's deleted post.

[ September 09, 2002, 04:43 PM: Message edited by: BoOm ]
Old 09-09-2002, 09:58 AM
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This is the same thing that happend with my 2001 Miata, except Mazda gave the owners the option of a full refund on the car. I think Hyundai's extention of the warranty is a cool gesture.
Old 09-09-2002, 10:06 AM
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Bah, this whole ordeal is going to give a bad name to Korean Cars, thanks alot Hyundai tongue.gif



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