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GM recalls 7.6 Million more Cars for Ignition Switch Timely Insights on Laws, Issues and New Developements


General Motors announced on June 30, 2014 that it will conduct six additional safety recalls which involve some 7.6 million vehicles from model years 1997 to 2014.

This latest GM Recall News was so shocking that it briefly halted trading of the company’s shares. General Motors announced that in order to pay for the recall costs, it will take a $1.2 billion charge in the second quarter. That represents a huge increase over the $700 million charge the company had previously projected to take for earlier recalls.

25.7 Million GM Recalls

The latest recall list brings GM’s total for recalled vehicles this year to a staggering 25.7 million.

Most of the vehicles being recalled in the June 30 announcement – roughly 6.8 million in the U.S. alone – concern the ignition switch issue on larger GM cars, whereas mostly smaller cars were involved in the previous recalls.

This latest recall involves various GM branded sedans mostly built in the last ten years. Among these larger autos, USA Today reported that “GM says it has identified seven crashes involving eight injuries and three fatalities that it believes could be tied to the ignition switch issue, although it adds there is ‘no conclusive evidence’ of a link.” These deaths come on top of the 13 deaths GM says are linked to its smaller recalled cars.

Models recalled on June 30, 2014

Models included in this recall:

•  1997-2005 Chevrolet Malibu
•  1998-2002 Oldsmobile Intrigue
•  1999-2004 Oldsmobile Alero
•  1999-2005 Pontiac Grand Am
•  2000-2005 Pontiac Grand Am
•  2000-2005 Chevrolet Impala and Monte Carlo
•  2004-2008 Pontiac Grand Prix.

A separate recall of 554,328 vehicle in the U.S. includes:

•  2003-2014 Cadillac CTS
•  2004-2006 Cadillac SRX.

GM recalls 7.6 Million more Cars for Ignition Switch

GM CEO Mary Barra said in a statement that accompanied the announcement: “We have worked aggressively to identify and address the major outstanding issues that could impact the safety of our customers. (If) any other issues come to our attention, we will act appropriately and without hesitation.”

GM will pay Death Claims

Attorney Kenneth Feinberg, the appointed GM Fund administrator, said that GM has agreed to pay, without limit, anyone he believes is entitled to compensation for death or injury in the 2.6 million GM small cars, recalled earlier this year.

Feinberg also noted that claims can be filed not only by drivers or passengers in the GM cars with the faulty ignition switches, but also by pedestrians and anyone in cars involved in accidents with those GM cars.


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