The National Highway Traffic Safety Administration (NHTSA) is
investigating consumer reports that indicate that exhaust fumes
sometimes enter the passenger cabin of
Ford Motor Co.
) Explorer of model years 2011 to 2014. These fumes include carbon
monoxide (CO) and may cause strange odor in the vehicle.
Moreover, prolonged exposure to carbon monoxide levels over 70
parts per million may be harm the occupants. According to a lawsuit
filed by an Explorer owner earlier this month, the carbon monoxide
level reached 100 parts per million when the auxiliary rear
air-conditioning was turned on and the engine was functioning at
higher revolutions. This level of carbon monoxide is possibly
lethal to the occupants, per the lawsuit, which was filed by a
Florida-based Explorer owner on behalf of a proposed class of
owners of Ford Explorers of model years 2011-2013.
Ford is also reviewing the matter, for which it has received
numerous customer complaints. In fact, the company had issued a
technical service bulletin to dealers in Dec 2012, detailing three
ways to tackle the problem. Technical service bulletins are issued
to handle consumer complaints, just like recalls are made to
address safety issues.
However, the lawsuit accuses Ford of failing to warn consumers
about possible carbon monoxide exposure. If the NHTSA finds this to
be a safety issue, Ford will be forced to recall these vehicles.
The automaker might also be subjected to a fine.
Automobile safety issues have been garnering significant media
coverage this year, mainly due to the late recall of millions of
General Motors Co.
) vehicles with faulty ignition switches. Earlier this year, the
automaker agreed to pay a fine of $35 million to the U.S. safety
regulators for the late recall.
Ford currently carries a Zacks Rank #3 (Hold). Some
better-ranked automobile stocks worth considering include
Fox Factory Holding Corp
Tower International, Inc.
). Both these stocks sport a Zacks Rank #1 (Strong Buy).
Want the latest recommendations from Zacks Investment Research?
Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report
FORD MOTOR CO (F): Free Stock Analysis Report
GENERAL MOTORS (GM): Free Stock Analysis Report
TOWER INTL INC (TOWR): Free Stock Analysis
FOX FACTORY HLD (FOXF): Free Stock Analysis
To read this article on Zacks.com click here.