Tesla to recall 53,000 cars over parking brake issue


Reuters

UPDATE 2-Tesla to recall 53,000 cars over parking brake issue


* No accidents or injuries reported - Tesla
    * Shares down nearly 1 percent

 (Adds details, background, updates shares)
    April 20 (Reuters) - Tesla Inc <TSLA.O> said on Thursday it
would recall 53,000 of its Model S and Model X cars globally to
fix a parking brake issue.
    Shares of the U.S. luxury electric car maker were down
nearly 1 percent at $302.77 in afternoon trading, following its
biggest ever recall. (http://bit.ly/2ovjTzb)
    Tesla's total production for 2016 was 83,922 vehicles and
included both Model S and Model X.
    "The electric parking brakes installed on Model S and Model
X vehicles built between February and October 2016 may contain a
small gear that could have been manufactured improperly by our
third-party supplier," Tesla said in a statement on its website.
    The car maker said there had been no accidents or injuries
due to the issue.
    Tesla said less than 5 percent of the vehicles being
recalled may be affected and it would take less than 45 minutes
to replace the brakes.
    The company also said it would send an official recall
notice to its customers.
    Tesla, led by entrepreneur Elon Musk, had said last year it
would recall 2,700 Model X sport utility vehicles in the United
States due to a faulty locking hinge in third-row seats.
[nL2N17E16E]
    The company said on Thursday it was working with Italian
supplier Freni Brembo SpA <BRBI.MI> to get the replacement
parts.
    Brembo did not immediately respond to a request for comment.

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Tesla share price and market cap    http://tmsnrt.rs/2n4mFjh
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 (Reporting by Narottam Medhora and Rishika Sadam in Bengaluru
and Alexandria Sage in San Francisco; Editing by Shounak
Dasgupta)
 ((narottam.medhora@thomsonreuters.com; Within U.S.
1-646-223-8780, Outside U.S. +91 8067496409 ; Reuters Messaging:
narottam.medhora.thomsonreuters.com@reuters.net))

Keywords: TESLA RECALL/ (UPDATE 2)



This article appears in: Stocks
Referenced Symbols: BRBI , TSLA


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