DETROIT (Reuters) - Chrysler Group LLC said it would recall 2.7 million older Jeep models after initially fighting a recall request from U.S. regulators in a dispute over crash protection for their fuel tanks.þþThe recall will affect Jeep Grand Cherokee SUVs from model years 1993 to 2004 and Jeep Liberty SUVs from 2002 to 2007.þþRegulators from the National Highway Traffic Safety Administration said the agency will continue to investigate the issue, including a review of new documents provided by Chrysler. NHTSA officials said they were pleased with Chrysler's decision.þþWhile Chrysler stood by its assertion that the vehicles are not defective, the automaker acknowledged consumer concerns about the safety of the vehicles, which have fuel tanks situated behind the rear axle.þþChrysler said its dealers will install trailer hitches on affected vehicles that do not already have company-installed hitches.þþÿChrysler Group's analysis of the data confirms that these vehicles are not defective and are among the safest in the peer group,ÿ said a statement from Chrysler, controlled by Italy's Fiat .þþThe National Highway Traffic Safety Administration on June 3 asked Chrysler to recall the two Jeep models because the placement of the fuel tank leaves them less protected in the event of rear-end crash and could lead to a leak and fire.þþThe safety agency's data shows that 51 people have been killed in rear-end crashes involving the two Jeep models affected. Chrysler early this month said NHTSA's investigation was flawed, and that fuel leaks and fires were extremely rare.þþA company spokesman declined to estimate the cost of the recall.þþSandy Munro, president of consultancy Munro & Associates in suburban Detroit, said a conservative estimate of the recall's cost is $300 million.þþChrysler's net income for the first quarter was $166 million.þþAlec Gutierrez, analyst with industry consultant Kelley Blue Book, said consumers have recently been forgiving of automakers who comply with recalls.þþÿThis outcome will not only help consumers, but also Chrysler, as there was also danger that sales could decline if they had refused the recall,ÿ said Gutierrez.þþResisting a recall requested by federal regulators is rare in the auto industry. The last time Chrysler fought a recall request for one of its vehicles was in 1997.þþMunro said that Chrysler was being forced to ÿfix something that doesn't need to be fixedÿ and said the incidence of problems for the Jeep models is low considering how many miles they have been driven.þþChrysler earlier this month said that the Grand Cherokee and Liberty SUVs met safety requirements in effect at the time of their manufacture.þ
Source: Chicago Tribune
