Ford recalling 550,000 Fusions, Escapes
DETROIT -- Ford is recalling about 550,000 cars and SUVs in North America to fix a gearshift problem that could cause the vehicles to roll away unexpectedly.
The recall covers certain 2013 through 2016 Fusion sedans and some 2013 and 2014 Escape small SUVs.
Ford says a bushing that attaches the shifter cable to the transmission can fall off. If this happens, the driver could shift into park but the vehicle could be in another gear. That could let the vehicle roll, increasing the risk of injury or crash.
The company says it doesn't know of any crashes or injuries. Ford is advising owners to use the parking brake.
Dealers will replace the shifter bushing at no cost. Owners will be notified by July 30. Parts should be available late this quarter.
-- The Associated Press
Probe faults safety agency over air bags
DETROIT -- An investigation has found that the U.S. government's highway safety agency failed to act quickly on a consumer complaint, and that could have delayed recalls of dangerous Takata air-bag inflators.
A report by the Transportation Department's inspector general also found that the National Highway Traffic Safety Administration process for monitoring recalls isn't adequate. The report released Wednesday also says the agency isn't verifying recall completion rates or making sure manufacturers file proper documents.
The agency did not immediately comment. It partially agreed with some of the inspector general's recommendations for improvement.
The safety agency has been faulted in previous government investigations lax oversight of large General Motors and Toyota recalls.
-- The Associated Press
U.S. housing starts slump 12.3% in June
WASHINGTON -- U.S. homebuilders sharply curtailed the pace of construction in June as housing starts plummeted 12.3 percent.
The Commerce Department said Wednesday that housing starts fell to a seasonally adjusted annual rate of 1.17 million from 1.34 million in May. June's pace of construction was the lowest since September 2017.
Housing starts plunged 35.8 percent in the Midwest and declined less severely in the Northeast, South and West.
Permits, an indicator of upcoming construction, also declined 2.2 percent in June from the previous month.
Still, the drop-off in housing starts might only reflect the volatile nature of the government's monthly construction report, rather than the beginning of a downward trend.
For the first half of the year, a steady job market and a shortage of existing homes for sale has bolstered housing starts. Home construction has climbed 7.8 percent year-to-date.
Homebuilders are also relatively confident that the expansion will continue. The National Association of Home Builders/Wells Fargo builder sentiment index declined slightly to a reading of 68 in June. Any reading above 50 signals growth.
But builders also see reasons for concern. They face cost pressures from a lack of available land and construction workers, as well as from higher commodity prices from the tariffs announced by President Donald Trump.
-- The Associated Press
165-year-old paper to publish despite fire
WOODSTOCK, Vt. -- A newspaper that has published every week since its founding in 1853 but recently lost its office in a fire has vowed it will publish this week's issue, too.
Vermont Standard president and owner Phil Camp Sr. said Wednesday that production was running one day behind normal schedule but he and his staff felt a duty to Woodstock, the town of roughly 3,000 residents where they live and work.
Camp expressed his disappointment that most of the physical record of the newspaper's history was lost in the fire, but he and his staff were motivated to carry on the tradition by publishing on Friday.
"On my watch, we're always going to have a local newspaper," Camp said.
Early Monday morning, a fire tore through a building that houses the Standard's office, a restaurant and an apartment. Woodstock Fire Chief David Green said the fire started in the restaurant and was being investigated as suspicious.
The newspaper's staff is working out of Norman Williams Public Library. Firefighters salvaged the newspaper's computers, and the library's executive director, Amanda Merk, said its trustees are more than happy to provide the space.
Camp said Woodstock once had seven weekly newspapers but only the Standard remains.
-- The Associated Press
Army delays approval for BAE howitzers
The U.S. Army is delaying approval of full-scale production of BAE Systems PLC's new self-propelled howitzer, citing the need to improve quality before proceeding with additional contracts options valued at about $1.3 billion.
The Army postponed triggering the most lucrative phase of the program for London-based BAE to "adequately address quality control issues," service spokesman Ashley John said in an email Wednesday. "The Army will continue to work closely with BAE leadership to resolve the concerns."
The delay came after Bloomberg News reported last week that the howitzer's manufacturing was hobbled by poor welding, supply-chain problems and delivery delays. Among the setbacks have been a six-month halt in deliveries last year because of welding flaws and the return of 50 of 86 vehicles that had already been delivered to repair production deficiencies.
Self-propelled 155mm howitzers are the centerpiece of the Army's artillery. The weapon is mounted on a tracked vehicle and travels with another that hauls ammunition. The Army's "long-range precision strike" program tops the service's list of modernization priorities.
The Army eventually wants to buy 576 howitzers and ammunition carriers in an $8.1 billion program. An initial $413.7 million contract laying the groundwork for full production was awarded in December. A full-production decision would have increased vehicle production to about 60 from 48 a year. The program has been in low-rate production for several years.
-- Bloomberg News
Business on 07/19/2018