GM Incentive Program

HONDA AND TOYOTA OFFERED U.S.sale of a controlling stake in Chrysler to private equity
CONSUMERS THE HIGHEST average fuel efficiencyfirm Cerberus Capital Management, was the lowest
of 2007 model year vehicles, the government reportedrated with 18.3 mpg, a mark that has been unchanged
Wednesday. The average fuel economy for 2007the past three years. The figures were calculated for
vehicles was 20.2 miles per gallon, the same as 2006the first time based on test methods devised to better
vehicles, the Environmental Protection Agency said inreflect driving habits and provide a more realistic
an annual report that used new testing procedures. Forestimate. The new tests led to a 6 percent decrease
individual vehicles, the test results are included onin fuel economy averages compared to past
window stickers in dealer lots. The agency said theestimates using old testing criteria, the EPA said.
overall results marked an increase compared withAmong vehicle type, passenger cars averaged 23.4
2004 vehicles, which averaged 19.3 mpg.mpg in 2007 -- unchanged from 2006. SUVs averaged
Honda Motor Co. had the highest fuel economy of any18.1 mpg, an increase of 0.3 mpg, and pickups were
manufacturer with 22.9 mpg, a slight decreaseunchanged at 16.2 mpg. EPA Administrator Stephen L.
compared with its 2006 lineup. Toyota Motor Corp.Johnson said the findings were evidence that
posted a 22.8 mpg average for its 2007 vehicles"automakers are answering
compared with 22.4 mpg the previous year. Toyota'sPresident Bush's call to improve fuel economy and
average was helped by the gas-electric Prius hybrid,decrease our nation's dependency on foreign oil." But
which had the highest combined fuel economy of anythe figures underscored complaints in Congress that
passenger car with 46.2 mpg. South Korea's Hyundaithe auto industry has failed to rapidly ramp up
Motor Co., which includes Kia vehicles, improved toproduction of vehicles that can get more miles on a
22.7 mpg for 2007 vehicles, followed by Volkswagengallon of gas. The Senate approved legislation in June
AG with 21.4 mpg. Nissan Motor Co. showed thethat would require automakers to build more efficient
largest gain of any automaker during the past year,vehicles; the measure is pending in Congress.
improving 0.6 mpg to 20.6 mpg. General Motors Corp.With more consumers driving larger vehicles than a
led domestic automakers with 19.4 mpg, followed bygeneration ago, overall fuel efficiency has made little
Ford Motor Co. with 18.7 mpg. For the third straightprogress. The current fleet is less efficient than the
year, Ford's Escape hybrid had the highest fuelnew vehicles produced in 1981, for example, and well
efficiency of any light truck with 29.7 mpg.below the peak of 22 mpg in 1987.
DaimlerChrysler AG, which recently completed the