Category Archives: Sonata

2011 HYUNDAI SONATA NAMED AUTOMOBILE MAGAZINE "ALL STAR"

The all-new 2011 Hyundai Sonata has been named to Automobile Magazine’s annual “All Stars” list as one of the most outstanding cars of the year.

“The critical acclaim and recognition from experts like the editors of Automobile Magazine is gratifying,” said John Krafcik, President and CEO of Hyundai Motor America. “Sonata is a game-changing car that has surpassed everyone’s expectations. The All Star award is recognition that the record number of customers who chose Sonata this year made a great choice.”

Each fall, Automobile Magazine tests new model cars and its reigning All Stars before selecting 10 vehicles that stand out among all others in the market.

“The Sonata has emerged as an unquestioned leader in a segment that’s bursting with excellent automobiles. Painstakingly conceptualized, designed and engineered by Hyundai, the Sonata meets and exceeds the varied needs and wishes of demanding American buyers,” writes Automobile Magazine. The editors conclude, “The Sonata is a car that sells purely on its merits rather than on its warranty, and increasing numbers of savvy Americans are beating a path to Hyundai’s door.”

The 2011 Hyundai Sonata was introduced earlier this year. Sonata brings to the market a number of breakthroughs previously unheard of in the mid-size family sedan segment including standout design, a standard gasoline direct injected engine that delivers 35 miles per gallon on the highway, an optional 274-horsepower 4-cylinder turbo and a hybrid model that will go on sale in the U.S. in January.

Through the first 11 months of the year, Sonata sales are up 65 percent over last year on the strength of the new model, which, is manufactured at Hyundai Motor Manufacturing Alabama. Sonata’s breakthrough 2.4-liter gasoline direct injection (GDI) engine, 2.0-liter turbo GDI and 6-speed automatic transmission also are manufactured in the United States. Hyundai Motor America sold 500,000 new vehicles in the U.S. for the first time ever, this year. Sonata has been the most “shopped” midsize car in the market for six of the past seven months as measured by Compete, an automotive market analysis firm.

The complete story on the “Automobile All Stars” is available in the February 2011 issue of Automobile Magazine and at www.automobilemag.com. The February issue will be available on iPad on December 20 and on newsstands on January 4, 2011.

HYUNDAI MOTOR AMERICA

Hyundai Motor America, headquartered in Fountain Valley, Calif., is a subsidiary of Hyundai Motor Co. of Korea. Hyundai vehicles are distributed throughout the United States by Hyundai Motor America and are sold and serviced through about 800 dealerships nationwide. All Hyundai vehicles sold in the U.S. are covered by the Hyundai Assurance program, which includes the 5-year/60,000-mile fully transferable new vehicle warranty, Hyundai’s 10-year/100,000-mile powertrain warranty and 5-years of complimentary Roadside Assistance.

2011 Hyundai Sonata and Genesis Sedan Awarded an Automotive Best Buy Award from Consumers Digest

Consumers Digest Magazine named both the 2011 Hyundai Sonata and 2011 Hyundai Genesis sedan a “Best Buy.” The ratings are based on behind-the-wheel assessment, safety ratings, ownership costs, warranty, price, comfort, ergonomics, styling and amenities. The Sonata is a Best Buy in the Family Car category and the Genesis sedan is a Best Buy in the Luxury Car segment.

“Value, as we see it, is based on purchase price and ownership costs relative to quality, performance and subjective factors like comfort and design,” said Randy Weber, publisher, Consumers Digest. “Few purchases are more important, or require more research, than buying a new vehicle. Our analyses ensure that consumers are as satisfied with their auto purchase years after making it as they were on the day they drove off the lot.”

The Automotive Best Buy Awards reflect Consumers Digest’s view of which 2011 vehicles offer exceptional value for the money. A panel of six automotive experts evaluates the vehicles from behind-the-wheel on an ongoing basis, both under real-world conditions in their own test-drives and at manufacturers’ new-model introductions. They assess design factors including styling, accessories and amenities, cargo space, and fit and finish, as well as performance characteristics including starting and acceleration, steering and handling, ride quality and fuel economy.

“The Genesis has provided ground-breaking value among its luxury competition with lavish appointments and impressive driving performance,” said Mike O’Brien, vice president, Product and Corporate Planning, Hyundai Motor America. “The all-new Sonata also upholds Hyundai’s legacy of value with exciting design, best-in-class fuel economy and outstanding residual value. Both cars continue to exceed expectations for consumers in their respective segments.”

For more information and a complete list of award winners, visit http://www.consumersdigest.com/award_page.html.

HYUNDAI MOTOR AMERICA

Hyundai Motor America, headquartered in Fountain Valley, Calif., is a subsidiary of Hyundai Motor Co. of Korea. Hyundai vehicles are distributed throughout the United States by Hyundai Motor America and are sold and serviced through about 800 dealerships nationwide. All Hyundai vehicles sold in the U.S. are covered by the Hyundai Assurance program, which includes the 5-year/60,000-mile fully transferable new vehicle warranty, Hyundai’s 10-year/100,000-mile powertrain warranty and 5-years of complimentary Roadside Assistance.

Hyundai Brand Loyalty Replaces Toyota for the Number One Spot, According to Kelley Blue Book’s KBB.com

All-new Sonata Emerges on the Top 10 Most Researched New Vehicle List

FOUNTAIN VALLEY, Calif., 03/15/2010 Brand loyalty for Hyundai recently surpassed that of Honda and replaced Toyota, allowing Hyundai to take the No. 1 spot among car shoppers, according to the latest Kelley Blue Book’s www.kbb.com Market Intelligence data. Up from third place in Q4 2009, Hyundai saw the greatest increase in loyalty in February 2010, with Hyundai owners looking at new models within the brand increasing by 10.4 percentage points to 56.3 percent.

Furthermore, according to Kelley Blue Book Values data, throughout the month of February 2010 Hyundai outperformed the overall car segment average by a healthy margin. Hyundai values increased 2 percent month-over-month, relative to a 0.3 percent increase for the entire car segment.

“A large part of Hyundai’s momentum is a result of introducing passionate new products like the 2011 Sonata and 2010 Tucson,” said James Bell, executive market analyst for Kelley Blue Book’s kbb.com. “To sustain this momentum, Hyundai should continue to promote its attractive new-vehicle lineup, solid warranty offer and strong price-points to new-car shoppers.”

In addition to topping brand loyalty, the all-new 2011 Sonata was named to kbb.com’s Top 10 Most-Researched New Vehicles list for the first time. In February, the Sonata was the fifth most-researched new car on kbb.com alongside ‘Top 10 Most-Researched’ mainstays such as Accord, Civic, Camry and CR-V.

“2009 marked an unprecedented year for the Hyundai brand and we are well poised to keep the momentum going in 2010,” said John Krafcik, president and CEO, Hyundai Motor America. “With impressive new vehicles like the all-new Sonata and our dedication to deliver stylish, fuel efficient and affordable vehicles, more customers are adding Hyundai models to their shopping lists.”

This Kelley Blue Book Market Intelligence data analysis examined site traffic to used-car trade-in pages and new-car pricing report pages on Kelley Blue Book’s kbb.com, and compared loyalty data from Q4 2009 to February 1 – 28, 2010. The Kelley Blue Book Values data within this release represents month-over-month used-vehicle depreciation percentages.

Kelley Blue Book (www.kbb.com)

Since 1926, Kelley Blue Book, The Trusted Resource®, has provided vehicle buyers and sellers with the new and used vehicle information they need to accomplish their goals with confidence. The company’s top-rated Web site, www.kbb.com, provides the most up-to-date pricing and values, including the New Car Blue Book® Value, which reveals what people actually are paying for new cars. The company also reports vehicle pricing and values via products and services, including software products and the famous Blue Book® Official Guide. According to the C.A. Walker Research Solutions, Inc. – 2009 Spring Automotive Web Site Usefulness Study, kbb.com is the most useful automotive information Web site among new and used vehicle shoppers, and half of online vehicle shoppers visit kbb.com. Kelley Blue Book’s kbb.com also is a W3 Gold Award winner, sanctioned by the International Academy of Visual Arts. Kbb.com is a leading provider of new car prices, used car Blue Book Values, car reviews, new cars for sale, used cars for sale, and car dealer locations.

HYUNDAI MOTOR AMERICA

Hyundai Motor America, headquartered in Fountain Valley, Calif., is a subsidiary of Hyundai Motor Co. of Korea. Hyundai vehicles are distributed throughout the United States by Hyundai Motor America and are sold and serviced through almost 800 dealerships nationwide. All Hyundai vehicles sold in the U.S. are covered by the Hyundai Assurance program which now includes the 5-year/60,000-mile fully transferable bumper-to-bumper warranty, Hyundai’s 10-year/100,000-mile powertrain warranty and 5-year complimentary Roadside Assistance in addition to the highly acclaimed vehicle return policy introduced in early 2009. For more details on Hyundai Assurance, please visit www.HyundaiAssurance.com.

2011 Hyundai Sonata Named Top Safety Pick by IIHS

FOUNTAIN VALLEY, Calif, 02/18/2010 Today, the all-new 2011 Hyundai Sonata joins an elite group of motor vehicles as a “Top Safety Pick” of the Insurance Institute for Highway Safety (IIHS). This award is only given to those vehicles that do a superior job protecting people in front, side, rear and rollover crashes. A car’s ability to handle itself in these crashes is determined by how many “GOOD” ratings it receives in each of the IIHS tests. Additionally, the vehicle must have electronic stability control readily available as an option.

Sonata is built from the ground up with safety in mind, with a hot stamped ultra-high-strength steel body structure, advanced airbag technology and Electronic Stability Control (ESC), delivering on Hyundai’s commitment to both active and passive safety technology leadership. In 2005, the Sonata was the first popular midsize sedan to standardize ESC– once again every 2011 Sonata has lifesaving ESC as standard equipment. This is important because the National Highway Traffic Safety Administration (NHTSA) has reported that ESC results in 35 percent fewer single-vehicle crashes and 30 percent fewer single-vehicle fatalities in passenger cars.

The Sonata also features a state-of-the-art Anti-Lock Braking System (ABS) including Brake Assist and Electronic Brake-force Distribution (EBD). Sonata features six airbags–including dual front, front seat-mounted side-impact, and front and rear side curtain airbags–along with active front-seat head restraints.

While past Hyundai models, such as the Genesis, have been named IIHS “Top Safety Picks,” the standards are higher than ever for 2010, with a roof strength test added to the qualifications. According to the new guidelines, roofs must be more than double the strength of current federal requirements in order to better maintain vehicle integrity in the event of a rollover accident.

Because this roof strength test is so demanding, many of the vehicles that had previously been named “Top Safety Picks” were dropped from the list in 2010. From the 2011 Sonata’s inception, Hyundai engineers carefully considered the importance of roof strength and designed the newest edition to pass this high hurdle set by the IIHS.

The other IIHS “Top Safety Pick” standards are stringent as well — the institute’s frontal crashworthiness evaluations are based on results of 40 mph frontal offset crash tests. Each vehicle’s overall evaluation is based on measurements of intrusion into the occupant compartment, injury measures recorded on a dummy representing a 50th percentile male in the driver seat, and analysis of slow-motion film to assess how well the restraint system controlled dummy movement during the test.

Side evaluations are based on performance in a crash test in which the side of a vehicle is struck by a barrier moving at 31 mph. The barrier represents the front end of a pickup or SUV. Ratings reflect injury measures recorded on two instrumented dummies representing an average-sized woman, assessment of head protection countermeasures, and the vehicle’s structural performance during the impact.

Rear crash protection is rated according to a two-step procedure. Starting points for the ratings are measurements of head restraint geometry — the height of a restraint and its horizontal distance behind the back of the head of an average-size man. Seat/head restraints with good or acceptable geometry are tested dynamically using a dummy that measures forces on the neck. This test simulates a collision in which a stationary vehicle is struck in the rear at 20 mph.

HYUNDAI MOTOR AMERICA

Hyundai Motor America, headquartered in Fountain Valley, Calif., is a subsidiary of Hyundai Motor Co. of Korea. Hyundai vehicles are distributed throughout the United States by Hyundai Motor America and are sold and serviced through almost 800 dealerships nationwide. All Hyundai vehicles sold in the U.S. are covered by the Hyundai Assurance pro gram which now includes the 5-year/60,000-mile fully transferable bumper-to-bumper warranty, Hyundai’s 10-year/100,000-mile powertrain warranty and 5-year complimentary Roadside Assistance in addition to the highly acclaimed vehicle return policy introduced in early 2009. For more details on Hyundai Assurance, please visit www.HyundaiAssurance.com

Hyundai smokes the competition

(Fortune Magazine) — On the second floor of the 21-story Hyundai Motor headquarters in the south of Seoul is a 24-hour operations hub, the Global Command and Control Center (GCCC). Modeled after the CNN newsroom in Atlanta with dozens of computer screens relaying video and data, it keeps watch on Hyundai operations around the world.

Parts shipments are tracked from the time they leave the supplier until they reach a plant. Cameras peer into assembly lines from Beijing to Montgomery and keep a close watch on Hyundai’s giant Ulsan, Korea, plant, the world’s largest integrated auto factory and the scene of frequent labor unrest.

Are competitors’ spies lurking? The GCCC watches over Hyundai R&D activities in Europe, Japan, and North America, as well as its sprawling, 4,300-acre test facility in California’s Mojave Desert, with its 6.4-mile oval track.

Almost no outsiders, and certainly no visitors from Fortune, are allowed inside the GCCC to view the operation firsthand. Hyundai employees aren’t even supposed to talk about it. But its existence says volumes about how Hyundai views itself and the rest of the world.

Hyundai is a confident, hyperaggressive company that not only wants to win, it expects to win. By monitoring operations in real time, Hyundai can identify problems in an instant and react quickly. It is a different philosophy for an auto company. Whereas Toyota (TM) thrives on consistency and Honda (HMC) on innovation, Hyundai is all about aggressiveness and speed.

These days Hyundai (rhymes with “Sunday”) could get ticketed for exceeding the limit. Powered by a weak Korean won and a revitalized product line, it is ramping up volumes in major markets around the world.

Along with sister company Kia, of which it owns 39%, Hyundai has a hammerlock on Korea, with 80% of sales this year. In the U.S. generous incentives for retail customers and fleet purchases have pushed sales up a strong 7% in a market down 24%. November was a spectacular month: Hyundai brand sales jumped 46% from the previous year, and Kia rose 18%.

In China, where auto sales have skyrocketed this year thanks to government stimulus, Hyundai leaped 150% in September, leaving the company in second place, behind Volkswagen, among international automakers.

Behind the scenes at Hyundai

To take advantage of its momentum, Hyundai is pushing new models out of its factories faster and faster. American customers got to see the slick new 2011 Sonata in December, two months ahead of schedule, because, in an unusual move, Hyundai sped up the start of production.

Automakers hate to interfere with factory schedules because it is expensive, disrupts the flow of parts, and invites assembly problems. But Hyundai decided to move ahead. It was receiving good reads on early quality checks, suppliers showed ample stocks of parts, and engineers had prepped its Alabama plant. Speed became a competitive advantage.

Moving quickly and boldly has made Hyundai Motor Co. the fastest-growing major automaker in the world. Amid the global sales slump, it made a record $832 million in the third quarter ended Sept. 30. Analysts expect its net profits to rise almost 40% this year.

Despite its relative youth — it is only 43 years old — Hyundai already ranks fifth in volume among the world’s auto producers, according to IHS Global Insight, and passed 107-year-old Ford Motor (F, Fortune 500) in 2009 to move into fourth place. Years ago Toyota used to say that Hyundai was the company it feared most. Today those fears have grown into a nightmare.

Despite their success, Hyundai executives keep pushing for more. Hyundai and Kia currently have capacity for 5.8 million cars and trucks. “We want to grow to 6.5 million units in two years,” says Steve Yang, president and CEO, over a traditional multicourse Korean lunch at a small restaurant in Seoul.

Since Hyundai was expected to produce 5.2 million vehicles in 2009, that means a steep ramp-up if it wants to operate at full capacity. Western auto experts cringe at such a notion, because a big increase in volume can compromise quality and dilute brand equity. But Yang made the pledge with a smile as if he were merely exchanging polite chitchat. At Hyundai, it is understood that impossible targets are part of its way of doing business.

Sometimes speeding leads to accidents. Hyundai entered the U.S. market in 1986 with a single model, the Excel, which sold for $4,995 — a price that so captivated bargain-minded Americans that Hyundai set a first-year record by selling 126,000 cars.

Its second year in business, Hyundai adopted the slogan “Cars that make sense” and set another record, selling 264,000 Excels. In its haste to grow, Hyundai made two near-fatal errors. It made fragile cars and sold them to noncreditworthy customers. When the cars were repossessed, their quality was so poor that they were worth less than the outstanding loans.

Hyundai is making another big gamble this year by introducing a premium luxury car called the Equus that is priced thousands of dollars higher than any car Hyundai has sold before. The Equus (Latin for “horse”), expected to cost around $60,000, will cost more than most Cadillacs and is designed to compete with top-of-the-line models marketed by Mercedes, BMW, and Audi that sell for $20,000 more.

Depending on your point of view, the introduction of the Equus is either ambitious, arrogant, or ignorant. Popular brands like Hyundai are not supposed to stretch into premium luxury territory; consumers want a prestige label when they pay a prestige price. Volkswagen found that out a couple of years ago when it tried to sell a $70,000 car called the Phaeton. Despite its technical excellence, potential buyers didn’t associate the people’s car with a high-priced sedan.

Test-driving the Equus

Judged on its merits, not its image, the Equus is a winner. Fortune had an opportunity to test one in Korea and found it surprisingly competitive with German luxury sedans under normal driving conditions.

The exterior could go on a chrome diet, but otherwise the Equus adheres to the conservative design standards required for luxury cars. The interior is best in class, intelligently crafted from fine materials and smartly laid out. The spacious rear seat, where many Asian buyers will spend their time, is equipped with a variety of diversionary devices, including one that provides a back massage.

Powered by a smooth, quiet, 4.6-liter V-8, the Equus should appeal to customers for whom value is a higher priority than association with a three-pointed star or dual-kidney grille.

No such identity crisis faces Kia, which got its start as a bicycle manufacturer and has become a power in its own right with a line of smaller, sportier cars. In the U.S. it markets six passenger cars and five crossovers with idiosyncratic names like Borrego, Rondo, and Soul, and has built its own U.S. plant in West Point, Ga.

Kias are typically priced below competing models and, loaded with options and carrying a strong warranty, represent an attractive value. From its U.S. market debut in February 1994, Kia has expanded methodically to become the eighth-most-popular brand in the U.S., outselling such stalwarts as Jeep, Subaru, and Lexus. Through November its sales had risen 8%.

How do the Koreans do it? In addition to getting big, Hyundai has gotten good. Once known as a cheap and cheerful brand that offered a comprehensive warranty to make up for mechanical shortcomings, Hyundai has become a respected name and a smart buy.

“Hyundai is a brand that is on the verge of being aspirational,” says New York–based consultant and investor John Casesa. “People are saying they are proud to own it, not just to settle for it.”

The evidence can be seen in the strengthening demographics of Hyundai owners. Last year some 49% were college graduates, compared with just 36% in 1999. By comparison, Toyota has a higher percentage of college grads — 57% — but the number hasn’t grown much, up only two percentage points in 10 years.

New leadership, new focus

Hyundai’s success reflects a shift in attitude that occurred nearly a decade ago. In the 1990s the company was more interested in how many cars it could build than in how good it could make them. That changed in 1999 when founder Ju-Yung Chung passed corporate leadership to his son, Mong-Koo Chung.

According to company lore, the younger Chung decreed that Hyundai would henceforth concentrate on quality, not volume. With the chairman behind the push, and with its characteristic intensity, Hyundai went after quality improvements with a vengeance.

Hyundai benchmarked Toyota, then the industry’s quality leader, to understand its processes. It installed Six Sigma at its engineering center to measure its improvement. It made quality a cross-functional responsibility, with involvement from procurement, finance, and sales and marketing. It enlisted outside suppliers and put them together with designers and engineers to work out problems before they occurred. Quality oversight meetings, which had been poorly attended, became must-go events after chairman Chung began to show up for twice-monthly gatherings.

Three years ago legal problems diverted Chung from his quality push. In May 2006 he was indicted on charges of embezzling some $100 million from Hyundai and its subsidiaries for a political slush fund. He was detained by authorities for two months before being released on bail. The following February he was found guilty and sentenced to three years in prison. But an appeals court decided that he was too valuable to the Korean economy to be incarcerated and suspended his sentence.

At 71, Chung still takes an active role in the company. He typically arrives in the office by 6:30 a.m. and gets frequent briefings from the CEOs of Hyundai and Kia, as well as their subsidiaries. He has taken a particular interest in a new $5 billion mill being built by Hyundai Steel to make lightweight, high-tensile steel for automobiles, and travels to the construction site by helicopter as often as four times a week.

Chung, who rarely gives interviews to English-language publications, spoke with Fortune through an interpreter from his penthouse office in the Hyundai tower. Chung attributes his company’s success to the investment it has made in improving its products. He believes that Hyundai’s quality, as well as its technology, “are head to head with Toyota at this moment,” a statement he makes with some confidence since “we are monitoring what is going on with Toyota all the time.”

Asked what scares Hyundai the most, he replied, “The thing we fear is uncertainty. There are many announcements about demand shrinking, and all the numbers are different.”

Hyundai’s quality success is a testament to the power of focused management and aggressive goals. In 2001 Hyundai ranked 32nd out of 37 brands in J.D. Power’s study of new vehicle quality after 90 days of ownership — close to the bottom. As its quality efforts took hold, it began moving up the list, and it achieved a breakthrough in 2004 when it reached seventh place. Since then, Hyundai has placed third in 2006 and then fourth in 2009, displacing Toyota as the highest- ranked mass-market brand in the world. (Three luxury brands — Lexus, Porsche, and Cadillac — finished ahead of it.)

Characteristically, Hyundai is aiming yet higher. It has developed a two-part quality target it calls GQ 3-3-5-5, as Joon-Sang Kim, executive vice president of Hyundai-Kia’s Quality Division, explained in an interview. Hyundai aims to finish in the top three in actual quality within three years as measured by Power’s dependability survey — and to finish in the top five in perceived quality in five years.

The first goal seems achievable. Hyundai has had solid, if unspectacular, success in the Power study, which measures problems experienced by original owners of three-year-old vehicles. From a rank of 35th out of 38 in 2001, it moved up to 20th by 2006 and kept climbing, finishing in 14th place in 2009.

Moving into the top five in perceived quality will be more difficult. That’s because the rankings are based on the way outsiders perceive Hyundai. This year Hyundai ranked 11th in the brand-evaluation analysis performed by ALG (Automotive Lease Guide), which determines the residual value of cars for lease purposes.

At Hyundai Motor America’s headquarters in Fountain Valley, Calif., the managers are learning they have to run fast to keep up with their Korean bosses. “Hyundai is an ambitious company that looks for boldness and leadership,” says John Krafcik, president and CEO, who once referred to his employer as the “hardest-working company on the planet.”

Having toiled under Jac Nasser at Ford, Krafcik, 48, is an expert on boldness and hard work, and he knows the industry from the inside out. Trained at MIT, he visited assembly plants around the world for the 1989 study “The Machine That Changed the World,” about the Toyota manufacturing system, and he coined the term “lean production.”

Krafcik joined Hyundai after 14 years at Ford overseeing development of SUVs, and he ascended to the top job at Hyundai America after one of its periodic management shakeups, the fifth in six years.

After working in Detroit’s belt-and-suspenders culture, the boyish Krafcik delights in the challenges presented by Hyundai’s determination to break rules. “One of the reasons we move fast is fewer people,” says Krafcik. “Speed doesn’t suffer bureaucrats well.”

A willingness to take risks also keeps things moving. “Typically,” adds Krafcik, “when we set targets, we haven’t yet made a plan for how to get there.” Krafcik says that when the company vowed to achieve a corporate fleet average fuel economy of 35 miles per gallon by 2015, a year ahead of the government deadline, it wasn’t sure how it would do it.

Hyundai also likes to wait until the last possible moment to make decisions. “When developing a new model,” says Krafcik, “companies typically sign off on the characteristics of the powertrain 4 1/2 months before production. Hyundai waits until a month ahead so that it can incorporate the most recent performance data.” It’s a technique that allows it to stay close to its customers, but it also increases the likelihood of mistakes.

Nothing shows off Hyundai’s opportunistic culture better than its U.S. marketing team. Headed by Joel Ewanick, who joined Hyundai in February 2007 after stints at Porsche, Yamaha, and Hinckley Yachts, it operates like the war room of a political campaign, making lightning strikes when it sees an opportunity.

A year ago it noticed growing fears among customers about unemployment, so it developed a program that allowed them to return their new Hyundais risk-free if they lose their jobs. Pulling together such a program — which included production of a TV commercial shown during the 2009 Super Bowl — would take several months at other companies, but Hyundai marketers got the job done in 37 days. The campaign, called “Assurance,” won Hyundai enormous amounts of attention and goodwill, even though only about 100 customers returned their cars.

Ewanick, 49, says programs like that are vital because buyers no longer respond to traditional cash and interest-rate promotions. He is looking for new ways to create showroom traffic. Last summer he devised the “Assurance Gas Lock,” which guaranteed customers $1.49-a-gallon gasoline for a year.

Then Hyundai beat the government’s Cash for Clunkers program to the punch by offering tax credits to buyers several weeks before the program started. “Customers want to be involved with the brand,” says Ewanick. “Incentives aren’t enough. We want to break away and have Hyundai be considered as more than a car company.”

That doesn’t mean that Hyundai doesn’t use incentives — and use them very effectively. It just does so where the consumer can’t see them but where they drive down the transaction price.

Consultant Kimberly Rodriguez of Grant Thornton in Detroit cites data showing that Hyundai was spending $2,825 per car on incentives for the first 10 months of 2009 — more than any other Asian manufacturer — and selling lots of excess production into rental-car fleets. “They are clearly taking advantage of a lull in the action,” says Rodriguez, “and with currency in their favor, they can afford to do it.”

Whatever the attraction, customers seem to be getting a new message about Hyundai. Five years ago Hyundai was known for its low prices, so-so quality, and a 100,000-mile powertrain warranty. Today, Ewanick says, Hyundai stands for softer, more positive qualities like smart, fresh, and high-tech. “Consumers,” he says, “want brands that feel the same way they do about society and the environment. But they don’t want to pay for it.”

Labor union disputes to Genesis’ success

The automaker’s origins date back to the Hyundai Engineering & Construction Co. (Hyundai means “modernity” in Korean), which was founded after World War II and created Hyundai Motor in 1967. Thanks to high tariffs that rebuffed foreign manufacturers, the motor company thrived and was spun off as a separate enterprise in 1998.

That same year it acquired a controlling stake in rival Kia, which was struggling from the Asian financial crisis. Gradually the two companies are consolidating around common functions for economies of scale, but they are keeping the Hyundai and Kia brands separate for marketing and distribution purposes: Hyundai is positioned as the responsible adult, while Kia is the mischievous adolescent.

Hyundai’s growth was accompanied by a decade of labor union disputes that produced paralyzing strikes. Labor rights in South Korea had been long suppressed, and a series of healthy pay increases kept its militant labor unions at bay until the mid-1990s.

But the financial crisis as well as an industry slump brought the strikers out in force, and Hyundai was hit by a seemingly endless number of work stoppages. A 47-day walkout in 2003 cost Hyundai an estimated $1.2 billion in exports. Since then a measure of labor peace has been restored. The strikes haven’t become a thing of the past — there is usually one a year — but the level of vitriol has been reduced.

In the U.S., Hyundai spun its wheels for a decade after the Excel fiasco, selling inexpensive cars to lower-income customers as it churned through a succession of U.S. sales executives who failed to meet its aggressive targets. But along with improved quality, Hyundai began to pay attention to international designs with greater market appeal. Its cars developed cleaner lines with more elegant details as Hyundai moved away from traditional Korean styles, which tend to be baroque and fussy.

The two trends — better quality, sharper designs — came vividly together in 2008 with the launch of the Genesis sedan. A step up from the midsize Sonata, Hyundai’s best U.S. seller, the Genesis is powered by a V-6 engine (with an optional V-8) and is designed to compete in the so-called entry luxe segment with cars like the Lexus ES 350.

The journalists who judge the North American Car of the Year competition made it the surprise winner in 2009, an award Ewanick and his team promptly made a centerpiece of their advertising. With a starting price of $32,250, the Genesis was recognized by customers as an attractive value, and they have been buying more than 1,500 units a month. The success of the Genesis in such a highly competitive segment signaled Hyundai’s arrival as a top-tier manufacturer.

Speedy in most matters, Hyundai has been a laggard when it comes to developing alternative-fuel vehicles. It didn’t introduce its first fuel-saving hybrid until last summer, a decade after Toyota started selling the Prius. Typically, Hyundai’s ambitions remain huge. Despite its late start, it has stated its intention to sell 500,000 hybrids a year by 2018. Hyundai has developed a lithium-polymer battery that is 40% smaller and weighs 35% less than conventional nickel-metal-hydride ones used in the Toyota Prius.

A wave of new models should keep both Hyundai and Kia hustling over the next few years. The two companies are due to turn over their entire U.S. product line in the course of the next four years, the highest replacement rate in the industry, according to a forecast by Merrill Lynch/Bank of America’s John Lynch. He sees Hyundai and Kia gaining 3 1/2 points of market share over the span. That would be enough to vault the Koreans past Chrysler and Nissan into fifth place in the U.S., with a share of 10.8% by 2013.

The old bumper sticker used to preach that speed kills, but Hyundai shows no signs of slowing down — and so far has no need to report any casualties.

By Alex Taylor III
money.cnn.com

THE 2011 SONATA: THE NEW STANDARD FOR MIDSIZE SEDANS

Sonata Injects Emotion, Advanced Powertrains and Superior Quality into Bland Segment

Hyundai today introduced its all-new 2011 Sonata at the Los Angeles Auto Show. This marks the North American debut of the latest version of the popular midsize sedan, introducing Hyundai’s “Fluidic Sculpture” design language and an all four-cylinder engine lineup to the U.S. market.

HIGHLIGHTS FOR 2011 SONATA

* All-new sixth generation Sonata midsize sedan
* Fluidic Sculpture design
* All four-cylinder engine lineup
* Launches with new Theta II 2.4-liter gasoline direct injection (GDI) engine and in-house six-speed automatic transmission
   o Class leading fuel economy of 23 mpg city/35 mpg highway*
   o Class leading 198 horsepower standard* (200 horsepower on SE trim*)
* 2.0-liter Theta II turbocharged GDI four-cylinder engine and Hybrid Blue Drive models to debut by 2010 year-end
* Production begins at Hyundai Motor Manufacturing Alabama in December with retail sales beginning in January
* XM Satellite Radio™, real-time XM NavTraffic, XM Data Services, HD Radio Technology™, Bluetooth®, Touch-screen navigation and iPod®/USB inputs

Sonata is the second vehicle in Hyundai’s 24/7 version 2.0 product initiative (seven new models in the next 24 months) following on the heels of the all-new Tucson. Production of Sonata will begin later this month at Hyundai’s U.S. plant in Alabama with retail sales beginning in January.

The 2011 Sonata represents a modern approach to the traditional midsize sedan segment by using only advanced four-cylinder engines, emotional design and luxury features offered with Hyundai’s strong value proposition. The 2011 Sonata poses some intriguing questions:

* Why can’t a smart, solid sedan also have modern, sleek, sophisticated style?
* Why pay so much to get a taste of luxury?
* Why can’t an efficient four-cylinder engine give V6 power?

FLUIDIC SCULPTURE DESIGN LANGUAGE

Beginning with the 2011 Sonata and 2010 Tucson projects, Hyundai designers set to work about three and half years ago on Fluidic Sculpture. Fluidic Sculpture is a consistent, cohesive design language that will ripple through the entire Hyundai showroom. In developing the initial Sonata sketches, Hyundai designers considered the interplay of natural, fluid elements with more rigid surfaces and structures to create the illusion of constant motion. Inspired by nature, Fluidic Sculpture injects sophistication and dynamic angles into the shape of a vehicle and now serves as the core of Hyundai’s future design identity.

The exterior of the all-new Sonata is long, light and low. The high beltline allows for a long, sleek roofline accented by the third window. A monoform side profile includes flowing lines highlighted by a Hyundai signature chrome accent that spans the length of the car. Normally, this type of trim is only found around the windows. On the new Sonata, this trim extends out from the headlamps, juts up along the hood and through the beltline. The face is bold with a large powerful chrome grille and headlamps that integrate precise details. The stance is completed by 16-, 17- or 18-inch multi-spoke wheels.

The sophisticated look continues inside where Hyundai has created an upscale ambiance thanks to a flow-through center console and instrument panel. These flowing surfaces complement the exterior design and wrap around the driver and passengers.

HYUNDAI PACKAGING EFFICIENCY

The sleek design, combined with Hyundai’s expertise in interior packaging, has produced an interior that delivers class-leading comfort, functionality and practicality. A sleek roofline typically compromises headroom and interior volume but, at 120.2 cubic feet, the Sonata has the most interior volume of its key competitors. It is so spacious, Sonata continues to be classified by the Environmental Protection Agency (EPA) as a Large car, truly a “class above” Camry, Altima, Fusion and Malibu (all are categorized as Midsize cars). Even in trunk room, the Sonata shines. Sonata’s 16.4 cu. ft. of trunk space gives it a 9.3 percent advantage over the Camry, and a 17.1 percent advantage over Accord.

  2011 Sonata 2010 Camry 2010 Accord 2010 Altima 2010 Fusion 2010 Malibu
Passenger volume (cu. ft.) 103.8 101.4 106.0 100.7 100.3 97.7
Cargo volume (cu. ft.) 16.4 15.0 14.0 15.3 16.5 15.1
Total interior volume (cu. ft.) 120.2 116.4 120.0 116.0 116.8 112.8
EPA size classification Large Midsize Large Midsize Midsize Midsize

ADVANCED POWERTRAINS

The new Sonata will launch with Hyundai’s new Theta II GDI 2.4-liter four-cylinder engine with a Gasoline Direct-Injection (GDI) fuel delivery system, which contributes to improved fuel efficiency and lower emissions. Sonata is the first midsize sedan to adopt GDI technology as standard equipment in a naturally aspirated powertain. This shorter, more direct path of fuel delivery, allows for greater control of the fuel mixture at the optimum moment, thus improving efficiency. The fuel is injected by a camshaft-driven, high pressure pump that operates at pressures up to 2,175 psi. Direct injection also utilizes a higher than normal 11.3:1 compression ratio for increased power. The pistons are “dished” to increase combustion efficiency in the cylinder. This powerplant will deliver best-in-class fuel economy, best-in-class four-cylinder horsepower and best-in-class torque.

Sonata delivers an impressive 23 mpg city/35 mpg highway estimated fuel economy rating* with the available six-speed automatic transmission with SHIFTRONIC®. (When equipped with the six-speed manual, the Sonata achieves an estimated 23 mpg city/34 mpg highway fuel economy rating). The preliminary horsepower and torque ratings for the Theta II GDI are 198 horsepower and 184 lb.-ft. of torque. In the SE trim which includes a standard dual exhaust, the engine delivers 200 horsepower. This high-tech, all-aluminum, 16-valve engine features Continuously Variable Valve Timing (CVVT) on both camshafts and a Variable Induction System (VIS) for better engine breathing. A version of this engine also meets Partial Zero Emission Vehicle (PZEV) standards.

  2011 Sonata (est.) 2010 Camry 2010 Accord 2010 Altima 2010 Fusion 2010 Malibu
Engine 2.4L I4 2.5L I4 2.4L I4 2.5L I4 2.5L I4 2.4L I4
Horsepower 198 @ 6300 169 @ 6000 177 @ 6500 175 @ 5600 175 @ 6000 169 @ 6400
Specific output (HP/Liter) 82.5 67.6 73.8 70.0 70.0 70.4
Torque 184 @ 4250 167 @ 4100 161 @ 4300 180 @ 3900 172 @ 4500 160 @ 4500
Fuel economy (A/T) 23/35 22/33 22/31 23/31 23/34 22/33

Next year, Hyundai will add a 2.0-liter Theta II turbocharged GDI four-cylinder engine and a 2.4-liter Hybrid Blue Drive model featuring Hyundai’s breakthrough lithium polymer battery pack. Details about these powertrains will be announced at the 2010 New York Auto Show. Sonata’s innovative segment first powertrain lineup is a key driver of Hyundai’s goal to be the most fuel-efficient automaker on the planet.

SIX-SPEED AUTOMATIC AND MANUAL TRANSMISSIONS

Hyundai’s commitment to making the Sonata extremely fuel efficient continues with a six-speed automatic transmission with SHIFTRONIC manual control or a standard six-speed manual transaxle.

Hyundai’s all-new six-speed automatic A6MF2 transaxle helps the company meet its goals of improving fuel efficiency and reducing emissions. Shifts are silky-smooth with an option of manual control through the SHIFTRONIC feature.

Drivers can access the SHIFTRONIC feature by moving the gear selector into a separate gate. Pushing the selector forward or pulling it rearward will shift the transmission up or down sequentially, adding to driver control. The SE trim will also feature steering wheel-mounted paddle shifters. A clear LCD readout on the instrument panel shows the gear being used.

Designed for transverse engine applications in passenger cars and SUVs, the new compact transmission puts Hyundai into an elite class of auto manufacturers who have designed their own proprietary six-speed automatic transmissions. The strength of the design is its unique layout which makes it smaller, more compact and lighter than any other six-speed transmission on the market today.

For the customer, the new six-speed delivers a performance edge. In this application, it helps brings a nine percent gain in fuel economy (35 mpg* versus 32 mpg). The gearbox has no dipstick because it is filled with automatic transmission fluid that is good for the life of the vehicle under normal usage conditions, thereby reducing maintenance costs.

Developed over a four-year period, this new six-speed automatic is 26.4 pounds lighter than the five-speed it replaces. It also is 1.6 inches shorter and considerably simpler, having 62 fewer parts, which is a key to increased durability, lighter weight and lower cost.

When it comes to transmissions, more gears are definitely better. The addition of a sixth gear enables closer spacing between gear ratios providing a better balance of performance and fuel economy while the wide overall gear ratio helps deliver strong acceleration.

The gearbox has three planetary gearsets and a unique flat torque converter that shortens the unit’s overall length by 0.47 inches. Four pinion differentials improve durability and further minimize size.

Another example of engineering ingenuity is found in the design of the hydraulic pressure control unit. Slight manufacturing deviations from one solenoid valve to the next often times cause fluctuation in the hydraulic pressure and affect shift precision and quality. The transmission featured in the Sonata cleverly integrates adjustment screws in the valves that enable each of the eight valves to be calibrated at the factory. This feature ensures stable hydraulic pressure at any shift point which facilitates a high degree of precision and control needed to deliver fast, smooth and precise shifts throughout the rpm range.

SUPPLE RIDE, AGILE HANDLING

An advanced four-wheel independent suspension system combines a supple ride with precise handling and steering response for Sonata GLS and Limited models. Sonata uses MacPherson strut front and multi-link rear suspension systems with increased travel for improved wheel control and a smoother ride. All four wheels are controlled by coil springs, fade-resistant gas-charged dampers and stabilizer bars. The suspension has been optimized to keep the vehicle flat during corning and provide quick turn-in response. The rear suspension uses aluminum components to reduce weight and improve suspension performance. The GLS and Limited models also use advanced low-rolling resistance tires to improve fuel economy while maintaining good ride and handling performance.

The Sonata SE is an even more exciting and willing partner for drivers who prefer sportier ride and handling dynamics. The sport-tuned suspension features stiffer springs and larger stabilizer bars, resulting in a 20 percent increase in roll stiffness. Unique SE dampers, including monotube shocks in the rear are used to control the more aggressive suspension. Low profile 18-inch tires round out the unique chassis components of the Sonata SE.

All Sonatas have column-mounted, motor-driven electric power steering that adjusts instantly to changing driving conditions while improving fuel economy over a conventional steering system. A quick-ratio steering rack is used for crisp feel on turn-in. Sonata’s turning diameter of 35.8 feet is better than Camry, Accord, Altima, Fusion and Malibu.

  2011 Sonata 2010 Camry 2010 Accord 2010 Altima 2010 Fusion 2010 Malibu
Turning diameter (feet) 35.8 36.1 37.7 36.1 37.5 40.4

WORLD CLASS POWER-TO-WEIGHT RATIO

One of the program targets for the 2011 Sonata engineering team was world-class power-to-weight ratio. Power-to-weight ratio pays dividends in both performance and fuel economy.

Vehicle 2011 Sonata 2010 Camry 2010 Accord 2010 Altima 2010 Fusion 2010 Malibu
Burb weight (lbs.) 3199 3307 3269 3180 3342 3415
Horsepower 198 169 177 175 175 169
Power-to-weight ratio 16.2 19.6 18.5 18.2 19.1 20.2

Sonata is rich in ultra-high-strength steel, leading to world-class body rigidity. The 2011 Sonata is 25 percent stiffer in torsion and 19 percent stiffer in bending rigidity than its predecessor, yet it is lighter than many midsize sedans, also offering more interior room.

This focus on power-to-weight ratio pays dividends across the board. The Sonata owes its ability to deliver both strong performance and excellent fuel economy in great part to its impressive power-to-weight efficiency.

ADVANCED STANDARD SAFETY TECHNOLOGIES: PART OF HYUNDAI’S ASSURANCE COMMITMENT

Sonata is built from the ground up with safety in mind, with a hot stamped ultra-high-strength steel body structure, advanced airbag technology and Electronic Stability Control (ESC), delivering on Hyundai’s commitment to both active and passive safety technology leadership. The prior generation Sonata was the first midsize sedan with standard ESC when it launched in March of 2005. ESC was not standard equipment on Honda Accord until the 2008 model year and the 2010 model year for Toyota Camry. Once again every 2011 Sonata has lifesaving ESC as standard equipment. This is important because the National Highway Traffic Safety Administration (NHTSA) has reported that ESC results in 35 percent fewer single-vehicle crashes and 30 percent fewer single-vehicle fatalities in passenger cars.

The Sonata also features a state-of-the-art braking package. The package includes four-wheel disc brakes and an Anti-Lock Braking System (ABS) including Brake Assist, which provides maximum braking force when a panic stop is detected, and Electronic Brake-force Distribution (EBD) to automatically adjust the braking force to front and rear axles based on the vehicle loading conditions.

Sonata features six airbags—including dual front, front seat-mounted side-impact, and front and rear side curtain airbags—along with active front-seat head restraints. The 2011 Hyundai Sonata is projected to earn the NHTSA’s top rating of five-stars for front and side impacts. Other passive safety features include shingle-style rear-seat head restraints for improved visibility, three-point seatbelts for all seating positions, front-seat seatbelt pretensioners and force limiters, and a rear-seat Lower Anchors and Tethers for Children (LATCH) system for child seats.

2011 SONATA OFFERS FOUR UNIQUE AUDIO ENVIRONMENTS

* An AM/FM/XM/CD/MP3 audio system with six speakers comes standard in the Sonata GLS and SE.
* AM/FM/XM/CD/MP3 audio system with touch-screen navigation and Dimension® premium sound with subwoofer and external amplifier is optional on the GLS and SE models.
* The Limited model comes standard with an AM/FM/XM/6-disc CD-changer/MP3 with HD Radio Technology and Dimension premium sound.
* The optional AM/FM/XM/CD/MP3 audio system with touch-screen navigation that includes a 400-watt external amplifier system on the Limited comes with Infinity audio.

DIMENSIONAUDIO SYSTEMS

Dimension is a new branded audio system created by Hyundai Mobis and features a Variable Equalizer with normal, dynamic and concert settings. The last generation equalizer provided only one fixed sound field. The new Variable Equalizer, tuned by renowned audiophile Ken Pohlmann, is a function for controlling the sound qualities sensed by listeners. For example, Pohlmann added bass response to the concert mode typically not found in other systems.

INFINITY® AUDIO SYSTEM

Audio enthusiasts with even more demanding tastes will be impressed by the AM/FM/XM/CD/MP3 audio system with touch-screen navigation that includes a 400-watt external amplifier, dedicated Dual Voice Coil (DVC) subwoofer, eight-channels and nine Infinity speakers available on the Limited. Infinity and Hyundai engineers worked together during the early stages of development to integrate the speakers into Sonata’s interior. The team spent hundreds of hours fine-tuning the system for the cabin’s unique acoustic attributes.

XM, HD RADIO TECHNOLOGY, BLUETOOTH AND TOUCH-SCREEN NAVIGATION DELIVER UNRIVALED MIDSIZE SEDAN TECHNOLOGY CHOICES

* 2011 Sonata comes standard with three months of XM Satellite Radio, real-time XM NavTraffic and XM Data Services
* Sonata also will be the first popular midsize sedan to offer the clarity of digital HD Radio Technology from the factory
* First vehicle in its class to offer a Bluetooth hands-free phone system standard
* Standard auxiliary iPod/USB inputs allow drivers to fully control and charge iPods directly from the head unit

Touch-screen navigation is available on all trim levels and includes a high-resolution screen. This system provides new features including Bluetooth streaming audio capability. This easy-to-use unit can be controlled via 6.5-inch WVGA touchscreen or voice-activation by headliner-mounted microphone.

The system features 8GB of flash memory and comes matched with a sound system that plays compact discs, accesses digital music files via Bluetooth streaming audio or allows driver and passenger to access their personal listening devices through the iPod/USB/auxiliary inputs. Bluetooth audio wirelessly streams music from select mobile phones to the head unit. Also, with a Bluetooth-enabled phone one can look up a local restaurant and call for reservations before plotting the route. The XM Satellite Radio interface is also integrated into the navigation unit and features channel logos, real-time NavTraffic and XM Data services such as WX Satellite Weather®, XM Stock Ticker and XM Sports Ticker. The system is also updateable via the USB.

HYUNDAI MOTOR AMERICA

Hyundai Motor America, headquartered in Fountain Valley, Calif., is a subsidiary of Hyundai Motor Co. of Korea. Hyundai vehicles are distributed throughout the United States by Hyundai Motor America and are sold and serviced through more than 790 dealerships nationwide.

* Preliminary estimate

Hyundai Sonata Named Best Budget Family Car by ConsumerSearch.com

FOUNTAIN VALLEY, Calif., July 7, 2009Hyundai Sonata beat out competitors Toyota Camry and Nissan Altima for the top spot of “Best Budget Family Car” by ConsumerSearch.com, a Web site that analyzes expert and user-generated consumer product reviews and recommends the best products to purchase based on their findings. Sonata received positive remarks from expert reviewers and users including:

* Reliable and well-made
* Roomy, high-quality interior
* Lots of standard features
* Good fuel economy (with base engine)
* Long warranty

The ConsumerSearch.com report sorts through various expert and user reviews, scientific testing by nonprofit and government agencies to identify the Top Four Best Reviewed cars. This year there were four categories: “Best Family Car Overall,” “Best Budget Family Car,” “Fun to Drive Family Sedan” and “Large Family Car.” A family car is defined as a midsize or large four-door sedan with a starting price of around $18,000 up to $30,000.

“If money matters most, experts like the budget-priced Hyundai Sonata better than more expensive big-name sedans, including the Toyota Camry,” said ConsumerSearch.com editors. “Critics have a hard time finding anything at all to dislike about the Sonata, especially considering the low price. It’s one of the most fuel-efficient, spacious and reliable midsize sedans you can buy, and Hyundai backs it with a longer warranty than its pricey competitors offer.”

“We are thrilled to receive this recognition as it really demonstrates Hyundai’s commitment to providing consumers with high-quality, dependable vehicles that won’t break the bank,” said Michael Deitz, product manager for Sonata. “The Sonata offers consumers industry leading safety features, superior fuel-efficiency and an award-winning interior packaged in a ‘class above’ its midsize sedan competitors.”

The fuel-efficient Sonata combines refined design, proven dependability, spirited performance and an extensive list of standard features that increase its appeal to a broader range of customers.

HYUNDAI MOTOR AMERICA

Hyundai Motor America, headquartered in Fountain Valley, Calif., is a subsidiary of Hyundai Motor Co. of Korea. Hyundai vehicles are distributed throughout the United States by Hyundai Motor America and are sold and serviced through more than 790 dealerships nationwide. All Hyundai vehicles sold in the U.S. are covered by The Hyundai Advantage, America’s Best Warranty. In addition, the Hyundai Assurance Program is now offered on all new vehicles leased or purchased from a certified Hyundai dealer. The program is available to any consumer, regardless of age, health, employment record or financed amount of the vehicle. The program is complimentary for the first 12 months.

Hyundai Genesis and Sonata Win AutoPacific 2009 Vehicle Satisfaction Awards

Owners give two hyundai vehicles top ratings in national survey on satisfaction

FOUNTAIN VALLEY, Calif., 05/19/2009 Hyundai owners placed the Genesis and Sonata at the top of their classes in AutoPacific’s 2009 Vehicle Satisfaction Awards (VSA) research. Both models won in highly competitive segments. Genesis topped the Aspirational Luxury Car category for its affordable operating costs, value and extraordinary warranty. The Sonata was the highest ranked Premium Mid-Size Car, beating out the segment-defining Honda Accord and Toyota Camry. In addition, Hyundai’s overall brand satisfaction rating among Hyundai purchasers jumped 11 positions earning Hyundai 2009 Rising Star honors. This positive move was more than any other manufacturer in the survey. Hyundai scored higher in 40 of 48 rating categories in 2009 compared with 2008.

“Having conducted this industry research since 1997, we see vehicles that score highest in AutoPacific’s Vehicle Satisfaction Awards have hit the mark delivering value and satisfaction with their buyers,” said George Peterson, president of AutoPacific. “This year’s results made it clear that Hyundai owners are extremely pleased with their new cars.”

AutoPacific’s annual VSA is an industry benchmark for objectively measuring how satisfied an owner is with their new car or light truck, and reflects the opinions of consumers nationwide. The awards summarize results from AutoPacific’s 2009 model year vehicle satisfaction research. More than 25,000 consumers around the country participated in the survey.

“It’s an honor to not only be recognized by a trusted automotive resource like AutoPacific for vehicles satisfaction, but by our Hyundai owners as well,” said Michael Deitz, product manager for Genesis sedan and Sonata. “Also coming out of the survey as the most improved brand year-over-year only solidifies our dedication to continually providing consumers with safe, well-designed, quality vehicles.”

In addition to identifying category winners, AutoPacific’s VSA establish numerical satisfaction ratings for virtually every passenger car and light truck in the North American market. Owner satisfaction is measured across specific areas related to a vehicle’s operation, comfort, safety and the overall purchase/lease experience. The 2009 ratings reflect input from buyers and lessees of new vehicles acquired September through December 2008.

Hyundai’s Genesis sedan sets a new benchmark in the premium car category. With a starting price of just $33,000, Genesis includes performance and luxury features typically found on vehicles costing thousands of dollars more. The fuel-efficient Sonata combines refined design, proven dependability, spirited performance and an extensive list of standard features that increase its appeal to a broader range of customers.

HYUNDAI MOTOR AMERICA

Hyundai Motor America, headquartered in Fountain Valley, Calif., is a subsidiary of Hyundai Motor Co. of Korea. Hyundai vehicles are distributed throughout the United States by Hyundai Motor America and are sold and serviced through more than 790 dealerships nationwide. All Hyundai vehicles sold in the U.S. are covered by The Hyundai Advantage, America’s Best Warranty. In addition, the Hyundai Assurance Program is now offered on all new vehicles leased or purchased from a certified Hyundai dealer. The program is available to any consumer, regardless of age, health, employment record or financed amount of the vehicle.

AUTOPACIFIC

AutoPacific is a future-oriented automotive market research and product-consulting firm. Every year AutoPacific publishes a wide variety of syndicated studies on the automotive industry. The firm also conducts extensive proprietary research and consulting for auto manufacturers, distributors, marketers and suppliers worldwide. Company headquarters and its state-of-the-art automotive research facility are in Tustin, California, with an affiliate office in the Detroit area.

Motor Trend Names Genesis and Sonata Two of America’s Top 40 New Cars

Hyundai’s New Flagship Genesis Sedan and Refreshed Sonata Recognized as Best Cars to Buy in 2009

FOUNTAIN VALLEY, Calif., 03/06/2009 Both the 2009 “North American Car of the Year” Hyundai Genesis sedan and 2009 Sonata were recognized among “America’s Top 40 New Cars” by Motor Trend in the April 2009 issue on sale now and online at www.motortrend.com. In addition, the all-new 2010 Genesis Coupe, which is just now reaching U.S. dealerships, was listed along side other highly anticipated arrivals such as the new Chevrolet Camaro and Toyota Prius on the “Five Worth Waiting For” list.

Motor Trend editors evaluated more than 247 vehicles currently on the market to help readers identify the best 40 cars to buy in a variety of categories. The Sonata SE was called a “standout among standouts” in the family car category, which also recognized popular models such as Honda Accord EX and Toyota Camry SE V-6.

The Genesis 4.6 was selected a top new pick in the premium sedan category for offering levels of performance, design and comfort for a price much less than Mercedes, BMW and Lexus. The editors wrote: “Few believed Hyundai could pull off the same trick Lexus did 20 years ago by creating a world-class luxury sedan, much less being able to sell it for a lot less than the standard bearers from Germany. Yeah, well, guess what. The Genesis is a player and fits neatly in between most mid- and full-size offerings.” Others recognized in this category included the BMW 335i and Mercedes-Benz S550.

“It’s an honor to be included in such a distinguished group of cars selected by some of the foremost automotive experts in the country,” said Scott Margason, director, Product & Strategic Planning, Hyundai Motor America. “To have two Hyundai models make Motor Trend’s list of cars to buy this year validates our hard work to create vehicles that can compete with the best-of-the-best in the auto industry.”

HYUNDAI MOTOR AMERICA

Hyundai Motor America, headquartered in Fountain Valley, Calif., is a subsidiary of Hyundai Motor Co. of Korea. Hyundai vehicles are distributed throughout the United States by Hyundai Motor America and are sold and serviced through more than 790 dealerships nationwide. All Hyundai vehicles sold in the U.S. are covered by The Hyundai Advantage, America’s Best Warranty. In addition, the Hyundai Assurance Program is now offered on all new vehicles leased or purchased from a certified Hyundai dealer. The program is available to any consumer, regardless of age, health, employment record or financed amount of the vehicle. The program is complimentary for the first 12 months.

Hyundai Sonata — an Accord by any other name

It’s actually kind of exciting, or maybe intriguing, to watch Hyundai’s progress through the world of auto sales in the United States.

The company’s been here barely 20 years. It stumbled at first (remember the execrable Excel?), but learned its lessons and is now producing a raft of cars that, so far, seem able to play strongly in the same sandbox as such Japanese successes as Toyota, Honda and Nissan.

The case in point the 2009 Sonata, Hyundai’s dead-on competitor to the Camry, Accord and Altima. This is the biggest market in U.S. sedan sales — Toyota regularly sells more than 400,000 Camrys a year and Honda and Nissan are not far behind — and Hyundai, made in Korea, clearly thought this was the place to be for the Sonata.

Before we get too far along, however, there’s a peculiar cultural or sociological angle to the selling of Korean cars in America. There are only three of them — Hyundai, Kia and the late, not-so-lamented Daewoo — and they suffer, when compared to Toyota/Honda/Nissan, simply because (and here’s the irony) they’re not as American as the big three. (Big Three no longer automatically means GM, Ford and Chrysler.)

No, the point here is that many potential car buyers may feel a little leery about buying a Korean car, not for any rational reason but simply because it’s not as familiar as other brands.(For what it’s worth, the Sonata is made at a Hyundai plant in Montgomery, Ala.)

Listen up. These cars are good. They’re well made. They are modern. And they’re less expensive than their Japanese peers and have longer warranties. In a sense, they’re a deal, at least for now. Wait a few years and their prices will be up with everyone else’s.

So, consider the Sonata. The car comes in three trim levels — GLS, SE and Limited — and with two different engines, the 2.4-liter four cylinder, 175 horsepower, and 3.5-liter V6 with 249 horses.

Prices range from about $18,000 to a bit more than $25,000. Our tester had the optional $1,250 navigation system (new this year for the Sonata) and had a sticker price of $27,685.

The clearest comparison, to me, was with the Accord, and I thought it interesting that Hyundai seems to have intentionally built a car that mimics the Accord and, in some ways, out-Hondas the Accord. The tail light treatment, for example, has a ring of familiarity with the previous generation Accords (ending in model year 2006).

Inside, Hyundai has spruced up the interior with wood accents and all the farkles (that’s a motorcycle term for added goodies) that consumers think are almost standard — Bluetooth capability, Homelink garage door opening gizmos, USB/iPod inputs, steering wheel redundant controls, and the like.

The plush leather seats were pretty soft, but once you sink into them (power driver’s seat; manual front passenger), they were comfortable for the long haul.

All the controls fall readily to hand and the steering wheel is coated with a stitched leather covering — Hyundai pays particular attention to interiors, viz. their Veracruz SUV hauler, which strives for (and, to my mind, mostly achieves) a kind of Lexus RX series ambience.

For that matter, Hyundai’s new, near-luxury Genesis is another example of what they can do when they put the company puts its collective mind to it. (Do you think they have a smidgen of latent guilt from the Excel days? The feeling that, hey, we have to build great cars to atone for that long-ago sin?)

So, yes, the Sonata’s V6 is smooth, quiet and unobtrusive, and the five-speed automatic holds each gear long enough and will hold it even longer if you take advantage of the manumatic shifting, which allows you to choose when to shift. Everything was swimming along quite well, Sonata-wise, when I encountered a few rough patches of road.

By this, I don’t mean Rough Road, just your normal city streets, a block or three that had not seen city work crews for years. When the Sonata’s wheels encountered Pothole No. 1, not to mention No.’s 2-5, the suspension jarred noisily.

It sounded, frankly, like an old and worn automobile. Strange, given that this car had less than 6,500 miles on the odometer and, stranger still, given the fit and finish on the rest of the Sonata. Anyway, it was out of character for the rest of the car.

But it does do well on gas. Even the V6 gets EPA fuel economy figures of 19 and 29 mpg; the four-banger gets 21 and 32, respectively. And as long as we’re talking numbers, the Sonata’s trunk capacity, at 16.3 cubic feet, is larger than Camry/Accord/Altima, and, yes, there’s a 60/40 split and folding rear seat.

Given that the mid-size four-door sedan is the most popular segment (aside from those millions of Ford F150 pickup trucks that still sell, if not as well as before the gas crisis), Hyundai has a tough row to hoe, but if the new Sonata is any example of what they can do, the other guys better check their rear view mirrors. Often.

SPECIFICATIONS

2009 Hyundai Sonata four-door sedan.

Price: test model, $27,685(including $675 destination charge; base price: $25,670)

Powertrain: 3.3-liter, V6 249-horsepower; five-speed automatic transmission.

Curb weight: 3,494 pounds. Seating capacity: five. Fuel consumption: 19 mpg, city; 29 mpg, highway.

Fuel tank capacity:17.7 gallons.

Length: 188.9 inches; width, 72.1 inches; height: 58 inches; wheelbase: 107.4 inches.

Warranty: bumper to bumper, 5 years/50,000 miles; power train, 10 years/100,000 miles.

Dependability: Hyundai ranks 13th out of 37 brands on the J.D. Power and Associates 2008 Vehicle Dependability Study.

Safety: for vehicle safety ratings, visit the Insurance Institute for Highway Safety and the National Highway Traffic Safety Administration.

SFGate.com