Tesla Recalls All 90,000 Model S Cars to Check Seat Belts
- 8 years ago
Tesla Motors Inc. said it's conducting its largest-ever recall of all 90,000 Model S cars because of a single report of a front seat belt not being properly connected.
"Tesla recently found a Model S in Europe with a front seat belt that was not properly connected to the outboard lap pretensioner," the company said in an e-mail to customers Friday.
The recall will raise questions for those who are bearish about the stock, "but we estimate the cost is not material and shows Tesla's heightened focus on safety," said Ben Kallo, a Robert W. Baird & Co. analyst who rates the shares neutral.
Tesla was alerted to the seat belt issue by a customer in Europe two weeks ago and moved to inspect 3,000 vehicles and its assembly process.
The Palo Alto, California-based company said it has found no other issues, but wants owners to bring their cars in to make sure the seat belts are properly connected.
"Tesla recently found a Model S in Europe with a front seat belt that was not properly connected to the outboard lap pretensioner," the company said in an e-mail to customers Friday.
The recall will raise questions for those who are bearish about the stock, "but we estimate the cost is not material and shows Tesla's heightened focus on safety," said Ben Kallo, a Robert W. Baird & Co. analyst who rates the shares neutral.
Tesla was alerted to the seat belt issue by a customer in Europe two weeks ago and moved to inspect 3,000 vehicles and its assembly process.
The Palo Alto, California-based company said it has found no other issues, but wants owners to bring their cars in to make sure the seat belts are properly connected.