HONDA M'SIA SALES TO REMAIN STEADY DESPITE RECALL ISSUE

PUTRAJAYA, March 11 (Bernama) -- The recent recall of Honda cars due to the
defective supplemental restraint system (SRS) airbags in other countries, will
not impact Honda Malaysia's sales.

Managing Director and Chief Executive Officer of Honda Malaysia Sdn Bhd,
Toru Takahashi said the company had been experiencing a steady growth in orders
and sales, for the past two months.

"For January, we recorded total sales of 3876 units and in February, a
shorter working month, we registered 2108 units.

"With a total of 5984 units sold, we are confident of achieving Honda
Malaysia's overall target of selling 40,0000 units this year," he said,
after launching the third generation of the Honda CR-V, here Thursday.

Last year, Honda Malaysia sold 38,783 units which was an increase of 19 per
cent over the previous year's sales.

When asked about the recall impact on March sales, Takahashi said Honda
had regained the confidence of its customers after the recent public
announcement by the company that local models sold by it, are not affected by
the recall.

On the newly launched Honda CR-V, Takahashi said the company hopes to sell
4200 units by year-end.

"With 1200 pre-launch bookings, we are certain of achieving the target.

"This will enable us to maintain the current 30 per cent market share in the
Malaysian SUV segment," he explained.

The Honda CR-V is being sold at a on-the-road price of RM149,980
(US$45,161).

Meanwhile, Honda Malaysia Chief Operating Officer, Rohime Shafie
dismissed claims that the recent hike in the Overnight Policy Rate (OPR) would
affect its sales in Malaysia and the automotive sector, at large.

"With only a 0.25 per cent increase to 2.25 points, the impact is expected
to be minimal,as the hike is still manageable," he explained.

Last week, Bank Negara Malaysia (central bank) raised the OPR by 25 basis
points to 2.25
per cent from the current 2.0 per cent.

-- BERNAMA