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News Wrap: EPA Charges Korean Automakers Overstated Cars’ Fuel Economy

November 2, 2012 at 12:00 AM EDT
In other news Friday, Korean companies Kia and Hyundai could be expected to pay car owners hundreds of millions of dollars for falsely advertising the fuel economy of 13 car models. Owners of nearly 900,000 vehicles, all sold in the last three years, could receive compensation.
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KWAME HOLMAN: The news on jobs wasn’t enough to lift Wall Street today. Instead, stocks sank on worries that the costs of Hurricane Sandy will eat into profits. The Dow Jones industrial average lost 139 points to close at 13,093. The Nasdaq fell almost 38 points to close at 2,982. For the week, the Dow and the Nasdaq were off a fraction of 1 percent.

Korean automakers Hyundai and Kia could end up paying hundreds of millions of dollars to car owners as compensation for overstating fuel economy. The Environmental Protection Agency now says an audit revealed that 13 models averaged up to six miles a gallon less than advertised. Some 900,000 vehicles sold in the last three years are affected.

U.S. intelligence officials have rejected claims they failed to answer the attack on the U.S. Consulate in Benghazi, Libya. There have been reports the CIA told its security officers to stand down and not try to repel the attackers. Senior intelligence officials denied that on Thursday. They said a security team responded within 25 minutes, even though they were outmanned and outgunned.

Those are some of the day’s major stories.