Saturn Recalls Over 246,000 VUE SUVs

Saturn (search) will voluntarily recall nearly all of its VUE sport utility vehicles, which regulators are investigating because the vehicle's rear suspension failed during two government rollover tests.

The recall by the General Motors (search) division affects 246,433 VUEs in the 2002-2004 model years, including 231,123 in the United States and 15,310 in Canada.

"We're not pleased with this, and we're working hard to see it never happens again," GM vice chairman and chief financial officer John Devine said.

The world's top automaker has had a spate of costly recalls this year involving several million vehicles, and it cited higher recall costs as a drag on its latest quarterly financial results.

Last month, the National Highway Traffic Safety Administration (search) said the left-rear suspension failed on the four-wheel-drive and front-wheel-drive Saturn VUEs in June during a 45-mph test that includes a sharp turn. Both times, a wheel collapsed beneath the vehicle.

Saturn said the VUE did not roll over during the test, but said the rear suspension was damaged when a wheel struck the pavement. Saturn said it will strengthen the VUE's suspension.

GM shares fell 59 cents to close at $42.54 on the New York Stock Exchange.