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Beginning in 2008 Kia Motors America Inc. will begin offering factory-certified used cars and trucks, the last full-line automaker to do so.
Kia, which Kelley Blue Book and Automotive Lease Guide rank under the industry average for residual value in 2008, hopes the program will make consumers familiar with the brand and increase the long-term value of their vehicles.
In the first year the company hopes to sell between 13,000 to 15,000 vehicles under the certification program with more than 80 percent of the 630 dealerships in the U.S. likely to participate.
Eligible vehicles must fall within the past five model years and have less than 60,000 miles on the odometer. Each will undergo an inspection before reconditioning and will include a limited warranty on the powertrain for ten years/100,000 miles beginning at time of the sale.
Many of the Kia vehicles that will initially go into this program have been retired from rental fleets or are end-of-lease units. Typically, a Kia vehicle stays in a rental fleet for a period of 8-9 months accruing approximately 15,000 to 18,000 miles. Leased vehicles account for approximately 5 percent of new car sales for the company.
Certified used vehicles perform well for the automotive industry in the United States with some 133,771 sold in October 2007 an increase of 3.4% over the same period in 2006.
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