Honda Rolls Out Mini Sport Utility Vehicle

04/05/96

Honda's newest vehicle is a mini-sport utility vehicle called the CR-V; it will go on sale in the U.S. in December. The CR-V is a sport-utility vehicle based on a car and it will sell for less than $20,000, fully loaded. The CR-V is powered by a 4 cylinder engine, has four-wheel drive; and comes with an automatic transmission; air conditioning; dual air bags; a stereo system; power door locks, windows and mirrors; and a fold-out picnic table.

Based on Honda's Civic small car, the CR-V has a truck-like body that projects a rugged image. It will compete directly with Toyota Motor Corp.'s new RAV4 sport utility, Subaru's Outback four-wheel-drive wagon, and General Motors Corp.'s Geo Tracker.

Analysts have said that the vehicle could be a hit. Joseph Phillippi, an analyst with Lehman Brothers said, "I think it's a terrific little vehicle. They took a four-wheel-drive Civic wagon that flopped, jacked it up and put a sport utility body on it."

Honda expects to sell about 30,000 CR-Vs in the U.S. next year, with more than half of those sold to women. The CR-V went on sale in Japan in October 1995 and has been a runaway hit there, selling 35,000 in the first three months of 1996--2,000 fewer vehicles than what the automaker had projected for the entire year.

Paul Dever -- The Auto Channel