[Federal Register Volume 60, Number 198 (Friday, October 13, 1995)]
[Notices]
[Pages 53453-53454]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-25406]



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[[Page 53454]]


DEPARTMENT OF TRANSPORTATION
National Highway Traffic Safety Administration
[Docket No. 93-37; Notice 3]


Panoz Auto Development Company, Receipt of Application for 
Renewal of Temporary Exemption From Federal Motor Vehicle Safety 
Standard No. 208

    Panoz Auto Development Company of Hoschton, Ga., has applied for a 
renewal of its exemption from paragraph S4.1.4 of Federal Motor Vehicle 
Safety Standard No. 208 Occupant Crash Protection. The basis of the 
application is that compliance will cause substantial economic hardship 
to a manufacturer that has tried to comply with the standard in good 
faith.
    This notice of receipt of an application is published in accordance 
with the requirements of 49 U.S.C. 30113(b)(2) and does not represent 
any judgment of the agency on the merits of the application.
    Panoz received NHTSA Exemption No. 93-5 from S4.1.4 of Standard No. 
208, which was scheduled to expire August 1, 1995 (58 FR 43007). 
However, its application for renewal was filed on May 26, 1995, which 
was more than 60 days before the scheduled expiration date of its 
exemption. In accordance with 49 CFR 555.8(e), Panoz' filing of its 
application before the 60th day stays the expiration until the 
Administrator grants or denies the application for renewal.
    Panoz's original exemption was granted pursuant to the 
representation that its Roadster would be equipped with a Ford-supplied 
driver and passenger airbag system, and would comply with Standard No. 
208 by April 5, 1995 after estimated expenditures of $472,000. As of 
April 1993, the company had expended 750 man hours and $15,000 on the 
project.
    According to its application for renewal,

Panoz has continued the process of researching and developing the 
installation of a driver and passenger side airbag system on the 
Roadster since the original exemption petition was submitted to 
NHTSA on April 5, 1993. To date, an estimated 1680 man-hours and 
approximately $50,400 have been spent on this project.

    Panoz uses a 5.0L Ford Mustang GT engine and five speed manual 
transmission in its car. Because ``the 1995 model year and associated 
emission components were revised by Ford'', this caused

a delay in the implementation of the airbag system on the Roadster 
due to further research and development time requirements and 
expenditure of additional monies to evaluate the effects of these 
changes on the airbag adaptation program.

    In addition, the applicant recently learned that Ford will be 
replacing the 5.0L engine and emission control system on the 1996 
Mustang and other passenger cars with a modular 4.6L engine and 
associated emission components. The 1995 system does not meet 1996 On-
Board Diagnostic emission control requirements, and Panoz will have to 
use the 1996 engine and emission control system in its cars. The 
majority of the money and man hours to date have been spent on adapting 
an airbag system to the 5.0L engine car, and the applicant is now 
concentrating on adapting it to a 4.6L engine car. Panoz lists eight 
types of modifications and testing necessary for compliance that would 
cost it $337,000 if compliance were required at the end of a one-year 
period. It has asked for a two-year renewal of its exemption.
    Panoz sold 13 cars in 1993 and 13 more in 1994. It did not state 
its sales to date in 1995. At the time of its original petition, its 
cumulative net losses since incorporation in 1989 were $1,265,176. It 
lost an additional $249,478 in 1993 and $169,713 in 1994.
    The applicant reiterates its original arguments that an exemption 
would be in the public interest and consistent with the objectives of 
traffic safety. Specifically, the Roadster is built in the United 
States and uses 100 percent U.S. components, bought from Ford and 
approximately 75 other companies. It provides full time employment for 
7 persons, and ``at least 200 employees from over 80 different 
companies remain involved in the Panoz project.'' The Roadster is said 
to ``provide the public with a classic alternative to current 
production vehicles.'' It is the only vehicle that incorporates 
``molded aluminum body panels for the entire car'', a process which is 
being evaluated by other manufacturers and which ``results in the 
reduction of overall vehicle weight, improved fuel efficiency, and 
increased body strength.'' With the exception of S4.1.4 of Standard No. 
208, the Roadster meets all other Federal motor vehicle safety 
standards including the 1997 side impact provisions of Standard No. 
214.
    Interested persons are invited to submit comments on the 
application described above. Comments should refer to the docket number 
and the notice number, and be submitted to: Docket Section, National 
Highway Traffic Safety Administration, room 5109, 400 Seventh Street, 
SW., Washington, DC 20590. It is requested but not required that 10 
copies be submitted.
    All comments received before the close of business on the comment 
closing date indicated below will be considered, and will be available 
for examination in the docket at the above address both before and 
after that date. To the extent possible, comments filed after the 
closing date will also be considered. Notice of final action on the 
application will be published in the Federal Register pursuant to the 
authority indicated below.
    Comment closing date: November 13, 1995.

(49 U.S.C. 30113; delegations of authority at 49 CFR 1.50. and 
501.8)

    Issued on October 6, 1995.
Barry Felrice,
Associate Administrator for Safety Performance Standards.
[FR Doc. 95-25406 Filed 10-12-95; 8:45 am]
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