Japan-Style Apology Could Maybe Mitigate Toyota Recall Mess

(MoneyWatch)  It's getting hard to see what's taking so long for Toyota President and founding family member Akio Toyoda to issue a Japanese-style, abject public apology for the continuing woes at Toyota.

My best guess is that Toyota (TM), and Toyoda, are waiting for the last shoe to drop, but that could take a while, as the company's problems continue to unravel and new complaints come out of the woodwork.

Toyota's latest blow is the U.S. Department of Transportation announced today that the DOT is launching a formal investigation into alleged brake failures for the 2010 Toyota Prius, which is far and away the biggest-selling gasoline-electric hybrid car for sale in the United States. Until now, the Prius has been an image-leader for Toyota in terms of "green" technology and innovation.

The Prius investigation is on top of the gas-pedal recall already underway for millions of Toyotas in the United States and other global markets.

In addition, Toyoda may feel like he's already done the apology thing, almost from the day Toyoda took over the company in June 2009, and again in October 2009. Among other things he has apologized for the company losing money for the first time since a near-brush with bankruptcy in 1950.

U.S. Transportation Secretary Ray LaHood said today in announcing the Toyota Prius investigation that he had spoken by phone with Toyoda, and that Toyoda assured LaHood, "Toyota takes U.S. safety concerns seriously and puts safety at the top of the company's priorities."

That must have been pretty humiliating for Toyoda, but much worse could be in store, like Toyota getting hauled before a Congressional committee. It's too late for Toyoda to nip this public-relations disaster in the bud, but it seems like he's the logical choice to give it a try.

Ford (F) Chairman Bill Ford was front and center when Ford was in the hot seat a few years ago over rollover accidents involving the Ford Explorer and Firestone Tires.

That's supposed to be the unique value of having somebody in charge whose name is on the building (so to speak, in Toyoda's case). When they speak for the company, you can be sure everybody in the company listens.

Photo: Toyota