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Wheels/Tires - Style 121 Alloy Class Action Settlement

SI B36 02 10
Wheels and Tires

December 2010
Technical Service

SUBJECT
Style 121 Alloy Wheel Proposed Class Action Settlement

MODEL
E63, E64 (6 Series)

SUMMARY

BMW has agreed to participate in a proposed settlement of a class action lawsuit involving certain 6 Series models which were originally equipped with Style 121 alloy wheels. If this proposed settlement receives final approval from the Court, owners/lessees of affected vehicles may seek coverage for certain Style 121 alloy wheel repairs (as described in detail in this bulletin) through a BMW center.

Owners/lessees of affected vehicles will begin to receive letters on or after December 17, 2010, informing them of the proposed settlement and coverage available to them. Please note that the proposed settlement is not final until the Court grants final approval. A final approval hearing on the proposed settlement will take place in the first quarter of 2011. Additional information on final approval will be provided once it becomes available.

If the Court grants final approval, owners/lessees seeking reimbursement for prior replacement(s) should do so by following the instructions provided with the customer letter and claim form. Owners/lessees seeking repairs for 121 Style wheels after the proposed settlement becomes final will be subject to the provisions of this bulletin.

CONDITION

The formation of a small crack may occur at the inside rim flange of the Style 121 alloy wheel, resulting in a low tire pressure and subsequent tire warning in the instrument cluster.

CORRECTION

If this situation is detected based upon a customer complaint, and if the vehicle is still covered by the BMW New Vehicle Limited Warranty; or if the wheel that sustains a crack was previously replaced and is still covered by BMW Parts Warranty, follow the recommendations listed under Procedure.

Please note the following conditions:

^ Wheels which have been chromed, painted/refinished or otherwise modified are not covered by the terms and conditions listed in this bulletin.

^ Wheels and/or tires which have been damaged due to an accident, impact or road hazard are not covered by the terms and conditions listed in this bulletin.

PROCEDURE

Alloy wheels can be damaged as a result of an accident, impact damage, or road hazard. Wheels which have been damaged due to any of these conditions are not covered under the terms and conditions listed in this bulletin. The procedure listed below will be used to determine if coverage applies to a Style 121 alloy wheel.





Visually inspect the wheel for any cracks along the inner rim flange area.

If no visual crack is present, no further inspection is necessary.

If a crack is detected, proceed as follows:

Check and record the tire inflation pressure. Check the radial run out of the alloy wheel as described in Repair Instruction REP 36 10 715 "Checking rim for lateral and radial runout". Please note the axial run out measurement is to be taken at the inside rim shoulder area, as shown in the illustration.

Wheels with a maximum radial run out less than or equal to 1 mm will be accepted under the terms and conditions provided in this bulletin.

Wheels with a maximum radial run out which exceeds 1 mm are not eligible for coverage.

Tires which have been subject to a complete loss of inflation pressure which is specifically related to a cracked wheel, meeting the terms of coverage, may be eligible for coverage under the guidelines listed in the warranty section of this bulletin.





PARTS INFORMATION








WARRANTY INFORMATION

REPLACEMENT OF "REPAIRED" STYLE 121 ALLOY WHEELS

Under the proposed settlement, vehicle owners who have "repaired" Style 121 Wheels (as opposed to those who have replaced them with a new wheel) prior to the date the proposed settlement becomes effective, may bring their "repaired" wheel to a BMW center and have it replaced free of charge with a new Style 121 wheel. This replacement program will be available only 120 days afier the settlement becomes effective (notice will be provided on the effective date), and if the following conditions are met:

1. The vehicle owner must present documentary proof (invoice, repair order, etc.) that shows the 121 Style wheel sustained a crack during the BMW New Vehicle/SAV Limited Warranty, or the BMW Parts Warranty as applicable;

2. The wheel was not damaged as a result of an accident, impact damage, or road hazard;

3. The "repaired" class wheel is not chromed, painted, or otherwise altered from its original factory condition;

4. The "repaired" class wheel is presented to the BMW center and left there in exchange for a new wheel;

5. Wheels replaced under the terms of this bulletin will be requested for return to the Warranty Parts Return Center. These claims are to be submitted as a type 2 parts warranty claim. Please refer to the BMW Warranty Policy and Procedures Manual for claim submission and warranty parts return policy and procedure details.

VEHICLES THAT REQUIRE TIRE REPLACEMENT WITH CRACKED WHEEL

For vehicles which require the replacement of the tire(s), the following terms and conditions apply:

^ The 121 Style Wheel must have sustained a crack during either the BMW New Vehicle/SAV Limited Warranty or BMW Parts Warranty period, as applicable.

^ The crack in the 121 Style Wheel was caused by ordinary driving conditions.

^ Tire replacement is necessary due to a total loss of air pressure caused by the crack.

^ Tires with 5,000 miles or less are eligible for 50% coverage in the event of a complete loss of inflation pressure.

^ Tires with 5,000 to 7,500 miles are eligible for 25% coverage in the event of a complete loss of inflation pressure.

^ Tire cost is determined by Dealer Net cost.

^ The Dealer Net cost is established based on the applicable BMW parts numbers.

^ Tires which are damaged due to road hazard and or impact are not eligible for replacement.

^ Tires which are plugged, patched or otherwise repaired are not eligible for coverage.

^ Tires that do not meet all the criteria listed in this Service Information will result in a debit of the entire claim.

^ Reimbursements for run-flat tires replaced after the Effective date will be available only during the Warranty Period for each Class Vehicle and/or Class Wheel, and all available benefits under this provision will expire not later then December 31, 2013.





WARRANTY INFORMATION