AUTO INDUSTRY
Kia recalls more than 500,000 vehicles

Kia is recalling over a half-million vehicles in the United States because the air bags may not work in a crash. The problem has been linked to four deaths.

Combined with a previous recall expansion by Hyundai, the affiliated automakers are recalling nearly 1.1 million vehicles.

The moves came after the National Highway Traffic Safety Administration opened an investigation into the problems in March. The agency said at the time it had reports of six front-end crashes. Four people died, and six were injured.

Vehicles covered by the Kia recall include 2010 through 2013 Forte compact cars and 2011 through 2013 Optima midsize cars. Also covered are Optima Hybrid and Sedona minivans from 2011 and 2012.

Government documents say a short circuit can develop in an air-bag control computer made by parts supplier ZF-TRW, and the air bags can fail to deploy.

— Associated Press

MARKETS
Stocks close high, despite trade concerns

U.S. stock indexes closed higher Friday, but trading volume was relatively light ahead of a busy week of central bank meetings.

The Standard & Poor’s 500-stock index stayed in positive territory in the afternoon after reversing earlier losses, with its biggest boosts coming from the health-care and consumer-staples sectors.

Investors appeared to put aside worries about U.S. relations with its biggest trading partners. Group of 7 nations started what was expected to be a tense meeting after President Trump’s decision to impose tariffs on steel and aluminum imports from Canada, the European Union and Mexico.

The Dow Jones industrial average rose 75.12 points, or 0.3 percent, to 25,316.53; the S&P 500 gained 8.66 points, or 0.3 percent, to 2,779.03; and the Nasdaq tech index added 10.44 points, or 0.1 percent, to 7,645.51.

For the week, the S&P rose 1.62 percent, while the Dow added 2.76 percent and the Nasdaq gained 1.21 percent.

— Reuters

JET INDUSTRY
Airbus plans C Series plant in Alabama

Airbus firmed up plans to assume control of Bombardier’s C Series and start building the cutting-edge jetliner in the United States.

The European plane maker will hold a majority stake in the partnership, with the deal set to close July 1, according to a statement Friday. It will start building a C Series plant in Alabama next year, with its first planes set for delivery in 2020, the program’s chief executive, Philippe Balducchi, told reporters.

Airbus’s takeover of the C Series sharpens a clash with Boeing for dominance in the lucrative market for single-aisle jetliners. Boeing is seeking to forge a commercial-aircraft alliance with Brazil’s Embraer, Bombardier’s main competitor.

Airbus has pledged to keep the headquarters and primary assembly of the C Series in Quebec. The secondary plant in Alabama — next to an Airbus facility in Mobile that builds the A320 narrow-body — will probably build four aircraft a month, Balducchi said.

— Bloomberg News

Also in Business

SeaWorld has removed all single-use straws and plastic bags from the company's 12 theme parks, including those in Orlando, where it is headquartered, the company said Friday. "We see the harmful effects of plastic pollution in the animals we rescue and rehabilitate, and therefore, recognize the importance of doing our part to curb plastic pollution," interim chief executive John T. Reilly said in a statement. The Ocean Conservancy, a nonprofit environmental advocacy group, estimates that 8 million metric tons of plastics end up in the ocean every year, SeaWorld said in the release.

Greece's left-led government has presented to Parliament a final raft of creditor-mandated economic and market reforms, with less than three months to go until the end of its massive bailout program. The proposed changes made public Friday range from tax reforms and protection of indebted households to the way that health-care funds prescribe reading glasses. Parliament will debate and vote on the proposals next week. Greece's latest bailout deal — the third since 2010 — expires Aug. 21. After that Greece will have to finance itself.

— From news services