Toyota Quarterly Supplement

For Takata Recall Remedy Completion

(15V-284, 15V-285, 15V-286, 16V-127, 16V-128, 16V-340, 17V-006, 18V-024,

18V-025, 18V-883, 19V-005)

June 28, 2019

Contents I. Introduction ....................................................................................................................................... 4 II. Recalls and Remedy Status ............................................................................................................... 5 III. Toyota’s Outreach Strategy ............................................................................................................... 6 IV. Core Outreach Updates ...................................................................................................................... 8

A. Adjustments to SSE and Other Populations ................................................................................... 9 B. Settlement Special Administrator Program Updates .................................................................... 11 i. New Segmentation ........................................................................................................................ 11 ii. Creative Featuring Ruptured Inflators and Effects to Vehicles ................................................... 12 iii. Engaging Insurers ........................................................................................................................ 14 iv. National Spokesperson and Paid Media Plan .............................................................................. 15 v. Additional Data Source Evaluations ............................................................................................ 15 vi. Owner Research ........................................................................................................................... 16 C. Toyota and SSA Collaboration .................................................................................................... 16 D. Future SSA Activities................................................................................................................... 17 E. Case Management Call Center Activity ....................................................................................... 17

V. Dealer Engagement Activities ......................................................................................................... 20 A. Providing Open Recall Owner Information to Dealers ................................................................ 20 B. Dealer Outreach Activities ........................................................................................................... 20 C. Dealer Repair Events .................................................................................................................... 22 D. Missed Opportunity Report .......................................................................................................... 26 E. Engagement with Field Teams ..................................................................................................... 28

VI. Specialized Outreach ....................................................................................................................... 29 A. Social Influencer Approach .......................................................................................................... 29 B. Certified Mail .............................................................................................................................. 34 C. Evaluation of Other Data Sources ................................................................................................ 34 i. Results from Vendor B.................................................................................................................. 36 ii. Results from Vendor D ................................................................................................................. 38 D. Vehicle Canvassing ...................................................................................................................... 38

VII. Supporting Outreach Activities ....................................................................................................... 41 A. Using Toyota’s Website to Improve Recall Completions ............................................................ 41 B. New Video Development ............................................................................................................. 42 C. Efforts to Engage Independent Repair Facilities (IRF’s) ............................................................. 44 i. Current Results for Toyota Active Recall ..................................................................................... 44 ii. Future Opportunities .................................................................................................................... 45 D. Finding and Repairing Vehicles for Sale ..................................................................................... 46

E. Addressing Inconvenience ........................................................................................................... 48 i. Mobile Repair Update .................................................................................................................. 48 F. Team Member Engagement ......................................................................................................... 50 G. Community Engagement .............................................................................................................. 50 i. Toyota Regional Engagement ...................................................................................................... 52 ii. Team Member Inspired Community Events ................................................................................. 54 iii. Dealership Toolkits ...................................................................................................................... 55 H. Check to Protect ........................................................................................................................... 56 I. SMU Student Challenge ............................................................................................................... 58 J. Video License Plate Recognition (VLPR) Technology Software Project .................................... 60 K. CarmaGo ...................................................................................................................................... 64 L. Salvage Inflator Recovery ............................................................................................................ 64

VIII. Additional Activities ....................................................................................................................... 65 A. Customer Survey to Determine the Most Effective Forms of Communication ........................... 65 B. Repairing Vehicles at Auction ..................................................................................................... 68 C. Engagement with State DMVs ..................................................................................................... 68 i. DMV Branded Letters .................................................................................................................. 69 ii. Engagement with Puerto Rico DTOP and DACO ........................................................................ 69 iii. Toyota Efforts to Engage Texas DMV .......................................................................................... 69 D. Efforts to Increase Completions in Puerto Rico ........................................................................... 70

IX. Monitor Recommendations ............................................................................................................. 70 X. Summary of Outreach Challenges ................................................................................................... 71 XI. Efforts to Address PG1-3 ................................................................................................................ 73 XII. Attachments ..................................................................................................................................... 76

I. Introduction Toyota submits this Quarterly Report pursuant to paragraph 37 of the Third Amendment to the

Coordinated Remedy Order (“ACRO”) issued by the National Highway Traffic Safety Administration

(NHTSA) on December 9, 2016. This document summarizes and contains the latest updates to Toyota’s

Recall Engagement Plan and Quarterly Supplements, which were submitted pursuant to the ACRO. This

document covers NHTSA-designated recalls 15V-284, 15V-285, 15V-286, 16V-127, 16V-128, 16V-340,

17V-006, 18V-024, 18V-025, 18V-883, and 19V-005 for certain Toyota, Lexus, and Scion vehicles. This

updated plan outlines Toyota’s actions for the covered recalls during the last quarter, remedy completion

status, and the on-going and planned efforts to promote and maximize remedy completion. Please refer to

the June 30, 2018 Quarterly Supplement (“June 2018 Quarterly Supplement”) for a more comprehensive

description of the history of our outreach program and the actions and strategies employed.

As outlined in this document, we continue to reach out to affected owners in many ways to make sure

they are aware of the Takata air bag recalls. Toyota’s outreach is designed to help them resolve this issue

as quickly, conveniently, and as safely as possible. It further helps owners understand the importance of

this urgent safety recall and that serious injury or death can occur as a result of the safety defect. We

want owners to know that replacement air bag inflators are readily available, that the repair is FREE, and

takes about an hour for most models. Toyota offers alternate transportation during the free repair, or

vehicle pickup, if necessary, to help affected owners have their vehicles repaired.

The updated activities from the past quarter discussed in this supplement include:

• Updates to our Core Outreach activities, including updates on the MDL Settlement

Special Administrator (SSA) program

• Plans for a new case management call center effort focused on certain PG1-3 vehicles

with missed opportunities (vehicles at dealers for recent service but recall repair not

completed)

• New dealer engagement activities and results from previously implemented programs

• Results to date from our social influencer program called “Carma Project”

• Certified mail activities for PG4

• On-going results from data hygiene efforts

• Overview of Toyota’s canvassing activity in Florida and Puerto Rico and plans for

expansion into Texas and California

• Recent community engagement events and a schedule for future events

• Initial results from a pilot event utilizing a prototype of our rapid license plate lookup

technology being developed, and plans for a canvassing effort built around license plate

lookup technology

• Plans for additional focused outreach efforts in Puerto Rico

• Summary of a research activity conducted with students and faculty from Southern

Methodist University (SMU) in Dallas, Texas

Toyota will continue to work with government agencies, the Takata Monitor, third-party vendors, and

other automakers to share best practices and identify new ways to proactively reach out to affected

owners, while improving on existing methods, with a goal to maximize remedy completions for these

recalls.

II. Recalls and Remedy Status

Toyota is currently administering the safety recalls under the following NHTSA ID numbers: 15V-284,

15V-285, 15V-286, 16V-127, 16V-128, 16V-340, 17V-006, 18V-024, 18V-025, 18V-883, and 19V-005

involving Takata airbag inflators in the U.S. and federalized territories.

The current recalls, involved vehicles, vehicle populations, and completion performance as of June 10,

2019 are outlined below by Priority Group.

PG Inflators Affected

Total Out of Transit**

Inflators Repaired

Completion Percentage

***

1 819,437 184,704 480,041 75.63%

2 1,864,374 357,425 1,181,437 78.40%

3 429,521 48,497 300,361 78.83%

4 763,580 117,589 461,640 71.46%

5 620,790 91,182 378,860 71.54%

6 348,740 41,696 222,542 72.48%

7 288,558 29,935 188,555 72.91%

Notes: * General Motors is administering the recall of the Pontiac Vibe vehicles built by New United Motor Manufacturing (NUMMI). General Motors will address the Pontiac Vibe in the plan it is submitting. **Out of Transit includes “SSE” and “other” adjustments pursuant to Paragraphs 45-48 of the ACRO; see section IV. below for further details. ***Completion rate is the percentage of inflators affected (that are not out of transit) that have been repaired. ****For affected vehicles in each priority group, please see our previously submitted June 2018 Quarterly Supplement or the Amended Coordinated Remedy Order. III. Toyota’s Outreach Strategy

On December 9, 2016, NHTSA issued a Third Amendment to the Coordinated Remedy Order. Paragraph

35 of the Order outlines a recall completion schedule and related completion percentage targets. Toyota

is employing a variety of strategies designed to maximize the completions of the Takata recalls and will

discuss these strategies in the sections that follow.

As Toyota has engaged with NHTSA and the Takata Monitor team under the coordinated remedy

program, we have seen a significant change in our outreach efforts both within Toyota and the industry.

Development of our various outreach programs and channels has taken significant effort, but through that

effort, we have obtained new knowledge of the available methods to communicate with owners about

recalls, as well as strategies for deploying these methods in a coordinated manner. The diagram below

was developed based on our learnings in this program so far and describes our current strategy for our

comprehensive outreach program. This diagram shows not only the general timing of different outreach

efforts, but also the changing role of each outreach method as a recall campaign matures.

8 264,522 43,060 154,784 69.89%

9 606,620 67,243 378,164 70.11%

10 1,314,033 1,740 564,553 43.02%

11 109,503 4,442 48,694 46.35%

12 53,371 3,093 27,385 54.47%

Toyota is committed to continuously improve our outreach efforts and may continue to change/enhance

our outreach strategy going forward as we learn from our ongoing efforts. We intend for this strategy to

be a guideline that is illustrative of how the various outreach methods can be used in a coordinated

manner. The diagram shows how each method can fit into the coordinated effort based on the time since

the launch of a priority group and the remaining population of unrepaired VINs. The table below

describes the current stage of our outreach strategy into which each priority group currently falls.

Priority Group Current Stage Comment

1-3 Stage 5 Various outreach activities have been on-going since 2014.

4 Stage 4 Certified Mail deployed in November, and Social Influencers were

deployed in December with the launch of “Carma Project”.

5-6 Stage 3 VINs and customer contact information were deployed to dealers for

outreach in June 2019.

7-12 Stage 2 Core Outreach began in July 2017 for certain models and expanded

through May 2018 for additional models. PG11-12 began in

September 2018 for some models and will further expand in 2019.

Vehicles involved in 18V-883 and 19V-005 recently had Part 577

letters sent and will begin core outreach in July 2019.

As discussed in the following sections, while our core nationwide outreach program continues, we have

continued to pilot and adopt new initiatives and evaluating how to incorporate them into our overall

outreach strategic concept. Toyota will continue to work with NHTSA and the Takata Monitor in

developing new strategies to support maximizing recall completions in the Takata recalls.

IV. Core Outreach Updates Toyota began owner outreach in December 2014 for certain PG1-3 vehicles. Over the past four and a half

years, we have learned about new forms of outreach and new ways to identify and reach the affected

owners. However, Toyota has continuously applied the core outreach that we started in 2014. All

affected PG1-3 vehicles have received this core outreach activity for nearly three years, and this core

outreach has become the backbone of our overall outreach activities. All vehicles in all priority groups

which are not repaired, not out of transit, and for which contact information is available, are included in

our core outreach program.

After SSE/“other” adjustments, as of June 10, 2019, we are conducting our core outreach activity on

1,142,767 VINs in PG1-12. The table below breaks down this population of VINs currently in outreach

by priority group and shows the number of total attempts we have made to reach owners within each

priority group through our core outreach program.

Priority Group Total Outreach

Attempts

VINs Currently in Core

Outreach

1 23,657,039 161,031

2 41,984,963 244,621

3 8,160,686 48,889

4 13,740,547 146,150

5 10,803,405 122,521

6 5,209,401 66,886

7 4,413,477 63,580

8 4,551,079 69,670

9 8,723,673 159,109

10 257,068 4,476

11 704,916 40,992

12 289,057 14,842

All 122,495,311 1,142,767

A. Adjustments to SSE and Other Populations As reported in past Quarterly Supplements, Toyota established processes with a vendor to determine

vehicles which are out of transit. For more information on this process, please refer to the June 2018

Quarterly Supplement. In our continuing effort to prioritize our outreach efforts for vehicles on the road,

Toyota recently began to obtain additional information identifying out of transit vehicles through the

Settlement Special Administrator (SSA) program. We have developed a process to combine these two

data sets together to identify vehicles out of transit. An explanation of the data sources obtained through

the Settlement Special Administrator program was submitted to NHTSA in June 2019. Please refer to

that submission for details.

The resulting change to our Out of Transit population is described in the table in section II. In combining

the two data sources together we have reduced the counts of “Others” and increased our counts of Scrap,

Stolen, and Exported vehicles. A summary of the changes by priority group is shown below. A positive

number indicates a net increase in the count and a negative number indicates a net reduction.

Priority Group Export Scrap Stolen Other Total Out of

Transit

1 33,860 32,174 369 -33,286 33,117

2 47,384 86,405 177 -164,100 -30,134

3 6,368 11,351 22 -43,203 -25,462

4 22,779 21,676 152 -56,931 -12,324

5 19,929 15,442 102 -36,663 -1,190

6 11,980 3,034 54 -14,759 309

7 15,872 6,399 79 2,977 25,327

8 17,418 12,480 27 -1,920 28,005

9 37,332 19,167 120 10,624 67,243

10 677 688 3 372 1,740

11 1,455 2,229 10 525 4,219

12 1,411 848 4 609 2,872

All PGs 216,465 211,893 1,119 -335,755 93,722

We believe that, by combining our two data sources together, we continue to refine the accuracy of our

out of transit records. This will continue to allow us to prioritize our outreach efforts to vehicles on the

road.

All VINs which are no longer in an Out of Transit category after this analysis will be moved back into

outreach in July. In addition, any VIN moving back into outreach in PG’s 1-5 that did not previously

receive a certified letter will be sent one. Depending on the delivery results of that certified letter,

additional data hygiene activities described in section VI. will be conducted as well.

B. Settlement Special Administrator Program Updates

Toyota has coordinated a transition of our core outreach program activities to the outreach program run

by the Settlement Special Administrator (SSA) responsible for the Multi-District Litigation class action

settlement. Toyota continues to work closely with the SSA team to help ensure that the core outreach

activities are implemented in a way to optimize our overall strategy. For more details about this

transition, please refer to the June 2018 Quarterly Supplement.

Over the past quarter, the SSA and Toyota have been working on several projects which enhance the core

outreach program. These projects include:

• New Segmentation

• Creative featuring images of ruptured inflators and vehicles involved in rupture incidents

• Engaging Insurers

• Establishment of a national spokesperson and development of a paid media plan

• Evaluation of additional data sources for phone number appends

• Owner research through focus groups and surveys

i. New Segmentation

As mentioned in our past Quarterly Supplements, we have identified several unique profiles of the

remaining unrepaired vehicle owners, and we are creating separate segments and unique creative for these

owners. Unique creative materials for each segment were developed and began deploying in May 2019.

The new creative has not been in market for very long, but we have a few observations from the response

data so far:

• Response rates for the New Owner segment are higher than those for the other segments.

• Response rates for letters have been higher than those for postcards.

• While the data are preliminary, if the response rates remain near the levels summarized in the

table below, it is not clear that segmentation of populations offers significant benefits.

Segment

Segmented Letter

Response Rate*

Segmented Letter Lift

Over Control Group

Standard Letter

Response Rate*

Standard Letter Lift

Over Control Group

Postcard Response

Rate*

Postcard Lift Over Control Group

Control Group

Response Rate*

“Apple Pie” 1.02% 73% 0.96% 63% 0.44% -25% 0.59%

“On the Go” 1.04% 104% 0.97% 90% 0.52% 2% 0.51%

“Golden Years” 1.37% 117% 1.21% 92% 0.65% 3% 0.63%

“Starting Out” 0.95% 111% 1.12% 149% 0.47% 4% 0.45%

“New Owners” 3.42% -11% 3.28% -15% 2.05% -47% 3.84%

*Response rate is the percentage of owners who called our call center using the unique 800 number from

each unique creative material.

As we continue to monitor the performance of the new creative materials, we will provide additional

updates in future Quarterly Supplements.

ii. Creative Featuring Ruptured Inflators and Effects to Vehicles To further increase the urgency with certain PG1-3 owners, Toyota has also developed creative

highlighting actual inflator shrapnel and vehicles involved in field incidents. We hope that showing the

severe damage to the vehicles involved can help highlight the risk some owners are taking by continuing

to put off the recall repair. This creative has been deployed initially to certain MY03-04 Corolla and

Matrix vehicles involved in PG1-3. The images come from field incidents involving these vehicles, and

we are using statements relating the owner’s vehicle to the vehicles from the field incidents. A sample of

the final creative is shown below. This creative began to deploy in late May 2019.

Front of Postcard

Rear of Postcard

iii. Engaging Insurers

Attempts to date by the automotive industry to engage insurers about the Takata recall have resulted in

limited activities with single OEMs, but there is no acknowledgement of the problem in the insurance

industry as a whole. Many insurers believe that engaging with automakers on this issue is a risk for them

and are therefore not interested. Attempts by OEMs to coordinate notifications to insurers customers

have largely been rejected.

Through the SSA program, Toyota is seeking an alternate strategy for engaging insurers. Toyota has

realized for some time now that many unrepaired vehicles, including many older model vehicles, are

registered or titled to insurance companies. While some of these vehicles may be in fleet operations for

insurance companies, we believe that many of them may no longer be on the road. We suspect that they

may be in salvage yards and not being driven by the insurance company or anyone else. Engaging

insurance companies to determine the true status of these vehicles and properly accounting for them could

improve Toyota’s ability to focus efforts on the remaining unrepaired vehicles that are actually on the

road.

To determine the true status of these vehicles, the SSA is reaching out to certain insurance companies to

determine if the status of these large groups of vehicles can be confirmed. To date, one insurance

company, American Family Insurance, has replied to inquiries and provided information on the status of

the vehicles registered or titled to them. The response from American Family indicated the claim status

of the VINs provided to them. Of the 280 VINs registered or titled to American Family, 255 had a claim

number associated with them, indicating that the vehicle was not a vehicle operating in their fleet, but

likely a vehicle they took possession of through a total loss claim. We are evaluating the data provided by

American Family to determine if we can account for any unrepaired vehicles. In some cases, American

Family was able to indicate that the airbags had deployed for a vehicle. We are investigating if we can

confirm which airbag deployed, i.e., the driver or front passenger side, and account for vehicles with

deployed airbags as well.

In addition, to further increase collaboration between the OEMs and the insurance industry to identify the

status of the remaining unrepaired and unaccounted for VINs, NHTSA could assist in this regard by

requesting information from the insurance industry on the status of the remaining VINs on behalf of the

OEMs. Further support from insurers may be difficult for the OEMs to obtain without support from

NHTSA. This was discussed at the Takata Summit in May, and we understand that the agency is

considering what outreach it can undertake with the insurance industry.

iv. National Spokesperson and Paid Media Plan

The SSA team has been developing a paid media plan featuring a national spokesperson. We are pleased

to announce that the national spokesperson has been confirmed as Academy Award Winning actor

Morgan Freeman. Mr. Freeman has one of the most recognizable faces and voices in the film industry

and has been voted as “Most Trusted Celebrity” in several media publications. We hope to leverage that

innate trust that Mr. Freeman inspires in viewers to convince vehicle owners of the urgency of the recall

and the legitimacy of the direct outreach that is being sent to vehicle owners.

Filming and recording with Mr. Freeman to support creative development is set to be completed in June,

and the paid media strategy is being developed, with a plan to launch in August 2019. The paid media

plan will feature TV, radio, and digital advertising, encouraging vehicle owners to check their vehicles for

the Takata airbag recall and, if they are affected, have the free repair completed. The plan for paid media

is shown in the table below.

Dates August 5 – August 25 September 9 – September 29 October 14 – November 3

Radio August 26 – September 2 September 30 – October 7 November 4 – November 11

TV 70%: 30 second spots

30%: 15 second spots

52%: 30 second spots

48%: 15 second spots

35%: 30 second spots

65%: 15 second spots

With more recognition through highly visible communications and a familiar, trustworthy voice, we hope

that vehicle owners receiving direct outreach pieces will be quicker to act and that we may be able to

locate and incite action in some vehicle owners who are not receiving communications due to ownership

data inaccuracies.

v. Additional Data Source Evaluations

The SSA team has been evaluating additional phone number data appends from an additional data append

supplier. In early trials, the supplier-appended phone numbers had a 10% increase in successfully

reaching the owner over the baseline performance. In addition, of ~20,000 records provided with no

phone number available, the supplier was able to append ~7,000 additional phone numbers. The SSA

team continues to evaluate the supplier data, but preliminary results appear to be positive.

Additionally, the SSA team has been exploring ways to ensure better deliverability of emails, particularly

to Gmail accounts, which have more restrictive spam filters and have been filtering some of our outreach

emails. A new email fulfillment supplier is being trialed; this began in late May 2019. We are currently

evaluating delivery results.

We will provide an update on plans for any further use of these data sources in future Quarterly

Supplements.

vi. Owner Research

The SSA team has contracted with a company to perform owner research via surveys and focus groups.

Owners with open recalls and completed recalls will be targeted in major metros around the U.S.,

including Tampa, Florida; Dallas, Texas; Columbus, Ohio; and Denver, Colorado.

Focus groups of approximately 15 people are planned in the metros mentioned above, with a target of

around 190 total individuals to participate.

Surveys will also be conducted in an internet panel format with two different study groups:

Group Description # of sub-

groups Total # of people

targeted Creative

Concepts Designed to evaluate the effectiveness of different creative

materials 6 1500

Awareness /

Likelihood to

Act

Designed to gather information about awareness of the

Takata recall issue, their likelihood to act on recall notices,

and barriers that prevent them from acting

3 6000

The surveys and focus groups are being conducted throughout the month of June 2019. Insights derived

from this owner research will be shared in future Quarterly Supplements.

C. Toyota and SSA Collaboration Toyota and the SSA have a collaborative working relationship where both parties discuss the planned and

ongoing outreach activities on a regular basis. In addition, we have partnered on several new initiatives in

the last quarter, including:

1. Canvassing coordination – The SSA is supporting pre-visit notification, creative development,

and inbound call center support.

2. Finding vehicles for sale online – The SSA is planning support for outbound outreach to vehicles

owned by used car dealers located through this process.

3. State DMV branded letters – The SSA has supported the printing and distribution of these letters

to affected owners, along with resulting inbound calls and appointment scheduling.

4. Call center support for our new social influencer program described in section VI.

5. Outreach focused on mobile repair.

Toyota will continue to work with the SSA team in a collaborative partnership to drive further

improvement in our recall completion rates.

D. Future SSA Activities The SSA team is also actively working on or considering several additional projects, including:

• Undertaking public relations activities from June through September 2019 designed to increase

earned media and attention about the recall

• Developing a common platform for mobile repair scheduling

• Conducting a sweepstakes or promotion to motivate non-responding owners to act

• Developing web interfaces for owners to update their vehicle ownership status

Our hope is that these additional efforts will continue to increase awareness by affected owners and

encourage them to have their vehicles repaired. We also hope to continue to learn more about what

influences owners to respond to outreach and what they view as barriers to having their vehicles repaired.

Through these learnings, we can continue to improve our outreach efforts and tailor them to owner needs.

Toyota continues to believe that these core outreach activities are a major component of our program,

which is aimed at maximizing completion rates. We believe that these efforts, combined with some of the

activities the SSA is considering and other activities that we are exploring as described in the sections

below, can continue to support our recall momentum and completion rates.

E. Case Management Call Center Activity

Toyota is currently developing a case management-focused call center effort for certain PG1-3 owners

who have received a large amount of outreach, and whose address information has been verified via

certified mail, yet their vehicles remain unrepaired. These owners may have some barrier to repair or

misconception about the recall which is preventing them from obtaining the remedy. This call center

effort will be focused on converting long unresponsive owners into repairs or otherwise accounting for

their vehicles. To do this, our call center agents will be focused on call quality, not call volume. They

will be equipped with a variety of convenience services which they can offer but will also be encouraged

to find out what it is that an owner needs to overcome his or her personal barrier. In essence, we are

asking them to treat each case uniquely and manage each owner’s expectations individually.

This effort will be a two-stage approach. As we know that these owners are likely receiving our other

outreach communications and not responding, they may be hesitant to answer our outbound phone calls.

Therefore, if contact information is available, we plan to send them a new email creative first to make

them aware that we would like to speak with them about their situation and help them with whatever is

preventing them from having their vehicle repaired. There are three email creatives with increasing

urgency in each. We believe that owners who call from emails are more receptive to a conversation

about the recall than owners who are cold called. We deployed the first touch email in mid-June 2019

and are deploying the remaining touches in 7-10-day intervals. The creative for email is shown below.

Touch 1: Touch 2: Touch 3:

Outbound phone calls following the emails will begin in late-July. These phone calls will be made by

agents specially trained to expect significant barriers or resistance from these owners, and they have been

provided tools and techniques to overcome those barriers. Call center scripts have been developed, but

agents are provided a variety of convenience options which they can use in any situation, depending on

the individual owner need. We will be offering loaner vehicles, towing, vehicle pickup, mobile repair in

certain areas, and incentives as needed. In all cases, the agent will be responsible for walking the owner

through the entire process of scheduling the repair, and they will be available if there are any problems

with the owner keeping the appointment. In addition, agents will be assigned to owners in geographic

groups so that they will tend to work with the same dealers on a consistent basis to schedule owners for

repair. This will establish a relationship between the agent and dealer, and we believe that this will

further facilitate a smooth experience for the owner.

We are beginning the activity with a target population of 25,000 VINs, focused on certain PG1-3 vehicles

located in higher risk Zone A states. As the activity is deployed and results are obtained, updates will be

provided in a future Quarterly Supplement.

V. Dealer Engagement Activities Toyota has launched and enhanced a number of dealership initiatives, consistent with the Monitor

recommendations, to leverage the dealers’ knowledge of their local markets to help improve recall

completions. This section summarizes these initiatives.

A. Providing Open Recall Owner Information to Dealers Toyota continues to provide owner-specific data to dealers in their primary market areas so that dealers

can engage owners who have not yet had the recall remedy completed. Toyota’s system also supports

distributing consistently updated VIN information to dealers. Further, this system provides metrics to

help dealers compare completion rates and share best practices. Toyota believes that our dealers’

knowledge of their primary market areas will assist in reaching those affected owners and coordinating

the repair of their vehicles. Outreach templates and tools have been developed to help promote consistent

messaging when dealers reach out to owners.

On June 7, 2019 we updated (PG 1-4) and expanded (adding PG 5 & 6) Takata owner data information in

our SOAR (Service Opportunity Access for Retention) website for Toyota dealers and SSR (Service

Smarts for Retention) website for Lexus dealership outreach efforts. We will continue to refresh these

data monthly, and an additional Priority Group will be added each month through the balance of 2019.

We will provide all Priority Group VIN information to the dealers by the end of calendar year 2019.

B. Dealer Outreach Activities As the Takata recall continues to expand, so does the need for effective ways of reaching and persuading

owners of affected vehicles to schedule their free repair. Our dealers have long been at the forefront for

sharing safety messages, because no one knows their local communities better. We have empowered our

dealers with more choices for how to best message in their markets. We provided four multi-channel

campaigns that dealers can access and distribute free of charge. This includes the support of dealer

outreach efforts by funding additional direct mail and email. This dealer outreach effort for Priority

Groups 1-4 launched in October 2018. For each month, the dealer could choose one of the three creative

options within that campaign.

We had 100% dealership participation in the first round of this campaign, which ran October – December

2018. For this phase of the campaign, our preliminary results are as follows:

Dealer Email Outreach – Preliminary Results

Note: Other outreach activities were also being conducted in conjunction with this outreach effort.

Dealer Mail Outreach – Preliminary Results

Note: Other outreach activities were also being conducted in conjunction with this outreach effort.

We will continue to evaluate the existing response rates to this outreach effort. We plan to launch another

dealer-branded outreach effort this year with email options available via an on-demand system and a

direct mail cadence to be determined. These efforts will be fully funded by Toyota, and we will

encourage dealers to use the messages that have shown the higher remedy rates.

C. Dealer Repair Events

With help from Toyota, Toyota and Lexus dealers began conducting cost-effective, easily-executed

Takata Recall Events. Events at the dealership and in the community are targeted to engage owners of

unrepaired vehicles. Local events are prime opportunities to drive recall awareness, with a major

emphasis on brand recognition and trust. Dealers engage owners in a conversation about the recall and

Toyota’s goal to repair every affected airbag.

Toyota created an “Event Playbook” for dealerships to use to host a dealership repair event or local

community awareness events and offers tiered financial support based on the number of unrepaired

vehicles in each dealer’s assigned market.

The Event Playbook was rolled out to the Toyota Regional offices in late January 2019 and to dealerships

in February. Since launch, there are 53 dealer events that have or will be conducted over the next several

months. Dealership repair events have had very positive feedback and engagement. For the 16 dealer

events for which we have received final recaps, dealers have engaged 2,250 people and have completed

122 Takata repairs. We will continue to monitor and promote these events. Our Dealer Event Schedule is

provided below. Also, in September 2019, 27 dealers in Washington, D.C., Maryland, and Virginia are

collaborating to conduct an Airbag Recall Awareness Week Event.

Some dealership comments after hosting their events are as follows:

“Was able to get Takata air bag recalls done quickly. We may be having more of this type of event

on Sundays so that it opens up more time for other work during our work week.”

“Great way to provide awareness and meet your customer.”

“We accomplished starting new positive relationships with Toyota owners that had not been to our

location before. This event allowed us to show people that we care along with gaining more trust

towards our dealership in the sense that there was no "catch" with the event and its only purpose was

to make sure Toyota owners were safe and aware. We also were able to show people that we are

friendly and it's not an intimidating experience with us. Lastly, not only did we meet new people,

but those people told their friends who owned Toyota about us. Giving us positive publicity and got

their attention to call us and speak with us. We would say overall, it helped get our name out there

and we were able to educate people the importance of getting it taken care of and clarify that it is of

no cost!”

Dealership Date

Roseville Toyota Community Event March 7, 2019

Gilroy Toyota Community Event March 9, 2019

Maita Toyota Repair Event March 12, 2019

Toyota of Santa Cruz Repair Event March 13, 2019

Capitol Toyota Repair Event March 20, 2019

Freeway Toyota of Hanford Repair Event March 20, 2019

Piercey Toyota March 21,2019

Salinas Toyota March 22, 2019

Thompsons Toyota Repair Event March 23, 2019

Toyota Walnut Creek Community Event March 24, 2019

Elk Grove Toyota Repair Event March 24, 2019

City Toyota March 24, 2019

Folsom Lake Toyota March 25, 2019

Victory Toyota Repair Event March 26, 2019

Freeman Toyota March 30, 2019

San Francisco Toyota March 30, 2019

Palmiero Toyota April 12, 2019

Thompson Toyota April 27, 2019

Koons Toyota May 10, 2019

South Hills Toyota May 21, 2019

Deery Brothers Toyota June 8, 2019

Marysville Toyota June 8, 2019

Jerry’s Toyota June 18, 2019

Dan Deery Toyota June 28, 2019

Steven Toyota July 22-25, 2019

Ganley Toyota July 18, 2019

Some images from the events are shown below.

Toyota of Santa Cruz – March 13th, 2019 Freeman Toyota – March 30th, 2019

Capital Toyota – March 20th, 2019 Gilroy Toyota – March 9th, 2019

Palmiero Toyota – April 12th, 2019 Toyota Walnut Creek – March 24th, 2019

Videos were created from two pilot events and were distributed to all dealers about how the events were

conducted, their benefits, and how dealers can initiate similar events. Links to these materials are below.

Pilot Dealership Repair Event Video https://www.youtube.com/watch?v=jq-2Vb4Hh7M&feature=youtu.be

Dealership Community Event https://youtu.be/edbtEgO9auc

D. Missed Opportunity Report

As discussed in the June 2018 Quarterly Supplement, Toyota has developed a process to identify vehicles

which have come to one of our franchised dealerships for service in the past two months, but still have an

open recall. We refer to this process as the “Missed Opportunity Report”. We began sending this report

to our field teams across the country in June 2018.

The following graphs summarize the results from the Missed Opportunity Report for vehicles visiting

Toyota and Lexus dealerships in the months of April 2018-April 2019 as it relates to the Takata recalls.

Although consistent progress was made month over month in reducing the missed opportunities across

both Toyota brands, the announcement of Phase 4 in January 2019 caused a large spike in missed

opportunities that we are continuing to work through. Our field teams are engaging with dealership

management each month to educate them on the importance of completing all open recalls at the time of

service. In addition, we are developing a best practice guide to be distributed to all field teams and

dealers which explains how to use the data in the Missed Opportunity Report to reach out to those owners

and to take action to reduce missed opportunities within the dealership.

As we continue this process, the number of missed opportunities month over month, specifically for PG1-

3 vehicles, has not decreased with the same trend as the other priority groups did prior to Phase 4

announcement (see chart below). At this time, it is not clear to us why this is happening. All the priority

groups can receive the same convenience services, and dealers have been educated about the importance

of PG1-3 vehicles. In addition, the repair time is generally shorter for PG1-3 vehicles than PG4-10.

To better understand the reason for the difference in trend between PG1-3 and PG4-12, Toyota launched a

new phone-based outreach process specifically for missed opportunity PG1-3 vehicles in May 2019. As

described in an earlier section above, the goal is to call the owner back within three months of the last

service to determine why the recall was not completed and to help arrange another appointment. Agents

are trained to offer convenience services and to ease any owner concern should an owner find out about

the recall for the first time. In addition, agents are trained to increase the urgency with any owners who

may be refusing the recall remedy for various reasons. Toyota and its dealers will continue to try to

educate these owners on the urgency of this repair through the messaging we have already been providing

about the recalls. Ultimately, if we are unable to convince an owner to repair through escalating urgency

and offers of convenience services, we plan to collect their affirmative refusal and account for their

vehicle as “Refused Service” as indicated in section XI.

Since this program launched in May 2019, we have attempted to contact the owners of 800 VINs using

contact information obtained during the owner’s recent service visit. These 800 VINs received three

phone attempts and then a written communication if the owner could not be reached after the phone

attempts. Of the 800 VINs, we have been able to reach and speak with 135 owners. These 135 are in

various stages of repair scheduling and coordination, but as of May 30th, 16% have completed the repair.

We are refining our process for this outreach activity to collect additional data on the results of owner

outreach and will be able to provide additional detail on this activity in our next quarterly supplement.

We hope to continue to convert as many of these missed opportunities as possible into repairs. However,

further reduction in missed opportunities will largely depend on what our call center agents and our

dealers find as they research each case. As we learn more, we will share those results in a future

Quarterly Supplement.

The number of missed opportunities is a relatively small percentage of the total repair orders. This

indicates that, while there is certainly opportunity for improvement, dealers are generally following best

practices of checking vehicles for open recalls that come in for service and repairing those vehicles during

the time of service.

E. Engagement with Field Teams

We have a multi-tiered communication strategy with our regional field offices as follows:

• Monthly Conference calls with our Takata Dealership Task Force (minimum of one

representative from each region) to review updated completion numbers, missed opportunities,

new outreach efforts, and regional best practices sharing of new or improved ideas for Takata

outreach efforts.

• Bi-weekly completion rate reports and other updates are sent to National and Regional

management showing completion rate increases by Region, District, and Dealership.

• Bi-weekly updates on the Dealership Event Schedule shared with Takata Dealership Task Force.

• Monthly Missed Opportunity Reporting is provided to regions to identify process gaps and

provide solutions.

• Monthly Parts & Service scorecard sent out to National Vice Presidents and Regional

management highlighting regional completion rates.

VI. Specialized Outreach

A. Social Influencer Approach Toyota has partnered with a vendor to supply unique social media outreach services related to the Takata

recall under the name “Carma Project.” For details, please refer to previous Quarterly Supplements. To

view Carma Project, visit www.carmaproject.com.

The full launch of this program occurred in mid-December 2018, at which time ambassador recruitment

advertising began. The first phase of ambassador recruitment concluded at the end of the first quarter of

2019, with approximately 10,000 ambassador sign-ups. For additional details on phase 1 ambassador

recruitment, please refer to the previous Quarterly Supplements.

The next phase of ambassador recruitment has been developed based on learnings from the first phase.

The phase 2 strategy began in April 2019 and is centered around a “Find-First” approach to recruitment.

Rather than the call to action being ambassador recruitment, the call to action is to first do a recall lookup

on a vehicle. The recall results are returned to the individual as well as information on how to have the

recall completed. The individual is then given an immediate financial incentive and engaged further and

encouraged to join the program as an ambassador.

Examples of “find-first” advertising

Future phases of ambassador recruitment will be developed based on the learnings from the previous

phases and will be shared in a future Quarterly Supplement.

Carma has made several enhancements to the technology and website to further improve the performance

of this outreach strategy. Below are highlights of some of the major enhancements.

• Influencer Landing Page - Carma is working with select ambassadors/influencers to create

personalized vehicle recall check pages. Anybody who clicks on a shared Carma message from

one of these ambassadors is directed to their personalized ambassador page. The addition of a

personal video to this landing page replicates the experience of hearing about the recall first-hand

from a known entity or relationship. This landing page then facilitates the recall lookup. These

pages can be created in both English and Spanish language versions.

Examples of Influencer Landing Pages

• Email Referral Enhancement - Visitors to the vehicle recall check page now can send an email

directly to friends and family with a message about the Takata airbag recall, and a link back to the

page. These visitors are then also prompted to join the outreach program as an ambassador.

• CarFax Recall API Integration - To help improve the user experience (based on ongoing

product feedback from the Carma community) the CarFax recall API has been integrated into the

search results of the Carma site. This update allows site visitors to check any vehicle, regardless

of make, for an outstanding recall. This integration allows Carma to automatically inform

ambassadors about the impact they are having in their community for all vehicles, not just

Toyota/Lexus/Scion models. The strengthening of this ambassador feedback loop should

increase ambassador engagement, and further enhance the performance of this outreach.

In addition to ambassador recruitment advertising, Carma is working with news outlets to share

information about Carma Project. To date Carma has generated over 50 news stories including

interviews, local market pieces, and national coverage. States that have covered Carma in their local

markets include Arizona, California, Delaware, Florida, Georgia, Illinois, Iowa, Kansas, Massachusetts,

Michigan, Missouri, North Carolina, Ohio, Pennsylvania, Rhode Island, and Texas. For a complete list of

Carma news stories, refer to attachment 2.

Through ambassador recruitment advertising and news stories, Carma has over 20,500 ambassadors as of

June 13, 2019, which achieves the goal set at program launch.

The Carma Project website has been available in Spanish since February 2019. Ambassadors can now

choose to share messages in both languages. This will help our efforts in reaching Spanish speaking

vehicle owners and recruiting Spanish speaking ambassadors.

Toyota monitors the performance of Carma Project on a weekly basis and works with the Carma team to

continuously optimize the site and user experience. Below are some figures highlighting the performance

of Carma Project as of June 13, 2019.

Across all manufacturers, over 5,700 vehicles with active Takata airbag recalls have been searched on

Carma. Below are some statistics to show the impact that Carma is having for Toyota, as well as for other

OEMs. Note that because Toyota is the founding sponsor of Carma, the statistics for Toyota tend to be

stronger than that of other manufacturers.

B. Certified Mail Toyota previously piloted and has now begun to expand the use of certified mail to notify vehicle owners.

Certified mail requires the postal service to locate the recipient of the mail and obtain his/her signature

before delivery. If the recipient cannot be found, the mail will not be delivered. The process also

involves electronic tracking, so the sender can identify whether a letter has been delivered. Toyota

believes that this method of mail is a good way to confirm owner receipt of outreach materials and

identify potential inaccuracies in ownership information from our current sources. In addition, the

sending of a letter as certified mail is a further way to impart a renewed sense of urgency and importance

to the vehicle owner.

In February 2019, Toyota sent a follow up certified mail to certain remaining unrepaired owners in PG1-3

for whom we could not confirm delivery or return mail through prior certified mail attempts. Toyota

carried over enhancements that had been made to previous certified letters, including personalization of

the letter, emphasizing convenience services like loaner vehicles and vehicle pickup, making the letter

available in ten languages through online resources, and including a reply card for owners to update

contact information and vehicle status.

As of June 5, 2019, the results of this mailing are shown in the table below.

Total VINs Mailed 189,895

Delivered 81,040 42.68%

Undeliverable (Incorrect Owner Information) 25,907 13.64%

In-Transit / Waiting for Owner to Respond 82,948 43.68%

Repairs for VINs that had Certified Mail Delivered 8,424 10.39%

Toyota will continue to employ the use of certified mail as part of Stages 4 and 5 of our Outreach

Strategy. Currently, Toyota is working on a certified mailing for PG 5 vehicles. Results of this mailing

will be provided in our next Quarterly Supplement. After the deployment of certified mail to PG 5

vehicles, Toyota will begin working on a certified mailing for PG 6 vehicles.

C. Evaluation of Other Data Sources Certified mail, as described above, presents additional opportunity to identify owner data which may not

be accurate. Addresses which are undeliverable, or owners who cannot be reached through certified mail,

represent an opportunity to evaluate additional data sources beyond the traditional vehicle registration-

based data. Toyota has identified some additional sources of owner data shown below. We continue to

evaluate these sources to determine if the owner data provided are different, and potentially better than,

the traditional vehicle registration data.

Source Summary Status

Vendor A Proprietary database of secondary address information different from the traditional DMV sources.

Complete, limited additional information, decided not to use.

Vendor B Address Hygiene and Third-Party Change of Address Sources that are non-USPS based (i.e., utility bill forwarding, etc.).

Complete – currently in use

Vendor C Gather available owner information from public facing websites for return mail addresses to attempt to find owners current residence.

Complete, limited additional information, decided not to use.

Vendor D Proprietary data source using DMV registration data and other proprietary sources.

Data Received - Evaluating

Vender E Proprietary data source based on insurance industry data. Investigating

In addition, based on the positive results from Vendor B noted in the next section, Toyota developed a

process with Vendor B to monitor the status of vehicles for which certified mail could not be delivered

and an alternate address could not be found. The process involves a quarterly check of available

registration data to determine if there has been any ownership change, followed by a quarterly check of

other vendor data sources and Vendor B’s data sources to see if any new information has become

available for each VIN. Any new addresses found as a result of the quarterly check would be sent

certified mail, and the delivery status will be monitored. If certified mail cannot be delivered to the new

address, the VIN will go back into the quarterly monitoring process again. The flow chart below

describes the process.

i. Results from Vendor B Toyota’s partnership with Vendor B to develop an address hygiene and data cleansing process based on

Third-Party Change-of-Address sources, which we call our “Enhanced Address” process or “EA”,

involves the following steps intended to supplement our existing data cleansing process:

Toyota continues to use this process to obtain new address information for vehicles that were

undeliverable during our first five certified mailings. Of the 393,198 VINs that have gone through the

process above to date, we found 263,052 new addresses and have sent follow-up certified mail letters to

Step 1 Gather owner data and run CASS/NCOA to clean the data.

Step 2 Send certified mail and gather return mail data.

Step 3 Run all return mail through CASS/NCOA again for recent changes

Step 4 Run all return mail through Third Party Change of Address (non-USPS)

Step 5 Identify any address updates through steps 3 and 4.

Step 6 Send certified mail to all new addresses and gather return mail.

Step 7 Repeat process as needed

the new addresses as described in Step 6 above. The table below summarizes the results we have seen

from the Enhanced Address process to date. The table shows the number of VINs that went through the

EA process, the number of new addresses found, and from which type of data source those new addresses

came. We also identify the EA results based on the delivery status of the original certified letter sent in

Step 2 of our process.

Description EA Process Count

Number of VINs run through EA Process 393,198

Total Number of Addresses Enhanced through EA Processing 263,052

Number of Addresses Enhanced by Address Correction Software 208,003

Number of Addresses Enhanced: NCOA Move Updates 9,180

Number of Addresses Enhanced: 3rd Party Move Updates 45,869

The table below shows the results of the EA process for the new addresses for PG 4. The PG 4 follow-up

mailing is on-going for the new addresses, and the follow-up mailing delivery results will be shared in a

future Quarterly Supplement.

Description EA Process Count (PG 4)

Number of VINs run through EA Process 72,864

Total Number of Addresses Enhanced through EA Processing 48,217

Number of Addresses Enhanced by Address Correction Software 39,611

Number of Addresses Enhanced: NCOA Move Updates 1,202

Number of Addresses Enhanced: 3rd Party Move Updates 7,404

The Enhanced Address process has been a useful tool that yields additional address information for some

vehicle owners. Toyota will continue using this process as we expand certified mail to PG 5 vehicles.

Any address where there is not a confirmed delivery will undergo the Enhanced Address process, and a

follow-up mailing will be scheduled for any new addresses found. Further updates on this program will

be provided in a future Quarterly Supplement.

ii. Results from Vendor D

Toyota has begun comparing address information from its current mail vendor after performing the EA

process with data from a different vendor known as Vendor D. The total number of mail records cross

checked against Vendor D’s data was 25,573. Out of these records, the data were checked for Same

Address Same Person, Same Address Different Person, Different Address Same Person, Different

Address Different Person. Below is a summary of the results:

Total Records Same Address Same Person

Same Address Different Person*

Different Address Same Person

Different Address Different Person*

27,573 15,441 2,891 6,881 2,360

56.00% 10.48% 24.96% 8.56% *Different person is based on full name match.

A follow-up mailing is being conducted to the new addresses identified by Vendor D to validate if the

addresses are accurate.

D. Vehicle Canvassing Toyota’s canvassing Phase II concluded in early May 2019. This phase involved notifying more than

14,000 owners of MY03-04 Corolla and Matrix models and MY04-05 RAV4 vehicles in Florida and

Puerto Rico; the owners were separated into four groups for mailing and subsequent in-person notification

attempts. Mail notifications were sent using either USPS First Class or FedEx envelop. There were 868

repairs completed after the mail notification, and prior to an in-person contact (canvassing) attempt.

From this population, when comparing the percentage of repaired based on mail notifications type,

owners who received FedEx mail have had nearly twice the percentage of repairs performed as those who

received USPS mailings.

As of June 4, 2019, there have been 1,028 repairs completed on vehicles which have been canvassed,

which is 8.1% of the total addresses canvassed. Taken together, the total number of completions from

receiving the mail notification (868 repairs) and from the canvassing (1,028 repairs) is 13.2% of the Phase

II mailed population (total 14,327 mailed). The table below provides further detail on the outcome of

Phase II canvassing as of June 4, 2019.

Phase II Canvassing Summary: Group 1 Group 2 Group 3 Group 4 Mail Notification Sent 11/5/18 12/5/18 1/7/19 2/4/19 Total

Mailed Population 2,975 4,875 5,275 1,202 14,327

Canvassing Began Dec'18 Jan'19 Mid Feb'19 End Mar'19

Canvassed Population 2,750 4,409 4,479 1,080 12,718

Canvass Performed % of Mailed 92.4% 90.4% 84.9% 89.9% 88.8%

Repa

ir Co

mpl

eted

Prior to Mailer Notification 62 180 214 80 536

After Mailer/Before Canvassing* 177 256 370 65 868

[Percent of Mailed] 5.9% 5.3% 7.0% 5.4% 6.1%

After Canvassing 255 401 304 68 1,028

[Percent of Canvassed] 9.3% 9.1% 6.8% 6.3% 8.1%

Total Completed 494 837 888 213 2,432

[Percent of Total] 16.4% 16.7% 16.2% 16.8% 16.5%

Not Completed 2,523 4,168 4,584 1,055 12,330

Population Total 3,017 5,005 5,472 1,268 14,762 *Mail notifications were sent, and repair date is after mail date, but before canvassing occurred.

Two methods of in-person canvassing were conducted during the final two groups of Phase II: (1) in-

person attempts during afternoon and evening hours, and (2) information left at the door of the visited

address without an attempt to speak to a resident/vehicle owner. The intent was to evaluate the

effectiveness of in-person notification attempts by a canvassing agent trained to explain the recall to a

“drop and dash” method of simply leaving informative content at an owner’s door. It was found that

nearly twice the percentage of owners contacted in-person had the repair completed compared to the

“drop and dash” method.

Toyota has launched our Phase III canvassing efforts, which will expand beyond Phase II by targeting

new metros in California and Texas and increased populations of vehicles in Florida metros and Puerto

Rico. There will be 50,000 vehicles targeted in Phase III. This phase will include MY03-04 Corolla and

Matrix, and MY04-05 RAV4 in the metro areas of Dallas, Austin, San Antonio, and Houston, Texas as

well as Los Angeles, Riverside/San Bernardino, and San Diego, California. Additionally, it will include

unrepaired VINs from Phase II, as well as MY05-08 Corolla and Matrix vehicles and a further expansion

beyond that of the San Juan metro in Puerto Rico. Like the prior phase, Phase III was initiated by mailing

a recall/canvassing notification letter and performing subsequent in-person notification attempts to

owners of vehicles which remain unremedied after the mailer. The total targeted population for Phase III

is being divided into six groups, referred to as Deployment Groups. Mailings for the first Deployment

Group were sent in late May 2019. Based on findings from Phase II, which indicated FedEx resulted in

increased effectiveness in influencing repair completions, all mailings will be sent using FedEx service

when possible. Canvassing began in all metros following agent training in mid-June.

For this phase Toyota has hired a new vendor, MarketSource. They have been conducting airbag recall

canvassing for other automakers, have a canvassing presence in most of the same metros targeted for

Phase III, and have a tech-driven operation that should allow for quick data updates and tracking, and

overall improved efficiency. Unlike the prior canvassing phase in which the canvassing agent directed an

owner to the recall hotline for appointment scheduling, the MarketSource agents will be more “hands on.”

They will schedule repairs directly with the local dealers and mobile service providers and provide their

direct contact information to owners who might have questions and to assist with repair scheduling even

after their canvassing visit.

Canvassing Deployment Model

NOTE: This diagram shows the general deployment strategy used in Phase II and will be used in Phase III. Phase III will include six groups, with the first mail notifications sent in late May 2019.

In addition to the recently launched canvassing phase, we have expanding our mobile repair program,

explained in further detail in section VII. Martin Technologies is currently being piloted in Michigan,

with a plan to deploy them to support mobile repair in the California metros targeted in Phase III. AER

Manufacturing, the mobile repair vendor used in Phase II, will continue to support the Florida metro

locations as well as the Texas metros for Phase III. A dealer-offered mobile repair program is still in

development with the intent of being able to support repair demand generated by canvassing. Mobile

repair is covered in further detail in section VII.

VII. Supporting Outreach Activities

A. Using Toyota’s Website to Improve Recall Completions As reported in our past Quarterly Supplements, Toyota has established a unique page on its recall look-up

website devoted to Takata inflators. See http://www.toyota.com/recall (this is also the landing page for

Lexus and Scion) and refer to the links near the top of the page regarding Takata-specific recall

information (http://www.toyota.com/recall/takata). We have been enhancing this site over the past year

with several new features designed to inform owners about the recall, quickly and easily allow owners to

check if their vehicle is affected by the recall, and make an appointment to have the remedy performed.

We believe that the Toyota recall website has been very helpful in improving Toyota’s completion rates.

Our data show that 5,471,986 Takata recall VINs were processed through the Toyota.com/recall website

VIN look-up tool from July 15, 2016 to June 6, 2019. While there is insufficient data to conclude

whether the website VIN look-up tool caused the vehicle owner to complete the recall, the number of

vehicles repaired involved in these look-ups totaled 3,444,543. Thus, of the 5,471,986 VINs processed,

63% are now complete.

We continue to develop enhancements to our recall website and have recently made updates to our

Community page. A new introductory video has been developed for the page, and a process for

community members to order outreach kits through the Community page is being developed. As these

updates are made, we will share more detail in a future Quarterly Supplement.

The Community video focuses on community engagement and how community members can help raise

awareness about the Takata recall. It is now live on the Community page. This video features examples

of what Toyota has been doing to engage the community and provides guidance to community members

on what they can do to help and where they can go to learn more information or gain access to print and

digital assets.

B. New Video Development

In addition to the Community video, Toyota has created several other videos over the past year to further

engage owners about the Takata recall. Videos have been created for our recall website, shared through

social media, and used at community events, and we are beginning to use them in our canvassing efforts.

The videos that we have posted on Toyota.com/recall/Takata and on our YouTube channel have had over

10,000 viewings. We are currently working on two additional video concepts that we hope to deploy in

the second half of 2019.

1. “My Story” – This will be both a longer video and a series of segmented shorter videos detailing

real owners’ experiences in having the recall performed. The longer video would live on our

recall website, and the shorter videos would be used in social media advertising and other digital

notifications. Each of the owner stories will focus on the four major barriers or misconceptions

that may be preventing owners from having the recall performed. These videos are based on

responses to surveys of owners who recently had the repair completed, and how Toyota was able

to overcome that barrier or misconception to facilitate the repair for those owners. The four

major barriers or misconceptions that we are developing owner stories around are:

a. I don’t have enough time

b. I can’t be without my car

c. Parts are not available

d. The recall isn’t a priority

Toyota has been reviewing owner survey responses to find candidates for participants in this

video series. Production of the video series is expected to begin in the third quarter of 2019.

2. “Motorsports Drivers” – Toyota has created a series of videos featuring our Toyota Motorsports

sponsored drivers. The dialogues were delivered by a variety of different drivers across different

racing series. Videos were tagged with alternate endings to specifically address the primary

repair barriers. A series of videos shot in short form were designed for social media distribution.

NASCAR – Martin Truex NHRA – Antron Brown Formula Drift – Ken Gushi

One video concept within this series relates the risk of high-speed crashes that motorsports drivers take in

their occupation and the risk that owners affected by the Takata recall are taking by not having their

airbags repaired. Another video concept in the series relates the use of caution flags in racing to owners

driving their vehicles and telling them “Don’t Risk It, Fix It,” emphasized with a caution flag. This video

series is intended to put a different face to the recall call-to-action from Toyota. We have completed

development of these racing videos and they have been posted on YouTube. Links to these videos are

shown below. We continue to work on a media strategy to promote these videos and will share more

detail in the next quarterly supplement.

FULL Martin Truex- Caution Flag https://youtu.be/DyPhNsMhMuY

FULL Martin Truex- Suit of Armor https://youtu.be/RjBgqxXM4fM

SHORT Martin Truex- No Airbags https://youtu.be/14wZNCA6PHI

FULL Antron Brown- Suit of Armor https://youtu.be/u4Q2ztftFKI

SHORT Antron Brown- Front Passenger Airbags https://youtu.be/bqIOyYf79CI

SHORT Antron Brown- More Danger https://youtu.be/HgbXxFtyDOQ

SHORT Antron Brown- Social Feed https://youtu.be/6EB9o98HXso

SHORT Antron Brown- Social Influence https://youtu.be/p_a5IfkEXrY

FULL Ken Gushi- Steering Wheel https://youtu.be/pJdiEEOHZ-E

SHORT Ken Gushi- Free Loaner https://youtu.be/cVdIFOrXcf4

SHORT Ken Gushi- Global Crisis https://youtu.be/l9UJzUPFSgI

SHORT Ken Gushi- Parts Available https://youtu.be/WFd0vpJNdeo

SHORT Ken Gushi- Social Feed https://youtu.be/NljseSWkqbA

C. Efforts to Engage Independent Repair Facilities (IRF’s) As described in our Recall Engagement Plan and prior Quarterly Supplements, Toyota has developed an

innovative strategy to help reach owners of older vehicles. Many vehicles, especially older models, are

serviced by independent, aftermarket repair facilities (IRF’s). Thus, Toyota constructed “Toyota Active

Recall,” a system-to-system interface that can be consumed by external applications to return safety recall

applicability by VIN.

i. Current Results for Toyota Active Recall

In October 2016, Toyota released, with Mitchell 1, a pilot test of Toyota’s Active Recall notification

capability. Mitchell 1 is a leading provider of shop management systems to the automotive aftermarket.

There are approximately 30,000 automotive aftermarket locations using the Mitchell 1 system with

“Toyota Active Recall.” In February 2018, Toyota expanded the Active Recall notification users to

include Revecorp. Revecorp is a California-based engineering and data solutions firm specializing in

vehicle inspection program technologies and vehicle information data systems. Since this program was

launched with these companies, we have seen the following results as of May 31, 2019:

Active Recall

Consumer # of VINs Checked

# of VINs Found with

Open Takata Recalls

# of Found VINs with open Takata Recalls

that were Repaired After Lookup

Occurred*

Mitchell 1 3,635,088 624,969 153,767

Revecorp 538,214 83,254 45,300

*Due to multiple outreach activities occurring simultaneously at that time, it is not possible to conclude that the Toyota Active Recall system directly caused a vehicle owner to complete the recall.

The chart below shows the number of lookups for which the vehicle was repaired after the lookup by

vehicle model year for the entire program as of May 31, 2019. The chart shows that the Active Recall

system continues to support identification of the older model year vehicles involved in the recall, some of

which are no longer visiting Toyota dealerships for routine service.

ii. Future Opportunities Future independent Repair Facility engagement opportunities include the following potential additional

providers:

Provider Services Reach Status

A Service Information System Less than 30K subscribers Onboarding

B Electronic Parts Information System 10% Toyota Dealers/5% Lexus Onboarding

C Service Information System 30K to 50K subscribers Contract in negotiation

D Collision Estimating System 30K to 50K subscribers Contract in negotiation

E Service Information System and Vehicle Marketing Software

30K to 50K of dealer subscribers, millions of consumers

Contract in negotiation

540

5148 49456236 7108

1324610920

2077218997

10887

7985 8478

0

5000

10000

15000

20000

25000

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Vehicles for which Repair Occurred after Lookup - by Model Year

F Electronic Parts Information System 90% Toyota Dealers/95% Lexus Contract in negotiation

G Service Information, Diagnostic and Estimating Systems

50K to 100K subscribers On Hold

H Collision Estimating System 30K to 50K subscribers On Hold

D. Finding and Repairing Vehicles for Sale As detailed in our June 2018 Quarterly Supplement, Toyota has been engaging with a vendor to identify

vehicles for sale online, and we have developed a process with our mobile repair vendor and our dealers

to repair these vehicles. The vendor’s process identifies vehicles for sale on Autotrader, Cars.com,

Edmunds, Ebay Motors, Autobytel, Carmax.com, Carstory, and Craigslist. Vehicles with open Takata

recalls are reported to Toyota, and an automated email message is sent to the sellers, notifying them of the

open recall on the vehicles they are selling. The image below describes how dealers and our mobile

repair vendor are brought into the process to follow up with the sellers to promote vehicle repair.

The web-scraping portion of this process began in September 2018. The process shown above was fully

implemented at the end of October 2018. As of May 29, 2019, we have found 6,203 unique PG1-3 VINs

through this program, and 2,018 of them are now repaired. The graph below shows the number of VINs

found through this program and the rate of completion for these found VINs.

The graph below shows the number of emails sent to sellers notifying them of the open airbag recalls on

the vehicles they are selling. On average, we can communicate with about one third of the sellers by

email based on the available contact information provided in online listings. In addition, this graph shows

the continued downward trend of vehicles active for sale and unrepaired at the end of each month,

indicating that we are making steady progress at reducing the number of affected and unrepaired vehicles

being offered for sale.

We continue to stress the importance of this information to our dealers and encourage them to follow up

on these open vehicles for sale near them. We are hopeful that, with continued focus on these identified

vehicles by dealers and our mobile repair vendor, we can increase the rate of completion month over

month.

E. Addressing Inconvenience

Toyota recognizes that the recall repair can be inconvenient. For some owners, this presents a major

barrier to repair completion. Toyota has taken several steps to minimize the inconvenience barrier,

wherever possible, to maximize completion rates, including offering alternate transportation, pickup and

delivery, and mobile repair where available.

i. Mobile Repair Update

Mobile repair has the potential to improve our ability to repair Takata-affected vehicles in situations

where bringing the vehicle to a dealership is impractical. In addition, mobile repair has the potential to be

integrated with several of our outreach initiatives, from direct owner outreach to initiatives which engage

the private sector. The diagram below describes how mobile repair could potentially integrate into a

variety of outreach channels.

Toyota has developed a mobile repair platform through third-party vendor AER Manufacturing. We

initially launched the program in the Dallas-Fort Worth market in early May 2018. Next, the program

was expanded to the Miami metro area, and the first repair occurred during the first week of June 2018.

Since the initial pilot launched in Miami, the program has been expanded to other dealers in the Miami,

Tampa Bay, and Orlando metros to support canvassing efforts in Florida. The program has also been

expanded to Houston, San Antonio, Austin, and Los Angeles metros. There have been 423 repairs

between all locations as of June 17, 2019.

There have been 120 dealers in California, Florida, and Texas that have signed agreements to participate

in the third-party mobile repair program with AER. However, additional expansion to Jacksonville,

Phoenix, Atlanta, and Oakland with AER has been postponed due to capacity issues in the current

locations AER performs mobile repair for Toyota. AER’s capacity to support Toyota mobile repairs has

become limited as additional OEMs have joined their program.

Toyota has also identified an additional third-party vendor to perform mobile repair known as Martin

Technologies. The operating process for a mobile repair program with Martin Technologies has been

modeled after the current process used with AER. Martin Technologies will allow Toyota to offer mobile

repair in additional areas where AER is currently not available. Toyota has successfully established this

company as a Toyota vendor. Toyota deployed parts to Martin’s Detroit location, and trained their lead

technicians in February 2019. Toyota and Martin are now working to expand their operations to Southern

California in areas AER does not cover. Currently Toyota is awaiting Martin to secure a California

warehouse location for storage of parts before mobile repair can begin.

Toyota is currently working on developing a mobile repair program for our dealers. We plan to announce

a dealer-run mobile repair nationwide in 2019 pending additional reviews of the program within Toyota.

The program will be made available to all dealers when Toyota launches through a website where dealers

will enroll, allowing us to incorporate the program into our outreach efforts on behalf of enrolled dealers.

F. Team Member Engagement

As noted in previous quarterly updates, we have expanded our outreach efforts by implementing a plan to

engage Toyota Team Members. Team Members are being asked to help raise awareness of the Takata

recall among their families and friends.

Toyota has rolled out Team Member awareness activities across our facilities in the U.S. in conjunction

with National Safety Month. The activity is expected to run through the month of June. A summary of

the activity will be provided in the next Quarterly Supplement.

G. Community Engagement

For outreach activities, we are continuing to look at public venues and other large gatherings to raise

awareness and urge repairs of un-remedied vehicles. Information brochures and give-a-ways are passed

out at each event, emphasizing the importance of the Takata recall, how owners can check if they are

affected, and how to have a vehicle repaired. In the first quarter of 2019 we held seven events: in Orlando, St Petersburg, and Deerfield Beach, Florida;

in San Diego and San Bernardino, California; in Dallas, Texas; and in Aquadilla Puerto Rico. Combined,

there were over 250,000 attendees with 25,000 interactions; 30 unremedied Takata recalled vehicles from

multiple OEMs were found. During these events, Toyota engaged with attendees about the importance of

the Takata recall and encouraged them to check their friends’ and family’s vehicles for open airbag recalls

using the Airbag Recall App or Airbagrecall.com.

We have additional large-scale events scheduled for this year and hope to continue to raise awareness

about the Takata recall and spread our message about the importance of this recall to various local

communities through the trusted sources of friends and families of vehicle owners.

Future Events:

i. Toyota Regional Engagement

The Toyota Boston Regional Office maximized their sponsorship/relationship with LiveNation and

incorporated our Takata Airbag Recall safety message into their event activations. In late April, Toyota

staff traveled to Boston to train the two activation teams about the Takata recall, the airbag recall app, and

our event activation message. The activation teams were very enthusiastic about being able to deliver this

message and help save lives. There are 44 activations scheduled this year with 27 at Rockland Trust

Pavillion in Boston, and 17 at Xfinity Center in Mansfield, Massachusetts.

Location Date & Time Event Expected Attendance

DallasSouthfork Ranch 3700 Hogge DrParker, TX 75002

6/22/2019, 11am - 8pm

DFW World Village Festival5,000

DallasLake Carolyn Irving TX Las Calinas Urban Center

6/23/2019, 8:30am - 6pm

Dragon Boat Race50,000

Activation Event Schedule:

Xfinity Center Rockland Trust Pavilion

Date Artist Name Date Artist Name 5/25/2019 Slayer 5/22/2019 Tash Sultana 5/30/2019 Florence & the Machine 5/28/2019 Sammy Hagar 6/19/2019 Adam Sandler 6/5/2019 George Clinon & Parliament Funkadelic 6/21/2019 Dave Matthews Band 6/6/2019 Coheed & Cambria 7/12/2019 Florida Georgia Line 6/7/2019 OAR 7/16/2019 Jennifer Lopez 6/11/2019 Live & Bush 7/17/2019 Heart 6/14/2019 Billie Eilish 8/1/2019 Iron Maiden 6/19/2019 The Revivalists 8/2/2019 Thomas Rhett 6/21/2019 Young The Giant / Fitz & The Tantrums 8/3/2019 Hootie & The Blowfish 6/24/2019 The Lonely Island 8/4/2019 Queen & Adam Lambert 6/28/2019 Slightly Stoopid 8/9/2019 KoRn & Alice in Chains 7/2/2019 Jackson Browne

8/10/2019 Jimmy Buffett 7/8/2019 Third Eye Blind / Jimmy Eat World 8/17/2019 Train / Goo Goo Dolls 7/9/2019 Pete Frampton 8/20/2019 Santana 7/18/2019 Rob Thomas 8/27/2019 Slipknot 7/19/2019 moe. & Blues Traveler 9/20/2019 Jason Aldean 7/21/2019 "Weird Al" Yankovic 7/23/2019 Elvis Costello / Blondie 7/25/2019 Steve Miller Band 8/1/2019 Rebelution 8/3/2019 Ben Folds & Violent Femmes 8/6/2019 Jon Bellion 8/13/2019 John Fogerty 8/23/2019 Mark Knopfler 9/12/2019 Kacey Musgraves 9/20/2019 Shakey Graves & Dr. Dog 9/21/2019 Andrew Bird

Other Toyota regional offices are now learning from the leadership of Boston and reaching out to their

local sponsorship partners and taking advantage of the activation feature of their partnership. The

Chicago Regional office has upcoming events at:

The Denver Region has upcoming events at:

ii. Team Member Inspired Community Events

As part of our Team Member engagement activity, we have been encouraging our Team Members to

reach out to their friends, family, and community to increase awareness about the Takata Airbag Recall.

Recently, several Team Members have conducted activities within the community to share the Takata

Location Date & Time Event Expected Attendance

Denver 6/29 - 6/30, 2019

Alianza de Futbol Tournament 20,000

Airbag recall message and encourage owners to check their vehicles and, if necessary, have their vehicles

repaired.

Our Portland Region Field Office Team hosted an event at the Shamrock Run in Portland, Oregon on

March 17, 2019. They interacted with over 2,000 guests and were able to generate more than 100 Airbag

Recall App downloads.

A team member from our Quality Division hosted a booth at the Cricket for a Cause event held by the

Lily Foundation of America on May 11, 2019. There were 150-200 guest interactions at this event.

iii. Dealership Toolkits We are currently in the process of printing the assets for a dealership toolkit for all Toyota and Lexus

dealerships. These toolkits will assist the dealer in promoting our safety message and encouraging

everyone to “Check You Bags”. Each toolkit will contain window clings, posters, mirror hangers,

handouts, and accordion cards with tear-off, leave-behind notices for vehicles with an affected Takata

airbag inflator. Here is an example of this creative:

We plan to encourage dealers to order this material and use it to continue to spread awareness about the

recall in their communities.

H. Check to Protect

Toyota continues its partnership with Check To Protect, the vehicle recall awareness campaign led by the

National Safety Council (NSC). The philosophy behind Check To Protect is simple: they want drivers to

check their vehicle’s recall status in order to protect the loved ones who ride with them. The campaign

aims to motivate the public to check for open recalls, to educate them on the risk of ignoring those recalls,

and to overcome barriers to reducing the proportion of open recalls.

Check To Protect aligns well with the direction of Toyota’s initiatives, as we strive to inform, educate,

and engage the public about the importance of repairing vehicles with open safety recalls. The coalition

has recently grown, with Volvo and Nissan joining the campaign. Current activities and several 2019

events are noted below.

2019 Completed Events:

Activity Dates Results

Auto Club 400

NASCAR

Activation

March 17, 2019 • Drew approximately 2,000-2,500 fans to our booth, handing

out VIN reminder cards and Check To Protect palm cards

with information in English and Spanish

• Scanned 1,500 vehicles in the parking lot and found 52 open

Takata airbag recalls of various makes and models

Lifesavers

Conference

March 31-April 2,

2019 • Check To Protect booth in Exhibit Hall, adjacent to National

Safety Council Booth

• Participation in panel on Deadly Risk of Unchecked Recalls

• Heidi King, Acting NHTSA Administrator, visited booth

and included recall awareness in her keynote remarks

• Connected with GHSA and IACP about 2019 partnership

with Check To Protect

• Spoke with safety community, state representatives and law

enforcement about ways they can support recall repair.

Camp Pendleton May 21-22, 2019 • Delivered two 15-minute presentations to a combined

audience of more than 1,800 military members as part of

Camp Pendleton’s annual Safety Stand-Down event

• Canvassed certain parking lots to scan 690 vehicles of

various makes and models and identified 147 safety recalls

(30 Takata airbags, 117 non-airbags)

There are additional events planned in 2019 including:

• July 6, 2019 – Daytona NASCAR Activation

• August 26-28, 2019 – Governor’s Highway Safety Administration Meeting

The Check to Protect team is also considering several other events which are currently under review,

including potential activations at Military Family Days, and partnerships with USAA Insurance and the

National Auto Auction Association.

State government offices have also been eager to incorporate Check To Protect into outreach to their

constituents. The Wyoming Department of Motor Vehicles invited Check To Protect to present at their

Workplace Service Summit, and County Clerk’s offices and Motor Vehicle Services offices will display

Check To Protect materials. The Florida Department of Highway Safety and Motor Vehicles is sharing

Check To Protect assets through their social media channels to promote recall awareness, and Check To

Protect materials are being shared through FLOW (Florida Licensing on Wheels) Mobile Units.

Through partnership with Check To Protect, local law enforcement partners are helping to raise

awareness in their communities, and some have taken the extra step of incorporating safety recall checks

into their routine traffic stops. The Governors Highway Safety Association also hosted a webinar with

their members about Check To Protect on May 15th. IACP Highway Safety Committee also hosted Check

To Protect at their meeting on June 4th to discuss law enforcement’s role and how they can help raise

awareness about airbag recalls.

I. SMU Student Challenge Toyota had a unique opportunity to partner with a Crisis Management class from Southern Methodist

University (SMU) in Dallas, Texas during their Spring 2019 semester. It was an eight-week challenge

with ten undergraduates divided into three competing groups. Students were challenged to develop a

cohesive 360-degree outreach plan that could raise Takata campaign awareness and boost remedy repair

urgency amongst key demographics in the Dallas / Ft. Worth area.

Their plans were to include the following key considerations/areas:

• Media - Earned, paid strategic placements, endorsements or sponsorships

• Social media - Carma Project must be tied into the overall plan

• Strategic Partnerships - Strengthen existing partners, develop new partnerships and look for

360-degree stakeholder engagement (government, nonprofits, small businesses,

community/religious organizations, interest groups, etc.)

The students came with their program professor to Toyota Motor North America headquarters to present

their plans to a panel of judges consisting of Toyota executives, including Toyota Vice Presidents and the

Director of Communications. Numerous ideas and actionable items were presented, including radio

advertising, social media influencers, 5K races, independent repair shop partnerships, and many other

unique and creative ideas. Toyota is currently evaluating, prioritizing, and formulating an implementation

plan for many of the ideas presented.

Each participant on the winning team won a $1,000 gift card, and the members of the other two teams

each received $500 gift cards for their serious dedication, hard work, and creative ideas.

J. Video License Plate Recognition (VLPR) Technology Software Project The VLPR technology software/hardware project is focused on building the technology necessary for

capturing groups of license plates via VLPR, translating those license plates to VINs, and subsequently

looking up open recalls in real-time. Customized hardware and software have been developed to combine

all elements of this technology into a user-friendly, seamless, and real-time-response package that can be

used in a variety of settings. Privacy considerations are also being incorporated to support the safety

intent of the technology. As the project continues to develop, two concepts are currently being pursued to

leverage this technology: Scan and Tag Concept and Check and Know Concept. Details about these two

concepts have been discussed in previous Quarterly Supplements.

Toyota is using a vendor that specializes in event planning to support the locations and events where the

VLPR technology may be effectively used. The vendor will work with each venue to explain the program

and receive permission to deploy the technology. The same vendor would also conduct the event and

provide all results to Toyota.

As Toyota continues to develop this technology and work with its partners to design use cases for it,

Toyota will consider the vehicle owner’s privacy and takes these considerations seriously. We continue

to evaluate these concerns while concurrently developing and piloting the technology.

Toyota has conducted two pilot events to date and expects to conduct an additional three pilot events to

refine the technology and implementation strategies. Once all pilot events have been completed, Toyota

and its partners intend to develop a plan to deploy the technology more broadly at events/venues.

For all pilot events, the owner of each vehicle that is identified with an unrepaired Takata recall is notified

by leaving an information card under the windshield wiper, a magnet near the driver’s door handle, or

through an in-person conversation if the vehicle owner is encountered during the scanning activity (see

below for images of the leave-behind material). Using multiple versions of the leave-behind material will

allow Toyota to test the effectiveness of the different materials and messaging. As the pilot events are

completed, the effectiveness of each leave-behind material will be evaluated.

Events and results as of May 2019

Toyota Motor Manufacturing Texas – San Antonio, TX – February 2019

Number of vehicles scanned ~1,700

Number of Toyota/Lexus/Scion vehicles scanned* ~730

Number of Toyota/Lexus/Scion vehicles with unrepaired Takata recall 26

Goodguys Car Show – Del Mar, CA – April 2019

Number of vehicles scanned ~2,300

Number of Toyota/Lexus/Scion vehicles scanned* ~520

Number of Toyota/Lexus/Scion vehicles with unrepaired Takata recall 17

*The technology can only identify Toyota/Lexus/Scion recalls in real-time at this time.

Below are examples of the signage that is posted in the area where scanning is conducted.

Vehicle with VLPR technology installed

Leave behind material (Magnetic version shown, content is the same on paper version)

K. CarmaGo

As Toyota and its VLPR development partner continue to develop and refine the technology, additional

use cases are being identified. One such example is being called CarmaGo. CarmaGo will leverage the

same technology described above but will be implemented using a different strategy. Under the CarmaGo

strategy, the partner that has developed the VLPR technology will also be conducting the scanning and

tagging of vehicles. That same partner will also work to gain permission to conduct the scanning and

tagging in the chosen locations, focusing on locations where large numbers of vehicles congregate, such

as mall parking lots. Different versions of leave-behind materials will be tested during the pilot, including

leave-behinds that provide a financial incentive to the vehicle owner to have the recall completed. As we

test this strategy, we will be monitoring the effectiveness to determine if it would be beneficial deploy this

strategy more broadly.

Toyota is finalizing plans to conduct a CarmaGo pilot in Orange County, California. Results of this pilot

will be provided in future Quarterly Supplements.

L. Salvage Inflator Recovery

As we discussed in the Recall Engagement Plan, the recovery of inflators from salvage/scrap vehicles has

several benefits. It prevents recalled inflators from re-entering commerce and provides the additional

benefit of confirming scrap status (thus, offsetting these vehicles from the recall population requiring

remedy). Toyota launched a salvage inflator recovery program with RAS (Rebuilder’s Automotive

Supply) on July 13, 2017. As of June 6, 2019, RAS has recovered 23,620 Takata inflators from Toyota

vehicles and has located an additional 13,719 inflators to be recovered. (Note: While 23,620 salvage

inflators have been recovered, some of these were from vehicles accounted for in the SSE population

reported in Section II.)

Toyota and RAS have found that, for some of the identified VINs, recovery of the inflator is not possible,

because the airbags have deployed. Toyota is developing a process with RAS to identify deployed

airbags in salvage yards, collect photo documentation of the condition of the vehicle, and account for

these vehicles as scrapped. We are currently developing necessary contracts for this new process and will

provide updates on this in future Quarterly Supplements.

VIII. Additional Activities In addition to the efforts outlined above, Toyota is evaluating and considering other measures to

maximize remedy completion (including making adjustments/additions to existing outreach and working

to further refine the owner outreach data). This section updates the June 2018 Quarterly Supplement in

this regard.

A. Customer Survey to Determine the Most Effective Forms of Communication Toyota continues to conduct customer surveys that ask the following three questions (each question had a

list of items for the respondent to further select to help ensure clarity):

1. What made you take your vehicle to the dealership for the Takata airbag recall repair?

2. To better understand your preference for Toyota to send follow-up communications for future

recalls, what methods do you feel would be most effective?

3. What barriers, if any, prevented you from scheduling your repair for the Takata airbag inflator

recall sooner?

Our latest feedback from May 2019 surveys show the following results.

Survey Results (based on 2,492 customers who responded to the survey):

1. What made you take your vehicle to the dealership for the Takata airbag recall repair?

• A significant portion of respondents (82.64%) still indicate that “Mail from Toyota” was

the primary driver to prompt their action, with the second largest percentage (11.29%)

attributed to email from Toyota.

2. To better understand your preference for Toyota to send follow-up communications for future

recalls, what methods do you feel would be most effective?

• Similar to what prompted owners to take action, mail and email from Toyota are the most

desired methods of communication. Phone calls from dealerships and Toyota ranked

higher than the other prompts.

3. What barriers, if any, prevented you from scheduling your repair for the Takata airbag inflator

recall sooner?

• In this survey period, 34.28% of customers said the barrier to scheduling the recall was

that they did not have time to bring vehicle to dealership, and 17% did not have

knowledge of recall.

Toyota continues to work diligently to remove barriers that prevent owners from taking action. In

reviewing the narrative comments relating to barriers, we found several barrier comments related

to health and medical issues, waiting to repair the vehicle at the same time as performing

maintenance, procrastination, and dealership parts availability and scheduling issues.

2.83

3.04

12.75

17.32

51.60

74.71

0.00 10.00 20.00 30.00 40.00 50.00 60.00 70.00 80.00

Other

Social media

Phone call from Toyota

Phone call from dealership

Email from Toyota

Mail from Toyota

Follow-up Methods n =2,494

1.58

2.99

6.84

12.22

16.79

17.04

20.07

34.28

0.00 10.00 20.00 30.00 40.00

No dealership nearby

Dealership did not have loaner vehicle…

Could not give up my vehicle

Other

Dealership did not have parts

Did not have knowledge of recall

None of the above

Did not have time to bring vehicle to…

Barriers to Scheduling Recall n=2,494

B. Repairing Vehicles at Auction Toyota currently has a contract in development to pilot mobile repairs at certain Manheim Auto Auction

locations. The proposed process would have Manheim locations check incoming vehicles for open

Takata recalls, and for those vehicles which are not yet repaired, coordinate with the seller to have the

vehicle repaired prior to the auction. The repairs would be completed by Toyota’s approved mobile

repair vendor, AER. For those vehicles that cannot be repaired prior to the auction, a request would be

made to the buyer to remedy the vehicle before delivery. The pilot covers PG1-3 vehicles in the locations

shown in the table below, which also has Manheim’s counts of PG1-3 vehicles found in the past year at

these locations.

Location PG1-3 in past year

Dallas 114

Texas Hobby 80

San Antonio 53

Dallas-Fort Worth 76

Georgia 17

Houston 63

Central Florida 130

Total 533

We continue to work through contractual development with Manheim and their parent company, Cox

Automotive, to support this activity.

C. Engagement with State DMVs

Toyota has been partnering with other OEMs and the Takata Monitor in engaging State DMVs to support

the Takata recall outreach effort. The industry is providing DMVs with print and digital assets to educate

their owners about the Takata recall and its severity. Some states have displayed this messaging in their

offices and on their websites. In addition, some DMVs are partnering with OEMs to send letters to

registered owners in their states on DMV letterhead to create a new and unique look to the Takata recall

messaging. Providing messaging about the importance of the Takata recall through the DMV may impart

a renewed sense of urgency for some owners.

i. DMV Branded Letters

Toyota has partnered with several DMVs to date for a DMV-branded Takata recall letter which was sent

to the registered owners with open Takata recalls in their states. The three states that have been

previously reported are Louisiana, New York, and Michigan. Since the previous Quarterly Supplement,

Mississippi and New York (second mailing) have been issued.

Based on results of the DMV letters from these states, Toyota will continue to support the DMV

Engagement working group and engage with state DMVs wherever possible. The most recent states to

agree to participate are Alabama, Florida, Kentucky, Nebraska and Wisconsin. As part of the DMV

Working Group, we continue to make progress with California, Texas, and other states. In addition, we

are encouraging the SSA team to identify additional opportunities for state DMV engagement.

ii. Engagement with Puerto Rico DTOP and DACO

In our past Supplements, we described how Toyota’s office in Puerto Rico began a partnership with the

Puerto Rico Department of Transportation and Public Works (DTOP) and the Department of Consumer

Affairs (DACO) centered around Takata recall awareness. This included working with the agencies to

promote and host repair events on the islands of Vieques and developing a repair event on the island of

Culebra. Toyota also indicated that DACO had agreed to support a letter campaign utilizing its logos and

obtained approval from DACO to proceed with the letter campaign in March 2019. These conversations

also included the support of other OEMs that indicated they were interested in participating. In late May

2019, the Attorney General for Puerto Rico sent a letter to Toyota demanding that all engagement with

Puerto Rican governmental agencies be undertaken through government attorneys. Toyota has sought

clarification of this and has asked the Attorney General to work with Toyota to continue the mutual

outreach effort with relevant agencies so that recall repair momentum can be sustained and enhanced.

iii. Toyota Efforts to Engage Texas DMV

Toyota championed efforts with the Texas state legislature and the Texas DMV to develop safety

inspection legislation. This proposed legislation, H.B. 1692 and corresponding SB 711, provides that “the

department may adopt rules providing for the inclusion on a vehicle inspection report for a vehicle

inspected under this chapter notification regarding whether the vehicle is subject to a safety recall for

which the vehicle has not been repaired or the repairs are incomplete.” We are pleased to report that SB

711 passed Texas legislature and has been signed by Governor Abbott. Toyota will be fully supporting

this new law as it is implemented by state government agencies.

Toyota also hopes to engage the Texas DMV in a letter writing campaign like those of other states and

will continue to work with our OEM partners. Discussions with the Texas DMV are anticipated later this

year.

D. Efforts to Increase Completions in Puerto Rico

We are currently working on several initiatives specific to the Puerto Rico market. The primary one is a

paid media activity designed to increase awareness about the Takata airbag recall among affected vehicle

owners in Puerto Rico. Finding affected vehicle owners in Puerto Rico continues to be a challenge, and

we hope that paid media can help notify owners who may not be receiving other outreach

communications. Our plan is to maximize reach to the target audience using the most cost-efficient and

broadest reaching media channels, such as radio, outdoor visual display, and digital display. In addition,

we are investigating mass media communication channels that have a good chance of reaching some

vehicle owners, such as gas station TV monitor advertising. Creative development for the paid media

plan is already underway, and our marketing partners are developing a plan to launch later this summer.

In addition, we are customizing some of our dealer engagement initiatives for our Puerto Rican dealers.

The Dealer Event Playbook is being customized for dealerships, and we plan to roll this out in July 2019.

Further, we are developing the process of assigning open recall VINs to dealers. Service data is being

gathered so that appropriate assignment can be made, and later this year we will begin providing assigned

VIN and owner information, including phone, email, and mailing address, so that dealers can reach out to

affected vehicle owners. We will also begin tracking completion rates for each Puerto Rican dealer, so

we can assess the effectiveness of individual dealer strategies and performance in completing recall

repairs.

IX. Monitor Recommendations As indicated in the detailed discussion above and the previous Quarterly Supplements, the various actions

undertaken by Toyota are consistent with the Monitor’s recommendations. We will continue to

coordinate with the Monitor as we review our completion progress. The table below summarizes our

engagement with the Monitor recommendations to date and the attached Excel spreadsheet provides

additional information.

Group Total

Recommendations Implemented Planned Activity

Consumer Outreach and

Communication 9 9 0

Dealer Relations 20 18 2

Private Sector Engagement 5 5 0

Salvage Parts Recovery 1 1 0

X. Summary of Outreach Challenges

In our prior Quarterly Supplements Toyota has explained challenges it has observed in finding and

motivating some owners to participate in and complete the Takata recall remedy. These challenges

remain relevant, and we summarize them here with updated information, as appropriate.

• Vehicle age is highly correlated with completion rates. Due to the age of vehicles involved in the

Takata recall, we are seeing lower completion rates than other recalls of newer vehicles. As

vehicles age, they tend to change hands more often, and the subsequent owners are less interested

or less likely to visit one of our dealers.

• Remaining Populations Contain Increasing Proportions of Owners Not Responding to Outreach.

As completion rates increase, the remaining population becomes more concentrated with owners

who have not responded to past outreach. Thus, as completion rates grow, repairing the

remaining vehicles becomes increasingly difficult. As of June 1, 2019, our outreach partner’s call

center has been contacted by 22,440 currently registered owners who have taken the additional

step to inform Toyota that they either do not want to have the recall remedy performed or do not

want to receive further communications about the recall. As these are individuals who took time

out of their day to tell us they were not interested, we suspect there are many additional owners

who similarly do not intend to participate in the recall and simply ignore our outreach efforts. For

example, in the PG 1-3 population alone, based on our certified mailing process as described

earlier, there are over 350,000 owners known to be receiving our communications in multiple and

escalating outreach efforts, but who continue to ignore these communications.

• Lacking Up-to-date Vehicle Owner Data Continues to be a Challenge. Through our certified mail

activities described in an earlier section, we believe that a substantial portion (around 45%) of the

vehicle owner information for the remaining owners in PG1-3 could be incorrect.

To meet some of challenges of motivating these owners, Toyota has worked with NHTSA and the Takata

Monitor team to find ways to persuade these owners to participate in the recall. In doing so, Toyota has

pioneered a variety of new ways of reaching owners and informing them of the free remedy available to

address the safety risks stemming from this defect. As our outreach program developed, we have moved

beyond simply calling, emailing, and sending mailers to the affected owners. As described above and in

the previous Quarterly Supplements, many of our new outreach efforts are designed specifically to help

reach owners in new ways to (1) help convince those who ignored previous outreach attempts, (2) reach

owners of older vehicles, and (3) reach owners for whom Toyota does not have up-to-date information.

To summarize a few of these activities mentioned above, we are undertaking locally-targeted PSAs and

community and Repair-A-Thon events, using social media to specifically target potential owners that

have yet to respond to prior outreach, offering more convenient dealer services (e.g., alternative

transportation), engaging with dealers to increase their own outreach efforts, targeting owners who do not

frequent dealers by developing the “Toyota Active Recall” system for independent repair facilities to

identify unrepaired VINs, and piloting canvassing and other in-person activities (e.g., mobile repair).

These efforts are aimed at further motivating owner participation in this recall and are designed to work

together to help address the challenges described above.

Further, in the interests of having the best available owner data to support our outreach efforts, we are

continually looking for new sources to validate and expand vehicle owner data. Our outreach partners

have been looking to identify new companies to partner with that have access to vehicle owner data that

are beyond the traditional sources (see Section VI, above). In addition, as part of the SSA outreach

program, Toyota has gained additional access to demographic information about the remaining population

of owners which can be used to further enhance our targeted outreach activities and customize our

messaging to the remaining owners. We are also seeking ways to target and communicate with affected

vehicle owners through nontraditional outreach methods that may be accomplished with different or less

vehicle owner data (e.g., hypertargeting through social media, providing recall information through

independent repair facilities, reaching owners through locally-targeted PSAs and community events, and

identifying social media influencers that can raise awareness with hard to reach vehicle populations).

Where possible, Toyota has also conducted research in hopes of identifying which outreach efforts are

more effective. Toyota undertook a demographics analysis of the top states, cities, and zip codes with

unrepaired vehicles. In addition, Toyota also conducted surveys of owners who had their vehicles

repaired. As discussed above and in the June 2018 Quarterly Supplement, the results of these studies

indicate that owners who have not presented their vehicles for remedy are widely dispersed among a

variety of different regions and primarily speak either English or Spanish. Further, those that have had

their vehicles repaired seemed to respond best to mailed materials (in which we have emphasized

providing information in both English and Spanish). These data are an indication that the existing

comprehensive strategy Toyota employs is contributing to higher completion rates than recalls involving

similar vehicle populations.

Ultimately, the available information indicates that there is no single or simple solution that will ensure

that all owners present their vehicles for remedy. The data also indicate that, despite best efforts, all

outreach methods will suffer from diminishing effectiveness over time. As recalls continue to mature, the

remaining owners who have not presented their vehicles for remedy will increasingly be those for whom

we do not have accurate contact information or who have chosen not to respond to previous outreach

attempts. In general, we may not be able to find these owners; when found, they may be less likely to be

responsive to further outreach attempts despite efforts on the part of Toyota, other affected vehicle

manufacturers, NHTSA, and the Takata Monitor to convey the seriousness of this recall. However,

Toyota will continue to work with NHTSA through the coordinated remedy program to identify ways to

achieve the highest levels of completion possible for this recall. Toyota will continue to make these

efforts beyond the legal requirements to work towards maximizing this recall’s completion rates.

XI. Efforts to Address PG1-3 Based on learnings since 2014 in conducting enhanced outreach to owners on the Takata recall, Toyota

has developed a comprehensive strategy for addressing the remaining unrepaired population of Priority

Groups 1-3 under Stage 5 of the Outreach Strategic Plan discussed in the sections above and in the June

2018 Quarterly Supplement. Further, our strategy is based on the latest data that we have for the

remaining population. These data show that, for a significant portion of the remaining vehicle owners in

PG1-3, Toyota likely has accurate owner information and additional outreach methods are needed to

encourage those owners to present their vehicle for the recall remedy. However, for another significant

portion of the remaining vehicle population, Toyota needs additional data to find accurate contact

information to communicate with these owners.

Based on data available as of June 10, 2019, Toyota provides the following accounting summary for

Priority Groups 1-3:

In the chart above, “Salvage” means inflators that have been recovered from salvage yards and for which

we do not already account for the vehicle from which it came in our SSE counts. “Opt Out” tabulates the

unique VINs for which the owner has requested not to be contacted any further through one or more

communication channels about this recall. “Refused Service” tabulates the unique VINs for which

owners have affirmatively stated that they are not interested in having the free recall remedy performed.

Group A, representing about 70% of the remaining population of vehicles, are owners for which we

believe available contact information is good, and the owner is receiving communications sent by Toyota

regarding the Takata recall.

Group B, representing about 23% of the remaining population of vehicles, are owners for whom the

available contact information appears to be a valid address, but Toyota is unsure if the owner is receiving

our communications. This could be a result of ownership changes or inaccurate contact information

available from the state DMVs.

Group C, representing about 7% of the remaining population of vehicles, are owners for whom the

available contact information is likely not accurate, and the owner is not likely receiving Toyota’s

communications.

It should be noted that the owners within group A, for whom we believe are receiving our

communications, have likely received nearly 50 contact attempts through phone, email, and direct mail.

In addition, Toyota has refreshed our owner contact data four times in the last two years and has recently

increased our data refresh frequency to a monthly update. Further, we have developed a comprehensive

data hygiene process in an attempt to locate the owners in group B and C. Nevertheless, we are

committed to continuing to address all three of these groups with the strategies we are employing, as well

as continuing to research new ways to locate and motivate these owners to have their vehicles repaired.

Thus, based on this analysis and our experience thus far in conducting Takata recall outreach, we have

designed an outreach plan, specifically for PG1-3, that emphasizes the elements below. For those owners

in group A for whom we believe available contact information is strong, the plan includes:

• Continuing to increase the convenience and trust between non-responding owners and Toyota and

its authorized dealers by continuing to communicate the availability of alternate transportation,

expanding mobile repair, developing Repair-a-thon and community activities, and providing

resources to dealers so that they can reach out directly to affected owners.

• Continuing to stress the urgency of this safety recall by increasing the urgency of messaging and

intensity of outreach activities for owners who are continuing to not respond to outreach. The

plan is to do this through continued clear and urgent messaging in OEM-branded materials and

further increasing the urgency with heightened messaging and imagery as owners continue to be

unresponsive. We also plan to further employ aggressive specialized outreach tactics for certain

vehicle populations, such as certified mail, social influencers, and door-to-door canvassing.

• Incorporating more communication to non-responding owners through a variety of

communication channels and from as many voices as possible. These different voices could

include Toyota, our authorized dealers, the SSA, the Monitor, NHTSA, community leaders, news

media, and the owner’s own friends and family.

For those owners in groups B and C for which available contact information may not be accurate, our

plans include:

• Identifying better contact information for these owners by identifying additional third-party data

sources, evaluating their data, and incorporating them where appropriate into our outreach efforts.

• Locating difficult-to-find vehicles by engaging with wholesale auctions, the automotive

aftermarket, and independent used car dealers whose customers include vehicles of harder to

reach populations (e.g., older vehicles).

• Increasing awareness of the urgency of this recall with all owners through community events,

public service announcements, and other mass marketing (not targeted) outreach techniques that

do not require specific owner information.

• Continuing to plan pilots to support new innovative ways of reaching out to owners for whom we

do not have good contact information, such as through the social influencer project or through

community canvassing activities using license plate lookup technology.

We believe that, through these efforts, we can continue to make progress toward maximizing recall

completions in this urgent safety recall. Our plan contemplates constant revision and, as always, we seek

to collaborate with NHTSA, the Takata Monitor, and other OEMs towards this shared goal. We continue

to seek new ways to effectively locate and reach unknown owners and to enhance methods to encourage

known owners to complete repairs for their vehicles. As we have since the program’s inception in 2014,

we continue seek to ways improve this outreach program as a part of our commitment to customer safety.

XII. Attachments

A. Excel spreadsheet with additional information on our efforts to implement the Monitor

Recommendations.

B. Summary of Earned Media generated through the Carma Project.

Monitor Recommendations

Note: If additional recommendations have been individually received by an OEM they should be added to this listing.

Monitor Recommendation

Status (I = Implemented; P =

Piloted; PA = Planned Activity;

FC= Future Consideration; NI =

Not Implemented Date Implemented

Planned Implementation Date if Not Implemented Notes

Consumer Outreach and CommunicationSocial Media I Aug-16

Leverage Customers' Networks I Nov-18

Launched social infleuncer program Carma Project aimed at leveraging owner social networks

Streaming Media I Apr-18 Streaming media added to website

Phone Calls and SMS Messaging I Dec-14

SMS messaging does not have further planned activities, pending the resolution of the HIS Polk petition to the FCC.

Contact Consumers Who Search Their VIN I Jun-18 "Request a Call" implemented

Ease of Website Use I Dec-14License plate lookup feature added (Feb. 2018)

Outreach Strategy Tracking and Measurability I Aug-18

Ad hoc and ongoing surveys initiated to measure owner response to outreach.

Use of Multiple Relevant Languages I 2014

Marketing Partnerships I Mar-18

Established a marketing partnership to developed additional outreach assets, promote Takata recall awareness, and engage owners at community gatherings and events.

Dealer Relations

Dealer Incentives I Feb-19Launched dealer event incentive model to all dealers nationwide

Policies or Compensation for Used Car Operations PA CY2019Dealer Rental Policy I Dec-14

Page 1 of 4

Monitor Recommendations

Note: If additional recommendations have been individually received by an OEM they should be added to this listing.

Monitor Recommendation

Status (I = Implemented; P =

Piloted; PA = Planned Activity;

FC= Future Consideration; NI =

Not Implemented Date Implemented

Planned Implementation Date if Not Implemented Notes

Priority Service I Feb-19

Launched a repair event strategy for all dealers natiowide. Many dealers also already offer weekend and late weekday hours.

Ensure Dealer Recognition and Accountability I Mar-18Provide Dealers with Customer Data. I Nov-17Leverage Dealers to Collect Additional Customer Data

I Apr-18

Created process for dealers to identify when provided customer information is inaccurate.

Provide Dealers with Messaging I Nov-17Expand Dealer Reimbursement Policies

I May-18

Toyota is offering reimbursement for a variety of services to address customer inconvenience such as towing, loaner vehicles, pickup and delivery, and mobile repair.

Engage with Wholesale AuctionsPA CY 2019

Contract with Manheim under development

Evaluate Technician Training Requirements I 2016Host Dealer Best Practices Roundtables I Dec-17Create a Plan for Recall Completion that Includes Dealers I Nov-17Utilize Dealers to Understand Local Markets I Nov-17Provide Dealers with Tools They Can Use to Engage Owners I Nov-17

Page 2 of 4

Monitor Recommendations

Note: If additional recommendations have been individually received by an OEM they should be added to this listing.

Monitor Recommendation

Status (I = Implemented; P =

Piloted; PA = Planned Activity;

FC= Future Consideration; NI =

Not Implemented Date Implemented

Planned Implementation Date if Not Implemented Notes

Encourage Dealers to Form Relationships with Local Mechanics, Oil Change Shops, Tire Stores, DMVs, and Safety Offices

I Feb-19

Issued publications to dealers and IRFs about the recall and encouraging them to download airbag recall app to check vehicles during parts sales transactions. Toyota is engaging DMV's directly through working group activities.

Use dealer representatives to educate these businesses about the Takata recall

I Feb-18

Awareness materials made available to all dealers to share with other businesses and community organizations they interact with.

Encourage Dealers to Form Relationships with Used Car Dealers, Buy-Here-Pay-Here Lots, Auctions, and Salvage Yards

I Jul-18

Providing dealers information about vehicles for sale around them and encouraging them to develop partnerships with other local dealers to repair affected vehicles before sale.

Monitor Dealers, Conduct Surveys, and Establish a Dealer Feedback Mechanism I Dec-17Offer Mobile Repair Service I May-18Private Sector EngagementVendor Communication I Sep-17

National and Local Used Car Companies I Sep-18

Identifying vehicles for sale online and providing dealers with pickup and delivery reimbursement to eliminate repair barriers for used car dealers.

Page 3 of 4

Monitor Recommendations

Note: If additional recommendations have been individually received by an OEM they should be added to this listing.

Monitor Recommendation

Status (I = Implemented; P =

Piloted; PA = Planned Activity;

FC= Future Consideration; NI =

Not Implemented Date Implemented

Planned Implementation Date if Not Implemented Notes

Fleet, Business, and Government Owners I Sep-18

Launched a comprehensive business, fleet, and government owned vehicle outreach program through the SSA program

Independent Repair Facilities I Oct-16

Additional Targeting of Used Vehicle Sales I Sep-18

Partnered with a vendor to target online sales of Takata affected vehicles.

Salvage Parts RecoveryEmploy Vendors to Retrieve Parts I Jul-17

Page 4 of 4

NATIONAL COVERAGE

Bloomberg News (December 19, 2018) “Toyota Puts Up Cash To Coax+ Drivers Into Fixing Takata Airbags” file:///C:/Users/jeffp/Desktop/Bloomberg.pdf Car and Driver (December 19, 2018) “Help Toyota Owners Fix Their Deadly Takata Airbag, Get A Gift Card” https://www.caranddriver.com/news/a25628438/toyota-recall-app-takata-airbags/ CNET RoadShow (December 19, 2018) “Carma Project Is Using Gift Cards To Speed Up The Takata Airbag Recall” https://www.cnet.com/roadshow/news/carma-project-toyota-takata-airbag-recall/ Consumer Reports (December 20, 2018) “Toyota Tries Crowdsourcing To Boost Takata Airbag Recall” https://www.consumerreports.org/car-recalls-defects/toyota-tries-crowdsourcing-to-boost-takata-airbag-recall-work Edmunds (December 20, 2018) “Can An Incentive Plan Speed Up Takata airbag Recall Repairs?” https://www.edmunds.com/car-news/tips-advice/can-an-incentive-plan-speed-up-takata-airbag-recall-repairs.html Jalopnik (December 20, 2018) “There’s Now A Game-Style App With Incentives For Warning Others About Deadly Takata Airbags” https://jalopnik.com/theres-now-an-game-style-app-with-incentives-for-warnin-1831235268 MSN Autos (December 19, 2018) “Toyota Uses Word-Of-Mouth To Speed Up Airbag Recall” https://www.msn.com/en-ca/autos/news/toyota-uses-word-of-mouth-to-speed-up-airbag-recall/ar-BBRcDpA?li=AA8hc8 The Drive (December 20, 2018) “Toyota Rolls Out “Carma Project” To Encourage Takata Airbag Recall Repairs http://www.thedrive.com/news/25587/toyota-rolls-out-carma-project-app-to-encourage-takata-airbag-recall-repairs Ward’s Auto (December 19, 2018) “Toyota, Tech Platform Incentivize Takata Repairs” https://www.wardsauto.com/industry/toyota-tech-platform-incentivize-takata-repairs Yahoo! Entertainment (December 20, 2018) “There’s Now A Game-Style App With Incentives For Warning Others About Deadly Takata Airbags” https://www.yahoo.com/entertainment/theres-now-game-style-app-211300443.html

Yahoo! Entertainment (December 20), 2018 “Toyota Tries Crowdsourcing To Boost Takata Airbag Recall” https://news.yahoo.com/toyota-tries-crowdsourcing-speed-takata-airbag-recall-141115536.html Yahoo! News (December 19, 2018) “Help Toyota Owners Fix Their Deadly Takata Airbag, Get A Gift Card” https://news.yahoo.com/help-toyota-owners-fix-deadly-170100774.html;_ylt=Awr9DuHDsBpc4O0AmeBXNyoA;_ylu=X3oDMTByMXM3OWtoBGNvbG8DZ3ExBHBvcwM4BHZ0aWQDBHNlYwNzcg-- Forbes (April 30, 2019) “Toyota Offers A Bounty, For Referrals To Get Recalled Takata Airbags Replaced” https://www.forbes.com/sites/jimhenry/2019/04/30/toyota-offers-a-bounty-for-referrals-to-get-recalled-takata-airbags-replaced/#6be3e051293d BestRide.com (April 1, 2019) “Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” http://bestride.com/news/safety-and-recalls/got-a-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Digital Trends En Espanol (March 27, 2019) “Con estos premios incentivan el retiro de autos con falla en airbag” https://es.digitaltrends.com/autos/toyota-carma-project-recall-takata/ Yahoo! Finanzas (March 27, 2019) “Con estos premios incentivan el retiro de autos con falla en airbag” https://es-us.finanzas.yahoo.com/noticias/premios-incentivan-retiro-autos-falla-211359833.html Digital Trends (March 25, 2019) “Recall Bounty Hunters Needed As Millions Ignore Deadly Takata Airbag Recall” https://www.forbes.com/sites/jimhenry/2019/04/30/toyota-offers-a-bounty-for-referrals-to-get-recalled-takata-airbags-replaced/#6be3e051293d FixedOps Business (March 22, 2019) “Crowdsourcing Project Rewards Recall Awareness” https://www.fixedopsbusiness.com/articles/3215-crowdsourcing-project-rewards-recall-awareness

LOCAL-MARKET COVERAGE

Houston Chronicle (December 20, 2018) “Carma Project – Toyota Peer-To-Peer Platform Video Clip” https://www.chron.com/news/media/2018-2019-Carma-Project-Toyota-Peer-to-Peer-1407914.php The Detroit Bureau (December 19, 2018) “Toyota Using Carma To Get Takata Airbag Recall Done” http://www.thedetroitbureau.com/2018/12/toyota-using-carma-to-get-takata-airbag-recall-done/

The Detroit Bureau (February 12, 2019) “Millions More Vehicles With Takata Airbags Yet To Face Recall” http://www.thedetroitbureau.com/2019/02/millions-more-vehicles-with-takata-airbags-yet-to-face-recall/ WKRC-TV CBS-12 Cincinnati (March 8, 2019) “Cash Incentive Offered To Spread The Word Of Deadly Takata Airbag Recall” https://local12.com/news/local/cash-incentive-offered-to-spread-the-word-of-deadly-takata-airbag-recall WTVM-TV ABC-9 Columbus, GA (January 22, 2019) “Toyota collaborates with new project to encourage people to check vehicle recall status” http://www.wtvm.com/2019/01/23/toyota-collaborates-with-new-project-give-encourage-people-check-vehicle-recall-status/ KNX-AM NewsRadio Los Angeles https://drive.google.com/file/d/1ljwRFYY6vFU_G_rz1mHHcNo8Udaz9jJF/view KUSI-TV San Diego (February 28, 2019) “Takata Airbag Replacement Program Called Carma Project” https://www.kusi.com/takata-air-bag-replacement-program-called-carma-project/

Wellington Daily News (May 12, 2019) “Toyota’s Carma Project targets Owners of Cars With Faulty Takata Airbags” https://www.wellingtondailynews.com/news/20190511/toyotas-carma-project-targets-owners-of-cars-with-faulty-takata-airbags/1 Topeka Capital-Journal (May 11, 2019) “Toyota’s Carma Project Targets Owners of Cars With Faulty Takata Airbags” https://www.cjonline.com/news/20190511/toyotas-carma-project-targets-owners-of-cars-with-faulty-takata-airbags Leavenworth Times (May 11, 2019) “Toyota’s Carma Project Targets Owners of Cars With Faulty Takata Airbags” https://www.leavenworthtimes.com/news/20190511/toyotas-carma-project-targets-owners-of-cars-with-faulty-takata-airbags Ottawa Herald (May 11, 2019) “Toyota’s Carma Project Targets Owners of Cars With Faulty Takata Airbags” http://www.ottawaherald.com/news/20190511/toyotas-carma-project-targets-owners-of-cars-with-faulty-takata-airbags/1 KNXV-TV (ABC-15 in Phoenix) (April 16, 2019) “Group Hoping To Get More Arizonans To Fix Recalled Airbags” https://www.abc15.com/news/state/group-hoping-to-get-more-arizonans-to-fix-recalled-airbags

KGUN-TV (ABC-9 in Tucson) (April 16, 2019) “Group Hoping To Get More Arizonans To Fix Recalled Airbags” https://www.kgun9.com/news/state/group-hoping-to-get-more-arizonans-to-fix-recalled-airbags Stockton Record (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.recordnet.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Victorville Daily Press (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.vvdailypress.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Siskiyou Daily News (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.siskiyoudaily.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Milford Beacon (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.milfordbeacon.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Sarasota Herald-Tribune (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.heraldtribune.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Rockford Star (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.rrstar.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know (Springfield) State Journal-Register (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.sj-r.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know

(Burlington) The Hawk Eye (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.thehawkeye.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Hutchison (Kansas) News (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.hutchnews.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Hays (Kansas) Daily News (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.hdnews.net/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Barnstable Patriot (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.barnstablepatriot.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know (New Bedford) South Coast Today (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.southcoasttoday.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Worcester Telegram (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.telegram.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know WSAV-TV NBC-3 Savannah, GA (March 28, 2019) Tony Lim interviewed by Reporter JoAnn Merrigan on March 28. https://www.wsav.com/recalls/consumer-recall-reports/raising-awareness-for-takata-airbag-recall-could-earn-you-money/1893059804 Lexington Dispatch (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.the-dispatch.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know

Columbus Dispatch (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.dispatch.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know (Waynesboro) Record-Herald (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.therecordherald.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Providence Journal (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.providencejournal.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know Denison Herald Democrat (April 8, 2019) “Auto Bits: Got A Friend Who Hasn’t Replaced Their Airbag? Carma Project Pays You To Let Them Know” https://www.heralddemocrat.com/business/20190408/auto-bits-got-friend-who-hasnt-replaced-their-airbag-carma-project-pays-you-to-let-them-know KTEK-TV NBC-Tyler (April 2, 2019) “Raising Awareness For Faulty Airbags Could Earn You Money” https://www.easttexasmatters.com/news/raising-awareness-for-faulty-airbags-could-earn-you-money/1894731595 WSAV-TV (NBC-3 in Savannah (April 1, 2019) “Project Designed To Get More People To Fix Faulty Takata Air Bags” https://www.wsav.com/news/local-news/project-designed-to-get-more-people-to-fix-faulty-takata-air-bags_20190401230118/1893410133 Orange County Business Journal (March 18, 2019) Fabio Gratton interviewed by Startups Reporter Jasmine Spearing-Bowen on March 18. https://www.ocbj.com/news/2019/mar/18/startups-innovations/ KMOX-AM NewsTalk St. Louis (March 16, 2019) Tony Lim interviewed by Host Greg Damon on March 16. Live interview took place on March 16 aired but coverage did not post.