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Toyota ready to cut unprofitable modelsby Justin King
Toyota is among several major automakers preparing for challenging market conditions.
Toyota may be ready to retire one or more nameplates, potentially shedding poor-selling models to improve profitability.
"We are taking a hard look at all of the segments that we compete in to make sure we are competing in profitable segments and that products we sell have strategic value," Toyota North America chief Jim Lentz said recently, as quoted by Automotive News.
Sedans, convertibles and coupes are the most obvious candidates for the chopping block, though Lentz promised Toyota would not completely ditch passenger cars.
Corolla iM sales are up by 10 percent this year, but the Corolla sedan and Camry have dropped in the first eight months of the year. The Avalon has achieved a slight gain during the same period, however its overall sales are less than 10 percent of the Corolla and Camry's respective totals for the year so far.
Toyota is not alone in reviewing its lineup to look for weak spots as waning sales affect the entire industry.