MEDIA RELEASE

Toyota Announces Voluntary Recall on 2010 Model-Year Prius and 2010 Lexus HS 250h Vehicles to Update ABS Software

Inspection of Power Steering Hose Position on Certain 2010 Camry Also Announced

TORRANCE, Calif., February 8, 2010 – Toyota Motor Sales (TMS), U.S.A., Inc, today announced it will conduct a voluntary safety recall on approximately 133,000 2010 Model Year Prius vehicles and 14,500 Lexus Division 2010 HS 250h vehicles to update software in the vehicle’s anti-lock brake system (ABS). No other Toyota, Lexus, or Scion vehicles are involved in this recall.

The ABS, in normal operation, engages and disengages rapidly (many times per second) as the control system senses and reacts to tire slippage. Some 2010 model year Prius and 2010 HS 250h owners have reported experiencing inconsistent brake feel during slow and steady application of brakes on rough or slick road surfaces when the ABS is activated in an effort to maintain tire traction.

Toyota has responded to owner concerns with a running production change for 2010 Prius that was introduced last month, improving the ABS system’s response time, as well as the system’s overall sensitivity to tire slippage. The production change for the HS 250h is planned for later this month.

“We’re committed to doing everything we can – as fast as we can – to restore consumer trust in Toyota, and these recalls are part of this effort,” said Jim Lentz, President and Chief Operating Officer, Toyota Motor Sales. “We regret the inconvenience this recall will cause to Prius and HS 250h owners, and will do our best with the support of our dealers to make sure that it is conducted in the most trouble-free manner possible.”

Mr. Lentz continued: “As part of the quality improvement program announced by Toyota President Akio Toyoda last week, our company is undertaking a top to bottom review to ensure that our vehicles meet our own high standards of safety and reliability, now and for the future. We are taking steps to implement more stringent quality control across the company, to investigate customer complaints more aggressively and to respond more quickly to any safety issues we identify.”

The recall will allow Toyota dealers to perform the software update on 2010 Prius vehicles sold prior to this running production change. Only Prius vehicles produced since May 2009 and all HS 250h vehicles are subject to this recall. First- and second-generation Prius vehicles use a different ABS system and are not involved in this campaign.

The ABS system on the Lexus HS 250h is similar in design to the Prius. The software adjustment planned for HS 250h production and dealer modification is being finalized and will be announced very soon.

Toyota will begin mailing letters to Prius owners included in this recall next week and HS 250h owners within the next few weeks, to let them know when to bring their vehicles into a dealership. Owners will only receive a letter if their vehicle is involved in the recall.

Separately, Toyota will conduct a voluntary safety recall on approximately 7,300 early production – 2010 model year Camry vehicles equipped with the 4 cylinder engine to inspect for a power steering hose that may be in contact with a front brake tube. This contact could lead to a hole in the brake tube and cause a brake fluid leak, increased brake pedal stroke and greater vehicle stopping distance.

Owners of the involved 2010 Camry vehicles will be notified by mail starting in the middle of February.

Detailed information about these recalls is available to customers at www.toyota.com/recall and at the Toyota Customer Experience Center at 1-800-331-4331.

FAQs About the 2010 Prius/2010 Lexus HS 250h/Camry Voluntary Recalls

1. What is the problem with the 2010 Prius?

The anti-lock brake system (ABS) in the 2010 model-year Prius, in normal operation, engages and disengages rapidly (many times per second) as the control system senses and reacts to tire slippage. Some owners have reported experiencing inconsistent brake feel during slow and steady application of the brakes on rough or slick road surfaces when the anti-lock brake system (ABS) is activated in an effort to maintain tire traction.

2. How is Toyota responding to this Prius issue?

Toyota has responded to owner concerns with a running production change for the 2010 Prius that was introduced last month, improving the ABS system’s response time, as well as the system’s overall sensitivity to tire slippage.

The recall will allow Toyota dealers to perform this software update in the anti-lock brake systems of 2010 Prius vehicles sold prior to this production change.

3. Why does this only impact 2010 Prius models?

First- and second-generation Prius vehicles use a different ABS system and are not involved in this campaign.

4. What is the problem with the Lexus HS 250h?

The anti-lock brake system on the Lexus HS 250h shares similar component design to the 2010 Prius, so it has been included on this recall.

5. How is Toyota responding to this Lexus issue?

The software adjustment planned for the Lexus HS 250h production and dealer modification is being finalized and will be announced very soon.

6. How many vehicles are impacted?

This recall involves approximately 133,000 2010 model year Prius vehicles and 14,550 Lexus Division 2010 HS 250h vehicles.

7. What should 2010 Prius and Lexus HS 250h customers do if they experience this braking issue?

If a Prius or Lexus HS 250h owner were to experience this condition, pressing hard on the brake pedal will stop the vehicle safely.

8. Are these vehicles safe to drive until they get their update?

The vehicles are safe to drive because pressing hard on the brake pedal will stop the vehicle.

9. When can I get my vehicle fixed?

Toyota will begin sending letters to Prius owners included in this recall by mail next week and Lexus HS 250h owners within the next few weeks to let them know when to bring their vehicles into a dealership. Owners will only receive a letter if their vehicle is involved in the recall.

10. How long will it take for a dealer to repair my vehicle?

The software update should only take approximately 30 minutes to install, depending on technician workflow.

11. Is the repair covered by warranty? Will drivers have to pay any money out of pocket for this work?

Toyota will cover all repair costs associated with this work.

12. Is this recall related to the ongoing Toyota recalls associated with sudden unintended acceleration?

No, this recall is unrelated to the ongoing recall of Toyota vehicles for sticking gas pedals and floor mat entrapment issues.

13. What is the problem with the Camry?

On certain early production 2010 model year Camry vehicles equipped with the 4-cylinder engine, a power steering pressure hose in the engine compartment may be the incorrect length. If this condition exists, a crimp on the power steering pressure hose may come in contact with the No. 7 front brake tube.

Should this condition continue, a hole may wear in the brake tube and deplete the brake fluid in the vehicle. As a result, the brake pedal
stroke will increase and lead to greater vehicle stopping distance.

14. Which and how many vehicles are involved?

Approximately 7,300 Camry vehicles in the U.S. are involved.

15. Are there any warnings that this condition exists?

No, there are no specific warnings that this condition exists.

16. What is Toyota going to do?

Any Toyota dealer will inspect and, if necessary, adjust the space between the brake tube and the power steering pressure hose crimp. Based upon the inspection results, the dealership may need to replace the brake tube.

The inspection/adjustment and, if necessary, the brake tube replacement, will be performed at no charge to the vehicle owner.

17. When will Camry owners be notified?

Toyota will notify owners by mail starting in mid-February 2010.

18. Where can I get more information on this recall?

Information for Toyota customers can be found at www.toyota.com/recall and at the Toyota Customer Experience Center at 1-800-331-4331.

Information for Lexus customers can be found at lexus.com and at the Lexus Customer Assistance Center at 1-800-255-3987.