ON OCTOBER 14, 2008, ODI OPENED PE08-060 TO INVESTIGATE ALLEGATIONS OF CRACKED AND LEAKING SNAP-IN TIRE VALVES IN MODEL YEAR (MY) 2007 VEHICLES MANUFACTURED BY FORD MOTOR COMPANY.THE VALVES WERE SUPPLIED TO FORD BY TOPSEAL AUTO-PARTS, A SUBSIDIARY OF THE SHANGHAI BAOLONG AUTOMOTIVE CORPORATION IN CHINA.VALVES MADE BY TOPSEAL FOR AFTERMARKET SALE WERE THE SUBJECT OF TWO RECENT SAFETY RECALLS BY TECH INTERNATIONAL (08T-018) AND DILL AIR CONTROLS (08T-028), THE LATTER OF WHICH WAS INVESTIGATED BY ODI IN PE08-036 AND EA08-022.THE DEFECT CONDITIONS ADDRESSED BY THE AFTERMARKET TIRE VALVE RECALLS BOTH INVOLVED INADEQUATE RESISTANCE TO OZONE CRACKING DUE TO ISSUES WITH THE SUPPLY OF ANTI-OZONANT CHEMICALS TO TOPSEAL FOR A PERIOD FROM JULY TO MID-NOVEMBER 2006.THE AFTERMARKET VALVES WERE COMPOUNDED WITH A BLEND OF EPDM AND NATURAL RUBBER, USING A RELATIVELY LOW PERCENTAGE OF EPDM (EPDM PROVIDES INHERENT RESISTANCE TO OZONE CRACKING).HENCE, THE NEED FOR ANTI-OZONANT CHEMICALS AND THE PROBLEMS WITH CRACKING WHEN THOSE CHEMICALS WERE MISSING OR OUT OF SPECIFICATION IN SOME LOTS OF VALVES.BOTH RECALL CAMPAIGNS INVOLVED INSPECTION PROGRAMS TO IDENTIFY AND REPLACE VALVES WITH VISIBLE SURFACE CRACKING.ALTHOUGH THE TOPSEAL VALVES SUPPLIED TO FORD ALSO APPEAR TO HAVE BEEN AFFECTED BY THE ANTI-OZONANT SUPPLY ISSUES IN MID TO LATE-2006, FORD INDICATED THAT ITS VALVES WERE MADE AT A DIFFERENT TOPSEAL PRODUCTION LINE AND WERE COMPOUNDED WITH A HIGHER PERCENTAGE OF EPDM RUBBER TO MEET MORE STRINGENT SPECIFICATIONS FROM FORD.ODI'S ANALYSIS OF COMPLAINT AND WARRANTY DATA PROVIDED BY FORD SHOWED THAT PROBLEMS WITH CRACKED TIRE VALVES WERE SIGNIFICANTLY HIGHER FOR MY 2007 VEHICLES PRODUCED FROM DECEMBER 2006 THROUGH MARCH 2007.FORD RESPONDED BY IMPLEMENTING CHANGES IN ITS MATERIAL SPECIFICATIONS FOR SNAP-IN RUBBER TIRE VALVES AND ALSO INCREASING THE QUALITY AND ACCEPTANCE STANDARDS FOR VALVES IMPORTED FOR USE IN ITS VEHICLES.WHILE THE COMPLAINT AND WARRANTY CLAIM RATES ARE ELEVATED FOR SUBJE