Honda and Acura to extend incentives on out-of-stock vehicles

Honda has told its U.S. dealers to honor discount offers on models that aren't in stock in a bid to keep customers from buying from rivals as the automaker copes with shortages caused by the March earthquake and tsunami in Japan.

The new program is called the Honda Promise, according to news-service reports. A Honda spokesman confirmed the basic details of the program.

Dealers typically don't extend incentives on vehicles that aren't in stock or can't be obtained via a dealer trade. But the program will not apply to Honda's Japan-built vehicles such as the Fit and its hybrid cars, reports say.

Honda reportedly also will extend expiring Honda Financial Services lease contracts for an additional 12 months.

The carmaker's Acura division will offer a similar program.

By Andrew Stoy