DETROIT (AP) -- Saturn Corp. has extended the warranty on 363,000 engines to cover costly cylinder head cracks that have occurred in a small percentage of its 1994-96 model-year cars.

The small-car subsidiary of General Motors Corp. said the warranty extension is for its single-overhead-cam, 4-cylinder engines only. The cracks are estimated to affect only about 5 percent of the engines produced during the three model years, spokeswoman Julie Hamp said Tuesday.Saturn is not required to extend the warranty, and the cracks do not pose a safety threat, Hamp said. The cracks have appeared largely in engines subjected to high mileage.

"It's just a customer satisfaction issue," she said. "That kind of repair normally is expensive for an owner, and we don't think our owners should have to pay for that."

The fix could be costly for Saturn, however. If 5 percent of the 363,000 engines are repaired, based on an average cost of $1,500, that would cost the automaker $27.2 million.

About 600 owners who already have paid for the repair have been issued checks to reimburse them for the expense, Hamp said. All owners of the affected cars are being notified of the warranty change by letter.

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Owners who notice discoloration in the coolant reservoir under the hood or that the engine is running hot should bring the car to their Saturn dealer. The dealer will check to see if oil has leaked into the coolant, a sign of cylinder head cracks.

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