That's been the PD excuse for many, many years. We now know that this isn't/wasn't true because Forza1 had damage on pretty much every major car manufacturer. Then PD changed its tune saying that damage was hard to implement because they would have to make it so realistic that if you hit a wall, the car would be completely crumbled. Now they have damage, limited to race cars, and not that impressive.
Honda not wanting damage to their cars is not worth excluding from a game that has Nissan, Toyota, Porsche, Ferrari and Lambo. The car execs are idiots that don't realize how much a marketing tool a game is. Turn10 realizes this and they've been able to have damage from the beginning.
Bruceleeroy; if GT was hardcore for you, don't bother with this one, though F3 has a much more friendly mode from what the press statement says.
And for reference, the horrendous driving, Driving Emotion Type-S had licensed cars that could roll over. Somehow i wish i had that game still.
btw, Corvette Racing, from BlackBean, had a rewind feature. Another thing PD could learn from if they sampled other racing games.