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  ProJo.com
  Projo CarsBlog
  By Peter C.T. Elsworth

  

June 27, 2008

GM leads way into downward spiral as auto anxiety soars

The Detroit auto industry appeared to be imploding Thursday, according to USA Today.

Shares of General Motors (GM) stock hadn't traded so cheaply since the 1950s. Ford Motor (F) stock was at a 52-week low. Privately held Chrysler doesn't trade but still felt compelled to deny a rumor that it will file for bankruptcy protection.

Posted by Peter C. T. Elsworth  at 9:53 AM | Permalink


May 22, 2008

Ford cuts N. American production, cuts profit goal

DETROIT -- Ford Motor Co. no longer expects to return to profitability by 2009 and is cutting North American production of pickups and SUVs for the rest of this year as high gas prices and the weak economy hurt sales, the company announced Thursday, according to the Associated Press.
The Dearborn-based automaker also cut back its projections for total U.S. sales in 2008 to between 15 million and 15.4 million vehicles. That's down from 17 million vehicles as recently as 2005.


Posted by Peter C. T. Elsworth  at 10:15 AM | Permalink


May 8, 2008

Ford designs new child crash test dummy

dummiesx.jpg

DETROIT — Ford has redesigned the midsection of child-size crash-test dummies to help carmakers invent seat belts that could protect children against abdominal injuries, according to USA Today.

Ford is hoping the new dummy will become the international standard for child crash dummies, helping researchers better understand the forces that act on children's bellies in an accident.

Children ages 4 to 8, who typically no longer ride in booster seats, are 25 times more likely than younger children to sustain serious abdominal injuries.

Overall, fatality rates in the USA are on the decline, but abdominal injuries have become one of the most common for young children, and serious injuries can occur even in slow crashes.

Posted by Peter C. T. Elsworth  at 12:11 PM | Permalink


May 2, 2008

York: Ford should unload Volvo and Mercury brands

Less than a week after stressing that billionaire Kirk Kerkorian's Tracinda Corp. would remain a passive investor in Ford Motor Co., a top adviser for the casino mogul, Jerry York, is already recommending changes for the Dearborn automaker, according to The Detroit Free Press.

In an interview with the trade magazine Automotive News, York said he thinks Ford should sell the company's Swedish Volvo brand, which lost $151 million through March, as well as the Mercury brand, which has been languishing for decades. U.S. sales of Mercury have fallen from 528,033 to 168,422 last year.

Posted by Peter C. T. Elsworth  at 10:28 AM | Permalink


May 1, 2008

Ford's US sales down, Toyota up in April as gas prices rise

DETROIT -- Ford's U.S. sales dropped 12 percent but Toyota's sales edged up 3 percent in April as high gas prices accelerated consumers' rush away from trucks and sport utility vehicles, according to the Associated Press.

A downward pattern was expected throughout the industry as gas prices rose to record highs. Other automakers were scheduled to report their monthly sales later today.

Ford said its SUV sales were down 36 percent in April compared with the same month last year. Car sales were down only 1 percent, buoyed by sales of the Ford Focus small car, which saw a 44 percent jump in sales.

Toyota said its car sales rose 12 percent, largely on the strength of the subcompact Yaris, which saw sales rise 46 percent and the hybrid Prius, which was up 54 percent. Toyota's truck and SUV sales dropped 8 percent.


Posted by Peter C. T. Elsworth  at 1:43 PM | Permalink


April 24, 2008

Backseat Driver: Ford on a roll

Ford is stepping out of the gloom that has recently overshadowed Detroit's Big Three.

While Chrysler fumbles into a new era of high gas prices without a B-car to its name and General Motors slips to Number 2 behind Toyota, Ford comes in with a profit of $100 million in the first quarter on sales of $43.5 billion.

Sales include those of Jaguar and Land Rover which it recently sold to Tata Motors of India; if those sales are not included, revenues were $39.4 billion.

These numbers compare with a loss of $282 million on sales of $43.0 billion in the first quarter of last year.

That's impressive and real good news for a change.

I recently profiled Rhode Island's two Ford dealerships - Mike Flood's Flood Auto Group in East Greenwich, Narragansett and Wakefield, and the Tasca Auto Group in Cranston and Seekonk. (And I apologize to the Tasca family, whose association with Ford goes back 65 years. Their profile, which appeared in yesterday's paper included a group photo which did not identify them by name. That was a mistake that slipped through the editorial process.)

But in both profiles, I said that Ford seemed to be on a roll in a difficult economic climate, noting that sales of such vehicles as its Edge, Focus, Fusion were holding their own. Indeed, the company recently upped the production of its Focus by 30 percent.

As it happens, The Wall Street Journal profiled Ford yesterday, and made the same point but in much greater detail. Indeed, the headline says it all: "Ford Motor Turnaround Takes Hold."

(It also said the company is mulling the sale of its Volvo unit, having recently sold its Jaguar and Land Rover units to Tata Motors of India, and is possibly dropping the Mercury brand.)

Certainly, Ford's earnings were mixed in certain areas - it posted a loss in North America on lower sales, for example, and Volvo's numbers were down. And it said that the rest of the year will be challenging.

But it reaffirmed its plan to have the turnaround substantially behind it by next year when it expects to return the whole company to profitability.

Good news indeed.

For more information on Ford's earnings, go to the story by the Associated Press.

- Peter C.T. Elsworth

Posted by Peter C. T. Elsworth  at 11:40 AM | Permalink


April 15, 2008

Ford Focus is a driving force

A year ago, Ford Motor Co.'s sprawling assembly plant in Wayne, which builds the Focus compact car, was on the chopping block as part of the automaker's restructuring plan, putting the lives of its 3,000 workers in flux, according to The Detroit News.

A year ago, Ford Motor Co.'s sprawling assembly plant in Wayne, which builds the Focus compact car, was on the chopping block as part of the automaker's restructuring plan, putting the lives of its 3,000 workers in flux.

Posted by Peter C. T. Elsworth  at 10:15 AM | Permalink


April 1, 2008

US Auto Sales Fall in March

DETROIT -- Ford's U.S. sales dropped 14 percent, Toyota's fell 10 percent and Honda's slipped 3 percent in March as demand for trucks and sport utility vehicles plummeted amid high gas prices and a slowdown in home construction, according to the Associated Press.

Consumers' worries about the economy were expected to make March one of the worst months for automakers since 2005, when a wave of summer discounts led to a huge drop in fall sales. Automakers reported sales Tuesday.


Posted by Peter C. T. Elsworth  at 2:28 PM | Permalink


March 26, 2008

Ford Says 'Tata' to Jaguar, Land Rover

DETROIT -- Ford Motor Co. is selling its storied Jaguar and Land Rover brands to India's Tata Motors Ltd. in a deal that will net the U.S. automaker $1.7 billion - roughly a third of the price it paid for the two luxury brands, according to the Associated Press.

The deal announced Wednesday will expand the Indian carmaker's reach around the globe and give Jaguar and Land Rover badly needed capital to update and expand their product lines.

The agreement had been in the works for months as cash-strapped Ford sought money to fund its turnaround plan.

Tata will pay $2.3 billion for the British brands, but Ford will pay about $600 million into the Jaguar-Land Rover pension fund when the deal closes, Tata's statement said.

Posted by Peter C. T. Elsworth  at 10:19 AM | Permalink


March 18, 2008

Ford likely to announce Jaguar, Land Rover sale March 26

Two people briefed on the negotiations between Ford Motor and India’s Tata Motors say the automakers could announce an agreement for Tata to buy Jaguar and Land Rover as soon as next week, according to The Detroit Free Press.

Posted by Peter C. T. Elsworth  at 2:23 PM | Permalink


March 17, 2008

Drivers corral high-horsepower cars at low cost

Even as gas prices rise, more automakers are breaking the price barrier on what used to be a privilege for the rich: the 300-horsepower engine, according to USA Today.

On Wednesday, Hyundai unveils the production version of its 2010 Genesis sports coupe with a 306-hp V-6 engine that the company bills as offering the maximum horsepower for the buck.

The price has not been set for its fall debut, but spokesman Miles Johnson says the Genesis four-seater will cost less than a Ford Mustang GT, which comes with a 300-hp engine, at $26,080.

Also bringing power to the people for less than 30 grand: General Motors' 361-hp Pontiac G8 GT and 303-hp Chevrolet Impala SS and Nissan's 306-hp 350Z.

Posted by Peter C. T. Elsworth  at 9:54 AM | Permalink


March 10, 2008

Ford offers to buyback 81 stores

Ford is offering a one-time buyout to the 81 members of its dealer development program, according to Automotive News.

Most of them are minorities.

Under the terms of the offer, Ford will refund their full investment if they give up their Ford or Lincoln-Mercury dealerships, even if their current stake is worth less than their original investment, accoring to Automotive News.

The authorative industry weekly news magazine said Ford will offer an additional $100,000 to operators whose dealerships are their only source of income.

Automotive News said the dealer development program gives would-be dealers who lack adequate capital an oppportunity to acquire their own stores. Over the past two years, Ford has eliminated 340 stores overall, leaving it with 4,056 nationally.

"Ford is taking this action as part of an effort to ensure a sustainable dealer development program," Automotive News quoted Ford program director Jamy Hall in a letter Hall wrote to dealers.

It cited Ford as saying the planned closures

Posted by Peter C. T. Elsworth  at 10:47 AM | Permalink


March 7, 2008

Volvo Chief Sees a Plus in Shrinking Done by Ford

GENEVA — For Volvo, the Swedish maker of safe, sturdy cars, life is getting lonely, according to The New York Times.

Its aristocratic English cousins in the Ford Motor Company family, Jaguar and Land Rover, are in the final stages of being sold to Tata Motors of India, leaving Volvo as Ford’s only European luxury brand.

It does not help that Ford hemmed and hawed for months over whether to sell Volvo — BMW was a rumored buyer — before deciding in November to hold on to the 81-year-old company.

Now, however, Volvo sees a silver lining in being left behind. With Jaguar and Land Rover no longer competing for Ford’s money and attention, the Volvo chief executive, Fredrik Arp, says his company will be able to get more out of its financially stressed parent.

Posted by Peter C. T. Elsworth  at 10:02 AM | Permalink


February 28, 2008

Ford Flex price tagged at $29,000

flex.jpg

It’s one of the more highly anticipated crossovers of 2008 — and now, Ford’s Flex crossover apparently has a base price assigned to it, according to thecarconnection.com.

Automotive News reports that Ford will charge $28,995, including destination, for the base 2009 Ford Flex when it goes on sale in the summer. The weekly news reader says it got its information from a dealer printout.

According to the info, the Flex will be offered in three trim levels and in front- or all-wheel drive. The most expensive Flex Limited will top the pricing ladder at $37,255.

Posted by Peter C. T. Elsworth  at 9:27 AM | Permalink


Ford recalls 470,000 Mustangs to update air bag software

DETROIT — Ford Motor (F) said Wednesday it is recalling 470,000 Ford Mustangs from the 2005-2008 model years to recalibrate how forcefully the air bag deploys on the front passenger side of the car, according to the Associated Press.

Internal testing showed the air bag could injure a small, unbelted passenger, said Ford spokesman Wesley Sherwood. The recall was posted on the website of the National Highway Traffic Safety Administration.

Sherwood said the fix would address "a very rare scenario," and there were no reports of injuries or accidents tied to the recall.


Posted by Peter C. T. Elsworth  at 9:23 AM | Permalink


February 26, 2008

Ford Is Pushing Buyouts to Workers

WOODHAVEN, Mich. — Ford is applying the hard sell these days — piling on incentives, doling out marketing DVDs and brochures, and making offers it hopes are too good to pass up, according to The New York Times.

But Ford’s big new push is not to sell cars. Instead, it is trying to sign up thousands of workers to take buyouts, partly by convincing them that their brightest future lies outside the company that long offered middle-class wages for blue-collar jobs.

So, Ford is pitching a buffet of buyout packages that are easily among the richest ever offered to factory workers, including one-time cash payments of $140,000 or college tuition plans for an entire family.

The automaker is also putting on job fairs in its plants and mailing each of its 54,000 hourly workers a feature-length DVD, titled “Connecting With Your Future,” that extols the promise of new careers beyond the assembly line.

Posted by Peter C. T. Elsworth  at 1:33 PM | Permalink


February 25, 2008

Tata to announce purchase of Jaguar and Land Rover next week.

Tata Motors will announce its purchase of Jaguar Land Rover on March 5 or 6, according to Automotive News.

The dates have been agreed between Tata and Ford, which is selling the two luxury brands, following talks with trade union leaders last week.

Roger Maddison, national officer of Unite, the largest union in the UK auto industry, told Automotive News Europe Tata had agreed to meet guarantees sought by workers' leaders.
He said, " Everything seems fine as far as we are concerned; it's just the lawyers working on it now."

Union leaders spoke with Ford and Tata to resolve final details before the drawing up of a memorandum of understanding for the sale.

In earlier talks with the two companies, unions had been seeking assurances that Tata would continue to source engines, stampings and other

Posted by Peter C. T. Elsworth  at 3:04 PM | Permalink


February 1, 2008

Ford '07 retail share drops: Toyota, Honda record gains; GM stable; Chrysler down

Automakers report their U.S. sales for January today amid a continuing economic slowdown. But new information about last year's showroom sales already reveals who has momentum in the struggling market, according to the Detroit Free Press.

Ford was the biggest loser in U.S. retail sales last year, dropping nearly a full percentage point of retail market share, according to the latest retail sales estimates provided exclusively to the Free Press by the Power Information Network.

In all, Ford's share dropped from 15.1% in 2006 to 14.2% last year, a decline that represents about half the production for an assembly factory.

Meanwhile, Toyota and Honda picked up most of Ford's decline in the U.S. market. And General Motors has stabilized its retail share, with about 22% of the U.S. market.


Posted by Peter C. T. Elsworth  at 10:18 AM | Permalink


January 24, 2008

Ford loses $2.7B in Q4, $2.8B in 2007, U.S. outlook grim

DEARBORN, Mich. — Ford said Thursday that it lost $2.8 billion in the fourth quarter and $2.7 billion for the year as gains in worldwide markets outside the United States were dragged down by continued weakness in North America, according to the Associated Press.

Ford President and Chief Executive Alan Mulally said the company's operations are improving but the outlook for U.S. sales in 2008 is grim.

Mulally said the company will be adjusting production and making further cost cuts in North America, including a new round of buyouts for its 54,000 U.S. hourly workers.

Details of the buyout program were expected later Thursday.

Ford lost $1.30 a share in the fourth quarter, narrower than a loss of $5.6 billion, or $2.98 a share, in 2006. The full-year results, which resulted in a loss of $1.35 a share, were significantly better than 2006, when Ford lost $12.6 billion, or $6.72 a share.

Posted by Peter C. T. Elsworth  at 9:40 AM | Permalink


January 9, 2008

Ford says it could shrink more before it rebounds

Ford Motor Co. might not be done shrinking, according to the Detroit Free Press.

A weakening U.S. economy, aggravated by aggressive expansion and price discounting by foreign-owned rivals, could mean further declines before Ford is able to stabilize sales and production levels and begin growing again, Ford President and Chief Executive Officer Alan Mulally said Tuesday evening.

Posted by Peter C. T. Elsworth  at 10:06 AM | Permalink


January 8, 2008

Ford to Expand in India, Planning a Small Car and an Engine Plant

Ford Motor plans to more than double its investment in India to produce a small car for the fast-growing local market and to build an engine manufacturing plant there.

The company is expected to announce on Tuesday that it will increase spending in India by $500 million, raising its total investment to $875 million, as it focuses on making the country a regional hub for small-car manufacturing.

Car sales in India are growing by more than 20 percent a year, compared with 3 percent globally, and first-time buyers there are eager for cheap compact cars.

Several local and international automakers have recently announced plans to make a small car specifically for India, inspired in part by Tata Motors’ impending introduction of a $2,500 car.

Posted by Peter C. T. Elsworth  at 1:22 PM | Permalink


January 4, 2008

Tata Named Sole Jag/Land Rover Bidder

Ford opened up a new era in automotive history Thursday by announcing it hoped to sell the company's Jaguar and Land Rover brands to India's Tata Motors, according to thecarconnection.com

Ford had announced last year it planned to sell both Jaguar and Land Rover in a bid to raise more cash to sustain its core business in both North America and Europe while the company goes through a difficult and lengthy restructuring.

Posted by Peter C. T. Elsworth  at 12:34 PM | Permalink


Car dealers close as Ford, GM, Chrysler keep cutting

NORWALK, Calif. — Instead of the stampede to inquire about year-end clearance sales, customers have been calling Ford dealer Norman Stutzke lately to offer condolences.
Stutzke shut down Keystone Ford this week after 39 years, one of hundreds of dealerships that face the ax around the country as Detroit's automakers downsize their retail operations, according to USA Today.

Having shuttered factories and eliminated hundreds of thousands of automaking jobs, Ford Motor, General Motors and Chrysler are now turning their attention to weeding out weaker dealers in bigger metro markets. They make fewer vehicles, so they don't need as many places to sell them.


Posted by Peter C. T. Elsworth  at 12:27 PM | Permalink


December 18, 2007

Ford May Pick India's Tata as Preferred Bidder for Jaguar

Ford may choose India's Tata Motors Ltd. as the preferred bidder for its U.K.-based Jaguar and Land Rover brands, a person familiar with the deliberations said, according to Bloomberg.

The selection would allow Ford to negotiate exclusively with Tata before reaching a final agreement. Mahindra & Mahindra Ltd., another India-based manufacturer, and JPMorgan Chase & Co.'s One Equity Partners LLC buyout unit have also been candidates, people familiar with the bidding said in September.

Ford wants to sell the units to focus on its money-losing North American operations. John Gardiner, a U.K.-based Ford spokesman, said no decisions have been made and the automaker expects to announce an agreement early next year.

Posted by Peter C. T. Elsworth  at 2:33 PM | Permalink


Ford lifts freeze on merit raises for salaried employees

DEARBORN, Mich. — Ford has lifted a freeze on merit raises for salaried employees as the automaker continues to work on its turnaround, according to the Associated Press.

The average white-collar worker will get a 2.7% pay increase in April, The Detroit News reported Saturday. Ford says the increases will be contingent on business conditions, and based on employee performance.

"Our intention to pay them next year is a sign of the progress the company is making," Ford spokeswoman Marcey Evans said. "While we haven't completely turned the corner yet in our turnaround efforts, the progress we have made puts us in a position where it is financially feasible to pay them again."

Ford last gave out merit increases in 2006.


Posted by Peter C. T. Elsworth  at 2:21 PM | Permalink


December 13, 2007

Ford Gets Sirius With Travel Link

Ford is about to weave services from Sirius satellite radio into its vehicles much more tightly with the addition of Travel Link to its Sync system, according to thecarconnection.com

The automaker already offers the satellite radio service to its U.S. customers, but soon it will team with Sirius to add a range of new features to its high-tech Sync infotainment system. Among other things, Sync users will be able to access real-time traffic and weather, along with fuel prices, movie timetables and more.

Posted by Peter C. T. Elsworth  at 11:31 AM | Permalink


December 6, 2007

Ford Recalls 1.1 Million Vehicles

WASHINGTON -- Ford Motor Co. said Thursday it is recalling 1.17 million trucks, sport utility vehicles and vans to fix an engine sensor that could lead to engine stalling, according to the Associated Press.

The recalled vehicles are all from the 1997-2003 model years with 7.3 liter diesel engines, including the Ford E-Series van, Excursion full-size sport utility vehicle, and F-450 Super Duty and F-550 Super Duty trucks.

Posted by Peter C. T. Elsworth  at 1:14 PM | Permalink


December 4, 2007

Ford and G.M. Plan to Trim 2008 Output

DETROIT — General Motors and Ford, struggling to keep turnaround plans on track, both said Monday that they would cut production in the first quarter because of slowing sales, according to the New York Times.

G.M. said it expected to produce 950,000 vehicles from January through March, down 11 percent from the same period in 2007. Ford said it planned to build 685,000 vehicles in the first quarter, a 7 percent decline.

Posted by Peter C. T. Elsworth  at 12:53 PM | Permalink


December 3, 2007

Ford, Toyota Sales Are Flat; GM Down

DETROIT -- Automakers reported mixed U.S. sales results for November on Monday, with some new or more fuel-efficient models performing well despite consumer malaise over high gas prices and the weak economy, according to the Associated Press.http://hosted.ap.org/dynamic/stories/A/AUTO_SALES?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2007-12-03-14-12-56

General Motors, the biggest automaker by U.S. sales, said its sales dropped 11 percent, hurt by falling demand for trucks as well as cuts in sales to rental car fleets. Ford and Toyota both reported flat sales for the month. Nissan's sales rose 6 percent.

Posted by Peter C. T. Elsworth  at 2:56 PM | Permalink


November 23, 2007

Ford-owned Volvo Cars recalls 56,000 vehicles

STOCKHOLM, Sweden -- Volvo Cars said Thursday it was recalling 56,000 vehicles because of two separate problems, according to the Detroit Free Press.

Volvo Cars spokeswoman Maria Bohlin said 38,000 diesel cars of the S60, V 70 XC 70 and XC 90 models made in 2006 were being called back in Europe due to a material fault that could cause the motor catching fire. The second callback, involving 18,000 of the company's latest V 70 and XC 70 models, relates to an air bag problem in the side of the car.

Bohlin said the fuel injector plants or bolts, located on top of the motor cylinder, were faulty, potentially causing diesel to leak out into the motor.

Posted by Peter C. T. Elsworth  at 10:40 AM | Permalink


November 15, 2007

Ford: Deal nearly eliminates labor cost gap with Japanese

DETROIT — A new contract with the United Auto Workers has nearly eliminated a $30-per-hour labor cost gap with Japanese competitors, setting up Ford for a return to profitability, the automaker said Thursday, according to USA Today.

Marty Mulloy, the company's vice president for labor affairs, said shifting Ford's long-term retiree health care liability to a union-run trust and a new lower-tier wage scale will remove much of the gap.

"I'd say very close but not all the way," he said during a conference call to explain the landmark four-year deal with the UAW.

The union announced Wednesday that Ford's 54,000 UAW workers overwhelmingly ratified the contract, reached Nov. 3 after a marathon bargaining session.

Posted by Peter C. T. Elsworth  at 3:07 PM | Permalink


Ford's Mulally won't set fuel-saving deadlines

LOS ANGELES — Hoping to march Ford onto the future-fuels stage, Ford CEO Alan Mulally provided a broad outline here Wednesday of the automaker's plans to cut petroleum use and reduce carbon dioxide emissions, according to USA Today.

He provided few specifics or timetables, however, and an outline provided by Ford mainly dealt with what the car company already has done to boost mileage, rather than laying out a timeline for the future.

In the keynote speech, Mulally told reporters here for the annual Los Angeles Auto Show that it is "absolutely" wrong to set deadlines. "It's about managing expectations," he said. "Through the years we sometimes didn't deliver" on promises for mileage improvements and pollution reductions.


Posted by Peter C. T. Elsworth  at 2:50 PM | Permalink


November 14, 2007

UAW Workers at Ford Ratify Contract

DETROIT -- United Auto Workers members have ratified a historic four-year contract with Ford Motor Co. that sets lower pay for some newly hired workers and puts the company's huge retiree health care debt into a UAW-run trust, according to the Detroit Free Press.

The UAW, which represents about 54,000 workers at Ford, said Wednesday that 79 percent of those voting favored the pact.

Workers at General Motors Corp. and Chrysler LLC already have ratified similar deals, with the contract winning at Chrysler by only a small margin. Unlike the other two automakers, there was no strike at Ford.

Posted by Peter C. T. Elsworth  at 11:26 AM | Permalink


Ford sees tough U.S. market

LOS ANGELES - Ford is preparing for the risk that higher oil prices and a slowing U.S. economy crimp demand and will cut production as needed to avoid building costly inventories, senior executives said on Tuesday, according to Reuters News Agency.

Speaking to reporters in advance of the Los Angeles Auto Show, Ford Chief Executive Alan Mulally said the economic concerns for Ford included tighter credit markets and a U.S. housing market that could remain weak for another year or two.

"When you add that together, it's a very concerning environment," Mulally said.

Posted by Peter C. T. Elsworth  at 10:43 AM | Permalink


November 13, 2007

Bullitt, other sports cars to be introduced at L.A. Auto Show

DEARBORN, Mich. — Forty years after the legendary on-screen car chase, there's a new Mustang Bullitt ripping up the roadway, according to USA Today.

Ford will debut the latest variant of the growling, retro-styled Mustang at the Los Angeles Auto Show, which opens to the public Nov. 16 after two days of media previews. The 2008 Ford Mustang Bullitt, an update of the iconic 1968 pony car driven by Steve McQueen in the movie Bullitt, goes on sale in January.

Automakers typically promote their greenest vehicles in Los Angeles, but the show has no shortage of horsepower.

In addition to the Bullitt, Chrysler will introduce a street-legal version of its Dodge Viper SRT10 race car, while Hyundai will take aim at the Mustang with the Genesis Coupe, a rear-wheel-drive concept. Lamborghini's Reventon — a $1.4 million super car whose 20 copies already are sold out — also will make its North American debut.

Posted by Peter C. T. Elsworth  at 9:57 AM | Permalink


November 9, 2007

Ford to cut more jobs, CEO says

Having eliminated more than 44,000 jobs, Ford is on track with its turnaround plan but looking to cut more jobs in the face of a softening auto market, according to Detroit Free Press.

Ford reported a better-than-expected net loss of 19 cents per share, or $380 million, in the third quarter -- a $4.9-billion improvement over last year's July-September period. The automaker also revealed it will not sell Volvo and that it has hit its job-reduction targets under its Way Forward turnaround plan for North America.

But Ford CEO Alan Mulally was clear in a conference call with auto analysts and journalists Thursday that the job cuts at Ford are not over, especially given the $1-billion pretax loss in North America in the third quarter.

Posted by Peter C. T. Elsworth  at 10:06 AM | Permalink


November 8, 2007

Ford Reports Narrower Loss for 3Q

DEARBORN, Mich. -- Ford posted a third-quarter loss of $380 million on Thursday, a vast improvement over its $5.2 billion loss a year earlier, according to the Associated Press.

The second-biggest U.S-based automaker said it is near a deal to sell its Jaguar and Land Rover units but its CEO said there are no plans to sell its Volvo business.

The latest results beat Wall Street expectations, and its shares rose more than 2 percent in morning trading.

But the loss contrasted to the $750 million profit Ford reported for its second quarter, its first profitable quarter in two years.

Posted by Peter C. T. Elsworth  at 11:23 AM | Permalink


November 6, 2007

Local UAW leaders back contract with Ford

DEARBORN, Mich. — Local union presidents and bargaining chairs have unanimously voted to recommend approval of a tentative four-year contract between Ford and the United Auto Workers, a union local official said Monday, according to USA Today.

Bruce Yates, bargaining chairman at Local 2000 at an assembly plant in Avon Lake, Ohio, said the deal was recommended by a voice vote.

A summary of the contract posted on the union's website shows that the Ford contract is similar to deals ratified by workers at General Motors and Chrysler.

Ford will contribute $13.2 billion to a union-run trust that will pick up much of the company's $22 billion in retiree health care liabilities. The company also will pay $2.2 billion for retiree health care until the trust takes effect in January 2010.

A typical UAW worker at Ford will get $12,904 worth of economic gains over the life of the contract, including a $3,000 signing bonus and lump-sum payments of 3% in the second year, 4% in the third year and 3% in the fourth year, according to the summary.

GM workers won similar bonuses with total gains of $13,056, while Chrysler workers are to receive $10,235.

The summary also said that the UAW won commitments from the company to build five flexible body shops at assembly plants, as well as a $200 million commitment to invest in new technology and equipment at stamping plants and substantial investments at Ford powertrain operations.


Posted by Peter C. T. Elsworth  at 11:28 AM | Permalink


November 5, 2007

Union leaders to get details of pact with Ford

UAW officials from local chapters that represent Ford workers nationwide are to meet in Dearborn today to learn the nitty-gritty details of the new tentative labor deal reached with the automaker, according to local union leaders cited by the Detroit Free Press.

A UAW spokesperson did not return calls for details about the meeting.

On Saturday, after more than 40 hours of round-the-clock bargaining, the two sides reached a deal on a new four-year labor contract to propose to workers, who will vote to ratify or reject the deal over the next week or so.

Posted by Peter C. T. Elsworth  at 9:53 AM | Permalink


October 31, 2007

UAW deal may alter Ford plan

With top UAW and Ford bargainers now in the final phase of negotiating a new labor contract, experts said the resulting deal could significantly alter the details of the high-stakes turnaround plan under way at the 104-year-old auto company, according to the Detroit Free Press.

Union leaders are expected to press Ford for product commitments that will keep their plants running and also to push for saving plants now slated for closure under Ford's turnaround plan.

Ford's so-called Way Forward turnaround plan currently calls for closing 16 factories, eliminating 44,000 jobs and revamping the entire lineup of Ford, Mercury and Lincoln vehicles in an effort to restore profits by 2009 to the company's crucial North American unit.

Posted by Peter C. T. Elsworth  at 9:46 AM | Permalink


October 30, 2007

UAW says Ford talks progressing

Several UAW local presidents are hopeful that Ford and the union can reach a deal on a tentative contract by the end of the week, after the two sides reportedly made progress over the weekend, according to the Detroit Free Press.

Ford and the UAW have been bargaining in fits and starts since July. There were slowdowns in the talks when the UAW selected General Motors and then Chrysler as the target of national labor talks. Short strikes and then a period of ratification followed.

Posted by Peter C. T. Elsworth  at 10:44 AM | Permalink


Ford to preview 2008 Bullitt Mustang at L.A. Auto Show

Ford says the new Bullitt Mustang will be shown publicly for the first time at the Los Angeles auto show which opens Nov. 13, according to thecarconnection.com

"Blending the best Mustang ever with the latest Ford Racing technology, this modern classic lives up to the magic of the movie Bullitt by delivering a new-generation Mustang Bullitt with the perfect balance of power, performance, and a look of quiet intensity. Bullitt screams into dealerships early next year," Ford said in a release.

Posted by Peter C. T. Elsworth  at 10:40 AM | Permalink


October 15, 2007

Detroit's 3 finally on track, tough critic says

Chalk up this past week as a big win for the home team, Detroit's three automakers, writes Tom Walsh of the Detroit Free Press.

General Motors workers ratified a new labor contract by a ratio of nearly 2-1.

Chrysler and the UAW forged a new tentative pact with only a hiccup of a 6-hour work stoppage.

Ford Motor Co. lured marketing hotshot Jim Farley away from Toyota Motor.

GM stock surged past $40 a share for the first time in more than two years, closing at $42.64, up 11.6% on the week. Ford shares rose 10% to $9.20.

If it's too early for Detroit to declare victory over automotive competitors from Japan, Korea and Europe -- and yes, it is too early -- we can at least enjoy this spate of good fortune for our much-maligned home team.

Still skeptical? OK, but have a listen to Maryann Keller, a relentless critic of Detroit's auto industry for the past three decades as a Wall Street analyst, author, consultant and now a director of two auto-related companies, Lithia Motors and Dollar Thrifty Automotive.

"For the first time in 30 years I think that Detroit is going to finally turn around," Walsh said Keller told him Friday.

"The cars are better, the management is smarter and the costs are down with these new contracts. The UAW and Big 3 have finally figured out how to save each other and create a headache for the Japanese."

Posted by Peter C. T. Elsworth  at 11:51 AM | Permalink


October 10, 2007

Union questions auto execs' pay packages

DETROIT — The United Auto Workers says it knows it needs to help Detroit's automakers cut labor costs to reduce the gap in production expenses with Asian rivals. But as talks continue on new contracts, the union also is questioning why top executives at the automakers are paid what they are, according to USA Today.

"As much as workers do, workers can't do enough, and as much as executives get, they cannot get enough," UAW President Ron Gettelfinger said during last month's two-day strike against General Motors.

During talks with GM, the UAW pointed out that while the automaker has complained that hourly wages and benefits are dragging it down, it has continued awarding bonuses to its top executives.

GM CEO Rick Wagoner earned $9.3 million in salary and bonus in 2006, nearly double what he earned in 2005.

Posted by Peter C. T. Elsworth  at 9:51 AM | Permalink


October 3, 2007

Restyled lineups click with buyers

Despite a difficult overall market, General Motors and Ford found a receptive audience for new and redesigned vehicles in September, giving hope that their evolving lineups could win back U.S. customers, according to the Detroit Free Press.

GM reported Tuesday U.S. sales in September of 334,974, up 0.3% from the same month last year. Sales of the redesigned Cadillac CTS were up 66.8% to 6,416.

Ford's U.S. sales, hurt by slumping truck figures, dropped 20.4% to 189,037. But a redesigned Escape was a bright spot with sales increasing 10.3% to 11,132.

GM and Ford were not the only automakers helped by new products. Sales for Honda Motor Co., which launched a redesigned Accord in September, were up 9.4% to 127,000.

Nissan was up 6.7% to 94,269 thanks largely to the Altima, redesigned in late 2006. A new coupe version was added this year.

Toyota's U.S. sales fell 4.4% in September to 213,043 vehicles, marking the third straight month of declines.

Chrysler LLC's sales were down 5.4% to 159,799. The Auburn Hills automaker emphasized that Jeep brand sales were down 10.6% to 37,460 in September because of a planned fleet reduction.


Posted by Peter C. T. Elsworth  at 10:17 AM | Permalink


Toyota picks up truck perks after weak sales

The pickup wars intensified Tuesday as Toyota announced new cut-rate versions of its full-size Tundra amid flat industrywide September sales in the hotly contested segment, according to USA Today.

The pickup developments were a facet of a September in which General Motors showed a slight sales gain for the second-consecutive month among all its divisions.

By contrast, second-place Toyota saw its sales drop 4% compared with the same month last year, Autodata reported. Ford took the biggest hit with a decline of 20.4% overall, and most painfully, 15% in the most-coveted sales to individual retail customers.

Overall, sales were down 2.9% for the month. After the first three quarters of the year, the industry remains down by almost the same amount it was at this time in 2006. Ford predicts the final tally for the year will make it the worst for automakers since 1998.

Posted by Peter C. T. Elsworth  at 10:14 AM | Permalink


October 2, 2007

Honda gains expected in September results

Ford and Chrysler probably lost U.S. market share last month as consumers spurned their pickups and SUVs in favor of fuel-efficient cars made by Honda, according to the Detroit Free Press.

Sales at Ford may have plunged 15% from a year earlier while Chrysler's fell 5.9%, according to the average estimates of seven analysts in a Bloomberg survey. Honda sales probably rose 9% while General Motors' gained 1%, helped by discounts, analysts said.

Posted by Peter C. T. Elsworth  at 9:26 AM | Permalink


September 27, 2007

Ford to give HD Radio a huge boost

Ford's decision to make HD Radio receivers a standard dealer-installed option across all of its models has finally given the technology the boost it needs to be more than a niche for audio fans, according to the Detroit Free Press's Mike Wendland

I remember the first time I heard HD Radio. It was at the Consumer Electronics Show in Las Vegas in 2002. It blew me away. AM stations sounded like FM stations. Music playing on FM stations sounded like a CD.

But what has stalled widespread HD Radio's adoption up to now has been the hassle of having to yank out the old radio receiver from the dashboard and replace it with a new one.

With radio controls embedded in the steering wheel on some models, that just became too painful for many consumers. The HD receivers have also been expensive, as much as $700.

Posted by Peter C. T. Elsworth  at 3:32 PM | Permalink


Chrysler, Ford deals may mirror GM accord

With a tentative agreement in hand with General Motors, the UAW expects to move quickly to lock in similar labor contracts with Chrysler and Ford, according to the Detroit Free Press.

"I think the pattern bargaining is still very much in play," UAW President Ron Gettelfinger said shortly after announcing the GM deal. "We expect this will basically be the same agreement."

Gettelfinger suggested that the UAW may try to finish up talks with Chrysler and Ford simultaneously.

During the past two contract talks, it took the UAW between 20 and 40 days from the day the first tentative agreement was reached until deals with all three automakers were ratified. If that holds true, a deal with all three of Detroit's automakers could be wrapped up in a month.

Posted by Peter C. T. Elsworth  at 9:35 AM | Permalink


September 26, 2007

Gettelfinger indicates simultaneous Ford, Chrysler talks

With a tentative agreement in hand with General Motors, the UAW expects to move quickly to lock in similar labor contracts with Chrysler and Ford, according to the Detroit Free Press.

“I think the pattern bargaining is still very much in play,” UAW President Ron Gettelfinger said this morning on WJR-AM radio. “We expect this will basically be the same agreement.” He said there could be some modifications for the individual automakers but “for the most part it will be a pattern agreement.”

Gettelfinger suggested that the UAW may try to finish up talks with Chrysler and Ford simultaneously.


Posted by Peter C. T. Elsworth  at 7:40 AM | Permalink


September 19, 2007

UAW-GM Work Toward Contract

DETROIT -- As General Motors and the United Auto Workers enter their fifth day of bargaining under hour-by-hour contract extensions Wednesday, the unique issues that each of the Detroit Three automakers faces could make it difficult to use an agreement with GM as a pattern contract for Ford and Chrysler, according to the Associated Press.
All three companies are grappling with dwindling market share, high health care costs and too much factory capacity, but Ford may negotiate temporary wage cuts, for example, because its financial situation is the most dire, and Chrysler's status as a private company could affect its contract.

Posted by Peter C. T. Elsworth  at 9:29 AM | Permalink


September 14, 2007

UAW talks extended; GM target for strike

The UAW has selected General Motors Corp. to be the lead negotiating partner, also known as a strike target, in the year's national contract talks, leading workers, analysts and labor experts to believe the union has agreed -- in principle -- to establish the retiree health care trust that the nation's largest automaker so desperately wants, according to the Detroit Free Press.

The union has agreed to indefinite contract extensions with Ford Motor Co. and Chrysler LLC, those companies acknowledged.

Posted by Peter C. T. Elsworth  at 11:14 AM | Permalink


September 13, 2007

2007 Ford Verve Concept

Say hello to Verve, Ford's small, fuel-efficient and affordable alternative, something that could go up against the likes of the Toyota Yaris or Honda Fit, according to thecarconnection.com.

And from the hints the U.S. automaker is dropping, its Verve concept may very well fill the small car hole in its lineup.

The concept builds on prior prototypes, such as the Iosis, which, in Ford-speak, introduced the new "kinetic design" philosophy. The sculpted form is designed to project both agility and muscularity - in sharp contrast to the cheap-and-cheerful small cars of the past.

Posted by Peter C. T. Elsworth  at 11:27 AM | Permalink


September 12, 2007

UAW-automaker talks ramp up as deadline nears

DETROIT — Negotiations between the United Auto Workers and Detroit automakers are intensifying as both sides try to settle on a new contract before the current four-year pact expires at midnight Friday, according to USA Today.

After Friday, the risk of a strike increases. Negotiators worked through last weekend attempting to hammer out a new contract, but deliberations are focusing on a complex health care deal that might take longer to hash out.

Posted by Peter C. T. Elsworth  at 9:53 AM | Permalink


September 10, 2007

Ford brews colors to suit your fancy

About a hundred years ago, Henry Ford declared that his Model T customers could have the vehicle in any color "so long as it's black."

But today, Ford Motor Co. engineers and designers are mixing a paint revolution in the secret confines of the company's Dearborn product development labs, according to the Detroit Free Press.

By 2009, 45% of Ford, Lincoln and Mercury cars and trucks will feature new, often trendsetting paint colors -- a color changeover that will be the biggest in the company's 104-year history.

Posted by Peter C. T. Elsworth  at 10:38 AM | Permalink


September 4, 2007

Ford, Toyota, Chrysler Sales Drop

Toyota, Ford and Chrysler each reported sales declines last month, but General Motors surprised industry analysts on Tuesday by showing an increase in a declining U.S. auto market, according to the Associated Press.

Toyota's 2.8 percent sales drop, Ford's 14.4 percent decline and Chrysler's 6.1 percent decrease were symptoms of what analysts said would be slumping U.S. auto market due to high gasoline prices, rising mortgage payments and turmoil in the financial markets.

But GM, led by increased pickup truck sales, showed an increase of 6.1 percent, while Nissan Motor Co. reported its sales increased 6.3 percent for August compared with the same month last year.

Posted by Peter C. T. Elsworth  at 3:59 PM | Permalink


August 24, 2007

Ford Stays the Course, Wherever It May Lead

DEARBORN — What has changed in the year since Alan R. Mulally left Boeing to be chief executive at Ford?

In a sense, everything and nothing, according to the New York Times' Micheline Maynard.
Since his appointment last September made him the first outsider in recent memory named to run a Detroit auto company, Mr. Mulally has brought discipline to a company known for rivalries and infighting.

An admirer of the development team that created the Taurus sedan, he revived the nameplate, most recently relegated to a rental car. He mortgaged virtually all of Ford’s assets to amass the billions of dollars the company needs for its restructuring, and he has put up for sale Ford’s British luxury nameplates: Jaguar, Land Rover and Aston Martin.

Despite that, Mr. Mulally, who turned 62 this month, has not dispelled concerns about the future of Ford, which Toyota passed this year for second place in the American market.

Posted by Peter C. T. Elsworth  at 9:48 AM | Permalink


Verve points to future for Ford

verve.jpg

Ford gave the first hint of its future small-car design vision in the new Ford Verve concept, photos of which were released Thursday, according to the Detroit Free Press.

The bullet-shape concept is bold, sporty and in a design style that Ford calls kinetic, for the visual effect that makes the vehicle look like it's in motion even when standing still.

The Verve, which will debut next month at the 2007 Frankfurt Motor Show, is the first of three subcompact concept vehicles that will debut in the key regions of Europe, Asia and North America.


Posted by Peter C. T. Elsworth  at 9:37 AM | Permalink


August 23, 2007

Mulally upbeat despite setbacks

DETROIT - Ford missed a key target for sales of new cars and trucks in the United States last month, according to the automaker's latest internal report card, which was released to employees Wednesday and obtained by the Detroit Free Press.

Cost savings are on track despite challenges, the report says, and employee optimism continues to grow, "but sales in July did not meet expectations."

Still, Ford Chief Executive Alan Mulally remains optimistic about Ford's future.

At a dinner with journalists Wednesday night -- set, in part, to commemorate Mulally's first year as the company's CEO -- Mulally said his vision for a new Ford, which is more centered than ever on the namesake blue-oval brand worldwide, is taking root.

Posted by Peter C. T. Elsworth  at 11:08 AM | Permalink


High-tech lights could save gas

In a big garage-size laboratory in Ford’s sprawling research complex in Dearborn, Mich., Mahendra Dassanayake stands beneath a planetarium-like dome that can replicate the sun.

It can surround new cars and trucks with an eye-squinting 5,000 watts of light. Or mimic the fading light of dusk. Or make the room turn black, like a backwoods street where there are no city lights or ambient light from the stars or moon.

The research here is about improving fuel economy with more efficient lights, such as those that use light-emitting diode (LED) bulbs, according to the Detoit Free Press.

About 5% of fuel consumption goes directly to power a vehicle’s interior and exterior lights, said Dassanayake, a senior staff technology specialist at Ford. So, more efficient lighting systems, which offer good luminosity with less power, could ultimately save consumers at the gas pump.

Posted by Peter C. T. Elsworth  at 10:51 AM | Permalink


August 21, 2007

Fuel cell Ford Fusion tops 200 m.p.h.

Last February, a group of Ford engineers set out to prove that an electric car powered by hydrogen could top 200 m.p.h. Last week, those engineers proved it, according to the Detroit Free Press.

The Ford Fusion Hydrogen 999 fuel cell car hit 207.297 m.p.h. at the Bonneville Salt Flats in Utah on Thursday and set a world record in the process. It is the world's first and only production-based fuel cell racecar.

Posted by Peter C. T. Elsworth  at 12:10 PM | Permalink


August 14, 2007

Ford Fusion hydrogen fuel cell car hits 161 m.p.h.

Two years ago, a group of Ohio State University students asked Ford Motor Co. if it was interested in building a hydrogen-fueled race car. On Sunday, the result of that proposal made history, according to the Detroit Free Press.

The Ford Fusion 999, a hydrogen- and electric-powered car designed to whip across the salty white desert during Bonneville Speed Week, zoomed across the infinite horizon at 161 m.p.h. It was the first time a hydrogen-powered car had ever competed at the salt flats, where all manner of modified, souped-up vehicles come every August to break land-speed records.

Posted by Peter C. T. Elsworth  at 10:21 AM | Permalink


Report: Ex-Ford execs bidding for Jaguar, Land Rover

Another former Ford executive has joined the bidding for Ford's Jaguar and Land Rover brands, a person familiar with the negotiations told the Associated Press on Friday, according to USA Today.

Nick Scheele has joined Ripplewood Holdings in its bid for the luxury brands that cash-strapped Ford is trying to sell, according to the person, who requested anonymity because the bidding is ongoing.

Posted by Peter C. T. Elsworth  at 10:00 AM | Permalink


August 7, 2007

Ford Rolls Out Eco-Friendlier Paint

Ford is testing a new 'eco-friendly' paint technology that reduces overall CO2 output by 15 percent, according to thecarconnection.com. And with a little luck, or calling around, you might be able to sample it yourself at a neighborhood U-Haul outlet.

About 200 Ford E-Series trucks made at the automaker's Avon Lake, Ohio plant and placed into duty as U-Haul rental vehicles have been painted with the new technology and will be put to use around the country as a way for Ford to test how well the new finish works in a heavy-use pattern. At U-Haul, the vehicles will be distinguished from the rest of the fleet through their "eco-friendly decals," according to a Ford release.

The new paint technology employs a high-solids (formulated with polymers), solvent-borne paint applied wet in three applications, with no prime coat. A smaller and cleaner paint shop compared with traditional painting facilities, and there's no need to 'bake' the paint.

Besides reducing CO2 emissions, the new system also cuts volatile organic compounds (VOC) by about ten percent, which gives it an advantage over both common solvent-borne and the water-borne paints being phased in by some companies. The water-borne paints, in general, carry a reputation for being more delicate than solvent-based coats.

Posted by Peter C. T. Elsworth  at 12:05 PM | Permalink


August 6, 2007

Switch still bedevils Ford; 3.6M more vehicles recalled

Ford will recall 3.6 million passenger cars, pickups, sport-utility vehicles and vans to address concerns about a cruise control switch that has led to previous recalls based on reports of fires, according to USA Today.

Ford said the recall covered more than a dozen vehicle models built from 1992-2007. The company said it was responding to concerns from owners about the safety of their cars and questions about the speed control deactivation switch in the vehicles that is powered at all times.

The automaker previously had recalled nearly 6 million vehicles beginning in January 2005 because of engine fires linked to the cruise control systems in pickups, SUVs and vans.

Posted by Peter C. T. Elsworth  at 3:54 PM | Permalink


July 30, 2007

How Ford Brought Power to the People

Three decades before the heyday of the muscle car, Henry Ford inadvertently invented the hot rod by bolting a 65-horsepower V-8 engine into a light, attractive body, according to the New York Times.

His breakthrough Ford Model 18 V-8 cost $460 in its most basic form, a two-door roadster, only $50 more than the same car powered by a four-cylinder engine. Ford figured that even in the depths of the Depression, this was within reach of the working class.

Six million Americans flocked to Ford dealerships on the announcement day.


Posted by   at 10:52 AM | Permalink


July 26, 2007

Ford Surprises Wall St. With 2Q Profit

Job cuts, slimmer losses in North America and good sales overseas helped Ford Motor Co. post surprise second-quarter earnings of $750 million, its first profitable quarter in two years, according to the Associated Press.

The company also confirmed it is exploring the sale of its Jaguar and Land Rover subsidiaries and said its U.S. market share rose during the quarter.

Posted by   at 11:13 AM | Permalink


July 19, 2007

Volvo sale not being discussed, Ford reiterates

Ford once again has said it isn’t in talks to sell Volvo Car Corp. following persistent rumors of a pending sale, according to the Detroit Free Press.

Speculation over the possible sale of Ford’s profitable Swedish automaker has been brewing for months. But, company officials maintain that there are no discussions currently taking place about selling Volvo.

Posted by   at 10:57 AM | Permalink


Ford Gets Bids for Jaguar, Land Rover

Ford has received several bids for its Jaguar and Land Rover units, but a spokesman said they were preliminary and no sale of either British automaking business was imminent, according to the Associated Press.

Thursday was a deadline to submit early bids on the two units, but a decision likely is several months away.

Posted by   at 10:42 AM | Permalink


July 18, 2007

Ford Seeking a Future by Going Backward

With its recent decision to entertain bids for Volvo, Ford appears to be shifting into reverse on its strategy, dismantling the collection of luxury auto companies - Jaguar, Aston Martin and Land Rover in addition to Volvo - that it once assembled with such confidence, according to an analysis in the New York Times.

Posted by   at 11:29 AM | Permalink


July 16, 2007

Ford Denies It's in Talks to Sell Volvo

Ford, responding to reports that it's putting its Volvo unit up for sale, said it is not negotiating with anyone to sell the Swedish automaker, according to the Associated Press.
The Sunday Times, citing unnamed sources in London, said the decision to sell Volvo, which is part of Ford's Premier Automotive Group, was made in the past two weeks, but that the timing of the sale had yet to be decided.

The New York Times, in a story posted Sunday on its Web site, said Ford would entertain offers for Volvo following a board meeting last week. The newspaper cited people whom it didn't name who it said had knowledge of the situation.

Posted by   at 10:15 AM | Permalink


July 13, 2007

Obama trades Hemi for hybrid

Sen. Barack Obama got new wheels since he last visited the Motor City, but still rides between a rock and a hard place, according to the Detroit Free Press.

He lectured Detroit automakers about their having failed to anticipate the effect rising oil prices would have on consumer buying habits in a May 7 speech to the Detroit Economic Club. Then, after he got an earful in return when it was revealed his car was a Hemi-powered Chrysler 300 that got 25 m.p.g. on a good day -- the senator from Illinois went green, switching to a hybrid.

In fact, he got a Ford Escape hybrid SUV, according to campaign officials. That was before Ford Executive Chairman Bill Ford Jr. blasted Obama in early June on Mackinac Island. There have been no reports that Ford's criticism has prompted Obama to turn it in.

Posted by   at 11:54 AM | Permalink


July 11, 2007

Big 3, UAW tackle health care

The United Auto Workers could end up taking responsibility for billions of dollars of retiree health care costs if Detroit's Big Three automakers can make the costly and complex transfer enticing for the union in this summer's contract talks, according to USA Today.

A deal might mirror Goodyear Tire and Rubber's recent union contract, under which Goodyear agreed to invest $1 billion into a fund controlled by the United Steelworkers to cover current and future retirees' health care expenses. Goodyear pushes a $1.2 billion liability off its balance sheet while the steelworkers' union gains an asset that protects retired workers' benefits and can't be touched by creditors should Goodyear ever file for bankruptcy.

Posted by   at 3:32 PM | Permalink


Ford says hydrogen cars close to production

The relatively quick-and-easy answer to foreign oil dependence and automotive greenhouse gas emissions is circling the grounds every day at Orlando International Airport in Florida, according to a top Ford official, USA Today reports.

It's a utilitarian 12-passenger parking lot shuttle bus powered by a 6.8-liter internal combustion hydrogen engine, which Ford officials said is their hydrogen technology closest to mass production.

Posted by   at 3:29 PM | Permalink


July 5, 2007

Ford Focus drives sales growth in China

Thanks to a refreshed 2007 Ford Focus, Ford said its retail sales in China jumped to 93,206 cars and trucks in the first half of the year, a 25% increase compared to the same period in 2006, accoording to the Detroit Free Press.

Ford sells imported and domestically produced Ford, Lincoln, Volvo, Jaguar and Land Rover models in the fast-growing Asian country.

Posted by   at 2:15 PM | Permalink


Detroit auto sales drop in June; Toyota surges

General Motors' U.S. sales plunged 21.3% in June and Ford dropped 8.1% while Toyota reported a 10.2% sales surge compared with a year ago, according to USA Today.

But Ford remained the No. 2 U.S. auto seller in June, edging Toyota, according to the June sales totals reported Tuesday.

Meanwhile, Nissan said its U.S. sales rose 22.7% and DaimlerChrysler's sales dropped 1.8%, the automakers said.

GM said it sold 320,668 passenger vehicles

Posted by   at 11:00 AM | Permalink


July 3, 2007

Despite 8.1% decline in sales, Ford, Mercury, Lincoln brands show life

Ford's sales fell 8.1% in June compared to the same month a year ago, but the company said in a news release that it was the first month since October 2006 that the Ford, Mercury and Lincoln brands posted a combined retail sales increase, according to the Detroit Free Press.

Retail sales exclude fleet sales, where vehicles are sold in bulk at discount to rental car companies and other businesses. As such, retail sales are considered a better gauge of true customer demand and future profits.

Posted by   at 2:25 PM | Permalink


Big 3 fire up incentives for July 4th

Detroit's Big Three automakers are rolling out some of their most appealing discounts of the year this holiday week, counting heavily on 0% financing to lure debt-strapped consumers, according to USA Today.

Posted by   at 11:52 AM | Permalink


July 2, 2007

Ford, Chrysler join fight against greenhouse gases

Ford and Chrysler have followed General Motors in joining the United States Climate Action Partnership, a coalition working to reduce greenhouse gases tied to global warming, according to USA Today.

The alliance of big business and environmental groups told President Bush in January that mandatory emissions caps are needed to reduce the flow of carbon dioxide and other heat-trapping gases into the atmosphere.

Ford and Chrysler on Wednesday announced their membership in the coalition.

Posted by   at 11:18 AM | Permalink


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