Ford Narrows Losses; Speeds Up Product Development
Date posted: 01-24-2008
DEARBORN, Mich. — Ford Motor Company announced Thursday that it lost money again in 2007 but significantly less than in 2006. The automaker antites another money-losing year in 2008 and plans to cut more costs and jobs while accelerating development of new products.
Ford reported that it lost $2.7 billion in 2007, significantly less than the record $12.6 billion lost in 2006. Ford said its automotive operations worldwide significantly pared losses, with all regions showing improvement. North American Automotive Operations continue to be a drain on Ford, while others increased profits.
To address its troubled North American Automotive Operations and brace for a tough 2008 market, Ford said it would offer buyouts to hourly workers. Ford's goal to turn a profit by 2009 remains.
At the same time, Ford said it would accelerate the development of new products and move toward globalizing vehicle architectures. The Ford Verve, scheduled to debut over the next couple of years on three continents, will be the first example. The Fusion-Mondeo and U.S.-European Focus architectures eventually will merge.
In the interim, Ford expects to get a boost in the U.S. from the midyear introductions of the revised Ford F-150, the new Ford Flex crossover and the new Lincoln MKS sedan.
What this means to you: A smaller Ford Motor Company, but more and better vehicles coming to Ford and Lincoln-Mercury showrooms — some of them derived from global offerings. — Michelle Krebs, Editor, Edmunds' AutoObserver.com
I wonder if this means we will be seeing aussi cars soon. Specifically the Ford Falcon.
Hey, Oldraven - did you catch the article in today's Chronicle Herald? It takes the same articles that are all over the internet about how Ford's losses weren't as bad as predicted and makes it look like bad news...
That would be BA.
If we do, it'll be a Lincoln, most likely. According to Ford, if they were to import the Falcon, it would cost more than anyone is willing to pay for a fullsize Ford.
They have been testing them at the Proving Grounds quite extensively lately. With left-hand drive.... When I can spill the beans, I will......:D
Nice. ;)
No, I didn't see that Carmen. I'll have to see if I can find it online.
LHD? They would spend the money to convert the car before committing to production? That seems odd, since they can just as easily test the cars in RHD form without the extra cost, and get the same results. Reports of Falcons in the US have been going on for a few months, but Ford keeps telling us it's too expensive for American pockets. The price comparison would be closer to BMW's than Chevy's.
I'm all for it, though, if it's true.
Sat in one with the LHD and seen a few others. Doesn't cost that much to convert a few at the proving grounds for testing. We'll see..