Politics for Pros- moderated Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Politics for Pros- moderated

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: ManyMoose who wrote (251206)	5/22/2008 10:47:52 AM
From: goldworldnet	Read Replies (2) of 793851

Ford announces cuts for North American production of pickups, SUV's ASSOCIATED PRESS • May 22, 2008 pal-item.com 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 this morning. 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. "Unless there is a fairly rapid turnaround in U.S. business conditions, which we are not anticipating, it now looks like it will take longer than expected to achieve our North American Automotive profitability goal," Ford President and Chief Executive Alan Mulally said in a statement. Ford said it will cut production by 15 percent in the second quarter, 15 to 20 percent in the third quarter and 2 to 8 percent in the fourth quarter. The cuts will primarily affect pickups and sport utility vehicles, which have seen sales plummet in recent months. Ford plans to increase its production of cars and crossovers through additional shifts and overtime. But the company's mix of vehicles remains heavily tilted to trucks and SUVs. Ford had said in March it planned to cut second-quarter production by 10 percent and confirmed additional cuts at factories in Michigan and Kentucky earlier this week. But it revealed the full extent of the cuts today. Production cuts hurt revenues because automakers book vehicles as sold once they leave the factory. Consumers have been shifting to smaller, more fuel efficient cars in the last few months at a pace that stunned the industry. Through April, U.S. sales of subcompact cars shot up 33 percent, while sales of large SUVs were down 29 percent, according to Autodata Inc. Overall U.S. sales were down 8 percent in that period. * * *

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next