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Comfort Zone Investing: When to Sell a Stock

Ted Allrich — Sat, 06 Mar 2010 10:00:00 EST

Filed under: Ford Motor (F), Comfort Zone Investing

Many stocks have rallied significantly over the last year. In fact, if you bought almost any stock on March 9, 2009, you would have made a great deal of money. That was the low point for almost all stocks as the market gave in for its final capitulation and beat most of us over the head one last time with the heaviest frying pan it could find.

Stocks like Beazer Homes (BZH) and Ford (F) were selling for 24 cents and $1.65 last year. Other great bargains (in hindsight) were everywhere. It was as if the tree of stocks had been hit by a great gust of wind and all its fruit was lying on the ground. Everywhere you looked there were stocks selling for unbelievable prices. Of course, everywhere else you looked there was doom and gloom, ever increasing arguments that screamed "sell," not "buy." The world was definitely ending; capitalism was dead; there was no hope.

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Comfort Zone Investing: When to Sell a Stock originally appeared on BloggingStocks on Sat, 06 Mar 2010 10:00:00 EST. Please see our terms for use of feeds.

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Ford resists cutting dealer network, unlike GM and Chrysler

Brian White — Tue, 19 May 2009 18:00:00 EST

Filed under: Industry, Ford Motor (F)

Ford Motor Company (NYSE: F), while suffering through the largest auto industry malaise in generations, won't be closing legions of dealerships like General Motors Corporation (NYSE: GM) or Chrysler. In fact, Ford indicated that it will benefit from the closure of 2,000 auto showrooms from its domestic competitors -- one that has already filed for bankruptcy and another that is expected to shortly.

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Ford resists cutting dealer network, unlike GM and Chrysler originally appeared on BloggingStocks on Tue, 19 May 2009 18:00:00 EST. Please see our terms for use of feeds.

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Ford Motor CEO warns of stagnant sales through 2009

Elizabeth Harrow — Thu, 02 Oct 2008 14:51:00 EST

Filed under: Forecasts, Bad News, Ford Motor (F)

Alan Mulally, the CEO of Ford Motor Company (NYSE: F), voiced an unequivocally gloomy opinion about the future of the auto industry at the Paris Auto Show. After reporting a 34% plunge in auto sales for the month of August, Mulally warned reporters that "2009 is not going to be better than 2010. We won't see a recovery until 2010." He added, "The [economic] downturn is longer and deeper than we foresaw a year ago."

The auto exec added that it now expects the Russian market to stagnate next year; previously, Russia was the fastest-growing European market for Ford. Mulally sighed, "The problems of subprime and credit crunch are now all over the world." However, he clarified that the automaker's European production plants have the "flexibility" to withstand the expected downturn, and Ford generally has "the liquidity to deal with it."

As proof of that sufficient liquidity, Ford on Wednesday repaid $1.5 billion in debt as part of a routine transaction. Morgan Keegan analyst Pete Hastings told the Detroit Free Press, "It means they paid with cash," rather than drawing on a credit line. Hastings noted, "In a normal credit market, this wouldn't even merit a mention. But it isn't, so we're trying to interpret every little move."

Despite Ford's apparently stable cash position, investors today seem to be erring on the side of caution. The stock is down about 4% this afternoon to trade at $4.37. Today's plunge extends the equity's slump beneath staunch resistance from its 10-week and 20-week moving averages.

Elizabeth Harrow is an analyst and financial writer in the research department at Schaeffer's Investment Research. She is featured in the video series Schaeffer's Daily Q&A on SchaeffersResearch.com.

Ford Motor CEO warns of stagnant sales through 2009 originally appeared on BloggingStocks on Thu, 02 Oct 2008 14:51:00 EST. Please see our terms for use of feeds.

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Ford (F) sued for making too many 'limited edition' Mustangs

Brian White — Wed, 06 Aug 2008 13:15:00 EST

Filed under: Products and Services, Ford Motor (F), Marketing and Advertising

When you sell something as a "limited edition," you better mean it. But it turns out that a recent limited edition of the Ford (NYSE: F) Mustang was not that limited after all. And now a group of angry Mustang buyers are taking legal action against the troubled automaker.

Ford claimed that only 100 of the 2007 Roush Stage 3 BlackJack Mustangs would be made in 2007, and fans snatched them up as they went on sale. The car, which cost $59,000, was continued in 2008 and another 100 were made by Ford and Roush Performance Products. That fact didn't sit well with those who had purchased the 2007 model. (I remember the Chevy Camaro and Ford Mustang fanatics of the 70s and 80s -- and fans of both can be quite intense and still dote on their treasured vehicles to this day.)

in the end, though, "limited" doesn't really mean anything -- the number can refer to 10 or 1,000. The lawsuit states that the value of each of the 2007 Mustangs was harmed by the additional 100 cars made in 2008. But is this what true fans are really worried about? I doubt it -- it's hard to think of these vehicles as long-term investments. Their attraction comes more from being something unique. Perhaps it's a bit of both. The lawsuit, though, is claiming more than $12 million in damages. Doing the math, 100 vehicles times $59,000 equals just over $5.9 million. Multiply that by two and you get something close to $12 million. Apparently, the entire value of all 200 Mustangs from 2007 and 2008 are at issue here.

Could it really be just about money? Or is it more a matter of bruised egos? Either way, it could be expensive for Ford, which can't afford to lose another penny.

Ford (F) sued for making too many 'limited edition' Mustangs originally appeared on BloggingStocks on Wed, 06 Aug 2008 13:15:00 EST. Please see our terms for use of feeds.

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America's debt and gasoline withdrawal pangs

Peter Cohan — Sun, 27 Jul 2008 09:33:00 EST

Filed under: Consumer Experience, Ford Motor (F), Economic Data, Housing

President Bush is no stranger to drug and alcohol addiction. So when he talks about addiction, he's an expert. In 2006's State of the Union Address he lamented America's addiction to oil. It happens that Houston, where his father lives, is the best city in America for business thanks to ita ability to satisfy this addiction. And he gave a speech there just this week about Wall Street getting drunk.

Bush is right -- and the high price of debt and gas is causing America to use less of both -- creating withdrawal pangs for the U.S. economy. How high? We've borrowed $12 trillion in mortgages and $2.4 trillion in installment debt -- such as credit cards. And since banks lack sufficient capital, they are raising rates and tightening credit standards. And $4 a gallon gasoline is forcing America to use less -- demand has fallen by 300,000 barrels a day.

The near term future of the U.S. economy depends on how far the prices of goods -- such as houses and automobiles -- will fall thanks to those higher debt and gas prices. With the spike in the cost of debt and gas, people are cutting back consumption of everything else. In Maine, according to Shoshana Zuboff, heating oil prices are so high that many won't be able to afford much of anything besides heating their homes this winter. We are creating a paradise for survivalists.

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America's debt and gasoline withdrawal pangs originally appeared on BloggingStocks on Sun, 27 Jul 2008 09:33:00 EST. Please see our terms for use of feeds.

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Is the Ford turnaround for real?

Jonathan Berr — Thu, 24 Apr 2008 13:22:00 EST

Filed under: Earnings Reports, Ford Motor (F), Boeing Co (BA), Economic Data

Shares of Ford Motor Co. (NYSE: F) are soaring today after the automaker reported the best kind of earnings -- an unexpected profit.

The automaker earned $100 million, or 5 cents a share, compared with a loss of $282 million, or 15 cents, a year earlier. Wall Street had expected the company to lose money. Revenue was $43.5 billion, up slightly from a year earlier. Excluding discontinued operations and one-time items, profit was $525 million, or 20 cents.

"The results of this quarter are encouraging, particularly our outstanding performance in Europe and South America," said CEO Alan Mulally in the earnings release. "We believe this is an indication that our
efforts to leverage Ford's global assets across the world will bear fruit."

Cost cutting certainly helped. The company's North American Automotive business had a pre-tax loss of $45 million, down from $613 million a year earlier, as it slashed $1.2 billion in costs. But that's still not enough, and the company knows it. More layoffs are looming, according to the Detroit Free Press.

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Is the Ford turnaround for real? originally appeared on BloggingStocks on Thu, 24 Apr 2008 13:22:00 EST. Please see our terms for use of feeds.

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Newspaper wrap-up: BHP CEO lashes out at Rio Tinto

Laurie Pasternack — Wed, 23 Apr 2008 08:37:00 EST

Filed under: Newspapers, Magazines, Ford Motor (F), AT and T (T), BHP Billiton Ltd ADR (BHP), Rio Tinto plc ADS (RIO)

MAJOR PAPERS:

The Wall Street Journal reported that Ford Motor Company (NYSE: F) CEO Alan Mulally isn't done cost-cutting. According to people close to the situation, Mulally is considering more job cuts, selling its Volvo brand and closing the troubled Mercury brand.
BHP Billiton Limited (NYSE: BHP) CEO Marius Kloppers strongly criticized Rio Tinto Plc (NYSE: RTP) and its CEO yesterday, the Financial Times reported. BHP Billiton has outperformed Rio Tinto in several areas, including share price appreciation and EPS growth, said Kloppers, adding, "On every metric I can envisage they [Rio] have been beaten."

OTHER PAPERS:

According to the Economic Times, AT&T Inc (NYSE: T) is reportedly in preliminary talks with Malaysia's Maxis Communications about buying its 74% stake in Indian cellular phone company Aircel, sources said.
The United Auto Workers union has rejected several "generous" benefit and wage proposals, according to American Axle & Manufacturing Holdings Inc (NYSE: AXL). In a statement yesterday, the Detroit News reported that American Axle said while tentative agreements had been reached on several issues, the UAW "repeatedly rejected" other proposals that were "considerably higher than the market rate."

Newspaper wrap-up: BHP CEO lashes out at Rio Tinto originally appeared on BloggingStocks on Wed, 23 Apr 2008 08:37:00 EST. Please see our terms for use of feeds.

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Newspaper wrap-up: Washington Mutual to exit wholesale lending?

Laurie Pasternack — Tue, 08 Apr 2008 08:58:00 EST

Filed under: Newspapers, Magazines, Ford Motor (F), General Motors (GM), Boeing Co (BA), Washington Mutual (WM)

MAJOR PAPERS:

General Motors Corporation (NYSE: GM) and Ford Motor Company (NYSE: F) want to export more of their vehicles around the globe, and are getting a lift from new labor contracts and the weak dollar, which they believe will translate to bigger profits, the Wall Street Journal reported.
The Wall Street Journal also reported that former Fed chairman Alan Greenspan has been criticized for how he handled the economy before retiring two years ago, and is under attack for policies that many say started the current financial crisis.

OTHER PAPERS:

According to a person with knowledge of the matter, the Seattle Post-Intelligencer reported that The Boeing Company (NYSE: BA) is likely to announce a new delay of at least six more month for the 787 Dreamliner this week.

WEB SITES:

According to 'numerous sources,' Housing Wire reported that Washington Mutual Incorporated (NYSE: WM) may have decided to exit wholesale mortgage origination.

Newspaper wrap-up: Washington Mutual to exit wholesale lending? originally appeared on BloggingStocks on Tue, 08 Apr 2008 08:58:00 EST. Please see our terms for use of feeds.

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Market highlights for next week: Happy New Year!

Eric Buscemi — Fri, 28 Dec 2007 16:00:00 EST

Filed under: Before the Bell, Ford Motor (F), General Motors (GM)

Monday, December 31

PDUFA date for Pharmacyclics (NASDAQ: PCYC)' Xcytrin for treatment of non-small cell lung cancer patients with brain metastases.

Tuesday, January 1

Markets closed for New Year's holiday.

Wednesday, January 2

PDUFA date for SkyePharmaceuticals (OTC: SKYEY) and Sciele Pharmaceuticals (NASDAQ: SCRX) Sular Formulation for Hypertension. The FDA extended the PDUFA Date from November 2, 2007.

Thursday, January 3

Ford Motor Company (NYSE: F) to report monthly sales at 1pm
General Motors (NYSE: GM) to report monthly sales at 2pm.
AngioDynamics (NASDAQ: ANGO) to report Q2 earnings; conference call at 4:30pm.

Friday, January 4

Millennium Pharmaceuticals (NASDAQ: MLNM) to provide guidance at 8am.
Checkpoint Systems (NYSE: CKP) to provide guidance at 10am.
Federal Reserve Govenor Kohn to provide keynote speech at the AEA Annual Meeting in New Orleans at 11:45am.

Market highlights for next week: Happy New Year! originally appeared on BloggingStocks on Fri, 28 Dec 2007 16:00:00 EST. Please see our terms for use of feeds.

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Ford to keep Volvo, lose new plant

Michael Rainey — Fri, 16 Nov 2007 12:37:00 EST

Filed under: Ford Motor (F)

The Ford Motor Company (NYSE: F) recently announced that it has decided to keep Volvo, despite Ford's current plan to focus on its core American brands. Ford's other two foreign brands, Land Rover and Jaguar, will be sold and should be out of Ford's hands by early 2008.

An analyst quoted in The New York Times stated that Ford's plan to keep Volvo was not a positive development. Brian Johnson, of Lehman Brothers, speculated that Ford was unable to find a buyer for Volvo, or at least one who would pay a good price. Ford has owned Volvo for eight years, paying $6.45 billion for it in 1999. Although Ford does not provide detailed financial reports for Volvo, it did state that Volvo lost money in the last quarter.

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Ford to keep Volvo, lose new plant originally appeared on BloggingStocks on Fri, 16 Nov 2007 12:37:00 EST. Please see our terms for use of feeds.

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Ford ready to shelve some autos if sales fall further

Douglas McIntyre — Wed, 14 Nov 2007 09:43:00 EST

Filed under: Earnings Reports, Forecasts, Bad News, Industry, Competitive Strategy, Ford Motor (F)

Just when it looked like things might be going right at Ford (NYSE: F), it may be going wrong again. The company, which reported a better third quarter than Wall Street expected, said that a bad U.S. economy might drive sales down and force the company to cut production on some vehicles. The No. 2 car maker has faced double digit sales declines in most of its monthly reports this year.

In statements picked up by Reuters, Ford CEO Alan Mulally said, "The business environment has clearly gotten tougher. It's gotten tougher and we want to be ready to move if we need to."

The comments cannot hearten the UAW, which just gave Ford a nifty new contract. Lower production and idling of plants generally means layoffs. The UAW may have won a big battle, but part of the war now still appears to be ahead.

Ford has reached an interesting tipping point. If it is going to compete with other large car companies in the U.S., it needs to have a full line of cars and light trucks. It also needs to have the capacity to increase production when the markets begin to improve. Ford may cut more workers, layoff more managers, and stop production at more facilities. But at some point, it is only half a car company by size. And that means an end to Ford as it has been known for almost 100 years.

Douglas A. McIntyre is an editor at 247wallst.com.

Ford ready to shelve some autos if sales fall further originally appeared on BloggingStocks on Wed, 14 Nov 2007 09:43:00 EST. Please see our terms for use of feeds.

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Ford (F) hires top Lexus (TM) exec

Michael Rainey — Fri, 12 Oct 2007 10:28:00 EST

Filed under: Management, Ford Motor (F), Toyota Motor Corp. (TM)

As the saying goes, if you can't beat 'em, join 'em -- or at least hire 'em to join you. Ford Motor Co. (NYSE: F) announced late yesterday that it has hired James D. Farley as its new marketing chief. Until recently, Farley was a VP at Toyota Motor Corp. (NYSE: TM) and general manager of Toyota's luxury Lexus division. Before heading Lexus, he helped launch Scion, Toyota's successful new brand aimed at youthful buyers.

The Detroit News, which covers the car industry like a hungry dog on a juicy ham bone, has this to say: "It's hard to overstate the symbolism of Farley's appointment by Ford. That a rising Toyota star, the head of Lexus and a founder of its Scion youth brand would bolt the Japanese juggernaut for the struggling Blue Oval is a testament to Mulally's leadership, the strength of Ford's current lineup, the promise of its future products and the upside in it all."

Ford is not the first American car company to raid the world's leading auto producer. A month ago, Chrysler snagged James Press, the top-ranking Toyota executive in North America who joined the Chrysler Group as Vice Chairman and President. And it hired Deborah Wahl Meyer, the former head of marketing for Lexus, to be its chief marketing officer.

It's hard to see this as anything but good for Ford and the American car makers. Decades ago, foreign producers visited Detroit to learn how the world leaders made cars. Now the playing field is much more even, with Toyota in particular giving Ford and General Motors (NYSE: GM) a run for the money. In the recent hiring of Toyota executives, we can see that the American companies have finally admitted that they are no longer the best at what they do, and that they are willing to learn from their competitors. With any luck, the end result will be stronger American cars that can better compete with already excellent products coming from overseas.

Ford (F) hires top Lexus (TM) exec originally appeared on BloggingStocks on Fri, 12 Oct 2007 10:28:00 EST. Please see our terms for use of feeds.

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Ford (F) Taurus wins Do-Do Award as sales plummet

Michael Rainey — Fri, 05 Oct 2007 10:03:00 EST

Filed under: Products and Services, Ford Motor (F), General Motors (GM), Marketing and Advertising, Toyota Motor Corp. (TM)

The newly created Do-Over and Do-Again (or Do-Do) Award was recently bestowed on the Ford Motor Company's (NYSE: F) Taurus sedan and Taurus X wagon. Christopher Jensen, who reviews cars for The New York Times, invented the not-quite-complimentary award just for the Taurus, in recognition of Ford's effort to recover from the missteps the company made introducing the Ford 500 in 2005. According to Jensen, "The Do-Do recognizes the automaker who tries the hardest to compensate for not having taken full advantage of the opportunity when originally introducing a vehicle."

Jensen has some nice things to say about the new Taurus, which is really a revised 500. It's roomy, comfortable, handles nicely and has lots of storage space. The problem is that Ford did not offer the current version of the car right off the bat. Jensen argues that if the 2008 Taurus had been the 2005 500, it might have been a great and popular car. But Ford blew it, rushing an inferior version to market, then paying the price with lackluster sales and now this confusing new/old name. In the meantime, competitors including Toyota Motor Corporation (NYSE: TM), Honda Motor Ltd. (NYSE: HMC) and General Motors Corporation (NYSE: GM) have produced new generation sedans that are at least as good if not better.

As Michael Fowlkes noted earlier this week, Ford saw a 21% decline in U.S. sales in September. The Taurus did even worse, selling 30% fewer cars than the 500 did a year ago. This is a shame, since by all reports the new Taurus is a solid car. The engineers did a good job designing it, and the auto workers do good work building it. The problem, I suspect, lies in poor planning at the corporate level. Years of neglecting cars in favor of SUVs is still hurting the American automakers, and perhaps Ford worst of all.

Ford (F) Taurus wins Do-Do Award as sales plummet originally appeared on BloggingStocks on Fri, 05 Oct 2007 10:03:00 EST. Please see our terms for use of feeds.

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Why Ford should keep Volvo

Michael Rainey — Thu, 26 Jul 2007 10:45:00 EST

Filed under: Daimler (DAI), Ford Motor (F), General Motors (GM)

Ford Motor Company (NYSE: F) is currently taking bids on parts of its Premier Automotive Group, which includes Jaguar, Land Rover and Volvo. (Another Premier brand, Aston Martin, was sold to investors in March for roughly $900 million.) There has been speculation that the Indian automaker Tata Motors (NYSE: TTM) may be interested in the two British luxury brands, but so far Ford has denied that it is selling Volvo. Ford's denials have been fairly weak, however, and it stands to reason that given Ford's rather desperate need for cash, it would sell the Swedish car maker -- the only profitable part of the Premier Automotive Group -- if the price were right.

It's pretty clear that Ford is in trouble, having mortgaged its plants and property -- and even its hallowed name -- to raise cash to support current operations. As Kevin Shult wrote last week, Ford is a symbol of the hard times facing American automakers, which are stuck offering large, heavy, inefficient vehicles to consumers who now want something better. There's plenty of blame to go around for the problems in Detroit. While many analysts focus on labor costs, especially retiree health care, I would argue that poor management, weak investment, and mediocre design and engineering are at least as important. And that's where Volvo can play an important role in helping Ford recover.

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Why Ford should keep Volvo originally appeared on BloggingStocks on Thu, 26 Jul 2007 10:45:00 EST. Please see our terms for use of feeds.

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Market highlights for next week: GM, Ford to report June sales numbers

Eric Buscemi — Fri, 29 Jun 2007 16:00:00 EST

Filed under: Earnings Reports, Conventions and Conferences

Monday July 2

CRH PLC (NYSE: CRH) to hold conference call to give a trading update statement.
UAP Holding Corp (NASDAQ: UAPH) to report Q1 earnings; conference call at 5pm.

Tuesday July 3

U.S. markets close at 1pm for July 4th holiday.
Ford Motor Company (NYSE: F) to release June sales results at 1pm.
General Motors Corporation (NYSE: GM) to release June sales results at 2pm.

Wednesday July 4

U.S. markets closed for July 4th holiday.

Thursday July 5

Healthways Inc (NASDAQ: HWAY) to report Q3 earnings; conference call at 5pm.

Friday July 6

Laidlaw International (NYSE: LI) to report Q3 earnings; conference call at 10am.

Market highlights for next week: GM, Ford to report June sales numbers originally appeared on BloggingStocks on Fri, 29 Jun 2007 16:00:00 EST. Please see our terms for use of feeds.

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Ford revival 'on track,' according to CEO Mulally

Brian White — Tue, 26 Jun 2007 16:20:00 EST

Filed under: Products and Services, Rants and Raves, Competitive Strategy, Ford Motor (F)

From initial appearances, new Ford Motor Company (NYSE: F) CEO Alan Mulally is making great progress in turning around the fledgling automaker from a series of huge losses (quarters and years) into turning out vehicles customers actually want and are buying in decent numbers. The huge SUV and gas-guzzling full-size car that remained specialties of Ford for so long are being replaced by the Fusion mid-size/compact and smaller crossover SUVs like the Edge, according to recent monthly sales results. Mulally said recently that his "Way Forward" plan on revitalizing Ford is on track, if not slightly ahead of schedule. For Ford investors looking for good Ford news in the face of recent disastrous quarters and fiscal years, this is music to the ears.

Although Ford saw a 12% sales decline from January to May of this year, the automaker has made many right moves to correct the ship and get its product portfolio more competitive to Toyota Motor Corporation (ADR) (NYSE: TM), Honda Motor Co., LTD. (NYSE: HMC) and even Nissan Motor Co., LTD. (NASDAQ: NSANY). Mulally's "Way Forward" plan to get Ford back on track relies partly on product planning, getting unions to cooperate with business needs (always a nightmare), and competing with the newest #1 seller on the planet, Toyota. Neat job if you can get it, but as he said recently, he's making progress.

I'm not sure that changing the name of the Ford Five Hundred luxury sedan back to the venerable "Taurus" name will do anything but give the automaker good press, but who knows. At one point, the Taurus was the most popular sedan nameplate in the country, even selling more than the Toyota Camry (the Taurus did this for years). Mulally says that Ford is on plan with regards to the company's turnaround, and he's probably right about that. Sometime in 2009 Ford should be profitable again, according to Mulally. But, until then, there's quite a bit of hard work left to be done.

Ford revival 'on track,' according to CEO Mulally originally appeared on BloggingStocks on Tue, 26 Jun 2007 16:20:00 EST. Please see our terms for use of feeds.

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GM, Ford and Chrysler have too many dealers

Brian White — Tue, 19 Jun 2007 16:10:00 EST

Filed under: Products and Services, Competitive Strategy, Ford Motor (F), General Motors (GM)

Detroit's big three automakers are meeting with federal officials this week to try and address the mandate of 30mpg trucks and 35mpg passenger cars by 2020 (and beyond). Most likely, Ford Motor Co. (NYSE: F), General Motors Corp. (NYSE: GM) and Chrysler (in the process of being bought by Cerberus Capital Mgmt.) will state and build cases that it will be very unlikely that such fuel-efficient cars and trucks can be made in such a short time. In fact, all automakers that sell cars and trucks in the U.S. need to come to a common front or this new regulation will be completely doomed (according to industry watchers). Moving outside the fuel economy arena, though, are there even bigger problems with U.S. automakers these days?

How about a complete surplus of dealers? The actual number of Ford, GM and Chrysler dealers, based on autos sold, is huge: GM has nearly 7,000 dealers, Ford has 4,200 and Chrysler has 3,700. Based on sales of domestic cars and trucks in the last few years and the increasing presence of Toyota Motor Co. (which is outselling almost every other manufacturer in the U.S.), these numbers -- almost 15,000 dealers -- seem a bit high. Sure, the big three are in the process of reducing the ranks of dealers to fit current (and projected) business needs as the personal transportation market continually changes, but it can't happen fast enough.

Compare this to Toyota, whose dealer count in the U.S. tops out at about 1,400 dealers, while Toyota vehicles are just as (if not more) popular than most domestic nameplates from the big three. What has Toyota done to keep its dealer count low while selling more cars? Responding to the market's needs a lot faster? You bet. Marketing itself as the most reliable and dependable automaker? Sure. Can the big three recapture business from Japanese automakers by thinning the ranks of dealers? That's a start, but it's not any more than that.

GM, Ford and Chrysler have too many dealers originally appeared on BloggingStocks on Tue, 19 Jun 2007 16:10:00 EST. Please see our terms for use of feeds.

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27,000 Ford workers have left with early retirement so far

Brian White — Mon, 18 Jun 2007 11:48:00 EST

Filed under: Ford Motor (F), Employees

Ford Motor Co. (NYSE: F) CEO Alan Mulally has a grand master plan to return Ford back to profitability by 2009, and he's making tons of cost-cutting and marketing moves to get there. Even with former Boeing exec Mulally at the helm, turning around Ford is no easy task seeing as that the company just had one of the worst years in its entire history. Too many workers, too many factories, not enough sales and an incorrect product mix. Add all that together along with the inability to react fast enough to market changes and Ford set itself up for failure.

Part of Mulally's plan to get Ford back on track is the "rightsizing" of the employee base. The CEO would like to see the number of employees more closely aligned with the needs of the company. He wants to ensure the right employee base can get the right amount of vehicles -- that customers want -- out the door and onto dealer lots just as demand materializes. So far, about 27,000 hourly workers have left Ford in the last year, with most of them having accepted buyout and early retirement packages. This was planned, of course, and the retirement and buyout strategy has worked well for Ford. Right now, there are about 10,000 workers left at Ford who signed up for the early retirement packages but who have yet to leave the company (a total of 37,00 employees signed up for it).

Mulally's "Way Forward" plan is set to take Ford into the future using long-term vision and ultimate flexibility, and so far the CEO is getting there as well he should be (seeing as the board granted him more than $17 million just to recruit him for the job before he had done anything). So far, Ford investors are probably liking what Mulally has done to get the Ford ship turned around, although there is much work to be done. If current results are any indication, it's already doing a good job with its products.

27,000 Ford workers have left with early retirement so far originally appeared on BloggingStocks on Mon, 18 Jun 2007 11:48:00 EST. Please see our terms for use of feeds.

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Ford looking to smaller engines in future

Brian White — Tue, 01 May 2007 17:19:00 EST

Filed under: Rumors, Products and Services, Ford Motor (F)

Will American consumers ever see $2.00/gallon gas prices again? Maybe, maybe not. Regardless, current high gasoline prices are pressuring automakers to get more efficient on engine models or make engines that burn less gas -- or a combination of both. Toyota Motor Corporation's (ADR) (NYSE: TM) hybrid models have been marketed perfectly to address this need, and more hybrid or alternative-energy cars and trucks are being shipped than ever before.

What are U.S. automakers who just love larger V6 and V8 engines to do? Start down the path to more efficient and smaller engines, of course. Susan Cischke, Ford Motor Company's (NYSE: F) new senior vice president for sustainability, environment and safety engineering, has a job that required her to look a few decades into the future.

What does she see? The internal combustion engine will still be around, although efficiency will have greatly increased along with other metrics that balance performance with engine output. How will Cischke find out what customers want to drive while at the same time making sure Ford is a good steward of the environment? That's her biggest challenge according to statements from the 53 year-old.

Although Ford's trucks are worldwide best sellers, the engines they have are gas guzzlers (as are most full-size truck engines). The American market has already seen that larger SUVs are no longer the preferred mode of transportation due to gas (in)efficiency, but will Ford get more efficient with that segment along with competitor GM soon with a smaller engine? Doubtful -- current technology can't drive a hulking SUV with a 2.0L, 4-cylinder engine. But, that kind of efficiency is what many of us want to drive these days just to save on energy costs, right?

Ford looking to smaller engines in future originally appeared on BloggingStocks on Tue, 01 May 2007 17:19:00 EST. Please see our terms for use of feeds.

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Ford bends to Russian workers

Michael Fowlkes — Thu, 01 Mar 2007 11:58:00 EST

Filed under: International Markets, Good news, Industry, Competitive Strategy, Ford Motor (F), Russia

Auto giant Ford Motor Company(NYSE: F) has had a lot to think about lately. The company is in the middle of a massive $11 Billion restructuring plan as it tries to climb back to profitability. The last thing it wants to have to deal with is trouble in its foreign assembly plants, but that is exactly what happened this month in Russia.

Two weeks ago, workers in the company's Russian assembly plant in Vsevolozhsk, near St. Petersburg, decided to flex their muscles by walking off the job for a 24-hour period. The workers threatened to go on a full blown strike if the company was not willing to come to a more favorable agreement with the labor union.

Today Ford has announced that they have been able to reached a compromise with the labor union that will enable operations to stay in full swing. The plant, which is Fords' only plant in the country, produced around 60,000 vehicles last year, and they are hoping to see that production output lift to about 75,000 this year. Ford agreed to give employees a wage increase of between 14 and 20%. The monthly workers at the plant are averaging between $500 and $700 a month for their work.

Russia has seen it's overall economic situation improve over the last year resulting from rising oil prices. More and more citizens can afford new cars. Because of this there has been a lot of interest from car manufacturers in setting up plants in the country. While the rapidly improving situation in Russia's auto industry isn't going to pull Ford out of it's troubles, it is still a good sign for the company to be back on good terms with its workers there.

Ford bends to Russian workers originally appeared on BloggingStocks on Thu, 01 Mar 2007 11:58:00 EST. Please see our terms for use of feeds.

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