Ford Posts Record Net Loss Of $12.7 Billion In 2006 »
Posted By TimALoftis 1 year, 8 months ago in Business & FinanceFord Motor Co. posted a $12.7 billion loss in 2006, the largest annual loss in the fabled automaker's 103-year history.
Read Full Story at usatoday.com »
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TimALoftis
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hecuba1 year, 8 months ago
You are correct about the move to hybrid cars...however, there is really no excuse as to why Ford and the other major US auto makers are below the eco-standards of almost every other nation on the planet in producing and marketing 'green technology'....
Say what you will, it is a true sad fact that even with an 'agressive' plan to move more into the environmentally freindly market...our manufacturers will take several years merely to arrive at the higher standards required by The Peoples Republic of China (or California even)TODAY!
Because of their own lack of innovation and corporate resolve, our manufacturers are not allowed to sell their cars to most of the world...and they want us to feel sorry for them? I don't think so.
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hecuba1 year, 8 months ago
The fact that there is a loss, is the fault of whom?
If international sales are not the problem because half of thhe loss was due to N. American sales...what was the cause of thhe other half of the loss?
If America wants a manufacturing base...they should buy American... What if the American companies simply are NOT offering the products the consumer wants to buy...?
I don't buy the 'need to outsource argument'....simply re-tooling and re-ordering their priorities..with the current facilities & workforce would do the job...reasonably inexpensively...NO one is saying this will be free, or not cost money...Detroit is way behind the rest of the world and has been for more than a decade.....
Can you tell me that this is not true?
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Formidable1 year, 8 months ago
A few thoughts:
1. Ford produces a full line of vehicles - the market chose the pick up trucks and SUV over the Focus and other small cars
2. Ford has been weak in design innovation compared to Chrysler and GM
3. Ford engineering has a problem working with their other divisions like Volvo and Jaquar which does not allow for commonization of technology and components. Chrysler and Daimler Benz do a good job here
4. Ford is weak in benchmarking. GM chose to benchmark Toyota which is smart
5. All domestic vehicle manufacturers share the same largest vendor - The health insurance company
6. Domestic automakers are at a /- $1700.00 disadvantage compared to the Asian transplants because of the benefits they have agreed to in their labor contracts
7. Retiree benefits are also very expensive
8. Ford has pledged all of their assets in the "Way Forward" restructuring plan. For the sake of their employees, the economy and Ford I wish them the best in a most difficult business.
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saneman1 year, 8 months ago
It is obvious why Ford is seeking $500 million from the government for battery research. Of course, the $500 million is a far cry from the $12.7 billion loss, but any little bit helps. Maybe, Ford should work with the company who is making the Loremo in Germany, and they might make a profit of $12.7 billion. For more information as to the Loremo. Search "Loremo" and you will get all the information about the Loremo including great pictures. Hopefully, the CEO of Ford has enough business sense to make a comparable car. Just think, the Loremo reaches over 100 mph and the price is under $20,000.
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hecuba1 year, 8 months ago
Sorry the old time socialist in me must point out that if a social service group trying to produce better healthcare for poor people asked for $500 million, I can't imagine the major stockholders of Ford supporting that kind of welfare....but corporate welfare is of course okay by them.
Corporate top executives make somewhere in the neighborhood of 400 times that of the average worker.....do the math. Let 'em take a pay cut...they put the company into the situation...let them get it out.
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mivan41 year, 8 months ago
You really don't care for the average American do you ?
Maybe only yourself. Execs wont take a cut they already GOT theirs and most likely wont risk it. The ones that will loose
if we loose our Manufacturing base are those in almost every
walk of life in America. Including most likely yourself!!
Manufacturing is the back bone Wake UP!! Movies wont sell to
a population that has no money. Neither will cars or restraunts. Peoples health will decline, Infact just about everything will decline and it has been actually doing this for a long time. And how will the Rich execs fare They will
still have their money and it will be worth even more, for people will do just about anything to get it at that point.
Boy cotting American Buisness is a BAD decision. Everyone
talks about how American poducts don't stack up. Funny
when I buy Tools for buisness its the American ones that out Last and outperform almost without exception.Yet for some
unforseen reason many have a perverted perception on this
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joemont1 year, 8 months ago
The reason they make 200 to 40 times what the average worker makes IS because they produce, in most cases, 200 to 400 time what the average worker produces in company value, stock and profits. WE have this thing called the Stock Market that many 401K's are invested in. You know little things like that that help the world's largest economy flourish and generate more goods and services for more people than any economy in the history of the world.
Yeah I know it ain't perfect, but, it so far ahead of whatever is in second place its not even a race.
Since you are an admitted old time socialist it might help to remember we are a Capitalist system driven country.
Perhaps a condo in Sweden would be more suitable to you? LOL (just kidding)
Go Jayhawks!!!
(:>)
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joeblowe1 year, 8 months ago
I think someone is off the mark here. I don't think people want "smaller, more fuel efficient cars", I think we want LARGE fuel efficient cars. Proper management of hybrid technology and regenerative braking SHOULD (I think) be able to make that achievable. Ford is just a little slow off the mark. Also, let's just admit it: booorrring. Someone there needs to think back to how very successful the taurus and thunderbird were a few years ago. Then maybe the bulb will light up and they will realize that innovation in design sells a lot of cars.
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saneman1 year, 8 months ago
Really? Is that why all Japanese-made cars are out selling anything made in America? I do believe that the rich people want the big vehicles, but it's not possible for everybody to be rich. I think its clear that big vehicles weigh more and need a lot more power and along with the more power, they will use a lot more fuel.
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markso1251 year, 8 months ago
As a note the best selling vehicle in america right now is not a car, nor is it japanese it is the F150 made by ford. As for the reliability compare the recalls Toyota has in the last year in comparison with Ford, Chrystler, and General Motors. (my favorite one is when you slam the door on a Scion the air bags go off) you will be greatly surprised when you look at the ratio of vehicles sold versus the amount or recalls put forth on the vehicles. It is not so much as Ford is loosing ground or the fact that they don't make good vehicles, all of the American car companies are loosing ground and it is as previously mentioned it is all about profit margin. The Japanese companies don't pay all of the retirement and health care benefits that the American companies have to pay. If you removed that from all of the cars sold every one of the american companies would easily out perform the foreign companies.
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Dionys1 year, 8 months ago
Hybrid technology and regenerative braking for SUVs has brought the Ford Escape(not a big SUV)'s fuel efficiency rating to almost the level of a non-hybrid Honda Civic. In my mind, ~32mpg isn't particularly fuel efficient.
Ford's always going bankrupt and failing. All the US automakers have been bailed out by the US Govt at one time or another and are likely to be bailed out again. Don't you wish you could run a failing business and be propped up again and again by the Govt?
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hecuba1 year, 8 months ago
Could it be that the company, which by the way I applaud for its advertising and sponsorship work, has simply made the wrong choice of maintaining a status quo which has passed the car buying public by....
Ask yourself why the other major car making nations are producing more fuel efficient cars which are selling quite a bit better even if as you say they are more expensive?
Also ask yourself how much corporate auto maker stock is held by the oil companies?
Then ask yourself, why American car makers can't make a market worthy line of fuel efficient or 'green' automobiles?
What the market will bear...isn't that the capitalist mantra?
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hecuba1 year, 8 months ago
It would be prudent to point out that the child seat requirement does indeed apply to the foreign cars sold in this country as well as to Ford & GM....so in a very real way doesn't count in this discussion....sorry.
And the more expensive foreign jobs are still selling better than domestic cars.....Riddle me this?
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hecuba1 year, 8 months ago
Then I have to say that by your arguiment...we should just say goodbye to our automakers....and conceede to those 'foreign' manufacturers the lion share of the American market...which, it seems to me they already have.....
How is it that the 'foreign' companies seem to be able to sell cars here in America when Ford & GM cannot? And I mean the ones who actually manufacture their cars in American plants?
You see, it really doesn't matter to the executives who will work out sweetheart deals to protect themselves while trashing their own workforce.
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joeblowe1 year, 8 months ago
Well, I have HEARD that the major U.S. automakers have to take about $2000.00 out of the sale of each vehicle they sell just to fund employee, and ex-employee, pension plans. This is some kind of bad deal they got into with the unions, I expect. So here we will have another example of the union, which is SUPPOSED to be looking out for the worker, helping to put the company totally out of business. Which I would have to say is NOT good for the workers. What's with the "pension" stuff anyway? I've NEVER worked anywhere that I was offered a "pension." Maybe a 401K, which mostly comes out of MY paycheck, but no free ride pension. I'd LIKE to have one, I guess. Maybe if I were willing put the company I work for out of business I could get one?
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Silverghost1 year, 8 months ago
Your comment on Ford's sponsoring trash is right on target. I've encouraged my people to boycott them as your link's organization has noted. My son, a deacon in our church, a 3rd degree black belt & a hard working steel fabricator, has been a long term Ford enthusiast. However, it didn't take any great persuasion for him to boycott Ford for their sponsoring such filth. Ford shows a dogged refusal to change their policy. -Rev. S
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chucspe1 year, 8 months ago
The reason modern cars today have sucky gas mileage(and why there not selling) is because of the automaker/oil company conspiracy.
Just think about it, 25-30 years ago asian automakers had gasoline engine cars that got between 35-45 mpg. those same model cars today get 25-35mpg( -).
So in 30 years our technology to improve fuel economy hasn't advanced at all? But has gotten worse?? I'm sorry that i sound crazy, but it's upsetting.
Example the 1969 toyota carolla upwards of 45mpg highway/ 2007 carolla
30cy/38hy.
Of course the 1969 had a 96 cu.in. engine but it could get from a-b.
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hecuba1 year, 8 months ago
If that is the case...then how is it that General Motors, just lost it's place as the largest auto maker in the world???
As far as I know, there is no 'boycott" against them.
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joeblowe1 year, 8 months ago
Lewd ads? Where? Quick! I would LOVE to see a lewd ad. Lewd enough and I might just buy a car I don't even need. What's "lewd" mean anyway? Sexual innuendo? Low cut dresses on pretty girls? Intimations that you can get laid if you drive one of OUR cars? Come on folks, why pick on Ford? Do you ever WATCH TV in the evening? Even on comedy programs the boobs are a-floppin', the language is sometimes VERY risque, sexual comments aren't even THINLY veiled. Have you forgotten: sex sells.
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joeblowe1 year, 8 months ago
Oh, and last I heard, TV sets still come with an on/off switch, and another mechanism by which you can change the channel if you are offended. The example above, on the FX channel, isn't even a free, off air channel. You have to subscribe to it. At least, I do. Or would, anyway, if my wife had her way. And, as Ford has apparently realized, homos buy cars too. Anybody remember offhand (so to speak...) how many Oscar nominations Brokeback Mountain got last year?
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hecuba1 year, 8 months ago
They are talking about the fact that the Ford Foundation suports groups who the Religious Right doesn't like....and more importantly the auto maker has the audacity to advertise their products in LGBT publications and on Gay & Lesbian televison stations.....If the heterosexual customers won't buy...then God forbid that the faggs do.
It really lacks maturity as boycotts go...but...sadly well with in their right....
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ponypomp661 year, 8 months ago
This is good;;;
Everybody buy everything from the people who murdered Americans,(pearl harbor) Put Americans out of work.
Because none of you are smart enough to get real jobs,or stop your scum government from robbing us, so you can;t afford an American car. And after all you losers destroy this country
and end up working at walmart, you will all die, and the real Americans can turn this place back into America instead of the food stamp Bosnian,Woman,,Brother,, scum hole it is now .
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NelsonR1 year, 8 months ago
Henry Ford is now turning over in his grave. He built economical vehicles for the masses at affordable prices. Now the corrupt CEO,s and board of directors have led that company to an irreversible downward slide.
Another U.S. Company led to destruction by the greedy few.
Any insider would know that the car Henry Ford would build in today's world would, be another affordable car for the masses that is ahead of its time, a novel hybrid.
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chucspe1 year, 8 months ago
I love ford always have always will, i have a 1990 f-150 with 200,000 miles on it. But like ALL other corporations they have taken the "olive theory" too far. And have strayed from what made them great, realiable, well built, economical(not fuel), vehicles that will last.
Personally i think that ford needs to dance with girl that brung' em, and until they do I'll keep my '04 carolla.
*olive theory- place one less olive per container to maximize profit.
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Jaydee401 year, 8 months ago
People will allways buy the best that they can aford and that is why Ford is having problems with sales. Automobile's made in Japan and Korea are more dependable and have better financing behind them. GM steped up thier financing and that help them but they still lag in quality. Chysler has tried to
make better autos and thier sales improved. Ford's only bright spot is it's truck line but that will not save them.
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not2needy1 year, 8 months ago
There is 2 Ford plants here, i guess we will be seeing lots of people get laid off soon!
My husband likes Ford trucks, not the suv's, personally i wouldn't have one, i go GM all the way!
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edromar21 year, 8 months ago
The basic problem with all domestic auto/truck makers is that foreign competitors have no clear laws against hiring auto magazine writers and editors to propagandize and brainwash Americans into thinking that those generally useless little golf cars are superior just because they don't take as much to drive. But they generally don't give as much as Americans really want and need, things like space and acceleration. So the American public resists those scaled down American cars and head for the gass guzzling and uncomfortable to drive and ride in SUVs that at least have enough room.
I drive a 1995 Caddillac with lots of room, great accelleration, a quiet, comfortable ride, and no trouble in 120,000 miles. Although the open road gas is only 22 mpg, it does not break the bank, and I'm sure that if Cadillac had not been so stupid as to downsize, and had spent a little more effort to tweak that V*8 and enable iot to cut 2 or 4 cylinders off when not needed, it would get 30 mpg.
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mivan41 year, 8 months ago
A, Yea notice no repair bills for 120K, Lots of Cheap cars with better fuel economy don't make it that far and need replaced, so save a little on gas spend lots on repairs.
AS for the enviroment when that cheap car starts burning oil
and poluting at a earlier age all the enviromental issues loose too.
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Jaydee401 year, 8 months ago
The basic problem with all domestic auto/truck makers is that foreign competitors have no clear laws against hiring auto magazine writers and editors to propagandize and brainwash Americans into thinking that those generally useless little golf cars are superior just because they don't take as much to drive. But they generally don't give as much as Americans really want and need, things like space and acceleration.
wow.. what imports have you driven lately? They have the big three looking on and drooling.
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markso1251 year, 8 months ago
I drove the subaru wrx and it has about as much get up and go as my 1997 buick skylark. The only difference is I am 6'2 and my knees hit the kneebolster every time I decelerate, clutch or brake, no to mention trying not to hit my head on the ceiling getting in and out of it, no thanks, if you have to put the RPM's up to 2500 just to get it to moove from the stop light, or spool up the turbo just to pass someone on the freeway... Then to find out it gets just as good of gas mileage as my Buick but with less passenger room and a $40,000 price tag no thanks.
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Virginia1 year, 8 months ago
I've enjoyed American cars like the Thunderbird and GM Corsica in the past. They don't make either one any more. Need AWD for winter driving where I live and the Subaru has the most reliable of those and on the smallest and safest car.
Saw an advertisement for a Cadillac sedan with AWD but probably a gas guzzler and way too expensive. If they can cut down the fuel on that and make it a plug in electric and I win the lottery, I will definitely consider that American car.
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joeblowe1 year, 8 months ago
You may want to re-investigate that a bit. The Ford 500 and Mercury Montego (which I drive) have AWD and CVT (Continuously Variable Transmission), are VERY safe if hit from any direction (they are reportedly built on a Volvo SUV frame), and I'm getting around 20 MPG overall -- which is mostly city and very crowded expressway. If I get out on the actual highway, I get closer to 26 MPG. AND, it's a very comfortable car. I can carry 10 foot long pieces of lumber with the back and passenger seat folded down, and the car doesn't make me feel claustrophobic when sitting in it (6'2" and still a couple inches of headroom, even WITH the sun roof) I'm just hoping that by the time my lease term is up they will have produced a hybrid version and bumped the milage up to 30 or so in town. No, by the way, I don't work for Ford in any capacity, I just like the car. I'll admit, I liked the V8 Lincoln LS I had before this pretty well too, but I did NOT like the 15 MPG while burning premium gas.
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THOMNH621 year, 8 months ago
this is great, time to trade my super duty F350 for a new one, 8 miles to the gallon and what a polluter, I love it.
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chucspe1 year, 8 months ago
http://today.reuters.com/news/articleinvesting.asp
--talk about the advantages of being a ceo...
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LadyOutlawScribe1 year, 8 months ago
It must really burn your britches that Dubya got TWO TERMS and there ain't a darned thing you can do about it except believe lies and make up more. You will NEVER be able to erase Dubya's presidency any more than we could erase Clinton's. SUCK IT UP AND LEARN TO LIVE WITH IT.
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catstevensComment removed: User banned.1 Reply
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