Hard times for Ford...

[halicat]

DEARBORN, Mich. (AP) - Ford Motor Co. lost a staggering US$12.7 billion in 2006 - an average of $1,925 for every car and truck it sold.

The company that invented the assembly line and whose name was a byword for the auto industry warned it will bleed cash for two more years before it has a shot at making money.

Ford's loss, reported on Thursday, was the worst in the company's 103-year history and came amid slumping demand for sport utility vehicles and other gas guzzlers and huge restructuring costs tied in part to the planned closure of 16 plants.


This surprizes me... I kinda thought the Mustang success would have made a difference, but apparently the focus on the SUV's was a mistake....I know one thing there seem to be as many Stangs out there as Civics...

[Kruisin Kat]

I may be wrong but I read that Ford made 45 billion last wear overall. It's just the US auto's that lost the big bucks. Again, I may have misread the information (?).

[halicat]

hey Paul,

maybe this article here is based on the books they showed the government for tax purposes...8-)

[Kruisin Kat]

Jim, I just re-read the article that TUIB posted across town. It stated that Ford has 46 billion in cash and credit lines after this latest 12+ billion loss.

I guess that is why Wall St. isn't in a panic?

I wouldn't mind if Ford could see fit to lose a little of that into my bank account. :mrgreen:

[halicat]

Hell..... and I was feeling sorry for them...:lol:

[AC-INXS]

Hell..... and I was feeling sorry for them...:lol:

Jimbo - I'll let you join me being a FORD backer when the new season starts in a few weeks, lol. :nana2

[blackcat]

First off let me say I like fords. I've got one parked in the garage right now. However, based on what I've read, I don't think they are in the automotive business anymore. They're really just a pension and benefit company who happens to crap out a car every now and then and hopes somebody will buy it. They lost $1926 for every car they built. The benefits paid to workers were $2000 plus. That doesn't include management bonuses.........I hope they can turn it around but I have my doubts...........

[kat hunter]

The benefits paid to workers were $2000 plus. ......

What is included in the $2000 plus figure.

An organization I am very familiar with is paying $7000 plus for health and retirement benefits for a single worker, well over $12,000 for a married worker with kids.

Ford may be getting a real bargin.

[blackcat]

For EVERY car built they have $2000 in benifits. I don't know how many they built but you would need to multiply the number built by $2000. I don't think that would be much of a deal.........

[BLEW BUYOU]

In the auto business, it's not the assets on hand that count, it's how much higher your liabilities are in comparrison. They are losing their a$$, therefore their liabilities were 12 Billion more than assets, at least.:vomit: