Ford posts worst-ever result in a quarter
Loss is $8.7B; firm will focus on small cars, fuel efficiency
The performance is a consequence of slumping sales, especially of trucks, in a sour U.S. economy with $4-a-gallon gasoline, as well as rising material costs.
Last year during the same period, Ford reported a net profit of $750 million, or 31 cents a share.
Revenues during the April-June period declined to $38.6 billion, down from $44.2 billion a year ago.
The second-quarter loss includes $8 billion, or $3.26 a share, in special charges, mostly in North America, which has been hit hard by an economic slowdown, a consequence of crises in the housing, credit and energy sectors.
Ford's operating loss from continuing operations, excluding special items, was $1.4 billion, down from a year-ago profit of $258 million.
During the quarter, Ford's cash reserves also decreased by $2.1 billion, to $26.6 billion.
Following Ford's $100-million profit in the first quarter, Ford has now lost $8.5 billion through the first half of the year.
At the same time, the company outlined an updated revival strategy that includes:
• Adding new fuel-efficient small cars and crossovers to its North American product lineup. That includes six European small vehicles that are coming to North America from global B-car and C-car platforms.
• Converting three large truck and SUV plants to small car factories. Retooling begins this December.
• Upgrading the Ford, Lincoln and Mercury lineup almost completely by end of 2010.
• Doubling hybrid vehicle production and lineup in 2009.
• Doubling capacity for North American four-cylinder engines by 2011.
• Ford also plans to be the best or among the best in fuel economy.
Comments
- Phelps is fastest qualifier in 100 fly 9:45 a.m.
- Snakes avoid people, but will bite 9:40 a.m.
- Geithner: Derivatives blindsided gov't 9:34 a.m.
- 100-year old Cartier gets lessons 9:34 a.m.
- Obama and pope hold first meeting 9:33 a.m.
- 101 Ideas: Good ways to use red 9:26 a.m.
- Floors are a key in a stylish room 9:25 a.m.
- Is your child a spoiled brat? 9:09 a.m.
- Phelps has sore neck, drops out 9:07 a.m.
- Dems break ranks on health care 9:07 a.m.
- Rumor has Boozer with Bulls
- Stadium of Fire flag burning was fake
- Jazz in back of line for free agents
- Okur signs two-year extension
- A primer for the 6th Potter film
- Restaurant destroyed by fire
- Jazz won't meet Lopez on Europe trip
- Mall owner seeks to retain zoning
- Jazz rally for OT win at Orlando
- AK will not play for Russia this summer
- Bronco collecting a galaxy of recruits
140 - Letters: Palin mistreated
137 - Teachers struggle with district cuts
134 - Blazers may offer Millsap a contract
123 - Rumor has Boozer with Bulls
97 - Fairness of BCS debated
81 - Moon landing: Let's hear from you
77 - Chaffetz eyes challenging Bennett
73 - Services bids farewell to Jackson
70 - Letters: Time for a revolution
69
Through the years, I've always raised eyebrows whenever I tell people...
The photographs are mysterious, brooding, dark. They show dimples and...
Sorry but if your kid does not know where he will be playing next year he...
who do you think the jazz get then, they wont do the deal just for thomas. i...
I've seen Kruger play several games in the D League and he's a smart,...
Eat your heart out Father Ted!
It would be interesting to see whether the mall construction would get off...
When we first moved here I helped clean after the stadium of fire. It was...
What planet are you living on? Where do you get your information that things...
My experience is the right-wing spreads hatred, division and intolerance...
Lies, dang lies then the environmentalists. Tuvalu, Alaska, give me a...
Reread the article the man has a mental condition if they stated he needed a...



You can be the first to comment on this story.