Ford Ready to Reduce Plant Capacity In Sales Decline - Ford Forums - Mustang Forum, Ford Trucks, Ford Focus and Ford Cars
Ford Forum Ford Forum

» Auto Insurance
» Featured Product
ยป Wheel & Tire Center

Go Back   Ford Forums - Mustang Forum, Ford Trucks, Ford Focus and Ford Cars > Fordforums Community > Latest Ford News and Racing News > Ford Worldwide News
Register Home Forum Active Topics Photo Gallery Auto Loans Garage Mark Forums Read Auto Escrow

FordForums.com is the premier Ford Forum on the internet. Registered Users do not see the above ads.
Reply
 
LinkBack Thread Tools Display Modes
Old 10-23-2002, 08:54   #1 (permalink)
Mr. Embargo
 
Join Date: May 2001
Location: Embargoland
Posts: 3,745
Ford Ready to Reduce Plant Capacity In Sales Decline

New York, Oct. 22 (Bloomberg) -- Ford Motor Co. is prepared to reduce plant capacity to help return to annual profit in the event sales ``begin to fall off the table,'' Chief Executive Officer William Clay Ford Jr. told investors.

Bill Ford didn't specify the size of a decline that he said would prompt the world's second-largest automaker to ``respond in a capacity manner'' beyond five plants scheduled to close by 2005. The company regularly studies ``what further actions'' would be needed ``at various lower levels'' of industry sales, Chief Financial Officer Allan Gilmour said in a meeting in New York.

The company is trying to reassure investors its plans to restore profit are gaining ground after a $5.45 billion loss last year prompted the automaker to announce a plan to close plants, cut jobs and introduce new models by 2005. Bill Ford said yesterday he plans to eliminate another $1 billion in costs beyond $9 billion in cuts as part of the January plan.

Ford has fewer new models than rival automakers such as Toyota Motor Corp. and General Motors Corp., making the company's financial results ``much more vulnerable'' to lower industry sales, said IRN Inc. analyst Mike Wall, whose company forecasts vehicle plans for suppliers. Any industrywide decline ``would be magnified to some extent'' at Ford, Wall said.

Shares of Dearborn, Michigan-based Ford rose 7 cents to $9.62 at 3:12 p.m. in New York Stock Exchange composite trading. The stock has declined 39 percent this year.

The automaker regularly examines potential responses to sales declines and adjusts production to sales, spokesman David Reuter said after the meeting. The company has said it doesn't expect to reduce jobs beyond the 35,000 already announced, which include 12,000 positions eliminated last year.
__________________
*Retired.
RPO83 is offline   Reply With Quote
Sponsored Links
Advertisement
 
Reply

  Ford Forums - Mustang Forum, Ford Trucks, Ford Focus and Ford Cars > Fordforums Community > Latest Ford News and Racing News > Ford Worldwide News



Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On


Similar Threads
Thread Thread Starter Forum Replies Last Post
Ford family celebrates 100 years of cars Stacy94PGT Ford Worldwide News 0 06-10-2003 05:46
FORD TOUGH: The pressure's on for Bill Ford Jr. to finish first Stacy94PGT Ford Worldwide News 0 06-10-2003 04:52
'Henry had the dream' Stacy94PGT Ford Worldwide News 0 03-28-2003 05:58
A CENTURY OF VISION: Fords built city, changed the world Stacy94PGT Ford Worldwide News 0 03-12-2003 07:17
Ford Product-Led Transformation: 2003 RPO83 Trans | Driveline 0 07-22-2002 06:48

Powered by vBadvanced CMPS v3.2.2

All times are GMT -7. The time now is 21:55.



Powered by vBulletin® Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
Content Relevant URLs by vBSEO 3.6.0
Garage Plus vBulletin Plugins by Drive Thru Online, Inc.