Ford COO Nick Scheele is preparing for Ford's restructuring plan due
Friday - and he's also prepping for some negativity from the analyst
crowd. Scheele tells USA Today that "Wall Street would love to have
specifics and crank them into their
computers," but that several things are not under active consideration for
cost cutting. Those include selling off Hertz, Ford's rental car
subsidiary; more cuts to permanent workers (instead the company will cut
temps and contract workers); and perhaps most important, the Mercury brand
and the Blue Oval Certified program, which gives dealers incentives to
improve their showrooms and service. Separately, the Wall Street Journal
says that Scheele and Ford won't try to close any assembly plants before
the expiration of the current UAW contract.
DETROIT (Reuters) - Ford Motor Co. (F.N) said on Friday it would cut 35,000 jobs worldwide -- 22,000 of them in North America -- and close three assembly plants in North America.
Ford Chief Operating Officer Nick Scheele said the world's second-largest automaker would close assembly plants in Edison, New Jersey; Hazelwood, Missouri; and Oakville, Ontario. The Canadian and New Jersey plants build pickups, while the Missouri plant builds the Ford Explorer sport utility vehicle.
Scheele also said Ford would close two parts plants in Cleveland, Ohio, and Dearborn, Michigan. In addition, 11 plants will undergo major restructuring, including shift cuts, with production cuts at nine additional plants.
The cuts come as part of an overhaul of the company aimed at improving profits by $9 billion by the middle of the decade. Ford said it would take an after-tax charge of about $4.1 billion in the fourth quarter of 2001 in the restructuring drive.
It said it would cut North American production capacity by 16 percent, to 4.8 million vehicles from 5.7 million vehicles, and cut four vehicles -- the Ford Escort, the Mercury Cougar, the Mercury Villager and the Lincoln Continental -- from its lineup.
__________________
Stacy94PGT
My first car was a 67 Mustang Coupe, 2nd one was a 67 Cougar XR-7, 3rd one was a 66 Mustang Coupe. Why did I get rid of these cars for ? I know why, because I'm stupid, stupid, stupid.
It sucks for the workers. But, It's a good plan for Ford. They had to do something to save themselfs. I also read on CNN " on the bottom of the TV screen" that Ford is planning to introduce 2 dozen new cars in the next 5 yrs. I guess that would include Ford and other car companies they own.
__________________
Stacy94PGT
My first car was a 67 Mustang Coupe, 2nd one was a 67 Cougar XR-7, 3rd one was a 66 Mustang Coupe. Why did I get rid of these cars for ? I know why, because I'm stupid, stupid, stupid.
They were saying on the news that the workers who are affected will still get 95% of their base pay. I really hope it works out for everyone involved. With alot of the Japanesse carmakers gaining alot of ground in the U.S, maybe it's time more Americans support a real American company. Not taking a shot at our American friends but this is as good a time as any to help out an American company.
Originally posted by Space Lord They were saying on the news that the workers who are affected will still get 95% of their base pay. I really hope it works out for everyone involved. With alot of the Japanesse carmakers gaining alot of ground in the U.S, maybe it's time more Americans support a real American company. Not taking a shot at our American friends but this is as good a time as any to help out an American company.
You make a valid point. I know my car is Japanesse, but it says Ford on it. Well, at least it was made in Flint, MI. I love people " here in the states" that say I'm for the USA, support the USA , etc etc. Then you look in their driveway and all you see are Honda's, Toyotas, and Nissans.
__________________
Stacy94PGT
My first car was a 67 Mustang Coupe, 2nd one was a 67 Cougar XR-7, 3rd one was a 66 Mustang Coupe. Why did I get rid of these cars for ? I know why, because I'm stupid, stupid, stupid.
You make a valid point. I know my car is Japanesse, but it says Ford on it. Well, at least it was made in Flint, MI. I love people " here in the states" that say I'm for the USA, support the USA , etc etc. Then you look in their driveway and all you see are Honda's, Toyotas, and Nissans.
You know dude, that in my book is still ok because at the end of the day it still has a Ford badge on it and it's still a Ford Motor Company car. Thus supporting the company.
Alot of people here in Australia say we must support Australian products and companys yet they drive around in Kia shitboxes.
I'd rather support an American company (ford) which gives thousands of jobs to Australians.
Lets hope for everyones sake that Ford gets back on it's feet asap.
Originally posted by Space Lord
Lets hope for everyones sake that Ford gets back on it's feet asap.
I hope so to. With 2 dozen new cars coming out in the next 5 yrs it should be interesting.
__________________
Stacy94PGT
My first car was a 67 Mustang Coupe, 2nd one was a 67 Cougar XR-7, 3rd one was a 66 Mustang Coupe. Why did I get rid of these cars for ? I know why, because I'm stupid, stupid, stupid.
You know dude, that in my book is still ok because at the end of the day it still has a Ford badge on it and it's still a Ford Motor Company car. Thus supporting the company.
Alot of people here in Australia say we must support Australian products and companys yet they drive around in Kia shitboxes.
I'd rather support an American company (ford) which gives thousands of jobs to Australians.
Lets hope for everyones sake that Ford gets back on it's feet asap.
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