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Old 09-01-2004, 15:12   #1 (permalink)
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US:Ford Cuts Production as U.S. Sales Slip

Ford Cuts Production as U.S. Sales Slip

DETROIT-- Reuters reported that Ford Motor Co., which reported another month of disappointing U.S. sales on Wednesday, said it was setting its fourth-quarter North American production below last year's levels in a move that could hurt its earnings.

The second-largest U.S. automaker, which has been losing market share to Asian and domestic rivals, said its U.S. sales fell 13 percent in August.

To help cut inventories of unsold cars and trucks, Ford said it would produce 830,000 vehicles in the fourth quarter compared with 900,000 in the same quarter a year ago. Production cuts can hurt earnings because Ford and other automakers count profits from vehicles when they are shipped to dealers, not when they are sold to consumers.

Ford's sales results include its import brands and some medium- and heavy-duty trucks and are not adjusted for the number of selling days.
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