Ford posts loss of $5.8 billion

[OhioChick]

Oct 23, 2006 — By Poornima Gupta

DETROIT (Reuters) - Ford Motor Co. <F.N> on Monday posted a quarterly loss of $5.8 billion — its largest loss in 14 years — as restructuring charges related to planned job cuts in North America and declining sales of its trucks hampered results.

Ford also said it will restate financial results from 2001 through the second quarter of 2006, citing an accounting change on interest rate derivatives used to hedge its long-term debt.

Ford shares fell 3 percent in early electronic trade.

Ford, which is closing 16 plants and cutting up to 45,000 jobs in North America, recorded a net loss of $3.08 per share in the third quarter. A year ago, it posted a loss of $284 million, or 15 cents per share.

http://abcnews.go.com/Business/wireStory?id=2599644

[phantom power]

1. Get ready for the shameless bailouts...

[stepnw1f]

2. Build Fuel Efficient Vehicles!

There is no excuse for this... your sales are low because you keep making gas guzzlers.

[Chulanowa]

3. Not just that!

They also have to contend with the fact that their construction is absolutely godawful. I've worked on cars from Poland that make more sense than Ford. The only reason this company is still going is because of government bailouts and name recognition. The quality of their automobiles is far below the hype.

Of course, perhaps if car manufacturers stopped with the "wacky computer graphics while driving in the Sahara with a celebrity driver and licensed pop songs"-style commercials, they would save a bit of money.

[Double T]

4. OUCH!!! Can't wait to see the upper executive management bonuses.......

for straightening 'things' out by laying off 30,000+ workers. Management makes huge mistakes and the employees ALWAYS are the ones to pay the price!!

[mallard]

16. Ouch

US industry

[mc jazz]

5. feel for the workers

damn globalisation has flooded the domestic market just like in the uk
they can't compete and high markup suvs and trucks are all thats keeping them afloat
this is a failure to accomodate your industry
bush doesn't care even though these are good old republican believers
neither did they in the uk when they created this bankrupt consumer economy

[PassingFair]

19. Spot on, mcjazz.

They have the people here BLAMING THEMSELVES!
It is ridiculous.
This state has the blues in a red economy.

The dems are not doing a very good job of
getting the message out that we need to change
the leadership in WASHINGTON, not LANSING.

Luckily, most people remember what a complete
JACKASS our LAST republican governor was, and
will probably not vote in the criminal in the
wings, DeVos.....

[Endangered Specie]

6. Guess they need to change their name to "BACK".

[DoYouEverWonder]

7. I'm glad Bush has decided to focus on the economy

he probably thinks this is great news.

[Demeter]

8. How Can You LOSE That Much Money In One Year?

Didn't they sell ANYTHING?

[doc03]

10. That's not a year, it's only for the quarter. I think Ford and

GM both want to file for bankruptcy. They have purposely ignored the car market and focused on the more profitable pickup and SUV market. They file bankruptcy they can drop their union contract and legacy costs (health-care and pensions) on the taxpayers. They can also drop their unprofitable car factories and try to hold their share of the pickup and SUV market. That's what the steel, aluminum and other industries have done. So in the end top management and money people will reap the benefits and the workers and taxpayers get screwed again.

[NEOBuckeye]

12. Continuing to build & market SUVs is suicide

Gas prices must rise again, and will climb higher due to global instability in the Mideast, as well as due to Peak Oil. If Ford executives had possessed any vision, 15 to 20 years ago they would have pressed to develop more fuel-efficient vehicles. As things stand now, they are literally driving themselves to the edge of a cliff.

[dazzlerazzle]

9. ford losses

What do you imagine it costs them to pay over-rated Toby Keith, and to run the ads on prime time pushing their pick-up trucks?

[saigon68]

17. pay over-rated Toby Keith

Song: Courtesy Of The Red, White And Blue (The Angry American) Lyrics

Hey Uncle Sam
Put your name at the top of his list
And the Statue of Liberty
Started shakin' her fist
And the eagle will fly
Man, it's gonna be hell
When you hear Mother Freedom
Start ringin' her bell
And it feels like the whole wide world is raining down on you
Brought to you Courtesy of the Red White and Blue

Justice will be served
And the battle will rage
This big dog will fight
When you rattle his cage
And you'll be sorry that you messed with
The U.S. of A.
'Cause we'll put a boot in your ass
It's the American way

[Thor_MN]

11. Largest loss since a different Bush was in office?

And this is better than the Iraq "war" for campaigning?

[truthisfreedom]

13. just a staggering sum of money. unbelievable. they couldn't see this

coming years ago? are they friggin' blind?

[pinniped]

14. They made too many of those stupid Ford Taruses.

Their numbers should improve soon because they just canned the Taurus.

[w4rma]

15. Omg, that is only for 1/4th of the year. It will be over $20 billion/year

at this rate.

[1932]

18. Its market cap is only $15B.