Ford Announces Loss and New Plans

Ford Motor Company today reported a second quarter net loss of $8.7 billion, or $3.88 per share, including pre-tax special items totaling $8 billion.
This compares with a net profit of $750 million, or 31 cents per share, in the second quarter of 2007.
Ford also today announced a significant acceleration of its transformation plan with the addition of several new fuel-efficient small vehicles in North America and a realignment of its North American manufacturing.
“We continue to take decisive action in response to the rapidly changing business environment and remain absolutely committed to the four elements of our business transformation plan,” said Ford president and CEO Alan Mulally.
The actions represent a considerable shift in Ford’s North American product plans and investments toward smaller vehicles and fuel-efficient powertrains in both the near- and mid-term in line with rapid changes in customer buying preferences.
In addition to bringing six small vehicles to North America from the company’s acclaimed European lineup, Ford is accelerating the introduction of fuel-efficient EcoBoost and all-new four-cylinder engines, boosting hybrid production and converting three existing truck and SUV plants for small car production, beginning this December.
“We continue to take fast and decisive action implementing our plan and responding to the rapidly changing business environment,” said Mulally.