Ford reports $997 million Profit in Quarter Three (And without my tax dollars) (2009, best)

[deepcynic]

Originally Posted by Steve-o

The fires are being stoked deep down in the underbelly of Detroit. Embers will give birth to sparks, sparks will ignite, flames will ensue.... Detroit will roar again, led by Ford, which hopefully will be Detroit's phoenix.

Hope springs eternal.

I hope so too, but it will only happen if they learn from their (numerous) past mistakes.

[Steve-o]

Originally Posted by deepcynic

Hope springs eternal.

I hope so too, but it will only happen if they learn from their (numerous) past mistakes.

American cars, up until the 70s, were the envy of the world. If you consider how long theyve been around, vs the bad years (70s till the late 90s), I think American automakers have done extremely well. Sure, they let things slip for a long time, and have paid for it, but when American car companies really clamp down and are serious about business, theyre the best. You have to remember where the Japanese got all their ideas.

[deepcynic]

Originally Posted by Steve-o

American cars, up until the 70s, were the envy of the world. If you consider how long theyve been around, vs the bad years (70s till the late 90s), I think American automakers have done extremely well. Sure, they let things slip for a long time, and have paid for it, but when American car companies really clamp down and are serious about business, theyre the best. You have to remember where the Japanese got all their ideas.

I agree with most of this, but the fact remains the from the 70's to the 90's they messed up. They have to do more than produce slick commercials to get the buyers back. I don't trust them, yet. I have always liked Ford, but had annoying problems with mine and then the service sucked. Not a good way to keep customers.

Oh, and the Japanese got a bunch of ideas, engines, layouts, etc. from the British early on, then set the standard for manufacturing techniques while the Americans fiddled while Rome was burning.

[car54]

Oh boy! Maybe they'll pay a shareholders' dividend for the first time in ages!

(not holding my breath..)

[texdav]

Basically the trouble is that thyey quite making cars per say and became SUV sellersw because they needed the huge profit because of legacy cost per vehicle. Not much has changed really;they still need huge profits to pay those contimuing cost.Thyey are going to have real problem paying thoise cost selling small less profitable cars.

[Drover]

Originally Posted by deepcynic

Oh, and the Japanese got a bunch of ideas, engines, layouts, etc. from the British early on, then set the standard for manufacturing techniques while the Americans fiddled while Rome was burning.

Or while Detroit was burning. Literally.

[Drover]

Originally Posted by texdav

Basically the trouble is that thyey quite making cars per say and became SUV sellersw because they needed the huge profit because of legacy cost per vehicle. Not much has changed really;they still need huge profits to pay those contimuing cost.Thyey are going to have real problem paying thoise cost selling small less profitable cars.

I thought a lot of those legacy costs were discharged in bankruptcy court in exchange for the unions gaining a substantial ownership share of the companies.

[sonarrat]

I own a Ford and I'm glad they're doing well, but this news comes as they're trying to shaft the union workers who helped them get back to this point. They made their name paying workers $5 a day at a time when most people made $2, because Henry wanted the best out of his workers; Ford should be ashamed to be turning its back on the quality that made it a household name.

[marcusj245]

I did a presentation on Ford several years ago, a time when their stocks had a "junk-bond" status. When my professor asked what I taught about their future, I stated to him that they would resurge as a major power in 2010. While my professor and a few colleagues had "some" faith in my analysis, others were widely skeptical.

As I did research during that time on Ford, I was actually quite amazed with the drastic changes they had done to their company. During the previous decades, Ford, like GM & Chrysler, had been imposing their own will upon the market, essential creating what they felt "was appropriate" for the market, and for the most part, ignoring what the most wanted. Well, the market got even and showed them who was boss.

Fortunately for Ford, they were able to respond quickly when the market started to kill them during the 2005-2006. They quickly changed their management and philosophy and began applying what the Japanese have been doing to continually grow: catering to the needs of the market.

[texdav]

Originally Posted by Drover

I thought a lot of those legacy costs were discharged in bankruptcy court in exchange for the unions gaining a substantial ownership share of the companies.

That's the problem ;the union need the same amount of money in profits to pay those cost. The cost didn't disappear but the unions now are owners with more influence.What the unions gave up was future employees legacy cost and benefits. Like always they keep thier own.The only ones that they got rid of was those that gareed to be bought out.