Future Bright for Ford as Automaker Increases Production in Response to Demand

[Administrator]

While the North American auto industry might not have reached a turnaround yet, the future is looking brighter for one U.S. automaker - Ford. The Ford Motor Company has announced that it is expecting that sales for the month of June (due in today) will be anywhere from 10 to 20 percent lower than the same month a year ago.

That might not sound like great news, but when the industry average is still in the negative 30 percent range, Ford certainly seems to be bucking a trend.

"The underlying economic indicators, meaning fewer jobless claims, another month of somewhat higher levels of consumer confidence, suggest to us that the worst is behind us in terms of not only the economy … but also that we may have seen the low point of auto sales," said George Pipas a sales analyst for Ford.

This news also means that Ford is continuing to gain market share in the U.S. In May the automaker posted a total share of the U.S. market at 17.4 percent, up from 15.5 percent a year earlier.

In response to a mild turnaround and increased demand in Ford product, the company will increase production during the third quarter by 25,000 vehicles to 485,000 vehicles. This amounts to a 16 percent increase over the same period a year ago.

Ford is seeking to stabilize its inventory supply at 60 days, up from the current 58 day period. The current industry average is 67 days.

While Ford posted a record loss of $14.7 billion in 2008, company executives are still forecasting a return to profitability by 2011 - and this latest news seems to confirm it is on the right track.

More: Future Bright for Ford as Automaker Increases Production in Response to Demand on AutoGuide.com

[shu873]

I'm obviously a Ford fan...

But even if I wasn't, if I was in the market for a new vehicle I'd personally want to spend my money with a company that didn't go to the government begging for handouts just to file bankruptcy a few months later... JMO.

[FastFocus]

Go FORD! i want to see them #1 baby! And with the new line up of cars coming out in the next 2-3 years i can see it happening. Am proud to be from a Ford Family and owner and will be till the day i die.

Alan sure knows what he's doing and i believe he's 100% on the right track, i love what he's doing with the company(finally bringing those sexy European cars over), and he's made Ford into a REAL American car company again. They're doing whats right and what the people want. Anytime the government intervenes its usually a bad thing and I'm very happy that they've positioned them selfs so they don't have to ask help from Obama. I look forward to what the future holds!

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Last edited by FastFocus : 07-01-2009 at 01:54 PM.

[97Beast]

This is good news.. We should all be proud to be ford owners!

I wouldnt choose anything else for a DD. Fords are just so much better.
And their cars just blow away all the imports. Ford has what people needs, some people dont realize it until they are saddled with a GM or Chrappsler.
Every brand has a few great cars that are fun and sexy, but ford just puts out only the best overall product.

[03-blue-Powerstroke]

Im glad Ford didn't take the easy way out and ask the government for money.

[bockhold]

prob the reason is that they didnt take the bail out

[powerstrokes only]

I am very proud of Ford!!!!!!!! I think they are going to get a new bunch of customers now that used to be GM and Chrysler customers. One of my uncles that is a DIE-HARD GM man told me the other day that he was not ever going to buy another GM since they are now "Obama Motors", I am sure he is not the only one! He told me he is buying a Ford truck next! I should not be this way, but I don't care if GM and Dodge fall of the map!

[bockhold]

Originally Posted by powerstrokes only

I am very proud of Ford!!!!!!!! I think they are going to get a new bunch of customers now that used to be GM and Chrysler customers. One of my uncles that is a DIE-HARD GM man told me the other day that he was not ever going to buy another GM since they are now "Obama Motors", I am sure he is not the only one! He told me he is buying a Ford truck next! I should not be this way, but I don't care if GM and Dodge fall of the map!

my dads the same way. he doesnt want to give money to gm or dodge.

[monoloco]

I'm sure that Ford is getting a boost from the problems of their competitors. I don't know what the dealer inventories are like now but I have noticed that inventories in other businesses are way down. I think this is bad for business. I know when I go to make a purchase and they tell me they don't have it in stock but that they can order it, i'm like yeah, right, I can just order it myself off the internet and have it delivered to my house.

[ryandamo]

lets not act surprised, you make a superior product, and people will choose it over others