Ford Fusion named Motor Trend 2010 car of year

DETROIT (Reuters) - Ford Motor Co's (F.N: Quote, Profile, Research, Stock Buzz) Fusion mid-size sedan was named Motor Trend magazine's 2010 "car of the year" on Tuesday, adding to the perception that changes to the No. 2 U.S. automaker's vehicle lineup are gaining traction.

The Fusion was chosen best of 23 new or significantly upgraded vehicles and the full range of Fusion models impressed the judges, from the four-cylinder entry level vehicles to the all-wheel drive sport and hybrid versions, Motor Trend Editor Angus MacKenzie said.

"Ford has proven its resilience in these tough times by delivering to market a car with broad appeal to a broad range of customers," MacKenzie said.

The Fusion, which has become one of the top 10 selling vehicles in the United States, was redesigned for 2010. Ford launched the Fusion in 2006 and it set its previous annual sales peak in 2007.

"What a proof point, to be named car of the year by one of the most rigorous tests in the world," Ford Chief Executive Alan Mulally told reporters at Ford headquarters after MacKenzie announced the award.

Motor Trend tested the vehicles on acceleration, braking, handling, noise and responsiveness under various road and traffic conditions. It also considered design, fuel efficiency, safety and value.

Ford posted a nearly $1 billion third-quarter profit this month that surprised Wall Street analysts and is the only large U.S. automaker not to reorganize in bankruptcy with U.S. government support in 2009.

The automaker has said it expects to return to a solid profit in 2011 with a gradual recovery in the auto industry in the United States and key regions internationally.

U.S. auto sales peaked at nearly 17 million vehicles in 2005 and have been falling since. Ford expects 2009 U.S. auto industry sales of about 10.6 million units including medium and heavy trucks, or around 10.3 to 10.4 million light vehicles.

"We are cautiously optimistic that we are near the bottom right now," Mulally said of the U.S. auto market.

Ford's shares reached a more than two-year high on Tuesday, a day after billionaire investor George Soros' hedge fund disclosed taking a 7.3 million share stake in Ford during the third quarter.

U.S. 2009 sales of the Fusion were up 15 percent through October at 148,045 but trail Toyota Motor Corp's (7203.T: Quote, Profile, Research, Stock Buzz) Camry and Honda Motor Co Ltd's (7267.T: Quote, Profile, Research, Stock Buzz) Accord in the mid-size sedan segment, one of the key areas in the U.S. market.

Dearborn, Michigan-based Ford has looked to set itself apart from U.S. rivals General Motors Co GM.UL and Chrysler Group LLC, which reorganized under government-funded bankruptcies this year, and increasingly uses Toyota and Honda as benchmark competitors.

Sales of the Fusion have helped keep Ford's U.S. sales declines for 2009 slower than the overall drop in the industry. Through October, Ford's U.S. sales are down 20.4 percent for the year, while the industry is down 26 percent.

Ford shares were up 15 cents, or 1.7 percent, to $8.86 in Tuesday afternoon trading on the New York Stock Exchange. Earlier on Tuesday, the stock reached $9, a more than two-year high that is also a nearly 29 percent increase since Ford posted its third quarter profit in early November.

Reuters.com

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FORD ANNOUNCES DEVELOPMENT OF ALL-NEW POLICE INTERCEPTOR FOR LAW ENFORCMENT USE NATIONWIDE

* Ford confirms development plans of an all-new Ford Police Interceptor and affirms continued commitment to the police and municipal vehicle businesses
* New Police Interceptor’s durability, safety and performance will exceed the existing Crown Victoria’s law enforcement vehicle lineup
* Ford is the market leader in the law enforcement vehicle segment, selling 45,000 of the 60,000 police vehicles sold in each year in the U.S.

Dearborn, Mich., Nov. 13, 2009 – Ford Motor Company announced today it will produce an all-new purpose-built Police Interceptor specially designed and engineered to replace the Ford Crown Victoria law enforcement vehicle lineup in 2011.

The new Ford Police Interceptor is being developed in conjunction with Ford’s Police Advisory Board, which provided input during the past 14 months on key vehicle attributes, such as safety, performance, durability, driver convenience and comfort. The new Police Interceptor will be offered without interruption when production of the Ford Crown Victoria ends in late 2011.

“We have heard the repeated requests from the law enforcement community to continue uninterrupted support of the law enforcement community,” said Mark Fields, Ford’s president of The Americas. “Ford is answering the call with the new Police Interceptor – engineered and built in America.”
Ford – which currently controls approximately 75 percent of the police pursuit vehicle business in the U.S. – has invested significantly in designing the purpose-built new police and municipal vehicles to meet the needs of these crucial customers.

The new Police Interceptor is designed to provide municipalities with reduced ownership costs through improved fuel efficiency, quality and the kind of durability police departments nationwide have come to expect from Ford.

“Ford’s commitment to the law enforcement community produced the Crown Victoria, the benchmark police vehicle,” said Lt. Brian Moran, fleet manager, Los Angeles County Sheriff’s Department and a member of Ford’s Police Advisory Board. “This commitment has continued, and Ford has been working closely with the Police Advisory Board on developing the new Police Interceptor. I am confident that the next-generation Ford police vehicle will meet the future needs of the law enforcement community and will set the new standard.”

Ford plans to reveal the new model and provide full vehicle specifications in the first quarter of 2010 – in time for law enforcement agencies, police equipment manufacturers and upfitters to develop a transition plan from the Crown Victoria to the new product.

Each year, Ford sells approximately 45,000 police vehicles, making the Blue Oval the nation’s largest provider of police and municipal vehicles.

“Ford long has supported our public servants with vehicles that work as hard as they do,” said Ken Czubay, Ford vice president, Marketing, Sales and Service. “We intend to build on this legacy with a new generation of municipal and police vehicles that set even higher standards.”



Ford Motor Company
Ford Motor Company, a global automotive industry leader based in Dearborn, Mich., manufactures or distributes automobiles across six continents. With about 200,000 employees and about 90 plants worldwide, the company’s automotive brands include Ford, Lincoln, Mercury and Volvo. The company provides financial services through Ford Motor Credit Company.

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Electric-powered Ford Transit Connect will go 80 miles between charges, other Ford electric vehicle plans revealed

Ford Motor's begun to trickle out details of its electric-vehicle plans.

It says Azure Dynamics will supply its so-called Force Drive drivetrain to create an all-electric version of its Transit Connect small commercial van. The plug-in vehicle should go on sale to commercial customers in the U.S. and Canada late next year.

The battery-powered Transit will go at least 80 miles on a full charge, Ford says, and possibly more. A final decision hasn't been made on battery size, which will determine the range. Johnson Controls-Saft will supply the lithium-ion battery. And it will be "dual badged":

The electric Transit Connect is to be marketed as both a Ford and an Azure, and possibly warrantied by Azure, not Ford.

In 2011, Ford says, it will offer a battery only, plug-in Focus, with at least some intended for regular showroom customers rather than strictly commercial and fleet buyers.

In 2012 will come an unidentified "next-generation" hybrid (meaning it'll have a lithium-ion battery) and an also-anonymous "plug-in hybrid vehicle." Ford won't say if these will be two versions of the same model -- such as two versions of a Fusion sedan -- or separate models, such as a next-gen Fusion hybrid, for instance, and a plug-in Escape.

Too bad all those weren't around during the cash-for-clunkers program. They'd have qualified, in spades.

Transit Connect on assembly line in Turkey by Murad Sezer/Reuters
USA Today

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Ford to put air bags into back seat belts of SUV

DETROIT — Air bags have long been mounted in the steering wheel, dashboard and sides of vehicles. Now, they're in the seat belts.

Ford Motor Co. plans to introduce seat belt-mounted air bags in the back seat of the 2011 Ford Explorer sport utility vehicle, which will hit the market next fall. Ford says it's the first automaker to mass produce the technology.

The belts have a cylindrical air bag that stretches from the buckle to the shoulder and fits inside a pocket sewn into the belt. The car sends a signal that releases the bag, which inflates more gently than a front air bag, so it's safer for children.

Srini Sundararajan, the Ford engineer who was chiefly responsible for developing the device, says the wider belts and bags help distribute crash forces across the occupant's chest, so there's less chance of serious injury. It also supports the head and neck.

"The top two lifesaving devices today are the seat belt and the air bag. This combines them into one great feature," Sundararajan said.

Clarence Ditlow, head of the nonprofit Center for Auto Safety, says the belts are particularly effective at protecting the elderly, who are more frail.

"You often end up with broken ribs" during a crash with a conventional seat belt, Ditlow said.

Ford has been working on the technology for a decade and had to overcome numerous challenges bringing it to market.

Front air bags are powered by a device that generates hot gas. They deploy very quickly because they need to cover a greater distance before they reach the driver or passenger. Seat belt air bags don't have that distance to cover, so they can deploy more gently, using cold gas technology, although Srini said they're still fully deployed in a tenth of a second.

Ford also did a significant amount of testing to make sure the bags would protect children, even if they're sleeping and their heads are drooping. The belt also works with booster seats.

Sue Cischke, Ford's group vice president for sustainability, environmental and safety engineering, wouldn't say how much the belts with air bags will cost, but she did say the technology is expensive. They will be available as an option at first, since some drivers — particularly those without children — may not feel they need them.

"With any new safety technology, you have to do a lot to educate the consumer," she said. "We're not sure what people will value with this."

Cischke said the Explorer was chosen for the new seat belts because it's popular with families and has also been a platform for other safety introductions, such as side-curtain air bags and stability control. Cischke said the price could come down substantially if Ford decides to put the seat belts on other vehicles.

Edward DeSmet, a technical seat belt specialist at Ford, said test subjects found the padded belts even more comfortable than regular ones. He hopes that leads more people to use them. U.S. seat belt usage in back seats is still at a dismal 60 percent, compared with 83 percent in the vehicle as a whole, DeSmet said.

Associated Press

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Ford Debuts 2010 Raptor Powertrain at SEMA

Ford’s Raptor is much more than just a truck. As Ford’s top-level F-series offering with unparalleled capability and performance, it’s given the Blue Oval a unique halo vehicle that just can’t seem to stay out of the headlines. And it’s paid off too; over 3,000 orders have been taken with 700 trucks already delivered. And that was just the beginning.

When Ford first announced the Raptor, the news release came with a caveat: that the 2009 Raptor would only be available with the standard 5.4L Triton V8. Although a powerful enough engine in its own right, the 5.4L lump didn’t quite match the level of engineering prowess that was poured into the truck’s race ready suspension, and Ford officials were quick to cite the inclusion of an upcoming (and then) secretive 6.2L V8 that was to exceed 400 horsepower.

Well, now that 6.2L engine isn’t quite so secret, as Ford has used the 2009 SEMA show to display the 2010 Raptor with the optional powerplant under the hood. Exceeding initial estimates, the 6.2L produces 411 horsepower and 434 pound-feet of torque, making the Raptor the most powerful half-ton pickup extant. Although the 5.4L will still be available, the price differential on US models is roughly $3,000 US, making the 6.2L a fantastic value.

Story found at Carguideweb.com

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Ford Unleashes 2010 Cobra Jet Mustang

Ford's re-packaging of the Mustang into its 2010 model-year form factor has pleased the critics with a sleeker look, but now Ford Racing is getting ready to please the folks that live only to see quick ETs with the 2010 Mustang Cobra Jet, which was revealed today at the 2009 SEMA Auto Show in Las Vegas.

Since its victorious introduction at the NHRA Winternationals in 1968, Ford's Cobra Jet Mustang has created a legacy of power, performance and triumph. The latest version, on show today, was finished in a “SEMA Special” paint scheme and a contrasting graphics package.

The 2010 Cobra Jet, like its predecessor, is a factory-built race car that is intended for NHRA Stock and Super Stock racing. The goal for the 2010 Cobra Jet was to enhance the race features to further make its own place in NHRA history. These include options for a full race-prepared automatic or manual transmission, drag race-specific shocks and springs, manual steering and brakes, and a fully certified roll cage.

Additionally, Ford engineers have developed for the 2010 Cobra Jet a factory-first launch control/rev limiter that will allow drivers to preset the rpm after they stage the car--when they are ready to leave, all they do is put the throttle pedal to the floor. Previously, the launch control/rev limiter was only available as an aftermarket option.

Production of the new race cars will commence in January, with delivery of all vehicles expected in the first quarter of 2010.

Story founda at MotorAuthority

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Ford surprises with $1B profit; sees profit in '11

By TOM KRISHER and DEE-ANN DURBIN, AP
Mon Nov 2, 9:58 AM EST

Ford, the only Detroit automaker to dodge direct government aid and bankruptcy court, surprised investors with net income of nearly $1 billion in the third quarter and forecast a "solidly profitable" 2011.

The automaker said Monday earnings were fueled by U.S. market share gains, cost cuts and the Cash for Clunkers program, which drew flocks of buyers to showrooms this summer. Ford's shares rose 68 cents, or 9.8 percent, to $7.68 in morning trading.

The latest results signal that Ford's turnaround is on more solid ground. The company lost more than $14.6 billion last year and hasn't posted a full-year profit since 2005. While it made a profit in the second quarter, that was mainly due to debt reductions that cut its interest payments.

Ford, based in Dearborn, Mich., reported third-quarter net income of $997 million, or 29 cents per share. Its profit forecast for 2011 was a step above previous guidance of break-even or better for the year.

Ford's key North American car and truck division posted a pretax profit of $357 million, the division's first quarter in the black since early 2005. Ford cited higher pricing, lower material costs and increased market share for the improvement.

Excluding one-time items, Ford earned 26 cents per share, blowing away analysts' expectations of a loss of 12 cents.

The earnings came despite an $800 million revenue drop. But Ford said it cut costs by $1 billion during the quarter, accomplished through layoffs in North America and Europe, reduced pension and retiree health care costs and improvements in productivity and product development.

Chief financial officer Lewis Booth said the company took in $1.3 billion more than it spent in the quarter, an improvement over its $1 billion cash burn in the second quarter.

"That's a huge deal," Booth said.

Ford's plan to create demand and get better prices for its products, coupled with cost cuts, gave the company confidence that it will make money in 2011, Booth said.

But Ford still faces obstacles in its turnaround. Last week, workers overwhelmingly rejected an agreement with the United Auto Workers that would have brought Ford's labor costs in line with rivals General Motors Corp. and Chrysler LLC. Workers objected to clauses limiting their right to strike and freezing entry-level wages, and felt the company was healthy enough and didn't need further concessions.

The rejected deal also would have changed rules so skilled tradesmen such as electricians and pipefitters work in teams and perform more than one task.

Rejection of the deal isn't likely to place Ford at an immediate cost disadvantage to its crosstown rivals because savings from the concessions are longer-term, said Gary Chaison, a professor of labor relations at Clark University in Worcester, Mass. Neither the company nor the UAW has released any cost savings numbers.

The third-quarter profit makes it extremely unlikely that the company will push to head back to the bargaining table before the current UAW contract expires in the fall of 2011, and union leaders also are unlikely to take another deal to the membership, Chaison said.

"I think the company has no credibility asking for concessions now, and I think the leadership is quite embarrased for making a case for concessions," he said.

Chaison said Ford could make some noise about moving new vehicle production to Canada, where unionized workers on Sunday approved a package of concessions, but it's more likely that Ford will live with the current contract until 2011.

The other area where Ford has a cost disadvantage is debt. Ford reported $26.9 billion in debt, up $800 million from the second quarter.

The company avoided the same fate as rivals Chrysler and GM by mortgaging its factories and even the familiar blue oval logo to borrow $23.5 billion before credit markets froze last year.

Ford didn't quantify the impact of Cash for Clunkers, which offered buyers rebates to trade in their vehicles. The program helped Ford cut costly incentives and raise production.

It also won buyers; the fuel-efficient Ford Focus sedan and Ford Escape, a small SUV, were among the top five sellers under clunkers. Ford sales climbed 17 percent in August thanks to the program.

Ford's revenue fell $800 million for the quarter, to $30.9 billion, due mainly to its financial services arm, Ford Motor Credit, making fewer loans.

But the division still posted a pretax profit of $677 million, and revenue from auto operations rose slightly to $27.9 billion.

Ford also has benefited from consumer goodwill after it declined government bailout money and didn't go into bankruptcy over the summer as GM and Chrysler did. Ford grabbed sales from its rivals, posting the largest increase in market share of any automaker in September. Ford expects an overall gain in U.S. market share in 2009, a feat it hasn't accomplished since 1995.

(This version CORRECTS 5th graf that Ford's North American car and truck division posted the first pretax profit since the first quarter of 2005 sted company's first pretax profit since first quarter of 2005)

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