Ford Motor Co., the world’s third- biggest automaker, posted a record quarterly loss of $8.7 billion and accelerated a conversion to fuel-efficient vehicles to wean itself from money-losing trucks.
Ford shares fell the most in almost seven years after the company reported a second-quarter deficit of $3.88 a share compared with a profit of $750 million, or 31 cents, a year earlier. The figure included $8 billion in pretax writedowns for plant closings and the declining value of truck leases at Ford Motor Credit Co.
The automaker said it will double production of hybrid vehicles, sell more European autos such as the Fiesta in the U.S. and convert three North American truck factories to make a redesigned Focus and other small cars. The revamping is a response to record gasoline prices that have ravaged sales of large pickups and sport-utility vehicles and derailed Chief Executive Officer Alan Mulally‘s turnaround plan. – bloomberg
These people giving up their Ford trucks are many of the same Rush Limbaugh listeners who laughed at “environmental wackos” just about two years ago.