Ford has reported a net loss of nearly $6 billion dollars, or $2.46 per share, for the last three months of 2008. The loss included $3.7 billion from continuing operations, and of course came as a result of steadily declining global automobile sales. Ford lost $620 million dollars during the same period in 2007.
Despite the painful looking figures, there is a bright side. Costs were reduced by some $4.4 billion dollars in 2008, while dealer stock declined by more than 50,000 vehicles. The latter figure gives Ford one of the lowest supply surpluses in the industry.
Market share in both Europe and the USA is on the rise as well, and the automaker is stressing that it has plenty of cash left in the bank to fund its future endeavors. Put another way, they don't need a 'bridge loan' from the Government at the moment.
"Ford and the entire auto industry faced an extraordinary slowdown in all major global markets in the fourth quarter that clearly had an impact on our results," said Ford President and CEO Alan Mulally. "We continued to take the decisive actions necessary to lower production to match the lower worldwide demand and reduce costs, which we expect will allow us to significantly reduce negative operating cash flow in 2009 and position Ford for growth when the economy rebounds".
photo:Ford
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| Henry Ford II World Center |
Despite the painful looking figures, there is a bright side. Costs were reduced by some $4.4 billion dollars in 2008, while dealer stock declined by more than 50,000 vehicles. The latter figure gives Ford one of the lowest supply surpluses in the industry.
Market share in both Europe and the USA is on the rise as well, and the automaker is stressing that it has plenty of cash left in the bank to fund its future endeavors. Put another way, they don't need a 'bridge loan' from the Government at the moment.
"Ford and the entire auto industry faced an extraordinary slowdown in all major global markets in the fourth quarter that clearly had an impact on our results," said Ford President and CEO Alan Mulally. "We continued to take the decisive actions necessary to lower production to match the lower worldwide demand and reduce costs, which we expect will allow us to significantly reduce negative operating cash flow in 2009 and position Ford for growth when the economy rebounds".
photo:Ford