Welcome to the North American Subaru Impreza Owners Club Sunday April 20, 2014
Home Forums WikiNASIOC Products Store Modifications Upgrade Garage
NASIOC
Here you can view your subscribed threads, work with private messages and edit your profile and preferences Home Registration is free! Visit the NASIOC Store NASIOC Rules Search Find other members Frequently Asked Questions Calendar Archive NASIOC Upgrade Garage Logout
Go Back   NASIOC > NASIOC General > News & Rumors > Non-Subaru News & Rumors

Welcome to NASIOC - The world's largest online community for Subaru enthusiasts!
Welcome to the NASIOC.com Subaru forum.

You are currently viewing our forum as a guest, which gives you limited access to view most discussions and access our other features. By joining our community, free of charge, you will have access to post topics, communicate privately with other members (PM), respond to polls, upload content and access many other special features. Registration is free, fast and simple, so please join our community today!

If you have any problems with the registration process or your account login, please contact us.
* Registered users of the site do not see these ads.
Reply
 
Thread Tools Display Modes
Old 12-02-2008, 11:41 AM   #1
Beowulf
Scooby Specialist
 
Member#: 24465
Join Date: Sep 2002
Chapter/Region: Tri-State
Location: New Joisey
Vehicle:
2012 Regal GS
1990 300ZX TT

Default Ford tells Congress it may do it alone, Ford CEO will work for $1 **Merged**

http://news.yahoo.com/s/ap/20081202/...autos_congress

DETROIT Ford Motor Co. will tell Congress that it plans to return to a pretax profit or break even in 2011 when its CEO appears before two legislative committees this week.

Also, CEO Alan Mulally said he'll work for $1 per year if the automaker has to take any government loan money.

The plans Ford submitted to Congress on Tuesday also say the company will cancel all management employees' 2009 bonuses and will not pay any merit increases for its North American salaried employees next year.

The company also said it will sell its five corporate aircraft. The CEOs of all three Detroit automakers were harshly criticized during congressional hearings last month for flying to Washington in separate corporate jets while seeking loan money.

Mulally said in an interview with The Associated Press on Tuesday that Ford will emphasize its cost cutting efforts with the United Auto Workers union and will give much more detail to Congress than it did when lawmakers grilled the automakers' CEOs last month.

Mulally said Ford will seek $9 billion in government loans but may not need them. The Dearborn-based company has said it has enough cash to make it through next year without assistance.

As part of the plan submitted to Congress, Ford said it does not anticipate a liquidity crisis in 2009, "barring a bankruptcy by one of its domestic competitors or a more severe economic downturn that would further cripple automotive sales." The loan would provide a safeguard against worsening conditions, the company said.

The company said it will accelerate plans to roll out plug-in electric vehicles as part of its plan. The vehicles will come out starting in 2010 and include the Transit Connect small van and a car the size of the Ford Focus compact.

Ford also said it will accelerate plans for hybrid gas-electric vehicles.

The CEOs of the Detroit Three are scheduled to appear before congressional committees Thursday and Friday to seek a total of $25 billion in government loans. Chrysler LLC and General Motors Corp. have said they are perilously low on cash and need the government loans to survive the recession and the worst auto sales environment in 25 years.

Ford's plans to achieve profitability or break even by 2011 are based on industrywide sales estimates of 12.5 million units in 2009, 14.5 million in 2010 and 15.5 million in 2011. The seasonally adjusted annual sales rate dropped to 10.6 million vehicles in October.

Ford's plan calls for an investment of up to $14 billion to improve fuel efficiency over the next seven years. The company said would improve the overall efficiency of its fleet by an average of 14 percent in 2009.

Mulally also says he will encourage automakers and parts suppliers to join forces to develop new battery technologies in the U.S. for future electric cars so the country doesn't rely on foreign batteries.

Ford's plan said it will reduce its number of dealers by 606 to 3,790 by the end of the year. It will also trim the number of major sourcing suppliers it uses to 750 from 1,600.

Ford reiterated its intention to offload Volvo, by either selling the Swedish automaker or spinning it off into a separate company. Since 2007, Ford has sold its Jaguar, Aston Martin and Land Rover lines. It also sold most of its stake in Madza.
* Registered users of the site do not see these ads.
Beowulf is offline   Reply With Quote
Old 12-02-2008, 11:43 AM   #2
roksax
Scooby Specialist
 
Member#: 56126
Join Date: Feb 2004
Chapter/Region: MWSOC
Location: IA
Vehicle:
2005 Legacy GT
Hail Damage Red

Default Ford tells Congress it may be able to go it alone

Looks like Ford might actually be trying.

http://news.yahoo.com/s/ap/20081202/...meltdown_autos

Quote:
WASHINGTON Ford Motor Co. is asking Congress for a $9 billion "stand-by line of credit" to stabilize its business, but says it doesn't expect to tap it.

Unless one of Detroit's other Big Three auto companies goes bust, Ford expects to have enough money to make it through next year, it said in a plan that projected the firm will break even or turn a pretax profit in 2011.

Detroit's automakers, making a second bid for $25 billion in funding, are presenting Congress with plans Tuesday to restructure their ailing companies and provide assurances that the funding will help them survive and thrive.

General Motors Corp., Ford and Chrysler LLC said they would refinance their companies' debt, cut executive pay, seek concessions from workers and find other ways of reviving their staggering companies.

The Big Three executives also are offering a series of mostly symbolic moves to burnish their images, badly tattered after they arrived in Washington D.C. last month on three separate private jets to plead for a federal lifeline for their struggling companies.

Ford CEO Alan Mulally said he'd work for $1 per year if his firm had to take any government loan money. The company's plan also says it will cancel all management employees' 2009 bonuses, scrap merit increases for its North American salaried employees next year, and sell its five corporate aircraft.

And for this week's round of congressional hearings on the auto bailout, all three company chiefs will skip the lavish travel arrangements. Mulally is coming by car from Detroit for this week's second round of congressional hearings on government help for the Big Three. GM Chief Rick Wagoner will drive a Chevrolet Malibu hybrid sedan for the 520-mile trek from Detroit to Capitol Hill, spokesman Tony Cervone said Tuesday. And Chrysler LLC CEO Robert Nardelli won't travel by corporate jet, but a spokeswoman declined to elaborate on his travel plans, citing security reasons.

The unions were preparing to make sacrifices as well. UAW leaders summoned local union leaders from across the country to an emergency meeting Wednesday in Detroit to discuss concessions the union could make to help auto companies get government loans.

U.S. automakers are struggling to stay afloat heading into 2009 under the weight of an economic meltdown, the worst auto sales in decades and a tight credit market. General Motors, Ford and Chrysler went through nearly $18 billion in cash reserves during the last quarter, and GM and Chrysler have said they could collapse in weeks.

Top executives from the Big Three failed last month to convince a skeptical Congress that they were worthy of $25 billion in loans. House Speaker Nancy Pelosi, D-Calif., and Senate Majority Leader Harry Reid, D-Nev., ordered them to outline major changes, including the elimination of lavish executive pay packages and assurances that taxpayers would be reimbursed for the loans.

All three companies are filing separate plans. Congressional hearings are planned for Thursday and Friday.

"I believe the industry will make a compelling case for bridge loans that will allow the companies to return to firm financial footing," said Sen. Carl Levin, D-Mich.

GM will outline efforts to negotiate swapping some of the company's debt for equity stakes in the automaker, either shares or warrants for them, said two people briefed on the company's plan.

With eight separate brands, GM will also discuss efforts to shed brands but it would prefer to sell them instead of shutting down Pontiac, Saturn or Saab, said one of the people briefed on the plan. Killing off brands, like GM did with Oldsmobile in 2004, would require cash the company doesn't have, the person said. The people briefed on GM's preparations didn't want to be identified because the plan hadn't been completed.

Some members of Congress have urged the Big Three executives to take major pay cuts as part of the deal. Chrysler's Nardelli said he would work for $1 a year, and a similar commitment is expected from GM's Wagoner.

Chrysler is expected to outline changes that would include a swap of debt in the company for equity stakes and reductions in some vehicle models, according to a person who was briefed on the plan. The person spoke on condition of anonymity because the discussions were private.

Cash stockpiles at GM and Chrysler are dangerously close to the minimum amount required to run the companies, meaning they could have trouble paying all their bills by the end of the year.

GM, according to its quarterly report filed with the Securities and Exchange Commission, owes creditors $45 billion and it must pay more than $7.5 billion early in 2010 to a United Auto Workers trust fund that will take over retiree health care payments.

Ford owes more than $26 billion, with $6.3 billion due to its UAW trust fund at the end of 2009. Chrysler, a private company, does not have to open its books, but its CEO, Nardelli, has said it would be difficult for the company to make it without federal aid. All three likely are negotiating with the UAW for delays in payments to the trusts.

The companies are expected to seek other concessions from the United Auto Workers, including the elimination of the much-maligned jobs bank in which laid-off workers keep receiving most of their pay.

Alan Reuther, the UAW's legislative director, declined to say on Monday what kinds of concessions the union might take but said "we realize that all stakeholders need to come to the table to do what's necessary to ensure the viability of the companies. We're prepared to do our part."

The UAW leaders subsequently disclosed plans for the Wednesday meeting, where they will discuss the possibility of restructuring a multibillion-dollar union-administered health care fund so that the automakers can delay payments, according to a person familiar with the matter.

They also plan to discuss eliminating the jobs bank.

The companies are resisting calls for bankruptcy. The executives said last month that bankruptcy cannot be an option because no one would buy a car from an automaker that may not survive the life of the vehicle.
roksax is offline   Reply With Quote
Old 12-02-2008, 11:44 AM   #3
roksax
Scooby Specialist
 
Member#: 56126
Join Date: Feb 2004
Chapter/Region: MWSOC
Location: IA
Vehicle:
2005 Legacy GT
Hail Damage Red

Default

beat me by two minutes
roksax is offline   Reply With Quote
Old 12-02-2008, 11:45 AM   #4
Beowulf
Scooby Specialist
 
Member#: 24465
Join Date: Sep 2002
Chapter/Region: Tri-State
Location: New Joisey
Vehicle:
2012 Regal GS
1990 300ZX TT

Default

Quote:
Originally Posted by roksax View Post
beat me by two minutes
HAHAHAHA! Sorry bro! I was sure it would have been posted already!
Beowulf is offline   Reply With Quote
Old 12-02-2008, 11:48 AM   #5
monovich
Scooby Specialist
 
Member#: 8124
Join Date: Jul 2001
Location: Denver, Colorado
Vehicle:
1998 Old Grey Mule
Regacy Rype R

Default

sweet jack! sounds promising.

My wife and I are looking at picking up a new car, and the escape hybrid was on the "possible" list but we aren't going to buy from failing company. Maybe there is a little hope...
monovich is offline   Reply With Quote
Old 12-02-2008, 11:53 AM   #6
SCRAPPYDO
Scooby Guru
 
Member#: 873
Join Date: Feb 2000
Chapter/Region: TXIC
Location: Just outside of Houston TX
Vehicle:
2013 F150 King Ranch
1971 240Z

Default

You know, I respect Ford for coming out and saying this. Come to The american people requesting a loan, not a bailout. All they are asking for is a hand up, not a hand out.

If I were Ford, I would go on TV and say the following..

"Hello, I am Alan Mulally, CEO of Ford. Our country is in tough times, but we have seen worse. We have seen the American worker overcome every obstacle that has ever opposed us. Our competitors GM and Chrysler want you, the American Taxpayer to give them a handout. I do not want this. Ford is a company, and like any company, I want the chance to earn your business. I promise here at Ford that we will turn this company around, not by accepting a hand out, but by producing the kinds of cars that this country needs. We will spear head the plug in Hybrid revolution, we will streamline our manufacturing to minimize waste, we will invest in America, as she has invested in us for over a hundred years. Any money we accept from the US government we will pay back with interest on an agreed to schedule. We will keep the American tax payer, the person who gave us the loan, know how we are doing. ON the bottom of every single add we take out, we will print our progress in our repayment.

These are tough times, but they are not the end of Ford. We will learn from our mistakes and come back and be a brand that the US can be proud of. Our cars will roll from our plants and head out into not only the US, but the world. And the blue oval will be an example of just how good a car the United States can produce."
SCRAPPYDO is offline   Reply With Quote
Old 12-02-2008, 12:13 PM   #7
Mike Wevrick
RIP 1/19/64 - 7/23/11
Scooby Guru
 
Member#: 24654
Join Date: Sep 2002
Chapter/Region: NESIC
Location: saraseager.com
Vehicle:
1957 Taggart Comet
atlasshruggedpart1.com

Default

Quote:
"I believe the industry will make a compelling case for bridge loans that will allow the companies to return to firm financial footing," said Sen. Carl Levin, D-Mich.
Gm and Chrysler especially have serious problems that short-term loans are not going to fix.

Quote:
GM will outline efforts to negotiate swapping some of the company's debt for equity stakes in the automaker, either shares or warrants for them, said two people briefed on the company's plan
Aren't those shares worth basically nothing right now?
Mike Wevrick is offline   Reply With Quote
Old 12-02-2008, 12:17 PM   #8
delongedoug
Scooby Specialist
 
Member#: 124113
Join Date: Aug 2006
Chapter/Region: NESIC
Location: To infinity
Vehicle:
and beyond!

Default

Quote:
Originally Posted by Mike Wevrick View Post
Gm and Chrysler especially have serious problems that short-term loans are not going to fix.
Free money!!!!one!!11!!
delongedoug is offline   Reply With Quote
Old 12-02-2008, 12:20 PM   #9
Longinus
Scooby Specialist
 
Member#: 187727
Join Date: Aug 2008
Chapter/Region: SCIC
Location: Los Angeles
Vehicle:
2001 GC6 Impreza
BRP with a dash of mud

Default

Go Ford! My favorite of the American manufacturer. They seem to be going the right direction. I have high hopes for the fiesta and focus btw.
Longinus is offline   Reply With Quote
Old 12-02-2008, 12:46 PM   #10
shikataganai
Scooby Specialist
 
Member#: 92634
Join Date: Aug 2005
Chapter/Region: RMIC
Vehicle:
2007 Land Cruiser
2013 LEAF

Default

i'm psyched for an electric Ford Transit Connect van (as per the OP for those who can't read)!

shikataganai is offline   Reply With Quote
Old 12-02-2008, 01:02 PM   #11
rallymaniac
Scooby Specialist
 
Member#: 52189
Join Date: Jan 2004
Chapter/Region: MWSOC
Location: Elgin, IL
Vehicle:
2006 MINIiiiiii
:)

Default

Ford has just become my favorite us brand.
Now, ditch the unions, bring over your Euro models and let's all be happy
rallymaniac is offline   Reply With Quote
Old 12-02-2008, 01:09 PM   #12
doylfish
Scooby Specialist
 
Member#: 88099
Join Date: May 2005
Chapter/Region: NESIC
Location: Freeport, ME/Prov, RI
Vehicle:
2004 Audi S4
2003 Suzuki SV1000S

Default

never thought i'd say this, but i actually have some respect for ford now if what they are saying is really true, much more than GM, and my family has been GM diehards with cousins and uncles current and retired employees
doylfish is offline   Reply With Quote
Old 12-02-2008, 01:55 PM   #13
Hazdaz
Scooby Guru
 
Member#: 14611
Join Date: Jan 2002
Default

Quote:
Originally Posted by SCRAPPYDO View Post
You know, I respect Ford for coming out and saying this. Come to The american people requesting a loan, not a bailout. All they are asking for is a hand up, not a hand out.


That IS a bailout. That is the exact same thing that GM, Chrysler and hell, even all these financial companies are asking for. They are LOANS... not "free money".

:Picard:
Hazdaz is offline   Reply With Quote
Old 12-02-2008, 02:06 PM   #14
express_wagon
Scooby Specialist
 
Member#: 68346
Join Date: Aug 2004
Chapter/Region: NESIC
Vehicle:
1996 LC
2014 JK

Default

Talk is cheap and I want to believe his words.

I'd say give the bailout. I really hope they can make it happen.
express_wagon is online now   Reply With Quote
Old 12-02-2008, 02:07 PM   #15
JC
NASIOC Supporter
 
Member#: 692
Join Date: Dec 1999
Chapter/Region: SCIC
Vehicle:
2006 Pontiac GTO M6
Triumph Street Triple R

Default

Quote:
Originally Posted by Hazdaz View Post


That IS a bailout. That is the exact same thing that GM, Chrysler and hell, even all these financial companies are asking for. They are LOANS... not "free money".

:Picard:
To be fair, Ford is asking for a line of credit. Which makes sense if all your competitors are getting billions of gov't money you would be remiss in not trying to at least have some available to yours too.
JC is online now   Reply With Quote
Old 12-02-2008, 02:37 PM   #16
sauuce
Scooby Specialist
 
Member#: 109253
Join Date: Mar 2006
Chapter/Region: BAIC
Location: Davis
Vehicle:
2006 STi
SGM

Default

Quote:
Originally Posted by SCRAPPYDO View Post
You know, I respect Ford for coming out and saying this. Come to The american people requesting a loan, not a bailout. All they are asking for is a hand up, not a hand out.
Quote:
Originally Posted by JC View Post
To be fair, Ford is asking for a line of credit. Which makes sense if all your competitors are getting billions of gov't money you would be remiss in not trying to at least have some available to yours too.
see below. they're asking for a big chunk of the pie.
Quote:
Originally Posted by The Wall Street Journal
DETROIT -- Ford Motor Co., in a sweeping business plan designed to secure access to up to $9 billion in low-interest government loans, said it aims to return to profitability in 2011 as it boosts the production of small cars and introduces more fuel-efficient technologies.
http://online.wsj.com/article/SB122823078705672467.html?mod=yahoo_hs&ru=yaho o

Last edited by sauuce; 12-02-2008 at 02:45 PM.
sauuce is offline   Reply With Quote
Old 12-02-2008, 03:20 PM   #17
Ghosthound
Scooby Specialist
 
Member#: 110979
Join Date: Mar 2006
Location: Sacramento, Ca
Vehicle:
2010 FJ Cruiser
1999 Miata

Default

i have to hand it to ford... of all the american car companies, they impress me the most.
Ghosthound is offline   Reply With Quote
Old 12-02-2008, 03:32 PM   #18
Hazdaz
Scooby Guru
 
Member#: 14611
Join Date: Jan 2002
Default

Quote:
Originally Posted by JC View Post
To be fair, Ford is asking for a line of credit.
You are right, but the thinking that these "bailouts" are handouts is wrong. All these companies are looking for are LOANS... NOT free money - big difference between the two.
What Ford is asking for is admittedly even less - they just want the OPTION of getting a loan if things turn worse.... which is very noble of them if they indeed pull it off.

Serious props to them if they can even come close to a profit by 2011.
Hazdaz is offline   Reply With Quote
Old 12-02-2008, 03:39 PM   #19
04 Slo Sti
Scooby Specialist
 
Member#: 156478
Join Date: Aug 2007
Chapter/Region: MWSOC
Location: indiana
Vehicle:
06 330i
Blue

Default

bring the euro fords over here

it would be the first time i went to a ford dealership looking to buy something lol
04 Slo Sti is offline   Reply With Quote
Old 12-02-2008, 03:56 PM   #20
JC
NASIOC Supporter
 
Member#: 692
Join Date: Dec 1999
Chapter/Region: SCIC
Vehicle:
2006 Pontiac GTO M6
Triumph Street Triple R

Default

Quote:
Originally Posted by sauuce View Post
see below. they're asking for a big chunk of the pie.
As I said before they are are asking for access to money should they need it. Also $9 billion for a company that size isn't as much as you think. Last I heard GM was losing $4 billion a month and that was before the economy really tanked. Now I hear it's closer to $7 billion.

Quote:
Originally Posted by Hazdaz View Post
You are right, but the thinking that these "bailouts" are handouts is wrong. All these companies are looking for are LOANS... NOT free money - big difference between the two.
What Ford is asking for is admittedly even less - they just want the OPTION of getting a loan if things turn worse.... which is very noble of them if they indeed pull it off.

Serious props to them if they can even come close to a profit by 2011.
I wasn't disagreeing with you but I agree with the spirit of scrappy's post. What Ford is asking for is more reasonable than any of the other companies looking for gov't money.
JC is online now   Reply With Quote
Old 12-02-2008, 04:39 PM   #21
SubaruFan
Scooby Specialist
 
Member#: 35649
Join Date: Apr 2003
Location: CA
Vehicle:
2001 Legacy GT sdn
sand/gray

Default

Quote:
Originally Posted by monovich View Post
sweet jack! sounds promising.

My wife and I are looking at picking up a new car, and the escape hybrid was on the "possible" list but we aren't going to buy from failing company. Maybe there is a little hope...
First off why the hybrid Escape? The reason I ask a good friend bought one hates it. If you don't need AWD or are buying a 2wd Escape you need your noggin checked.

If your looking for milege seating for 4 people with a wagon like trunk 2wd save your self some money up front and over the long run VW Jetta sport wagon TDI. Need AWD thats a different story - either wait a little longer for the diesel wagons to show up or forever hold your complaints and buy the ancient Escape. Note road trip with all measures taken to max milege my buddy sees 32mpg - flat ground cruise control speed limit. Note it has restricted SUV abilities due to the hybrid crap.
SubaruFan is offline   Reply With Quote
Old 12-02-2008, 05:42 PM   #22
Hazdaz
Scooby Guru
 
Member#: 14611
Join Date: Jan 2002
Default

Quote:
Originally Posted by SubaruFan View Post
If your looking for milege seating for 4 people with a wagon like trunk 2wd save your self some money up front and over the long run VW Jetta sport wagon TDI.
No sale.
Gas = $2/gallon or less
Diesel = $3/gallon or more.

That is a 50+% increase in fuel cost with maybe a 30% increase in mileage... and a higher upfront cost? No dice.

Not saying that I do not like diesels, but until the price for the fuel gets inline with the price of gas it is not even close to the economical choice for the American consumer... now if you lived in Europe, that would be a different story.
Hazdaz is offline   Reply With Quote
Old 12-02-2008, 06:12 PM   #23
SubaruFan
Scooby Specialist
 
Member#: 35649
Join Date: Apr 2003
Location: CA
Vehicle:
2001 Legacy GT sdn
sand/gray

Default

http://www.sanfrangasprices.com/inde...=San+Francisco


Do some research - you'll find that historically speaking diesel runs about 16% higher price wise than gas.
SubaruFan is offline   Reply With Quote
Old 12-02-2008, 06:32 PM   #24
geddesk2
Scooby Specialist
 
Member#: 119397
Join Date: Jul 2006
Chapter/Region: NWIC
Location: Snoqualmie
Vehicle:
2012 STI
WRB (The only color)

Default

Go Ford...finally pulling your head out of your mustang!
geddesk2 is offline   Reply With Quote
Old 12-02-2008, 06:33 PM   #25
Hazdaz
Scooby Guru
 
Member#: 14611
Join Date: Jan 2002
Default

Quote:
Originally Posted by SubaruFan View Post
http://www.sanfrangasprices.com/inde...=San+Francisco


Do some research - you'll find that historically speaking diesel runs about 16% higher price wise than gas.
Forgot history. We truly are in uncharted waters these days. If this was 5 years ago, or maybe 5 years into the future prices might gets closer, but right now it's not even remotely the economical choice. If you want to use less fuel overall (which I can definitely agree with), going diesel is probably one of the most expensive ways of doing it right now.

But I digress, because this is not what this thread is about.
Hazdaz is offline   Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
What seat brackets will work for... Evil_STI Interior & Exterior Modification 2 08-22-2007 07:24 AM
Trying to do it once, do it right.... AutoAviat Factory 2.5L Turbo Powertrain 5 03-06-2007 01:05 AM
Want massive bling? 75k shift knob may do it.. HighWayDrifter Off-Topic 24 06-20-2005 08:13 AM
FIA May Do It Again To WRC! Rattler Motorsports 13 09-10-2003 03:32 AM
Rice -- Mazda's doing it, Nissan's doing it, Subaru's doing it and it's here to stay! J-Spec General Forum Archive 47 02-21-2001 07:55 AM


All times are GMT -4. The time now is 07:32 PM.


Powered by vBulletin® Version 3.7.0
Copyright ©2000 - 2014, Jelsoft Enterprises Ltd.
Powered by Searchlight © 2014 Axivo Inc.
Copyright ©1999 - 2014, North American Subaru Impreza Owners Club, Inc.