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2015 F-150 launch to curb Ford profits?

Ford is making a big bet on aluminum with its new 2015 F-150, and it's possible that the decision will hurt the company financially, at least in the short term. After earning a record $8.6 billion in 2013, the Blue Oval does not expect to set another record in 2014. According to Automotive News, that's "largely attributable to F Series," says Bob Shanks, Ford's Chief Financial Officer.
To retool for the new F-150, Ford will idle its Dearborn Truck Plant in Michigan for 11 weeks and the Ford Kansas City Assembly Plant in Missouri for 2 weeks. "3 of the 13 overall weeks occur during what normally is our summer shutdown timeframe," said Mike Levine, Ford Trucks Communication Manager, in an email to Autoblog. The extra 10 weeks will be preparing for the more aluminum-intensive construction for the trucks and will mean over 2 months of no F-150s being made. For comparison's sake, Chrysler boss Sergio Marchionne just confirmed that the 200 plant in Sterling Heights, MI will be down for 30 days to retool for the new model, but obviously there are many more F-150 production variables than for the midsize sedan.
Levine notes that Ford is already running three shifts at both plants, and says the automaker has plans to ensure that there is adequate supply of the full-size pickups during the retooling process. The company does not want to suffer a shortage of the vehicle that accounted for 31-percent of its 2013 US sales and an even bigger percentage of its profits.

Ford paying $750 million just to close plant in Belgium

According to a report from Reuters, Ford is shelling out $750 million in a severance deal that will see the automaker close its facility in Genk, Belgium. The automaker reached this deal with the 4,000 hourly workers employed at the plant last week, which means the company will pay out an average of $187,500 per worker.
Ford is still negotiating with the 300 salaried workers at the factory, which currently produces the Mondeo sedan. All told, Ford expects to lose around $2 billion in Europe thanks in no small part to the region's ongoing economic downturn, and two more plants are scheduled to be shut down in Europe this year. The company will log its $750 million payout under "special items" for this quarter.
As you may recall, Ford took a similar path in the US back in 2009 when the domestic market took a spill. Back then, the company shelled out around $50,000 per employee with at least one year of experience, plus either $25,000 toward a new car or an extra cash payment of $20,000. It would seem the cost of closing plants in Belgium is a much harder pill to swallow than in the States...

Ford recalling 830,000 vehicles to replace side door latches

The Basics: Ford is conducting a recall for roughly 830,000 models. The affected vehicles include the 2013 to 2015 Ford C-Max, 2012 to 2015 Ford Focus, 2013 to 2015 Ford Escape, 2015 Lincoln MKC, 2015 Ford Mustang, and 2014 to 2016 Ford Transit Connect. The recall is focused primarily in Arkansas, Alabama, Florida, California, Arizona, Hawaii, Georgia, New Mexico, Louisiana, Mississippi, Texas, Nevada, Utah, Oklahoma, Washington, and Oregon as the problem mostly affects cars in states with warm weather. The Problem: The pawl spring tab in the side door latch in the affected vehicles could break, preventing the door from latching and could even cause the door to open while driving. Injuries/Deaths: There is one reported injury and one reported accident. The Fix: Dealers will replace the affected cars' side door latches. If you own one: Reach out to your local Ford dealer to schedule a service. Related Video: Related Gallery 2015 Ford Mustang: First Drive View 55 Photos News Source: FordImage Credit: Copyright 2014 Drew Phillips / AOL Recalls Ford Lincoln lincoln mkc