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Ford Q1 profits dragged down by warranty costs

General Motors isn't the only Detroit automaker posting falling profits in the first quarter. Ford just released its Q1 2014 financial data, and it reported a net income of $989 million, down $622 million from Q1 2013. The drop is partially blamed on higher warranty and recall expenses than the company had anticipated.
Financially, Ford suffered a rough quarter almost across the board. Its pre-tax profit of $1.4 billion was also down $765 million from a year ago. Things were even worse in the North American market where operating profit fell significantly to $1.5 billion, down from $2.392 billion in Q1 2013. However, its global revenue ticked up slightly to $35.9 billion, from $35.6 billion in this period in 2013.
Ford admitted that it spent about $900 million on expenses that it hadn't planned for during this quarter. According to Reuters, the company paid about $400 million in additional warranty and recall costs in North America. The automaker didn't explain why the costs were so much higher than expected. However, in the last three months, Ford has had several recalls, including on the 2001-2004 Escape for rust, Explorer for its steering, Edge for its fuel line and others.

2015 Ford Mustang potentially 'leaked' by Car and Driver

Few upcoming debuts have been as eagerly anticipated as the all-new Ford Mustang that's expected to debut shortly as the Mustang's 50th anniversary year approaches. Well, Car and Driver magazine would have us wait no longer as it claims to be leaking Ford's new global pony car early.
Of course what you're looking at is just as likely to be a composite rendering based on what C/D projects the new Mustang to look like, but to our eyes it looks spot on. Combining design traits from the Evos Concept with classic Mustang signatures and Ford's Aston-inspired grille treatment, C/D's images - including a complete 360-degree digital navigator - show a Mustang not only for the modern era, but also for global distribution, taking a quintessentially American car to markets its predecessors were never designed for.
Those global considerations are expected to spell the demise of the outgoing Mustang's holdout live rear axle in favor of an independent suspension, and a slight constricting of the exterior dimensions. And thanks to a separate leak, coming from a digital survey, we have apparent confirmation of what will power the new pony car. While the existing 3.7-liter V6 and 5.0-liter V8 engines will apparently carry over with only slight adjustments in output, the survey confirms a new 2.4-liter turbo four will be positioned in between them, offering slightly more power than the V6 but markedly improved fuel economy for a manageable $560 premium over base.

Ford F-Series Super Duty prototype reduced to smoldering mess of aluminum and steel [UPDATE]

The most important bit of information you need to know after looking through our high-res gallery of images depicting a prototype 2016 Ford F-Series Super Duty pickup truck burning to the ground is that nobody was hurt. There were two engineers inside the vehicle when it caught fire, and both exited to safety.
That's the good news. The bad news is that the truck, which appears to have been testing in Death Valley, appears to be a total loss, minus, of course, whatever information Ford can glean from the conflagration - particularly tracing it back to its root cause. Besides that, we're also expecting the body of the next Super Duty to be hewn from aluminum, as is the case with its smaller brother, the brand-new F-150. Note the little aluminum droppings littering the roadway as apparent proof of that.
Our spy photographers report that it took just 21 minutes for the F-Series Super Duty to burn completely to the ground. The fire appears to have started in the driver-side front wheel well, spreading to engulf the entire front end in three minutes. We can't confirm the source of the blaze, but we're curious if the car's black vinyl cladding, meant to obscure the secrets within, contributed to the fire.