2002 Ford Taurus Wagon on 2040-cars

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Long winter means most automakers won't curb summer shutdown

A lot more happened during this latest brutal winter than days of snow and Netflix binges. Automotive sales took a battering. After all, going out car shopping when it's eleventy-billion degrees below zero isn't a good time.
Because of this Old Man Winter-induced sales slump, inventories are abnormally high as we head into the summer car buying season. That's led some analysts to predict that automakers will be more inclined to idle factories this summer, in a bid to trim some of the built-up inventory. Traditionally, American manufacturers offer up a two-week break in the middle of summer, although the burgeoning sales of the past few years have seen this practice become less popular.
"We're likely not going to see an acceleration this year," Jeff Schuster, a senior vice president at LMC Automotive, told The Detroit News. "We'll see production increases in 'pockets' but I don't know if it will be as widespread as in recent years."

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.

US Ford Focus RS to be imported from Europe

Rumors about the forthcoming Ford Focus RS are flourishing into what sounds like a very impressive new hot hatch. The latest scuttlebutt gives the first indication about when we might see a few of these fast Focuses on roads here in the US.
Unnamed insiders reportedly confirmed to The Truth About Cars that Ford plans to launch the Focus RS in the US in 2016. However, getting one might not be so easy - the boosted powertrain means the car would likely need to be imported from Europe. That's likely going to keep the total number available in the US rather low. The sources estimate a price tag that's a bit more expensive than the top Focus ST3, which starts around $28,500, plus $825 destination.
It seems that a pretty potent package comes for all of that cash, though. The Focus RS reportedly uses a 2.3-liter turbocharged four-cylinder making between 325 and 350 horsepower, with a torque-vectoring all-wheel drive system to get that muscle to the road. The test mules also wear more aggressive front and rear fascias, dual exhaust tips, larger brakes and sticky tires. It sounds like a great formula on top of the already enjoyable Focus ST.