signal12's Blog

DETROIT -- Ford Motor Co., which is closing plants and cutting jobs in an effort to improve results from its North American auto business, said yesterday that it will shutter assembly plants in Norfolk, Va., and St. Paul, Minn., in 2008. The two plants employ about 4,300 hourly and salaried workers.

''A decision to end production at a plant is not an easy one, and I'm deeply mindful of the impact this decision has on Ford employees, families, and communities," Mark Fields, Ford's president of the Americas, said in a statement. ''Unfortunately, these are necessary steps we must take to move the business forward."

The nation's second-biggest automaker said in January that it would close 14 plants by 2012, but identified only five. It said at the time that it would name two more plants later in the year.

Ford said the staff reductions in Virginia and Minnesota are part of the 25,000 to 30,000 job cuts disclosed in January.

Ford's bigger rival, General Motors Corp., also is in the midst of a major restructuring and plans to close 12 plants by 2008.

http://www.boston.com/business/globe/articles/2006/
04/14/2_ford_factories_to_close_in_2008/

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Now the world's largest automaker by sales needs to figure out how it can sell enough cars to make money in a shrinking U.S. market and stay ahead of the bill collectors.

The automaker said it would idle pickup and SUV factories in Janesville, Wis.; Oshawa, Ontario; Moraine, Ohio; and Toluca, Mexico, as it tries to deal with a shift to smaller vehicles brought on by $4 per gallon gasoline. GM also took aim at the Hummer, one off the largest vehicles on U.S. highways, saying it would either be sold or get a remake.

The move cuts about 2,900 jobs in Oshawa, about 2,800 in Janesville, about 2,400 in Moraine and about 250 in Toluca, said GM spokesman Tom Wilkinson.

GM said the truck plant cuts, which will reduce capacity to produce pickups and large SUVs by about 35 percent, will save the company $1 billion per year, and when combined with earlier measures, by 2011 will save $15 billion over 2005 costs.

GM's moves, which come after a series of restructuring measures since 2005, are the result of a huge shift in U.S. consumer preferences for small cars and crossovers during the past two months.

"We at GM don't think this is a spike or temporary shift," Chief Executive Rick Wagoner said. "We believe that it is, by and large, permanent."

The automaker now will have to parlay its strong overseas sales and the lower North American costs into a profit by selling cars in the $15,000 to $20,000 range, half the price of its high-profit SUVs and pickup trucks.

http://www.boston.com/business/articles/2008/06/03/
gm_to_cease_production_at_4_pickup_suv_factories/p>

 

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Hybrid car sales jump 38% in U.S.

U.S. registrations of new hybrid vehicles rose to record levels last year, with Los Angeles being a major market for hybrids.

Sales were up 38 percent in 2007 to more than 350,000 vehicles, but that number translates to only 2.2 percent of all sales, according to R.L. Polk & Co.

Los Angeles, San Francisco and New York City were the top three metro markets for hybrid cars last year. The Washington, D.C., area came in fourth, with 12,744 hybrid cars registered in the region.

The Toyota Prius remained the best-selling hybrid in 2007, according to R.L. Polk & Co., commanding 51 percent of the market. That's up from 43 percent in 2006 and in spite of an influx of new hybrid models.

California remained the top state for hybrid sales in 2007. Twenty-six percent of all hybrid registrations were in California. Florida, New York, Texas and Washington state followed.

More info on the prius,

 Dramatic Design, Midsize Roominess and Outstanding Utility
The Prius rides on a 106.3-inch wheelbase that allows generous interior room and a smooth ride. The five-door liftback design not only looks like nothing else on the road, it is also one of the most aerodynamic production vehicles in America. Its super-low 0.26 coefficient of drag (Cd) helps to minimize interior noise and enhance fuel mileage.

With its "monoform" design, the Prius provides 96.2 cubic feet of passenger room, making it a midsize car. The rear seat in Prius provides a generous 38.6 inches of legroom. Rear cargo room measures 14.4 cubic feet. The liftback design, combined with the standard 60/40 split fold-down rear seatbacks, gives the Prius outstanding cargo capacity and flexibility.

I guess nows the time to buy that hummer or large pick up, raise it off the floor in storage and keep it as a collectors item. ;o)