FORD SAYS 'NO THANKS' TO BAILOUT

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I have a great deal of respect for Ford right now. I might just have to share my dollars with them because this move deserves to be rewarded. I have been considering a Volvo actually




Ford Motor Co. said Friday it would not need a short-term loan from the government, but lauded the Bush administration's decision to extend aid to its cash-strapped competitors and renewed a request for a nine billion dollar line of credit.
"We do not face a near-term liquidity issue, and we are not seeking short-term financial assistance from the government," Ford president and chief executive officer Alan Mulally said in a statement.

Ford said it hoped to restructure its business without government assistance but requested the nine billion dollar line of credit as a "critical backstop or safeguard against worsening conditions."

The US government announced earlier Friday it would provide ailing automakers with 13.4 billion dollars in short-term financing in support of their restructuring, setting strict conditions to prove their viability.

"All of us at Ford appreciate the prudent step the administration has taken to address the near-term liquidity issues of GM and Chrysler," Mulally said.

"The US auto industry is highly interdependent, and a failure of one of our competitors would have a ripple effect that could jeopardize millions of jobs and further damage the already weakened US economy."

Ford said that while it is working to aggressively reduce costs it will continue to invest heavily in product development, including approximately 14 billion dollars over the next seven years to improve the fuel economy of its vehicles.

Ford said the comprehensive restructuring plan it presented to Congress will allow it to return to profitability by 2011

"While we clearly still have much more work to do, I am more convinced than ever that we have the right plan that will create a viable Ford going forward and position us for profitable growth," Mulally said.

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[ToddG]

Not only are they turning down a bail-out, but they're supporting the multi-billion dollar infusion being given by the gov to their competitors ... That's impressive.

[buzz_knox]

Not only are they turning down a bail-out, but they're supporting the multi-billion dollar infusion being given by the gov to their competitors ... That's impressive.

They are probably laughing their tails off at their competition. The money has a little string that comes with it: if the companies can't prove they are financially vialbe by March, the loans get pulled. Talk about a Sword of Damocles situation.

[MisterWilson]

What about this part?


Ford said it hoped to restructure its business without government assistance but requested the nine billion dollar line of credit as a "critical backstop or safeguard against worsening conditions."

http://www.breitbart.com/article.php?id=081219150605.tto9ush5&show_article=1

[CleverNickname]

Not only are they turning down a bail-out, but they're supporting the multi-billion dollar infusion being given by the gov to their competitors ... That's impressive.

They're not doing it our of the goodness of their heart, but because they're afraid that if GM and/or Chrysler fail, some of the subcontractors that supply parts to all of the manufacturers will fail. Then Ford will have problems with their parts supply, which would cause them major problems. Toyota and Honda are supporting the bailout for the same reason.

[Don Robison]

I've never owned anything but Ford products, I guess I don't see a reason to change that now.

[javentre]

They're not doing it our of the goodness of their heart, but because they're afraid that if GM and/or Chrysler fail, some of the subcontractors that supply parts to all of the manufacturers will fail. Then Ford will have problems with their parts supply, which would cause them major problems. Toyota and Honda are supporting the bailout for the same reason.


Bingo.

One of the Toyota execs was on TV the other day saying that exact thing. They don't want the carpet pulled out from under their suppliers.

[Savior 6]

Bravo Ford. That's squared away.

[markm]

The Gubment should Bail out my ****ing Crown Victoria with a bad A/C compressor on less than 60k miles. I'm through with American made crap cars no matter what happens.

The only bailout the US auto industry needs is the removal of that giant parasite that goes by the name "UAW". Talk about a classic example of the parasite killing the host!

[Jay Cunningham]

Honda
Toyota
Nissan

These.

[ToddG]

The only bailout the US auto industry needs is the removal of that giant parasite that goes by the name "UAW". Talk about a classic example of the parasite killing the host!

Classic example of socialist concepts bringing down a capitalist entity ...

[markm]

Classic example of socialist concepts bringing down a capitalist entity ...

American cars could be so much more affordable with the parasite gone. I could almost live with the piss poor quality! :p

[neodecker]

Maybe they could spend the money on better parts if they didn't have to pay the parasite.

[Renegade]

Not only are they turning down a bail-out, but they're supporting the multi-billion dollar infusion being given by the gov to their competitors ... That's impressive.

Impressive? No. Selfish? Yes.

Having their competitors around (and feeding off the Federal Trough along with all of its requirements - like limits on executive pay) is in their best interest.

[decodeddiesel]

I must commend Ford. Although I would never purchase one of their products I must admit the way they have been handling this whole economic crisis has been commendable.


The only bailout the US auto industry needs is the removal of that giant parasite that goes by the name "UAW". Talk about a classic example of the parasite killing the host!


Classic example of socialist concepts bringing down a capitalist entity ...

That's precisely what I was thinking about this. This whole thing isn't about inferior cars, or lack of innovation, or not being viable in today's global market. It is about a small group of lazy yet grossly over compensated people not wanting to loose their barrel of pork.

This is another huge grief I have with the Democratic party, and sadly with the coming of the Chosen One and the Democratic Majority in the legislative branch we're probably going to see some pretty disgusting pro-labor legislation in the near future.

[byatacko]

They sold off their capital assets a while ago, so they're going to survive. Its a pity too, because they make some pretty horrible cars and trucks.

[ThirdWatcher]

I've never owned anything but Ford products, I guess I don't see a reason to change that now.

Me, too.

IMHO, they make damn fine police cars, too... in fact, I won't drive anything but a CVPI on patrol.:)