Surprising to you, maybe No, Viriginia, the Prius isn't the most popular car in America

Now that most Americans can't be bothered to read a daily newspaper, the little headlines that Yahoo puts up when you're signing in to get your email have become, I suspect, a major news source. One that caught my eye the other day was to the effect of The Surprising Bestselling Vehicle in the USA—And It's Not a Hybrid or Even a Small Car. Yeah? No kidding. It's the big Ford F-series pickup, with the Chevrolet Silverado pickup right behind it. Just as it's been for years.

The F-series did fall out of its top spot for a few months early this summer, when financial speculation—oh, I'm sorry, Supply & Demand—suddenly sent gas prices to $4 a gallon and beyond. Once fuel prices started drifting back to earth, the F-series once again assumed its position at the top of the best-sellers list, where it has been camped out for more than a decade. The fact that this is "surprising" news to the mainstream media is yet another depressing indicator of how clueless they are with regard to the U.S. auto market. It's part of the whole notion that the American carmakers' precarious financial position is obviously due to their stubborn insistence on building big trucks that no one wants, when they should have been making economical small cars and hybrids (like the Prius!). Except the fact is that when gas is $3 a gallon or less, Americans want big trucks. Lots of them. Should U.S. carmakers build more economical models, better small cars, and more hybrids? Sure. But is it surprising that the Ford F-series is America's bestselling vehicle? Only to those who are completely ignorant of the U.S. car market.

Surprising to you, maybe No, Viriginia, the Prius isn't the most popular car in America

Now that most Americans can't be bothered to read a daily newspaper, the little headlines that Yahoo puts up when you're signing in to get your email have become, I suspect, a major news source. One that caught my eye the other day was to the effect of The Surprising Bestselling Vehicle in the USA—And It's Not a Hybrid or Even a Small Car. Yeah? No kidding. It's the big Ford F-series pickup, with the Chevrolet Silverado pickup right behind it. Just as it's been for years.

The F-series did fall out of its top spot for a few months early this summer, when financial speculation—oh, I'm sorry, Supply & Demand—suddenly sent gas prices to $4 a gallon and beyond. Once fuel prices started drifting back to earth, the F-series once again assumed its position at the top of the best-sellers list, where it has been camped out for more than a decade. The fact that this is "surprising" news to the mainstream media is yet another depressing indicator of how clueless they are with regard to the U.S. auto market. It's part of the whole notion that the American carmakers' precarious financial position is obviously due to their stubborn insistence on building big trucks that no one wants, when they should have been making economical small cars and hybrids (like the Prius!). Except the fact is that when gas is $3 a gallon or less, Americans want big trucks. Lots of them. Should U.S. carmakers build more economical models, better small cars, and more hybrids? Sure. But is it surprising that the Ford F-series is America's bestselling vehicle? Only to those who are completely ignorant of the U.S. car market.

All-New Ford Fusion Hybrid America's Most Fuel-Efficient Mid-Size Car

The all-new Ford Fusion Hybrid is now officially America's most fuel efficient mid-size car with a certified 41 mpg rating in the city and 36 mpg on the highway, topping the Toyota Camry hybrid by 8 mpg in the city and 2 mpg on the highway.
"The new Ford Fusion Hybrid not only significantly exceeds the competition but also embodies Ford's 100 percent commitment to fuel efficiency leadership, quality, innovation and advanced technology," said Derrick Kuzak, group vice president, Global Product Development. "The Ford team set the bar high -- to develop America's most fuel efficient mid-size sedan -- and that's what they delivered."

The 2010 Ford Fusion's final fuel economy certification was completed this week at Ford's testing laboratories in Allen Park, Mich., and the vehicle will carry an EPA label of 41 mpg for city driving and 36 mpg on the highway when it goes on sale this spring. The Fusion Hybrid, which beats even the much smaller Honda Civic hybrid by 1 mpg in city driving, can travel more than 700 miles on a single tank of gas.

To deliver the class leading fuel economy performance, Ford's engineers spent the past three years developing in-house the vehicle's next-generation hybrid propulsion system. It allows the Fusion and Mercury Milan hybrid to travel up to 47 miles per hour in pure electric mode, faster than the Toyota Camry and all other hybrids currently on the road. In addition, the system's Advanced Intake Variable Cam Timing allows the Fusion and Milan hybrids to more seamlessly transition from gas to electric mode and vice-versa.

"The Fusion Hybrid's ability to run at a much higher speed in electric mode allows drivers to maximize fuel efficiently in many driving situations," said Praveen Cherian, Fusion Hybrid program leader. "For example, this would allow drivers to travel around their subdivision and parking areas in all-electric mode."

Fusion's advanced hybrid system features:

-- Smaller, lighter nickel-metal hydride battery, which produces 20 percent more power than Ford's previous hybrid system. The battery's improved chemistry allows it to be run at a higher temperature and cooled using cabin air.

-- New 2.5-liter 4-cylinder engine (155 horsepower / 136 lb.-ft. of torque), which is mated to an electronically controlled continuously variable transmission.

-- Enhanced electronic throttle control, which reduces airflow on shutdowns, reducing fueling needs on restarts.

-- Smart climate control system, which monitors cabin temperature and only runs the gas engine as needed to heat the cabin. It also includes an electric air conditioning compressor to further minimize engine use.

-- Regenerative brake system, which captures the energy normally lost through friction in braking and stores it. Nearly 94 percent energy recovery is achieved by delivering full regenerative braking, which means only 6 percent of braking is through traditional friction brakes

Source: Ford

All-New Ford Fusion Hybrid America's Most Fuel-Efficient Mid-Size Car

The all-new Ford Fusion Hybrid is now officially America's most fuel efficient mid-size car with a certified 41 mpg rating in the city and 36 mpg on the highway, topping the Toyota Camry hybrid by 8 mpg in the city and 2 mpg on the highway.
"The new Ford Fusion Hybrid not only significantly exceeds the competition but also embodies Ford's 100 percent commitment to fuel efficiency leadership, quality, innovation and advanced technology," said Derrick Kuzak, group vice president, Global Product Development. "The Ford team set the bar high -- to develop America's most fuel efficient mid-size sedan -- and that's what they delivered."

The 2010 Ford Fusion's final fuel economy certification was completed this week at Ford's testing laboratories in Allen Park, Mich., and the vehicle will carry an EPA label of 41 mpg for city driving and 36 mpg on the highway when it goes on sale this spring. The Fusion Hybrid, which beats even the much smaller Honda Civic hybrid by 1 mpg in city driving, can travel more than 700 miles on a single tank of gas.

To deliver the class leading fuel economy performance, Ford's engineers spent the past three years developing in-house the vehicle's next-generation hybrid propulsion system. It allows the Fusion and Mercury Milan hybrid to travel up to 47 miles per hour in pure electric mode, faster than the Toyota Camry and all other hybrids currently on the road. In addition, the system's Advanced Intake Variable Cam Timing allows the Fusion and Milan hybrids to more seamlessly transition from gas to electric mode and vice-versa.

"The Fusion Hybrid's ability to run at a much higher speed in electric mode allows drivers to maximize fuel efficiently in many driving situations," said Praveen Cherian, Fusion Hybrid program leader. "For example, this would allow drivers to travel around their subdivision and parking areas in all-electric mode."

Fusion's advanced hybrid system features:

-- Smaller, lighter nickel-metal hydride battery, which produces 20 percent more power than Ford's previous hybrid system. The battery's improved chemistry allows it to be run at a higher temperature and cooled using cabin air.

-- New 2.5-liter 4-cylinder engine (155 horsepower / 136 lb.-ft. of torque), which is mated to an electronically controlled continuously variable transmission.

-- Enhanced electronic throttle control, which reduces airflow on shutdowns, reducing fueling needs on restarts.

-- Smart climate control system, which monitors cabin temperature and only runs the gas engine as needed to heat the cabin. It also includes an electric air conditioning compressor to further minimize engine use.

-- Regenerative brake system, which captures the energy normally lost through friction in braking and stores it. Nearly 94 percent energy recovery is achieved by delivering full regenerative braking, which means only 6 percent of braking is through traditional friction brakes

Source: Ford

Ford Focus RS pricing announced

Ford’s fastest-ever European production car, the 2009 Focus RS, will be priced from £24,995 ($57,195AUD) when it goes on sale in the UK in March.

Under the bonnet a turbocharged 2.5-litre, five-cylinder Duratec petrol engine, with a confirmed 224kW and 440Nm peak torque. Features include unique camshafts and a revised cylinder head and gasket, intake and manifold system.

The front wheels are driven through a six-speed transmission, the Focus RS accelerates from 0-100km/h in under six seconds and has a targeted top speed of just under 260km/h.

Taking its place as the top-of-the-range Focus, the RS will be immediately distinguishable on the road, with its unique bonnet, front bumper and side skirts. Also unique to the model are its 19-inch alloy wheels, shod with 235/35 tyres.

Options include of Dual-Zone Electronic Automatic Temperature Control (DEATC) air-conditioning; automatic headlights; rain-sensor wipers; auto-dim rear-view mirror; rear parking-distance sensors; tyre deflation-detection; Key-Free system; Leather seats; Bluetooth® hands-free phone connectivity and USB port and Touchscreen DVD Navigation System with seven-inch touch-screen.

Ford Australia have not yet confirmed availability of the RS for sale here - we can only hope.

Focus RS unleashed

Ford Focus RS 0 to 60mph in 5.9 Seconds

Ford Focus RS pricing announced

Ford’s fastest-ever European production car, the 2009 Focus RS, will be priced from £24,995 ($57,195AUD) when it goes on sale in the UK in March.

Under the bonnet a turbocharged 2.5-litre, five-cylinder Duratec petrol engine, with a confirmed 224kW and 440Nm peak torque. Features include unique camshafts and a revised cylinder head and gasket, intake and manifold system.

The front wheels are driven through a six-speed transmission, the Focus RS accelerates from 0-100km/h in under six seconds and has a targeted top speed of just under 260km/h.

Taking its place as the top-of-the-range Focus, the RS will be immediately distinguishable on the road, with its unique bonnet, front bumper and side skirts. Also unique to the model are its 19-inch alloy wheels, shod with 235/35 tyres.

Options include of Dual-Zone Electronic Automatic Temperature Control (DEATC) air-conditioning; automatic headlights; rain-sensor wipers; auto-dim rear-view mirror; rear parking-distance sensors; tyre deflation-detection; Key-Free system; Leather seats; Bluetooth® hands-free phone connectivity and USB port and Touchscreen DVD Navigation System with seven-inch touch-screen.

Ford Australia have not yet confirmed availability of the RS for sale here - we can only hope.

Focus RS unleashed

Ford Focus RS 0 to 60mph in 5.9 Seconds

Ford Focus RS 0 to 60mph in 5.9 Seconds

Debuted at the British Auto Show a couple of months ago, the new Ford Focus RS has officially made it to production. With a sporty exterior that features a black grille, some sporty hood vents, a rear spoiler and diffuser, a dual exhaust, 19-inch wheels and Recaro wheels, the RS looks pretty mean. And it is mean. Under the hood there’s a five-cylinder 2.5l turbocharged engine that sports 296hp and gets the car from still to 60mph in just 5.9 seconds. Top speed is 155mph (electronically topped) but should easily reach 160 mph if the limiter would be removed. As for the price, in UK they’re expecting it to sell for a bit below £25,000 (some $30,000).

Ford Focus RS 0 to 60mph in 5.9 Seconds

Debuted at the British Auto Show a couple of months ago, the new Ford Focus RS has officially made it to production. With a sporty exterior that features a black grille, some sporty hood vents, a rear spoiler and diffuser, a dual exhaust, 19-inch wheels and Recaro wheels, the RS looks pretty mean. And it is mean. Under the hood there’s a five-cylinder 2.5l turbocharged engine that sports 296hp and gets the car from still to 60mph in just 5.9 seconds. Top speed is 155mph (electronically topped) but should easily reach 160 mph if the limiter would be removed. As for the price, in UK they’re expecting it to sell for a bit below £25,000 (some $30,000).

Focus RS unleashed

Finally... The RS is ready for the road! We've got full details and first pictures of the fastest ever Ford Focus.

The fastest Ford hot hatch ever is finally here!

Following a scene-stealing debut at the British Motor Show in the summer, the 160mph-plus Focus RS has arrived in showroom-ready form at last – and Auto Express has the latest details and all the official pictures.
Painted Performance Blue, the car evokes memories of the 1992 Escort RS Cosworth and original Focus RS MkI.

But the new model takes hot hatch performance to another level, with a limited-slip diff, unique suspension and a potent 2.5-litre five-cylinder turbocharged engine which will power it from 0-60mph in less than six seconds.

And although prices have yet to be confirmed, it will cost less than £25,000.
Already 1,500 people have put down an order for the newcomer, and they will be relieved to see that the RS's agressive look remains faithful to the stunning concept.

Up front, there’s a gloss black grille, plus circular spotlights and bonnet air intakes, while the rear gets a spoiler inspired by Ford’s world rally contender and a diffuser with twin exhaust pipes.
Completing the look are 19-inch multispoke alloys wrapped in low-profile tyres. Inside, the RS boasts Recaro seats with body-coloured detailing, carbon fibre trim on the centre console and a brushed aluminium gearlever.

Under the bonnet lies a 296bhp version of the five-cylinder unit from the Focus ST. It rockets the RS from 0-62mph in 5.9 seconds and on to a theoretical top speed in excess of 160mph, although production models will be electronically limited to 155mph.

Transmitting the power to the road is an Automatic Torque Biasing limited-slip differential, which was developed by British engineering specialist Quaife. It works in conjunction with Ford’s new RevoKnuckle suspension – a modified MacPherson strut set-up with special geometry – to maximise traction and limit torque steer. Uprated stability control, a wider track, lowered ride height and bigger brakes complete the package.

Expect luxurious standard kit, while exterior colours include the Performance Blue seen here, Frozen White and Ultimate Green, the shade of the British Motor Show car. Customer deliveries of the Focus RS begin in March.  

Focus RS unleashed

Finally... The RS is ready for the road! We've got full details and first pictures of the fastest ever Ford Focus.

The fastest Ford hot hatch ever is finally here!

Following a scene-stealing debut at the British Motor Show in the summer, the 160mph-plus Focus RS has arrived in showroom-ready form at last – and Auto Express has the latest details and all the official pictures.
Painted Performance Blue, the car evokes memories of the 1992 Escort RS Cosworth and original Focus RS MkI.

But the new model takes hot hatch performance to another level, with a limited-slip diff, unique suspension and a potent 2.5-litre five-cylinder turbocharged engine which will power it from 0-60mph in less than six seconds.

And although prices have yet to be confirmed, it will cost less than £25,000.
Already 1,500 people have put down an order for the newcomer, and they will be relieved to see that the RS's agressive look remains faithful to the stunning concept.

Up front, there’s a gloss black grille, plus circular spotlights and bonnet air intakes, while the rear gets a spoiler inspired by Ford’s world rally contender and a diffuser with twin exhaust pipes.
Completing the look are 19-inch multispoke alloys wrapped in low-profile tyres. Inside, the RS boasts Recaro seats with body-coloured detailing, carbon fibre trim on the centre console and a brushed aluminium gearlever.

Under the bonnet lies a 296bhp version of the five-cylinder unit from the Focus ST. It rockets the RS from 0-62mph in 5.9 seconds and on to a theoretical top speed in excess of 160mph, although production models will be electronically limited to 155mph.

Transmitting the power to the road is an Automatic Torque Biasing limited-slip differential, which was developed by British engineering specialist Quaife. It works in conjunction with Ford’s new RevoKnuckle suspension – a modified MacPherson strut set-up with special geometry – to maximise traction and limit torque steer. Uprated stability control, a wider track, lowered ride height and bigger brakes complete the package.

Expect luxurious standard kit, while exterior colours include the Performance Blue seen here, Frozen White and Ultimate Green, the shade of the British Motor Show car. Customer deliveries of the Focus RS begin in March.  

Ford's new look!

Has Ford’s kinetic design language run out of energy already?

The blue oval’s stylists certainly think so! Auto Express has learned that the firm is due to reveal a new look for its cars at the Detroit Motor Show in January – even though its current design language has been around only since 2005, when it made its debut on the original Iosis concept.

That car previewed the latest Mondeo, and its look has gone on to appear on other big sellers such as the Kuga SUV and Fiesta. But it now seems Ford feels a change is needed, and will take the wraps off a new concept car – expected to be a replacement for the US-only Ford Taurus family saloon – next month.

It will show a step in the direction towards a new global design, and chief stylist J Mays has reportedly said that the ‘post-kinetic’ look will “have the best attributes of kinetic, but is going to be possibly a little more simple, a little more elegant”.

Our sources have revealed that the first European model to get this new look will be the next Mondeo, which should debut in 2012. Before then, Ford will launch the third-generation Focus. But this will continue to use the current kinetic look, featuring a shape that’s similar to that of the latest Fiesta. Expect to see the newcomer in 2010.

Ford's new look!

Has Ford’s kinetic design language run out of energy already?

The blue oval’s stylists certainly think so! Auto Express has learned that the firm is due to reveal a new look for its cars at the Detroit Motor Show in January – even though its current design language has been around only since 2005, when it made its debut on the original Iosis concept.

That car previewed the latest Mondeo, and its look has gone on to appear on other big sellers such as the Kuga SUV and Fiesta. But it now seems Ford feels a change is needed, and will take the wraps off a new concept car – expected to be a replacement for the US-only Ford Taurus family saloon – next month.

It will show a step in the direction towards a new global design, and chief stylist J Mays has reportedly said that the ‘post-kinetic’ look will “have the best attributes of kinetic, but is going to be possibly a little more simple, a little more elegant”.

Our sources have revealed that the first European model to get this new look will be the next Mondeo, which should debut in 2012. Before then, Ford will launch the third-generation Focus. But this will continue to use the current kinetic look, featuring a shape that’s similar to that of the latest Fiesta. Expect to see the newcomer in 2010.

First look: Max previews Ford's Aussie Ranger

Ford Australia brings the T6 ute alive with Ranger Max pick-up concept
FORD has unveiled an Australian-designed show truck at the 2008 Thailand International Motor Expo, demonstrating the design direction the Blue Oval brand has taken for the forthcoming redesigned Ranger one-tonne ute.

Due for release in 2010, although the current economic conditions could see that pushed back, the next-generation Ranger is being designed and engineered in Australia on a new global platform codenamed T6, and this is the first indication of what the vehicle will look like.

The sporting intentions are obvious, which is a significant move considering the unremarkable sales of the current version and the emergence of high-performance light trucks Down Under – not to mention the question mark hanging over the medium- to long-term future of Falcon-based utilities.

Questions have risen in recent months after the Ford Motor Co placed its global rear-wheel drive development program on hold and revealed that it was considering a front-wheel drive future for the Falcon.

Such a move could mean the end of, or at least a radical shift for, the popular and iconic Falcon-based utes as we know them. It could also see the end of Falcon ute production in Australia, which in turn could see the Ranger – which is currently built in Thailand – rolling down the assembly line at Ford Australia’s Broadmeadows plant in Victoria.

Being built off a workhorse, rather than passenger car, platform virtually guarantees the Ranger will never be in the same performance league as the Falcon ute.

Mechanical specifications for the next-generation truck are also still to be divulged, but the concept, known as the Ranger Max, shown here at least features a strong and sporting new design with a number of elements expected to be transferred to the production version.

Note in particular the big three-bar chrome grille, bonnet ‘power dome’, deep-dish 18-inch alloy wheels, a unique crossbar/sports bar (sculpted with air scoops and integrated grabhandles) that runs across the back of the cab, and a customised remote-control hard tonneau that covers the tub.

Chief designer Paul Gibson, who works with Ford’s Australian-based Asia Pacific and Africa development team, said the Ranger Max carried design cues that could be seen in the forthcoming all-new model.

“The Ranger Max is not just about creating show excitement,” he said. “We have a great opportunity to test design themes that may make their way into production. Ranger Max says exciting things about the possibilities for truck fans in Ranger’s future.

“When you look at the front design, the three-bar grille, the overt nostrils and open mouth, you're looking straight into the face of Ranger’s evolution. There are design elements we are developing and Ranger Max is one possibility.

“We’ve crafted the face of the Ranger Max to explore a new look. Elements from it could evolve into the new identity of Ford Ranger.”

Likening the Ranger design to a modern industrial tool, Mr Gibson said the orange paintwork with matte black accents was inspired by the functional design found in power tools. Other inspirations apparently came from active sports such as rock climbing.

In other global Blue Oval news, Ford has announced the additition of two new variants to its Kuga compact SUV range in Europe, which could also eventually go on sale here.

First up is a new front-wheel drive version of the existing 2.0-litre turbo-diesel variant, with the 2.0-litre TDCi 2WD lowering CO2 emissions to 159g/km.

Second is a 2.5-litre Duratec all-wheel drive version, powered by a 147kW/320Nm five-cylinder petrol engine similar to that seen in the Focus ST, Mondeo and S-Max.

In six-speed manual guise, Ford's new Kuga flagship (pictured above) is claimed to sprint to 100km/h in 8.2 seconds.

As well as a five-speed automatic transmission, new Kuga options in the UK also include a reversing camera, a panoramic glass sunroof and run-flat tyres.

First look: Max previews Ford's Aussie Ranger

Ford Australia brings the T6 ute alive with Ranger Max pick-up concept
FORD has unveiled an Australian-designed show truck at the 2008 Thailand International Motor Expo, demonstrating the design direction the Blue Oval brand has taken for the forthcoming redesigned Ranger one-tonne ute.

Due for release in 2010, although the current economic conditions could see that pushed back, the next-generation Ranger is being designed and engineered in Australia on a new global platform codenamed T6, and this is the first indication of what the vehicle will look like.

The sporting intentions are obvious, which is a significant move considering the unremarkable sales of the current version and the emergence of high-performance light trucks Down Under – not to mention the question mark hanging over the medium- to long-term future of Falcon-based utilities.

Questions have risen in recent months after the Ford Motor Co placed its global rear-wheel drive development program on hold and revealed that it was considering a front-wheel drive future for the Falcon.

Such a move could mean the end of, or at least a radical shift for, the popular and iconic Falcon-based utes as we know them. It could also see the end of Falcon ute production in Australia, which in turn could see the Ranger – which is currently built in Thailand – rolling down the assembly line at Ford Australia’s Broadmeadows plant in Victoria.

Being built off a workhorse, rather than passenger car, platform virtually guarantees the Ranger will never be in the same performance league as the Falcon ute.

Mechanical specifications for the next-generation truck are also still to be divulged, but the concept, known as the Ranger Max, shown here at least features a strong and sporting new design with a number of elements expected to be transferred to the production version.

Note in particular the big three-bar chrome grille, bonnet ‘power dome’, deep-dish 18-inch alloy wheels, a unique crossbar/sports bar (sculpted with air scoops and integrated grabhandles) that runs across the back of the cab, and a customised remote-control hard tonneau that covers the tub.

Chief designer Paul Gibson, who works with Ford’s Australian-based Asia Pacific and Africa development team, said the Ranger Max carried design cues that could be seen in the forthcoming all-new model.

“The Ranger Max is not just about creating show excitement,” he said. “We have a great opportunity to test design themes that may make their way into production. Ranger Max says exciting things about the possibilities for truck fans in Ranger’s future.

“When you look at the front design, the three-bar grille, the overt nostrils and open mouth, you're looking straight into the face of Ranger’s evolution. There are design elements we are developing and Ranger Max is one possibility.

“We’ve crafted the face of the Ranger Max to explore a new look. Elements from it could evolve into the new identity of Ford Ranger.”

Likening the Ranger design to a modern industrial tool, Mr Gibson said the orange paintwork with matte black accents was inspired by the functional design found in power tools. Other inspirations apparently came from active sports such as rock climbing.

In other global Blue Oval news, Ford has announced the additition of two new variants to its Kuga compact SUV range in Europe, which could also eventually go on sale here.

First up is a new front-wheel drive version of the existing 2.0-litre turbo-diesel variant, with the 2.0-litre TDCi 2WD lowering CO2 emissions to 159g/km.

Second is a 2.5-litre Duratec all-wheel drive version, powered by a 147kW/320Nm five-cylinder petrol engine similar to that seen in the Focus ST, Mondeo and S-Max.

In six-speed manual guise, Ford's new Kuga flagship (pictured above) is claimed to sprint to 100km/h in 8.2 seconds.

As well as a five-speed automatic transmission, new Kuga options in the UK also include a reversing camera, a panoramic glass sunroof and run-flat tyres.

Ford to consider selling Volvo

This has been long time coming but Ford Motor Co. has today officially announced that it’s considering the sale of its Volvo Car Corp. unit under review and “strategic options” for the money-losing Swedish brand.

Tough times have hit Ford hard with the U.S. car maker in serious need of cold hard cash. This has let the blue oval to consider the sale of Volvo with the final decision expected to take several more months.


Ford has owned the Swedish manufacturer since 1999 after it paid an enormous $6.45 billion. Currently Volvo isn’t doing all that well, in the first nine months of this year it posted an operating loss of USD $729 million, compared with a loss of USD $164 million for the same period in 2007.

The sale of Volvo would mean Ford would have very few brands under its wings. The company offloaded luxury Jaguar and Land Rover brands to India’s Tata Motors Ltd. earlier this year following the sale of its stock in Aston Martin while it has also agreed to sell about two-thirds of its 33.4 percent stake in Japanese automaker Mazda Motor Corp. for around $538 million.

“Volvo is a strong global brand with a proud heritage of safety and environmental responsibility and has launched an aggressive plan to right-size its operations and improve its financial results, (but) given the unprecedented external challenges facing Ford and the entire industry, it is prudent for Ford to evaluate options for Volvo,” Ford CEO Alan Mulally said in a statement.

However Ford says it will not sell Volvo as a measure of desperation. The company will consider a partial sale or joint venture or if the right buyer doesn’t appear in this tight credit market, Ford could keep Volvo and aim for better results from a leaner operation.

Ford began a restructuring for Volvo in November 2007, part of which includes eliminating about 6,000 jobs.

What does the future hold for Volvo?

Ford to consider selling Volvo

This has been long time coming but Ford Motor Co. has today officially announced that it’s considering the sale of its Volvo Car Corp. unit under review and “strategic options” for the money-losing Swedish brand.

Tough times have hit Ford hard with the U.S. car maker in serious need of cold hard cash. This has let the blue oval to consider the sale of Volvo with the final decision expected to take several more months.


Ford has owned the Swedish manufacturer since 1999 after it paid an enormous $6.45 billion. Currently Volvo isn’t doing all that well, in the first nine months of this year it posted an operating loss of USD $729 million, compared with a loss of USD $164 million for the same period in 2007.

The sale of Volvo would mean Ford would have very few brands under its wings. The company offloaded luxury Jaguar and Land Rover brands to India’s Tata Motors Ltd. earlier this year following the sale of its stock in Aston Martin while it has also agreed to sell about two-thirds of its 33.4 percent stake in Japanese automaker Mazda Motor Corp. for around $538 million.

“Volvo is a strong global brand with a proud heritage of safety and environmental responsibility and has launched an aggressive plan to right-size its operations and improve its financial results, (but) given the unprecedented external challenges facing Ford and the entire industry, it is prudent for Ford to evaluate options for Volvo,” Ford CEO Alan Mulally said in a statement.

However Ford says it will not sell Volvo as a measure of desperation. The company will consider a partial sale or joint venture or if the right buyer doesn’t appear in this tight credit market, Ford could keep Volvo and aim for better results from a leaner operation.

Ford began a restructuring for Volvo in November 2007, part of which includes eliminating about 6,000 jobs.

What does the future hold for Volvo?

For Bailout Blueprint, GM, Ford Might Finally Burn Rubber on Underperforming Brands

The plans the Detroit Three automakers are developing to submit on December 2 to Congress in justification for their entreated $25-billion federal loan probably are being more closely guarded than the manuscript for Sarah Palin's first book, but we can guess one aspect that seems certain to feature in the bailout blueprint of both Ford Motor Co. and General Motors Corp.: ditching some brands that have long dogged their ever-more-fragile bottom lines.

Wooly Mammoth.jpgFor at least a decade, critics have shouted down both GM and Ford for refusing to do what it now appears must be done - stop supporting underperforming divisions.

Rumors howling in Detroit's November winds point to brand-burning as one of the primary ways the companies plan to demonstrate to Congress they will be able to sustain their operations in a U.S. auto market that is expected to be decidedly unkind for all of 2009 and possibly well into 2010.

For GM, that means a serious look is in order for Pontiac, GMC, Buick, Saab and Saturn. The ill-gotten Hummer division is for sale, but with no openly anxious takers and with some sources suggesting a quick fold is the likely outcome.

At Ford, the Mercury unit has been a black hole for decades and simply must go by any rational assessment.

The company has stressed it has faith in the Lincoln luxury division - and it would be hard to suggest Ford forge ahead with no premium-market presence - but in coldly clinical terms (the kind that might be necessary to mollify a Congress running on high-horsepower skepticism of Big Three management acumen), Lincoln doesn't work and hasn't since the 1960s.

Tough Choices That Really Aren't That Tough

Generations of GM management have whined the company's multi-divisional structure is vibrant and productive. But the current financial and operational position of the company suggests current and past rationalizations for maintaining eight U.S. divisions are simply wrong. GM has squandered too much of its resources on maintaining a divisional configuration that cannot be supported by its diminished market share.

First to go should be Pontiac, the division that no longer has a singular brand image. The division once represented "rogue performance," but that's a fading memory even for the 60-something's who understand Pontiac's history. Now, front-wheel-drive economy cars side-by-side with rorting, Australian-made quasi-sport sedans is a formula that summarizes Pontiac's long drop to the end of the hangman's rope, GM's most obvious victim of badge engineering masquerading as marketing.

Equally ambiguous is Saturn's mission. Recent GM management frittered away the viable brand Saturn had developed, one based largely on the "no-hassle" sales experience and a certain cheap-but-unique cache with those who probably really wanted a Honda but couldn't bring themselves to desert the home team.

Saturn's current lineup is tragically composed of several singularly decent vehicles - the Outlook and the Aura being the most notable - all of which are badge-engineered versions of something Chevrolet already sells. Saturn was conceived solely for the reason the division was not to be like the rest of GM - now that's a memory, so there's nothing going on at Saturn that Chevy can't be doing.

GMC: "Upscale" trucks. In this day and age, why?

Buick probably is the stickiest problem (apart from how to legally and affordably disassociate from the dealers invested in these brands). Proponents argue somebody has to have something to sell to the mobile-and-aging-gracefully demographic, which is a growing market. Buick probably should stay to handle it. Global architectures (read: badge-engineering for the iPod age) make Buick at least a passably defensible proposition.

GM has never done much right by Saab, never mind lamentations recently installed brand shepherds now really, really - honestly! - understand Saab. They don't.

If they did, they wouldn't have killed the hatchback body style and they wouldn't have started stuffing in chesty V6s to spin the front wheels when the power-dense turbocharged 4-cylinders - for which Saab has contributed one of any GM brands' few legitimate marketable distinctions - were doing a fine job of it already.

Saab 9-3 convertible 2009.jpgThe Swedish government might be more than passingly interested in bringing Saab home. With Saab sales in freefall and the brand tracking to sell less than 25,000 units in the U.S. this year, GM might tell Congress it's figuring out a plan to do just that.

Ford Minus Mercury = Who Cares?

Like Pontiac, Mercury once meant something. We guess.

But just as John McCain's Vietnam experience had nil resonance with a generation of voters who know Vietnam only as the place where Nike builds sweatship shoes, Mercury sits as a laughable anachronism in 2009 America. Ford might as well be throwing in a 76-rpm Benny Goodman album - okay, cassette tape - with each new Milan.

And as with Saturn, there's nothing in the Mercury store Ford isn't already selling, just at lower price points. The ongoing existence of Mercury in defiance of rational explanation is testimony to the hidebound Detroit-think that has earned the Big Three their reputation as the wooly mammoths of the business world. That anyone is spending time - much less money - marketing Mercury in the Internet age is tantamount to criminal negligence, so it's hard to imagine Ford will step up next month in Washington, DC, with a business plan that includes this relic.

Lincoln is Ford's Buick. It might be argued that insisting Ford drop-kick Lincoln leaves the Dearborners defenseless in the lux market. It also could be argued that with Lincoln, Ford is defenseless in the luxury market. There, we said it.

2009 Lincoln MKS - facing left - 225.JPGTo maintain an upscale presence, Ford could ditch Lincoln and keep Volvo, with which many Ford models are deeply and perhaps now rather inconveniently cross-pollinated. Several Ford cars currently sit on Volvo platforms or modified versions of those platforms. All Volvos at least use Volvo-specific engines, making the potential for disentanglement from Ford somewhat less messy.

The situation comes to this: Lincoln or Volvo. There shouldn't be both; maybe not either. Ford paid almost $6.5 billion for Volvo and is unlikely to get anything approaching that figure now - in the event anybody's buying.

Sweden may be buying if the alternative is watching Volvo sink with Ford. If a deal for Volvo can be made, Ford would be wise to make it. Unless a deal already is in the works, it's unlikely a Volvo sell-off would be part of Ford's "sustainability" proposal to Congress.

But that doesn't change the realities: Volvo sales have been declining since 2004 and will hit a 15-year low this year. Despite Volvo's rich heritage, if Ford is to survive it may have little choice but to say, "Vi ses" to Volvo for whatever price it can get.

Talking about shedding brands is easy. Actually doing so is all but impossible under current legal and financial constraints. If brand-paring is a central cost-saving strategy presented by the Big Three, it is a gambit that will happen only with more extraordinary intervention from the lawmakers who are consistently rewriting the nation's free-market rules.


PHOTOS:

1. Wooly mammoth drawing (Penn State Univ.)

For Bailout Blueprint, GM, Ford Might Finally Burn Rubber on Underperforming Brands

The plans the Detroit Three automakers are developing to submit on December 2 to Congress in justification for their entreated $25-billion federal loan probably are being more closely guarded than the manuscript for Sarah Palin's first book, but we can guess one aspect that seems certain to feature in the bailout blueprint of both Ford Motor Co. and General Motors Corp.: ditching some brands that have long dogged their ever-more-fragile bottom lines.

Wooly Mammoth.jpgFor at least a decade, critics have shouted down both GM and Ford for refusing to do what it now appears must be done - stop supporting underperforming divisions.

Rumors howling in Detroit's November winds point to brand-burning as one of the primary ways the companies plan to demonstrate to Congress they will be able to sustain their operations in a U.S. auto market that is expected to be decidedly unkind for all of 2009 and possibly well into 2010.

For GM, that means a serious look is in order for Pontiac, GMC, Buick, Saab and Saturn. The ill-gotten Hummer division is for sale, but with no openly anxious takers and with some sources suggesting a quick fold is the likely outcome.

At Ford, the Mercury unit has been a black hole for decades and simply must go by any rational assessment.

The company has stressed it has faith in the Lincoln luxury division - and it would be hard to suggest Ford forge ahead with no premium-market presence - but in coldly clinical terms (the kind that might be necessary to mollify a Congress running on high-horsepower skepticism of Big Three management acumen), Lincoln doesn't work and hasn't since the 1960s.

Tough Choices That Really Aren't That Tough

Generations of GM management have whined the company's multi-divisional structure is vibrant and productive. But the current financial and operational position of the company suggests current and past rationalizations for maintaining eight U.S. divisions are simply wrong. GM has squandered too much of its resources on maintaining a divisional configuration that cannot be supported by its diminished market share.

First to go should be Pontiac, the division that no longer has a singular brand image. The division once represented "rogue performance," but that's a fading memory even for the 60-something's who understand Pontiac's history. Now, front-wheel-drive economy cars side-by-side with rorting, Australian-made quasi-sport sedans is a formula that summarizes Pontiac's long drop to the end of the hangman's rope, GM's most obvious victim of badge engineering masquerading as marketing.

Equally ambiguous is Saturn's mission. Recent GM management frittered away the viable brand Saturn had developed, one based largely on the "no-hassle" sales experience and a certain cheap-but-unique cache with those who probably really wanted a Honda but couldn't bring themselves to desert the home team.

Saturn's current lineup is tragically composed of several singularly decent vehicles - the Outlook and the Aura being the most notable - all of which are badge-engineered versions of something Chevrolet already sells. Saturn was conceived solely for the reason the division was not to be like the rest of GM - now that's a memory, so there's nothing going on at Saturn that Chevy can't be doing.

GMC: "Upscale" trucks. In this day and age, why?

Buick probably is the stickiest problem (apart from how to legally and affordably disassociate from the dealers invested in these brands). Proponents argue somebody has to have something to sell to the mobile-and-aging-gracefully demographic, which is a growing market. Buick probably should stay to handle it. Global architectures (read: badge-engineering for the iPod age) make Buick at least a passably defensible proposition.

GM has never done much right by Saab, never mind lamentations recently installed brand shepherds now really, really - honestly! - understand Saab. They don't.

If they did, they wouldn't have killed the hatchback body style and they wouldn't have started stuffing in chesty V6s to spin the front wheels when the power-dense turbocharged 4-cylinders - for which Saab has contributed one of any GM brands' few legitimate marketable distinctions - were doing a fine job of it already.

Saab 9-3 convertible 2009.jpgThe Swedish government might be more than passingly interested in bringing Saab home. With Saab sales in freefall and the brand tracking to sell less than 25,000 units in the U.S. this year, GM might tell Congress it's figuring out a plan to do just that.

Ford Minus Mercury = Who Cares?

Like Pontiac, Mercury once meant something. We guess.

But just as John McCain's Vietnam experience had nil resonance with a generation of voters who know Vietnam only as the place where Nike builds sweatship shoes, Mercury sits as a laughable anachronism in 2009 America. Ford might as well be throwing in a 76-rpm Benny Goodman album - okay, cassette tape - with each new Milan.

And as with Saturn, there's nothing in the Mercury store Ford isn't already selling, just at lower price points. The ongoing existence of Mercury in defiance of rational explanation is testimony to the hidebound Detroit-think that has earned the Big Three their reputation as the wooly mammoths of the business world. That anyone is spending time - much less money - marketing Mercury in the Internet age is tantamount to criminal negligence, so it's hard to imagine Ford will step up next month in Washington, DC, with a business plan that includes this relic.

Lincoln is Ford's Buick. It might be argued that insisting Ford drop-kick Lincoln leaves the Dearborners defenseless in the lux market. It also could be argued that with Lincoln, Ford is defenseless in the luxury market. There, we said it.

2009 Lincoln MKS - facing left - 225.JPGTo maintain an upscale presence, Ford could ditch Lincoln and keep Volvo, with which many Ford models are deeply and perhaps now rather inconveniently cross-pollinated. Several Ford cars currently sit on Volvo platforms or modified versions of those platforms. All Volvos at least use Volvo-specific engines, making the potential for disentanglement from Ford somewhat less messy.

The situation comes to this: Lincoln or Volvo. There shouldn't be both; maybe not either. Ford paid almost $6.5 billion for Volvo and is unlikely to get anything approaching that figure now - in the event anybody's buying.

Sweden may be buying if the alternative is watching Volvo sink with Ford. If a deal for Volvo can be made, Ford would be wise to make it. Unless a deal already is in the works, it's unlikely a Volvo sell-off would be part of Ford's "sustainability" proposal to Congress.

But that doesn't change the realities: Volvo sales have been declining since 2004 and will hit a 15-year low this year. Despite Volvo's rich heritage, if Ford is to survive it may have little choice but to say, "Vi ses" to Volvo for whatever price it can get.

Talking about shedding brands is easy. Actually doing so is all but impossible under current legal and financial constraints. If brand-paring is a central cost-saving strategy presented by the Big Three, it is a gambit that will happen only with more extraordinary intervention from the lawmakers who are consistently rewriting the nation's free-market rules.


PHOTOS:

1. Wooly mammoth drawing (Penn State Univ.)

Okay, Who Can Resist a Good Bailout Joke?

Detroit's Big Three Automakers are jousting with the U.S. Congress for their continued existence, and nobody denies that's serious business.

But as usual, what got the auto companies to this place has opened Detroit Inc. to plenty of ridicule - and not all of it is mean-spirited.

conan o'brien.jpgLaughter may or may not be the best medicine for this predicament. Either way, here are a few examples of our favorite "bailout humor" that hit the national stage:

NBC's Conan O'Brien:

"The auto executives for the Big Three are being criticized now, because, before they asked Congress for billions of dollars, they all flew to Washington in private jets. Yeah, separately, in private jets. In their defense, the executives said, 'We would have driven, but our cars only get three miles to the gallon.'"

And,

"Earlier today, the heads of the GM, Ford, and Chrysler appeared together in front of Congress to ask for a $25 billion bailout. When asked what they would do with the money, all three said, 'Buy a new BMW.'"

NBC comedy legend Jay Leno:

"The three big domestic automakers are now saying they are working jointly on a new hybrid car. It runs on a combination of state and federal bailout money."

Maybe you've heard a bailout funny. You can share via AutoObserver's comment function below.

PHOTO:

Late-night comedy host Conan O'Brien (courtesy NBC).

Okay, Who Can Resist a Good Bailout Joke?

Detroit's Big Three Automakers are jousting with the U.S. Congress for their continued existence, and nobody denies that's serious business.

But as usual, what got the auto companies to this place has opened Detroit Inc. to plenty of ridicule - and not all of it is mean-spirited.

conan o'brien.jpgLaughter may or may not be the best medicine for this predicament. Either way, here are a few examples of our favorite "bailout humor" that hit the national stage:

NBC's Conan O'Brien:

"The auto executives for the Big Three are being criticized now, because, before they asked Congress for billions of dollars, they all flew to Washington in private jets. Yeah, separately, in private jets. In their defense, the executives said, 'We would have driven, but our cars only get three miles to the gallon.'"

And,

"Earlier today, the heads of the GM, Ford, and Chrysler appeared together in front of Congress to ask for a $25 billion bailout. When asked what they would do with the money, all three said, 'Buy a new BMW.'"

NBC comedy legend Jay Leno:

"The three big domestic automakers are now saying they are working jointly on a new hybrid car. It runs on a combination of state and federal bailout money."

Maybe you've heard a bailout funny. You can share via AutoObserver's comment function below.

PHOTO:

Late-night comedy host Conan O'Brien (courtesy NBC).