This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Ford Reports Wider Loss, More Job Cuts

Ford Motor (F - Get Report) reported a wider-than-expected third-quarter loss from continuing operations of about $3 billion, or $1.31 a share, compared with a year-earlier loss of $24 million, or 1 cent a share, and said Friday it plans to reduce North American salaried personnel-related costs by an additional 10%.

Analysts surveyed by Thomson Reuters expected the automaker to report a quarterly loss of 94 cents a share.

The net loss in the quarter was $129 million, or 6 cents a share.

Ford said gross cash totaled $18.9 billion on Sept. 30, down from $26.6 billion at the end of the second quarter. Ford said the decrease primarily reflects automotive pretax operating losses, changes in working capital, and upfront subvention payments to Ford Credit.

Ford said it will further reduce its U.S. hourly employees by about 2,600 under its most recent round of targeted buyouts, bringing its total U.S. hourly reductions through buyouts in 2008 to about 7,000.

Besides the job cuts, Ford said it plans reductions in capital spending and manufacturing and will reduce global inventories. Ford also said it would continue to explore divestitures of noncore assets and "utilize equity-for-debt swaps and other incremental sources of financing to strengthen the company's balance sheet."

Ford said it continues to invest in smaller, more fuel-efficient vehicles. The company said nearly all planned product programs remain on track and on time, aside from a "few select vehicles that will be deferred until industry volumes recover." Ford said it will, however, reduce spending for large vehicles in declining segments.

The company said it remains on track to achieve $5 billion in cost reductions in North America by the end of 2008.

Ford reported third-quarter revenue of $32.1 billion, down from $41.1 billion a year earlier. The decline reflects lower volume and the sale of Jaguar and Land Rover.

General Motors (GM - Get Report) is expected to post results later Friday.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
F $13.56 0.00%
GM $31.80 0.00%
AAPL $93.74 0.00%
FB $117.58 0.00%
GOOG $693.01 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs