The Ford Story: How GM Filing Bankruptcy Affects Ford Motor Co.

Today’s announcement that GM is filing for Chapter 11 bankruptcy is another important development during this unprecedented period for the auto industry and the global economy.

The Ford team continues to monitor the industry environment and plan for all contingencies to ensure our transformation plan remains on track. At this time, we do not expect any major disruptions to our operations as a result of today’s news.

We share President Obama’s hope that GM’s bankruptcy will be controlled and orderly, and we continue to believe it is important that our governmental leaders and the U.S. Automotive Task Force remain focused on the stability of the supply chain and on ensuring that a healthy U.S. auto industry emerges from this difficult economic period. We look forward to working with the Obama administration to ensure that the government’s majority ownership of GM will not change the industry’s competitive dynamics and that a level playing field will be maintained.

Ford remains absolutely committed to continuing to make progress on our transformation plan without accessing emergency taxpayer assistance from the U.S. government. We have been executing our plan for several years and now gaining market share and new customers with an unprecedented number of new high-quality, fuel-efficient vehicles, such the new Ford Fusion, F-150, Lincoln MKS and Lincoln MKZ. Coming soon are the highly acclaimed Ford Taurus, Lincoln MKT and Transit Connect.

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12 Comments

Richard Deerfield
June 13, 2009 at 8:43 am

I met with John Gully (Gratz, Ky) back in'87, saw his Fiat, he told me the whole story (V. Pres. Hahn, etc.). Also had some good conversations with Howard Johnson and his magnetic motor. When are you going to do something with his magnetic motor? How about the Cycclone out of Australia? WHY are we STILL burning gas/diesel? Are you doing anything with the capacitor patent you bought out from Art Keyes? NO more batteries! Let's see the stuff that really matters! GM is getting their 'Bad Karma' rewards (they took away our streetcars, steam locomotives..which were just about ready to evolve into heat engines after WW2..put Tucker, Packard, Studebaker and who knows else, out of business). I'm sure a lot of inventors were either paid off or ended up 'missing' by their hands, they are reaping what they sowed. I'm sure your history is not so clean either (like the Pogue carb., many others), but I never had the same bad feeling of Ford as I have for GM. I have ALWAYS been a Ford guy (mainly Mustang, rear wheel drive, V-8) , keep up the good work, YOU deserve to survive and prosper, but do the right thing. Give us the FREE CLEAN energy WE need to begin the transformation of this planet into what it was meant to be. YOU have the power, use it wisely and responsibly! Do the RIGHT thing. Reply

Juston
June 13, 2009 at 2:24 pm

Interesting comment by Richard Deerfield. About the effects of GM's bankruptcy and its effects on FORD. I think it's more of an opportunity. Bottom line the U.S. Govt no matter what party was in control has ever been able to run an efficient, positive cash flow operation. It is not about to happen with GM with the Government involved as they are now. History reveals everything. Remember, Remember, it will always boil down to supply, and demand, hard work and innovation. I think what Richards point is innovation only goes to a point and then long term points of view set in of fear because the new technology is so efficient, so reliable, so economical, so safe that pumping out millions of vehicles a year will not be the future, the future may hold much fewer sales and a much smaller automakers. Owners don't want to hear that, even though the public doesn't mind just as long as new looks and feels are improving upon the current but we just may be living in a time when the technology could be here yet progress is being halted by only a select few, yes maybe great patents have been concealed, or shelved because it would hurt the repair business and those jobs, but when one amazing revolutionary machine reaches the people it will be the beginning of a new age of technology, and the once massive auto industry may not be as massive relative to population ever again, but that is ok. Just like George Washington who was asked to continue to be our president, yet they said be our king, Washington replied with integrity to the Republic for which he represented, and concluded his term as president and allowed another to possibly be greater than he. My point is when a big giant of an industry gains power there is a need for self sacrifice for the better good, others will step up to the plate. If jobs are lost for a time, new jobs will come because the people are free to invent, and compete. Sometimes people don't want to compete or reinvent themselves, but its either that or Communistic / Socialistic ways and ideals that will begin to set in. If the patents laws are written in a way that halts progress then the laws need to be re-written and challenged because you can not count on a board of directors to implement a new technology that possible will change their business to the point of possibly restructuring to half of what it is now. That type of change only happens with competition, that is if the competition like Richard pointed out doesn't get bought out before it becomes public knowledge. I don't believe much of the conspiracy stuff, what I do believe is men of all types of character make decisions which can result in profits now and patents which were once thought would eventually surface simply never did, no one is to blame just something we should probably try to find a solution to so that great ideas don't get passed up because of profits now. Which will provide new competition and leaner, faster, more maneuverable competitive business models. Reply

Cecil C Lewis
June 13, 2009 at 8:27 pm

The fact is that Team Ford seems that the auto market was going into a down fall and started to make changes. in how the American people was reacting to higher gas prices.
GM on the other hand was fooling there self about they brand. Everybody dont buy THE GM brand. Im 40yrs old all i own a Ford.Ihave a 2003 Ford F-150 that have 270000 and still going strong. The only thing better than a Ford is a NEW FORD!! Reply

Jason L.
June 14, 2009 at 3:48 am

I currently own three Fords. '98 Escort ZX2(148,000), '99 F-150(141,000), '03 Expedition(135,000). All of which are still going strong. The '88 F-150 I had before the '99 had 400,373 miles on it when I traded it in. The point I'm trying to make is Ford has never let me down they just keep going and going. I think, out of all the manufacturers, Ford will be and should be the one the comes out on top. I agree with Richard in the fact that there are other ways to make a vehicle move than using fossil fuels. Why Ford doesn't take advantage of these options is beyond me. Ford is already the best auto maker in the world, but, there is always room for improvement. I commend Ford for wising up in these bad economic times and staying afloat to avoid bankruptcy. Lets go ahead and use some of this green technology. If it does take away jobs, it will open the door for new ones. It's time to move forward. Reply

Yamen
June 14, 2009 at 9:26 am

Hi Ford,
I am a Ford lover since i was a small boy, my first car was at 1980 and it was a Ford Mustang GT, and I was proud to own it till now, it still runs Very Decent, and it has Full Original parts (781000 km) and never fixed it unless the extended waranty maintainance, And Now after i grown up i own 5 Ford cars,-
- 1- Ford mustang GT (1980). ((The Sweet Peace in my Garage)).
- 2- Ford Expedition Limited (2008). ((My every day SUV, and my Desert SUV)).
- 3- Ford Explorer Limited (2007). ((My wife everyday SUV)).
- 4- Ford Mustang Shelby GT500 (2008). ((My Weekend Sport Car, i love its sound).
- 5- Ford Focus Limited (2006). (( My daughter Car.))

THANK YOU FORD FOR MAKING SUCH A BEST QUALITY CARS, I CANT PUT MY LIFE SAFETY IN A CAR OTHER THAN FORD.

I LOVE YOU FORD. Reply

johnny
June 15, 2009 at 5:14 pm

I drove more than 1.000.000 Ford kilometres in the next Ford types.
Transit 1, Escort 1(1300GT), Escort 3(1600), Scorpio 2000, Scorpio 2900, Mondeo 2500. At the moment I own a Mondeo 2.5 V6, my wife a Ka 1 1300 and for my shop a Transit.
It was and it is a pleasure. Reply

Luis
June 14, 2009 at 11:20 am

I agree with all these people when i was small kid in Puerto Rico the first truck i ever drove was a 1980 F150 302 when i first drove it i told my self this was a real truck it was and i wished i had it. My point in all this i think ford keeps going forward even if the economy is horrible I'm glad. Thanks to Henry Ford we have the best auto making brand still making tough and tougher cars & truck here now and the old schools. What makes me mad soooo its how people GM & Mopar fans make fun of us because we are known for Fu** over rebuilt dodge really& Found on road dead because they see alot of Fords break down well mmmm if u take care of them this problem wont happen. People if it was wasnt for Henry Ford cars wouldn't be invited right know people like that pist me off they dont know whats a real brand to drive. I like how they call our Powerstroke, Powerchoke and Power Junk i guess just because Cummins can pull an Powerstroke does are Mopars & GM for yeah. GM think there big because they have the Allison Transmission oh wow we are soo scared what we have to do keep going strong and forget the other brands they dont mean nothing to me even if i own dodge. im proudly to own to Fords 98 Expedition 142,340 strong 302 and 05 Explorer Sport Trac strong 4.0 V6. I will try to own every single car Ford made through all this years. This brand will ruin through my blood and through my life and i will never give up on you guys and someday i hope to be the CEO of Ford Motor Company that would be my wish till I die. I Love Ford Reply

Ruth
June 14, 2009 at 2:25 pm

I was born into a Ford family-my grandfather and father both worked at the Mahwah (NJ) plant. I can still remember seeing my dad coming from out of his "pit" on the line and feeling proud to see all the cars lined up outside the plant and thinking that my grandfather and dad worked to build those cars. When that plant closed a lot of families, including mine fell on some hard times. And even though the plant closing forced my family to change my family continued to stay faithful to Ford. I bought my first car after graduating college-a first for my blue collar family-a 1998 Ford Contour SE V6 in Cabernet Red. Oh how I loved that car-it was my life and I was so proud to own it. Since then I've owned a 2002 Ford Explorer, a 2004 Ford Explorer and now a 2008 Ford Explorer. I am proud to come from a Ford family and hope that Ford truly learns to grow and build vehicles that Americans don't just need to get from point A to point B but fall in love with-the way I still feel about my '98 Contour. Give Americans something to believe in again when it comes to cars. Ford needs to continue incorporate more green technology, continue to streamline platform production, offer more standard equipment options like HID lighting, combine interior vehicle technology that interfaces with the driver and occupants like second skin, remain true to and stick by their employees that work hard to provide for their families, and above all remain true to their heritage by building vehicles that don't just sit in a driveway but become a part of the American family. If Ford can accomplish the things they are saying then all cars purchased in the future will not be foreign-or as my grandfather still says, "A foreign car is anything other than a Ford." Reply

Rick
June 27, 2009 at 2:45 am

I was saddened at the fact that now the Government has its fingers in General Motors. Not that GM didnt contribute to their own demise, but I dont like Government involvement in anything. Having said that, I will now buy Ford products for one simple reason, they did not take any federal money. Any vehicle that I purchase must be built in either the US or Canada. I dont care for Obama's Socialist style of control therefore I will not contribute my money toward it. I have owned several Fords and have no bad words to speak about them. Reply

Larry Wilson
June 27, 2009 at 8:14 pm

Congratulations to Ford for maintaining its founders principles and dedication to the American people. Henry Ford doubled factory workers pay and started the 8 hour work day, first assembly line, etc. etc. etc. His sole goal was to provide "all" Americans with the ability to own a car at an affordable price. He was confident that if Ford, its emplyees, and dealers did their part all else would fall in place. I have bought Chrysler, GM and Ford products in the past years as well as Nissan. My last new vehicle, was a 2009 Mazda CX-9 because Ford had an ownership stake in the company at the time, my next new vehicle will only be a Ford. I will not support "G"overnment "M"otors or the Fiat / Chrysler / US Government owned auto company. Keep up the good work, I do believe America will wake up and continue to support Ford in the months and years ahead. We have politicians that think their self serving ways are going to over come the American business system. I put my money on Americans, not socialists. This too will pass in time as they are voted out of office. Reply

Kelley Walker
July 6, 2009 at 1:56 pm

Abolish the Corporate Average Fuel Economy standard. Lighter cars may be more fuel efficient, but they are less crashworthy. Laws that require domestic auto producers to average a certain mileage rate in automobiles deprive motorists of the choice of more crashworthy vehicles. Reply

Mrs. Dora L. (Phillips = ) Whitney
July 25, 2009 at 12:29 pm

One of my older brothers (Paul = ) is fleet sales mgr. for Spradley Barr in Ft. Collins, CO. He was awarded employee of the yr. out of ~200 his 1st yr. there ! = ) He drives a nice Ford pickup that advertises his employer. He & his wonderful wife (Sue) put their lovely newer home up for sale this past yr., due to the economy. It hasn't sold, yet. Thankfully, things are turning around w/ school starting up again next month. Paul was excited when he was given the opportunity to fly up to the main Ford plant w/ "green" grass on the roof ! = ) He's been a Ford salesman / mgr. for over 20 yrs. He'd worked @ Joe Dye, now Bill Summer's, in North Platte, Nebr. ~ the 1st 20 yrs. His son, Jess, is still there; w/ his wife (Robyn, Bill's daughter = ) . We've been very pleased w/ any Ford we've owned; even tho' we're the "cheap" ones in the family. = ) We buy vehicles over 10 yrs. old & just secure liability insurance. My husband has never taken out a loan for a car or home. We're in our 3rd home now. We don't have to have the best. Just what works for us. America, stick to a budget ! Be wise ! Be responsible ! Be good citizens ! Thank you, Ford, for being an example to the rest of the world ! Thankful for leadership & employees God has placed in your company. God Bless America ! Voters: WAKE UP ! Reply

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