2006 Ford F-150 on 2040-cars

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Ford defends plan to shareholders: ‘We're simply reinventing the American car’

Ford's top executives took heat from shareholders over their plan to do away with sedans as we know them in Ford's North American lineup, as the company held its annual meeting Thursday. Critics said the plan to shelve the Fiesta, Focus and Taurus, reduce the Focus to one crossover model, and concentrate on high-margin trucks and SUVs was a shortsighted abandonment of entire market segments of affordable vehicles. "This doesn't mean we intend to lose those customers," Ford CEO Jim Hackett said. "We want to give them what they're telling us they really want. We're simply reinventing the American car." Ford has said SUVs/crossovers and pickups will constitute 90 percent of its North American lineup by 2020. And though only the Mustang and new Focus Active will remain, it plans to add new vehicles going forward that offer better fuel economy and utility, including EVs and hybrids. Hackett characterized the shift not as an abandonment of traditional cars but as a transformation of them. "We don't want anyone to think we're leaving anything," Hackett said. "We're just moving to a modern version. This is an exciting new generation of vehicles coming from Ford." It was Hackett's first annual meeting as CEO, and for the second year it was conducted online rather than in person. The change to Ford's lineup is part of Hackett's overall plan to cut $25.2 billion in costs by the year 2022. Executive Chairman Bill Ford Jr. blamed the negative reaction to the lineup plan on media coverage. "I wish the coverage had been a little different," he said. "If you got beyond the headline, you'll see we're adding to our product lineup and by 2020 we'll have the freshest showroom in the industry. The headlines look like Ford's retreating. In fact, nothing could be further from the truth." While Ford was clear about its plans for the Blue Oval, it has been less clear about the Lincoln brand. Hackett on Thursday said only that the Lincoln Continental, re-introduced just two years ago, would continue "through its life cycle" — but it has been such a slow seller that rumor has Ford killing the Continental again after that, and Hackett made no mention of a new generation. Presumably the MKZ sedan will go away when its twin the Ford Fusion does, but although Ford has outlined end dates for other models, the Fusion's departure is open-ended. The stock price has been a frustration for investors for years and has fallen 12 percent since the first of the year.

2015 Hennessey Ford Mustang hits 207.9 mph

After hitting over 195 miles per hour a few months ago, John Hennessey was barely out of his personal HPE700 Mustang before he said that 200 mph was achievable. Don't doubt a man who knows a ton about taking cars to insane speeds. With the new HPE750 Mustang, he and his customers can finally surpass the 200-mph mark in their cars. "If at first you don't succeed, just add more horsepower and rpm and try again," Hennessey said in the company's announcement. Rather than the 717 horsepower and 632 pound-feet of torque from the supercharged 5.0-liter V8 in the HPE700, the HPE750 ratchets the same powertrain up to an even more potent 774 hp and 648 lb-ft. In a real show of confidence, the Hennessey team brought along Jay Leno when it returned to the Continental Tire Proving Grounds in Uvalde, TX, to set a new top speed with the HPE750. The upgrades to the Mustang definitely paid off because the pony car reached a GPS-verified 207.9 miles per hour down the straight. The run will eventually appear on a segment on the upcoming Jay Leno's Garage TV show that will air CNBC. Prices for the HPE750 start at $59,500 USD, including the base 2015 Mustang GT, but building an exact replica of this one would cost $69,374, according to Hennessey. In addition to the huge top speed, the company claims that the coupe can reach 60 mph in 3.4 seconds and cover the quarter mile in 10.9 seconds. 774 HP Hennessey Mustang Tested to 207.9 mph Jay Leno visits Texas tuner for upcoming TV series on CNBC June 2, 2015 Uvalde, Texas—On Wednesday, May 27, 2015, professional driver, Brian Smith, drove the Hennessey HPE750 Supercharged Mustang to a top speed of 207.9 mph. In the process, Hennessey's potent pony car became the first 2015 Mustang to break the 200 mph mark. Jay Leno was on hand to witness the record speed while filming an upcoming episode of Jay Leno's Garage, which will air on CNBC later this year. The run was made on the 8.5 mile high speed oval at the Continental Tire Proving Grounds located in Uvalde, Texas – the same test track where John Hennessey test drove the company's HPE700 Mustang to a top speed of 195 mph back in February of this year. During both tests, speeds were validated with Racelogic's VBox 3i GPS data logging system. "If at first you don't succeed, just add more horsepower and rpm and try again," said company founder and president, John Hennessey.

Has the auto industry hit peak hybrid?

Hybrids are known for their great fuel economy and low emissions, but it looks like given current market conditions, only about three percent of new car consumers are willing to pay the premium for them. A new study from IHS/Polk finds that the hybrid market share among overall US auto sales are falling, despite more models with the technology on sale than ever before.
The study examined new car registrations in March from 2009 through 2014. In that time, the auto industry grew from 24 to 47 hybrid models available to consumers, but market share for the powertrain remained almost stagnant in that time. As of 2009, hybrids held 2.4 percent of the market; it fell slightly to 2.3 percent in 2010 and grew to 3.3 percent in 2013. However, 2014 showed a drop back to 3 percent. Overall hybrid sales have been growing since 2010, but they just aren't keeping up with the total auto market.
According to IHS/Polk, this isn't what you would expect to see. Usually, each new model in the market brings along with it a boost in sales. The growth in hybrid models 2009 to 2014 should have shown a larger increase in share for the segment.