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Ford Explorer problems gutted third-quarter sales

In early September, the Detroit Free Press published a feature noting numerous problems Ford's having with the 2020 Explorer and 2020 Lincoln Aviator launches. Issues with both SUVs, built at Ford's Chicago Assembly Plant, were so rife and dire that the automaker was trucking the vehicles 275 miles away to Michigan for repairs. Bloomberg reported earlier this month that Explorer's third-quarter sales dropped 48 percent compared to the previous model in 2018, with dealers unable to get enough units on lots for customers. Nor is the snafu over: Automotive News reports that another "batch of about 2,500 Explorers in need of repairs" arrived recently in Michigan, and sales through the first nine months of 2019 are down 31 percent. Sales dips during model changeovers are to be expected as old inventory gets sold down and new production ramps up, but this is different. Ford U.S. sales boss Mark LaNeve told Bloomberg earlier this month, "We’ve got adequate inventory in our stores. For Q4, availability wonÂ’t be an issue. WeÂ’ll be able to hit our stride with Explorer starting now." It's hard to know whether that's true, with thousands of Explorers still piling into Michigan; the batch AN mentioned represents about 5 days of sales during an average month in 2018, before the drawdown and interruptions hampered matters. And when Consumer Reports tested the Ford Explorer it bought this summer, it titled the review, "2020 Ford Explorer drives nicely but has many flaws / Poor interior quality and a high price overshadow the SUV's improvements."   On top of that, the AN piece mentions a new impediment to uncorking the Explorer sales stream: Worker strife in the Chicago plant. Allegedly, "Roving groups of workers are intimidating other employees, creating a hostile environment, the people said. ThatÂ’s driving up turnover and leaving some vehicle assembly unfinished, contributing to the company having to complete the work at the Michigan factory or at dealerships, the people said." Ford's been fined twice before for the same kinds of issues at its plants, once in 1999, again in 2017, but a spokesperson said Ford isn't aware of any such problems now. The pressure otherwise has got to be unpleasant for everyone on the Explorer team, from CEO Jim Hackett down. The automaker was meant to be "turning the corner" in April, but as of now, shares are down, credit rating is down, earnings are down.

2019 Lincoln MKC crossover dials up the luxury perks

Lincoln is taking the wraps off its 2019 MKC, which hits showrooms next summer, revealing a substantially refreshed, more stylish compact luxury crossover that adds new driver-assistance and connectivity technologies and a host of premium ownership perks and options. They include new Black Label personalized trim themes and the ability to pick an exclusive dinner from a curated list of chef-driven restaurants. As we previously forecast, the MKC gets the new Continental-style grille, plus new LED headlamps and a neat touch in a Lincoln welcome mat illuminated on the ground from underneath both front doors to welcome driver and passenger. It also adds new driver-assist features including a pre-collision assist warning and braking system that can detect pedestrians, plus available options like lane-keeping alerts, parallel-parking assistance and a blind spot information system. Owners can also opt for the Lincoln Black Label treatment, which includes premium trim upgrades but also a roster of membership perks: annual vehicle detailing, anytime carwashes and access to a curated list of restaurants where feted chefs will prepare a special dining experience. There are three Black Label themes, each inspired by the arts, travel, fine food and culture: Modern Heritage, defined by a clean, modern aesthetic and Vianca White Venetian leather Indulgence, which lives up to its billing with surfaces trimmed in Venetian leather and Alcantara and accents from Ziricote wood And Center Stage, inspired by the world of theater, featuring a diamond-L perforation pattern on the Alcantara cloth inserts finished with precisely stitched Foxfire Red piping, exotic wood accents and Jet Black Venetian leather with Firefox Red accents. In addition, the Reserve trim features a Rialto Green cabin with black ash wood accents, which Lincoln says reflects a current theme popular in high fashion. Other options include a panoramic roof and heated and cooled seats. As part of what the Ford sub-brand calls the "effortless ownership experience," the MKC will come with standard pickup and delivery service to and from dealerships for service visits, plus the use of a loaner Lincoln while the car is being worked on. Lincoln says it's the only luxury brand that offers such a service standard.

Ford's Galhotra succeeds Farley as head of Lincoln

Ford Motor Company is announcing a major personnel shakeup that could have a dramatic effect on the future of the Lincoln division. Kumar Galhotra (pictured above), currently vice president of engineering at Ford for all of its vehicles worldwide, is taking over as the president of the luxury brand on September 1, replacing Jim Farley. The automaker is also hiring a new head of advanced engineering.
Galhotra has a huge job ahead of him as the new boss of Lincoln worldwide, overseeing product development, marketing, sales and service. His task is to turn the luxury division into a world-class brand as quickly as possible, and he reports directly to Ford President and CEO Mark Fields.
"These changes underscore our commitment to build on the success of our One Ford plan by accelerating our pace of progress. They also make clear we are serious about Lincoln as a world-class luxury brand and that product excellence and innovation are what will deliver growth and define our entire company going forward," said Fields in the company's announcement.