2004 Ford F350 Super Duty, Flatbed W/ Construction Rack on 2040-cars

Auto blog

Ford Q1 profits dragged down by warranty costs

General Motors isn't the only Detroit automaker posting falling profits in the first quarter. Ford just released its Q1 2014 financial data, and it reported a net income of $989 million, down $622 million from Q1 2013. The drop is partially blamed on higher warranty and recall expenses than the company had anticipated.
Financially, Ford suffered a rough quarter almost across the board. Its pre-tax profit of $1.4 billion was also down $765 million from a year ago. Things were even worse in the North American market where operating profit fell significantly to $1.5 billion, down from $2.392 billion in Q1 2013. However, its global revenue ticked up slightly to $35.9 billion, from $35.6 billion in this period in 2013.
Ford admitted that it spent about $900 million on expenses that it hadn't planned for during this quarter. According to Reuters, the company paid about $400 million in additional warranty and recall costs in North America. The automaker didn't explain why the costs were so much higher than expected. However, in the last three months, Ford has had several recalls, including on the 2001-2004 Escape for rust, Explorer for its steering, Edge for its fuel line and others.

Daily Driver: 2015 Ford Flex

The Ford Flex has been around. It's not T-Rex or even Model T old, but still; it's been hauling people and stuff since 2008 without a major redesign. That's quite a long time in the car world. Sales have been sliding the last couple of years, and the Flex is now considered a niche player in the crossover-centric US auto market. But that doesn't mean it's still not a pretty good vehicle for its purpose: If you need to haul people and stuff, there are few better choices. Some even think it's a guilty pleasure. I spent a winter afternoon tooling around suburban Detroit in a handsomely equipped Flex Limited. We're talking the 3.5-liter EcoBoosted V6 with 365 horsepower and all-wheel drive. Inside, there were big comfy seats, lots of leather, acres of storage space and even a built-in refrigerator. The drive ended up being surprisingly fun. If there's such a thing as a hot-rod minivan, this is it. I also got noticed. The Flex's boxy design has aged well. It's still polarizing, but there aren't many contemporary vehicles that look like a Flex. So if you've ever seen a Flex on the road, and thought: "Man, that thing is big. I wonder what it's like to drive that?" Now's your chance to find out.

Automakers tussle over owners of 'orphan' makes

When General Motors put down several of its brands in recent years, it also let loose thousands of brand-loyal customers who will eventually need another car.
R.L. Polk Associates estimates there are more than 18 million cars from 16 discontinued makes on the road today. Those "orphan owners" have sales-hungry competitors seeing dollar signs. GM is offering Saturn owners $1,000 cash toward a Chevy Cruze, Cadillac CTS or a GMC Acadia. Ford is giving its Mercury lease customers a chance to get out of their contracts with no early-termination penalty and offering to waive six remaining payments if they drive off in a Ford or Lincoln.
Edmunds.com research shows the efforts are paying off somewhat for GM, with 39 percent of Pontiac owners, 37 percent of Hummer owners and 31 percent of Saturn owners taking delivery of another GM-branded vehicle. But that leaves as much as 69 percent of owners going elsewhere. Ford, Honda and Toyota seem to be attracting many former GM owners.