1970 Lincoln Continental Mark Iii on 2040-cars

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Analysts warn Lincoln shouldn't follow Ford out of the sedan market

Lincoln looks set to mimic Ford's on-going shift away from sedans. The move makes sense on the surface, but analysts warn the luxury brand needs to keep some low-riding models in its portfolio. The company's current lineup includes two sedans, the MKZ and the Continental, plus five SUVs. The sedans aren't long for this world, according to The Detroit Free Press. The publication learned Ford's Hermosillo, Mexico, factory will stop manufacturing the MKZ in late 2020 or early 2021, and it pointed out UAW documents note Continental production will continue "through its product lifecycle." In other words, it's the last model on the Continental branch of the Lincoln family tree. These two nameplates represent 23.3 percent of Lincoln's annual sales so far in 2019, which is a surprising and respectable statistic. One in four cars the company sells is a sedan. The problem is that they accounted for 27.6 percent of the firm's sales in 2018, and that number will continue to fall in 2020 as customers flock towards crossovers and SUVs. And yet, exiting the sedan market isn't the right answer for a company that wants to re-establish its reputation as a luxury automaker. Eric Noble, the president of consulting firm CarLab, told The Detroit Free Press about 40 percent of American buyers in the market for a luxury car choose a sedan. The Chinese market — where Lincoln hopes to gain a secure foothold in the coming years — also has a healthy appetite for sedans. Going SUV-only is a strategy that might work well in the United States, but it doesn't suit Lincoln's ambitions. Germany's big three luxury brands all have a flagship sedan at the top of their range. We can't argue against sales data; the sedan market is shrinking. There are ways to keep buyers in the fold, however. The Continental is a stellar effort from the brand, and a solid foundation on which to build. Noble pointed out Lincoln could use the rear-wheel drive platform found under its Aviator and Ford's latest Explorer to build a four-door model with a fastback-like roof line in the vein of the Audi A7. It's a sleeker, sexier body style that tends to attract more buyers than a more conventional three-box sedan, which is often criticized as old-fashioned. Automakers can normally get away with charging a little bit more for these cars; the A7 is more expensive than the A6, for example. Electrification could be the Lincoln sedan's saving grace.

2023 Lincoln Aviator gets a few small changes, small price bumps

The 2023 Lincoln Aviator Lincoln makes a few small changes to its offer, as related by Ford Authority. On the feature side, the 12-way Comfort Front Seats for driver and passenger are gone. The bottom three trims, Standard, Reserve and Grand Touring all come with a 10-way Comfort Front Seat for the driver and an eight-way throne for the passenger. The Black Label and Grand Touring continue with their 30-way Perfect Position front seats. Outside, the Bronze Smoke Metallic and Burgundy Velvet Metallic colors depart the exterior palette, replaced by Diamond Red Metallic Tinted Clearcoat and Jewel Sandstone. The Jet Package expands availability to the base Reserve trim, no longer requiring the Reserve I package, and to the Black Label, which didn't offer it before. The package full of black trim pieces and wheels hasn't changed from when Lincoln introduced it a year ago, including bits like a solid black grille and surround, black door spears and mirror caps, and 22-inch black aluminum wheels. A similar package exclusively for the Black Label trims is called the Black Label Special Edition Package. It makes the same changes as the Jet Package while also painting the roof black. Finally, the Illumination Package for the Grand Touring PHEV adds fog lights for 2023. Prices for the 2023 model year after the $1,195 destination charge are up a little over the sums we noted when the 2022 model year debuted. Remember, however, that 2022 pricing went down on all but one trim by anywhere from $5 to $1,085. The new MSRPs are in line with model year premiums we're used to seeing from a time before industrial upheaval. The figures and their differences from 2022 are: Standard: $54,535 ($1,875) Reserve: $59,700 ($1,150) Grand Touring: $70,385 ($830) Black Label: $81,920 ($1,375) Black Label Grand Touring: $90,475 ($1,375) Engine choices don't change, those being the twin-turbo 3.0-liter EcoBoost V6 with 400 horsepower and 415 pound-feet of torque for all trims but the Grand Touring PHEV. The plug-in hybrid electrifies that engine to make a combined 494 hp and 630 lb-ft. Every Aviator shifts through a ten-speed automatic. The Aviator has sold 20,324 units so far this year. Based on figures for the past three years, we anticipate it will finish above last year's 20,324 sales and 2020's tally of 23,080 sales. A refresh expected in 2024 should bring more substantial updates and improvements.  Related video: This content is hosted by a third party.

Ford Model e losing billions as it says EV unit should be seen as startup

DETROIT — Ford Motor Co.'s electric vehicle business has lost $3 billion before taxes during the past two years and will lose a similar amount this year as the company invests heavily in the new technology. The figures were released Thursday as Ford rolled out a new way of reporting financial results. The new business structure separates electric vehicles, the profitable internal combustion and commercial vehicle operations into three operating units. Company officials said the electric vehicle unit, called “Ford Model e,” will be profitable before taxes by late 2026 with an 8% pretax profit margin. But they wouldn't say exactly when it's expected to start making money. Chief Financial Officer John Lawler said Model e should be viewed as a startup company within Ford. “As everyone knows, EV startups lose money while they invest in capability, develop knowledge, build (sales) volume and gain (market) share,” he said. Model e, he said, is working on second- and even third-generation electric vehicles. It currently offers three EVs for sale in the U.S.: the Mustang Mach E SUV, the F-150 Lightning pickup and an electric Transit commercial van. The new corporate reporting system, Lawler said, is designed to give investors more transparency than the old system of reporting results by geographic regions. The automaker calculated earnings for each of the three units during the past two calendar years. Model e had pretax losses of $900 million in 2021 and $2.1 billion last year, and it is expected to lose $3 billion this year. In the past two years Ford has announced it would build four new battery factories and a new vehicle assembly plant as well as spending heavily to acquire raw materials to build electric vehicles. By the end of this year, the company based in Dearborn, Michigan, expects to be building electric vehicles at a rate of 600,000 per year, reaching a rate of 2 million per year by the end of 2026. Ford Blue, the unit that sells internal combustion and gas-electric hybrid vehicles, made just over $10 billion before taxes during the last two years. Ford Pro, the commercial vehicle unit, made $5.9 billion during those years, the company said. For this year, Ford expects Ford Blue to post a $7 billion pretax profit, modestly better than last year. Ford Pro is expected to earn $6 billion before taxes, nearly double its earnings last year, Lawler said. Ford was to present the new structure, announced last March, to analysts and investors on Thursday.