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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.

Lincoln Corsair reportedly on track for 2020 as replacement for MKC

Last month we told you how Lincoln was considering renaming the MKC crossover as the Corsair. Now, a report suggests that the MKC replacement is on track for 2020, a year ahead of schedule. Ford Authority reports the accelerated timeline, citing unnamed sources. Ford reportedly told dealers at a meeting this spring in Orlando it was considering Lincoln Corsair as the crossover's new name, but that it could change its mind before it went into production as a 2021 model. The accelerated development of the Corsair — or whatever its final name may be — might be a result of Ford's recent decision to do away with sedans and double down on hot-selling crossovers, SUVs and pickups. Ford Authority's sources tell it that Lincoln is borrowing elements including the mirrors, front fenders, tail lights and wide stance from the Aviator Concept that it unveiled in March in New York City. The Aviator was teased with a plug-in hybrid powertrain option, and given Ford's plans to electrify its lineup, it's entirely possible the Corsair will follow that path as well. Lincoln is slowly moving away from its MK alphanumeric naming system, adopting instead exotic travel-themed nomenclature (think Continental, Nautilus and Navigator). In this case, an actual "corsair" was a pirate ship popular along the southern Mediterranean from the 16th through the 18th centuries. Ford also already owns the name Corsair, so that helps. The MKC is Lincoln's strongest-selling vehicle in China, where the brand has seen explosive growth tapping into the droves of newly created wealthy carbuyers. In the United States, Lincoln sold 27,048 MKCs in 2017, making it the brand's third-best selling model behind the MKZ sedan and MKX crossover ( soon to be renamed the Nautilus). For the first half of 2018, it had sold 12,289 units, which was down 8.7 percent from the prior-year period. Related Video: Image Credit: Lincoln Lincoln Crossover Luxury PHEV lincoln mkc lincoln aviator

Dodge Dart falls short of Consumer Reports Recommended, Caddy XTS and Lincoln MKS, too

The Dodge Dart, Cadillac XTS and Lincoln MKS all failed to earn a "Recommended" rating from Consumer Reports. When it came to the compact Dart, the organization's testers thought the vehicle offered a quiet cabin, solid-feeling chassis and nimble suspension, but the new model ultimately fell short of the coveted rating due to powertrain issues. The institute's reviewers found the base 2.0-liter four-cylinder engine to be underpowered and noted "drivability issues" when the available turbocharged 1.4-liter four was paired with the optional dual-clutch transmission (some of our editors disliked it paired with the six-speed manual). CR also dinged the latter powerplant for sounding "raspy." For what it's worth, we think the forced-induction engine offers an excellent and playful exhaust note, but that's just us.
As for the XTS, CR lauded the car for its luxurious cabin, but the vehicle's experience was dulled by its finicky CUE infotainment interface. Overall, the big Cadillac scored much higher than its cross-town rival from Lincoln. While testers found the American luxury sedan to offer a quiet ride and quality fit and finish, they felt the MKS delivered a "cramped driving position, ungainly handling, uncomposed ride, and limited visibility." Ouch. At the end of the day, both cars fell short of rivals from Japan, Germany and Korea. Check out the full press release below with more details, along with CR's musings on the Chevrolet Spark and Lexus ES.