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Ford's Farley will challenge dealers to cut EV cost to customers by $2,000

DETROIT — Ford Motor Co Chief Executive Jim Farley will go to Las Vegas next week to roll the dice on a strategy to convince dealers to cut as much as $2,000 from the cost of delivering an electric vehicle to a customer. Ford has told dealers that one key topic for the meetings will be a discussion of new agreements that would govern how dealers sell Ford's expanding lineup of electric vehicles. Farley told analysts in July that Ford needs to cut $2,000 a vehicle out of selling and distribution costs to be competitive with Tesla Inc and other electric vehicle startups that sell directly to consumers without franchised dealers. About a third of those savings could come from what Farley called a "low inventory model," where customers order a vehicle and Ford ships it to the customer, rather than stocking vehicles on dealer lots for weeks or months. "We think that's about -- worth maybe $600, $700 in our system," Farley told analysts. Tesla can also adjust prices rapidly on its website, and keep most of the gain from a price increase. Ford declined to comment other than to say “we are excited to meet next week with our North America dealers to grow and win together.” Dealers said they expect Ford to outline minimum investments for charging stations and other equipment to support electric vehicle customers. A key question will be how quickly dealers will be required to install chargers, which dealers said can cost as much as $500,000. "The manufacturers so far have let us scale into it and I think Ford will hopefully do the same thing. You just can't say, 'Listen, we're going to sell 2 million electric cars five years from now and we expect you to put in five superchargers,'" said Rhett Ricart, owner of Ricart Ford, a large dealership in Columbus, Ohio. Tesla's success at selling electric vehicles without franchised dealers is putting pressure on all established automakers to overhaul their retail networks. A shift by Ford to a Tesla-style build to order system could come with caps on the profit margins dealers can earn on a new vehicle sale, some dealers said. "I see dealer margins still being very competitive, but they are going to shift," Farley said in July. Ford intends to put more emphasis on selling products and services after the initial vehicle sale, he said. Dealers said state franchise laws could give dealers leverage to resist efforts by Ford to set fixed prices or fixed fees for delivering electric vehicles.

2020 Lincoln Aviator Grand Touring plug-in hybrid range, fuel economy revealed

The range-topping 2020 Lincoln Aviator Grand Touring plug-in hybrid luxury crossover finally has official fuel economy ratings. The electric range is 21 miles, and when the battery is exhausted, gas-only combined fuel economy is 23 mpg. The EPA's combined electric and gas test loop yielded 56 mpg-e. These numbers make the Aviator Grand Touring the most frugal version of the three-row luxury crossover, with the next most efficient one being the rear-drive non-hybrid model at 21 mpg combined. When going by gas-only fuel economy, though, the Aviator Grand Touring's non-plug-in cousin, the Ford Explorer Hybrid, returns up to 28 mpg combined with rear-wheel drive, and 25 mpg with all-wheel drive. It has much less power at 318 horsepower and 322 pound-feet of torque, compared to the Aviator Grand Touring's 494 horsepower and 630 pound-feet of torque. The luxury plug-in hybrid crossover segment is quite small right now. The closest competitor to the Aviator Grand Touring is probably the Porsche Cayenne E-Hybrid. It has a shorter electric range of 13 miles, and its gas-only fuel economy is a slightly worse at 22 mpg. The Porsche is less powerful with 455 horsepower and 516 pound-feet of torque, and its base price of $82,450 exceeds the Lincoln's $69,895 price. The Mercedes-Benz GLC 350e splits the difference on efficiency with a worse 10-mile electric range, but a better gasoline fuel economy of 25 mpg combined. This could improve for 2020, as the updated model will have a larger battery. It's cheaper, too, at $51,645, but it's also a full size smaller than the Lincoln.

Junkyard Gem: 2006 Lincoln Zephyr

The Lincoln Motor Company went all-truck for its North American offerings in the 2021 model year, announcing the death sentence for the Continental and MKZ sedans in 2020. The MKZ was the sibling to the Ford Fusion and Mercury Milan (the latter car discontinued in 2011 when the entire Mercury Division got the axe), but it wasn't called the MKZ for its first model year of 2006. For that one year, it was given a name with deep resonance in the Ford Empire: Zephyr. Here's one of those cars, found in a Denver boneyard recently. Ford's first use of the Zephyr name came when Edsel Ford spearheaded the creation of the futuristic-looking Lincoln-Zephyr for the 1936 model year. The Lincoln-Zephyr packed a flathead V12 engine under its hood, which is the same engine that turned a Model A Ford into a Cadillac-passing hot rod in the 1955 Charlie Ryan song "Hot Rod Lincoln" (the better-known 1971 cover version by Commander Cody and His Lost Planet Airmen inaccurately refers to the Lincoln engine as a V8; ex-Commander Cody frontman—and Iggy Pop's high school classmate—Bill Kirchen still makes the V8 claim but he's earned the right by now). The Zephyr name disappeared from the Lincoln lineup after 1942. In 1950, Ford of Britain revived the Zephyr name for use on a Dagenham-built saloon; British Zephyr production continued through 1972, and left-hand-drive versions of the Ford Zephyr were sold in the United States from the 1952 through 1964 model years. Mercury finally got the use of the Zephyr name, for the 1978 through 1983 model years, on the Mercury-badged sibling to the Ford Fairmont. A Chinese-market midsize luxury sedan built by Changan Ford was given the Zephyr Reflection name prior to launch, but it hit showrooms last year as the Lincoln Z. So much history in the junkyard! The saga of the name change from Zephyr to MKZ didn't end with the 2007 model year, though. Members of the Lincoln top brass spent some months insisting stubbornly that the new name should be pronounced "Mark Z" (apparently in reference to the great Lincoln Mark cars of the past or perhaps the brand-new Mark LT pickup), but finally acquiesced to the "Em-Kay-Zee" pronunciation used by everybody else in the United States and the "Em-Kay-Zedd" pronunciation used by the rest of the English-speaking world. The interior of the 2006 Zephyr was quite similar to what you got inside the Fusion and Milan, but with real wood (maple or ebony) trim and standard leather.