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Ford may need to close more plants to improve prof

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FRANKFURT, Germany-- Ford Motor Co., the world's No. 3 automaker, may need to close more plants as it prepares to launch a second reorganization in three years to stem losses in North America, Ford President James Padilla said.

"We will align our capacity with demand and see how that falls," Padilla told reporters today at the Frankfurt International Motor Show. The automaker has already closed the Jaguar Browns Lane plant in the U.K. and will soon close a van plant in Lorain, Ohio, he said.

Chief Executive William Clay Ford Jr., 48, is reorganizing the leadership in North American, Ford's biggest market, after the Americas unit lost money three of the past four quarters. The automaker lost market share in the U.S. for 28 straight months until July and August, with sales boosted by offers of employee prices for all customers.

Ford is in the midst of cutting 2,750 North American salaried jobs, which will include about 400 firings, company Padilla said in an e-mail last month. The reduction comes on top of a 1,000-job cut of U.S. employees in the second quarter. Padilla said the automaker will be "aggressive" in looking for new cost cuts after a first round of cuts didn't improve earnings sufficiently.

With reporting by Bill Koenig in Southfield.

http://www.detnews.com/2005/autosinsider/0...4/01-314753.htm
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FRANKFURT, Germany-- Ford Motor Co., the world's No. 3 automaker, may need to close more plants as it prepares to launch a second reorganization in three years to stem losses in North America, Ford President James Padilla said.

"We will align our capacity with demand and see how that falls," Padilla told reporters today at the Frankfurt International Motor Show. The automaker has already closed the Jaguar Browns Lane plant in the U.K. and will soon close a van plant in Lorain, Ohio, he said.

Chief Executive William Clay Ford Jr., 48, is reorganizing the leadership in North American, Ford's biggest market, after the Americas unit lost money three of the past four quarters. The automaker lost market share in the U.S. for 28 straight months until July and August, with sales boosted by offers of employee prices for all customers.

Ford is in the midst of cutting 2,750 North American salaried jobs, which will include about 400 firings, company Padilla said in an e-mail last month. The reduction comes on top of a 1,000-job cut of U.S. employees in the second quarter. Padilla said the automaker will be "aggressive" in looking for new cost cuts after a first round of cuts didn't improve earnings sufficiently.

With reporting by Bill Koenig in Southfield.

http://www.detnews.com/2005/autosinsider/0...4/01-314753.htm

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Not a big Ford fan (the new Mustang is hot though), but I hope Ford can give GM some ideas on how to slice and dice in an effective manner
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