Ford sold 3.17 million cars in '05. This includes all brands that Ford owns. If you figure an average of $2000 rebate per vehicle, Ford gave away $6,340,000,000. That's over $6 billion, folks.
I wonder if I'm being conservative with my rebate/vehicle estimate? Anyway, it's all the result of building primarily cars and trucks that really don't excite people but they'll buy due to the incentives.
It's not the wages, benefits, GEN pool, etc.. that is dragging this company down. Remember that we were quite profitable 5-7 years ago on less sales volume. How much profit would Ford have made without giving all of the rebates, even half the rebates? We're selling a ton of cars and trucks at little to no profit.
I hope the design team comes out with some new vehicles that people want to buy. From what I've seen presented at the auto show, it ain't coming quick enough. Besides the Shelby, which will be a very limited run, the rest receive a collective yawn.
Can J. Mays save our company?