Ford To Announce Record Profit
On Friday, Ford will show something it didn’t have for a long time: Money, and lots of it. The Freep thinks that Ford will report a profit for 2010 of about $8 billion excluding onetime charges. That would be the biggest annual profit Ford saw in a decade.
And what’s that nasty “one time charge?” It will be $960 million, resulting from the elimination of about $1.9 billion in debt. Even with the charge, $7b in cash is nothing to sneeze at. Ford will be able to hold on to that money, the taxman will have to wait until the loss carry-forwards (Ford lost $30 billion from 2006 to 2008 alone) are used up. Ford expects to finish the year with more cash on hand than its remaining $21 billion in automotive debt.
However, there is danger ahead. Ford’s labor contract with the UAW expires in September. And they will want some of that profit.
Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.
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I just wanted to comment on the inclusion of a great Pink Floyd number from the greatest album ever.
Ford also announced a year ago that Mercury was alive and Ford was committed to it with Big Al saying: Speaking at the Washington Auto Show, Mulally reportedly said, "That's our plan – to continuously improve the Mercury and Lincoln brands," Don't believe anything Ford says. They are liars.
I won't Silvy, I'll believe everything you say instead.
Old Coot Contemplation; Ford corporate entity and common workers agree to initiating some sort of "slush fund" for future use to ensure the firm can handle unexpected economic troubles, downturn, unexpected costs, whatever. Gotta' keep the firm alive if jobs are to remain. Perhaps decide upon a set amount for a slush fund and invest it as wisely as possible for the good of all involved. Use investment proceeds to pay taxes owed from the invested funds and then equitably distribute the proceeds among the workers... perhaps with a cap for those earning what? Over $250,000 yearly not eligible for the yearly payment from the slush fund's after-tax profits? Just pondering about what may not be a feasible process. But, a possible incentive for employer/employee relationship and a possible incentive for the average workers to feel as being a wanted and needed part of the firm.