China in auto power play
It might not shake up the industry just yet, but China's interest in Volvo and Saab is the start of something big in global autos, writes columnist Wei Gu. Commentary
AUTOSHOW-UPDATE 2-Ford eyes concession parity in UAW talks-exec
(Adds executive comments, details)
By Nick Carey and David Bailey
DETROIT, Jan 12 (Reuters) - Ford Motor Co (F.N) is in talks with the United Auto Workers and would expect similar concessions to any the union agrees upon with General Motors Corp GM.N and Chrysler LLC, a top executive said on Monday.
"At the end of the day, however you mix it, we have to be just as competitive," Mark Fields, Ford president of the Americas, told reporters at the Detroit auto show.
The U.S. government announced a $17.4 billion federal bailout in the form of emergency loans for GM and Chrysler -- controlled by private equity firm Cerberus Capital Management LP [CBS.UL] -- in late December.
U.S. auto sales dropped 18 percent in 2008, pushing both GM and Chrysler to the brink of collapse.
Ford has not sought federal loans, but is asking for a $9 billion credit line it could tap if conditions worsen.
Speaking at an event to unveil a concept model for a small, fuel-efficient Lincoln brand car, Fields said he was committed to matching North American capacity to demand for cars, as are executives in other regions.
Ford aims to "keep ahead of the market as best we can, keep the stocks in line," he said.
Ford sales chief Jim Farley told reporters at the same event that the company is focusing on reducing its dealership network in urban areas of the United States rather than in more remote, rural areas of the country.
"We're right on plan with our dealer consolidation," Farley said. "We are seeing a record level of stress financially for the dealers right now."
"But I have to stress that one of the biggest assets that Ford has is our rural dealers," he added. "(The urban markets) are where we're focusing our efforts."
Farley also said that with the U.S. economy in recession and the credit crisis ongoing, providing a forecast for nationwide sales volumes for 2009 for luxury brands such as Lincoln was all but impossible.
"I have no idea what to expect out of the luxury market this year," he said. "Of course we have specific plans ... but it's just way too early to call the luxury market." (Editing by Lisa Von Ahn and Matthew Lewis)
