Ford Posts First Full-Year Profit Since 2005

• ZWICK 4 PREZ

  

  http://online.wsj.com/article/SB10001424052748704878904575030810228573890.html?mod=WSJ_hps_LEFTWhatsNews
  
  

  WSJ Online / Copyright 2009 Dow Jones & Company, Inc. All Rights Reserved / By Jeff Bennett
  
  
  DETROITFord Motor Co. swung to its first annual profit since 2005, helping the auto maker further distance itself from its troubled U.S. rivals while stoking consumer buzz about the company and its vehicles.
  
  Net income for the fourth-quarter was $868 million, or 25 cents a share compared with a loss of $5.98 billion, or $2.51 a share. Excluding items, the company reported a 43-cent earnings-per-share profit, exceeding the Thomson Reuters analyst estimate of 26 cents a share. The auto maker's fourth-quarter revenue was $35.4 billion.
  
  Ford's full-year 2009 profit was $2.7 billion, compared with a loss of $14.7 billion the previous year. Revenue for the full-year revenue was $118.3 billion.
  
  The results give Chief Executive Alan Mulally bragging rights on his turnaround plan since he wasn't anticipating an annual profit until 2011. Mr. Mulally has worked internally to improve production, slash jobs, sell off brands and unite the company since his arrival in 2006.
  
  The second-largest U.S.-based auto maker must now weather a fragile automotive market especially in Europe, where the loss of incentive programs is expected to reduce overall industry sales by as much as 2 million vehicles this year.
  
  Meanwhile, the company will have to shrink its total debt which stood at $36.8 billion at the end of the year, almost twice the size of General Motors Co. which, along with Chrysler Group LLC, filed for bankruptcy protection earlier this year.
  
  The Dearborn, Mich., auto maker increased its first-quarter production forecast, saying it will now build about 570,000 vehicles compared with its earlier estimate of 550,000.
  
  Ford said it will pay profit sharing to about 43,000 U.S. hourly workers as part of its improved 2009 U.S. financial performance. The average amount will be about $450 per employee. The auto maker,however, will not pay salaried employees bonuses for 2009 although they are eligible for merit increases this year. The company also reinstated its matching 401(k) program on Jan. 1.

• sjmvsfscs08

  I put all my eggs in one basket last week by selling all my stocks and putting them into Ford. Smart thing to do? Probably not. May the risk be worth the reward? I hope so.
  
  It's amazing what can happen when the government doesn't control the company...
• derek bomar

  

  I am an idiot and should bought the stock when it bottomed...I knew it was undervalued but didn't pull the trigger. FML.
• Gobuckeyes1

  Ford said it will pay profit sharing to about 43,000 U.S. hourly workers as part of its improved 2009 U.S. financial performance. The average amount will be about $450 per employee. The auto maker,however, will not pay salaried employees bonuses for 2009 although they are eligible for merit increases this year. The company also reinstated its matching 401(k) program on Jan. 1.

  From a political and PR standpoint, this is a brilliant move. You can argue whether it's fair to the salaried employees or not, but it's still smart in today's climate.
  
  Ford just seems to "get it". Good leadership and decision making.
• thedynasty1998

  

  Yea, I just started buying Ford lately, too bad I was too dumb to buy it when it was around $1.
• dont_belong

  

  Glad to see that Ford's lone wolf spirit by not taking bailout money is paying off for them. More people are going to support them over the other American companies that did take the bailout. Looks like I too missed out on a chance to make some real money in Ford stock.
• dave

  Nice to see. Never owned a Ford but am considering getting one later this year. The Toyota struggles will only help them.
• gorocks99

  

  I'm gonna say this is all due to Chevy having douchey Howie Long commercials.
• power i

  

  Hubby's looking at trucks and is pretty sure he'll get a Ford, based in part that they didn't take the bailout.
• raiderbuck

  Hopefully the stock will continue to grow. I may come into some money soon, and I'm definitely looking at purchasing some Ford shares
• End of Line

  

  gorocks99 wrote: I'm gonna say this is all due to Chevy having douchey Howie Long commercials.

  
  
  Great news to hear from Ford.
• jmog

  Glad I bought some Ford stock when it was $1. Bought it right around when I found out they weren't taking bail out money.
• LJ

  

  I bought a bunch of shares of F when it was in the $3-4 range and bought a bunch of Bershire Hathaway B way before the split. 2010 is turning out to be my best year in the stock market ever.
• sjmvsfscs08

  While we're talking stocks, Libbey Glass is another company I'd throw cash at too...