💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

Ford resuming production of lucrative F-150 trucks on Friday

Published 05/16/2018, 05:36 PM
© Reuters. FILE PHOTO:    FIle photo of then all-new Ford 2015 F-150 pickup trucks moving down the final inspection line at the Ford Rouge Center in Dearborn
F
-

DETROIT (Reuters) - Ford Motor Co (N:F) said on Wednesday that production of its popular and highly profitable F-150 pickup trucks would resume on Friday at its Dearborn, Michigan, plant, which had been closed for more than a week because of parts shortages caused by a fire at a key supplier.

The No. 2 U.S. automaker also said production would resume on Monday at a second F-150 plant in Kansas City, Missouri, as well as its F-series Super Duty truck plant in Louisville, Kentucky.

Production of the Expedition and Navigator SUVs continues without interruption at Louisville, Ford said.

The F-150 full-size pickup is the best-selling vehicle in the United States. The vehicle generated $41 billion in revenue last year, about 28 percent of total sales and the lion's share of Ford's profits.

In a media briefing on Wednesday, Ford executives said the May 2 fire at the Meridian Magnesium Products plant in Eaton Rapids, Michigan, affected several automakers, but its team was the first to enter the fire-damaged plant "while it was still smoldering."

Working with Meridian and other suppliers, Ford said it moved 19 dies - used to shape magnesium parts - out of the Eaton Rapids plant in 30 hours. After inspecting and repairing the dies, Ford said some portions of the Eaton Rapids facility were able to restart production.

The automaker also flew one die weighing 87,000 pounds (39.5 tonnes) to a Meridian plant in Nottingham, England, after commissioning a giant Russian-built Antonov cargo plane - one of only 21 in the world.

Ford said it expected an adverse impact of 12 to 14 cents per share on second-quarter earnings, but affirmed its full-year guidance, saying it believed it could make up most of the lost production.

© Reuters. FILE PHOTO:    FIle photo of then all-new Ford 2015 F-150 pickup trucks moving down the final inspection line at the Ford Rouge Center in Dearborn

Ford shares closed up 1.6 percent at $11.40.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.