The markets have sanctioned the title lost 2

Ford takes the hand brake and GM throws the foot. After a loss of $ 1.3 billion and a fall in its local sales of 10 in the first half, Ford, second American automaker, announced Friday, a 21 reduction of its North American in the fourth quarter and 9 for the whole of the year. For its part, Rick Wagoner, the CEO of General Motors (GM), said the Detroit firm reduced its North American production in the summer from 7 to 8, because it anticipates sales moderate in the next two months. "I am not sure this is bad news", he added about the slowdown of production lines.

At Ford, the measure, which should translate into a reduction in the production of 168.000 vehicles, after the announcement in January of 30,000 job losses and the closure of 14 North American factories between 2006 and 2012. "We know that this decision will have an impact very hard on our employees and our suppliers," said the boss, Bill Ford, in a letter to its employees. "But it is the right time for our customers, our dealers and our long-term future."

The vicious circle of discounts

The affected vehicles are the pickup and SUV, whose sales are faltering as the price of gasoline increases. Since January, the pick-up truck series F cow Ford milk saw sales decline by 12.3. In July, they fell by 44 in July 2005, which had benefited from strong promotions. The decline in sales is less at GM, but it has nevertheless reached 19.5 over the same period of reference for all of the models. In the second quarter, all segments and regions, GM accused a net loss of $ 3.2 billion, after a profit of 445 million in the first quarter and a historic net loss of 10.6 billion in 2005.

With these production cuts, American manufacturers want to adjust supply to demand, not the contrary. Through this, they hope to break the vicious circle of discounts that affect them financially and reduce the value of the vehicles for resale.

Unlike the European market, where the customer buys its new car on command, the U.S. market is characterized by the fact that dealers accumulated sales-ready cars. The buyer must choose among vehicles that are presented. It is for these stocks that producers increase the discount. "We promised in January to build vehicles on the basis of what ask customers rather than offer the plants", said Bill Ford employees, without specifying the cost of these measures.

Sanction of markets

The group plans to express themselves in September on an acceleration of its restructuring program. According to the Wall Street Journal, may announce new closing factories and reductions in wages from 10 to 30. A spokesman refused to comment on.

The markets have sanctioned the title, lost 2.08, to $ 8, Friday at the New York Stock Exchange. For its part, the financial rating agency Fitch degraded note long term of the group "B " to "B", now its negative perspective. S & P and Moody's could do the same.

Rick Wagoner, for its part, took his intervention before a professional to clarify that there was nothing new in the project folder of an alliance with French manufacturers Renault and Japanese Nissan. "This advances the planned program", he said, stressing that the two sides continued to Exchange and gather information.

In July, GM and Renault-Nissan did agree to study the feasibility of a marriage to three and will are given a period of ninety days for this review.