Saturday, July 28, 2012

Will Ford turn to aluminum for body of next F-150? Maybe.


According to The Wall Street Journal, Ford intends to utilize aluminum for the body of its next-generation F-150. In order to meet tightening fuel economy regulations, the WSJ says Ford will turn to the lightweight material, which could cut curb weight by a whopping 700 pounds. Working in tandem with more efficient powertrains, that weight loss could result in a whopping 25-percent boost in fuel economy.

But not so fast, suggests spokesman Said Deep. In regards to the reported aluminumization of the F-Series, Deep tells The Detroit News that "It is premature to discuss specific approaches or solutions that we might use for future product," a quote, we note, that is not necessarily an outright denial.

Industry analyst Jim Hall of 2953 Analytics points out that while some F-150 components are already aluminum, it is also a tougher material to work with. "Full-aluminum structured vehicles are much more expensive to insure because they are much more expensive to repair." Not only that, Hall notes, but not every body shop knows how to work with aluminum. Thus, it's unsurprising to learn that the original WSJ report suggests only that the next F-150's bodywork may be rendered in aluminum, not the chassis.

While there may be manufacturing hurdles in switching over to aluminum, perhaps more difficult will be determining its impact on sales. The F-150 is one of the industry's perennial best-selling vehicles, and it's uncertain how diehard truck buyers might react to a move away from steel, particularly if it sends costs upwards. Of course, Ford recently took on another pickup buyer taboo and registered a resounding victory – challenging the long-held notion that full-size buyers won't buy anything other than a V8 in real volume.
































Ford recalling 485,000 2001-04 Escapes to fix unintended acceleration threat


It was just last week that the 2013 Ford Escape suffered two separate recalls mere days apart, and today, we have news of a third.

This latest recall affects 485,000 2001-2004 Escapes with the 3.0-liter V6 engine and cruise control. These vehicles could experience unintended acceleration caused by their cruise control cable interfering with the throttle cable when the cruise is engaged. The potential interference between the two cables was not present when these vehicles left the factory, but rather was introduced later by repair procedures for another recall.

Ford originally recalled these Escapes in December 2004 to address an accelerator cable assembly defect. After discovering that its repair procedure could cause new problems, the automaker updated the repair procedure in October 2005. By that time, however, The Detroit News reports that 320,000 Escapes had already been fixed using the old procedure and their owners were never notified of the potential damage that was caused.

The National Highway Traffic Safety Administration has reports of 99 incidents alleging unintended acceleration in 2001-2004 Ford Escapes, as well as its mechanical twin at the time, the Mazda Tribute. Of those, 13 crashes and nine injuries were reported. In January, a 17-year-old died in Arizona while driving a 2002 Ford Escape that had been repaired before the updated repair procedure was available.

Ford's decision to implement this recall comes a week after the automaker was called out by the consumer group Center for Auto Safety to dispense with any investigation and recall the vehicles immediately.



Vehicle Make / Model:
Model Year(s):
FORD / ESCAPE
2001-2004

NHTSA Campaign ID Number:
12V353000

Summary:
Ford Motor Company is recalling certain model year 2001 through 2004 Escape vehicles equipped with 3.0L V6 engines and speed control manufactured from October 22, 1999, through January 23, 2004. Inadequate clearance between the engine cover and the speed control cable connector could result in a stuck throttle when the accelerator pedal is fully or almost-fully depressed. This risk exists regardless of whether or not speed control (cruise control) is used.

Consequence:
A stuck throttle may result in very high vehicle speeds and make it difficult to stop or slow the vehicle, which could cause a crash, serious injury or death.

Remedy:
Ford will notify owners, and dealers will repair the vehicles by increasing the engine cover clearance, free of charge. The safety recall is expected to begin on, or before, August 6, 2012. Remedy parts are expected to be available in mid-August 2012. Until then dealers will disconnect the speed control cable as an interim remedy, if parts are not available at the time of an owner's service appointment. Owners may contact Ford at 1-866-436-7332.

Notes:
Ford's recall campaign number is 12S37. Owners may also contact the National Highway Traffic Safety Administration Vehicle Safety Hotline at 1-888-327-4236 (TTY 1-800-424-9153), or go to www.safercar.gov.

Chevy earns most nods in 2012 J.D. Power APEAL study... sort of


On first glance, General Motors seems to have a lot to crow about in the latest JD Power APEAL rankings. After all, its Chevrolet brand claimed three segment awards – the most of any single brand – and Cadillac finished tied for eighth place overall in the 2012 edition of the study. But upon closer inspection, the results may not be quite so rosy for The General.

The APEAL study ranks new vehicles for how "gratifying" they are, based on owner evaluations of some 80 attributes. Yes, this is something of an automotive popularity contest. And the problem for GM is that, overall, its customers just don't like its products as much as those who buy from other carmakers.

Buick, Chevrolet and GMC all scored below the industry average in the 2012 APEAL study. Despite Cadillac's top ten ranking, the only luxury brands it managed to beat were Acura, Lincoln and Volvo, luxury bottom-feeders all. To be fair, we should note that Toyota, Honda, Hyundai and Nissan also failed to finish above the industry average, though both Ford and Chrysler did, but barely.

The Chevrolet vehicles that claimed segment awards sent something of a mixed message. While the Sonic finishing first among subcompacts has to be seen as a huge win for GM, the other segment awards went to the Volt and Avalanche, in the compact and large pickup categories, respectively. The Volt is a great car, but it isn't a volume product and the Avalanche is a dead truck walking, slated to go out of production after the 2013 model year. The only other GM vehicle to make the top three in any segment was the Cadillac Escalade in the mostly moribund Large Premium Crossover/SUV. Nary a Buick or GMC is to be found on the list in any position.

Meanwhile, down I-94 in Dearborn, Ford has six vehicles in the top three in their respective segments, including winners in Large Crossover/SUV (Expedition) and Midsize Crossover/SUV (Flex). Even Chrysler managed to snag two segment awards (Dodge Challenger and Charger) and land three other vehicles in the top three in their segments.

If we really wanted to crown an APEAL winner, that title might just go to Audi, whose A8 had the highest score of any model and also won a segment award for the A6, while placing third overall. Porsche, however, could rightly lay the best claim to the 2012 APEAL championship, considering it had the highest brand score and won two segments, for the 911 and Cayenne.



J.D. Power and Associates Reports: As Vehicle Appeal Improves, Owners Find That Downsizing Doesn't Necessarily Mean Downgrading

Chevrolet Receives Three Segment-Level Awards; Audi, Dodge, Ford, Kia, MINI, Nissan and Porsche Each Receive Two


WESTLAKE VILLAGE, Calif.: 25 July 2012 -- As owners continue to shift toward smaller vehicles, they are finding that the ones they buy are often just as appealing as the larger vehicles they previously owned, according to the J.D. Power and Associates 2012 U.S. Automotive Performance, Execution and Layout (APEAL) StudySM released today.

The study finds that 27 percent of new-vehicle buyers who replaced a vehicle downd--meaning they purchased a new vehicle in a smaller segment than the vehicle they replaced. In contrast, only 13 percent of buyers "upd," while 60 percent purchased a new vehicle in the same segment as their previous vehicle.

"New-vehicle buyers who down are not making the sacrifice that they once were," said David Sargent, vice president of global automotive at J.D. Power and Associates. "Automakers are heavily focused on providing the U.S. market with appealing smaller models, and buyers may be surprised at just how good some of them are."

The vehicles currently being traded in for new ones are approximately six years old, on average, according to data from J.D. Power's Power Information Network(R) (PIN). During that period of time, vehicle appeal overall has significantly increased, and today's smaller vehicles are, in many cases, more appealing than the larger vehicles being replaced. In 2012, the average APEAL Study score for vehicles in the compact/sub-compact segment is 765 points (on a 1,000-point scale), which is the same as the average for mid vehicles in the study in 2008. Similarly, in 2012, the average APEAL Study score for vehicles in the mid premium segment is 844, the same as the average for large premium vehicles in 2008.

"For many years, almost twice as many vehicle owners have downd, compared with those who have upd," said Sargent. "Although larger models continue to attain higher APEAL Study scores than smaller models, as they typically provide higher performance, have more pleasing styling, are more comfortable and include more features, owners who down find that today's compact models are not the 'econoboxes' that they may have once feared. For example, most compact vehicles are more substantial than in the past and perform much better on the road. They also have many of the features and appointments that were previously found only on larger models. Vehicle owners who down are often finding that they are actually upgrading when they buy a new vehicle."

The downsizing trend also has an impact on owner satisfaction with the fuel economy of their new vehicle. While overall vehicle appeal continues to improve, increasing seven points year over year, the greatest improvement is in fuel economy. Furthermore, 47 percent of owners say gas mileage was one of the most important factors in choosing their new vehicle, up from 40 percent in 2011.

Model-Level and Nameplate Rankings
Chevrolet receives the highest number of segment awards of all brands included in the study for the Avalanche, Sonic and Volt models.

Seven brands each receive two model awards: Audi (for the A6 and A8); Dodge (Challenger and Charger); Ford (Expedition and Flex); Kia (Optima in a tie and Soul); MINI (Countryman and Coupe/Roadster); Nissan (Frontier and Quest); and Porsche (Cayenne and 911). The Audi A8 achieves the highest APEAL Study score of any model in the industry in 2012.

Also receiving awards are the BMW 3 Series; Infiniti QX56, Range Rover Evoque; Mercedes-Benz SLK-Class; and Volkswagen Passat in a tie.

Porsche is the highest-ranking nameplate for an eighth consecutive year. Dodge, Jaguar and Ram achieve the greatest year-over-year improvements, increasing scores by 21, 20 and 19 points, respectively.

J.D. Power offers the following tips to consumers when purchasing a new vehicle:

  • Have realistic expectations about the fuel economy of your vehicle, and remember that the city/highway/combined mileage ranges listed on the window sticker are merely estimates provided by the EPA. Your actual miles per gallon will vary due to many factors, including driving and weather conditions, driving style, tire inflation and the overall condition of your vehicle.
  • Know the type of fuel your prospective new vehicle requires, including premium unleaded or diesel, and take that into account when budgeting for it.
  • Before you buy, ask your salesperson to demonstrate all of the audio/entertainment/navigation features on the vehicle. Also, have them assist you in connecting your mobile device or portable audio player to the vehicle's communication system or audio interface in order to test for a good hands-free connection and to make sure the system recognizes your commands.
  • Although exterior styling is the highest-scoring category in the 2012 APEAL Study and often the most significant purchase reason for many buyers, consider all aspects of a vehicle to ensure that in addition to looking good to you, it also meets your needs. Some vehicles that look good may have design-related issues, such as being hard to see out of, or may not offer the cargo space you desire.
The APEAL Study examines how gratifying a new vehicle is to own and drive, based on owner evaluations of more than 80 vehicle attributes. The 2012 APEAL Study is based on responses gathered between February and May 2012 from more than 74,000 purchasers and lessees of new 2012 model-year cars and light trucks who were surveyed after the first 90 days of ownership. The APEAL Study complements the Initial Quality Study (IQS), which focuses on problems experienced by owners during the first 90 days of ownership.



Ford reports 58% drop in Q2 profits on European losses



Ford Motor Company announced Wednesday that it has posted a $1 billion profit for the second quarter of 2012. That sounds like good news for the Blue Oval, until you take into account that Ford posted a $2.4 billion profit for Q2 a year ago. That is a substantial 58 percent loss.
Ford also posted $465 million in international losses, with $404 million of those losses coming directly from Europe. The automaker also increased its European loss projections to $1 billion for 2012, due in large part to the economic crisis overseas, which has resulted in increased unemployment and decreased consumer confidence.

The $404 million loss actually beat out loss projections for this quarter, based on estimates from a month ago. The result was a 1.8 percent increase in Ford's stock, based on pre-market trading this morning.
Ford's North American unit posted a profit of $2 billion in Q2 – the second economic quarter in a row in which the company posted profits in excess of $2 billion.
Additionally, the investor service Moody's returned the Blue Oval's investment grade to its 2006 status. If you recall, that was when the company leveraged nearly everything, allowing it to avoid government bailout. Before this news, Fitch Ratings had restored Ford's investment grade as well.
• Second quarter pre-tax operating profit was $1.8 billion, or 30 cents per share, a decrease of $1 billion
from second quarter 2011. Ford has now posted a pre-tax operating profit for 12 consecutive quarters
• Second quarter net income was $1 billion, or 26 cents per share, a decrease of $1.4 billion from second
quarter 2011, reflecting lower operating results except for Ford North America and higher tax expense
• Solid second quarter results were driven by Ford North America and Ford Credit; challenges at Ford Europe and Ford South America are being addressed through the company's One Ford plan
• Total Automotive pre-tax operating profit was $1.4 billion, a decrease of about $900 million from second quarter 2011
• Ford North America recorded second straight quarter with profits of more than $2 billion and operating margin exceeding 10 percent
• Ford Credit reported a pre-tax operating profit of $438 million, a decrease of $166 million from second quarter 2011, in line with expectations
• Revenue was $33.3 billion, a decrease of $2.2 billion from second quarter 2011
• Ford ended the quarter with $33.9 billion in total Automotive liquidity, an increase of $1 billion compared with first quarter 2012
• Ford expects full year total company pre-tax operating profit to be strong, but lower than 2011, with positive Automotive operating-related cash flow

DEARBORN, Mich., July 25, 2012 – Near-record profits in North America and continued strong performance from Ford Credit helped the Ford Motor Company [NYSE: F] deliver its 12th consecutive quarterly pre-tax operating profit as it reports second quarter 2012 results today.
The company reported a pre-tax operating profit of $1.8 billion, or 30 cents per share, and net income of $1 billion, or 26 cents per share. The company also continued to generate positive Automotive operating-related cash flow, and ended the period with a strong liquidity position of $33.9 billion, an increase of $1 billion during the quarter.
"The Ford team delivered another solid quarter driven by the strength of Ford North America and Ford Credit," said Alan Mulally, Ford president and chief executive officer. "We remain absolutely committed to continuing to make progress on our One Ford plan, including dealing decisively with near-term challenges, investing for future growth, and developing outstanding products with segment-leading quality, fuel efficiency, safety, smart design and value."
Second quarter 2012 net income was affected by lower operating results and the impact of higher tax expense compared to a year ago that resulted from the release of the tax valuation allowance in the fourth quarter of 2011.
Ford finished the second quarter with Automotive gross cash of $23.7 billion, an increase of $700 million during the quarter. Automotive debt of $14.2 billion at the end of the second quarter was up from $13.7 billion at the end of the first quarter, primarily reflecting additional drawdowns of low-cost loans for the development of advanced vehicle technologies. The company will make its last draw on these loans by August 2012, and repayment of the loans begins in September 2012.
Ford also made payments of $800 million to its worldwide funded pension plans, of which $500 million were discretionary payments to U.S. funded plans, in line with the company's previously-disclosed long-term strategy to de-risk its funded pension plans. Dividends paid in the quarter totaled nearly $200 million. Automotive gross cash exceeded debt by $9.5 billion at the end of the second quarter, a net cash increase of $200 million during the quarter.

AUTOMOTIVE SECTOR The decrease in total Automotive pre-tax operating profit and operating margin was more than explained by lower results at Ford Europe, Ford South America, and Ford Asia Pacific Africa.
Ford North America

For the second straight quarter, Ford North America pre-tax operating profit exceeded $2 billion, and operating margin exceeded 10 percent. The increase in pre-tax results compared with strong performance in 2011 reflected higher net pricing, improved contribution costs, and other factors, offset partially by higher structural costs for growth, and unfavorable volume and mix including an adverse change in U.S. dealer stocks.
The company's outlook for full year North America 2012 profits remains unchanged. Ford expects significantly higher pre-tax operating profit and margin compared with 2011, as consumers continue to respond to the company's strong product line-up, including the recently-launched all-new Escape and the all-new Fusion launching in the second half of this year. Ford also remains committed to maintaining its competitive cost structure in North America.
Ford South America
Pre-tax operating profit and operating margin, while slightly positive, declined substantially compared with a year ago due to lower volume, higher costs, and unfavorable exchange. Although net pricing was higher compared with a year ago, it was constrained compared with recent periods by a more intense competitive environment.
Although the company continues to expect that Ford South America will be profitable for the full year, it now expects the level to be substantially lower than 2011, reflecting increased competitive pressures, weakening currencies, and changes in government policies affecting areas such as trade and access to foreign currency.
Ford continues to work on actions to strengthen competitiveness in this changing environment, looking at all areas of the business to improve operating results. These actions include fully leveraging the One Ford plan, including the introduction of an all-new lineup of global products over the next two years, starting with the launch of the all-new Ranger, EcoSport, and Fusion in the second half of this year.

Ford Europe
Ford Europe's results compared with a year ago largely reflected unfavorable market factors. Volume was unfavorable due to lower industry, share and associated production adjustments to maintain dealer stocks at appropriate levels. Net pricing was lower as the industry responded to excess capacity with higher incentives. Higher contribution costs also contributed to the profit decline.
Given the deteriorating external environment in Europe, Ford now expects its full year loss in Europe to exceed $1 billion. The magnitude of this loss will be affected by a number of factors, including the overall economic environment, competitive actions, and Ford's response to these developments.
The company recognizes the seriousness of the situation in Europe, and views the challenges the industry faces as more structural than cyclical in nature. While Ford is affected significantly because of its strong presence in the region, the company understands what is needed to achieve profitability and to generate an appropriate return on investments.
"We have faced challenging situations in other parts of the business before, and successfully addressed them through our One Ford plan," said Bob Shanks, Ford executive vice president and chief financial officer. "We will continue to use our plan as the guide to address challenges and opportunities in our valued European operations.
"We are reviewing all areas of our business to address the near-term challenges, while ensuring we build a strong foundation for our future," said Shanks. "It is premature to discuss details of what our plans may be in response to the situation in Europe, but we will continue to communicate our plans at the appropriate times with all of our stakeholders."

Ford Asia Pacific Africa
In Asia Pacific Africa, market factors were strongly positive compared with a year ago, but more than offset by higher costs associated with new products and investments to support higher volumes and future growth, as well as other factors.
Ford expects results to improve in the second half of 2012, due mainly to favorable volume and mix as Ford benefits from added capacity in China and Thailand and the all-new Focus and Ranger.

Other Automotive
In the second quarter of 2012, Other Automotive reported a loss of $163 million, compared with a loss of $76 million a year ago. The loss mainly reflects net interest expense and an unfavorable fair market value adjustment, primarily from the company's investment in Mazda.

FINANCIAL SERVICES SECTOR 

Ford Motor Credit Company
The decrease in Ford Credit's pre-tax results was in line with expectations and is primarily explained by fewer lease terminations, which resulted in fewer vehicles sold at a gain, and lower financing margin. Ford Credit continues to expect full year pre-tax profit of about $1.5 billion, and total distributions to its parent of between $500 million and $1 billion. Ford Credit now projects managed receivables at year end to be in the range of $85 billion to $90 billion, and managed leverage of 8-9:1 for the foreseeable future, which is a decrease from the prior target of 10-11:1 and is consistent with its goal of achieving and maintaining a strong investment grade balance sheet.
Ford Credit remains a strategic asset for Ford, delivering high levels of quality and customer satisfaction with operating efficiencies that are among the best.

SECOND AND THIRD QUARTER PRODUCTION VOLUMES 

The increase in the company's anticipated production volume for the third quarter, compared with a year ago, is more than explained by higher volumes for Ford North America and Ford Asia Pacific Africa. Compared with second quarter 2012, the company anticipates that third quarter 2012 production will be down 45,000 units, primarily reflecting seasonal summer shutdowns in North America and Europe.

About Ford Motor Company
Ford Motor Company, a global automotive industry leader based in Dearborn, Mich., manufactures or distributes automobiles across six continents. With about 168,000 employees and about 65 plants worldwide, the company's automotive brands include Ford and Lincoln. The company provides financial services through Ford Motor Credit Company. For more information regarding Ford's products

Ford unveils Red Tails Edition Mustang GT



Engineers and designers at Ford have created a special edition Mustang to celebrate the Red Tails, the black Tuskegee Airmen who flew P51 Mustangs and bombers in World War II. To be shown at the EAA Air Venture in Oshkosh, Wisconsin, the Red Tails Mustang VIN 00051 will be auctioned during the Gathering of Eagles to support the Young Eagles, a program that gives youth a chance to experience general aviation flying.

Starting with a Mustang GT with the glass roof, the exterior gets a non-production aluminum-look paint finish with, naturally, a red tail. In addition to the red and yellow color trim, Ford has added a Boss grille and rear spoiler, Roush rockers, a GT500 rear diffuser, 20-inch Forgiotto wheels and an awesome quad exhaust setup from SVT.

Under the hood is a 2.3-liter Whipple supercharger to spice things up a bit. Inside, the special edition Mustang gets new gauges and new nav screen graphics, Red Tail logos on the seats, illuminated sill plates, tri-colored seat belts and it loses the rear seats in favor a red X-brace.

Previous special edition Mustangs for the EAA gathering, such as the Blue Angels and SR-71 Blackbirdversions, have gone for around $400,000. Have a read of the press below for all the details, as well as a video on this latest one-of-a-kind 'Stang.


Supplier to blame for Escape engine recall?


More details have surfaced in the latest 2013 Ford Escape recall, with blame for problematic fuel lines falling on supplier TI Automotive, according to Reuters. Ford told the National Highway Traffic Safety Administrationthat the defective fuel lines were "mechanically scored," which could cause the lines to leak.

The recall was announced last week, with Ford asking owners to park their vehicles because of the threat of engine fires posed by the leaky fuel lines. Yesterday it became known that Ford would be reimbursing dealers an extra $300 per customer vehicle serviced under the recall.

Ford's desire to expediently wrap up the recall and its negative publicity will surely cost the automaker, but not nearly as much as we had previously estimated. According to the report, Ford has sold 4,800 of the 11,500 Escape crossovers covered in the recall, vehicles that were built between October 8, 2011 and July 11, 2012. That means the additional $300 payments would cost the automaker $1.44 million.

TI Automotive continues to provide fuel lines for the Escape, according to Reuters, and has fixed the manufacturing problem.

Ford C-Max Energi plug-in hybrid priced at $29,995 after tax credit


The U.S. federal tax credit for plug-in vehicles maxes out at $7,500 for cars with batteries that are 16 kWh or larger. The Ford C-Max Energi plug-in hybrid doesn't have that big of a pack, so the most the feds will grant you for buying one is $3,750. Still, the Energi's just-announced price of $33,745 is competitive in the plug-in space, since most people will end up paying $29,995.

Ford calls the Energi "America's most affordable plug-in hybrid," but that would seem to be just barely the case. The $33,745 price includes destination fees. The Toyota Prius Plug-In, with those fees, is priced at $32,760, and it qualifies for $2,500 in federal tax credits, so it comes to $30,260 in the end. That's just $265 more than the Energi. To make another comparison, the regular hybrid C-Max will cost $25,995, including destination. Both of these Ford vehicles will be available later this year.

The C-Max Energi is Ford's first production plug-in hybrid and has a 20-mile all-electric range and 95 miles per gallon equivalent rating. If you'd like to build your own Ford C-Max Energi



C-MAX Energi Becomes America's Most Affordable Plug-In Hybrid as Ford Cuts Hybrid Technology Costs by 30 Percent
  • C-MAX Energi – available this fall – is Ford's first production plug-in hybrid, part of Ford's first hybrid-only dedicated line of vehicles and now America's most affordable plug-in hybrid
  • The build-and-price website for C-MAX Energi launches July 24, providing customers the opportunity to build a virtual version of the new plug-in hybrid
  • Ford C-MAX Energi plug-in hybrid is projected to deliver 550 miles of total range, including more than 20 miles in electric-only mode – more than triple the electric-only range of the Toyota Prius plug-in hybrid under U.S. Environmental Protection Agency (EPA) testing methods
  • C-MAX Energi will launch as part of Ford's power of choice strategy to deliver leading fuel economy across its lineup while tripling electrified vehicle production capacity by 2013
DEARBORN, Mich., July 24, 2012 – Ford's new C-MAX Energi – expected to offer 15 class-exclusive features, a 550-mile total range and more than 20 miles of electric-only range that is at least triple Toyota Prius plug-in hybrid's EPA-tested range – will now be America's most affordable plug-in hybrid when it goes on sale.

Available this fall for $29,995 after a federal tax credit, the C-MAX Energi is more affordable than the Prius plug-in hybrid. C-MAX Energi is Ford's first production plug-in hybrid vehicle and part of the company's first dedicated line of hybrids.

C-MAX Energi delivers a projected 550 miles of total range, a 95 mpg equivalent (MPGe) and an electric-only top speed higher than the Prius plug-in. The new C-MAX Energi also has 60 more horsepower than the Prius plug-in hybrid considering full battery power, along with class-exclusive technologies such as hands-free liftgate and active park assist for easier parallel parking.

"The Ford C-MAX Energi is within financial reach for those who want a hybrid, but is also something customers will want to reach for because of its unique look and amazing value," said Michael O'Brien, Ford electrified vehicle marketing manager. "It offers exceptional fuel economy, better features and a better price tag than a Prius plug-in hybrid, which we think will help make C-MAX Energi one of our most attractive vehicles for import customers."

Ford expects about half of C-MAX buyers to trade in competitive models – one of the highest conquest rates of any Ford vehicle. C-MAX Energi will soon be available for order at Ford Certified EV Dealers. Starting today, anyone interested can go online to build and price their ideal plug-in hybrid at this site.

Ford calls C-MAX Energi a "hybrid-plus" because it not only operates just like C-MAX Hybrid, but also features an external charge port and larger lithium-ion battery pack so owners can plug in the vehicles to fully charge the battery using either a standard 120-volt outlet or the available 240-volt charge station. The vehicle also is expected to be capable of making trips of more than 20 miles in electric-only mode and longer trips of as much as 550 miles on a single tank of gas and fully charged battery.

In California, the vehicle is expected to be AT-PZEV-compliant and qualify for much-desired access to the high-occupancy vehicle lanes that typically allow for faster travel. C-MAX Energi also is expected to qualify for additional tax credits up to $1,500 in California.

C-MAX Hybrid and C-MAX Energi figure prominently in Ford's rollout of five electrified vehicles this year. Ford's other electrified vehicles include:
  • Focus Electric: Production began late 2011; America's most fuel-efficient compact with 110 MPGe city; charge time of four hours with the available 240-volt charging station – nearly half the time as Nissan Leaf
  • C-MAX Hybrid: Coming this fall; projected 47 mpg city, 3 mpg better than Toyota Prius v
  • All-new Fusion Hybrid: Coming this fall; projected 47 mpg expected to beat Toyota Camry Hybrid by 5 mpg highway
  • Fusion Energi plug-in hybrid: Will begin production by the end of this year; aiming to be the most fuel-efficient midsize car in the world with more than 100 MPGe
Maximizing efficiencies
Starting at $33,745 – and eligible for a $3,750 federal tax credit – Ford is passing along to customers cost savings that have been achieved through various efficiencies, says Kevin Layden, director, Ford's Electrification Programs and Engineering.

Ford officials have said that the costs of its current hybrid system are 30 percent less than the costs of Ford's previous-generation hybrid systems due in large part to those cost-containment efforts.

For example, Ford has cut costs by bringing in-house the development and manufacture of many aspects of vehicles such as C-MAX Energi. The hybrid battery system, hybrid transmission system and software for C-MAX Energi all were developed in-house.

Further, by creating global vehicle platforms, Ford maximizes the use of as many shared parts and components across as many lines as possible to lower overall costs.

Ford's revamped Michigan Assembly Plant is the first facility in the world capable of building a full array of vehicles – gas-powered, electric, hybrid and plug-in hybrid – all on the same production line. That means C-MAX Energi is being built on the same line as C-MAX Hybrid, Focus, Focus Electric and Focus ST. More details about MAP can be found here.

Maximizing experience
While the C-MAX Energi nameplate is new to the U.S. market, the technology and design has proven itself already in other ways and in other places with its fresh, modern style that provides plenty of utility.

Since 2010, more than 144,000 units of the five-passenger C-MAX gasoline and diesel versions have been sold in Europe – where the market is growing for vehicles slightly larger than compacts like Ford Focus and smaller than SUVs like Ford Escape. Though Ford is concentrating on hybrid versions of C-MAX in the U.S., the designs of C-MAX Energi and C-MAX Hybrid are based on the gasoline- and diesel-powered European version.

Like C-MAX Hybrid, C-MAX Energi has projected total system horsepower of 188 – reaching a peak of 195 with a fully charged battery – stemming from the combination of a gasoline engine and a battery-driven electric motor. When powered by gasoline, C-MAX Energi uses the all-new 2.0-liter Atkinson-cycle four-cylinder engine – powerful and fuel efficient and among the most advanced non-turbocharged four-cylinder powertrains Ford has ever offered.

Because owners plug in to charge the advanced lithium-ion battery in C-MAX Energi, the vehicle is able to achieve increased electric mode and total range. Lithium-ion batteries are lighter, more efficient and more powerful than nickel-metal-hydride batteries used in first-generation hybrids. They also promote faster charging times.

C-MAX Energi also benefits from 20 years of research and innovation behind the software and hardware technology it offers, incorporating many of the nearly 500 patents Ford holds in the area of hybrid technology.

For example, C-MAX Energi offers the latest generation of SmartGauge® with EcoGuide. Designed to help drivers get the most from C-MAX, information such as instantaneous fuel economy can be displayed on one of two 4.2-inch LCD screens, helping drivers more closely monitor how their driving behavior affects the vehicle's efficiency.

In the right cluster, redesigned imagery of green leaves shows overall driving efficiency. The left cluster shows Brake Coach, a feature that helps drivers optimize their use of the regenerative braking system so that driving range can be enhanced through proper braking techniques.

Available for C-MAX Energi is the MyFord® Mobile smartphone application that allows users to monitor charging, receive alerts, find charge stations, plan trips and do more from their smartphones or computers for an effortless transition to an electrified vehicle lifestyle.










Ford paying dealers $300 to fix each recalled Escape


How important is the launch of the redesigned Escape to Ford? Apparently enough that Dearborn is throwing money at dealers to try and make the new model's teething problems go away, and fast.

According to The Detroit Free Press, Ford is giving dealers a $300 spiff for each recalled 2013 Ford Escape they repair for a customer, with a goal of having all 11,500 Escapes that have been recalled for potentially leaky fuel lines fixed within two weeks. The recall is a particularly serious one, as it could lead to an engine fire.

Some simple math says that Ford could pay out as much as $3.45 million in extra compensation to its dealers. Clearly the company wants to avoid the problems it had launching the original Escape in 2000, which was recalled multiple times soon after going on sale.

Ford is recommending 2013 Escapes subject to the recall not be driven until repaired, and customers are being issued loaner vehicles in the meantime, according to the report. Dealers have also been instructed to top off the tanks and wash and vacuum the vehicles they service under the recall.