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February 10, 2012
Lisa M. Krieger: Man with defibrillator demands access to his own heart's information
David G. Savage: Why activists may not be in a hurry to have High Court rule on alternative marriage
February 9, 2012
Laura McMullen: 10 Least Expensive Public Schools for Out-of-State Students
Kimberly Palmer: How to actually enjoy -- relaxing, financially -- your vacation
February 8, 2012
Warren Richey: Why momentous Prop. 8 ruling might not satisfy gay-rights groups
Menachem Wecker: Though Controversial, LL.M.'s Can Lead to Specialized Legal Jobs
The Kosher Gourmet byDana Velden: Going to the bother of making soup? You know it better be good. This CREAM OF TOMATO SOUP certainly is! And it's a cinch to make, too (Includes techinques and serving secrets)
February 7, 2012
Frank J. Gaffney, Jr.: Caught off-guard? President's Super Bowl interview with Matt Lauer gives those who need a reason not to vote for him, a darn good one
Suzanne Bohan: Leaping lizards! Tiny reptiles advancing robot design
February 6, 2012
Jonathan Tobin: Iran Threatens Israel With Destruction, But the New York Times Doesn't Hear It
Jeffrey Fleishman: In newly democratic Egypt, tens of democracy activists jailed, to stand trial; their groups are 'threatening the stability of the homeland'
Julie Deardorff : Researchers say antioxidants may not be that effective and could do more harm than good
Mark Clayton: How did Anonymous hackers eavesdrop on FBI and Scotland Yard?
February 3, 2012
Edmund Sanders : Israeli official says Iran is creating missile that could reach East Coast of US
Victoria Kim: Immigrant-smuggling ring used black drivers to avoid racial profiling
February 2, 2012
Jim Carney: Wrong number call may have saved her life
Reza Kahlili : Ex-CIA spy in Iran's Revolutionary Guard: What Obama doesn't grasp about striking deals with Tehran
Tina Susman: For woodchuck rescuer, every day is Groundhog Day
February 1, 2012
Brian Bennett: US officials see increasing threat of domestic attack from Iran
Emily Brandon: How to Take Advantage of New 401(k) Fee Disclosures
January 31, 2012
January 30, 2012
Paul Richter and Ramin Mostaghim: Misreading Teheran's limits -- deadly and economically devastating as they may be -- is a risk administration, Europe seem willing to take
Suzanne Bohan: Warning: Nap-deprived tots missing more than sleep, study finds
Meg Handley: Banks Revamping Rewards Programs to Woo Customers
January 27, 2012
Caroline B. Glick: Obama: Of course I intend to prevent a nuclear holocaust . . . in a few months
Yochonon Donn: In liberal New York City, fervently-Orthodox Jews may soon be getting a district to call their own
Jeannine Stein: An inflated ego and thinking you're 'all that' doesn't just make others sick of you, it can make you ill
Katy Hopkins: New budget rules may affect how much money you get for college
January 26, 2012
Ed Koch: To the New York Times, calling for the murder of Jews by those capable of having their incitement taken seriously isn't news
Jeannine Stein: Mental illness struck one in five U.S. adults in 2010: Report
January 25, 2012
Richard Simon: House passes two bills endorsing the use of religious symbols at military memorials
Fred Weir: Putin: Multiethnic Russia cannot survive as a US-style 'melting pot'; must find its own way
Susan Johnston: 5 Sneaky Coupon Strategies Consumers Should Watch Out For
January 24, 2012
Carol Clark: The price of your soul: How your brain decides whether to 'sell out'
Caroline B. Glick: America lost most in 'Arab Spring'. Sadly, many voters still don't grasp the extent
Warren Richey: Drug criminal scores win in GPS ruling from conservative-leaning high court
Erika Bolstad: Black conservatives gather to talk about gaining strength
January 23, 2012
Melissa Dribben: Jewish voters to play a key role in Florida's Republican primary
Jordan Rau: In quest to grow, Catholic hospital system will announce this morning its break from church
Ali Safi: U.S. envoy gives Taliban terms for peace talks
January 19, 2012
January 18, 2012
January 17, 2012
Frank J. Gaffney Jr.: No-kidding red lines: U.S. response to an Iranian nuke may be bluster, but Israel's won't be
David G. Savage: They sued their principals after slandering them online --- now the cases are headed to the Supreme Court
David Francis: Where to Invest in 2012: With stocks expected to rebound, opportunity abounds for investors
January 13, 2012
Ben Lynfield: Israeli lawmakers move to annex Jewish Judea, one museum at a time
Alexia Elejalde-Ruiz: Thriving through touch: Gentle massage helps older people with low mobility improve in mind and body
January 12, 2012
Warren Richey: Landmark Supreme Court ruling a 'resounding win' for religious groups
Warren Richey: Supreme Court says no to new rule on eyewitness testimony
John Fauber : Statins found to raise diabetes risk in postmenopausal women
Katy Hopkins : Consider This Before You Pay for an Online Degree
The Kosher Gourmet by Joseph Erdos: This mushroom and barley soup has an intense -- almost nutty -- flavor that mixes robust with Middle East. It has creaminess without cream
January 11, 2012
Shari Roan: Millions of atrial fibrillation sufferers at risk for devastating, but preventable, stroke
Tom Hussain: Pakistan -- recipient of more than $21 billion in civilian and military aid -- speeds pursuit of Iranian pipeline, defying US
David G. Savage: High court signals it won't be loosening TV's 'indecency' rules
Stephen Ceasar: Oklahoma's Islamic law amendment can't go into effect, court rules
January 10, 2012
Reza Kahlili: From an ex-CIA spy: US must exploit new split in Iran's Revolutionary Guard
Karen Kaplan: Study: Nicotine replacement products ineffective when used in real-life situations
January 9, 2012
Michael Doyle: Put through legal hell over dream home, couple fought back hard --- all the way to Supreme Court
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Jewish World Review
Dec. 18, 2008
21 Kislev 5769
Seeking a Ford in our future
By
George Will
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http://www.JewishWorldReview.com |
DEARBORN, Mich. Designed by architects from Skidmore, Owings and Merrill, the Chicago firm that created many icons of postwar modernism, Ford's headquarters building has the sleek glass-and-steel minimalism that characterized up-to-date architecture in the 1950s, when America was at the wheel of the world and even buildings seemed streamlined for speed. Ford's building opened in 1956, a peak of American confidence one year before Sputnik shook Americans' faith in their technological supremacy and the Edsel shook their faith in the acumen of a corporate America grown slothful from complacency.
Today the building is home to high anxiety. Yet CEO Alan Mulally, a boyish 63, seems preternaturally pleased, in spite of his recent participation in Congress's ritual pillorying of the leaders of the so-called Big Three auto companies. Ford took a full measure of the abuse for the failures of "Detroit," while asking for none of the money urgently sought by General Motors and Chrysler, a.k.a. the "Too Big One, and a Fraction."
Twenty-seven months ago, Mulally, who probably thought he had seen the worst that events could throw at his business career, came to Ford from Boeing. There, when civilian aviation became collateral damage of Sept. 11, he presided over downsizing the work force from 127,000 to 52,000. One of his first moves at Ford was one of the great gambles in U.S. business history: He borrowed $23.5 billion, most of it secured by almost all of Ford's assets, even the intellectual property in the company's blue oval logo. Today, Mulally says "Ford would have adequate short-term liquidity" even if throughout 2009, industry sales levels were worse than in October 2008. That is why Ford is not asking Congress for money. It is asking only for access to money if there should be what Mulally delicately calls "a significant industry event."
By that he means GM filing for bankruptcy, which would, he believes, threaten many of the nation's 3,000 parts manufacturers, which already are owed $13 billion from the three domestic companies. Ford uses 80 percent of the suppliers GM and Chrysler use, and 25 percent of Ford's highest-volume dealers also own GM and/or Chrysler dealerships. That is why Mulally appeared like a good soldier before Congress with his GM and Chrysler counterparts as those two pleaded for cash to avoid bankruptcy.
Mulally says bankruptcy, which has become almost routine for airlines, would be fatal for a car company: Passengers will fly on an airline undergoing reorganization in bankruptcy because their tickets are short-term transactions, whereas customers cannot be confident that a car company in bankruptcy will be around to honor its warranties years hence.
While Mulally was at Boeing, where he was responsible for developing what became the very successful 777 aircraft, he brought to Seattle for consultation the Ford team that had made the Taurus the best-selling car in America for five years. The Taurus, however, became stale and was discontinued in October 2006 after being supplanted by Toyota's Camry.
It has, however, come back and is being revamped as part of plans to build all the company's products on a few "platforms" powertrains, underpinnings, suspension systems. Many of these platforms are currently used in cars that are consistently profitable in the European, Asian and Latin American markets.
Having reduced its workforce 50 percent in three years, by February Ford will have cut salaried personnel costs 40 percent. Most important, it is now on a path to prune, soon, almost half of what have been 76 nameplates. Having shed Aston Martin, Jaguar and Land Rover, it seems to be moving toward the sale of Volvo and of what remains of its reduced investment in Mazda. Soon the company will consist of Ford, Lincoln and perhaps Mercury, with consolidated dealerships (currently 3,790, down from 4,396 three years ago).
Total industry sales in America this year about 10.5 million, down from 17 million in 2005 are, on a per capita basis, the lowest since World War II. There is zero likelihood of industry sales sufficient for three U.S. companies to share them profitably with "transplants" factories producing cars with foreign nameplates. A 1979 bailout enabled Chrysler to survive to announce yesterday a month-long sabbatical from manufacturing. It almost certainly will not survive.
So the task of the proposed "car czar" silliness on stilts would be to supervise the pruning of GM's nameplates and dealerships. Anyway, the most qualified person for that ill-conceived and unenviable position already has a more promising job, as Ford's CEO.
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