Ford ’s CEO, Allan Mulally, has stated that the automaker is in a “race against the clock,” and that it’s possible its North American turnaround could be too late. Mulally — who has been at Ford for 14 months — said he is uncertain about the outcome, but is confident that Ford is using the right strategy for a possible turnaround.
In his first big move with Ford, Mulally mortgaged nearly all of the automaker’s assets in a $23.4 billion deal, putting the company’s future in jeopardy if the turnaround doesn’t work.
Mulally told Automotive News that he is often asked if the company will emerge unscathed, to which he responds; “Don’t know — race against the clock. Are we working on the right things? Absolutely. I’ve been there. I’ve seen this movie. I performed well in it. I know exactly what to do. Do we have enough time? No idea.”
Mulally continued by saying he can’t worry about time. “The more you worry about worrying, as opposed to worrying about doing, then you’re going to put this at risk,” he said. “So let’s just do the goddamn plan.”
Ford lost $12.6 billion in 2006, a trend that is expected to continue in 2007 and 2008. If the North American turnaround plan works, Ford is expected to turn a profit in 2009.
