Ford this weekend said its quality-related costs have increased by $500 million this year over the first nine months of 2004. The rising quality costs stem largely from increased warranty expenses for 2004 models, including a trouble-plagued diesel engine for heavy-duty trucks, the Detroit News reported. Ronald Tadross, auto analyst for Banc of America Securities, said he suspects poor supplier relations are to blame for many of Ford’s problems, the newspaper reported. He said Ford has outsourced too many of its parts, giving the automaker less control over quality.
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