Ford revises pledge of profits

DEARBORN, Mich., May 22 (UPI) -- Ford Motor Co. said it could not guarantee a profitable year in 2008 as U.S. consumers are backing away from its more profitable large cars and trucks.

In a conference call with reporters, Chief Executive Officer Allan Mulally said the company's job buy-out program would be offered to workers at more plants and Ford was considering lay-offs, The Detroit News reported.

Already on track to cut $5 billion from operating costs this year, the Dearborn, Mich., carmaker said it would accelerate the switch to fuel-efficient vehicles by increasing production of the Focus, Fusion, Edge and Escape. It would also increase output for the Mercury Milan and Mariner and the Lincoln MKZ and Lincoln MKX, the News reported.

"The challenge affecting the entire industry is the accelerating shift in consumer demand away from large trucks and SUVs to smaller cars and crossovers," Mulally said.

Ford had previously pledged it would make a profit in 2008.

"Overall, we expect to be about break-even company-wide in 2009 -- with continued strong results in Europe and South America," Mulally said.