Monday, October 31, 2011
For Advertising Information Contact Your Local Cars.Com On-The-Move Sales Team at 599-2329
Detroit ratings drop in reliability survey By Brent Snavely Detroit Free Press
The respected Consumer Reports magazine on Tuesday gave Detroit’s recovering auto industry a blow to the gut. Chrysler was the one bright spot, moving from bottom of the barrel last year to the middle of the pack this year. Still, the magazine noted that Chrysler has many models it cannot recommend to buyers. “Even with Chrysler’s improvement, Detroit models still have reliability problems,” it concluded after conducting its annual survey of 1.3 million members. The news was damaging to Ford, which had been riding a wave of improved quality that has boosted its image, sales and profits. In 2008, the magazine put a Fusion on its cover and declared Ford “on par with good Japanese automakers,” a reputation that mostly has held up since. Not this year. The Ford brand dropped 10 spots in the rankings, to No. 20 among 28 brands — far below Asian rivals who dominated the top 10 rankings. General Motors posted a mixed performance. Chevrolet held steady at No. 17. Buick and GMC dropped in the rankings, along with Cadillac, which placed 25th. On Wednesday, Ford reported earnings of $1.6 billion, or 46 cents a share, in the third quarter, $38 million less than a year earlier, but better than analysts’ consensus of 44 cents a share. Sales rose 14.1 percent to $33.1 billion as the Dearborn
The Ford brand dropped 10 spots in the rankings, to No. 20 among 28 brands — far below Asian rivals who dominated the top 10 rankings. General Motors posted a mixed performance. Chevrolet held steady at No. 17. Buick and GMC dropped in the rankings, along with Cadillac, which placed 25th. automaker sold 1,346,000 vehicles, or 93,000 more than it sold in the third quarter of 2010. “We delivered solid results despite an uncertain business environment by continuing to serve our customers around the world with bestin-class vehicles,” said CEO Alan Mulally. Ford was profitable in North and South America, but lost money in Europe, Asia-Pacific and Africa.
Japanese lead pack in reliability survey Japanese automakers continued to dominate the top spots in the Consumer
Reports’ annual automotive reliability survey, despite recalls, tsunamis and competitors who had gained ground in recent years. Nine out of the top 10 brands in the annual survey were from Japanese companies. Toyota’s Scion brand was ranked No. 1, followed by Lexus, Acura, Mazda, Honda, Toyota, Infiniti, Subaru and Nissan. The German Volkswagen brand placed 10th. “They still lead the pack,” David Champion, director of Consumer Reports’ Automotive Test Center, said Tuesday of the Japanese automakers. “Although the domestics have improved, they still have a ways to go to really get to the best manufacturers that are out there.” Consumer Reports’ survey results are based on responses from 1.3 million subscribers to Consumer Reports or its website. The magazine uses the results to predict reliability for new 2012 models. The flaws in Ford’s MyFord Touch infotainment system go beyond how it functions, Champion said. The design of the touch-screen system causes drivers to get distracted, he said. “When you are trying to ... press the right button area on the screen ... you keep on taking your eyes off of the road,” Champion said Tuesday when he spoke at the Automotive Press Association. Negative consumer survey responses to the system contributed to Ford’s fall from 10th place in last year’s Consumer Reports’ survey to No. See RELIABILITY, Page 2
Eric SEalS/DEtroit FrEE PrESS/Mct
Ford president and CEO Alan Mulally talks to the media in front of the Ford Focus ST during the Ford press conference at Cobo Arena at the 2011 North American International Auto Show held at Cobo Center in Detroit, Michigan, on January 10.