Wow !!!!
 

http://restylingmag.com/news/56m-bonus-for-fords-ceo
I understand a bonus but OMG!!

And I wonder why a new F-150 is $50,000

Many will not agree, but it is warranted for how well he has steered Ford back into the stratosphere of profitability.

Approx $200M in bonuses went out to the hourly workers as well so they spread the love around it appears.

And this is why they didn't need a bailout! :thumbsup: :thumbsup:

Yup, as much as I would never buy a Ford. They were the smartest of the three and at least the good news is they are MAKING money not losing it :yes:

3 cheers for the private sector! :thumbsup:

You said it brother!:thumbsup: :yes:

Two things - not to rain on any parades, but....

Ford got lucky. Nothing more than that. They were simply lucky. Ford did not see this stuff coming. Mulally left Boeing, and immediately upon arriving at Ford borrowed $23.5 BILLION, secured by Ford assets and even Ford branding (such as the Blue Oval insignia). He also slashed the hourly workforce by 50% and cut salaried expense by 40%. So I guess I should amend my statement to the fact that Ford chose the right guy, and did make some smart decisions - though they were risky. Almost ALL of Ford assets are on the hook to secure the $23.5B they borrowed, so if they had defaulted, they'd have lost everything. Bottom line however is that they did exactly what GM and Chrysler wanted to do later (borrow money) but after the crash, NOBODY could borrow money. Ford got there just in time.

The second thing. CEO Bonuses. Yup, they seem outlandish. We can all argue about whether or not they're a good thing or a terrible thing. But....

They have not a darned thing to do with either the price of the product or the viability of the company. CEO compensation including all bonuses, stocks, frankly EVERYTHING (which btw is public knowledge anybody can review) makes up less than 1/10 of 1% of corporate expense. So, do the math. They are meaningless when compared to the labor force costs, costs of material, etc. If the CEO worked for a single penny per year, it would not affect the balance sheet in any possible way. That's why it's a ridiculous conversation. Again, not saying it's right - or wrong. It's just meaningless.

That was funny. You say they were lucky, but they actually did what business's are supposed to do. Adjust and get capital to operate. Umm and it's called collateral. If you need to grow your business, you may have to put up your house. It's pretty common. I just point that out, because it seems that you didn't know that.
With all the contradiciton, what was the point of your post?

God I knew this thread was going to go this direction eventually.... Unsubscribe. LOL

First of all, it was luck because of the timing. Not even Mulally forsaw the credit crunch. Second of all, rarely does a large multibillion dollar (many billions) leverage EVERYTHING they own for credit. I just point that out because it seems you didn't know that.

No contradiction whatsoever here. I even mentioned they made smart decisions and that Mulally was a smart guy. The point of the post was to put some reality into the idea that Ford deliberately avoided the same mess that GM and Chrysler fell into, when luck played a HUGE part in it, and to rebut the idea (brought up by a previous post) that CEO bonuses in any way affect the retail pricing of vehicles.

Seems like you've got a chip on your shoulder.

This all started by a CANADIAN. :D There are websites for this kind of crap. I couldn't tell you what they are since I get enough bull **** during the work week. :thumbsup:

lol Todd. Well whether it's called smart or lucky, timing can be everything in business.

Absolutely spot on, there. Timing is everything. Ford was both smart AND lucky. Great combination.

:lol: Yea that's it. A big chip!

A guy posts an article of a successful business operation, especially compared to its competition and people think they need to post "THEIR" assumptions of te how's or why's.

It's great reading material and comic relief but it gets old. It just seems like you wanted to post something negative about the story. I do not know about you and maybe you have but I don't run a billion dollar company.

LOL

i just thought it was amazing that a CEO ( and even tho " I AM CANADIAN" some will get it.......) i know CEO's get huge bounses, you should see mine. :rofl:
this one is a huge number!!, i also realize that most of these CEO's are smart enought to write these bounses into their contracts regardless of company performance sometimes.


just thought it was interesting..........

as you were.

That's why if you bought stock when it was below three dollars a share Ford was a good choice, Over 14.00 now on average:thumbsup: They were smart

You know, when it was down there around $3 I can recall thinking "hmm, might be a good bet to put a grand or so on it and see what happens". And here I sit never having done it. Anyone know what that same stock out there right now is?

I wonder what that bonus breaks down to in dollars per hour worked.

:cheers:

Closed today at 14.33 been as high as 18.52 and averaged the past year around 13.

But were you?

I got in at a $1.50 I love Fords now:thumbsup: :thumbsup: :thumbsup:

Sniper, it's not an "assumption". It's fact. You can argue that whether or not Mulally is "smart" is an assumption. Or any number of things. But to be perfectly blunt, it is a total fact that Ford was exceptionally lucky that just months before the collapse, they leveraged virtually ALL of their assets even including their branding and logo for $23B - and they cut their workforce by 50% as well as salaried expense by 40%. And that it was absolutely, factually and concretely these changes that allowed Ford to gain market share and outperform their domestic competition. There is zero debate about that.

My comments are not negative. Only somebody who wants to look at facts from a biased position would take it that way. I have nothing against Ford and think Mulally is a bright guy - AND if you note in my post I gave credit for both he AND Ford shareholders for making some tough decisions.

The point is that there is so much BS flying around out there that many people just think Ford "designed better product" or some other reason for them not being forced to the point of bankruptcy to take the bailout. Better to be open about what happened without the drama or the cheerleading.

:lol:
I just wanted to quote that, because it's pretty funny. I've never known "luck" to be proven "factual".

You had awesome timing. Good for you Tracy! Early retirement?

Whatever. Those 10k filings, etc, are all imagination. Believe what you want.

If somebody can help get our profits up to 6.6 billion, we would gladly cut you a check for 56 million in exchange. :cheers:

I've done my part, Justin....