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Lincoln says MKZ supply crisis over

After an excessive number of recalls on the 2013 Escape and Fusion, we can't really fault Ford for being a little extra cautious with the launch of the 2013 Lincoln MKZ. Last month, we reported that dealer supply of the car was extremely limited due to more attention being paid to quality checks of cars rolling off the assembly line, which led to a 73-percent drop in MKZ sales from last year on top of a 32-year low in monthly sales for Lincoln in January.
The reason for the delay was that the sedans were being shipped from the Hermosillo, Mexico assembly plant to be inspected even closer at Ford's Flat Rock, Michigan plant before they were able to head to dealers. Things seem to be straightening out for Lincoln and the MKZ's production now, as Automotive News is reporting that supply should be up to a "normal level" by the end of this month.

Ford Q3 pretax profits drop to $1.18B

Following positive third quarter financial results recently from General Motors, rival Ford took a tumble in Q3. The automaker posted pre-tax profits of $1.18 billion, compared to about $2.59 billion in Q3 2013, a drop of around 54 percent. Net income also suffered with $835 million made in the quarter, versus $1.272 billion last year, a decline of about 34 percent. The Blue Oval blamed the gloomy figures on three reasons in its release: "lower volume, higher warranty costs and adverse balance sheet exchange effects."
There were problems of one kind or another in practically every region. North America experienced higher warranty costs than expected, partially due to recalls. The sales volume for the quarter was 665,000 units, versus 725,000 in Q3 2013, and pre-tax results amounted to $1.41 billion versus $2.296 billion last year.
South America and Europe both posted worse pre-tax results than last year. On the bright side, European volume was up slightly to 321,000 vehicles, from 303,000 in Q3 2013. The Middle East and Africa also lost $15 million, but that was an improvement compared to the $25 million loss previously experienced in this region.

Lincoln dealers frustrated over slow MKZ production ramp-up

Lincoln has clearly been working hard to get the word out about its 2013 MKZ sedan. The Dearborn automaker has taken out lavish spreads to trumpet its boldly styled new model in magazines of every description, along with placing commercials for both the vehicle and the reborn brand behind it on all manner of television programs, including the super-costly Super Bowl earlier this month.
Pity, then, that Lincoln dealers don't have enough MKZs to sell. According to The Detroit News, parent company Ford has spent a good portion of its time at this week's National Automobile Dealers Association meeting in Florida attempting to pacify upset dealers who don't have enough examples of the pivotal new vehicle in stock.
As the DetNews notes, Lincoln only sold 453 MKZs last month, a whopping 73-percent decrease over the same period last year when the sedan's predecessor was on sale. In fact, the stunted supply had enough impact that Lincoln's January figures worked out to a 32-year low for the brand, just as it's trying to get back on its feet. This, despite the fact that the MKZ is said to have the biggest number of pre-orders in the marque's history.