FRANKFURT (Reuters) - Ford Motor Co (NYSE:F - news) plans to close more than eight North American assembly and parts plants in a drive to revive faltering operations on the continent, industry paper Automotive News reported on Monday.

Citing a "key company insider," the paper said the number-two U.S. carmaker was likely to close at least five vehicle assembly plants: in Atlanta; St. Louis; St. Paul, Minnesota; Wixom, Michigan; and Cuautitlan, Mexico.

Several powertrain and stamping plants will also close, it cited the unidentified source as saying based on his knowledge of a turnaround plan Ford is preparing and the group's overcapacity problems.

A Ford of Europe spokesman said he could not confirm the report and reiterated that the company would unveil its restructuring plan in January.

Ford has said it would unveil in January a restructuring plan for North America, dubbed "Way Forward," which Chief Executive Bill Ford Jr. has said would include plant closures.

Like General Motors Corp (NYSE:GM - news), Ford has seen its margins squeezed by soaring health-care and raw material costs and a decline in U.S. market share. So far this year, Ford's North American unit has lost over $1.4 billion before taxes.

GM has announced plans to cut 30,000 jobs through 2008 and close 12 facilities to reduce excess capacity.

In a separate interview with Automotive News, Bill Ford

declined to give details of what the restructuring plan will include other than to reiterate that the group would reduce capacity and focus on new products that could fuel demand.

He confirmed that he had approached "most of the top executives in this industry" over the past six or seven years about coming to work for Ford, but added he was intent on remaining in the top post for now.

"Look, I'm firmly committed to this job, this company, and I'm going to fight like mad to get this company back to where it deserves to be," he said.

Bill Ford said the company would feel the pinch on margins as customers increasingly shift into cars from more lucrative products such as sport utility vehicles.

"Obviously, the segmentation downshift, from a margin standpoint, is not a good one. But we've planned these vehicles from the start to be a much healthier business proposition than their predecessors were. But once you start coming down the price point curve, you clearly have lower margins," he said.

Over time, margins should start to converge as customers opt for added content on small and mid-sized cars, he added.

 

It sounds like sometime in the not to distant future we wont have any American car companies left.

 

Land Rover, Jaguar, Aston Martin are US compaines that are owned by Ford

 

Daewoo/Dodge/SAAB/Sabaru/Volvo are also american car compaines

 

Ford also owns Mazda. There was a big deal when Ford had its 100 year aniversary because they included all of the cars that their foreign companies built into their total production numbers. Even cars built before Ford owned the companies.

 

They are not truely American companies with the exception of Dodge. They are subsidiaries of American companies through purchases and mergers.

 

Hybrids are the future. Cost of gas has gone up. Production materials are more expensive. There is a lot more computer parts in cars these days. The only reason why computer companies are not building cars is because the car manufactures get the metal's cheaper. Otherwise you would see Microsoft and Dell with there own line of cars. A long time ago Preston Tucker invented a car called the Tucker, which was ahead of its time and everyone was in his way to stop production.

 

Thats what the movie Tucker would like you to beleive but it had its fair share of problems. The main one I know about was his moving headlight in the middle didn't work correctly. There is nothing special or spaceage about Tuckers just a moving third headlight and a large engine in the back. Tuckers also have one of the stupidest ideas I have ever heard of on a car, pop up tail lights. He just couldn't compete with the larger manufacturers, had tax issues, and had labor issues. There is alot more reason behind computer companies not breaking into car manufacturing than cost issues. There is only one computer in a car also. Some small American auto companies do well because they offer something special, like Panoz. Everyone likes to say hybrids are the future but I wouldn't be caught dead behind anything but my dinosaur burning American vehicle.

 

It's a good thing Ford does own Mazda because they helped pull them out of the crap with their designs. GM is no different with all of their partners. What I don't like about all of the vehicles out there is the look-alike philosophy. It's like some designer took one design and just hit the reduction settings on a copier: ALL Pontiac cars look alike, it's just a matter of scale (Grand Am, G6, Bonneville, Grand Prix, Sunfire). How many cars that look alike do you need?!!!! Dodge does it with cars and the trucks that have a Mack truck looking front end. Ford isn't quite as bad.

 

I couldn't agree with you more. The only Pontiac that stands out to me is the new Solstice but it still has that same copy cat front end. At least the GTO has balls so its got one saving factor. Just like you said Dodge is the same way but not just on the trucks. All of their vehicles have the same four section front end just like Pontiac uses the twin teardrops. A least Dodge has the overpriced Hemi and the Viper V-10. Ford definitely diversifies the most out of the big three.