March 8, 2013
Alan Mulally gets a £8 million bonus 0
Does Mulally deserve a big bonus?
He has been labelled as the man responsible for creating such a huge turnaround in the company when they were on the brink of bankruptcy back in 2006. The Ford Chief executive ensured that the company eventually made profit. Between 2006 and 2008 the American manufacturers managed to make $30 million. They have not looked back since and have made a profit every year since. In 2012 the company made a magnificent $5.7 billion.
Jay Cooney said “We are committed to aligning executive compensation with the company’s business performance and to tying a significant portion of executive compensation to long-term shareholder value.”
Alan Mullaly’s salary details are expected to be released later on this month. He was paid approximately £1.3 million and £3.6 million in cash bonuses.
EcoSport - Ford’s plans for Europe
The Ford EcoSport compact crossover will be released in Europe, being imported from India. It will be made available in both left hand and right hand drive. We will see the EcoSport in showrooms later on in 2013.
The EcoSport is major part of Ford’s strategy within Europe. It represents their ‘One’ project, which essentially means that all vehicles will be made as one and not catered for individual car markets. Ford hope to sell 1 million Sports Utility vehicles by 2017 in Europe, despite the company making major losses throughout the region.
That will be difficult given that the crossover segment has not yet taken off in the European region. Vehicles such as the Nissan Juke and the Vauxhall Mokka are still yet to be taken too by the majority of the public.
Ford is planning their European operations following huge losses. There have been suggestions that a major factory in Genk, Belgium is to be shut down. Other smaller factories including some in here in the UK may also be closed down. Ford has estimated that their share within the European market will roughly be the same this year as it was last year.
Ford sales in January of this year fell by 22 per cent, representing one of the worst figures in the whole car market.