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Old 01-12-2007, 05:17 PM
Red Star Red Star is offline
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Ford sues International over engine dispute

Automaker says new Super Duty pickup won't be delayed

[/b]The new Ford Super Duty pickup is expected to arrive at auto dealerships on time this spring despite a legal fight between Ford Motor Co. and engine maker International Truck and Engine Corp.

The dispute stems from two things:

1. The price International is charging Ford for the Super Duty's new 6.4-liter diesel engine.

2. Warranty costs that Ford claims International owes for the old 6.0-liter diesel that ended production last month. .

According to the Chicago Tribune, Ford's lawsuit says International has threatened to stop shipments of the new engine.

Ford contends that International has raised the price of the new engine and that International refuses to pay its share of warranty costs stemming from repairs to the fuel injection system on the discontinued 6.0-liter V-8. The Tribune reported that Ford claims International refuses to negotiate in good faith.

According to reports, Ford has withheld money from payments to International to recoup funds it thinks it is owed. Ford spokeswoman Kristen Kinley would not say how much is involved, but it could be tens of millions of dollars.

In late 2005, Ford cited warranty costs in a Securities and Exchange Commission filing that shed light on how much it has paid to repair diesel engines supplied by International.

Ford said its warranty costs ballooned by $500 million in the first nine months of 2005 and said much of the outlay was because of problems with International's Powerstroke engine in Super Duty trucks. In 2005, more than 12,000 consumers filed warranty claims related to engine troubles in the Super Duty.

Spokesman Wes Sherwood said today that Ford "has an ample supply of trucks and engines" on hand and will launch the Super Duty on time in the first quarter.

Ford and International have had a rocky relationship since 2000. The companies have sued each other at least twice before. Ford paid International an undisclosed sum in 2003 after Ford canceled a V-6 engine for the F-150 pickup.

Calls to International seeking comment were not returned today.

International is a unit of Navistar International Corp. in Warrenville, Ill. Navistar ranks No. 47 on the Automotive News list of the top 100 global suppliers, with original-equipment automotive parts sales of $3.27 billion in 2005.

Ironically, Ford's head of global purchasing, Tony Brown, and Navistar CEO Daniel Ustian are to appear on a panel Wednesday, Jan. 17, at the Automotive News World Congress in Dearborn, Mich. For information, go to autonews.com.

http://www.autonews.com/apps/pbcs.dll/article?AID=/20070112/REG/70112084/1003&refsect=

Last edited by IB Tim; 01-13-2007 at 07:43 AM.
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Old 01-12-2007, 05:20 PM
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I guess copy/paste didn't work the way I wanted it to work.
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Old 01-12-2007, 09:58 PM
linkinluver07 linkinluver07 is offline
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Sorry about the double Post
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Originally Posted by lariat79sc
This is "FORD" truck enthusiasts. You fellas that want to defend asian crap, don't let the door hit you on the way out! Please turn over your keys to someone that still has some American Pride.

Last edited by linkinluver07; 01-12-2007 at 10:09 PM.
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Old 01-12-2007, 09:59 PM
linkinluver07 linkinluver07 is offline
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If the 6.4 is just as bad as the 6.0. i say ford get a new supplier. there is no since in keep dragging the good name through the mud. there is no excuse International shouldn't have to help pay for some of the repairs (not all of course) but they did make and design the engine and should therefore stick by their product
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WARNING: For all you "Foreign'' car lovers

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Originally Posted by lariat79sc
This is "FORD" truck enthusiasts. You fellas that want to defend asian crap, don't let the door hit you on the way out! Please turn over your keys to someone that still has some American Pride.
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Old 01-13-2007, 07:43 AM
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I fixed it for ya.
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Old 01-13-2007, 04:54 PM
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So let get this straight, they have sued each other twice before and yet they still do business together?
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Old 01-13-2007, 05:54 PM
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Ford should consider doing their business elsewhere if this is how they get along with International. More truck buyers would probably be interested if Ford had a Cummins or Cat under the hood.
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Old 01-13-2007, 07:01 PM
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(off topic)
I still think Ford should build their own diesels. This is not some mystical, black art. Hire some good engineers and get 'er done. That way at least (we hope) it's done right. They build gas motors. Why diesels are so different is beyond me.

I think that the current market model of outsourcing diesel engines has to more to do with the mindset of the average diesel truck buyer than any engineering concerns. I'd rather have a Ford under the hood. Until then, gassers for me.
(/off topic)

That out of the way, International needs to pay their part for warranty costs. If they need to go to a different supplier and for whatever reason cant do it themselves, then so be it! I'd like to see a John Deere in there!
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Old 01-13-2007, 07:52 PM
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Angry IHC aka Cornbinder aka Navistar

How many of you remember when International Harvester Co. was on the ropes..

...Bankrupt.

When they finally emerged from bankrupcy, they had a new name:

Navistar.

Who helped Navistar become profitable?

Ford Motor Company....

...By purchasing first the 6.9 and later the 7.3 Diesel Engines.

Navistar is b!tching at Ford?

This illustrates the old saying: "What have you done for me lately!"
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Old 01-13-2007, 07:57 PM
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500 mil in warrenty claims..... Thats a pretty penny
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Old 01-13-2007, 08:03 PM
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Quote:
Originally Posted by SMIGGS
So let's get this straight, they have sued each other twice before and yet they still do business together?
Your point is
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Old 01-13-2007, 08:08 PM
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Quote:
Originally Posted by Admin
Your point is
I'm not too sure if I have a point, I'm still trying to wrap my mind around the notion that they are still doing business together.
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Old 01-13-2007, 08:18 PM
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Quote:
Originally Posted by linkinluver07
If the 6.4 is just as bad as the 6.0. i say ford get a new supplier. there is no since in keep dragging the good name through the mud. there is no excuse International shouldn't have to help pay for some of the repairs (not all of course) but they did make and design the engine and should therefore stick by their product
just remember the basic engine is navistar but the fuel system and electronics etc is all Fords baby as well as all the emissions stuff. So is navistar responsibly for those problems? funny thing is the navistar version of the 6.0 doesn't have nearly the warrenty issues in the navistar medium duty trucks as it does in the F series fords, wonder why?
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Old 01-14-2007, 07:08 AM
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Rusty, I agree 100%. Ford should dump Navistar. Numberdummy, right on. Monsterbaby, the Navistar version is a pathetic, underpowered wimp that would not sell in the competitive market against Dodge and GM. I think you guys are right on target here. Ford should use some of that loan money to develop their own deisel and get rid of Navistar. There is no excuse for the headbolt design of the 6.0 in this day and age. How about back to basics for Ford? Make their own deisel and make it right. Overbuild the darned thing. Make it bullitproof. Make a reputation for Ford of having the best deisel out there, even if it costs money in the short term, it will ensure the survival of the F series down the road. Also, fire the idiots that did the front grill and headlights and all those ridiculous badges on the 2008. Look at the developement of the superduty from 1999-2007. Then 2008 WTF??????????? How can Ford be using turbos that develop "lot rot"? There is this wonderful material called Stainless Steel, it's been out for decades. Yes, it costs more, but how much is warranty labor and the reputation of a 100 year old company? Ceramics, titanium, stainless steel, grease fittings, teflon, use what it takes to make a reliable product superior to the competition and people will come back again and again.
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Old 01-14-2007, 06:23 PM
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I agree with 100% of what you said.
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Last edited by IB Tim; 01-15-2007 at 07:33 AM.
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Old 01-14-2007, 06:23 PM
 
 
 
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