Ford Tells Shareholders Times Are Good and Getting Better

by Jeff Gilbert
WWJ AutoBeat Reporter

Ford with a very quick, very calm annual stockholders meeting today, a contrast to the company's more noisy meetings a few years ago.

There were no controversial items on the agenda, no environmental protesters, and only about 100 shareholders showed up. Shareholder gadfly Evelyn Davis was not at the meeting, which only went an hour.

The only matter of concern was Ford's stock price, which has languished the last couple of months, after seeing a meteoric rise the past few years.

"It doesn't seem like the outside community understands what a healthy car company looks like," said shareholder William Hoshite of New Jersey.

Ford executives expressed confidence that as they showed improved performance, the stock would follow.

"The stock price doesn't reflect what we have done," said Ford Chief Financial Officer Lewis Booth. "The stock price reflects what we're going to do, and the market's perception of what we're going to do."

Ford laid out an aggressive plan for new technology in vehicles, and expansion into emerging markets. The company also briefed stockholders on plans to refresh the vehicle lineup faster than it had been doing.

Ford has promised that its 2011 earnings will be an improvement on 2010, and they also expect to pick up market share this year.

Both CEO Alan Mulally and Chairman Bill Ford say the company has moved from a turnaround phase to a growth phase. Ford saying that's taken a lot of work on the part of a lot of people.

"Frankly, the employees, who loved this company, weren't going to let it fail," he said. "It was really a remarkable time to be a part of Ford Motor Company."

And the difficult times, Ford says, have taught the country and the company an important lesson.

"What this country and what this manufacturing base went through over the last few years, finally woke this country up to the importance of manufacturing," Ford said. "I actually feel as difficult as it was, some good did come out of it."

Ford was praised by many shareholders for not taking government loans.

"Don't let Washington do it," said shareholder David Ridenaur of Maryland. "Don't give the keys to your cars to Washington."

There was even time for joking, when a shareholder complained that the rental car company in Delaware—where the annual meeting was held—didn't have Ford vehicles in its fleet, and he had to "suffer through" driving a Toyota to the meeting.

"I'm glad you made it here," said Bill Ford.

Follow Jeff Gilbert on Twitter @jefferygilbert