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More Gloomy News For Ford...

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Old Feb 17, 2007 | 05:28 AM
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Unhappy More Gloomy News For Ford...

I realize it takes time to turn things around, but right off the top I can think of three or four things Ford needs to do... starting with DOING THEM ALL MUCH, MUCH FASTER!

Many of Ford's goals have not been met on the Way Forward and it's bringing moral down. January retail sales numbers were 10,000 vehicles off projections and February and March don't look much better. Material cost reductions are also below expectations. New products like the Edge and MXK are selling well, but production hasn't ramped to the point where they're really helping the retail standings for Ford either. The biggest problem, though, may be that employees don't believe in the plan. Only 38% of all employees polled felt Ford had the products to compete and 45% feel the Way Forward plan is working. It is tough for employees to see the light at the end of the tunnel when the next hope for profit is 2009. Ford headlines have been very tough lately and employees could really use some good news to help boost their spirits. The problem is, good news is still a year or two away.

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Worst news: Ford seemed clueless during both of its press events. I came away from Detroit thinking they had the focus and energy to fix what is wrong with the organization and its products. But in Chicago I saw much less energy, and the presentations were largely devoid of meaningful content, just hot air and forced explanations for why the Five Hundred was being renamed.

I personally spoke to Mark Fields, head of Ford in the Americas, following his breakfast speech the first day. A Ford engineer emailed me a month ago to say that the executive summary of my report to GM also described the situation inside Ford. I gave Mr. Fields a copy of my business card with this url written on the back, suggesting that he might want to take a look.

His response? He wanted to know the name of the engineer. No interest in the content of the executive summary. Totally wrong focus if the goal is to save Ford.

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As other posters have said >>

A defining moment was the launch of the overdue 'new' Focus with nothing really to offer except changed style and....rear drum brakes on all models. Then look at the hype words about it from Ford.....'Nuff said.

...based on the mediocre moves I've seen so far, I am a little concerned.


or this >>

DUMP JAGUAR AND ROVER, it's too late to fix them now, you don't have the money. Cut your losses.

Bring over the Euro focus! Euro focus = young buyers see Toyota for reference. Young buyers = FUTURE FOR FORD MOTOR CO.

You better have one hell of an answer for GM on the new F-150, because GM's truck is gonna eat your breakfast and lunch if you don't.

The EDGE commercials SUCK!!

Tell people why they should buy this vehicle. This is not rocket science. Iacocca did it with Chrysler.

Alan Mulally needs to get into those ads and SELL those cars. ie. "The Edge has a V-6 engine that was named one of the 10 best engines in the world, (people who don't know ANYTHING about engines know what an award is!) The new Fords have 6 speed automatic transmissions that help our products get much better mileage. Come down to your local Ford dealership and give the American Car Company that built America a chance to win you business."

And then you better be SURE that these people get treated RIGHT when they come. It's your game to lose. I'm a big Ford supporter, But God all mighty, let's get this ship turned around.

Why should people go look at the Edge? Because it drives around on the edge of buildings? FIRE the ad agency that came up with this slop. I'm a share holder, an owner, a supporter, some of the stuff here could be done this week. GET GOING!!!


or this >>

I'm an ex-Ford product planner that was forced into retirement in Jan 2006 because I complained about inept Management that focused more on self aggrandizement than what was best for the customer, the decision processes used by the inept Management, and the resulting uncompetitive products. Ford's product decisions were always strictly financially based, using volume and revenue assumptions provided by Marketing that were fantasy at best and fraudulent at worst. Competitiveness was always a secondary consideration. The planners that I'm still in contact with say this system has not improved and has in fact gotten worse.

All the product changes suggested in the preceding comments (European Focus, Australian Falcon, European Mondeos as Mercury’s) have been considered but rejected for “financial” reasons. Like anything, it’s real easy to find a way to do something if you have the “will” to do it, and if you don’t, financials can be manipulated to make any proposition look unattractive. Alan Mullaly is surrounded by Senior Management who attained their positions due to their political skills, not their technical capability. Having an ex-Nassarite marketing guy (Mark Fields) in charge of Ford N.A. is a public embarrassment for a company with the economic and product issues that Ford faces. His initial suggestion for improving Ford was a $100 mil marketing campaign with Taylor Hicks singing the praises of the Company. Has it worked? Has he been held accountable?

Jac Nassar was responsible for the Explorer debacle. Although Ford neither designed nor manufactured tires, we used to have knowledgeable tire engineers. Jac with his “black box” approach to suppliers thought these people had no added value and got rid of them even though they were the only people smart enough to ask the right questions and recognize when we were being hosed.

My experience with Ford marketing types is they know more about shrimp and chardonnay than they do about cars. Bob Lutz recently commented that when the big 3 ruled the American market, GM/Ford/Chrysler were run by design and engineering. They are now run by marketing and finance and the results are self evident. Ford is doomed, unless Mr. Mullaly actually changes the culture, but there is no sign of it yet.


That last quote isn't what you want to hear.

My greatest fear is wondering if we have reached the point of no return. In other words, that point in the game where it no longer matters WHAT Ford does over the next six months, or how quickly, because it's already too late.

I sure hope not, but the company just doesn't seem to have any clear direction or plan much beyond "band aid" approaches and cheesy advertising.
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Old Feb 17, 2007 | 06:12 AM
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OK: it's styling, engineering, and good salesmen on the floor. Ford keeps missing the target. In Russia, Ford is the leading import. Back in 1975, while living in Turkey, I saw Fords that were beyond any sold in the US. And in 1973, GM said that the problem of putting electrically heated rear/back windows in cars was too complex (until a non-engineering reported asked "Are the German GM engineers smarted than American GM engineers?"). For some strange reason companies always think consumers are stupid. How many of you work in a company where employees are uaually thought to be more stupid than smart? I work in a school system - and the stuff they tell us is insane.
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Old Feb 17, 2007 | 07:48 AM
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I too am a bit disheartened at the glacial pace of changes. I had very high hopes for Mulally. He's saying the right things but not much of what he's saying has turned into actions.
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Old Feb 17, 2007 | 03:31 PM
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Originally Posted by TomServo92
I too am a bit disheartened at the glacial pace of changes. I had very high hopes for Mulally. He's saying the right things but not much of what he's saying has turned into actions.
It's especially disheartening when you're about to drop $40K (CDN) on a brand new Ford, and can't help wondering if the company will be getting sold off in pieces on the auction block by the time your powertrain warranty is up.

I think Ford could handle the UAW issues and product issues. But I'm not certain it can handle those issues PLUS systemic rot in the management ranks, which seems to be the elephant in the room that nobody is willing to confront head on. Unless the corporate culture is changed - and changed NOW - the rest really doesn't matter, cause it all starts at the top. **** flows downhill.

Right now, across town, GM is in the midst of the biggest product renaissance in their history; not in the least afraid to leverage their global assets. THAT'S what a product-driven turnaround looks like - and it's staring Ford right in the face. Meanwhile, what does Ford do? They sit around for months, deciding whether to rebadge a car few people are buying (500) using a name (Taurus) that has ultimately become associated with a failed, squandered product line; they introduce a concept at Detroit (Interceptor) which is a warmed over update of the 427, which ITSELF never went anywhere...and by the time J. Mays debuts the Interceptor at the Detroit autoshow, he treats it with all the respect of a still-born and moves on to some other lackluster product; they continue to make excuses for why they can't bring their best Euro and Aussie products to North America. And don't even get me started on that rolling abortion they call the "new" Focus.

If Ford ultimately goes down under Mulally, I wouldn't doubt if he wrote a book about his experiences shortly thereafter. And I'd be willing to bet it would be a revealing look inside the rotted-out fiefdoms of upper management. Still, small comfort for those of us stuck driving Edsels.

All very disheartening indeed.
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Old Feb 17, 2007 | 04:22 PM
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The RCO is up on my Escape next year so I'm already starting to contemplate a replacement and in all honesty the only Ford vehicle that appeals to me is the Mustang. Unfortunately it isn't a good fit for me right now. I don't really want another SUV/CUV. The Interceptor would be perfect IF they made it. I still have a year to worry about it but the options aren't looking promising.
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Old Feb 17, 2007 | 06:11 PM
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I hear you. The only vehicles in the Ford stable that are worthwhile, IMO, are the Mustang, the Fusion, the F-150...and the Edge, none of which are best-in-class, and in fact, the Edge has already been bested by the GMC Acadia which has a better interior, more power (275 HP) and third-row seating.

I just don't know what to make of this company anymore. The only thing I do know is that they could certainly handle the legacy costs and the quality issues and the design issues, etc - but not with a rotten management core.

I wish Mulally could go in there and fire the whole lot of 'em - all the entrenched senior managers who are more concerned about their political territory within the company than spearheading a serious, focussed product rebirth.

One might argue that the writing is already on the wall...and that it serves them right.

<Sigh> We'll see what happens this year, I guess.
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Old Feb 17, 2007 | 09:23 PM
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Seems GM is making the bold moves that Ford only talks about - and I'm tired of it already. For example - look at GM's revamped lineup and Euro-based platforms coming to the US and compare to Ford's... It's almost as if they snuck some enthusiasts into the decision making process at some point. They may not be "world-beaters", but IMO, it is an effort and step in the right direction. Talk about turning things around only goes so far vs. actually doing something about it. If Ford's gonna go down anyway, I would rather see it to go down fighting! Ford's management needs to pull their collective heads out of their rears soon...
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Old Feb 18, 2007 | 02:07 AM
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Originally Posted by hi5.0
Seems GM is making the bold moves that Ford only talks about - and I'm tired of it already. For example - look at GM's revamped lineup and Euro-based platforms coming to the US and compare to Ford's... It's almost as if they snuck some enthusiasts into the decision making process at some point.
The product led turnaround is mostly thanks to Bob Lutz. Mulally needs to get rid of the entrenched and dysfunctional management at Ford and find a Bob Lutz-type car guy to work with him on a product driven turnaround.

Originally Posted by hi5.0
They may not be "world-beaters", but IMO, it is an effort and step in the right direction.
They may not be world beaters, per se, but when I look at the new Malibu, the new Acadia, the new full size SUVs and pickups, the Pontiac G8...and most of all the forthcoming Cadillac CTS, I see cars that are as good as anything out there, and in some cases better (I'd take the CTS over the Lexus IS and I'd take the Pontiac G8 over any Nissondoyota sedan).

Originally Posted by hi5.0
Ford's management needs to pull their collective heads out of their rears soon...
It's too late for soon. Soon is NOW.

Frankly, when Ford execs look across town at what GM is doing, I don't see how they can get up and look themselves in the mirror each morning without feeling ashamed of themselves.

It reminds me of when a professional athlete gets paid to throw a game. It feels like someone high up inside Ford is being paid to let the company fall into a downward spiral...and ultimately die.
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Old Feb 18, 2007 | 06:04 AM
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It's times like this that I think I'm completely crazy to be a loyal FoMoCo customer.

The way Ford acts, it's as if they hate their customers. Over and over and over again, Ford flat out refuses to sell their customers what they want. While Ford's competitors bring out a new model and continually improve it, Ford introduces promising new models, then not only fails to improve them, but decontents them making the following model years less attractive.

A great example of how screwed up Ford is, is the new Edge. A fully loaded Edge can run $36K. And for your $36K you don't even get auto up-down front windows and HomeLink is not available, even as an option. If Ford's competitors can put these features in sub $20K econo-boxes, why can't Ford put it in a $36K Edge? I'd like to meet, face to face, the bean counter who made the decision to save $3 on each Edge by deleting auto up-down windows.

A perfect example of how Ford hates their customers is right here with the S197 Mustang.

Since the day the S197 was intoduced, Mustang fanatics have been clamoring for an affordable high performance model above the GT. We are now nearing the end of the 3rd model year for the S197, and all we've got is the 25 HP FRPP power pack, that may or may not void your warranty.

The 4th model year of the S197 doesn't look any better as all indications are that the 4V engine for the Bullitt has been axed and all the Bullitt will be is yet another tape and trim job. Ford's competitors design and put into production completely new engines in less time than it takes Ford to come up with new trim badges.

It's not like us Mustang fanatics are asking Ford to spend hundreds of millions of $$. The 4V N/A engine is on the parts shelf as is a 400HP, 4V, S/C engine. Seems like a low cost no brainer to give Mustang customers what they want.

It all makes one wonder why Ford hates its customers so much. There is a crazed mentality inside Ford that flat out refuses to give it's customers better vehicles even if they can be sold profitably. This FoMoCo arrogance goes all the way back to Henry Ford telling his model T cusomers "You can have one in any color you want, as long as it is black." It makes me want to go find another car company that is willing to sell it's customers what they want.
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Old Feb 18, 2007 | 06:21 AM
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Originally Posted by V10
It makes me want to go find another car company that is willing to sell it's customers what they want.
Sadly, that's what most of the buying public have already done.

Maybe we Ford enthusiasts are the foolish ones - misguidedly championing a cancer-ridden company while we hold out for a turnaround that may never come at all.

I don't think Ford "hates" their customers, per se, but I do think they're completely ambivalent towards them. Honestly, if the folks at Ford don't WANT to build cars anymore, why don't they just cut their losses and get out of the business? It's better than trying to pull the wool over the public's eyes with silly, meaningless rhetoric like "Bold Moves."

It's the bottom of the ninth and the bases are loaded... C'mon Ford, get in the game or give up the sport.
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Old Feb 19, 2007 | 09:45 AM
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As nice as I think the Fusion and Edge are, I think that both cars have a couple of faults that are going to prevent them from becoming huge sellers. Fusion has a weaker engine and the bad crash test ratings that it started out with, and the Edge is heavy and has no 3rd row seat. Then of course there is Ford's quality reputation, that even if these 2 cars are good quality, it won't start to show up for another year or two in consumer reports and stuff that people seem to follow. I think that Ford definately has what it takes to make it, I just don't know if they will do it.

I almost wonder if Ford would be better off dropping the dream of being a huge, high volume selling company, with a wide range of vehicles and just have a small line up. Put production at a profitable level, and build cars that they do well with already. With only a few cars, they can concentrate more money at them, and they can become class leaders easily. This is probably just a fantasy, but I think that atleast until they get their act together, they should just stop with certain vehicles that aren't making the cut (Taurus, US Focus).
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Old Feb 22, 2007 | 06:40 AM
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I don't understand why so many people & the media keep panning the Edge for not having a 3rd seat. The Edge is less than 186" long and is intended to compete with similarly sized CUVs that do not have 3rd seats. Not every customer needs, nor wants a 3rd seat. Ford has a 3 seat CUV, called the Freestyle (Taurus X) so it is hitting both market segments.

I've been looking at a CUV for my wife. We don't need a 3rd seat and the 3 seat CUVs are larger than what she wants. The Edge's value is that it's only 186" long but due to its very solid construction and longest in class wheelbase, it is very, very comfortable riding & driving vehicle. We've tested a lot of them and the Edge is at the top in it's size class.

Where Ford screwed up with the Edge is by cheaping out and not putting in variable assist power steering, one touch up and down front windows, horrible cheap Continental tires and a mushy feeling brake pedal. If Ford fixes those short comings they'll have another sale.
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Old Feb 22, 2007 | 06:54 AM
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Originally Posted by V10
Where Ford screwed up with the Edge is by cheaping out and not putting in variable assist power steering, one touch up and down front windows, horrible cheap Continental tires and a mushy feeling brake pedal. If Ford fixes those short comings they'll have another sale.
Don't worry, the Ford beancounters are on the case.

OK, better worry.

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Old Feb 22, 2007 | 12:51 PM
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ford is looking to the future...but further than fords ever gonna see if they dont start doing there jobs...to many years that some high-horse pompus self centered money hungry execs have had the last word...if they dont want the company to benifit, just just because they think it wont benifit them...and thats not a loyal employee...but thats a big problem...sombody thinks to highly of themselves and its gotten them in trouble...a good example...they are acting like a bunch of kids who dont want to do homework, even though its no fun, it will get you a lot further down the road
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Old Feb 22, 2007 | 03:35 PM
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Originally Posted by V10
Where Ford screwed up with the Edge is by cheaping out and not putting in variable assist power steering, one touch up and down front windows, horrible cheap Continental tires and a mushy feeling brake pedal. If Ford fixes those short comings they'll have another sale.
I don't think there is any person that would not buy a car because of not having variable assist power steering. Most people don't even know when there cars have it or not.
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Old Feb 22, 2007 | 04:04 PM
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Originally Posted by Knight
I don't think there is any person that would not buy a car because of not having variable assist power steering. Most people don't even know when there cars have it or not.
I agree. It's getting the basics right that matters to people; along with the things that they can see, touch and feel. And where the Edge, along with most domestics fall down, is in the perceived interior quality. I looked at the new GMC Acadia last weekend. Looks great on the outside, and while the interior LOOKS better, the plastic and switchgear still feels cheap, flimsy and "hollow." Not one of GM's best new interior efforts, that's for sure.

It's like they all shop at the same supplier, "Cheap-Plastics-R-Us."

I mean, the Edge interior is a mixed bag >> some of the interior pieces look fine, while others seem very incongruous. The door panels and gauges, for example, are both low-rent, yet the seats and dash surround seem fairly competitive.

And yes, I realize that even Toyota has slipped on interior quality (the Camry gets low marks for its interior), but why can't domestics recognize that as an opportunity to do BETTER and regain some market share?
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Old Feb 22, 2007 | 04:08 PM
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Originally Posted by Knight
I don't think there is any person that would not buy a car because of not having variable assist power steering. Most people don't even know when there cars have it or not.
All anyone has to do is drive and Edge or MKX and then drive a Mazda CX-9. Then they'll know why they want variable assist.

You may be right that if it was just variable assist steering, customers might settle for an Edge. But when you add in the crappy tires, the mushy feeling brakes and the lack of auto up-down windows, Ford looses the sale.

This is a big problem that is ruining Ford. I know exactly how the bean counters at Ford work. They do a study and determine that the Edge won't loose any sales if it doesn't have good steering feel. Then they do another study and determine that the Edge won't loose any sales if it doesn't have auto up-down windows. Then they do yet another study that determines that the Edge won't loose any sales if it has crappy tires. Then they do still another study that says the Edge won't loose any sales if it doesn't have Electronic brake force distribution. And on and on the marketing studies go and more and more $$ is wasted in the marketing department on useless marketing studies.

But the problem is that marketing never combines their studies and asks in a single study, if the Edge:
Has crappy feeling steering
and as crappy tires
and and doesn't have auto up-down windows
and and has crappy brakes with no EBD
and doesn't have HomeLine
and lacks 5 other features that competitors have will you still buy an Edge?

If they asked those questions in combination, they would learn how many sales Ford is loosing.

No wait, the don't even have to ask any questions. All they have to do is look at the sales #s from the last 10 years and see how fewer vehicles Ford sells today vs. 10 years ago and see that Ford has lost 10% in market share in the last 10 years.
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Old Feb 22, 2007 | 04:19 PM
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Perhaps instead of wasting money on their own flawed marketing studies, devised by corporate 'tards, they should just use Honda's results instead.

Things could only get better.

But you're right, the bean counters and their incompetent marketing partners are destroying Ford.

- Why are there no grab handles in the Mustang?

- Why would anyone believe that putting "ambient" light in the Mustang's cupholders is more important than having a light in the glove box...or the trunk?
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Old Feb 23, 2007 | 01:33 AM
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Ha! So much for learning from the competition! I think that "ambient" light for the Mustang's cupholders was probably ripped off from Scion or Phillips - note to Ford, match the competition's GOOD ideas/features - the things the buyers want that WORK? Leave the silly gimmicks in the reject pile. How about making front seats that work like practically all the imports for starters? Simple, effective, and unlikely to cause the beancounters to suffer cardiac arrest - well maybe it should so those kind of things can make it to production.
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Old Feb 23, 2007 | 07:07 AM
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I have to say that reading this thread this morning really put me in the dumps regarding our favorite car company. Ford has people in place and practices in place that simply forget the single most important thing there is and why they're there:

IT'S ABOUT THE CARS BOYS AND GIRLS!!!

IT'S ABOUT THE CARS!

While everyone at Ford is running around blowing smoke up our ***** and securing their "place" at the Ford table, product isn't being built up to company saving standards. You guys have pointed out many little shortcommings of several Ford vehicles both old AND NEW. I mean in all honesty, we could probably go over other manufacturer vehicles and pick them apart as well, but when you start to add up all the little things left out across the product line, it adds up to large gaping holes. A bucket won't hold water (money) with large gaping holes in it.

I still hold out hope, but it's getting tougher every darn day. I will once again agree with BC. The effort put into the "new" Focus completely let me down. They just either need to commit to building a world class small car or just drop the line and get out of it. They may attract like 5 more buyers with this most recent attempt, but within 3-4 months, sales on that car will once again be flat. Product introductions are of UTMOST IMPORTANCE right now. You don't get to do several a year. When you do one, it has to be BIG BIG BIG. When a company is getting black eyes the way this one is, the intros have to be big.

Oh, and BTW, I like the Pontiac G8.

LORD HELP US ALL!
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