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Ford March sales set record
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April 6, 1999: 8:13 p.m. ET
Pickup trucks and SUVs set monthly highs; Taurus, Sable continue to slip
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NEW YORK (CNNfn) - The growing consumer desire for larger, more versatile vehicles helped Ford Motor Co. set a company sales record in March, the car maker said Tuesday.
The world's second-largest automaker sold or leased 399,908 cars and trucks during March, a 13 percent jump from the year-ago month.
Leading the way were the Ford F-Series pickup truck and the popular Ford Explorer SUV, both of which set monthly sales records.
Overall F-Series truck sales rose 14 percent to 85,686, the highest monthly sales for any vehicle, car or truck, made by any manufacturer in more than 20 years. That helped push total Ford pickup sales to a record 131,077, a 28 percent gain over last March.
The F-Series remains Ford's hottest vehicle
Explorer sales set a March record of 40,019, a 10 percent jump from last year. That helped overall SUV sales climb 11 percent to 68,138.
Ford (F) responded to the strong March gains by increasing second-quarter production by 20,000 trucks and 10,000 cars.
But while consumers' fascination with large vehicles continued to drive Ford's sales, the Dearborn, Mich.-based automaker continued to see declines in two of its popular passenger car series, the Ford Taurus and Mercury Sable.
Total Taurus sales fell 1.4 percent in March to 35,069, although company officials said the declines were predominately due to lower rental sales in January and February. For the year, Taurus sales are down 7.2 percent to 81,932.
In addition, sales of the Mercury Sable were down 4.7 percent in March to 9,629, largely for the same reason, company officials said.
However, Ford officials said Taurus retail sales were up 33 percent in March, continuing a climb started last September when Ford slashed the car's price by $1,000. Sable retail sales rose 9 percent and are up 18 percent in the last five months.
Other car lines fared slightly better. Ford Mustang sales rose 21 percent in March to 16,570, while the new Mercury Cougar set a sales record of 6,112.
Still, analysts believe current consumer demands have Ford focused in the right direction.
"It's basically the same old story," said David B. Healy, an analyst with Burnham Securities. "Trucks are hot, cars are not.
"[Ford] may be upset about the passenger car sales, but they are crying all the way to the bank."
Maryann N. Keller, an automotive analyst with ING Barrings, speaking on CNNfn's "Before Hours" Tuesday morning, said truck sales probably will account for 50 percent of the automotive sales market this year.
She also said unless there is a "significant" increase in crude oil prices, those sales increases likely will continue unabated into the near-term future.
"Gas prices would have to be significantly higher, probably pushing $2 a gallon or so, before people really started to think about it," she said.
Customer focus drives Ford
As bright as the month of March was for Ford, the company's president and chief executive officer, Jacques Nasser, said the auto giant is working to become an even more effective global business, for both its customers and shareholders.
Speaking on CNN's "Moneyline News Hour With Lou Dobbs," Nasser said his goal is for each of the company's 380,000 employees worldwide to feel a sense of ownership and to have a "visceral and intense understanding of what consumers want," so that Ford will "have the ability to future products and services so we can be first to market." (321K WAV) or (321K AIFF)
Nasser acknowledged that the stock has lagged the equity trends this year, especially given Ford's strong performance. And indeed, despite the day's good news, shares in Ford fell 1/16 to close at 58-1/4 on the New York Stock Exchange Tuesday. Investors, he said, "are sitting back, waiting to see what our results will be." But, Nasser added, "I don't think we'll disappoint them." 
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Ford Motor Co.
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