We think the damage to the (Ford) brand has already been done.
The outlook for the fourth quarter is not so hot. It is very clear that results in North America will be compressed by all this price cutting.
Even excluding the charge, European auto operations continue to be a big drag.
The North American operations are the driver of the results. Business is great this year, and the mix is very rich -- they're selling lots of trucks.
It's a very deep concern in the near term because there's no question it will be a deterrent to U.S. investors. He was highly respected by institutional investors in the United States.
For the next year, year and a half I expect Ford to lose market share. It doesn't have many levers to pull. Its product pipeline is relatively dry and GM is being very aggressive.
My guess is most people view this as a tire issue than a Ford Explorer issue. But there are a lot of good competitors to Ford Explorer out there on the market.
In short, while the negative press will likely hold back the stock near-term, we don't think it will have a lasting impact, and in our view, Ford remains relatively attractive.
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