Ford has just announced the sale of part of its ownership interest in Mazda.

-dave

"The automaker will sell 20% of Mazda today, reducing its holdings to
about 13%. Mazda said that it will buy back up to a 6.9% stake for as
much as 17.9 billion yen ($186 million). Unidentified "strategic
business partners" will purchase the rest of the shares."

http://www.freep.com/article/20081119/BUSINESS01/811190372

--
Jeffrey John Martin


Good news. Ford has been holding back the rotary with their short sightedness.


Paul Lamar

Paul,

It appears several large Japanese trading companies, Sumitomo and Itochu,
as well as Denso auto parts maker will buy the remainder stock. Great. Mazda is once more in charge of its destiny. All of these companies have
a business relationship and stake in the continuing success of Mazda.
Mazda holds a small amount of stock in each of these companies as well. Cross share holding is common and the implications are obvious.

In a similar manner, do you think the big three USA makers could go to
their parts suppliers and trading companies and ask them for loan or
investment? Never happen. It is easier to ask Uncle Sam for a hand-out. Who's next?  Boeing?  Embarrassing to say the least.  It never ceases
to baffle me why US car manufacturers have, for over 35years, dismissed
the Asian automobile makers as a non entity. Arrogance?  Somehow they
got stuck in the mindset that those underpowered  toy like Honda Civics
and Toyota Corollas weren't  a threat and would never evolve.  In
addition the big three were tone deaf to the innovation happening in
Asia as well as within their own neighborhood. "Good fuel mileage?-
Bhah!,  fuel is cheap and it will last 150 years," they said.  Yes it
was, but with the present demand curve no it won't.  And so the  cheap
tin cans evolved into quality cars that are now made in USA, by American
workers, and they come in all sizes and luxury levels, and generally are
made as well if not better than the big three automaker cars. And
presently Americans and newly arrived engineers from abroad are given
the environment and encouragement to innovative on Asian transplants
behalf.  The resulting increase in market penetration over the years
should have been a great check on reality as to what the consumer wants.
But it appears the big three developed another malady.  Shortsightness.

And now  Toyota, Honda, and Hyundai  pay state and federal taxes, on
their corporate operations located on US soil.  Their taxes are
offsetting the taxes presumably the big three used to pay and they have
a great reputation for being involved in their respect local
communities. However the transplants are also  suffering a slump in
sales and as such have had to cut down on operations in Japan as well as
abroad.  Gee, should they also stand in line for Uncle Sam's dole?

My take on it.  Three words.    "Yes we ... "   Whoops! that was last
weeks message:)

Try "Long term planning."  Looking good on paper for the next quarter
financial report consumes valuable resources and company focus that
could be better invested in innovation and market share penetration. These tasks take the commitment to stay the course.
Unfortunately Wall Street's speculative nature, has too big an influence
on company net worth.  Any sign of weakness and here come the sharks. Can we really believe that stock traders give a sh..  if they sell these
companies short?   They will make millions a day in trading 'futures'
as the stock prices continue to fall. Our country is evolving towards
trading paper virtual worth, while Asia is innovating goods.

Ex pat. living in Japan who hasn't had his morning coffee yet.

Doug