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Road to recovery

  • Factory output gives hint of faster growth
    U.S. factories boosted output last month, and December ended up being their best month of growth in five years.
  • January retail sales pick up
    Americans rebounded from a weak holiday season and stepped up spending on retail goods in January. The latest government report on retail sales pointed to a slowly improving economy. Retail sales rose at a seasonally adjusted 0.
  • Jobs lost; hopes fade
    J.R. Childress is up before the sun, bustling about in the French colonial brick house he built.
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Locally
General Motors Co.’s overall sales were up last month compared with February 2009. But for pickups built at its Allen County assembly plant, the numbers were mixed.
Sales of Chevrolet Silverado pickups were up 0.2 percent to 19,822 in February. Sales of GMC Sierras were down 1.9 percent to 6,296, according to figures GM released Tuesday.
Both models of trucks are made in Allen County and at a GM plant in Flint, Mich.
GM is in the process of adding a third shift to the Allen County plant, which is expected to bring the workforce there to 3,100 by the time it’s complete in April.
The company also announced last month that it will invest $59 million at its Defiance, Ohio, foundry. The project will add 80 employees to a workforce of 1,300 by the time it’s complete in 2012.
Sales
Chrysler
up 0.5 percent
Ford
up 43 percent
GM
up 11.5 percent
Honda
up 13 percent
Nissan
up 29 percent
Toyota
down 8.7 percent
Ford Motor Co. said Tuesday its U.S. sales jumped 43 percent in February thanks to strong demand for its vehicles.

Ford laps GM in U.S. sales

Redesigned models, demand for trucks power 43% surge

Associated Press photos
Toyota employee Linda Patrick builds a Camry in Georgetown, Ky. Toyota’s U.S. sales fell almost 9 percent in February.

– Buoyed by redesigned cars and a rebound in truck demand, Ford posted a 43 percent jump in U.S. sales in February compared with a year ago to beat General Motors in monthly deliveries for the first time since 1998.

Ford’s tally was 142,285 compared with 141,951 for GM, the automakers said Tuesday. Ford hadn’t topped GM in domestic sales since a strike idled the biggest U.S. automaker almost 12 years ago, and the last time before that was during a 1970 walkout, based on Ford data.

“This is huge because it’s the classic rivalry like Pepsi and Coke, the Red Sox and the Yankees,” said John Wolkonowicz, an analyst at IHS Global Insight in Lexington, Mass. “They’re doing it with the stuff that matters – quality, products and reputation. It could be a turning point.”

Three hours after announcing February sales, GM created separate arms for North American sales and marketing in its second such shuffle since December. Ford’s results topped analysts’ estimates while GM’s 12 percent gain trailed projections as snowstorms damped showroom traffic.

Toyota sales fell 8.7 percent to 100,027 as it struggled with global recalls that halted sales of some models. Chrysler Group sales rose less than 1 percent to 84,449, exceeding estimates and posting its first increase since December 2007.

Honda and Nissan reported gains that lagged behind a projection from industry researcher Edmunds.com.

Ford said sales of its Fusion more than doubled, passing the Focus for the top spot among the automaker’s cars, and Taurus sales almost doubled. Both sedans were redesigned in the past year. Pickup and sport-utility vehicle deliveries rose.

North American production for the second quarter will increase 32 percent from a year earlier to 595,000 vehicles, Ford said. Chief Executive Officer Alan Mulally has slashed costs, developed new models and kept Ford out of bankruptcy last year.

“Ford is certainly riding momentum right now,” said Jeff Schuster of J.D. Power & Associates in Troy, Mich. “GM is still in a state of flux, trying to settle on an image for the brands that remain and shuffling the management team.”

Tuesday’s executive changes at GM include shifting Susan Docherty, vice president for sales, service and marketing, to handle only marketing.

Steve Carlisle, most recently executive director of Southeast Asia operations, was named vice president of U.S. sales operations, the company said.

GM’s sales trailed the 20 percent average of five analysts’ estimates. The results showed the effect of GM’s plans to sell or shut four U.S. brands – Saab, Hummer, Saturn and Pontiac – as part of its government-backed bankruptcy last year. Those four vehicle lines plunged 86 percent to 3,102 vehicles, GM said.

The Associated Press contributed to this story.

– Marty Schladen, The Journal Gazette