NADA Issues Statement on Ford's Decision to Kill Mercury

The National Automobile Dealers Association (NADA), which represents some 17,000 dealers with about 37,500 franchises in the U.S., has issued a statement through its chairman, Ed Tonkin, expressing some concerns about Ford's decision to discontinue its Mercury brand (click here for more details) and end production at the end of this year. Read the statement after the jump.

NADA Chairman Ed Tonkin

"It's a sad day for this 70-year-old marque, and its loss is disappointing for the more than 1,700 dedicated dealers who sell the Mercury brand.

NADA's concern is that Ford treats each of its Mercury dealers fairly and equitably, especially the 276 of whom sell Lincoln and Mercury exclusively. Another important concern is that Mercury customers be reassured by Ford, and that all warranties will be honored and parts and service will continue to be available.

Ford also needs to move quickly to take into account the millions of dollars that dealers have invested in facilities, equipment, personnel and training. They deserve fair compensation."

It's Official: Ford Dumps Mercury Brand

Like GM, Ford Motor Company is continuing to shrink its brand portfolio. Following the recent sale of Volvo Cars to China's Geely, with which it completed the dismantling of the premium group that once included Aston Martin, Jaguar and Land Rover, the Deaborn automaker made it official today that it will terminate the Mercury division in the fourth quarter of this year.

Given Mercury's declining sales over the years (the brand holds a pitiful 0.8 percent market share in the U.S. - overall Ford has 16%) and the fact that its entire lineup comprises of re-grilled / re-badged Ford models, the announcement was no surprise.

Some had suggested in the past that Mercury should do what GM is doing with Buick - enhance its U.S. lineup with Ford's European models, but apparently that role is partially going to Ford with the new Euro-style Fiesta and Focus cars.

Ford admitted that the majority of current Mercury sales are to fleet buyers and customers purchasing through employee, retiree and friends and family discounts, which the company anticipates can be satisfied by Ford brand vehicles.

The company added that it will work closely with Mercury dealers and customers during the transition, providing providing existing owners with access to parts and service support at Ford and Lincoln dealers and by honoring current warranties.

"We are 100 percent committed to supporting Mercury owners through Ford and Lincoln dealerships and working hard to keep them as valued customers in the future," said Ford President, Mark Fields.

"At the same time, we will work closely with our dealers to phase out Mercury franchises and continue to build a healthy, growing Lincoln with strong new products and a profitable dealer network that delivers a world-class customer experience."

Mercury was introduced into the market 71 years ago by Edsel Ford as a Buick-like, mid-priced alternative to mainstream Ford and luxury Lincoln models.

The brand's sales peaked at 579,498 units in 1978, but have since plunged to just 92,299 vehicles in 2009. In the first quarter of 2010, Mercury's sales accounted for a mere 1.9% of FoMoCo's global sales.

Ford May Announce Mercury's Death at a 3:00 PM EST Press Conference

If we are to believe a report from Detroit News, Ford Motor Company may very well confirm the axing of its Mercury brand in a press conference this afternoon in which the automaker is said to talk about "brand and product strategy". The report goes on to say that Ford is also likely to announce that the new compact model that was planned for Mercury will be launched under the Lincoln brand. Stay tuned on Carscoop for more details on this developing story.

Via: Detnews

Ring a Bell? Ford Fusion and Mercury Milan Probed for Floor Mats After Complaints About Sticky Accelerators...

Remember Toyota's recall-woes over specific floor mats that could slip forward and snag the gas pedal? Well, we could be heading for a second round of recalls on the same issue but for a different automaker.

The National Highway Traffic Safety Administration (NHTSA) has opened a formal investigation into the 2010MY Ford Fusion and Mercury Milan models to examine allegations about pedals becoming trapped in the depressed position by unsecured floor mats.

NHTSA said that it has verified three consumer complaints concerning the current 2010 Fusion stating that Ford's optional rubber "All Weather" mat, when laid on top of the secured, standard carpeted floor mat in the driver's side foot well, can slip forward and trap the accelerator pedal.

The safety agency added that it has not received any complaints involving crashes, injuries or fatalities in the FoMoCo vehicles.

All in all, the investigation covers a total of 249,301 2010MY Ford Fusions, Mercury Milans.

And for those of you that are unfortunate enough to get into a 'sticky' situation, here's the NHSTA's advice to consumers:

Actions Consumers Can Take If They Cannot Stop Their Vehicles
-- Brake firmly and steadily – do not pump the brake pedal.
-- Shift the transmission into Neutral (familiarize yourself with where Neutral is).
-- Steer to a safe location.
-- Shut the engine off.
-- Call your dealer or repair shop to pick up the vehicle. Do not drive it.