Wednesday, October 18, 2006


DETROIT -- Financially troubled supplier Collins & Aikman Corp. halted
shipments to Ford Motor Co.'s Hermosillo, Mexico, assembly plant on Friday, Oct.
13, as part of a long-running pricing dispute.A one-shift interruption caused
Ford to lose about 400 units of its Ford Fusion, Mercury Milan and Lincoln MKZ
sedans, according to a story today in the Wall Street Journal.The drastic
measure followed failed efforts by Collins & Aikman to get price increases
on the interiors the company supplies to the vehicle platform, the newspaper
reported.Collins & Aikman spokesman David Youngman confirmed the shipment
interruption but declined to comment on details of the dispute


This whole situation doesn't make Ford look good, it's rare that an Auto supplier refuses to hold shipment, doing this risks a law suit and the possibility of future buisness, as mentioned in the article Collins & Aikman stated that it has been trying to get Ford to agree to a price increase for a while, and Ford seems to be dragging it's feet.


Either way the Dearborn Auto giant dosen't need the interuptions.


J.










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