The Toll

The Ford Motor Co. strike was 53 days old last week when United Auto Workers President Walter Reuther and Company Negotiator Malcolm Denise finally signed a new three-year labor contract. That done, Ford announced that it lost $73.9 million during 1967's third quarter, compared with a $65.8 million profit for the same period last year. It was the biggest earnings setback since Ford went public in 1956, and the strike was obviously to blame. But troubling though the deficit was, Ford should make up most of its losses with a surge of sales to customers who waited out the strike.

For the moment, however, the strike was not really over. Despite the national settlement, such local issues as overtime and work conditions kept a number of assembly and parts plants closed down, and production was not expected to get into full swing until some time this week.

Ford was also burdened by another of Detroit's now familiar auto recalls.

Citing possible steering-wheel defects, the company called back 745,000 cars, including its entire 1967 production run of 447,000 Mustangs. The postal expense of notifying car owners set Ford back at least $260,000, not to mention the cost of inspections and possible parts replacements. In the case of recalled '66 and '67 Falcons, Fairlanes and Thunderbirds, the company blamed "workmanship problems rather than design"--a pointed indictment of the workers who, under the new contract, will cost better than $5.30 an hour in wages and fringe benefits.

This file is automatically generated by a robot program, so reader's discretion is required.