Ford says recall of F-150, Super Duty pickups to cost $267 million in Q4

October 18, 2017
Michael Martinez

DETROIT -- Ford Motor Co. on Wednesday recalled 1.3 million 2015-17 F-150 pickups and 2017 Super Duty pickups to fix faulty side door latches.

In a filing with the Securities and Exchange Commission, Ford said the recall would cost it $267 million and will show up on the company's fourth quarter income statement. 

Ford said dealers will install a water shield in affected vehicles for free. Without the shield, the doors may not open or close properly and may open while driving, Ford said.

A Ford spokeswoman, Elizabeth Weigandt, said customers would be notified next month but did not have a timetable for when parts will be available. 

Affected F-150s were built from March 12, 2014, to Dec. 31, 2016, at the Dearborn Assembly Plant and from Aug. 11, 2014, to Dec. 30, 2016, at the Kansas City Assembly Plant.

Affected Super Duty pickups were built from Oct. 8, 2015, to Sept. 1, 2016, at the Kentucky Assembly Plant.

Ford said it is unaware of any accidents or injuries related to the problem.

This is not Ford's first door latch problem.

It took a $295 million hit in the first quarter because of two recalls, one of which involved the expansion of a door latch recall to nearly 211,000 vehicles including 2014 Fiestas, 2013-14 Fusions and 2013-14 Lincoln MKZs.

Ford has now recalled more than 5 million vehicles for varying door latch-related issues since 2016, but the company said the issue in the new recall is different from prior ones.

Weigandt said Ford's decision to issue a recall is driven by data. "When the data indicates a safety recall is needed, we move quickly," she said.

Reuters contributed to this report.

http://www.autonews.com/article/20171018/OEM11/171019669/ford-truck-recall-earnings