Ford Reports Unexpected $997 Million Profit in Third Quarter

Ford Motor Co. on Monday announced its first profit in North America since 2005, posting a third-quarter net income of nearly $1 billion, the Los Angeles Times reports. The only major U.S. automobile manufacturer that did not file for bankruptcy this year, Ford made a pre-tax profit in North America of $357 million in the period from July to September, a dramatic rebound from its $2.6 billion loss in the same quarter last year.

The company attributed its success to $1 billion in cost reductions at its manufacturing operations, as well as a boost from the government's "cash for clunkers" program, in which Ford Focus and Escape models were leading sellers. The company also made higher profits off its sales by offering lower incentives to buyers. Ford's sales through September have accounted for 15.2 percent of the new car sales in the United States this year, and the gains have come at the expense of Chrysler and General Motors.