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Ford and GM Boost Cash Rebates

July 7, 2004

Ford Motor Co. and General Motors raised retail incentives on Wednesday after poor June sales, Reuters reported. Ford raised incentives by $1,000 on its Explorer SUV, Freestar minivan and Focus. Sales of the Explorer fell 18 percent in June and has declined 6 percent year-to-date. A total of $4,000 in cash rebates are now available on the Explorer four-door SUV. Ford’s sales dropped 11 percent overall in June.Ford also is offering an additional $1,000 on its F-150 pickup truck if consumers finance the purchase through the company's credit arm, Ford Credit. GM said it raised cash rebates it offers on most of its sport utility vehicles to $5,000, and to $4,000 for most cars for the 2004 model year. GM's sales, including Saab, dropped 12 percent in June, Reuters reported.The Detroit Big Three also continue to offer interest-free financing for terms up to 5 years, despite the recent uptick in U.S. interest rates.
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