Aug. 9, 2007 (LPAC)--Over the last several days, Ford, General Motors, and Toyota have announced they've lowered their "outlook" for this year's sales figures. The Wall Street Journal notes that "A prolonged sales downturn could force Detroit's auto titans to rethink their North American turnaround plans - which were built on the assumptions of stronger industry sales," assumptions which have collided with the reality of declining consumer credit.

In response to these diminished expectations, Ford CEO Alan Mulally said that the company will decide in the first week of September whether to cut it fourth-quarter production plans, rather than stimulate "false demand" with profit-draining incentives. GM, on the other hand, while decrying past "bargain-basement deals" on all of its vehicles, is considering such incentives in critical areas where it is faced with heavy competition from Toyota incentive programs.