By 2005, both Ford and GM's corporate bonds had been downgraded to junk status,[

18] as a result of high U.S. health care costs for an aging workforce, soaring g
asoline prices, eroding market share, and an over dependence on declining SUV sa
les. Profit margins decreased on large vehicles due to increased "incentives" (i
n the form of rebates or low interest financing) to offset declining demand.[19]
In the latter half of 2005, Chairman Bill Ford asked newly appointed Ford Ameri
cas Division President Mark Fields to develop a plan to return the company to pr
ofitability. Fields previewed the Plan, named The Way Forward, at the December 7
, 2005, board meeting of the company and it was unveiled to the public on Januar
y 23, 2006. "The Way Forward" included resizing the company to match market real
ities, dropping some unprofitable and inefficient models, consolidating producti
on lines, closing 14 factories and cutting 30,000 jobs.[20]