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Katrina dealt another knockdown??punch to Detroit. Ford and General Motors rely heavily on full-size SUVs for profits, and sales of those vehicles were softening even before the latest surge in gas prices. "We have some dealers we haven't been able to contact," says Ford spokesman George Pipas, who estimates that 40 Ford and Lincoln-Mercury dealerships in southern Alabama, Mississippi and Louisiana were affected by the storm. Katrina forced Nissan to close its assembly plant in Canton, Miss., 211 miles north of New Orleans. When the plant reopened, employees reported they were having a hard time finding...

Author: /time Magazine | Title: Billion Dollar Blowout: Billion Dollar Blowout | 5/10/2006 | See Source »

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