Ford intends Lincoln’s hallmarks to be refined, modern design, the most fuel-efficient premium powertrains and industry-leading technology that create a unique driver experience both in the cabin and on the road.

The future of Lincoln is building from a base that includes the new flagship MKS large sedan, the all-new MKT seven-passenger crossover and a significantly refreshed MKZ mid-size sedan—all now in showrooms. The hybrid version of the MKZ (earlier post) will reach showrooms later this year and is expected to be the most fuel efficient premium sedan on the market.

Later this year Lincoln will debut the significantly refreshed 2011 MKX crossover, the first vehicle to feature MyLincoln Touch driver connect technology. (Earlier post.)

This will be followed by another six all-new or significantly refreshed vehicles within four years. Plans for Lincoln include:

• Lincoln’s first-ever C-segment vehicle
• New Lincoln-exclusive powertrains, including an all-new V-6 engine and advanced fuel-efficient transmissions
• EcoBoost engines available in all Lincolns – from the Navigator full-size SUV to the new C-segment Lincoln
• Fuel economy leadership with each new vehicle, leading to Lincoln emerging as the most fuel-efficient luxury lineup on the market
• More useful technology and features than any other competitor with a special focus on comfort and convenience. New advanced features include: fully retractable glass roofs; adaptive computer-controlled suspensions; electronic, push-button gear-selectors; active noise control; and exclusive MyLincoln Touch driver connect technology

Lincoln’s share of the retail US luxury vehicle market has grown from 4.5% in 2005 to 6.3% through the first quarter of 2010.

Mercury. Mercury originally was created as a premium offering to Ford and was an important source of incremental sales. However, the continued strength of the Ford brand—particularly during the past three years—has accelerated the migration from Mercury to Ford for many customers.

Today, Mercury’s customer profile, pricing and margins are almost identical to Ford, but Mercury’s incremental sales have been declining.

Of Ford Motor Company’s 16% market share in the US, Mercury accounts for 0.8 percentage points, a level that has been flat or declining for the past several years. That contrasts with the Ford brand, which has increased market share by 2.2 percentage points so far this year on the strength of new products and improved quality, fuel efficiency, safety, smart design and value.

Ford says that its strengthening financial position—including the return to profitability and positive cash flow—allows the company to absorb short-term costs associated with the discontinuation of Mercury and to consolidate future product investments into Lincoln.

Today, there are no stand-alone Mercury dealerships in North America. Ford is working closely with dealers to maintain properly located stand-alone Lincoln or Ford-Lincoln dealers, which will offer dealers and the company the greatest opportunity for long-term profitable growth.