Ford's first quarter earnings brought good news -- and bad news -- to Wall Street. The good news: Ford's $171 million dollar loss wasn't as bad as analysts had predicted. The bad news: It still lost money.

Ford's cost cutting efforts are paying off. The company was able to save $500 million in the previous quarter by closing plants and cutting up to 45,000 jobs in North America. It also profited globally, in part, because of favorable exchange rates.

But, most industry watchers agree Ford and its domestic competitors can't cut their way out of their current crisis. They need to make and sell vehicles that consumers want to buy. Ford has counted on its high-margin F-Series pickup trucks to add volume and revenues, but a depressed housing market and rising gas prices make trucks a tough sell. And, the company's other products have yet to gain much traction with consumers.

This week, Toyota surpassed General Motors in U.S. vehicle sales. That now makes Ford the third largest auto maker in the U.S. The clock is ticking for Ford, Chrysler, and GM. Ford Chairman & CEO Alan Mulally says he wants to have Ford back in the black within two years. But, analysts question if that will be possible given the current market conditions.

Ford, Chrysler, and GM face tough negotiations this summer with the United Auto Workers union. Some experts say the auto companies must get deep health care and benefit concessions from the union if they want to survive in an increasingly cut-throat industry.

If they don't, there is some speculation that the Ford family could take its namesake auto business private. That may not be a stretch if Daimler Benz sells Chrysler to a private equity group.

What do you think? Would Ford be better off in private hands?