Wonder of wonders. Ford (F) had and increase of revenue from $40.8 billion in the first quarter a year ago to $43 billion this year. The company’s loss fell to $282 million from $1.4 billion a year ago. And, the company said its cost cutting is working.

Some highlights:

Cost savings of $500 million, $400 million of which was associated with North America –

bringing total cumulative cost savings to $1.9 billion toward the 2008 target of reducingannual operating costs by $5 billion compared with 2005.

Ford Europe pre-tax profits of $219 million, an increase of $154 million compared with a year ago.

Premier Automotive Group (PAG): PAG reported a record pre-tax profit of $402 million for the first quarter, compared with a pre-tax profit of $152 million for the same period in 2006.

Traders went bonkers sending the stock up 10% in pre-market trading to $8.65.

Douglas A. McIntyre