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Ford to Shave $3 Billion in Debt

Wall Street Journal Original article ›

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Ford's CFO Lewis Booth says Ford will take a charge to its first quarter 2011 earnings and use cash or shares to cut its debt by $3 billion. This would lower Ford's debt to $16.1 billion. It would reduce Ford's interest rate expense by $190 million. Ford spent $1.8 billion on interest expense in 2010. S&P rates Ford at BB- or three levels below investment grade. S&P will not change its rating because it considers this part of Ford's ongoing effort to reduce debt.

Ford Motor's financial position in 2010.

03/29/2010

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