Ford reduces debt by $9.9B

Ford Motor Co. today announced that it has successfully completed the debt restructuring initiatives it announced last month, reducing its automotive division's debt by $9.9 billion — a move that it says will save the company $500 million a year. The Dearborn automaker and its credit subsidiary are using $2.4 billion in cash and 468 million shares of stock to retire that amount.

"By substantially reducing our debt, Ford is taking another step toward creating an exciting, viable enterprise," said CEO Alan Mulally. "As with our recent agreements with the UAW, Ford continues to lead the industry in taking the decisive actions necessary to weather the current downturn and deliver long-term profitable growth."