Ford puts Volvo unit up for sale
Ford said the possible sale of Volvo is part of its "strategic review" to try and strengthen its balance sheet. Last year Ford sought buyers for Volvo, but later said the company wasn't for sale.
Today's announcement comes as Ford and its cross-town rivals, General Motors Corp. and Ford Motor Co. prepare plans to present to Congress outlining how they would spend $25 billion in emergency loans to help them weather one of the worst auto markets in decades. Congress is seeking specific actions from the companies, including brand sales, further work force reductions and other measures, before it will approve loans.
Volvo already has cut some 6,000 jobs worldwide, with more than half in Sweden.
"Given the unprecedented external challenges facing Ford and the entire industry, it is prudent for Ford to evaluate options for Volvo as we implement our One Ford plan," Ford President and CEO Alan Mulally said in a statement. "Volvo is a strong global brand with a proud heritage of safety and environmental responsibility and has launched an aggressive plan to right-size its operations and improve its financial results. As we conduct this review, we are committed to making the best decision for both Ford and Volvo going forward." Detroit News