The U.S. auto industry as a whole is going through some pretty tough times, with the Big Three looking for any means to improve their financial outlook. Chrysler is experimenting with four-day work weeks, GM is selling off $4 billion in assets and Ford has just announced that it will be selling new shares of stocks.
In all, Ford plans to offer about $500 million worth of new stocks. With those proceeds, Ford will buy bonds from Ford Motor Credit, which will in turn improve the automaker’s balance sheet by reducing debt, according to Automotive News.
Ford has yet to set a date for the stock deal. Over the past 12 months, Ford has move $927 million from debt to equity.
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08/15, 11:43 AM
posted by:
jayjc08
Not sure to say if this is good news or not. It’s great to see them loose and move some of that debt however.
08/15, 12:45 PM
posted by:
Xile
Instead of issuing new stocks, why don’t they just sell some that they already own?
08/15, 2:23 PM
posted by:
yarddog82abn
Say what you whant, Ford is coming back, they may not go back to the top but they will turn a profit consider them the under dog, and as we all know ever dog has his day…….
And yes I’m buying stock… Buy LOW, Sale HIGH…
08/15, 4:58 PM
posted by:
Xile
Maybe I misunderstood the reporting but Ford is selling existing shares. They aren’t issuing new stock.
08/15, 5:19 PM
posted by:
TOZO
They could also try to sell…….automobiles! They’re like stocks in that they are sellable, but autos are worth about $20,000 while their stocks are each worth $5. Now, some wise-ass will say “no one wants their autos.” Well wise-ass, not many people want their stocks either, so I’d go with the autos.
08/15, 6:29 PM
posted by:
bigp
whatever it takes to move the books from red
08/17, 10:29 PM
posted by:
Get Real
Sounds like another company……
The Titanic is a great ship.
Buy more White Star Line stock.
08/18, 2:42 PM
posted by:
brassmonkey
Fire sale!