Created Mon 1st Dec 2008 11:31am PST by
balcacer
All questions » Business » Deals » 
Will Ford motor company sell it's Volvo Branch for more/less than 7 billion dollars ?
Voided
Needs an option for the event not happening, just in case there is no sale...please edit and resubmit...thanks!!!
Background:>
Ford Motor Co. said it may sell its Volvo unit, the company’s sole remaining European brand, a day before the second-largest U.S. automaker is scheduled to present a survival plan to federal lawmakers.
The review of options for Volvo was spurred by the worldwide auto decline and probably will take several months, Ford said today in a statement. Volvo, acquired in 1999 for $6.4 billion, was retained after a similar evaluation last year.
Shedding the Swedish unit would complete the unwinding of a two-decade strategy of diversifying by buying European luxury brands. Today’s move also helps Dearborn, Michigan-based Ford show Congress it’s taking action to reshape operations while making a case with General Motors Corp. and Chrysler LLC for $25 billion in U.S. financial aid.
Volvo was once central to a failed strategy by Ford to reap a third of its profits from luxury autos in 2006. The U.S. company began buying European automakers in 1987, when it purchased a controlling interest in U.K.-based Aston Martin. Ford acquired Jaguar in 1989 and Land Rover in 2000. Ford sold Aston Martin for $931 million in May 2007, and Jaguar and Land Rover in June of this year for $2.4 billion.
India’s Tata Motors Ltd. bought Jaguar and Land Rover for less than the $2.5 billion Ford paid in 1989 for Jaguar alone. The price also didn’t cover investments Ford made in the U.K. brands, including $2.1 billion in 2005 for a revamping of Jaguar.
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aj3kJULbdRAA
The review of options for Volvo was spurred by the worldwide auto decline and probably will take several months, Ford said today in a statement. Volvo, acquired in 1999 for $6.4 billion, was retained after a similar evaluation last year.
Shedding the Swedish unit would complete the unwinding of a two-decade strategy of diversifying by buying European luxury brands. Today’s move also helps Dearborn, Michigan-based Ford show Congress it’s taking action to reshape operations while making a case with General Motors Corp. and Chrysler LLC for $25 billion in U.S. financial aid.
Volvo was once central to a failed strategy by Ford to reap a third of its profits from luxury autos in 2006. The U.S. company began buying European automakers in 1987, when it purchased a controlling interest in U.K.-based Aston Martin. Ford acquired Jaguar in 1989 and Land Rover in 2000. Ford sold Aston Martin for $931 million in May 2007, and Jaguar and Land Rover in June of this year for $2.4 billion.
India’s Tata Motors Ltd. bought Jaguar and Land Rover for less than the $2.5 billion Ford paid in 1989 for Jaguar alone. The price also didn’t cover investments Ford made in the U.K. brands, including $2.1 billion in 2005 for a revamping of Jaguar.
http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aj3kJULbdRAA
Settlement details:
As reported by a major mainstream news source.www.blomberg.com
Voided
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Less than 7 billion dollars |
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More than 7 billion dollars |
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Voided Wed 3rd Dec 2008 1:14am PST
Suspend date: Wed 31st Dec 2008 11:59pm PST
Initial likelihoods: Less than 7 billion dollars: 50%, More than 7 billion dollars: 50%
Action history:
Created Mon 1st Dec 2008 11:31am PST by
balcacer
Suspended Tue 2nd Dec 2008 3:26am PST by
bayoubear![This user is an admin [Admin]](http://www.hubdub.com/images/icon_admin.gif)
: No option in case no sale goes through...needs to be resubmitted with three choices...over and under 7 billion, and no sale announced
Will void when a new question is created
Will void when a new question is created
Voided Wed 3rd Dec 2008 1:14am PST by
bayoubear![This user is an admin [Admin]](http://www.hubdub.com/images/icon_admin.gif)
: Needs an option for the event not happening, just in case there is no sale...please edit and resubmit...thanks!!!
Suspend date: Wed 31st Dec 2008 11:59pm PST
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14 predictions
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