Ford May Deal Luxury Aston Martin Brand

Thursday , August 31, 2006 (Fox News)

DETROIT — Ford Motor Co. (F) said Thursday it is exploring the possible sale of all or part of its Aston Martin luxury brand as the company works to free up cash to pay for its North American turnaround plan.

But it said no decisions have been made about its other luxury car brands which include Jaguar and Land Rover.

"As part of our ongoing strategic review, we have determined that Aston Martin may be an attractive opportunity to raise capital and generate value," Bill Ford, the automaker's chairman and chief executive, said in a statement.

He said the Aston Martin's dealer network, design and size are different from other Ford brands and the most logical choice for possible sale.

He said no decisions have been made about its other Premier Automotive Group brands.

"We continue to be encouraged by Jaguar's progress and by the strength and consumer appeal of the Jaguar, Land Rover and Volvo product lineups" he said.

Ford shares rose 4 cents to $8.31 in premarket trading.

In July, Ford pledged to speed up and possibly deepen its North American turnaround plan.

Dearborn-based Ford's "Way Forward" plan, launched in January, calls for shedding 25,000 to 30,000 jobs and closing 14 plants by 2012 to help return Ford's North American automotive operations to profitability.

http://www.foxnews.com/story/0,2933,211516,00.html

 

This is something I think Ford should have done years ago. In fact, I don't think Ford should have ever bought out Jaguar and Land Rover in the first place. Now they might have the money they need to revive their line-up.

 

I agree, but these companies on their own may have a difficult time now since they don't have the buying power leverage or R&D resources like they used to.

 

True; however, I think they stand a better chance than they do under Ford. Everything they are trying is failing. Jaguar hasn't improved in popularity under Ford really so I doubt they will be that much worse off. I wouldn't be surprised if they get picked-up by some other car company.

 

I am not sure about Jaguar's popularity over all but here in Texas they are very popular even though I hear their reliability has always been bad.

They are one of the quitest cars I have sat in though as the doors weigh a ton and must be heavily sound insulated.

 

I actually think I heard that their reliability improved when Ford took over, and that isn't saying much for Jaguar. They are a fancy car with nice interior but I never have liked them. My aunt had a 1993 Jaguar XJ or something sedan. It was always in the shop. I'll take the most dull Lincoln, Cadillac, or Chrysler before a Jaguar anyday.

In my area they are rare. In my area, Mercedes, BMWs, Cadillacs, and Lincolns are common, but no one here likes Jaguar really.

 

We see all of those cars here since we have a lot of rich people and yuppies in the area that like to make impressions.

 

Of course you live in a more heavily populated area than I live in, so that also makes a difference. I've lived in small towns my whole life, and my university is in a small town as well.