Ford to keep Volvo, at least for now

While Jaguar’s and Land Rover’s fate is still up in the air, analysts are wondering what Ford plans on doing with Volvo. According to the latest quarterly earnings by Ford issued today, it seems for has no plans to give up on Volvo. Not only that, Ford said it has developed a new plan for Volvo to improve its financial performance.

Ford said the plans include:

-Enhancing Volvo’s position as a global producer of premium vehicles;
-Establishing appropriate business arrangements between Volvo and Ford-brand operations to allow Volvo to operate on a more stand-alone basis;
-Getting more efficiencies between Ford-brand operations and Volvo in areas such as product development and purchasing.
-Disclosing Volvo’s financial performance beginning with 2008 results.

Rumors have been spreading that Ford will eventually drop Volvo in order to improve its financial condition. However, Ford has previously issued a statement denying that it is in talks with other automakers to sell the Volvo brand.


Source: Automotive News (Subscription Required)