FordFusionClub.com banner
1 - 9 of 9 Posts

·
Registered
Joined
·
817 Posts
Discussion Starter · #1 ·
DETROIT - Cash-strapped Ford Motor Co. has sold a controlling stake in the Aston Martin brand, made famous by its exotic sports cars appearing in James Bond movies, raising $848 million to help fund its turnaround plan.

Aston Martin now will be run by a consortium of investors, including racing mogul David Richards, car collector John Sinders and Kuwaiti firms of Investment Dar and Adeem Investment Co.

Ford officials announced the sale Monday at Aston Martin's headquarters in Gaydon, England. The sale is expected to close in the second quarter.

Ford will retain a $77 million stake in the company. That values all of Aston Martin at $925 million.

Dearborn-based Ford, which lost $12.7 billion last year and expects losses to continue until 2009, put Aston Martin up for sale last August.

Ford Chief Executive Alan Mulally said the sale supports the company's turnaround plan, which involves cutting factory capacity and rolling out new cars and trucks at a faster pace.

"From Aston Martin's point of view, the sale will provide access to additional capital, which will allow Aston Martin to continue the growth it has experienced under Ford's stewardship," Mulally said in a statement.

Richards is founder and chairman of Prodrive, a racing and automotive technology company with long-standing ties to Aston Martin. Sinders is an Aston Martin collector and racing backer, while Investment Dar and Adeem Investment are international companies based in Kuwait, Ford said.

Founded in 1914 by Lionel Martin and Robert Bamford, Aston Martin turned out its first car in 1915. Ford bought a controlling stake in Aston Martin in 1987 and acquired full ownership in 1994.

Annual production dipped as low as just 46 cars in 1992. But the brand has enjoyed a resurgence this decade — a record 7,000 Aston Martins were sold worldwide last year and a similar number are expected to be purchased in 2007.

The DB9 and V8 Vantage models are made at Gaydon and later this year a DBS model will go into production at the Warwickshire plant, where 1,600 staff are employed.

Actor Daniel Craig drove the DBS in "Casino Royale" and the first 007 — Sean Connery — drove an Aston Martin DB5 in the 1964 Bond movie "Goldfinger."

Versions of the car also appeared in a number of other 007 films, including "Thunderball," "The Living Daylights," "Goldeneye" and "Die Another Day."

Ford shares slipped 3 cents to $7.90 in morning trading on the New York Stock Exchange.
 

·
Registered
Joined
·
910 Posts
Love AM. Especially the V8 Vantage. Ford did a pretty good job with AM but its still good to see it going back home to its historic roots (the ownership that is, the factory has always been there) also this should be good for ford, the influx of cash-almost a billion that certainly helps. of course AM was profitable so..
 

·
Registered
Joined
·
817 Posts
Discussion Starter · #3 ·
[quote author=otaku link=topic=71781.msg1265720#msg1265720 date=1173826690]
Love AM. Especially the V8 Vantage. Ford did a pretty good job with AM but its still good to see it going back home to its historic roots (the ownership that is, the factory has always been there) also this should be good for ford, the influx of cash-almost a billion that certainly helps. of course AM was profitable so..
[/quote]
Ford needs to get back to basics: new models; new technology; fewer specialty cars. The introduction of Fusion, and its siblings, and the Edge and MKX, are steps in the right direction, IMHO. FoMoCo needs to be making fine cars for the masses.
 

·
Registered
Joined
·
195 Posts
Sick and tired of hearing about how bad finacially Ford is in when it is not totally true. Ford has millions upon millions in reserve and earmarked for the North American turnaround. I watched a clip on the Detroit auto show and an auto market type fincance person even said Ford has enough cash to turn its North American Market into a profitable one by 2009/10 time frame. Ford is doing fine in Europe and Asia. North America it is stumbling in. Ford will turn itself around. Now, if we could just get the media to do some fair news stories.. :x
 

·
Registered
Joined
·
910 Posts
Yeah but doomsday stories get read more often! Thats why they write like they do. Ford does do well in europe because they have solid products there and they can turn it around here, if they follow ford europes lead a little more.
 

·
Registered
Joined
·
817 Posts
Discussion Starter · #6 ·
Then again, the Euro markets -- also Asian and Australian -- are different than the U.S. and Canadian ones. There is no one or two models that sell tremendously well everywhere, that I know of. Each market is unique, so the models are unique to the markets in which they are being sold.
 

·
Registered
Joined
·
910 Posts
True. For instance "world" cars don't do so well because we americans like and to some extent need more space (and cupholders!) haha. I mean the fusion has cupholders in the damn door! But what I'm saying is the euros get the better styling, quality and engineering. Ford products in europe tend to drive better and be better built and yes they tend to look better to. The fusion is an exception of course and also though the styling is quite nice I doubt it would do so well in europe or asia-seems fairly american to me.
 

·
Registered
Joined
·
817 Posts
Discussion Starter · #8 ·
I don't think I would go so far as to say cars manufactured and sold in other parts of the world are better than those sold in the U.S., they are just different. It would be interesting to learn which make and model has the highest overall sales in the world. Probably a Toyota of some sort, maybe a Corolla. At one time I believe the Escort was a top-selling "world car." Of course, top sales do not necessarily mean the best, merely the most popular.

Getting back to the tread, I think Ford was wise to sell Aston Martin and should probably sell Land Rover and Jaguar as well. Ford should concentrate on selling Fords (and Mercurys and Lincolns) and leave the vanity market to others.
 

·
Registered
Joined
·
910 Posts
Land Rover is truly a nightmare-they're great SUVs if a bit expensive but the worst part is they constantly need fixing! I don't believe they're profitable either, so yes it wouldn't be a bad idea to sell if they could make some money. Jaguar hasn't been profitable much either though ford has done a great job with them, though with the new XK they seem to be turning around a bit-again though it wouldn't be a bad idea to sell if necessary. Above all else they should keep the ford brand alive.
 
1 - 9 of 9 Posts
Top