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rumour mill - Ford to sell Volvo
Posted by John A. (more from John A.) on Tue, 18 Jun 2002 20:04:30
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Ford rumoured to be selling Volvo
By Joe Duarte Jun 18, 2002
Swedish newspaper Dagens Industri is reporting that Ford may be shopping Volvo around, in a bid to consolidate its Premier Auto Group (PAG) and stop the ebb of its financial reserves.
Industry analysts speculate the move may also include the sale of Aston Martin to an owner who can continue to build the desirable automobiles on a per-order basis. Further speculation is that Ford will want to sell off Volvo while its lineup is very balanced and the models maintain their own platforms and public desirability on both sides of the ocean.
Contradicting the rumours is the thought that the compact Volvo S40/V40 replacement (due in 2003) would be built on the current Ford Focus platform (a move that would reduce costs and maintain the characteristics of the vehicles). That would help the PAG bottom line (similar to the building of the Jaguar X-Type off the Mondeo platform), which is a highly-sought after goal at Ford.
The Ford corporate line is that the rumours are "absolute rubbish".
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