Ford Loses $1.4 billion in First Quarter
April 24, 2009 by Stephen Kersey
Filed under Business
On Friday, Ford reported a $1.4 billion ($0.60 a share) loss for first quarter 2009. The losses were less than expected and the company believes they will not need the same type of federal bailout that is currently keeping other automakers alive.
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Ford’s revenue dropped 37% in the quarter to $24.8 billion. Vehicle sales in the United States dropped 43%.
Ford CEO Alan Mulally said the company will not need a federal bailout loan unless the economy takes a significant downturn, or an uncontrolled bankruptcy causes a disruption in the flow of parts from the company’s suppliers.
In December, Ford had asked the government for a credit line of $9 billion, but they indicated they would not need to use it unless sales were worse than their expectations.
Though rivals GM and Chrysler are surviving on bailout money, Ford doesn’t seem like they will end up in the same boat.
Source: Wire Reports
