Q1 earnings will be taking a big hit for this.
https://www.freep.com/story/money/cars/ford/2021/01/11/ford-brazil-manufacturing-costs/6625361002/
4 replies (most recent on top)
@2juv+18R99aEY It is not losing 4 billions this quarter to stop losing 1 billion a year, but taking now all the losses for the next 4 years and stopping the bleeding. Most of that money was already spent making and retooling the factories. Ford is just saying it cannot recouped it back.
The bulk of the money that Ford has to spend now in Brazil is for the layoff packages. So Ford will be "saving" all the salaries and the expenses of running the factories.
Thanks
It will cost $4 BILLION this quarter to stop losing almost a $ BILLION every year, so the payback is 4-5 years.
Business model at ford cares more about being woke. Ha that will get you a lot!
Be more expensive to keep pouring money into that region (& others) only to record a LOSS over and over again.! Grow a pair and get out of these markets that we continue to loose money in. GM did it.