Ford focused on improvements, growth while regaining investment-grade metrics

By Jennifer Lanning Drey

Savannah, Ga., Oct. 6 - Ford Motor Co. is focused on improving the business and growing in all geographic regions while working its way back to investment-grade credit ratings, K.R. Kent, chief financial officer of Ford Motor Credit, said during a Wednesday investor presentation.

"It is our strategy to continue to improve the balance sheet. While the metrics will be judged externally by the ratings agencies, we view a return to investment grade as a rallying cry within the company," Kent said at the Deutsche Bank Leveraged Finance Conference in Phoenix.

Ford Motor is on track to meet its financial targets of delivering solid profits in 2010 with positive automotive operating-related cash flow. The company expects continued improvements in 2011, he said.

During the question-and-answer portion of the presentation, Kent declined defining a timeframe for the company's return to investment-grade status but said he believes the agencies will base their decision on Ford's operating results and improved balance sheet.

Meanwhile, within Ford's financing arm, Ford Motor Credit, the company remains on track to complete its full-year funding plan, Kent said.

Year to date, Ford Motor Credit has completed $21 billion of term funding, about $15 billion of which was public. The company has also completed about $6 billion of funding through private securitization channels, he said.

Ford Motor Credit had about $21 billion of available liquidity at June 30.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.