Ford 'on track' to reduce debt to $10 billion by mid-decade, CFO says

By Aleesia Forni

Columbus, Ohio, Sept. 9 - Ford Motor Co. expects to have roughly $10 billion of debt on its balance sheet by mid-decade, according to chief financial officer Lewis Booth.

As of June 30, the company reported $14 billion in debt, down $19.6 billion from its year-end debt in 2009.

"We don't think a balance sheet without any debt is a particularly efficient way of funding, so we think $10 [billion] is about the right order, and we're well on track to achieve that," Booth said during the company's presentation at UBS Best of American 2011 Conference.

The company currently has cash net of debt of $8 billion and a liquidity of $32.2 billion as of June 30.

"We feel much more sanguine about the state of our balance sheet than we did back in 2008 [and] 2009," Booth said.

The company also expects to start paying dividends "sooner rather than later," according to Booth.

Ford is a Dearborn, Mich.-based motor vehicle manufacturer.

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