Ford More Than Doubles Quarterly Loss To $254 Million

Aug. 3, 2006

Ford Motor Co. shares slid in pre-market trade Aug. 3 after Ford, in a revised earnings report, more than doubled its second-quarter loss because of higher-than-expected pension costs. In a filing late Aug. 2 with the Securities and Exchange Commission, Ford said its net loss for the quarter ended June was now $254 million and not $123 million as it reported on July 20.

"This change reflects an increase in estimates of our pension curtailment loss, as well as subsequent events with respect to conditions that existed as of the date of our balance sheet," the company said.

"As a result of this, we now project our full-year 2006 pension curtailment expense to be $1.2 billion -- up from $1 billion -- and our full-year 2006 special items to be $3.8 billion," it said.

About the Author

Agence France-Presse

Copyright Agence France-Presse, 2002-2025. AFP text, photos, graphics and logos shall not be reproduced, published, broadcast, rewritten for broadcast or publication or redistributed directly or indirectly in any medium. AFP shall not be held liable for any delays, inaccuracies, errors or omissions in any AFP content, or for any actions taken in consequence.