agent Entrepreneur logo
MenuMENU
SearchSEARCH

Bill Ford: Ford May Lose Some Investors to GM IPO

August 20, 2010
2 min to read


DETROIT - Ford Motor Co. Executive Chairman Bill Ford said some investors may reduce their holdings in his company to buy shares in General Motors Co.’s initial public offering and spread their risk across the automobile industry, reported Bloomberg.


“Some money will be rebalanced into GM, but look: our company and GM ultimately are going to succeed or not based upon performance,” Ford, 53, told reporters today at an event in suburban Detroit. “It doesn’t make any difference to me where our shares are or their shares are on any given day.”

Ad Loading...


GM, 61 percent owned by the U.S. Treasury, this week filed documents for a share sale that would cut the government’s stake and mark the automaker’s return to public markets a year after filing for bankruptcy. The offering may be as large as $16 billion, people familiar with the plans have said.


Ford shares have gained 19 percent this year through Thursday.


Ford is talking to the UAW in advance of 2011 negotiations, the chairman said today. While the automaker is “largely competitive” with GM and Chrysler Group LLC on labor costs, there are some areas where the companies aren’t at parity, said Ford, the great-grandson of the company’s founder.


UAW members at Ford ratified contract changes in March 2009 that the automaker said would save $500 million annually, including giving up annual bonuses and cost-of-living increases and accepting reductions in layoff benefits. GM and Chrysler, before the bankruptcies of their predecessors, won a freeze on pay for entry-level workers and a no-strike accord until 2015.


“I’m confident that as we go through negotiations we’ll work it out,” Ford told the audience at the event. “Any negotiation is a big deal, but I feel very good about our relationship with the UAW.”

Ad Loading...


Ford avoided bankruptcy by borrowing $23 billion in late 2006, before credit markets froze. CEO Alan Mulally has said the borrowing left the company with obligations that now put it at a competitive disadvantage.


Ford’s earnings and cash flow have kept the company ahead of schedule repaying debt, the chairman said today.


The automaker earned $4.7 billion in the year’s first six months, the largest first-half profit since 1998. Sales of redesigned models such as the Taurus and Fusion sedans helped propel the automaker’s U.S. sales up 23 percent this year compared with an industrywide gain of 15 percent.

More Industry

F&Iby Lauren LawrenceFebruary 27, 2026

Price Driving Insurance Churn

Over half of insurance holders ages 18 to 29 reported to be 'somewhat' likely to change providers in the next 90 days, according to CivicScience, which found that interest was lower among older age groups.

Read More →
Industryby Lauren LawrenceFebruary 26, 2026

AI Drives Dealer Website Traffic

Total visits to dealer websites from generative artificial intelligence platforms grew more than 15 times year-over-year, signaling a shift in how many consumers shop for cars online.

Read More →
Industryby Hannah MitchellFebruary 26, 2026

Automakers Tops in Fuel Economy

In the U.S., Honda has the most efficient gas-electrified combo lineup while Tesla beats all automakers in annual EPA ranking as brands built their alternative-fuel offerings.

Read More →
Ad Loading...
F&Iby Lauren LawrenceFebruary 25, 2026

Report Finds Year-End F&I Strength

Deal volume ebbed and flowed throughout 2025, but product performance remained steady, according to automotive technology and data intelligence solutions provider StoneEagle.

Read More →
Industryby Hannah MitchellFebruary 24, 2026

Overall Consumer Confidence Up

Americans’ view of present business conditions, the labor market and family finances, though, are still in the dumps, and if they plan to buy cars, many target used units.

Read More →
Auto Financeby Lauren LawrenceFebruary 23, 2026

Auto Loan Forecast Bucks Market Trend

Auto loan originations rose over 6% year-over-year in the third quarter of 2025, but TransUnion predicts a slight decline in auto loan growth this year, making it an outlier in the company's overall lending forecast.

Read More →
Ad Loading...
F&Iby Hannah MitchellFebruary 23, 2026

Some Auto Brands Cheaper to Insure

A new top 10 list ranks the least expensive for average full insurance coverage on a clean driving record and high driver credit scores.

Read More →
Industryby StaffFebruary 20, 2026

Learn to Manage the Mayhem at Agent Summit

Rob Mancuso – president of Mancuso Automotive – will present a Keynote at the 2026 event.

Read More →
Fixed Opsby Hannah MitchellFebruary 20, 2026

Auto Recalls Sank Last Year

2025 Sedgwick data indicate that the number of vehicles affected fell to its lowest point in more than a decade.

Read More →
Ad Loading...
Industryby Lauren LawrenceFebruary 19, 2026

Affordability Leads Top-Rated List

Edmunds’ editorial team tested 300-plus vehicles to help determine the Top Rated Awards for 2026, and one brand stood out with multiple rankings, including Best of the Best.

Read More →