AFSCME 3357-HOF'S BLOG

Ford Completes Deal with Tata

Ford Motor Company (finally) announced that it has come to terms with Tata Motors on the sale of the Jaguar and Land Rover divisions. Ford will net about $1.7 Billion from the transaction. That's a small fraction of what Ford paid for these companies, and an even smaller fraction of the cash and development resources that Ford invested after purchase. Consider that it takes about $5 billion to develop one new model, it's clear that the $2.3 billion gross price was a fire sale.