14th Jul 2006 07:00
Ford Motor Co13 July 2006 Contact: Media: Shareholder Inquiries: Becky Sanch 1.800.555.5259 or 1.313.594.4410 1.313.845.8540 [email protected] [email protected] FOR IMMEDIATE RELEASE FORD DECLARES REDUCTION IN QUARTERLY DIVIDEND; DIRECTORS REDUCE THEIR COMPENSATION DEARBORN, Mich., July 13,2006 - The Board of Directors of Ford Motor Company(NYSE: F) today declared a third quarter dividend of 5 cents per share on thecompany's Class B and common stock. The dividend, which is payable on Sept.1,2006 to shareholders of record on Aug. 2,2006, is a reduction of 5 cents pershare from the dividend paid in the second quarter of 2006. In addition, the Board of Directors voluntarily reduced board member fees byhalf. "Our directors are well aware of the difficulties and sacrifices involved inturning around our company," said Bill Ford, chairman and chief executiveofficer. "They have underscored this by voting to reduce their own compensation. "The directors also agreed that a reduction in the dividend is consistent with abroad range of actions we are taking across the company to support and improvethe performance of our automotive operations," he said. "Strong liquidity is animportant enabler of our on-going turnaround efforts and this action will makean important contribution." Ford added, "In the face of increasing challenges, we will continue to look forother efficiencies and savings, and we are accelerating ongoing efforts tointegrate the product plans of our North America and International operationsthrough our global product development system. The headwinds we faced at thebeginning of 2006 have only become stronger, as consistently higher gasolineprices in the U.S. have caused consumer purchase preferences to shift away fromSUVs and large trucks to smaller cars and crossover vehicles. While this shiftplays positively to our new vehicle offerings, we must still get our costs inline in response to segment adjustments and higher commodity prices that areaffecting the company. Still, we continue to see progress in many of ouroperations around the world, and I remain highly confident in the long-termsuccess of the company." Ford Motor Company, a global automotive industry leader based in Dearborn,Mich., manufactures and distributes automobiles in 200 markets across sixcontinents. With about 300,000 employees and 108 plants worldwide, the company'score and affiliated automotive brands include Aston Martin, Ford, Jaguar, LandRover, Lincoln, Mazda, Mercury and Volvo. Its automotive-related servicesinclude Ford Motor Credit Company. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
FDM Group