Ford sees $180 million cost to correct suspension issue in Explorers; evaluating options on latest duty ruling
Ford Motor Co. (F) disclosed Wednesday that it estimates a cost of $180 million for a "field service action" to correct a suspension issue in Explorer vehicles. The issue is in certain Explorer model years 2011 through 2017. Separately, the auto maker said the ruling by U.S. Customs and Border Protection (CBP) that its Transit Connect vehicles that are imported as passenger wagons and later converted into cargo vans are subject to 25% duty, rather than the 2.5% duty applied to passenger vehicles, was upheld by a federal appeals court on Jun 7. "We are evaluating our options following the most recent ruling," Ford stated in an filing with the Securities and Exchange Commission. The stock slipped 0.2% in premarket trade. It has rallied 30% year to date through Tuesday, while the S&P 500 has gained 15%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
June 12, 2019 08:56 ET (12:56 GMT)
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