Ford Motor Co. (F) said Monday it was ceasing production in Brazil, closing two plants immediately and another by the end of the year, winding down sales of some Brazil-made vehicles as inventory is sold. Manufacturing operations in Argentina and Uruguay and the sales companies in other South America markets are not affected, Ford said. The company said it will keep some customer-support, product-development, and related operations in Brazil as well as its regional headquarters in São Paulo. The auto maker said it will "facilitate possible reasonable alternatives" for interested parties to take over the available plants. In connection with this decision, Ford expects to pre-tax charges around $4.1 billion, including about $2.5 billion in 2020 and about $1.6 billion in 2021. Shares of Ford added to gains on the news, recently up 2.3%. The stock has lost 0.3% in the past 12 months, contrasting with gains around 17% for the S&P 500 index.
-Claudia Assis; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
January 11, 2021 14:39 ET (19:39 GMT)
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