Mitchell Jaworski - AHN Reporter
Detroit, MI (AHN) - Ford Motor Co. said Monday that it is considering a sale of its Volvo luxury brand as it scrambles to raise cash during a time of slumping sales.
The company said the review of a possible sale will take several months and that it will continue to work closely with Volvo during its restructuring.
The sale of Volvo would be the last of several luxury brands Ford has held. The automaker use to own Jaguar, Aston Martin and Land Rover.
"Given the unprecedented external challenges facing Ford and the entire industry, it is prudent for Ford to evaluate options for Volvo as we implement our One Ford plan," said company president and CEO Alan Mulally in written statement.
Sales at Volvo plunged 52 percent in the U.S. for the month of October, worse than the 30 percent drop the Ford brand delivered.
Ford will join its industry peers in Washington on Tuesday in an effort to receive government aid. The automakers were recently sent back to Detroit and told to draw up a detailed plan for the use of government funds.
Shares of Ford finished Monday 5.2 percent lower to $2.55.
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