SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report March 17, 2000
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(Date of earliest event reported)
FORD MOTOR COMPANY
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(Exact name of registrant as specified in its charter)
Delaware
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(State or other jurisdiction of incorporation)
1-3950 38-0549190
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(Commission File Number) (IRS Employer Identification No.)
One American Road, Dearborn, Michigan 48126
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code 313-322-3000
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Item 5. Other Events.
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Our news release dated March 17, 2000 concerning our memorandum of
understanding to buy Land Rover from the BMW Group, filed as Exhibit 20 to this
Current Report on Form 8-K, is incorporated by reference herein.
In 1999, revenue and unit sales volume for Land Rover were approximately
$5 billion and 177,000, respectively. The memorandum of understanding
specifies a purchase price of 3 billion euros for the Land Rover business, of
which 2 billion would be paid at closing (expected in mid-2000) and the balance
would be paid in 2005. We expect the transaction to be accretive to our
earnings in 2 to 3 years.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
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EXHIBITS
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Designation Description Method of Filing
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Exhibit 20 News Release
dated March 17, 2000 Filed with this Report
SIGNATURE
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Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized on the date indicated.
FORD MOTOR COMPANY
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(Registrant)
Date: March 17, 2000 By: /s/ Peter Sherry, Jr.
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Peter Sherry, Jr.
Assistant Secretary
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EXHIBIT INDEX
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DESIGNATION DESCRIPTION
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Exhibit 20 News Release dated
March 17, 2000
Ford News
Media Information Center
Telephone: 1.800.665.1515 or 1.313.621.0504
Fax: 1.313.845.7512
Email: [email protected]
Internet: http://media.ford.com
Contact: Ron Iori
(313) 322-1524
FORD MOTOR COMPANY TO BUY LAND ROVER
FROM BMW, EXPANDING LINEUP OF PREMIUM BRANDS
DEARBORN, Mich., March 17, 2000 - Ford Motor Company announced today that it
has reached a memorandum of understanding to buy Land Rover from the BMW Group.
The transaction is subject to BMW and Ford reaching a definitive agreement, due
diligence and regulatory approvals. If successful, the acquisition is expected
to be completed in the second quarter.
The acquisition involves the entire Land Rover line of vehicles - Range Rover,
Discovery, Freelander and Defender - including assembly and engineering
facilities. It does not include Rover's passenger car business or any
assumption of debt by Ford.
"Land Rover is a terrific global brand with a wonderful heritage," said Ford
Motor Company President and Chief Executive Officer Jac Nasser. "It is our
intention to leverage Land Rover to its fullest potential."
"The board is enthusiastic about this opportunity," said Ford Motor Company
Chairman William Clay Ford Jr. "Land Rover is known throughout the world and
fits perfectly into Ford's growing family of world-class brands."
"In the automotive market Land Rover is certainly one of the most famous and
strongest brands in the world," said Joachim Milberg, chairman of the board of
management of the BMW
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Group. "The decision to sell Land Rover was certainly not easy. But in the
light of our new strategy, we welcome the approach of Ford."
The Land Rover business will become part of Ford's Premier Automotive Group,
which includes the Lincoln, Volvo, Jaguar and Aston Martin brands. Land Rover
sales for this year are projected at about 200,000 vehicles.
"Land Rover is consistent with the strategy of growing our global premier
brands with vehicles that achieve high margins and are complementary with our
present product range," Nasser said. "Land Rover is considered to be the
'Jaguar' of four-wheel-drive vehicles. It solidifies our market position and
business strategy for this high-growth, lucrative segment."
BMW announced on Thursday that it is conducting negotiations to sell its Rover
car business to Alchemy Partners, a private investment group.
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Ford news releases and high-resolution photographs are available
on the Ford Motor Company media Web (http://media.ford.com).
