What happens if Ford goes bankrupt

Even if Ford of Europe are succesful, they are I presume a wholly owned susidiary of the Ford Motor Company. Ford's real problems aren't to do with the current economic climate, they have been making a multi-billion dollar loss for years now, don't see how the US goverment could justify sinking more money into a failing company.

Seems like Honda are about to pull the plug on F1 too.

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Originally Posted by RS

Seems like Honda are about to pull the plug on F1 too.

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Allthough this is not the F1 forum this news is bad for motorsport in general,

http://news.sky.com/skynews/Home/Bus...Of_Formula_One

An announcement at 05:00 GMT friday doesn't make me think its to do with the launch of the 09 model. Williams also in financial difficulties and Toyota cutting back too.

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Originally Posted by MJW

Toyota cutting back too.

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Does that mean they only spend 100 000 000 euros next year ???

I wonder will Toyota be the next? Must be 100s of millions of dollars spent and SFA to show for it. 10% of what they've spent would've got them a winning WRC team.

The guy (his name escapes me ) that started the F1 project with BAR and sold out to Honda must be a happy man. Wonder will Brawn go back to the Scuderia?

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Originally Posted by noel157

I wonder will Toyota be the next? Must be 100s of millions of dollars spent and SFA to show for it. 10% of what they've spent would've got them a winning WRC team.

The guy (his name escapes me ) that started the F1 project with BAR and sold out to Honda must be a happy man. Wonder will Brawn go back to the Scuderia?

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Toyota has $54 billion in cash reserves. They have been the most succesful car company for years and actually placed their money aside for a rainy day. Effectively, Toyota could afford to purchase their rivals outright but are limited from doing so.

The F1 program is actually paid for by the interest off the cash reserves, it is why they could afford to spend so much while achieving so little when other companies would have cut and run.

Back to the topic,

It is interesting to see if Ford sells off various divisions to remain viable. Mazda is reportedly on the market so to speak.

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Originally Posted by Livewireshock

Toyota has $54 billion in cash reserves. They have been the most succesful car company for years and actually placed their money aside for a rainy day. Effectively, Toyota could afford to purchase their rivals outright but are limited from doing so.

The F1 program is actually paid for by the interest off the cash reserves, it is why they could afford to spend so much while achieving so little when other companies would have cut and run.

Back to the topic,

It is interesting to see if Ford sells off various divisions to remain viable. Mazda is reportedly on the market so to speak.

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Thanks for that, interesting and all the more reason to start again in the WRC.

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Originally Posted by Livewireshock

Toyota has $54 billion in cash reserves. They have been the most succesful car company for years and actually placed their money aside for a rainy day. Effectively, Toyota could afford to purchase their rivals outright but are limited from doing so.

The F1 program is actually paid for by the interest off the cash reserves, it is why they could afford to spend so much while achieving so little when other companies would have cut and run.

Back to the topic,

It is interesting to see if Ford sells off various divisions to remain viable. Mazda is reportedly on the market so to speak.

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Volvo is also on sales :mark:

Come to think of it, I wish Ford would quit.

I don't like their car, I don't like their tactics and it seems to be largely them who are holding up progress on the future regulations.

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Originally Posted by Livewireshock

It is interesting to see if Ford sells off various divisions to remain viable. Mazda is reportedly on the market so to speak.

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Ford already sold major part of their stake in Mazda, from Wiki:
In November 2008 it reduced its 33.4% Controlling interest in Mazda of Japan, to a 13.4% non-controlling interest.

Jaguar and Land Rover were sold to Tata in March and now Volvo is up for sale though it's unclear who'd buy it in current market situation and in the shape that Volvo is in (they make loss while Ford Europe is profitable overall).

Out of the three US manufacturers asking for government money, Ford is in best shape. It's highly unlikely that GM will survive this, at least in any recognizable form but Ford and maybe Chrysler can pull it through.

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Originally Posted by jonkka

Ford already sold major part of their stake in Mazda, from Wiki:
In November 2008 it reduced its 33.4% Controlling interest in Mazda of Japan, to a 13.4% non-controlling interest.

Jaguar and Land Rover were sold to Tata in March and now Volvo is up for sale though it's unclear who'd buy it in current market situation and in the shape that Volvo is in (they make loss while Ford Europe is profitable overall).

Out of the three US manufacturers asking for government money, Ford is in best shape. It's highly unlikely that GM will survive this, at least in any recognizable form but Ford and maybe Chrysler can pull it through.

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From what i've heard Chrysler is the one most in trouble.