XC70: General - VOLVO staying part of Ford..

smanker · Mar 4th, 2008, 18:34

Reuters
"Ford wants Volvo to run on more stand-alone basis
Tuesday March 4, 12:35 pm ET

DETROIT (Reuters) - Ford Motor Co (NYSE:F - News) said on Tuesday it is developing a new business plan for Volvo that will include the Swedish luxury brand operating on a more stand-alone basis.

The U.S. automaker said in slides posted on its Web site that it wants to "establish appropriate business arrangements to allow Volvo to operate on a more stand-alone basis."

It also said a "top priority is to return Volvo to sustainable profitability," according to the slides.

Analysts say Volvo is the most valuable of Ford's three European luxury brands. Ford, which has not broken out results for individual brands in the past, said beginning this year it plans to disclose results for Volvo, which it acquired in 1999.

Ford in November took Volvo off the auction block and said it would integrate Volvo more closely into purchasing and development efforts. At the time, Ford Chief Executive Alan Mulally said the focus would be on improving Volvo's cost structure and brand positioning, although he stopped short of ruling out an eventual sale of the unit.

Ford is in the process of selling its Land Rover and Jaguar operations to India's Tata Motors Ltd (Bombay:TAMO.BO - News) in a deal expected to close in the current quarter. Ford said in the slides that "significant progress" had been made in the talks with Tata and that "no major roadblocks" remain.

The slides were posted ahead of a presentation to analysts in conjunction with the Geneva auto show. The presentation was by Lewis Booth, a Ford executive vice president overseeing the automaker's European operations and its stable of European luxury brands.

(Reporting by Ben Klayman; Editing by Steve Orlofsky and John Wallace)"

smanker · Mar 4th, 2008, 18:48

http://www.ford.com/doc/ir_20080304_...onf_slides.pdf

slide number seven tells it all..

but go thru them xc 60 shown in detail

shimon340 · Sep 8th, 2008, 17:55

v.interesting!

where did you find that?

saturnuranus · Sep 8th, 2008, 19:34

This is a rather old thread but an article about this is available here if you fancy a quick read.

Volvo-in-my-blood · Sep 8th, 2008, 19:48

Reassuring to read and a step in the right direction for both Volvo and Ford.

GMcL · Sep 9th, 2008, 10:40

The problem with the IHT article is it is six months old and Arp has left/is leaving.
Ford are installing their own man (Stephen Odell) starting October and I think there will be a few nervous people in Sweden having a none Swede in charge.

Source

Volvo-in-my-blood · Sep 9th, 2008, 14:55

Quote:

Originally Posted by GMcL

I think there will be a few nervous people in Sweden having a none Swede in charge.

Source

If he was a Volvophile like us then it wouldn't matter.

Volvophile · Sep 9th, 2008, 22:13

Strangely enough I didn't think Arp really did a very good job, nothing compared to Hans-Olov Olsson anyway. No great loss really.

GMcL · Sep 9th, 2008, 22:46

Somehow I can't help think Mr. Odell is only fattening up the lamb/calf for the auction house.
He is a Ford man through and through (joined them in 1980 as a graduate and worked up through the ranks), Mullaly has already said anything without a (Ford) blue badge is negotiable...

shimon340 · Sep 11th, 2008, 12:13

Hans Olsson was a good CEO. He was fond of the brand and determined to not let new volvo models built under Fords ownership be weak in their adherence to Volvo standards and qualities/character.

It seems from the outside that Arp was less of a volvo-phile and more just a swede who was in management. Without being at any of the meetings with Ford you can never really know.

Odell has a strong background in sales and marketing at Mazda and Jag north america. I think Volvo needs stronger sales and marketing input and more aggressive advertising etc

Mullay is trying desperately to get Ford profitable. Ford has no worldwide premium brand except volvo now. Mercury and Lincoln cant go worldwide. takes too long to build a brand's image.

Ford could sell volvo and loose R&D, ideas and engineering benefits to a competitor. This is part of why they arent sellig. with volvo's R&D ideas going (if they were sold) Ford would be worse off and also with only the cheaper end of the market and no premium lines, they would be very weak with much reduced market presence in comparison to Vw with their Audi line, Fiat even has Alfa, Toyota has Lexus....see... ford needs Volvo.

Mullay could get Ford profitable by selling everything. But then, you are profitable with a weaker market presence...not a good long term move

Mar 4th, 2008, 18:34	#1
smanker New Member Last Online: Aug 16th, 2008 02:18 Join Date: Mar 2008 Location: jupiter	VOLVO staying part of Ford.. Reuters "Ford wants Volvo to run on more stand-alone basis Tuesday March 4, 12:35 pm ET DETROIT (Reuters) - Ford Motor Co (NYSE:F - News) said on Tuesday it is developing a new business plan for Volvo that will include the Swedish luxury brand operating on a more stand-alone basis. The U.S. automaker said in slides posted on its Web site that it wants to "establish appropriate business arrangements to allow Volvo to operate on a more stand-alone basis." It also said a "top priority is to return Volvo to sustainable profitability," according to the slides. Analysts say Volvo is the most valuable of Ford's three European luxury brands. Ford, which has not broken out results for individual brands in the past, said beginning this year it plans to disclose results for Volvo, which it acquired in 1999. Ford in November took Volvo off the auction block and said it would integrate Volvo more closely into purchasing and development efforts. At the time, Ford Chief Executive Alan Mulally said the focus would be on improving Volvo's cost structure and brand positioning, although he stopped short of ruling out an eventual sale of the unit. Ford is in the process of selling its Land Rover and Jaguar operations to India's Tata Motors Ltd (Bombay:TAMO.BO - News) in a deal expected to close in the current quarter. Ford said in the slides that "significant progress" had been made in the talks with Tata and that "no major roadblocks" remain. The slides were posted ahead of a presentation to analysts in conjunction with the Geneva auto show. The presentation was by Lewis Booth, a Ford executive vice president overseeing the automaker's European operations and its stable of European luxury brands. (Reporting by Ben Klayman; Editing by Steve Orlofsky and John Wallace)"

Mar 4th, 2008, 18:48	#2
smanker New Member Last Online: Aug 16th, 2008 02:18 Join Date: Mar 2008 Location: jupiter	slide show from ford taling about volvo ... http://www.ford.com/doc/ir_20080304_...onf_slides.pdf slide number seven tells it all.. but go thru them xc 60 shown in detail

Sep 8th, 2008, 19:48	#5
Volvo-in-my-blood V70 D5 SE Last Online: May 23rd, 2024 18:48 Join Date: Feb 2008 Location: Cambridge	Reassuring to read and a step in the right direction for both Volvo and Ford. __________________ Sweden - my spiritual home since 1982

Sep 9th, 2008, 22:46	#9
GMcL 0's and 1's Last Online: Today 08:54 Join Date: Nov 2006 Location: -	Somehow I can't help think Mr. Odell is only fattening up the lamb/calf for the auction house. He is a Ford man through and through (joined them in 1980 as a graduate and worked up through the ranks), Mullaly has already said anything without a (Ford) blue badge is negotiable... Last edited by GMcL; Sep 9th, 2008 at 22:48.

Sep 8th, 2008, 17:55	#3
shimon340 Senior Member Last Online: Mar 2nd, 2023 14:47 Join Date: May 2006 Location: Manchester	v.interesting! where did you find that?

Sep 8th, 2008, 19:34	#4
saturnuranus VOC Member Last Online: Feb 7th, 2024 07:36 Join Date: Sep 2007 Location: Sutton Coldfield View Photos By: saturnuranus	This is a rather old thread but an article about this is available here if you fancy a quick read.

Sep 9th, 2008, 10:40	#6
GMcL 0's and 1's Last Online: Today 08:54 Join Date: Nov 2006 Location: -	The problem with the IHT article is it is six months old and Arp has left/is leaving. Ford are installing their own man (Stephen Odell) starting October and I think there will be a few nervous people in Sweden having a none Swede in charge. Source

Sep 9th, 2008, 22:13	#8
Volvophile Premier Member Last Online: Yesterday 23:26 Join Date: Mar 2007 Location: Dublin	Strangely enough I didn't think Arp really did a very good job, nothing compared to Hans-Olov Olsson anyway. No great loss really.

Sep 11th, 2008, 12:13	#10
shimon340 Senior Member Last Online: Mar 2nd, 2023 14:47 Join Date: May 2006 Location: Manchester	Hans Olsson was a good CEO. He was fond of the brand and determined to not let new volvo models built under Fords ownership be weak in their adherence to Volvo standards and qualities/character. It seems from the outside that Arp was less of a volvo-phile and more just a swede who was in management. Without being at any of the meetings with Ford you can never really know. Odell has a strong background in sales and marketing at Mazda and Jag north america. I think Volvo needs stronger sales and marketing input and more aggressive advertising etc Mullay is trying desperately to get Ford profitable. Ford has no worldwide premium brand except volvo now. Mercury and Lincoln cant go worldwide. takes too long to build a brand's image. Ford could sell volvo and loose R&D, ideas and engineering benefits to a competitor. This is part of why they arent sellig. with volvo's R&D ideas going (if they were sold) Ford would be worse off and also with only the cheaper end of the market and no premium lines, they would be very weak with much reduced market presence in comparison to Vw with their Audi line, Fiat even has Alfa, Toyota has Lexus....see... ford needs Volvo. Mullay could get Ford profitable by selling everything. But then, you are profitable with a weaker market presence...not a good long term move

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