JAGUAR: Hanging in the Balance 

JAGUAR: Hanging in the Balance

Jaguar logo

Ford has reportedly hired a team of outside analysts to assess and evaluate its assets and brands, with that of the Jaguar - a loser for Ford since it was acquired for $2.6 billion in 1989 – coming in as top priority. Media reports say that Jaguar has been dragging down the performance of Ford's Premier Automotive Group, which has in its stable Volvo, Aston Martin and Land Rover. PAG reportedly lost a whopping $162 million before taxes in the second quarter, compared with a pre-tax profit of $17 million a year earlier.

Despite Ford’s efforts to cover Jaguar's heavy losses, the brand’s sales have tanked in recent years locally as well as globally. In the U.S., Jaguar is down 30% so far this year after falling 34% in 2005. In the first half of this year, Jaguar sold about 41,000 vehicles globally; in all of 2004, it sold 118,000.

Will the cat survive this fall? We’ll just have to wait and see.

Fri Aug 4, 2006 10:49 pm MST by jaystevens | Email Article | |

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