Ford likely to make loss on Kwik-Fit - reports

Ford has admitted it may make a big loss on its sale of Kwik-Fit, according to reports.

Ford has admitted it may make a big loss on its sale of Kwik-Fit, according to reports.

The world's second-largest carmaker is considering offers for the business after announcing a £6 billion sterling restructuring plan.

Ford's disposals include Kwik-Fit and two smaller crash repair and scrapping companies in the US.

The Financial Timesreports PriceWaterhouseCoopers, Ford's auditor, has warned of a "fundamental uncertainty" over the likely proceeds from the Kwik-Fit disposal.

READ MORE

Analysts now believe Ford is unlikely to raise more than £900 million for the business.

At least five bidders have submitted offers for Kwik-Fit. They are thought to include three UK-based private equity firms: Cinven, CVC and Deutsche Bank's venture capital arm.

Ford Automotive Holdings - the British parent of Kwik-Fit and other Ford subsidiaries including Jaguar and Aston Martin - filed its 2000 accounts with Companies House last week, almost 15 months after the year-end.

These reveal pre-tax losses of £356 million at Ford Automotive Holdings, on sales of £9.42 billion in 2000.

PA