You may not be hearing much from the rumor mill, now that reports that BMW wants to buy Volvo have been quashed, but the Swedish maker is still on the auction block, according to Alan Mulally, CEO of Volvo’s American parent, Ford Motor Co.
That’s probably no surprise considering Ford’s dire financial problems. Earlier this week, the automer announced it lost $5.9 billion during the fourth quarter and has now run up more than $26 billion in red ink over the last two years alone.
During a conversation with reporters, Mulally declined to discuss the Volvo situation in any detail, but noted, at one point, that the Swedish maker’s management team was concentrating on turning the business around and said that Volvo would follow through with the launch of the new XC60, under the Ford flag, as planned this spring. Mulally also indicated Ford would continue to support Volvo’s effort to upgrade its product line. A freshened version of the S80 will come to market later this year.