Summary
Ford Motor Company's 8-K filing from April 11, 2011, addresses the ongoing impact of the earthquake and tsunami in Japan on its automotive operations. While Ford has no production facilities in Japan, the company relies on Japanese suppliers for certain materials and components. Ford is actively working with these suppliers to assess their capabilities and secure alternative sources to mitigate potential disruptions. The company expects that by late April and into May, production in the Asia-Pacific region, including joint ventures, may be affected by component and vehicle kit shortages. Ford anticipates this could lead to reduced or temporary production halts for certain vehicles in this region, but currently believes the impact on overall results will not be material. However, Ford acknowledges the evolving situation and the potential for further supply interruptions that could necessitate broader production adjustments and potentially impact financial condition and results of operations.
Key Highlights
- 1Ford Motor Co. is monitoring the impact of the Japan earthquake/tsunami on its supply chain.
- 2The company does not have production facilities in Japan but relies on Japanese suppliers for materials and components.
- 3Ford is working with suppliers to assess capabilities and secure alternative sources to minimize disruptions.
- 4Production in the Asia-Pacific region (including joint ventures) is expected to be affected by shortages starting late April/May.
- 5This Asia-Pacific disruption may require temporary reductions or cessations in certain vehicle production.
- 6Ford currently expects the Asia-Pacific production impact to be immaterial to overall results.
- 7The company warns of potential for further, unspecified supply interruptions that could impact financial results if alternative supplies cannot be found.