DEARBORN, Mich., May 3, 2012 /PRNewswire/ --
- Ford Motor Company and Automotive Components Holdings have announced signing of definitive agreements with Faurecia for sale of ACH's automotive interior trim components business, the only operation at the ACH Saline plant
- Closing of sales transaction and transfer of business scheduled for June 1
- Ford to promote supplier diversity and city of Detroit by sourcing interior trim components business to new joint venture, Detroit Manufacturing Systems
Ford Motor Company (NYSE: F) and Automotive Components Holdings, LLC (ACH) today announced the signing of definitive agreements with Faurecia for the sale of the automotive interior trim components business, which is ACH's only operation at its plant in Saline. Closure of the sales transaction and transfer of the business are scheduled for June 1.
Nearly all employees associated with the business have been offered employment.
The deal includes the formation of a new joint venture, Detroit Manufacturing Systems (DMS), between Faurecia and Rush Group Ltd., part of the Rush Group of companies that includes one of Ford's largest minority- and woman-owned suppliers. DMS will do injection molding, assembly and sequencing of interior trim parts. About 500 people are expected to be employed at the DMS facility in Detroit.
"This announcement is an important milestone for Ford and ACH and marks a major development in our journey to develop a financially healthy, diverse supply base," said Tony Brown, group vice president, Ford Global Purchasing. "Ford also is proud to play a role in helping to revitalize Detroit at this critical time for the city."
After closure of the deal, the Saline plant will focus on core technologies such as injection molding, skin manufacturing and foam operations.
"I am pleased that the sale of the Saline ACH business ensures the retention of jobs for UAW members and communities surrounding the Saline plant while helping rebuild Detroit," said Jimmy Settles, UAW vice president and director of the National Ford Department. "The UAW is committed to diversity and looks forward to continuing our productive relationship with the Rush Group."
After completion of this sale, ACH will have only two remaining operations: The climate control business at its Sheldon Road plant and the lighting business at its Sandusky, Ohio, plant.
"This sale is another significant and noteworthy step as we move closer to achieving our strategic vision for Automotive Components Holdings," said Mark Blair, ACH president and CEO.
Faurecia is the world's sixth-largest automotive equipment supplier.
About Ford Motor Company
Ford Motor Company, a globalautomotive industry leader based in Dearborn, Mich., manufactures or distributes automobiles across six continents. With about 164,000 employees and about 70 plants worldwide, the company's automotive brands include Ford and Lincoln. The company provides financial services through Ford Motor Credit Company. For more information regarding Ford and its products, please visit http://corporate.ford.com.
SOURCE Ford Motor Company