Ford pays off $1.8B in debt

DETROIT (AP) -- Ford Motor Co. paid off $1.8 billion in debt last Thursday, part of a plan to lower its total debt to $10 billion by mid-decade. Chief Financial Officer Lewis Booth announced the action earlier last week at an investor presentation in Frankfurt, Germany. Ford spokesman Todd Nissen confirmed that the payment was made last Thursday. Ford's total debt now stands at $12.2 billion, down from $33.6 billion at the end of 2009. The payment is the latest in a string of debt reduction actions at Ford. The company paid down $2.6 billion in debt in the second quarter and $2.5 billion in the first quarter. Booth said Ford plans to lower its total debt to $10 billion by mid-decade. That will save the company millions in interest payments and also could help the company return to investment-grade status. Ford lost its investment-grade credit rating in 2005, when it was deeply in debt. Published: Mon, Sep 19, 2011