Quote:
Originally Posted by All-Or-Nothing
You must think that everything Ford makes goes straight to debt and there is no leftover for anything else. Ford has over 25 Billion in cash on hand. They also have has their credit ratings increased. Ford's road ahead isn't as rocky as you beleive it to be.
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Umm... not all of it goes straight to debt payment. They need to have cash on hand to fund operating the company, consequently the reason they mortgaged themselves to the brink was to attain cash on hand to run the company and endure the tanking industry. You seem to be missing this fact; they can't simply use all their cash to immediately pay off all of their debt. They have to ration it and make payments when they believe they can, considering even if they did decide to use all of their cash it still wouldn't be enough to pay off all their debt. Their credit ratings are increasing but are still very
risky for any lender to invest in, thus their access to credit lenders is tight. Again, all this is dependent on the economy working in their favor.