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Ford spreads the wealth

Wednesday, January 13, 2016 - 00:59

Ford will pay a special $1 billion dividend to shareholders. It'll also target wealthy Chinese with the resurrected Lincoln Continental it just unveiled. Fred Katayama reports.

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As Ford took the wraps off the Lincoln Continental sedan it resurrected to sell to wealthy Chinese, it said it'll spread some of its own wealth to shareholders: a special supplemental cash dividend of $1 billion. That works out to 25 cents a share atop the regular first quarter dividend of 15 cents. 2015 was a record sales year for the U.S. auto industry. Down the road, Ford sees itself earning a profit this year that will be at least as high as what it earned last year. But Ford's stock fell in early trading. Despite the slowdown in China's economy, Ford, a latecomer to that market, is gunning for growth in the luxury sector. Lincoln president Kumar Galhotra: SOUNDBITE: KUMAR GALHOTRA, PRESIDENT, LINCOLN (ENGLISH) SAYING: "The Chinese people love American luxury, they love Lincoln, and we're off to a fantastic start in the first year in China." With Chinese demand for Lincoln cars surpassing expectations, the brand plans to nearly double the number of its dealerships by the end of 2016.

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Ford spreads the wealth

Wednesday, January 13, 2016 - 00:59