Autoblog

Ford has issued a press release confirming that it has sold both Jaguar and Land Rover to Tata Motors for an approximate price of $2.3 billion, which comes under some numbers as high as $2.65 billion that were being tossed around yesterday. The rumor that Ford will contribute to pension funds associated with the brands is also true, as it confirmed that $600 million will be dropped into the retirement coffers of the brands once the deal closes. It is, of course, subject to regulatory approval in a number of countries, but the automaker expects the deal to be done by the end of the following quarter. As part of the deal, Ford will continue to supply powertrains, stampings and other unnamed vehicle components to Tata for "differing periods", as well as R&D research, environmental and platform technologies, and even accounting services, among others. Clearly the ties that bind Jaguar Land Rover to Ford are strong and will take some time to undo. Judging from the press release, it seems all parties involved, including the employees of Jaguar Land Rover, are pleased with how the deal went down, and for the time being both brands will be run business as usual during the transition period.

[Source: Ford]

According to Automotive News, the deal is done. Today Ford signed a deal with India-based Tata Motors to sell its Jaguar and Land Rover brands for over $2 billion. Ford will supposedly announce the deal officially tomorrow (Wednesday), but sources close to the transaction say the receipt's already been printed, so to speak. While details are scarce, AN does mention that Ford will pump around $598 million into the pension funds for each brand as it sends them on their way. We're waiting to hear more details about how Ford will continue to supply engines and components for these vehicles, for how long and how much. Right now, however, mum's the word, as the Blue Oval has only said that, "our first responsibility is to communicate with our employees." Sorry if they heard it here first, but then again, they should be working now, not reading Autoblog. Right? Right.

UPDATE: Just-auto puts the price tag at $2.65 billion, and reveals we should have official news from Ford before the NYSE opens tomorrow morning.

[Source: Automotive News, subs. req'd]