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Tue May 22, 2012
Ford gets investment-grade credit rating, blue oval back
Ford Motor Company has its "Blue Oval" back, after a second ratings firm upgraded Ford to "investment grade."
The trademark and other assets were put up as collateral for loans in 2006. Those loans got the company through the recession and a restructuring without a bankruptcy.
Bill Ford, Junior is the Board's Executive Chairman, and the great-grandson of Henry Ford. He says it's a "once in a lifetime" event.
"When we pledged the Blue oval it was enormously emotional for me and my family," Ford said. "Because we weren't just pledging an asset, we were pledging our heritage."
The ratings upgrade means Ford will likely have a larger pool of bond investors. The company will also have lower borrowing costs.