By Katherine Hamilton
Ford Motor said it expects to record a pre-tax remeasurement loss of about $600 million in the fourth quarter related to its pension and employee benefits plans.
On an after-tax basis, the loss is expected to dent total net income by about $500 million, the vehicle maker said Thursday.
About half of the loss is coming from pension plans in the U.S., and the other half is from pensions outside the U.S. There is an immaterial impact from global post-retirement employee benefit programs.
The loss from the U.S. plans was primarily driven by actuarial losses compared to plan assumptions, Ford said. Changes in key plan measurement assumptions, such as improved life expectancy, fueled the loss from non-U.S. plans.
Ford said the loss won't affect adjusted earnings because it is a special item. It also won't impact cash in 2025 or change expectations for 2026 pension contributions.
Ford's funded plans remain fully funded.
At the end of 2025, Ford's underfunded status for its pension plan is expected to be about $200 million, compared with $500 million at the end of 2024. The underfunded status of its other post-retirement employee benefits programs are due to remain flat at $4.4 billion.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
January 29, 2026 17:35 ET (22:35 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
