Dearborn, Michigan – The Ford Motor Company and Navistar International have reached an agreement to restructure their ongoing business relationship, and settle all existing legislation between the companies.
The two will end their current diesel engine supply agreement as of December 31, 2009, but will continue to collaborate on several initiatives, including their existing Blue Diamond Truck and Parts joint ventures. The venture will continue to produce F-650 and F-750 medium-duty trucks, along with parts for a variety of Ford products, including PowerStroke Diesel-equipped trucks. Ford and Navistar will also continue their diesel engine supply relationship in South America.
As a result of the agreement, Ford will make an undisclosed payment to Navistar.