Ford to record $600 million pretax pension charge in fourth quarter

Ford to record 0 million pretax pension charge in fourth quarter


A 2025 Ford Lightning electric vehicle (EV) at a Ford dealership in Antioch, California, US, on Thursday, Dec. 18, 2025.

David Paul Morris | Bloomberg | Getty Images

DETROIT — Ford Motor said it will report pretax charges of $600 million in its fourth-quarter results due to adjustments in its employee pension plans and other postretirement benefits.

The Detroit automaker said the special charges, which will affect its net income but not its adjusted results or cash, are split between domestic plans and those outside the U.S.

“The remeasurement loss for U.S. plans was largely driven by actuarial losses compared to plan assumptions,” Ford said in a public filing after markets closed Thursday. “The remeasurement loss for non-U.S. plans was largely driven by changes in key plan measurement assumptions, such as improved life expectancy.”

On an after-tax basis, Ford said the remeasurement loss is expected to decrease its net income by about $500 million based on the tax impact in the jurisdictions where there are remeasurement gains and losses.

Ford said its retirement plans remain fully funded and the charges would not change its expectations for pension contributions in 2026.

The new special charges are in addition to about $19.5 billion in special items the company disclosed last month related to a restructuring of its business priorities and a pullback in its all-electric vehicle investments, most of which Ford said would occur during the fourth quarter.

Automakers commonly exclude “special items” or one-time charges from their adjusted financial results to provide investors with a clearer picture of their core, ongoing business operations.

Ford is scheduled to report its fourth-quarter results after markets close on Feb. 10.



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