Ford Could Close U.S. Pension Funding Gap By End Of 2014

Ford, which went through a searing restructuring in 2006, but avoided the bankruptcy route of its rivals General Motors and Chrysler , could cut its U.S. pension shortfall by half or even more by the end of this year from $9.7 billion at the end of 2012, according to securities analysts and Reuters calculations.

And the gap could be eliminated by the end of 2014 provided interest rates rise as economists expect and the stock market remains robust. That may give Ford added resources to pay down debt, invest in its businesses, or boost dividend payments, analysts said.