Ford Motor Co expects to lose a combined $3 billion in Europe in 2012 and 2013, executives said during a conference call on Thursday, adding that European car sales may only rise to 15 million annually by mid-decade.
The second-largest U.S. automaker said earlier that it would close a van plant in Southampton, England, in mid-2013, cutting 1,400 jobs on top of 4,300 Ford will eliminate as part of its plant closure in Belgium.
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Chief Financial Officer Bob Shanks said severance payments connected to those layoffs would "clearly exceed" $100,000 per worker. Ford said it would lose $1.5 billion in Europe this year and said 2013 losses would be at that same level.
(Reporting By Deepa Seetharaman and Paul Lienert; Editing by Gerald E. McCormick)