Volvo to Miss February 14 Sale to Geely

Ford's year-plus long attempt to sale its Swedish unit Volvo may get an extension and miss the February 14 deadline set together with Chinese projected buyer Geely, as negotiations seem to have stalled on financing and details in the signing documents, sources close to the matter told Business Week.

Another sign that the deal will not happen as expected is the fact that Ford's Chief Financial Officer Lewis Booth did not come to London last weekend for a signing of the documents, being officially caught with preparing Ford's board of directors meeting on February 10.

“There are various areas of documentation still being worked out. The process remains on track and the intention remains to have it signed by the end of the first quarter,” Tim Burt, Geely's London representative was quoted as saying by the source.

Ford agrees, as Mark Truby, one of its spokesmen, said the "goal is to have a definitive sales agreement signed in the first quarter and a completed deal by the end of the second quarter."

Ford and Geely reached a preliminary agreement back in december 2009, with the American side still leaving a glimmer of hope for those who want to see the Swedish carmaker in hands other than the Chinese's:

"I know that Ford is open to talking with others," Volvo CEO Stephen Odell said in January. "Those who say that the door is closed can go to Ford and talk with them whenever they want."