Ford to Add Parts Distribution Centers

Bloomberg News

Ford Motor Co. said it will add 11 parts distribution centers in the next three years to speed delivery of replacement parts to dealer repair shops.

The new outlets will more than double Ford's 10-center system to 21. The first new center is scheduled to open in Memphis, Tenn., by January, the company said.

U.S. auto makers are working to speed parts deliveries to avoid losing customers to car repair chains.

U.S. sales of cars and light trucks reached a record 17.4 million last year, and added service requirements have led to full service bays and longer lines at dealerships that may push customers to car repair shops, research firm J.D. Power and Associates said this month.

The service centers will ship parts to about 5,200 Ford and Lincoln Mercury dealers in the U.S. Ford plans to use 19 of the centers to ship commonly used equipment such as oil and air filters, while the other two focus on large parts such as sheet metal.

Ford shares fell 10 cents to $25.16 on the NYSE.

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