On January 24th local time, Ford Motor Company disclosed in a document submitted to the US Securities and Exchange Commission that it is expected to record a pre tax remeasurement loss of approximately $1.7 billion related to pension and other retiree benefit (OPEB) plans in the fourth quarter of 2023. This special project will not affect the company's adjusted total pre tax profit or adjusted earnings per share.
It is understood that Ford Motor adopts a market value accounting method for its pension and OPEB plans. Based on this, Ford recognizes gains and losses when remeasuring pension and OPEB expenses, rather than long-term amortization as part of the net periodic benefit costs.