Ford focused on cash, economy: CFO

DEARBORN, Michigan (Reuters) - Ford Motor Co (F.N) is focused on cash management with the economy still a major concern rather than the competitive positions of its U.S. rivals who have gone through bankruptcy, Ford's chief financial officer said on Thursday.

General Motors Corp GMGMQ.PK and Chrysler have "slightly cleaner" balance sheets than Ford after the Obama administration financed sales of their businesses, but Ford's competitors also face a range of continuing problems Ford CFO Lewis Booth called "bankruptcy residue."

Ford, meanwhile, remains focused on improving its balance sheet "by somewhat less extreme methods than going through bankruptcy," Booth told Reuters in an interview at Ford headquarters.

"There is no argument that one of the benefits of going through bankruptcy is that you improve your balance sheet, but there are lots of other disadvantages attached to bankruptcy.

"So we are staying focused on our plan to improve our business, to continue to finance ourselves, to continue to be in charge of our own destiny and be winners," he added.

GM is expected to complete the sale process of its best assets to a government-controlled company on Friday, wrapping up a 40-day pass through bankruptcy. Italy's Fiat SpA (FIA.MI) bought Chrysler's best assets in June.

Ford posted a company record $14.7 billion net loss in 2008. The automaker borrowed more than $23 billion in late 2006 to support its restructuring and has avoided seeking emergency government loans, leaving cash flow a key focus for investors.

At its first-quarter earnings release Ford said it expected sequential improvement in cash outflow each quarter in 2009 and to become cash flow break even or better in 2011. The automaker is expected to release second quarter results within weeks.

(Reporting by David Bailey; editing by Andre Grenon)