UPDATE: Ford May Close Two Plants in Europe

Ford Motor Co. confirms that it intends to close its Genk assembly plant in Belgium in 2014, eliminating 4,300 jobs, as part of a restructuring to return its European operations to profitability.

Ford also plans to shutter as early as next year a factory in Southampton, England, that makes chassis cabs for the Transit van, according to news reports that cite unidentified sources. Company officials are scheduled to meet with British unions on Thursday.

In Belgium, government officials and workers in Genk are angry that Ford is leaving after obtaining labor concessions and €57 million in aid to keep the factory open. Belgian law requires companies to consult with unions before finalizing a plant closing.

Genk produces the Mondeo sedan and Galaxy and S-Max MPVs. The next-generation versions of those models, which are due in two years, will be assembled at Ford's plant in Valencia, Spain, the company says.

To create capacity to allow the move, Ford proposes to shift C-Max and Grand C-Max production from Valencia to its factory in Saarlouis, Germany in 2014. The company says it will offer more detail about the realignment in a conference call with media and analysts on Thursday.

Ford's sales across Europe are down 12% this year, according to industry trade group ACEA. Analysts estimate that closing the Genk plant, which employs 9% of the company's European workforce, would save the company about $500 million per year.