Ford Motor Co. (NYSE: F) announced on Friday that Verizon Communications (NYSE: VZ) will buy 501 Ford E-250 cargo vans that have engines which burn compressed natural gas.
The telecommunications company plans on using 2010 Ford E-250 cargo vans which are expected to reduce emissions by an estimated 1.62 metric tons of carbon dioxide each year compared to comparable gasoline models.
Verizon plans on using the vans in markets have CNG fueling stations. The vehicles will be primarily driven by technicians making house calls to install phone, cable television and Internet services.
Neither company released the terms of the deal, but based on the market rate of the van, it’s likely to be between $1 million and $3 million range.
Ford’s stock price traded up $0.01 on Friday, ending at $11.40 for the day.
