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Lincoln MKZ Hybrid | Police Interceptor | Green dealers

Connecting North America

April 2010

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April 2010 | 1

Publisher: Sara Tatchio | Associate publisher: Susan Krusel | Managing editor: Robert Musial Contributing editor: Jenn Corney | Advertising coordinator: Michele Holtcamp | Graphic designer: Julie Yeiter

Editorial: (313) 206-4679 | Advertising: (248) 318-6316 | Address changes: (313) 322-3131 (@Ford changes only)

No portion of this magazine may be reproduced without prior written consent of @Ford. Items advertised in @Ford are not connected with Ford Motor Company. Availability, price, safety, quality and durability of these items rest solely with the respective manufacturers. Ford assumes no liability for their use.

@Ford is available online at www.at.ford.com. The magazine is available six times a year in racks at all Ford facilities in the U.S. and Canada, and mailed to retirees. Retirees may opt out of mail delivery, opt in for an e-mail copy or make @Ford address changes at: FWINFO@ford.com.

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Connecting North America

3 Monthly salesMarch sales and share rise as market begins to improve.

5 Third partiesConsumer Reports lauds Ford as does J.D. Power & Associates.

7 Police InterceptorNew police car unveiled by Ford to replace venerable Crown Vics.

8 ‘American Idol’Show contestants get to style their own Ford Fiestas.

9 Heading for HohmFord and Microsoft software will assist plug-in car owners.

10 41 mpg – plus eleganceNew Lincoln MKZ Hybrid delivers sustainable luxury.

13 ‘Green’ dealersNew program aims to make dealers more energy-efficient.

15 Benefits changeQ & A explains why Ford is transitioning to ACS.

17 Ford HistoryHow a Lincoln concept car became TV’s Batmobile.

20 Back PageThey Said It plus Nelly’s car, bear vs. Raptor, green taxis and 500,000-mile Lincoln.

Products gaining momentum As we close out the first quarter of 2010, I would like to

congratulate all of you on the success our new products are finding among customers as we continue delivering our ONE Ford plan.

Sales of our high-quality, fuel-efficient lineup of vehicles were up 37 percent in the first quarter of 2010 versus the first quarter of 2009. Products such as the Ford Fusion continue to set all-time sales records.

In March, Fusion set another all-time sales record with a year-over-year increase of 79 percent. Additionally, our new flagship sedan Ford Taurus continues to post strong sales results, achieving an 86 percent increase in March versus the same time period a year ago.

And our hybrid lineup, comprised of Fusion, Milan, Escape and Mariner, also posted an impressive 69 percent sales gain in March versus a year ago. Ford remains America’s largest domestic hybrid company, with more than 125,000 hybrid vehicle sales in the U.S.

At this year’s New York International Auto Show, we further solidified our aggressive electrification plan and second-generation hybrid technology through the unveiling of the new 2011 Lincoln MKZ Hybrid. In the true spirit of delivering best-in-class fuel economy with every new vehicle introduced, the new Lincoln MKZ Hybrid is poised to be the most fuel-efficient luxury sedan in America when it arrives this fall.

As the economy continues to stabilize, our world-class products – along with your focus and commitment – will remain the cornerstone of delivering sustainable and profitable growth for all.

Keep up the great work!

Mark Fields President, The Americas

A more interactive @FordThroughout the magazine, we’ve highlighted stories that offer much more information at @Ford Online (www.at.ford.com).

Just look for the highlights box like the one pictured here. A similar logo is in the upper left corner of @Ford Online in the rotating promo box section.

Click to @Ford Online for more information

www.at.ford.com

2 | April 2010

Local Ford, Geely agree to Volvo deal

Ford has reached a deal to sell Volvo to the Zhejiang Geely Holding Group Co. for U.S. $1.8 billion.

The Chinese automaker will pay Ford $1.6 billion in cash and a $200 million note, to be adjusted when the deal closes in the third quarter. Following the sale, Ford will continue to cooperate with Volvo in several areas.

“We are confident Volvo has a strong future under Geely’s stewardship,” said Alan Mulally, president and CEO of Ford.

Ford recognized as one of the world’s most ethical companies

Ford has been recognized as one of the world’s most ethical companies by a leading business ethics think tank.

Ford was among 100 global companies – and the only automaker – chosen for the designation by the Ethisphere Institute from among thousands of companies in more than 100 countries for 2010.

The choice was based on an extensive review of companies’ social responsibility efforts, corporate governance and business practices.

“This honor underscores the efforts by the men and women at Ford who diligently work every day to do the right thing on behalf of all our stakeholders,” said Bill Ford, executive chairman.

Ford Mustang V-6 takes on challenge: 1,000 racetrack laps on one tank of gas

A team of engineers and celebrities aims to prove the Ford Mustang’s ranking as the world’s most fuel-efficient pony car, by attempting to run 1,000 laps at the Bristol Motor Speedway – on one tank of gas.

On June 23, a 2011 Mustang with its new 305-horsepower, 31 mpg V-6 will set out to do at least 500 miles on the half-mile NASCAR track in Tennessee.

Fans can enter to win a 2011 Mustang V-6 by guessing the total number of laps the car will complete at www.Mustang1000LapChallenge.com between now and June 23.

Open 24 hours a day on www.villageford.comAll of our new and used vehicles have prices online, but please call for the latest incentives

on the vehicle of your choice to further reduce your price!

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April 2010 | 3

U.S. Market Share – 2010 Year-to-Date vs. 2009

25%

MAR

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20

15

5

10

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2.7

18.5%

0.1

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1.1

9.9%

0.4

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1.0

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0.3

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7.3%

0.1

Sales

Ford closed the books on a successful first quarter by posting a 43 percent sales increase in March for its lineup of Ford, Lincoln and Mercury vehicles.

For the quarter, the sales jump was 37 percent versus a year ago, the largest gain of any full-line automaker.

“Once again, our outstanding lineup of new products carried the day,” said Ken Czubay, vice president, U.S. Marketing Sales and Service. “What was true in March was true every month in the first quarter. Cars were up every month, utility vehicles were up every month and so were trucks.”

Retail and fleet sales both increased over the first three months of 2010, driving Ford’s first-quarter share to 16.6 percent, up 2.7 points versus a year ago. Equally impressive is the fact that the sales and share gains

were accomplished with lower incentives and higher transaction prices over the three-month period.

“Our plan is working,” said Czubay. “The proof is in the numbers. When you add value to the product, you don’t have to go after the incentive game. Our product is the difference at Ford. And right now, it can’t be matched.”

The Ford Fusion set an all-time sales record in March, up 79 percent. The new Taurus posted an 86 percent increase, Focus and Mustang were each up 57 percent and F-Series grew its segment share by more than 5 points to 39 percent in the first two months of 2010.

The Ford Escape, up 52 percent in March, led a sales surge of utility vehicles and Ford’s hybrid vehicles combined for a 69 percent increase.

Source: Manufacturers’ Reports *Does not include Volvo

2010 Ford Taurus SHO

First quarter sales jump 37 percent; Ford gains shareBy John Fossen

SaLeS TO COMe

Ford of Canada sales up 29 percent in first quarter

Ford of Canada registered a 29 percent sales increase for March and for the first quarter of 2010.

Results were led by strong sales of Ford Taurus and F-150, which saw a monthly increase of 230 percent and 52 percent, respectively, and total Lincoln sales which rose 109 percent.

U.S. Vehicle Sales2010 Year-to-Date Top-Selling Cars and Trucks

Rank Nameplate Units Sold

1 Ford F-Series 103,039 2 Chevrolet Silverado 72,480

3 Toyota Camry 68,595

4 Honda Accord 65,579

5 Toyota Corolla/Matrix 63,740

6 Nissan Altima 59,483

7 Honda Civic 53,627

8 Ford Fusion 51,411 9 Chevrolet Malibu 49,339

10 Ford Escape 45,091 11 Ford Focus 43,597 12 Toyota RAV4 40,474

13 Chevrolet Impala 38,273

14 Dodge RAM 38,042

15 Chevrolet Cobalt 37,379

16 Honda CR-V 36,348

17 Hyundai Sonata 31,747

18 Nissan Versa 31,334

19 Chevrolet Equinox 30,379

20 Toyota Prius 28,238

21 MAzDA3 26,936

22 VW Jetta 25,917

23 Kia Sorrento 25,452

24 Ford Edge 25,191 25 Hyundai Santa Fe 24,716

26 Ford Econoline 24,628Source: Manufacturers’ Reports

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4 | April 2010

Lincoln scored second only to Porsche in the latest three-year Vehicle Dependability Study (VDS) released recently by J.D. Power & Associates.

Mercury and Ford also finished in the top eight nameplates in the long-term reliability study measuring problems experienced by original owners of 2007 model year vehicles.

The annual study showed that Lincoln had improved six positions to come in second while Mercury remained in fifth and Ford moved up four positions to eighth, ahead of such brands as Mercedes Benz, Acura and Cadillac.

Leading all cars in the entry level premium vehicle segment was the Lincoln MKZ while the Lincoln Mark LT ranked highest in the large premium SUV category. The Ford Freestar was the highest-ranked midsize van.

In addition, the 2007 model year Mercury Milan, Ford Five Hundred and Mercury Montego also ranked among the models with the lowest

incidence of problems in the industry, the study said.

Other segment honorable mentions included Ford F-150 LD, Ford Mustang, Ford Ranger, Ford Expedition, Ford Freestyle and Lincoln Town Car.

April 2010 | 5

Quality

The latest auto issue of Consumer Reports (CR) contains some good news for Ford – the magazine now recommends 75 percent of Ford models tested, up from 70 percent last year.

“Among American manufacturers, only Ford improved over last year,” the magazine reported in its April issue. “The reliability of some Ford models now rivals their

competitors from Honda and Toyota.”

CR highlighted several Ford models on its list of the highest-rated American vehicles. They included the manual Ford Focus SES, the Ford Fusion and Mercury Milan Hybrids, the Lincoln MKZ, Ford Mustang V-8 GT and Ford Expedition EL Eddie Bauer.

In addition, the Focus SES and four-cylinder Fusion SE and base Milan made CR’s list of recom-

mended vehicles under $25,000. The magazine also said

that the Ford Flex scored high.

Due to recent safety recalls, Toyota’s percentage of

recommended vehicles dropped by

almost half, CR said.In its report cards

on the performance, comfort, utility and reliability of the more than 280 vehicles it recently tested, the magazine placed Chrysler again in last place in the rankings with General Motors again in second-to-last place.

Eight GM models and one Chrysler were also recommended.

Lincoln among top two in reliability; Mercury, Ford also score high in studyBy Robert Musial

“ among american manufacturers, only Ford improved over last year. The reliability of some Ford models now rivals their competitors from Honda and Toyota.”

– Consumer Reports

The Ford Mustang V-8 GT and Focus SES were highly rated by CR.

Consumer Reports recommends 75 percent of tested Ford models By Robert Musial

The 2007 Ford F-150 LD and Mercury Milan have scored well over three years.

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April 2010 | 7

Product

Ford’s all-new Police Interceptor will be purpose-built to exceed the durability, safety, performance and fuel economy of the current police car of choice – the long-running Ford Crown Victoria model.

The recently unveiled Police Interceptor will offer two fuel-efficient powertrains, including EcoBoost™ with all-wheel-drive, plus an array of safety technologies and an interior specifically designed for police.

The new car will be offered without interruption when production ends in late 2011 of the current Crown Vic police model, which has dominated the market for more than 20 years.

Ford also plans to reveal an additional Police Interceptor, a utility vehicle pursuit-rated to complement the new sedan, later this year.

During development, Ford worked closely with its Police Advisory Board to get their input on safety, performance, durability and driver comfort and functionality.

Engineered to pass 75-mph rear crash testing (an industry exclusive), the new car has front air bags, seat-mounted side air bags and Ford’s exclusive Safety Canopy® side-curtain air bag rollover protection.

Under the hood, the standard 3.5-liter V-6 engine will deliver at least 263 horsepower while being 25 percent more efficient than the 4.6-liter V-8 offered in the current Crown Vic model.

Also offered will be the all-new 3.5-liter EcoBoost twin-turbocharged, direct-injection engine, which will deliver at least 365 horsepower – 115 better than the Crown Vic – while cutting fuel costs and CO2 emissions.

Though based on the Ford Taurus, the Police Interceptor has a beefed-up chassis, suspension,

engine, radiator, brakes and wheels to withstand the rigors of police work.

Inside, 90 percent of the interior has been redesigned to meet the special needs of police. For instance, the front seats are modified to accommodate officers’ utility belts and the seatback contains anti-stab plates to protect those up front.

The rear doors also open wider than standard and the space-maximizing rear seats are vinyl for easy maintenance.

70 percent

Currently, 70 percent of the police pursuit vehicles in the U.S. are Ford Crown Vic cruisers.

All-new Ford Police Interceptor built for law enforcementBy Diane Majeske

Key features:• 40-mph curb impact-rated

steel wheels

• 18-inch vented disc brakes

• 220-amp minimum alternator

• Undercarriage deflector plates

• Six-way power seat plus adjustable pedals

• Center console space identical to current Crown Vic so current equipment can be reused

• Column shifter with manual tilt

• Integrated wiring conduits to the headliner and trunk

• BLIS® (Blind Spot Information System)

• Cross-Traffic Alert

• Reverse Sensing System

• AdvanceTrac® with ESC (electronic stability control)

• Customizable Ford SYNC® hands-free information system

• Available factory-installed ballistic door panels

• Available rear view camera system

The Ford Fiesta, which arrives in showrooms this summer, is getting lots of exposure on the hit TV series, American Idol.

Besides being seen in the show’s weekly

music video episodes, the car got a star makeover as this season’s

top 12 Idol contestants

worked with Ford designers to create their own

personalized 2011 Ford Fiesta.Designers Dillon Blanski,

Gustavo Bizyk, Lesli Ann Agcaolli and Dean Carbis traveled to Hollywood to meet with the

contestants and help interpret their personalities onto the cars.

Choosing from Fiesta’s nine colors, the contestants added custom graphics, wheels and other accessories to make their own vehicle statement. All of their Fiestas are on display at www.americanidol.com.

Through May 21, fans 18 and older can enter to win one of the vehicles and a trip to the show’s Ford Music Video Challenge video shoot or one of the cars and tickets to the season finale at www.americanidol.com/ford/challenge.

Ford has been a sponsor of the show since it premiered in 2002.

8 | April 2010

Media

*Our Surcharges (incl. Fed. Univ. Svc. of 14.1% of interstate & int’l telecom charges (varies quarterly), 7¢ Regulatory & 92¢ Administrative/line/mo. & others by area) are not taxes (details: 1-888-684-1888); gov’t taxes & our surcharges could add 10% – 35% to your bill. IMPORTANT CONSUMER INFORMATION: Subject to Customer Agmt, Calling Plan & credit approval. Up to $175 early termination fee ($350 for advanced devices) & other charges. Offers & coverage, varying by service, not available everywhere. Discounts are subject to corporate customer maintaining a minimum number of lines, proof of employment and may only be available via online business resources. Accessory discounts are off retail price and cannot be combined with bundled offers or promotions. While supplies last. Shipping charges may apply. DROID is a trademark of Lucasfilm Ltd. and its related companies. Used under license. Google, Google Search, Google Maps™ and Android Market are trademarks of Google, Inc. ©2010 Verizon Wireless.

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America Idol contestant Aaron’s car (top) was chosen as the favorite in an @Ford Online readers’ poll.

‘American Idol’ contestants personalize Ford FiestasBy Chris Rahi Kassab

April 2010 | 9

Green

Ford and Microsoft are leading the way toward a more energy-efficient future by offering a new solution to make electric vehicle ownership easier and more affordable for consumers.

The two companies have teamed up to implement the Microsoft Hohm™ energy management application for Ford’s upcoming electric vehicles, starting with the Ford Focus Electric which arrives next year.

Hohm will help owners determine when and how to most efficiently and affordably recharge battery electric (BEV) and plug-in hybrid (PHEV) vehicles. It also should help utility companies manage the added demands of electric vehicles on the electric grid.

“For Ford, this is a needed step in the development of the infrastructure that will make electric vehicles viable,” said Alan Mulally, Ford president and CEO.

Since increasing numbers of electric vehicles will have a significant impact on energy demand and usage, Ford and Microsoft believe that making energy management easy and affordable is the key that lets electric vehicles succeed in the marketplace while creating a positive environmental impact.

“With Microsoft Hohm, Ford and Microsoft will deliver a solution that makes it easier for car owners to make smart decisions about the most affordable and efficient ways to recharge electric vehicles, while giving utilities better tools for managing the expected changes in energy demand,” said Steve Ballmer, Microsoft CEO.

Since full battery electric (BEV) and plug-in hybrid (PHEV) vehicles need to be recharged daily, the Internet-based Hohm service is designed to help customers avoid unnecessary expense by providing insight into their patterns of energy use and suggesting recommendations to increase conservation.

In this way, Hohm will help drivers of Ford electric vehicles determine the best times to recharge their vehicles.

Energizing Ford’s Product Plan

The announcement at the New York International Auto Show that Ford will be the first automaker to use Hohm supports the company’s aggressive global electrification plan which will put five new electrified vehicles on the road in North America and Europe by 2013.

In North America, that includes

the Transit Connect Electric later this year, the Focus Electric in 2011 plus a plug-in hybrid and two next-generation hybrids in 2012.

As America’s largest domestic hybrid seller, Ford currently has four hybrids on the road with another, the Lincoln MKZ, coming later this year.

Ford is also working with a dozen North American energy companies to road-test a fleet of 21 Ford Escape plug-in hybrids that have accumu-lated more than 160,000 miles of real-world data, which will aid in the use of Hohm with electric vehicles.

Microsoft Hohm is now available for free to all U.S. residential energy consumers.

Ford, Microsoft team up to aid consumers of electric vehiclesBy Kristopher Spencer

Microsoft Hohm will let owners of Ford electric vehicles pick the best time to recharge.

Visit the “Photos & Videos” box

Complete New York auto Show coverage

www.at.ford.com

Inside, the MKZ Hybrid offers hand-crafted Bridge of Weir leather tanned by a chromium-free process, wood trim from sustainably sourced forests and the new Lincoln SmartGauge™ instrument cluster that coaches drivers to more fuel-efficient driving habits with the only gauge that “grows” leaves and flowers.

Sustainable luxury, driven by technology – it’s the Lincoln MKZ Hybrid. Its 41 mpg fuel economy rating tops its only close competitor – the 2010 Lexus HS 250h – by 6 mpg. The new Lincoln can also be driven in pure electric mode up to 47 mph, compared to just 25 mph for the Lexus hybrid on electric power alone.

Revealed at the recent New York Auto Show and arriving in

showrooms this fall, the MKZ Hybrid also trumps the Lexus with more passenger space, more standard luxury and safety features exclusive to the segment. (See sidebar.)

The MKZ Hybrid uses Ford’s second-generation hybrid

technology, which has garnered rave reviews and industry honors for its use in the Ford Fusion and Mercury Milan hybrids – and with an engine recently chosen as one of “Ward’s 10 Best Engines of 2010.”

To this world-class powertrain, the new MKZ delivers an elegant

10 | April 2010

Cover story

With the efficiency of a hybrid and the luxury of Lincoln, the new Lincoln MKZ Hybrid is projected to be the most fuel-efficient luxury car in America, achieving a stunning 41 mpg in city driving and a range of more than 700 miles on a single tank.

2011 Lincoln MKZ Hybrid offers luxury – and 41 mpg

By Chris Rahi Kassab

• SmartGauge with EcoGuide registers long-term fuel economy with small white flowers that bloom amid a new set of green leaves that encourage short-term eco-driving.

• 10-Way Passenger Seat accommodates riders sized from NFL linemen (6-feet-5 inches and 300 pounds) to Olympic gymnasts (4-foot-10 inches and 90 pounds).

• Power Driver Memory Seat helps ensure individual seating preferences with the touch of a button.

• Heated and Cooled Front Seats operate uniquely to heat or cool the air for circulation to seatbacks and cushions.

• Genuine wood trim comes in swirl walnut or olive ash veneers from controlled, well-managed sources.

Lincoln MKZ Hybrid Standard Features

exterior, a luxurious interior and an ultra-smooth, class-leading quiet ride for a truly refined driving experience.

“Our engineers worked to ensure the hybrid electric motor and engine complement each

other in a fashion that is deserving of the Lincoln customer,” noted Derrick Kuzak, group vice president, Global Product Development.

Offering an impressive array of standard luxury appointments,

interior craftsmanship and leading-edge technologies, this new Lincoln is a welcome addition to a brand with a rich tradition, a growing portfolio and a promising future.

“The new Lincoln MKZ Hybrid leads the brand in an exciting new direction that embraces both luxury and sustainability,” said Mark Fields, president, The Americas.

Expanding on that point was Jonathan Richards, marketing manager, MKZ.

“The MKZ Hybrid clearly expands the Lincoln showroom and it will change people’s perceptions about the brand,” he said. “It’s an opportunity to draw in customers who are concerned about both fuel economy and luxury.

“Once they check us out, they’ll find the best line-up of Lincolns they’ve ever seen.”

April 2010 | 11

“ It’s an opportunity to draw in customers who are concerned about both fuel economy and luxury.”

– Jonathan Richards, marketing manager,

LincolnMKZ

Luxury shoppers go green

Besides adding an important new vehicle to Lincoln’s product renaissance, the MKZ Hybrid dovetails neatly with the upscale trend of socially responsible consumerism.

It’s one of the most significant current trends seen among today’s luxury consumers, said Pam Danziger, an internationally recognized expert on consumer insights.

“They know that the choices they make have a direct impact on the future well-being of the planet and the society they leave to their children and grandchildren,” said Danzinger, the president of United Marketing, of Stevens, Pennsylvania.

Danziger believes the current economic recession will change the way luxury customers shop.

“It will no longer be about an outward show of status or wealth, but an inner state of being linked with personal happiness and an outstanding quality of life,” she said.

• Reverse Sensing System gives an audible alert to objects you may not see behind you.

• Lincoln SYNC® is the exclusive, voice-activated communications and entertainment system, now with Vehicle Health Report and 911 Assist.

• Keyless Entry Keypad is an exclusive feature that provides secure entry at your fingertips.

• Easy Fuel® Capless Fuel-Filler provides hassle-free, odor-free

and more consistent seal.

• Personal Safety System™, an exclusive suite of seven proven technologies that protects occupants, includes dual-stage front air bags and Ford’s Belt-Minder® system.

• MyKey™ is an exclusive Lincoln feature that lets parents limit speed and audio volume to encourage safer, more economical teen driving.

• Integrated Spotter Mirrors provide a better view of the driver’s blind spots.

• Acoustic Laminated Windshield enhances interior quietness.

• Bridge of Weir Leather Seats are world-renowned for their softness and chromium-free tanning process.

These features are not offered on the Lexus HS 250h or are available only at extra cost.

Twenty Ford facilities and teams recently received the North American President’s Quality Awards for their outstanding quality contributions in 2009.

Honored were Cleveland Casting, Sharonville Transmission Plant, Windsor Engine Plant and the Walton Hills Stamping Plant.

FCSD awards went to the Hartford HVC, the Memphis HCC and the Lakeland HVC.

Also honored were the Super Duty, Expedition and Navigator teams at the Kentucky Truck Plant; the Fusion, Milan and MKZ teams at the Hermosillo Assembly Plant; the F-150 team

at Dearborn Truck Plant; the F-150, Escape and Mariner team at Kansas City Truck Plant; the Edge, MKX and Flex teams at Oakville Assembly Complex; Team Taurus at Chicago Assembly Plant; Team Mustang at AutoAlliance, Inc.; the Ranger team at Twin Cities Assembly Plant; the Focus team at Wayne Stamping and Assembly and the Ohio Assembly Plant.

Awards were also earned by teams for Electrical Function; Vehicle Engineering Function and the Vehicle Function Group.

The awards were presented by Mark Fields, president, The Americas; Graydon Reitz, director, Americas Quality and Dan Brooks, assistant director to the vice-president, UAW National Ford Department.

12 | April 2010

Teamwork

2009 quality awards earned by 20 facilities and teams

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Dearborn Truck Plant employee Carey Earl on the F-150 line.

April 2010 | 13

Environment

Ford has launched a voluntary dealership sustainability program for Ford and Lincoln Mercury dealers to improve the energy efficiency of their businesses and reduce their carbon footprint.

Sue Cischke, group vice president, Sustainability, Environment and Safety Engineering, said the initiative is cost-effective, regardless of the age and design of the dealership.

“This allows all dealers the opportunity to participate in improving the energy efficiency of their facility and gives them flexibility in making choices that are right for them,” she said.

Ford has partnered with the Rocky Mountain Institute, a leading

energy-efficiency organization, to pilot new technologies and architectural design principles at three dealerships in Florida, New York and Nevada in a test program in varied climates.

Besides using less energy, “implementing these cost-effective solutions will also improve the dealer’s bottom line over the long term,” said Amory Lovins, the Institute’s co-founder, chairman and chief scientist.

Dealers interested in the program will first receive a comprehensive energy assessment by experts at Ford.

After that, Ford and the dealer will collaborate on the energy-

saving options available and tailor a plan that meets the dealer’s needs.

The solutions can be used by dealers in existing facilities or by those building new facilities.

Besides state and federal tax credits and incentives, dealers in the program will have access to the expertise and resources to select energy-efficient products and equipment.

“Through this initiative, we are making available to dealers the same techniques, principles and expertise we use to reduce our energy use and contribute to a better world,” said Cischke.

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Voluntary program will help dealers cut their energy costs.

Ford launches voluntary ‘green dealer’ programBy Steve Kinkade

AT TENTION FORD EMPLOYEES AND RETIREES

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April 2010 | 15

Retirees

After their careers at Ford, many retirees want to keep up with the latest news and information about Ford Motor Company and its future.

The Blue Oval Connect retiree outreach program is a great way to do that. It provides timely news and periodic newsletters direct to retirees’ e-mail boxes, without the delay of regular mail.

This keeps retirees in the loop and informed about the latest from Ford – and helps them continue to be strong ambassadors for the company.

Coming up in the next Blue Oval Connect are:

• News about new and current products

• Updates on breaking news and event promotions

• Links to important Web sites and “outside voices”

• Access to Ford retiree groups across the U.S.

• Money-saving discounts on goods and services

Just visit www.BlueOvalConnect.com to sign up for this free electronic news service for Ford retirees.

Blue Oval Connect links retirees with Ford products, information

Important numbersMyFordBenefits: www.myfordbenefits.com 401(K) accounts (TESPHE or SSIP) , FRP (Ford Retirement Plan)

Comerica Bank (Retirees Only) : 800-647-3674 Direct deposit, tax updates, address changes

Extend Health (for Salaried Retirees): 866-427-4830 or www.extendhealth.com/Ford Assistance regarding Medicare supplemental coverage

Ford Customer Relationship Center: 800-392-3673 Product issues, dealer issues

Ford Motor CompanyWorld Headquarters: 313-322-3000 General information, corporate directory

Healthcare Carrier: Phone number is located on the back of your ID card

National Employee Service Center (NESC): 800-248-4444 Questions about your benefits

Smith Barney (LL5+ Retirees): 877-664-FORD (3673) www.benefitaccess.com or incencom@ford.com

UAW-Ford Retirement Board: 800-829-8833

WageWorks: 866-840-0911 www.wageworks.com Health Reimbursement Arrangement (HRA) administration

Donald N. Frey, the engineer who spearheaded the design and development of the Ford Mustang, died March 5.

Frey and his team created the car – from approval by top management to the showroom – in just 18 months. The team included designer Joe Oros, product planner Hal Sperlich and then general manager Lee Iacocca.

Frey finally sold the idea to Henry Ford II, who told him, in rather salty terms, that the car had better be a success. It was – selling more than 400,000 in its first year.

Frey also helped create the Ford Bronco and became a vice president in 1967. Later, as CEO of Bell & Howell, he helped engineer the first CD-ROM and was a key player in getting Hollywood to release its films on videotape.

At his death, Frey still owned an original Mustang which he liked to drive fast. But he was proudest, he said, that he helped introduce safety features like disc brakes and radial tires to Ford cars.

Donald Frey 1923 – 2010

Earlier this year, Ford began transitioning the administration of benefits to ACS, a Fortune 500 company that supports multi-national corporations and government agencies in more than 100 countries around the world. Rick Popp, director, Employee Benefits, explains this change and what it means.

Q. Why did Ford decide to make this change?

A. In the second half of 2008, as Ford was faced with unprecedented financial challenges that resulted in continued cost cutting actions and personnel reductions, the Employee Benefits office began an extensive benchmarking study to see if there were better ways to administer benefits in the U.S.

The study looked at health and welfare, pension plans, savings plans and call center operations supporting these plans.

As a result of this benchmarking, we identified several potential opportunities, including the integration of benefits administration, improved technology and further opportunities to enhance our customers’ experience.

ACS was selected based on a proven track record administering large, complex benefit plans with high customer satisfaction, lower costs, and state-of-the-art technology, to name a few key considerations. ACS also planned to establish an Employee Services Center in Allen Park, Mich., to support Ford and other clients.

So, we saw a unique opportunity to improve services for employees and retirees, both online and by phone, and to reduce company costs. At the same time, with ACS’s planned customer service center in southeast Michigan, the partnership maintained employment for our team members at the National Employee Services Center and created new jobs in the area.

Q. What does the change mean for employees and retirees?

A. Once the transition is complete later this year, salaried employees and retirees will have their savings plans, health and welfare plans, and retirement plans administration being handled by one company, with one integrated Web site and the same call center support system. The hours of call center support will be increased from today’s schedule and the hours of operation will be Monday through Friday, from 9 a.m. to 9 p.m. ET.

Q. What are some of the important transition dates coming up?

A. April 7-20 is the annual Flexible Benefits Enrollment for salaried employees. On June 1, health and welfare benefits for hourly and salaried employees will be transitioned to ACS. On October 1, the defined benefit pension plan administration for salaried employees will be transitioned to ACS. The call center support for these administrative functions will happen at those times.

Q. There’s been a lot of traffic on the ACS site and on the phones. Any tips for navigating those two systems?

A. After the first several days of 2010, where call volumes were five times the expected level, volumes have settled to a normal level and the average speed of answer for employees and retirees has been a matter of seconds for the past several weeks. So you can either try the Web site or call, whichever works best for you.

Q. Who can employees contact for support and to have their questions answered?

A. First try www.myfordbenefits.com. But if you’re unable to find answers online, you can call the same number as before, 1 (800) 248-4444.

16 | April 2010

Benefits

Employee Benefits Director Rick Popp explains Ford’s transition to ACS

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April 2010 | 17

History

Someone once said there are no second acts in show business but a car designed in Dearborn and built in Italy more than 50 years ago proved that adage wrong.

The car was the 1955 Lincoln Futura concept, designed as jet-age vision of tomorrow with its hooded headlights, sculpted tail fins and dual bubble-top.

The design was inspired by an encounter Lincoln Mercury’s chief stylist Bill Schmidt had with a manta ray and a mako shark while scuba-diving on a Bahamas vacation.

Unlike most show cars of the era, this one was made to be drivable and fully operational so it could be used as a test lab on wheels.

After it was designed, Ford sent detailed plans and running gear to Ghia, the Italian specialty car maker.

After Ghia’s craftsmen hand-built the Futura’s metal body, it was painted a pearlescent frost-blue white, to match the shimmery colors

seen on tropical fish.Under the dual

canopies, the interior featured bucket seats, a speedometer in the center of the steering wheel and a telephone.

In January 1955, the Futura was unveiled at the Chicago Auto Show and then traveled to auto shows in Detroit and New York, where Schmidt and Benson Ford drove it from the United Nations building to a press event in Central Park.

In 1959, it was painted red so it would photograph better when

used in the romantic comedy, It Started with a Kiss, starring Glenn Ford and

Debbie Reynolds.

But the Futura had its most famous starring role as the Batmobile on the campy ABC-TV series Batman that debuted in 1966.

With only three weeks to produce a car for the caped crusaders, customizer George Barris and colleague Bill Cushingberry turned the by-then weather-beaten Futura into TV’s Batmobile.

The car’s front, sides and rear were slightly modified as was its canopy top. With the addition of a black paint job, a police light and bat insignias, the car was ready for the Dynamic Duo.

With its colorful comic book effects and famous guest stars, TV’s Batman was a huge hit and the Futura/Batmobile became one of the most famous cars in the world.

Lincoln concept car became a BatmobileBy Robert Musial

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April 2010 | 19

Global

Ford Focus wagon unveiled for europe at Geneva show

European customers will soon be able to buy the next-generation Ford Focus wagon, which was unveiled at the Geneva Motor Show.

The model is an important one in Europe, where it is purchased by one-third of all Focus customers. In Italy and Germany, the wagon represents more than one-half of all Focus cars sold.

For now, there are no plans to introduce the Focus wagon in the U.S. and Canada. The last year a Focus wagon was available in North America, in 2007, it only accounted for 4 percent of total Focus sales.

Ford Figo production beginsLess than six months after its reveal, production

of the all-new Ford Figo has begun in Chennai, India, at a plant that has undergone a U.S. $500 million expansion.

The four-door Figo hatchback is designed and engineered for India’s small car segment, which accounts for more than 70 percent of the country’s new car market.

Manufactured mainly for India, the new sub- B-sized car will also be exported to other Asian countries and South Africa, beginning later this year.

Canada Post chooses Transit ConnectCanada’s new mail

trucks will be Ford Transit Connects.

In open and competitive bidding, Canada Post selected Ford’s new small van to begin replacing its aging fleet of light vehicles.

This year, 1,175 Transit Connect vans will be purchased by the postal system, which said they are “much more efficient and environmentally friendly” than the existing fleet of Grumman-General Motors mail trucks.

Ford sales rise in europeFor the ninth month running, Ford Europe maintained its

momentum with sales increasing 1.8 percent for the month.Ford was the top-selling brand in the United Kingdom,

Hungary and Turkey and increased its market share in eight of its 19 main European markets.

Led by the Fiesta, Ford was the leading import brand in Italy, France and the Czech Republic and also registered strong gains in Spain, Poland, Sweden and Switzerland.

Brazil launches 2011 ecoSportThe Brazilian-built Ford EcoSport has arrived in showrooms with

a freshened face, a lower price and a three-year warranty with unlimited miles.

With the widest range of options, EcoSport is a leader in the compact SUV market in Brazil, Argentina, Venezuela and Mexico.

With more than 550,000 units produced since its 2003 launch, the EcoSport was developed entirely in Brazil for use in Latin America.

20 | April 2010

Back page

Hip-hop superstar Nelly gives Mustang his vote

The 2011 Mustang 5.0-liter V-8 makes its hip-hop debut this spring as part of the artwork on the upcoming album of Grammy-winning artist Nelly.

Customized by DUB magazine, the tricked-out Mustang GT got its start after Nelly caught a glimpse of an early version while touring the Ford design studio more than a year ago as part of his partnership with the Ford Flex.

The album car features gloss black paint with flat black racing stripes, custom 22- and 24-inch wheels, a billet grille with special headlights and a custom interior.

In Oakland, Calif., the 17 newest vehicles in the Friendly Cab fleet are Ford Escape Hybrids and they’re drawing plenty of eco-conscious customers.

“We have people calling our dispatch department, saying ‘I want one of those green hybrid taxis,” says Dhar Mann, the company’s general manager.

Driver Tim Baker said he sometimes gets twice as many fares during his shift in one of the green machines. Bay-area companies like Pixar and FedEx have also been using Friendly’s cabs more.

The Escape Hybrids get 34 mpg on city streets, about 60 percent better mileage than the old taxis . Mann plans to add two more a month until he’s replaced the whole 100-car fleet.

“ The Mustang remains what it’s always been – america’s premier pony car. The convertible just adds to the fun.”

– Dan Wiese, St. Louis Post-Dispatch

“ We drove the Lincoln MKT back-to-back with an audi Q7 and were impressed how much quieter, nimbler and more involving the Lincoln was…”

– Steven J. Ewing, nextautos.com

“ The top-selling Ford F-150 is better-looking, more powerful, more refined and offers a long list of amenities, making it irresistible when compared to its competitors.”

– Ira Siegel, Chicago Sun-Times

500,000-mile specialIn 2000, Michael Minkin bought a new

Lincoln Town Car Executive Series to start his own limo business in Boston. The car, which rolled past 500,000 miles earlier this year, is still in use every day.

“It has the original engine, transmission and rear end and it’s never failed a client. It’s very reliable,” said Minkin, who makes sure his black beauty gets regular oil changes.

He figures he puts up to 1,000 miles a week on the car, making runs as far away as Pennsylvania, Maine and New York.

“I feel if it’s going to keep running, a million miles is possible,” said Minkin.

Hail a green taxi

Raptor versus bear

Since off-roading is frowned upon in Central Park, reviewer Jesse Will had to leave Manhattan to test out the Ford F-150 SVT Raptor.

In the Delaware Water Gap National Recreation Area on the New Jersey – Pennsylvania border, the Maxim magazine reviewer found some hilly gravel-and-mud roads to suit the Raptor. He also encountered a big black bear.

“This beast saw the Raptor’s big Ford grille and ran. Guy must have known his trucks,” wrote Will.

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