@ford february 2010 (north america)

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Connecting North America February 2010 Leading Edge Transit Connect Electric | Shelby GT500 | New SYNC Even better for 2011

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@Ford February 2010 (North America)

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Page 1: @Ford February 2010 (North America)

Connecting North America

February 2010

Leading Edge

Transit Connect Electric | Shelby GT500 | New SYNC

Even better for 2011

Page 2: @Ford February 2010 (North America)

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Page 3: @Ford February 2010 (North America)

February 2010 | 1

Publisher: Sara Tatchio | Associate publisher: Susan Krusel | Managing editor: Robert Musial | Contributing editor: Jenn Corney | Advertising coordinator: Michele Holtcamp | Distribution: Neeley Edelman | Graphic designer: Julie Yeiter Image coordinators: Marv Walters, Brian Wybenga | Copy editor: Floyd Opperman Writers: Leslie Armbruster, Meghan Cass, Marcey Evans, John Fossen, Chris Rahi Kassab, Jeff Majeske, Robert Musial, Susan Pollack, Kristopher Spencer, Mark Spencer, Andrew Stoy Photographers: Keith Tolman, Sam VarnHagen, Tom Wojnowski

Fax: (313) 248-5570 | 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. Many items advertised in @Ford are available through retail organizations and establishments not connected with Ford Motor Company. Availability, price, safety, quality and durability of these items rest solely with the respective manufacturers and their sales organizations. Ford assumes no responsibility for their use.

@Ford is available online at www.at.ford.com. The magazine is available 10 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 or make @Ford address changes only at [email protected].

For more information on Ford news, visit at.ford.com.

FCNNEWS

4

9

12

13

10

Connecting North America

3 Monthly salesJanuary sales and share up as vehicle market improves.

4 Global Town HallPresident and CEO Alan Mulally addresses employees on company performance.

5 Business reviewThe Americas’ business unit meets to set 2010 priorities.

9 Next-gen ExplorerChicago facilities land next-gen Explorer production.

10 Leading Edge 2011 Ford Edge and Edge Sport blend technology, design, fuel economy.

12 Shelby GT500New Shelby GT500 boosts performance, mileage, handling.

13 Transit ConnectTransit Connect Electric aims at fleets, taxi goes green.

14 Top Hoss is BossFord Mustang Boss 302 returns as turnkey race car.

17 Ford HistoryHow Edsel Ford acquired the Lincoln brand in 1922.

20 Back PageThey Said It plus $300,000 pace car, Brian Williams’ vote and a surprising thumbs-up.

Our plan is working Our momentum continues in 2010 as customers

continue taking notice of fuel-efficient, high-quality vehicles throughout our lineup.

For the month of January, our sales were up 24 percent versus a year ago, driven by strong sales of Fusion and Taurus, as well as our crossovers and hybrids.

Resale values of our products also continue to increase. Among full-line manufacturers, Ford, Lincoln and Mercury vehicles recorded the largest gain in resale values from the 2009 to 2010 model year.

We also continue to unveil exciting new products as part of our product led transformation. In January, we unveiled the next-generation Ford Focus and 2011 Lincoln MKX. And this month, we will show off the 2011 Ford Edge to media and consumers at the Chicago Auto Show.

This is all great news for Ford and customers -- and further proof that our plan is working. Let’s continue staying laser-focused on delivering even more new vehicles with world-class fuel efficiency, quality, safety and great value.

Thank you for your valuable contributions. 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.

– The @Ford magazine team

Click to @Ford Online for more information

www.at.ford.com

Page 4: @Ford February 2010 (North America)

2 | February 2010

LocalLatest Hollywood star? It’s the Transit Connect

The Ford Transit Connect makes its Hollywood debut with an all-star cast in the movie Valentine’s Day, which opens this month.

In the movie, florist Ashton Kutcher uses the van to deliver flowers. The cast includes Jessica Alba, Patrick Dempsey, Jamie Foxx, Jennifer Garner, Topher Grace, Anne Hathaway, above, and George Lopez.

The cast also modeled pieces from the Ford Warriors in Pink apparel collection in national ads to aid fundraising for Susan G. Komen for the Cure. The collection is available at www.FordCares.com.Ford sweeps both Car of Year

and Truck of Year awards Ford scored a historic doubleheader, capturing

both Car of the Year for the Ford Fusion Hybrid and Truck of the Year for the Ford Transit Connect at the North American International Auto Show in Detroit in January.

It marked only the third time in 17 years that one manufacturer had won both titles for the awards which recognize innovation, design, safety, handling and value for the dollar.

The Fusion Hybrid edged out the Buick LaCrosse and Volkswagen Golf/GTI to win and the Transit Connect bested the Chevrolet Equinox and the Subaru Outback to win.

Ford Taurus scores technology award

It was the 2010 International Consumer Electronics Show (CES) but the 2010 Ford Taurus took home the prize.

At the annual Las Vegas show, which is aimed at personal and home electronics, the Taurus was cited by Edmunds.com for its first-ever Technology Breakthrough award.

Judges said the Taurus offers more user-friendly technology than other cars twice its price, including 10 class-exclusive features not available from any other manufacturer.

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!

800-257-1538 23535 Michigan Ave., Dearborn, MI 48124

28 Years of Quality Customer Care in Sales and Service

In Dearborn. We have to be Better.

Open Saturday

Page 5: @Ford February 2010 (North America)

February 2010 | 3

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

25%

MAR

KET

SHAR

E PE

RCEN

TAGE

20

15

5

10

016.3%*

2.4

20.6%

1.3

8.0%

1.3

13.8%

3.7

9.5%

1.1

8.8%

0.8

15.6%

1.2

OTHER

7.4%

0.4

Sales

Ford rode strong fleet business to a whopping 24 percent increase in U.S. sales for the month of January, easily outpacing the overall industry gain of 6 percent.

As a result, overall market share for Ford, Lincoln and Mercury vehicles jumped to 15.7 percent, which is 2.2 points higher than in January, 2009.

“Consideration for our brand and our products is at an all-time high,” said Ken Czubay, vice president, U.S. Marketing, Sales and Service. “Customers really value the quality, fuel efficiency, safety and smart technology in our products.”

Despite retail sales 5 percent below those of last January, the Ford, Lincoln and Mercury brands all recorded sales increases in all categories – cars, crossovers, SUVs, trucks and vans – as fleet sales more than doubled. Industry-wide fleet sales were up an estimated 100 percent.

Sales of the Ford Fusion were up 49 percent in January, while F-Series gained 9 percent and Taurus sales more than doubled. Ford expects fleet sales to remain strong through the first quarter compared to depressed levels during the same period a year ago.

Czubay said it was too early to

gauge the impact of the Toyota gas-pedal

recall. He added that Ford’s recent U.S. $1,000

incentive to customers of competitive makes, including Toyota, was imple-mented to make sure Ford, Lincoln and Mercury dealers remain competitive and to alleviate customers’ concerns on the showroom floor about the value of their prospective trade-ins.

“I don’t think there is a short-term gain (from the Toyota situation) that is worth engaging in,” Czubay said. “The long-term proposition for us is our product. We’re going to keep an eye on our product and let our product tell the story.”

Source: Manufacturers’ Reports *Includes Volvo

Ford gains 24 percent in January, also adds shareBy John Fossen

SALES TO COME

Ford of Canada sales up by 6 percent in January

Ford of Canada kicked off the new year with a sales increase of 6 percent with retail sales up 16 percent.

This marked the company’s eighth straight month of retail sales gains and fifteen consecutive months of market share increases.

Car sales rose 1 percent, truck sales increased 7 percent and Lincoln sales were up 59 percent as Lincoln MKZ, MKX and Navigator all showed strong gains.

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

Rank Nameplate Units Sold

1 Ford F-Series 27,630 2 Chevrolet Silverado 22,772 3 Honda Accord 19,022 4 Nissan Altima 18,636 5 Toyota Corolla/Matrix 17,121 6 Chevrolet Malibu 16,439 7 Toyota Camry 15,792 8 Honda Civic 14,693 9 Chevrolet Cobalt 12,962 10 Ford Fusion 12,179 11 Chevrolet Impala 10,939 12 Ford Escape 10,753 13 Ford Focus 10,389 14 Dodge RAM 9,957 15 Honda CR-V 9,672 16 Chevrolet Equinox 9,513 17 VW Jetta 8,893 18 Toyota Prius 8,484 19 Toyota RAV4 7,894 20 Kia Sorrento 7,871 21 Hyundai Elantra 7,690 22 Nissan Sentra 7,514 23 Mazda3 7,368 24 GMC Sierra 7,271 25 Hyundai Santa Fe 7,204 27 Ford Edge 6,243 28 Ford Econoline 6,177Source: Manufacturers’ Reports

2010 Ford Fusion

Page 6: @Ford February 2010 (North America)

Ford President and CEO Alan Mulally thanked the extended Ford family around the world for its efforts in helping the company post a full-year 2009 net income of U.S. $ 2.7 billion ($454 pretax operating profit, excluding special items).

That marked Ford’s first full year of positive net income since 2005 and a $17.5 billion improvement over 2008.

“I have never been more proud or honored to be associated with anything as I am serving Ford with you,” said Mulally, addressing employees gathered for his quarterly financial results Town Hall Meeting as well as other employees who saw the meeting live on @Ford Online.

“The (financial) performance we’re seeing today is the result of everybody pulling together around our ONE Ford plan,” said Mulally.

Net income for the fourth quarter was $868 million, a

$6.8 billion improvement over a year ago. Excluding special items, Ford posted pretax operating profits totaling $1.8 billion during the fourth quarter. Ford automotive operations around the world all recorded profits and improvement for the quarter.

As a result of Ford’s 2009 U.S. financial performance, the company will pay profit sharing to 43,000 eligible U.S. hourly employees.

While encouraging employees to feel good about Ford’s continuing improvement and resulting positive media coverage, Mulally cautioned them about the challenges ahead.

Improving the company’s balance sheet to better compete with the larger cash reserves of key competitors and speeding penetration in the growing Asia Pacific region are two of the company’s top priorities this year.

“Our aim is to compete with the

very best companies in the world, and we’re not there yet,”Mulally said.

“But the neat thing is because of what we’ve done, we have earned the right to (take) the next steps to compete with the very best companies in the world. Who would have ever have thought that three or four years ago?”

Mulally told employees that Ford expects to be profitable overall in 2010, with profitability in all automotive operations around the world.

When asked by an employee how long it would take Ford to pay off its debt, Mulally said that with just reasonable returns, “there is no reason it can’t be done” over the next few years. He did note, however, that the company will always carry some debt as part of a balanced debt-equity ratio.

He also spoke on the subject of Toyota’s recent quality challenges, saying he “takes no glee” from the predicament because Ford and other automakers have been in similar situations in the past. “It’s a complex business, with very sophisticated designs, and these things happen,” he said.

He added that Ford’s response to media inquires about the company’s reaction to the Toyota recalls is to continue serving our customers with the vehicles they really want.

Before concluding the meeting, Mulally assured employees that sticking to the plan will continue to move the company toward profitable growth for all.

“We are doing it now. We are profitably growing the corporation,” Mulally said. “Thank you, thank you, thank you – and congratulations.”

4 | February 2010

Financials

Ford reports full-year profit, but challenges remain By John Fossen

“ We are doing it now. We are profitably growing the corporation. Thank you, thank you, thank you – and congratulations.”

– Alan Mulally, president and CEO

Alan Mulally, president and CEO, discusses financial results with employees.

Page 7: @Ford February 2010 (North America)

February 2010 | 5

Forecast

Buoyed by a second straight profitable quarter that ended 2009, the leadership of Ford’s Americas operations met in the afternoon of Jan. 28 to recap the year and set priorities for 2010.

Addressing a packed Americas Quarterly Business Review meeting at World Headquarters in Dearborn, Mich., Mark Fields, president, The Americas, said that North America had posted a pretax operating profit of U.S. $707 million in the fourth quarter in one of the toughest years since the Great Depression.

The news was also good in South America, which reported a pretax operating profit for the fourth quarter of $369 million.

“For us, 2009 was a pivotal year and the strongest proof yet that our ONE Ford plan is working,” said Fields. “You have proven with an exclamation point that, yes, we will survive and even thrive.”

Because of its improving condi-tions, the company and its North American unit forecast that both will be profitable for this full year.

During the presentation, Ellen Hughes-Cromwick, Ford’s chief economist, explained that conditions were gradually improving in the U.S. but that the recovery was still slow. “The job market is still soft and credit remains tight,” she said.

The meeting included a special guest – respected analyst David Cole, chairman of the Center for Automotive Research in Ann Arbor, Mich. He agreed that the economy was beginning to improve.

Dave Schoch, controller, The Americas, stressed that “to compete effectively, we must improve our balance sheet.”

Fields listed that as one of the top goals for the Americas for 2010.

He then asked the audience to stand as he enumerated the goals for 2010.

“Let’s make money and improve cash flow … make it cool to own a Ford … deliver outstanding quality … recognize and value our teams … build cars and trucks people love … have some fun,” said Fields, pausing between each point as the audience shouted “Yes!” to each.

In his remarks, Derrick Kuzak, group vice president, Product Development, took the group over the cadence of impressive new products and powertrains coming this year.

“Our answer can only be to exceed our customers’ expectations and keep an unrelenting focus on achieving our goals,” Kuzak said.

The audience also gave Alan Mulally, president and CEO, a standing ovation, when he stopped by for brief remarks.

The quarterly review took place a few hours after the company surprised many by reporting a

2009 pretax operating profit of $454 million – a staggering $7.3 billion improvement over 2008.

In his review, Fields noted that Ford of Canada had increased its market share 14 months in a row, becoming the best-selling brand in the country in 2009, and that Ford South America had also grown its share and registered its 24th quarter of profitability.

U.S. market share also improved in 2009 by 1.1 percentage points to 15.3 percent.

“That’s the first time we’ve grown our share since 1995,” noted Fields.

Americas Business Review sets goals in place for 2010By Robert Musial

Yes!Let’s make money and improve cash flow … make it cool to own a Ford … deliver outstanding quality … recognize and value our teams … build cars and trucks people love … have some fun ...

– Mark Fields, president, The Americas

Page 8: @Ford February 2010 (North America)

The hot-selling 2010 Ford Taurus is now an active star in an online game that’s an extension of USA Network’s hit TV show White Collar.

The show follows an FBI agent and a con artist who team up to catch bad guys.

In the game, “White Collar: Chasing the Shadow,” online players acting as FBI trainees drive the Taurus and use its features to

help nab a notorious villain dubbed the “White Shadow.”

“What makes this

initiative unique is that the Taurus isn’t just along for the ride,” said Connie Fontaine, manager, Brand Content & Alliances. “The new and class-exclusive technologies in the Taurus are used to interpret clues and collect evidence.”

For example, game players use the Ford SYNC® technology to access text messages that contain important crime-solving tips. Players also use other Taurus features like SecuriCode™, Adaptive Cruise Control and Collision Warning as they would in the real world.

The online game has episodes so players can return to solve new

puzzles weekly. Players can also register to win a new Taurus.

The placement of a Ford vehicle in an online game is not new but the depth of the inclusion is.

“It not only introduces the Taurus to millions of consumers through the popularity of online gaming but provides them with a very engaging way to learn about the innovative technology and features in the new Taurus,” said Jeff Eggen, manager, Car Experiential Marketing.

Online gaming is booming in the U.S. with sites generating 53 million unique visitors during a single month.

6 | February 2010

Marketing

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*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 9% – 33% 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. Voice & data service available outside 3G coverage area. The red shows the approximate 3G coverage of Verizon Wireless. The competitor’s approximate 3G coverage is from publicly available information gathered prior to 11/30/2009. This does not show exact coverage. Wireless service is subject to network and transmission limitations, particularly near boundaries and in remote areas. Customer device, weather, topography, and other environmental considerations affect service, which may vary significantly in buildings. More recent 3G coverage may be available at verizonwireless.com/bbacoverage and wireless.att.com/coverageviewer. ©2010 Verizon Wireless.

Want More 3G Coverage Than AT&T?There’s A Map For That.

Verizon Wireless is proud to be the preferredwireless provider of Ford Motor Company.

Browse the web and download music and apps at 3G speedsin more places than with any other carrier in America.

Plus, get special savings for Ford Employees and Retirees: • 20% off your Calling Plan Monthly Access

1 or 2-yr. line term on eligible plans $34.99 Monthly Access or higher required.

• 20% off your Data Plan Monthly Access1 or 2-yr. line term on eligible plans $29.99 Monthly Access or higher required.

• 25% off eligible Verizon Wireless accessories • No activation fees

Verizon Wireless 3G Broadband Coverage (EV-DO)VeBro

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2010 Ford Taurus stars in online gameBy Chris Rahi Kassab

Want to play the new online game?

Visit http://chasingtheshadow.usanetwork.com and click on the “Start game” tab.

Page 9: @Ford February 2010 (North America)

February 2010 | 7

Fourth Quarter 2009

MEMO: TOTAL SHARE (INCL. FLEET)

1Q09 2Q09 4Q093Q09

4Q08 1Q09 4Q093Q092Q09

15.0%

4Q08

16.1%

4Q09

14.6%

3Q09

16.4%

2Q09

13.9%

1Q09

0

1

2

3

$4B

10

8

12M

NUM

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S

U.S. INDUSTRY(SAAR)

14%

12

10

FNA CUMULATIVE OPERATINGCOST REDUCTIONS

FORD SHARE OF U.S. RETAIL INDUSTRY

EMPLOYEE ENGAGEMENT SURVEYOverall measure of employees’ outlook for the future.

90%

50

80

70

60

40

Perc

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Who

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Agr

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1Q08 2Q08 3Q08 Feb 09 Dec 09Jun 09

Report Card: Key U.S. and North American Indicators

Recent Accomplishments• The 2010 Ford Fusion Hybrid and

2010 Ford Transit Connect captured the North American Car of the Year and North American Truck of the Year awards at the 2010 North American International Auto Show. It is only the third time in 17 years that one manufacturer has won both titles.

• Ford, Lincoln and Mercury vehicles recorded the industry’s largest gain in resale values from the 2009 to 2010 model year. The projected resale value of Ford vehicles increased by $1,310 per vehicle from 2009 to 2010 models – more than any other full-line manufacturer.

• The Ford F-Series remained America’s best selling truck for the 33rd consecutive year and sales of the Fusion set a full year sales record – up 22% from a year ago.

2010 Ford Transit Connect

As measured by survey of U.S. salaried employees.

MEMO: TOTAL SHARE (INCL. FLEET)

1Q09 2Q09 4Q093Q09

4Q08 1Q09 4Q093Q092Q09

15.0%

4Q08

16.1%

4Q09

14.6%

3Q09

16.4%

2Q09

13.9%

1Q09

0

1

2

3

$4B

10

8

12M

NUM

BER

OF

VEH

ICLE

S

U.S. INDUSTRY(SAAR)

14%

12

10

FNA CUMULATIVE OPERATINGCOST REDUCTIONS

FORD SHARE OF U.S. RETAIL INDUSTRY

EMPLOYEE ENGAGEMENT SURVEYOverall measure of employees’ outlook for the future.

90%

50

80

70

60

40

Perc

ent o

f Em

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Who

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1Q08 2Q08 3Q08 Feb 09 Dec 09Jun 09

2010 Ford Fusion Hybrid

Employee Engagement• The overall measure of employees’ outlook for the future was up

2 percentage points to 89% from June 2009, which is a historically high level. This dimension included questions on employee confidence, right products and company long-term success.

• Since Second Quarter 2008, the overall measure of employee outlook for the future has gone up 36 percentage points and in particular, employees’ confidence in our product lineup has risen 45 percentage points.

• 85% of employees said they were looking forward to the future as a Ford employee, up 1 percentage point from June 2009. This question has improved 27 percentage points since Second Quarter 2008 and is at a historically high level (not shown).

• We received more than 1,200 written comments that provided valuable feedback around managing workload and resources, employee development and recognition, and product lineup.

Summary of Performance• Ford North America (FNA) operating

pretax profit was about $700 million for the Fourth Quarter, over $2.6 billion better than a year ago. For the Full Year, FNA reported a pretax operating loss of about $400 million, an improvement of $5.5 billion versus last year.

• During Fourth Quarter, U.S. industry sales declined to a seasonally adjusted annual rate (SAAR) of 11 million units, but were higher than Fourth Quarter 2008 reflecting modest economic improvements during the Second Half of 2009. The Third Quarter spike in industry sales reflected the impact of the “Cash for Clunkers” program.

• Ford’s share of the U.S. retail industry increased to 13.8% in the Fourth Quarter.December marked the fourteenth time in the last fifteen months that retail share has been higher than the prior year period (not shown). Ford’s total share increased 1.1 percentage points from a year ago to 16.1%.

• In 2009, Ford increased full year market share for the first time since 1995 (not shown).

• Ford also continued to make progress in reducing costs. Full Year operating cost reductions totaled $3.7 billion, reflective of lower structural costs. Since 2005, Ford has achieved cumulative cost reductions of $9.3 billion (not shown).

Page 10: @Ford February 2010 (North America)

Talking to your car just got a whole lot easier – thanks to the latest upgrades to Ford’s award-winning SYNC® voice-activated in-car communications and entertainment system.

The upgrades, which provide simpler commands and more voice control, will be available on the next-generation of SYNC that powers Ford’s new driver connect technology, MyFord Touch™, that launches this year.

More than 10,000 first-level commands are now recognized by SYNC, up from only 100 in the first generation system.

“SYNC broke new ground for voice-activated in-car technologies when it was introduced in 2007,” said Mark Fields, president, The Americas.

“With constant refinement and further technological advances, we’re aiming to help make our customers’ lives more convenient and help reduce driver distraction,” he said.

The improvements to the system’s “speech engine,” which hears, interprets and responds to voice commands, allow drivers to

more easily navigate its functions and control its operations.

SYNC will now recognize the “call” command as a phone function, allowing users to simply say “Call John Smith” to make their call, instead of saying “phone” first.

Powered by Nuance Communications, the upgrades can also interpret key words to determine if a user is searching for a particular song or musical genre.

How it works“Users who aren’t familiar with

specific commands can say something like ‘Play some music’ or ‘I’d like to hear some jazz’ and SYNC will realize they want to listen to music,” said Brigitte Richardson, lead engineer, Global Voice Control Technology and Speech Systems.

The system will then guide them into the media playback commands to get more specific instructions. The additional recognition should help ease the learning curve for new users and customers not familiar with the exact command for a feature they don’t often use.

Nuance’s innovative one-shot navigation destination entry also replicates natural speech, allowing SYNC users to just say a full destination address in a single command rather than waiting for building number, street and city prompts.

“One-shot destination entry is going to make life a lot more convenient for navigation users – more like dictating an address to a friend,” said Richardson.

SIRIUS® Satellite Radio,

available on Ford vehicles, will also benefit from the latest voice-control upgrades. Direct tuning via voice command will let drivers speak a music genre, program or sports game and the system will automatically tune to an applicable SIRIUS station.

Since SIRIUS varies sports broadcast stations – a team on one channel for a particular game may be on a different channel for the next – searching by sports team names should be a convenient improvement for sports fans.

Better navigation

The award-winning Ford navigation system will also receive upgrades to its voice capabilities.

The SIRIUS Travel Link™ information portal that provides drivers and passengers with access to up-to-the-minute information such as sports, current weather, traffic, fuel prices or movies will now respond to basic questions like “I want to know what gas costs” or “Get me the NHL scores.”

“Making SYNC even more intuitive and easier to use will encourage more drivers to take advantage of its hands-free capabilities, helping them keep their focus on driving,” said Fields.

8 | February 2010

Smart

Ford SYNC gets upgrades for ease and more flexibilityBy Andrew Stoy

“ Users who aren’t familiar with specific commands can say something like ‘Play some music’ or ‘I’d like to hear some jazz’ and SYNC will realize they want to listen to music.”

– Brigitte Richardson, lead engineer, Global Voice Control

Technology and Speech Systems

SYNC is even easier to use now – plus it does more.

Page 11: @Ford February 2010 (North America)

February 2010 | 9

Product

Ford is adding 1,200 new jobs and investing nearly U.S. $400 million in its Chicago manufacturing facilities to produce the next-generation Ford Explorer there later this year.

The new Explorer, which will deliver at least 25 percent better fuel economy than the current model, will be unveiled this summer with production beginning in the fourth quarter.

“The new Explorer will redefine the SUV for the modern era, retaining the capability customers want while delivering superb fuel efficiency, comfort and convenience,” said Mark Fields, president, The Americas.

The new vehicle will feature unibody construction, EcoBoost™ engine technology, a six-speed transmission and the use of strong, lightweight materials.

In addition, the Explorer will

debut the industry’s first-ever production inflatable seat belts to provide additional protection to rear-seat occupants. Ford will eventually offer inflatable seat belts on other vehicles globally.

Full details about the new Explorer will be released later this year.

The next-generation Explorer will be built at the Chicago

Assembly Plant on a flexible assembly line alongside the new Ford Taurus and the new Lincoln MKS sedans.

The 1,200 new jobs will staff a second production shift at the assembly plant and increase production at the nearby Chicago Stamping Plant.

Ford’s $400 million investment includes

approximately $180 million in manufacturing investment at the Chicago sites and about $220 million for launch and engineering costs.

“This investment underscores Ford’s commitment to building world-class, fuel-efficient vehicles in America and creating new jobs that will contribute to our nation’s economic recovery,” said Fields.

The Chicago investment was aided by an Illinois program to

create and retain jobs through payroll tax credits. It was also supported by a green partnership between Ford and U.S. Department of Energy that was initiated by Congress and implemented by the Obama administration.

Louisville plans

Currently, Explorer and Explorer Sport Trac models are built at Ford’s Louisville Assembly Plant in Kentucky.

Shifting production of the Explorer to Chicago clears the way for the Louisville facility to be transformed from a truck-based SUV plant into a flexible plant to produce fuel-efficient small cars based on Ford’s global C-car platform in 2011.

The Chicago Assembly Plant opened in 1924 to build Model T’s. It currently has 1,200 employees working on one shift.

Chicago Stamping opened in 1956 and has 700 employees on two shifts. Louisville opened in 1955 and has approximately 1,000 employees on one shift.

Next-gen Explorer brings 1,200 new jobs to ChicagoBy Marcey Evans

Chicago Assembly opened in 1924 to build Model T’s and now builds the Ford Taurus and Lincoln MKS.

From left to right, Dennis Williams, UAW regional director; Bob King, UAW vice president; Illinois Gov. Pat Quinn; Mark Fields, president, The Americas; Ryan Rettig, UAW local chairman and Jan Allman, plant manager applaud the news as do plant employees Deborah Harris, Dane Meredith, Sharrone Bishop and Andre Linton.

Page 12: @Ford February 2010 (North America)

The flowing exterior of the new Edge is mirrored by a complementary interior that boasts increased craftsmanship, improved fit-and-finish and finer materials.

A bolder grille and crafted chin spoiler flows up and into the hood, emphasizing the new front end and new wheel lineup while the more supple interior boasts exclusive technology unavailable on the highest-priced luxury vehicles.

“We have taken every element of the Edge and completely reworked it, including three new powertrains, two new transmissions, a bold new exterior design and a completely new interior,” said Elaine Bannon, chief nameplate engineer.

“If you add in our industry-exclusive MyFord Touch™ system, you have a vehicle that will

10 | February 2010

Cover story

2011 Ford Edge blends technology and design

By Jeff Majeske

Unveiled at the Chicago Auto Show, the 2011 Ford Edge wraps an engaging design around industry-first technology, best-in-class horsepower and unsurpassed fuel economy.

Visit the “Photos & Videos” box

2011 Edge Chicago Auto Show Live Reveal

www.at.ford.com

Page 13: @Ford February 2010 (North America)

continue to stand out above all the competition,” she said.

More choicesWith three engine choices, the

new Edge delivers more powertrain options to match the needs of varied consumers.

Both the 3.5-liter V-6 in the Edge and the 3.7-liter V-6 in the Edge Sport employ advanced engine valvetrain technology and control strategies to offer more horsepow-er and torque than such competi-tors as the BMW X5, Lexus RX350 and Audi Q5 – all on regular fuel.

The 3.5-liter V-6 has unsurpassed fuel economy of 27 mpg highway.

The 2011 Edge also offers a new 2.0-liter EcoBoost I-4 engine for best-in-class gas mileage and impressive power.

All three engines will be mated to six-speed automatic transmissions.

New 18-inch tires are standard on the Edge SEL and Edge Limited (which also offers 20-inch wheels) while the Edge Sport comes with class-exclusive 22-inch wheels.

A retuned suspension and new

four-wheel disc brakes enhance handling and stopping while aerodynamic tweaks, an upgraded subframe and other sound-absorbing enhancements make the new Edge quieter inside than the Lexus RX350, Audi Q5 and Acura MDX.

In all, the 2011 Edge is packed with 12 class-exclusive standard and available features including:• MyFord Touch driver connect

technology• latest SYNC® system• iTunes® Tagging in available HD

Radio™• Easy Fuel® capless fuel system• SecuriCode™ keyless entry

keypad• Blind Spot Mirrors • MyKey™ control for parents• AdvanceTrac® with RSC

(Roll Stability Control)• Adaptive Cruise Control and

Collision Warning with Brake Support

• Cross Traffic Alert• 22-inch wheels and paddle

shifters on Edge Sport

Built at Oakville Assembly Complex in Ontario, Canada, the 2011 Edge will be in showrooms this summer.

February 2010 | 11

MyFord Touch LaunchesThe industry-first MyFord Touch in the new

Edge provides a smarter, safer, simpler way to connect drivers with in-car technologies and their digital lives.

The system replaces traditional buttons, knobs and gauges with clear, crisp LCD screens and five-way controls like those found on cell phones and MP3 players.

Standard on the 2011 Edge Limited and Edge Sport, MyFord Touch displays information on two 4.2-inch full-color screens flanking the analog speedometer and an 8-inch touch-screen atop the center stack.

Five-way switches on either side of the steering wheel crossbars control information displayed on the instrument panel screens, which can be personalized for each driver by a simple button click, voice command or touch-screen tap.

The five-way steering wheel buttons have all the necessary functions right where the driver’s hand falls as he or she holds the wheel, and feel familiar to anyone who has used a mobile phone or MP3 player.

2011 Edge SportPowered by the 3.7-liter V-6 Ti-VCT engine, the striking Edge Sport

includes all the content on the Edge SEL plus exclusive 22-inch polished aluminum wheels, a Tuxedo Black grille, smoked headlamps and taillamps, chromed oval exhaust tips and body-color details.

Inside, silver smoke appliqués and seat inserts plus aluminum pedals set off the cabin while class-exclusive paddle shifters offer customers a fun-to-shift experience.

In addition, the six-speed SelectShift Automatic® offers total control over gear selection and performance.“With its exceptional powertrain, specially tuned suspension and unique style, the 2011 Edge Sport offers a driving

experience not seen in other crossovers and really appeals to the driving enthusiast,” said Elaine Bannon, chief nameplate engineer. “Like the rest of the Edge lineup, it perfectly blends technology and style.”

Page 14: @Ford February 2010 (North America)

With more horsepower, better driving dynamics and improved fuel economy, the 2011 Ford Shelby GT500 unveiled to media earlier this month takes high performance to a new level.

As you might expect, it all starts under the hood – with an all-new aluminum-block 5.4-liter supercharged V-8 engine that’s 102 pounds lighter than the outgoing engine.

The weight savings up front translates into several customer benefits, including a better power-to-weight ratio, improved fuel

economy, handling and steering and acceleration.

Cutting weight to improve performance is a tradition among car builders, said Carroll Shelby, the founder of Shelby American. “It’s the single smartest move you can make,” said Ford’s longtime performance partner.

The new engine uses a state-of-the-art, Ford-patented process that applies a micro-thin composite coating to the internal surfaces of the cylinders, replacing the cast-iron liners typically used for durability in

aluminum engine blocks.The advanced technology

comes from the aerospace industry, said Glenn Jorgensen, powertrain team leader, Special Vehicles Team (SVT). “We’ve invented a coating as a replacement for cast iron. It’s the same

technology you would find on aircraft engines,” said Jorgensen.

With a projected highway fuel economy of 23 mpg, this Ford Shelby GT500 will be the first modern Shelby without the gas guzzler tax penalty.

Though powered by a 550 horsepower V-8 that produces 510 ft.-lb. of torque, the lighter engine, Electric Power Assist Steering (EPAS) and more aerodynamic underside all contributed to the gas mileage gains.

Overall road noise in the 2011 model is reduced by 20 percent over the 2010 Shelby, though the car’s pleasing engine and exhaust sound has been enhanced through tuning, which helped deliver a horsepower gain.

In addition, the Shelby GT500 convertible features enhanced structural rigidity so it is more sport-oriented without trading comfort. Along with the improvements, the 2011 model also gets standard 19-inch aluminum wheels.

New for 2011 is the optional, specially formulated glass roof that does not compromise the coupe’s versatility, headroom or climate-controlled environment.

Also new for 2011 is an optional SVT Performance Package, available on both the coupe and convertible, which offers unique styling, a higher rear axle ratio and stiffer springs and all-new Goodyear Eagle® F1 SuperCar G:2 tires.

12 | February 2010

Products

New for 2011 is the optional, specially formulated glass roof that does not compromise the coupe’s versatility, headroom or climate-controlled environment.

New Ford Shelby GT500 boosts overall performanceBy Meghan Cass

The 2011 Ford Shelby GT500 is ready to run.

Visit the “Photos & Videos” box

2011 Ford Shelby GT500 Reveal

www.at.ford.com

Page 15: @Ford February 2010 (North America)

February 2010 | 13

For fleet operators who want to go electric, an all-electric version of the Ford Transit Connect goes into production later this year.

Shown at this month’s Chicago Auto Show, the Transit Connect Electric enables commercial and government fleet operators in the U.S. and Canada to go gas-free.

Though it looks just like the gas-powered model – named the 2010 North American Truck of the Year – the Transit Connect Electric will use a Force Drive electric powertrain manufactured and installed by Azure Dynamics Corp., of Oak Park, Mich.

The vehicle shows how Ford is taking energy-efficient technologies out of the labs and onto the streets, said Mark Fields, president, The Americas.

“Not only is this an ideal vehicle for the eco-conscious fleet operator, it is an important part of Ford’s electrification future,” he said.

In addition to the van, Ford plans to bring three more electrified vehicles to market by 2012.

The vehicle is well-suited for commercial fleets that travel predictable, short-range routes with frequent stop-and-go driving in urban and suburban settings and that have a central location for daily recharging.

The zero-emission vehicle has a targeted range of up to 80 miles on a full charge.

Besides less expensive refueling, the vehicle is expected to offer lower maintenance costs, thanks to fewer components.

Recharging the TC Electric can

be done with either a standard 120V outlet or preferably, a 240V charging station for optimal recharging in six to eight hours, through a cord that works with both outlets.

The on-board liquid-cooled 28-kilowatt-hour lithium-ion battery pack from Johnson Controls-Saft is charged through a port above the passenger-side rear wheel. An on-board charger converts the AC power from the outlet to DC power to charge the battery pack.

The on-board DC converter allows the main battery pack to charge the vehicle’s regular

12V battery to power such accessories as the headlights, power steering and coolant pumps.

The lithium-ion battery, which is expected to last the life of the vehicle, does not affect the van’s interior passenger room and cargo space. Despite the added battery

weight, the Transit Connect will accelerate like its gas-powered twin, with a top speed of 75 mph.

The only visible difference from the gas version will be a different instrument cluster and exterior badging.

Products

Ford Transit Connect Electric helps customers go gas-freeBy Kristopher Spencer

Since it uses no gas, the Transit Connect Electric can help small businesses.

Transit Connect taxi: Now on duty with ‘green’ fuels options

The Ford Transit Connect taxi goes into production later this year with a package that allows the vehicle’s fuel-efficient 2.0-liter gas engine to be converted to run on clean-burning compressed natural gas or propane.

Shown at the Chicago Auto Show, the vehicle’s roomy and flexible 135 cubic feet of space behind the front seats provides ample passenger legroom and luggage capacity.

The taxi package has an 8.4-inch screen system that displays cab fare, route information and entertainment and also accepts payment.

Visit the “Photos & Videos” box

2011 Transit Connect Electric & Taxi Footage

www.at.ford.com

Page 16: @Ford February 2010 (North America)

14 | February 2010

Racing

Forty years after its namesake became a road racing legend, the ‘Boss’ is back on track with a new 5.0-liter V-8 engine.

In honor of the 40th anniversary of Parnelli Jones’ 1970 Trans-Am championship in a Ford Mustang Boss 302, Ford Racing has introduced the Boss 302R, a factory-built race car ready for track days and road racing.

“The original Boss 302 was a championship-winning legend and the new Mustang Boss 302R will carry on the tradition,” said Jamie Allison, director, Ford North America Motorsports.

In its first race, the Boss 302 competed in the Grand-Am Continental Tire Sports Car Challenge at Daytona, while Jones looked on.

The base model Mustang Boss 302R features a Ford Racing crate engine, based on the new 5.0-liter

engine 4-valve V-8 found in the 2011 Ford Mustang GT.

With the Grand Am homologation package, this turnkey race car also includes a six-speed manual transmission with a roll cage, race seats, safety harness and upgraded suspension, brakes and tires.

The Boss 302 follows successful Mustang FR500C road racer that won its first race at Daytona three days after its debut in 2005. Since then, the FR500C has won three drivers’ championships, including

back-to-back Triple Crown championships of driver, team and manufacturer’s titles in KONI competition in 2008 and 2009.

The FR500C also succeeded in FIA GT4 competition in Europe, winning the 2007 and 2008 driver’s championships against BMW, Porsche and Maserati.

A total of 50 Boss 302R Mustangs will be built by Ford Racing with delivery later this year.

Visit www.fordracing.com and www.fordracingparts.com for more information.

The legendary Boss 302 returns to Mustang stableBy Susan Pollack

Rally driver Ken Block joins Ford racing team

Action sports icon-turned-rally driver Ken Block has joined the Ford Motorsports team.

This year, he’ll campaign in a Ford Fiesta in Rally America and the X Games and a Ford Focus in the FIA World Rally Championship.

“I am stoked to be rallying in a Ford. I couldn’t be happier to now be a part of this amazing heritage,” said Block, a 2005 Rally America rookie of the Year and a three-time medalist at the X Games who’s built a huge following with his gymkhana videos on YouTube.

Legendary racer Parnelli Jones poses at Daytona with the new Boss 302R, left, and the 1970 version.

Page 17: @Ford February 2010 (North America)

February 2010 | 15

Smart

Engineers at United Space Alliance (USA) and Ford are sharing their animation software experiences to create virtual reality simulations that benefit both astronauts and drivers.

Ford is applying virtual reality animation software used by movie animators and video game creators to improve real-life driving situations before vehicle prototypes are even built.

In their immersive Virtual Evaluation lab (iVE), Ford engineers create virtual vehicles complete with exterior views.

Space program useEngineers for USA, the prime

space shuttle contractor, are using the same technology at the Kennedy Space Center to help build future space vehicles safer and more efficiently.

Current applications include using the technology to track and characterize launch debris during ascent while past applications included developing processes to more efficiently remove and re-install the reinforced carbon-carbon panels on the leading edges of the shuttle’s wings.

“In this virtual environment, we can evaluate early vehicle designs against a backdrop of conditions and literally experience a vehicle from someone else’s vantage point before it is built, helping us to create a car, truck or crossover that provides the perfect environment for the driver and its occupants,” said Elizabeth Baron, technical specialist, Virtual Reality and Advanced Visualization.

In the case of the Lincoln MKS, for example, iVE was used to test multiple iterations of the sedan’s centerstack at varying eye levels. Finding the best possible placement

of controls and displays is not only good for aesthetics and visibility, but it helps engineers and designers see how designs and layouts look before the vehicle is built.

This lets Ford technicians put themselves in the customer’s shoes and get a better understanding of how the vehicle’s dashboard displays looks and will work.

“Being able to evaluate a vehicle in the virtual world allows us to duplicate anything to recreate a realistic driving experience,” Baron said. “We’re even able to include passing cars, pedestrians and animated towns.”

Ford is the auto industry leader

when it comes to melding state-of-the-art motion capture and immersive virtual reality tools. Using data derived from those tests, Ford can test virtual prototypes in the iVE lab to improve visibility, quality and comfort of its vehicles, while significantly reducing the time and cost that come with development.

Using a suite of virtual tools including animation software, Ford engineers have shaved eight

to 14 months off the time it took to develop a vehicle five years ago.

The space operations company is using the same digital animation tool to develop models that accurately predict how the loss of materials would affect liftoff of the space shuttle or the next generation space vehicles.

“The opportunities working with the Ford visualization team are providing us invaluable knowledge in combining ergonomic analysis with visualization technology,” said USA computer science lead Brad Lawrence. “We look forward to continuing our collaboration.”

How animation can benefit both drivers and astronautsBy Mark Spencer

“ Being able to evaluate a vehicle in the virtual world allows us to duplicate anything to create a realistic driving experience.”

– Elizabeth Baron, technical specialist, Virtual Reality and

Advanced Visualization

Page 18: @Ford February 2010 (North America)

16 | February 2010

Benefits

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800.325.4471www.pringle.com/ford

Benefits partner changesIn January, the new Ford benefits Web site was

launched, supported by Affiliated Computer Services (ACS), Ford’s new benefits administration partner in the U.S.

Ford employees and retirees now have access to their savings plan accounts, such as the Savings and Stock Investment Plan (SSIP), Ford Retirement Plan (FRP) and the Tax Efficient Savings Plan for Hourly Employees (TESPHE) through the new Web site at www.myfordbenefits.com.

The new site replaces the Fidelity Web site and contacts for savings plan administration.

Employees and retirees can also contact personal benefits representatives by calling the National Employee Service Center at (800) 248-4444.

Get the latest news on auto shows and benefits plus the latest on the products, people and events that shape the future of the Ford Motor Company.

The Blue Oval Connect retiree outreach program sends breaking news and periodic newsletters direct to retiree’s e-mail boxes.

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

Visit www.BlueOvalConnect.com to register for this free electronic Ford news service.

Blue Oval Connect links retirees with Ford products, information

www.BlueOvalConnect.com

Page 19: @Ford February 2010 (North America)

February 2010 | 17

History

In 1921, auto pioneer Henry Leland was forced to sell the automotive company he had formed with his son Wilfred.

Named in honor of President Abraham Lincoln, the Lelands had set up the Lincoln Motor Company in 1917 to build aircraft engines for the Allies. When World War I ended, the company began building luxury cars but financial troubles forced it into bankruptcy in 1921.

But Edsel Ford saw potential value in Lincoln and, at his urging, Ford Motor Company bought what remained of the company for $8 million on Feb. 4, 1922.

The younger Ford recognized that, while Ford would continue to produce the Model T for the

multitudes, the Lincoln brand would enable it to produce a luxury vehicle for a smaller, but influential, market.

By June, the Lelands were gone and Edsel took control of the brand, remaining integral to its operation until his untimely death in 1943.

The younger Ford was a patron of the arts and as such, he appreciated the beauty of the automobile as much as its functionality. He engaged noted coach builders from all over the country, such as Brunn,

Judkins, and LeBaron, to design and produce special, luxury bodies for Lincoln. He also chose the leaping greyhound hood ornament for the Lincolns of the 1920s as a symbol of speed and grace.

In its history, the Lincoln division produced many iconic vehicles including the original 1939 Lincoln Continental (which inspires the Lincoln

grilles of today), President Franklin D. Roosevelt’s “Sunshine Special” limousine and even the 1955 Futura concept car that later became the original Batmobile.

Other stand-out designs include the Continental Mark II in 1955 and the clean, Kennedy-era Lincolns of the 1960s.

The company also stayed true to its roots by producing tank engines and parts during World War II and by partnering with prominent fashion designers to create a number of “designer series” vehicles in the 1970s, 1980s and 1990s.

Ironically, Henry Leland and Henry Ford had crossed paths once before. In 1902, Leland had been called in as an engine advisor to one of Ford’s early car companies.

Ford promptly resigned and Leland reorganized the company – to create Cadillac.

Acquiring the Lincoln BrandBy Leslie Armbruster

A 1941 Lincoln Continental in front of the Edsel and Eleanor Ford home.

Edsel Ford, seated left, and Wilfred Leland sign deal as Henry Ford, standing left, and Henry Leland look on.

Page 20: @Ford February 2010 (North America)

18 | February 2010

Calendar

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* Free Bluetooth headsets and car chargers not available on extranet if applicable. Limited time offers; subject to change. Taxes and fees additional. Monthly discount: Qualifying postpaid individual-liable plan required; FlexPay, Even More Plus and certain other plans (e.g., plans no longer marketed by T-Mobile) excluded. Two-year service agreement is required. Monthly discount is applied to recurring charges and does not apply to overage, long distance, roaming, taxes and fees, or other charges. Offer may not be combined with any other discounts. Device offer: Supplies may be limited and offer may not be available in all locations. Activation of qualifying rate plan(s) and 2-year agreement required. General terms: Credit approval may be required; up to $200/line early cancellation fee applies to 2-year agreements. Proof of eligibility may be required. See brochures and T-Mobile’s Terms and Conditions (including arbitration provisions) at T-Mobile.com for rate plan information, charges for features and services, and restrictions and details. T-Mobile and the magenta color are registered trademarks of Deutsche Telekom AG. ©2010 T-Mobile USA, Inc.

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Ford Ballroom Dance Club(Southeast Mich.)

Meets 8 p.m. March 6, Meeting House Grand Ballroom, 499 S. Main, Plymouth. Contact: [email protected]

Ford Bridge Club(Southeast Mich.)

Meets 6:30 p.m. Tuesdays, WHQ cafeteria. Contact: esilvere2002@ yahoo.com

Ford Classic Auto Restoration Society (CARS)(Southeast Michigan)

Meets 5:30 p.m. second Wednesday. Contact: [email protected] or [email protected]

Ford Genealogy Club(Southeast Mich.)

Meets 5 p.m. second Thursday. WHQ conference room 5A-East. Contact: [email protected] or [email protected]

For a listing of Ford clubs, visit: www.fera.org.

March 27

Mustang Owners Club of Southeastern Michigan Spring Swap & Shop(Dearborn, Mich.)

Meet 8:30 a.m. – 2:30 p.m. March 27, Village Ford, 23535 Michigan Ave., Dearborn. Contact: www.mocsem.org.

Page 21: @Ford February 2010 (North America)

February 2010 | 19

Global

Ford strengthens position in Europe

Ford strengthened its number two position in Europe in 2009 with a 9.1 percent market share in its 19 main European markets, increasing share in 17 of those markets.

That was the best Ford market share in these countries since 1998, aided by the highest December volume since 1997.

Ford was the top-selling car and commercial vehicle in the United Kingdom for the 33rd and 45th consecutive years, the best seller in Ireland and Hungary and the leading import in Italy. Ford’s sales in Germany were also the best in 10 years.

Cologne celebrates 500,000th new Ford Fiesta off the line

The Ford Fiesta reached a milestone in January with the production of the 500,000th new model at Ford’s Niehl assembly plant in Cologne, Germany.

Production of the latest generation Fiesta began there in August 2008. No other Ford vehicle from Cologne has ever reached the half-million mark in just 17 months.

The milestone car was a white three-door Fiesta with a 1.6-liter engine destined for a customer in the United Kingdom.

Asia Pacific and Africa sales rise in 2009

Despite a tough economic climate, 2009 turned out to be the best-ever year for Ford’s Asia Pacific and Africa region, with sales up more than 15 percent from 2008.

The strong performance was aided by robust sales in China (up 44 percent), Taiwan (up 33.5 percent) and Vietnam (up 28 percent).

Sales of Focus led the Blue Oval team, followed by sales of Fiesta and Mondeo. In India, the Ikon hit an all-time sales record while in Australia, the Falcon Ute, below, outsold GM’s Commodore .

Ford Brazil achieves record annual sales

Ford Brazil registered its best-ever full-year sales performance in 2009, with total sales of 323,808 vehicles, a 15.3 percent increase over 2008.

Performing better than the overall Brazilian auto industry, Ford also increased its market share to 10.3 percent.

In the car segment, Ford increased nearly 23 percent to a market share of 9.7 percent, led by sales of the Ford Ka, below, Fiesta and Focus.

Ford recycles – from carpet to car

Discarded carpets, old jeans and empty plastic bottles are being recycled to make new parts for the Ford Focus (and other Ford cars) in Europe.

More than 300 high-quality vehicle parts have been formed from such recycled materials, diverting nearly 20,000 tons from landfills each year.

The parts include heater housings, battery trays, wheel arch liners, roof linings and sound-proofing materials and fabric seats.

Tests also show that plastics reinforced by natural fibers can cut weight by up to 30 percent.

Page 22: @Ford February 2010 (North America)

20 | February 2010

Back page

“ The new Ford Taurus is arguably the best sedan Ford has ever produced.”

– G. Chambers Williams, San Antonio Express News

“ The Mercury Milan Hybrid combines good looks, a pleasant chassis and a first-class hybrid system.”

– Carey Russ, theautochannel.com

“ The Ford Transit Connect is maneuverable, easy to park, fuel efficient and roomy…the little van delivers value and practicality like nothing else on the road.”

– Mark Phelan, Detroit Free Press

Another best story

Asked to pick the five “best” news stories of 2009, NBC Nightly News anchor Brian Williams named Ford’s success as one of them.

He also told USA Weekend that he owns a Ford. “I bought it because I like the car (and) it’s not my first Ford,” he said.

Williams said his 2008 Mustang Bullitt GT “comes very close to a dream ride.”

Aww, thanks.

Pace car price? $300,000

How’d you like to win a pace car – even before it’s used?

That’s what happened when an Arizona collector bid U.S. $300,000 to buy the new 2011 Ford Mustang GT that will be the official pace car for the Daytona 500 race on Feb. 14.

The glass-roofed, 5-liter Mustang was on the block at the annual Barrett-Jackson collector car auction on Jan. 23. Best of all, the proceeds over the car’s MSRP went to the Juvenile Diabetes Research Foundation (JDRF).

The Mustang marks the first time in 40 years a Ford has paced NASCAR’s biggest race.

911 Assist?

The new SYNC® system can do a lot of things, but even it has limitations.

Recently, Derrick Kuzak was detailing the enhanced voice-control functions and other new features of the system during a media briefing at the Product Development Center in Dearborn.

During the presentation, the building’s fire alarm went off, though it was a false report.

“That’s one of the technologies we haven’t updated yet,” quipped the group vice president for Product Development.

BY the numBers

Lincoln’s share of the luxury segment has grown 30 percent in the last five years.

30%30%

A Focus thumbs-upUnveiled at the North American

International Auto Show in Detroit this year, the next-generation Ford Focus has already received truckloads of favorable reviews.

The Detroit Free Press, Detroit News and AutoWeek all dubbed it the best production car at the show.

Apparently, even General Motors vice-chairman Bob Lutz likes the new Focus.

“Pretty impressive. Nice car,” Lutz was overheard to remark as he checked out the Focus during a tour of the Ford stand.

Page 23: @Ford February 2010 (North America)

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Page 24: @Ford February 2010 (North America)

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IMPORTANT INFORMATION: Limited-time offer. Requires a 2 year agreement on a qualified plan. Other conditions and restrictions apply. See contract and rate plan brochure for details. Subscriber must live and have a mailing address within AT&T’s owned wireless network coverage area. Equipment price and availability may vary by market and may not be available from independent retailers. Purchase of additional equipment, services or features may be required. Not all features available on all devices or in all areas. Early Termination Fee: None if cancelled in the first 30 days, (but the iPhone must be returned in like new condition and will result in a 10% stocking fee, except where prohibited); thereafter up to $175. If phone is returned within 3 days, activation fee will be refunded. Some agents impose additional fees. Unlimited Voice Services: Unlimited voice services are provided primarily for live dialog between two individuals. No additional discounts are available with unlimited plan. Offnet Usage: If your minutes of use (including unlimited services) on other carrier’s networks (“offnet usage”) during any two consecutive months exceeds your offnet usage allowance, AT&T may at its option terminate your service, deny your continued use of other carriers’ coverage, or change your plan to one imposing usage charges for offnet usage. Your offnet usage allowance is equal to the lesser of 750 minutes or 40% of the Anytime Minutes included with your plan (data offnet usage allowance is the lesser of 24 MB or 20% of the MB included with your plan for any one month period). Data Plans: An eligible data plan is required for certain devices, including iPhones and other designated Smartphones. Eligible data plans cover data usage in the U.S. and do not cover international data usage and charges. If it is determined that you are using an iPhone or other designated smartphone without an eligible data plan, AT&T reserves the right to add an eligible data plan to your account and bill you the appropriate monthly fee. Use of iPhone 3G to access corporate email, company intranet sites, and/or other business applications requires an Enterprise Data Plan. Monthly Discount: Available to qualified employees of companies and/or government agencies and qualified students and employees of colleges/universities with a qualified business agreement (“Business Agreement”). Service discount subject to corresponding Business Agreement and may be interrupted and/or discontinued without notice to you. Service discount applies only to the monthly service charge of qualified plans and not to any other charges, nor Apple®-branded products. A minimum number of employees, minimum monthly service charge for qualified plans, additional AT&T services or other requirements may apply for discount eligibility. Discounts may not be combined. Offer subject to change. Additional conditions and restrictions apply. If you have a question about available discounts and/or your eligibility, you can contact your company’s telecommunications manager. © 2009 AT&T Intellectual Property. All rights reserved. AT&T and the AT&T logo are trademarks of AT&T Intellectual Property. Apple, the Apple logo, iPod, iTunes, and Mac are trademarks of Apple Inc., registered in the U.S. and other countries. iPhone and Safari are trademarks of Apple Inc. All other marks are the property of their respective owners.

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Ford employees & retirees who purchase iPhone 3G are eligible to receive a 20% discount

on the monthly service charge on qualified voice and data plans.*

Visit att.com/wireless/ford to sign up today. Or, to find the AT&T store closest to you, visit att.com/find-a-store. Mention code: 73669