8-K 1 e100201cover.txt SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report: October 2, 2001 (Date of earliest event reported) FORD MOTOR CREDIT COMPANY (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation) 1-6368 38-1612444 (Commission File Number) (IRS Employer Identification No.) One American Road, Dearborn, Michigan 48126 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code 313-322-3000 Item 5. Other Events. ---------------------- The Ford Motor Company ("Ford") news release dated October 2, 2001 concerning U.S. retail sales of Ford vehicles in September 2001, filed as Exhibit 99.1 to this report, is incorporated by reference herein. On October 2, 2001, Ford also announced that, in its view, the U.S. economy continues to be volatile and there is a great deal of uncertainty right now. In this more challenging and very uncertain environment, planning is difficult. Earlier this month, Ford cut its third quarter 2001 production by about 120,000 units because of transportation disruptions and the more uncertain outlook. On September 17, Ford introduced a 0.0% financing program to jumpstart sales. While Ford is pleased that its 0.0% financing program in the U.S. helped sales improve in the second half of September, this program is very expensive. Ford now sees its third quarter 2001 U.S. marketing costs as a percent of revenue coming in about 10% higher than its previous estimate of 14.5%. Also, Hertz is experiencing significantly lower volume as both business and personal travel have been sharply curtailed. As a result of the higher U.S. marketing costs and lower earnings at Hertz, Ford now expects its third quarter loss will be greater than the present analysts' consensus estimate for the third quarter. In addition, given current and expected market conditions for U.S. vehicle sales for the remainder of the year, Ford's third quarter production cuts will not be made up in the fourth quarter of this year. As a result of this, the higher marketing costs Ford is incurring and the lower volume Hertz is experiencing, Ford's full-year earnings will fall short of its previous forecast of 70 cents a share before one-time items. Finally, if U.S. vehicle sales for the remainder of the year decline further, then additional production cuts by Ford in the fourth quarter of 2001 would be likely. Ford will continue to monitor vehicle demand carefully over the coming months. Ford will provide additional details, including an update to its fourth quarter production plans when it announces its third quarter financial results on October 17, 2001. Item 7. Financial Statements, Pro Forma Financial Information and Exhibits. --------------------------------------------------------------------------- EXHIBITS -------- Designation Description Method of Filing ----------- ----------- ---------------- Exhibit 99.1 Ford Motor Company News Release dated October 2, 2001 Filed with this Report -2- SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized on the date indicated. FORD MOTOR CREDIT COMPANY ------------------------- (Registrant) Date: October 2, 2001 By: /s/ S. P. Thomas ------------------- S. P. Thomas Assistant Secretary EXHIBIT INDEX ------------- Designation Description ----------- ----------- Exhibit 99.1 Ford Motor Company News Release dated October 2, 2001 -3-