0000038009-01-500107.txt : 20011106
0000038009-01-500107.hdr.sgml : 20011106
ACCESSION NUMBER: 0000038009-01-500107
CONFORMED SUBMISSION TYPE: 8-K/A
PUBLIC DOCUMENT COUNT: 4
CONFORMED PERIOD OF REPORT: 20011101
ITEM INFORMATION: Other events
ITEM INFORMATION: Financial statements and exhibits
FILED AS OF DATE: 20011101
FILER:
COMPANY DATA:
COMPANY CONFORMED NAME: FORD MOTOR CREDIT CO
CENTRAL INDEX KEY: 0000038009
STANDARD INDUSTRIAL CLASSIFICATION: MISCELLANEOUS BUSINESS CREDIT INSTITUTION [6159]
IRS NUMBER: 381612444
STATE OF INCORPORATION: DE
FISCAL YEAR END: 1231
FILING VALUES:
FORM TYPE: 8-K/A
SEC ACT: 1934 Act
SEC FILE NUMBER: 001-06368
FILM NUMBER: 1773303
BUSINESS ADDRESS:
STREET 1: ONE AMERICAN ROAD
CITY: DEARBORN
STATE: MI
ZIP: 48126
BUSINESS PHONE: 3135949876
MAIL ADDRESS:
STREET 1: ONE AMERICAN ROAD
CITY: DEARBORN
STATE: MI
ZIP: 48126
8-K/A
1
e1101018ka.txt
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K/A
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report: November 1, 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 news release dated October 17, 2001 of Ford Motor Credit Company is
filed as Exhibit 99.1 to this Current Report on Form 8-K/A and is incorporated
by reference herein.
The third quarter 2001 financial information of Ford Motor Credit Company
and Subsidiaries is filed as Exhibit 99.2 to this Current Report on Form 8-K/A
and is incorporated by reference herein.
The news release dated October 17, 2001 of Ford Motor Company ("Ford") is
filed as Exhibit 99.3 to this Current Report on Form 8-K/A and is incorporated
by reference herein.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
----------------------------------------------------------------------------
EXHIBITS
--------
Designation Description Method of Filing
----------- ----------- ----------------
Exhibit 99.1 News Release Filed with this Report
dated October 17, 2001
of Ford Motor Credit
Company with attachment.
Exhibit 99.2 Third Quarter 2001 Filed with this Report
Financial Information of
Ford Motor Credit
Company and Subsidiaries.
Exhibit 99.3 News Release Filed with this Report
dated October 17, 2001
of Ford Motor Company
with attachment.
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: November 1, 2001 By: /s/ E. E. Smith-Sulfaro
-----------------------
E. E. Smith-Sulfaro
Assistant Secretary
EXHIBIT INDEX
-------------
Designation Description
----------- -----------
Exhibit 99.1 News Release
dated October 17, 2001
of Ford Motor Credit
Company with attachment.
Exhibit 99.2 Third Quarter 2001
Financial Information
of Ford Motor Credit
Company and Subsidiaries.
Exhibit 99.3 News Release
dated October 17, 2001
of Ford Motor Company
with attachment.
EX-99.1
3
e1101018kaexhibit991.txt
Exhibit 99.1
Contact: Daniel Jarvis
Ford Credit
313-594-2527
djarvis1@ford.com
IMMEDIATE RELEASE
FORD CREDIT EARNS $376 MILLION IN THE THIRD QUARTER
DEARBORN, Mich., October 17, 2001 - Ford Credit earned $376 million in the
third quarter of 2001, with earnings for the first nine months of 2001
totaling $1.14 billion.
Excluding adjustments related to SFAS 133 (Accounting for Derivative
Instruments and Hedging Activities), Ford Credit earned $389 million, up 1
percent from third quarter 2000 earnings of $386 million.
The $3 million earnings increase (excluding SFAS 133) reflects primarily
higher investment and other income related to securitization, offset by
higher provisions for credit losses. Compared with the same period a year
ago, gains-on-sale of receivables are higher, reflecting Ford Credit's
increased use of securitization as a cost-effective source of funds coupled
with a falling rate environment. The increase in the provision for credit
losses reflects weakening economic conditions.
After-tax return on average equity was 12.1 percent in the third quarter of
2001, compared with 12.9 percent in the same period a year earlier. Excluding
SFAS 133, earnings for the first nine months of 2001 totaled $1.19 billion,
up 6 percent from the first nine months of 2000.
"Our results reflect our steadfast commitment to provide best-in-class
service to consumers and to our dealer-partners and our actions to be
prepared for challenging times," said Ford Credit Chairman and CEO, Donald A.
Winkler.
Ford Credit's total net finance receivables at September 30, 2001 were $150
billion, compared with $157 billion in the same period of the previous year,
reflecting higher securitization activity. Managed assets were $202 billion,
compared with $180 billion at September 30, 2000.
Ford Credit is a wholly owned subsidiary of Ford Motor Company and is the
world's largest automotive finance company. Now in its 42nd year, Ford Credit
provides vehicle financing in 40 countries to more than 10 million customers
and more than 12,500 automotive dealers. More information about Ford Credit
can be found on the World Wide Web at www.fordcredit.com.
# # #
Ford Motor Credit Company and Consolidated Subsidiaries
OPERATING HIGHLIGHTS
Third Quarter
----------------------------------
2001 2000
--------------- ----------------
Income (in Millions)
------
Income Before Income Taxes $ 598.3 $ 634.3
Net Income 375.6 385.5
Memo: Depreciation Expense $ 2,219.4 $ 1,982.5
Market Share
Ford Retail & Lease United States 52.0% 55.8 %
Europe 38.9 32.0
Ford Wholesale United States 84.7 % 80.8 %
Europe 97.4 98.6
Contract Volume - New and Used Retail/Lease (in Thousands)
---------------
United States 983 952
Europe 251 206
Other International 178 179
--- ---
Total Contract Volume 1,412 1,337
===== =====
Assets (in Millions)
------
Net Finance Receivables $ 109,754.0 $ 118,929.1
Net Investment in Operating Leases 40,273.6 38,442.4
------------- -------------
Total Net Finance Receivables $ 150,027.6 $ 157,371.5
Other Assets 24,290.0 12,522.8
------------- -------------
Total Assets $ 174,317.6 $ 169,894.3
============= =============
Memo: Managed Receivables $ 201,844.6 $ 179,879.5
Liabilities and Stockholder's Equity (in Millions)
------------------------------------
Liabilities
Debt - Payable within one year $ 50,070.0 $ 59,820.0
Debt - Payable after one year 96,284.3 82,075.6
------------- -------------
Total Debt $ 146,354.3 $ 141,895.6
Other Liabilities 15,600.0 15,613.5
------------- -------------
Total Liabilities $ 161,954.3 $ 157,509.1
Minority Interests in Net Assets of Subsidiaries 17.1 401.1
Stockholder's Equity 12,346.2 11,984.1
------------- -------------
Total Liabilities and Stockholder's Equity $ 174,317.6 $ 169,894.3
============= ============
Selected Financial Metrics Excluding SFAS 133
Income Before Income Taxes (in Millions) $ 618.6
Net Income (in Millions) 388.5
Leverage 11.0:1
Stockholder's Equity (in Millions) $ 12,961.7
EX-99.2
4
e110101aexhibit992.txt
Exhibit 99.2
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
FINANCIAL INFORMATION
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
Consolidated Statement of Income
and of Earnings Retained for Use in the Business
For the Periods Ended September 30, 2001 and 2000
(in millions)
Third Quarter Nine Months
---------------------------------- --------------------------------
---------------------------------- --------------------------------
2001 2000 2001 2000
------------- --------------- ------------- ------------
(Unaudited) (Unaudited)
Financing revenue
Operating leases $ 3,077.9 $ 2,820.7 $ 8,960.2 $ 8,042.6
Retail 2,167.6 2,129.7 6,459.6 6,119.3
Wholesale 401.2 594.7 1,784.1 1,723.0
Other 115.6 133.1 363.2 400.8
----------- ------------ ---------- -----------
Total financing revenue 5,762.3 5,678.2 17,567.1 16,285.7
Depreciation on operating leases (2,219.4) (1,982.5) (6,590.8) (5,859.0)
Interest expense (2,146.9) (2,300.4) (6,920.6) (6,565.3)
----------- ------------ ----------- -----------
Net financing margin 1,396.0 1,395.3 4,055.7 3,861.4
Other revenue
Insurance premiums earned 53.4 49.5 173.2 169.8
Investment and other income 612.3 263.0 1,531.7 884.0
------------ ----------- ---------- -----------
Total financing margin and revenue 2,061.7 1,707.8 5,760.6 4,915.2
Expenses
Operating expenses 616.0 619.7 1,882.8 1,799.0
Provision for credit losses 801.9 409.7 1,905.2 1,097.6
Other insurance expenses 45.5 44.1 164.3 175.1
------------ ----------- ----------- -----------
Total expenses 1,463.4 1,073.5 3,952.3 3,071.7
------------ ----------- ----------- -----------
Income before income taxes and minority interests 598.3 634.3 1,808.3 1,843.5
Provision for income taxes 222.0 235.3 670.9 683.9
------------ --------- --------- --------
Income before minority interests 376.3 399.0 1,137.4 1,159.6
Minority interests in net income of subsidiaries 0.7 13.5 1.6 33.3
------------ ---------- --------- ----------
Net income 375.6 385.5 1,135.8 1,126.3
Earnings retained for use in the business
Beginning of period 8,782.5 7,590.9 8,272.3 6,855.5
Dividends (150.0) (0.2) (400.0) (5.6)
----------- ---------- ---------- ---------
End of period $ 9,008.1 $ 7,976.2 $ 9,008.1 $ 7,976.2
============ ============ ========== ==========
The accompanying notes are an integral part of the financial statements.
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
Consolidated Balance Sheet
(in millions)
September 30, December 31, September 30,
2001 2000 2000
-------------------- -------------------- ------------------
-------------------- -------------------- ------------------
(Unaudited) (Unaudited)
Assets
Cash and cash equivalents $ 4,052.8 $ 1,123.4 $ 1,959.7
Investments in securities 502.8 547.4 530.0
Finance receivables, net 109,754.0 122,738.4 118,929.1
Net investment, operating leases 40,273.6 38,457.0 38,442.4
Retained interest in securitized assets 12,177.7 3,686.6 3,188.8
Notes and accounts receivable from affiliated companies 2,207.1 2,489.1 2,766.2
Other assets 5,349.6 5,215.9 4,078.1
------- ------- -------
Total assets $ 174,317.6 $ 174,257.8 $ 169,894.3
================== ================== ================
Liabilities and Stockholder's Equity
Liabilities
Accounts payable
Trade, customer deposits, and dealer reserves $ 4,087.7 $ 4,758.1 $ 4,027.0
Affiliated companies 1,040.7 1,036.9 1,855.0
------------------ ---------------- -------------
Total accounts payable 5,128.4 5,795.0 5,882.0
Debt 146,354.3 146,294.7 141,895.6
Deferred income taxes 4,765.6 4,495.4 4,338.4
Other liabilities and deferred income 5,706.0 5,468.8 5,393.1
----------------- ---------------- -------------
Total liabilities 161,954.3 162,053.9 157,509.1
Minority interests in net assets of subsidiaries 17.1 17.3 401.1
Stockholder's Equity
Capital stock, par value $100 a share, 250,000 shares
authorized, issued and outstanding 25.0 25.0 25.0
Paid-in surplus (contributions by stockholder) 4,447.0 4,273.0 4,551.5
Accumulated other comprehensive loss (1,133.9) (383.7) (568.6)
Retained earnings 9,008.1 8,272.3 7,976.2
---------------- --------------- -------------
Total stockholder's equity 12,346.2 12,186.6 11,984.1
--------------- --------------- -------------
Total liabilities and stockholder's equity $ 174,317.6 $ 174,257.8 $ 169,894.3
=============== =============== =============
The accompanying notes are an integral part of the financial statements.
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
Consolidated Statement of Cash Flows
For the Periods Ended September 30, 2001 and 2000
(in millions)
Nine Months
------------------------------
------------------------------
2001 2000
------------ -------------
(Unaudited)
Cash flows from operating activities
Net income $ 1,135.8 $ 1,126.3
Adjustments to reconcile net income to net cash provided by
operating activities
Provision for credit losses 1,905.2 1,097.6
Depreciation and amortization 6,964.5 6,229.6
Gain on sales of finance receivables (469.6) (0.1)
Increase in deferred income taxes 603.9 619.3
Decrease in other assets 221.1 128.3
(Decrease)/increase in other liabilities (639.8) 1,322.8
All other operating activities 39.9 320.7
------------ -----------
Net cash provided by operating activities 9,761.0 10,844.5
------------ -----------
Cash flows from investing activities
Purchase of finance receivables (other than wholesale) (47,948.2) (47,636.7)
Collection of finance receivables (other than wholesale) 22,016.1 25,372.8
Purchase of operating lease vehicles (21,796.4) (21,379.4)
Liquidation of operating lease vehicles 13,009.6 12,072.4
Decrease/(increase) in wholesale receivables 1,421.1 (1,292.8)
Decrease in notes receivable with affiliates 947.5 3,645.0
Proceeds from sale of receivables 29,449.1 12,499.7
Purchase of investment securities (559.4) (412.3)
Proceeds from sale/maturity of investment securities 604.0 406.7
All other investing activities (174.3) (258.2)
----------- ----------
Net cash used in investing activities (3,030.9) (16,982.8)
---------- ---------
Cash flows from financing activities
Proceeds from issuance of long-term debt 28,133.4 30,736.5
Principal payments on long-term debt (10,756.3) (13,885.0)
Decrease in short-term debt (21,070.3) (9,270.5)
Cash dividends paid (400.0) (150.0)
All other financing activities 295.4 (4.7)
----------- -----------
Net cash (used)/provided by financing activities (3,797.8) 7,426.3
------------ -----------
Effect of exchange rate changes on cash and cash equivalents (2.9) (270.5)
Net change in cash and cash equivalents 2,929.4 1,017.5
Cash and cash equivalents, beginning of period 1,123.4 942.2
---------- ---------
Cash and cash equivalents, end of period $ 4,052.8 $ 1,959.7
=========== ============
Supplementary cash flow information
Interest paid $ 6,601.2 $ 4,207.5
Taxes paid 154.0 105.0
The accompanying notes are an integral part of the financial statements.
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
Notes To Financial Statements
Note 1. Finance Receivables, Net (in millions)
September 30, December 31, September 30,
2001 2000 2000
----------------- ----------------- ----------------
----------------- ----------------- ----------------
(Unaudited) (Unaudited)
Retail $ 83,611.7 $ 80,797.2 $ 82,940.7
Wholesale 16,021.2 34,122.0 28,342.2
Other 11,735.4 9,129.9 8,837.3
--------------- --------------- ----------------
Total finance receivables, net of unearned income 111,368.3 124,049.1 120,120.2
Less: Allowance for credit losses (1,614.3) (1,310.7) (1,191.1)
--------------- ---------------- ----------------
Finance receivables, net $ 109,754.0 $ 122,738.4 $ 118,929.1
============== ============== ==============
Note 2. Debt (in millions)
September 30, December 31, September 30,
2001 2000 2000
----------------- ----------------- --------------
----------------- ----------------- --------------
(Unaudited) (Unaudited)
Payable Within One Year:
Commercial paper $ 21,576.0 $ 42,254.8 $ 34,622.8
Other short-term debt (a) 7,389.6 7,875.1 7,020.0
-------------- --------------- ---------------
Total short-term debt 28,965.6 50,129.9 41,642.8
Long-term indebtedness payable within
one year (b) 21,104.4 12,856.6 18,177.2
-------------- ---------------- ----------------
Total payable within one year 50,070.0 62,986.5 59,820.0
Payable After One Year:
Unsecured senior indebtedness
Notes (c) (d) 96,309.1 83,402.6 82,097.4
Unamortized discount (24.8) (94.4) (104.5)
-------------- ---------------- ----------------
Total unsecured senior indebtedness 96,284.3 83,308.2 81,992.9
Unsecured long-term subordinated notes - - 82.7
-------------- ---------------- ---------------
Total payable after one year 96,284.3 83,308.2 82,075.6
--------------- --------------- ---------------
Total debt (e) $ 146,354.3 $ 146,294.7 $ 141,895.6
=============== ============== ==============
(a) Includes $340.2 million, $571.0 million, and $565.3 million with
affiliated companies at September 30, 2001, December 31, 2000, and
September 30, 2000, respectively.
(b) Includes $627.2 million, $912.6 million, and $1,282.5 million with
affiliated companies at September 30, 2001, December 31, 2000, and
September 30, 2000, respectively.
(c) Includes $1,063.9 million, $1,663.8 million, and $1,855.8 million with
affiliated companies at September 30, 2001, December 31, 2000, and
September 30, 2000, respectively.
(d) Unsecured senior notes mature at various dates through 2078.
(e) The weighted average interest rate, including the effects of interest
rate swap agreements, for total debt at September 30, 2001 is 5.91%.
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
Notes To Financial Statements-Continued
Note 3. SFAS 133 "Accounting for Derivative Instruments and Hedging Activities" (in millions)
Non-cash adjustments to income (not material to total Company results) and to
stockholder's equity for the third quarter and nine months ended September 30,
2001, including the January 1, 2001 transition adjustment, were (in millions):
Third Quarter Nine Months
2001 2001
---- ----
Pre-tax income/(loss)* $ (20.3) $ (91.4)
Net income/(loss) (12.9) (57.5)
Stockholders' equity** (105.8) (557.9)
* Recorded in investment and other income
** Recorded in accumulated other comprehensive income/(loss)
Note 4. Comprehensive Income (in millions)
Third Quarter Nine Months
------------------------------ ------------------------------
------------------------------ ------------------------------
2001 2000 2001 2000
------------ ------------ ------------- ------------
(Unaudited) (Unaudited)
Net income $ 375.6 $ 385.5 $ 1,135.8 $ 1,126.3
Other comprehensive loss (42.1) (126.2) (750.2) (270.6)
------------ ----------- ------------ -----------
Total comprehensive income $ 333.5 $ 259.3 $ 385.6 $ 855.7
=========== ========== =========== ===========
Other comprehensive loss includes foreign currency translation adjustments,
net unrealized gains and losses on investments in securities, unrealized gains
and losses on derivative instruments, and unrealized gains and losses on
retained interests in securitized assets.
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
Notes to Financial Statements-Continued
Note 5. Segment Information (in millions)
Ford Credit manages its operations through two segments, Ford Credit North America and Ford Credit International.
Ford Credit Ford Credit
North Ford Credit Eliminations/ Financial
America International Reclassifications * Statements
---------------- --------------- -------------------- ----------------
(Unaudited)
Third Quarter
---------------------------------------------
2001
Revenue $ 6,114.0 $ 927.8 $ (613.8) $ 6,428.0
Income
Income before income taxes 520.0 110.9 (32.6) 598.3
Provision for income taxes 195.2 38.9 (12.1) 222.0
Net income 324.8 72.0 (21.2) 375.6
Other disclosures
Depreciation on operating leases 1,993.5 127.5 98.4 2,219.4
Interest expense 2,193.2 362.3 (408.7) 2,146.8
2000
Revenue $ 5,456.9 $ 946.8 $ (413.0) $ 5,990.7
Income
Income before income taxes 539.5 100.5 (5.7) 634.3
Provision for income taxes 203.5 35.5 (3.7) 235.3
Net income 336.0 65.0 (15.5) 385.5
Other disclosures
Depreciation on operating leases 1,761.2 212.1 9.2 1,982.5
Interest expense 2,235.1 404.3 (339.0) 2,300.4
Nine Months
---------------------------------------------
2001
Revenue $ 18,382.1 $ 2,700.3 $ (1,810.4) $ 19,272.0
Income
Income before income taxes 1,616.8 294.0 (102.5) 1,808.3
Provision for income taxes 605.5 103.0 (37.6) 670.9
Net income 1,011.3 191.0 (66.5) 1,135.8
Other disclosures
Depreciation on operating leases 5,940.8 359.0 291.0 6,590.8
Interest expense 6,902.9 1,234.6 (1,217.0) 6,920.5
Finance receivables (including net
investment operating leases) 167,572.9 30,668.4 (48,213.7) 150,027.6
Total Assets $ 174,038.3 $ 33,384.7 $ (33,105.4) $ 174,317.6
2000
Revenue $ 15,559.9 $ 2,777.5 $ (997.9) $ 17,339.5
Income
Income before income taxes 1,514.4 333.9 (4.8) 1,843.5
Provision for income taxes 566.3 115.6 2.0 683.9
Net income 948.1 218.3 (40.1) 1,126.3
Other disclosures
Depreciation on operating leases 5,241.4 612.7 4.9 5,859.0
Interest expense 6,286.0 1,178.2 (898.9) 6,565.3
Finance receivables (including net
investment operating leases) 153,449.2 27,523.0 (23,600.7) 157,371.5
Total Assets 159,516.8 31,878.9 (21,501.4) 169,894.3
* Includes the impact of SFAS No. 133, "Accounting for Derivative Instruments and Hedging Activities".
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
Calculation of Ratio of Earnings to Fixed Charges
(in millions)
Nine Months For the Years Ended December 31
------------------------------ -----------------------------------------------------------------
------------------------------ -----------------------------------------------------------------
2001 2000 2000 1999 1998 1997 1996
--------------- ------------- ------------- ------------- ------------ ------------ --------
(Unaudited)
Earnings
Income before income taxes $ 1,808.3 $ 1,843.5 $ 2,495.0 $ 2,103.8 $ 1,812.2 $ 1,806.0 $ 2,240.2
Less equity in net
income/(loss)of
affiliated companies 4.1 (21.3) (22.0) (24.9) 2.3 1.0 55.3
Fixed charges 6,949.0 6,588.4 9,001.6 7,219.3 6,936.8 6,294.4 6,257.9
------------ ------------- ------------- ----------- ---------- ---------- ---------
Earnings before fixed
charges $ 8,753.2 $ 8,453.2 $ 11,518.6 $ 9,348.0 $ 8,746.7 $ 8,099.4 $ 8,442.8
============ ============= ============= ========== =========== ========== =========
Fixed Charges
Interest expense $ 6,920.6 $ 6,565.3 $ 8,970.1 $ 7,193.4 $ 6,910.4 $ 6,268.2 $ 6,235.7
Rents 28.4 23.1 31.5 25.9 26.4 26.2 22.2
------------ ------------- ------------- ------------ ----------- ------------ ---------
Total fixed charges $ 6,949.0 $ 6,588.4 $ 9,001.6 $ 7,219.3 $ 6,936.8 $ 6,294.4 $ 6,257.9
============ ============= ============= ============ =========== =========== =========
Ratio of earnings to fixed
charges 1.3 1.3 1.3 1.3 1.3 1.3 1.3
============ ============= ============= ============= ============ ============ ==========
For purposes of the Ford Credit ratio, earnings consist of the sum of pre-tax
income from continuing operations before adjustment for minority interests in
consolidated subsidiaries less unremitted income/(loss) of affiliated
companies, plus fixed charges. Fixed charges consist of interest on borrowed
funds, amortization of debt discount, premium, and issuance expense, and
one-third of all rental expense (the proportion deemed representative of the
interest factor).
Ford Credit Liquidity and Capital Resources
Ford Credit's outstanding debt at September 30, 2001 and at the end of each of the last four years was as follows (in millions):
September 30, December 31
-------------------------------------------------------------------------
2001 2000 1999 1998 1997
----------------- -------------- -------------- -------------- --------------
(Unaudited)
Commercial paper & STBAs (a) $ 22,817 $ 43,627 $ 43,078 $ 48,636 $ 42,311
Other short-term debt (b) 6,148 6,503 6,770 4,997 3,897
Long term debt
(including current portion) 117,389 96,165 83,226 61,334 54,517
(c)
----------------- -------------- -------------- -------------- -------------
Total debt $ 146,354 $ 146,295 $ 133,074 $ 114,967 $ 100,725
================= ============== ============== ============== ==============
United States $ 113,215 $ 116,427 $ 104,186 $ 85,394 $ 78,443
Europe 16,445 14,866 14,510 16,653 12,491
Other international 16,694 15,002 14,378 12,920 9,791
----------------- -------------- ------------- ------------ -------------
Total debt $ 146,354 $ 146,295 $ 133,074 $ 114,967 $ 100,725
================= ============== ============== ============= ==============
- - - - -
a) Short-term borrowing agreements with bank trust departments. Includes
$1,031.0 million with an affiliated company at December 31, 1999. There
were no outstanding balances with affiliates at September 30, 2001,
December 31, 2000, December 31, 1998 or December 31, 1997.
b) Includes $340 million, $571 million, $718 million, $989 million and $831
million with an affiliated companies at September 30, 2001, December 31,
2000, December 31, 1999, December 31, 1998 and December 31, 1997,
respectively.
c) Includes $1,691 million, $2,576 million, $3,457 million, $2,878 million,
and $3,547 million with affiliated companies at September 30, 2001,
December 31, 2000, December 31, 1999, December 31, 1998, and December 31,
1997, respectively.
Support facilities represent additional sources of funds, if required. At
September 30, 2001, Ford Credit had approximately $10.8 billion of contractually
committed facilities. In addition, approximately $7.4 billion of Ford lines of
credit may be used by Ford Credit at Ford's option. These credit lines have
various maturity dates through June 30, 2006 and may be used, at Ford Credit's
option, by any of its direct or indirect majority-owned subsidiaries. Any such
borrowings will be guaranteed by Ford Credit. Banks also provide $10.0 billion
of contractually committed liquidity facilities to support Ford Credit's
asset-backed commercial paper program.
Additionally, at September 30, 2001, there were approximately $4.5 billion of
contractually committed facilities available for FCE Bank plc's ("FCE Bank")
use. In addition, $598 million of Ford lines of credit may be used by FCE Bank
at Ford's option. The lines have various maturity dates through June 30, 2006
and may be used, at FCE Bank's option, by any of its direct or indirect
majority-owned subsidiaries. Any such borrowings will be guaranteed by FCE Bank.
EX-99.3
5
e110101aexhibit993.txt
Exhibit 99.3
NEWS
Contact:
-------
Media:
Todd Nissen
1.313.594.4410
tnissen@ford.com
Securities Analysts:
-------------------
Anne Bork
1.313.323.8221
abork@ford.com
Shareholder Inquiries:
---------------------
1.800.555.5259 or
1.313.845.8540
stockinf@ford.com
Media Information Center
1.800.665.1515 or
1.313.621.0504
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IMMEDIATE RELEASE
-----------------
FORD REPORTS THIRD QUARTER LOSS
o European turnaround continues.
o North American restructuring underway.
o Balance sheet remains strong with $15.2 billion of cash.
DEARBORN, Mich., Oct. 17 - Ford Motor Company [NYSE: F] today reported a net
loss of $692 million, or 38 cents per diluted share, in the third quarter of
2001. Excluding special items, Ford lost $502 million, or 28 cents per share.
Ford earned $994 million, or 50 cents a share, before special items in the third
quarter of 2000.
Ford's third quarter revenues were $36.55 billion, a 9 percent decline from last
year's third quarter. Worldwide vehicle unit sales in the 2001 third quarter
were 1,513,000, down 10 percent.
"This was a difficult quarter, as our results were affected by an uncertain and
slowing U.S. economy, compounded by the tragic events of Sept. 11," said Jacques
Nasser, president and CEO. "To address these challenging times we have taken
several steps this year to strengthen our competitiveness. We expect to announce
further actions in December. "
Despite the near-term challenges, Ford continues to benefit from the strongest
lineup of brands and products in its history. This will be the 15th year in a
row that Ford Division is the best-selling brand of cars and trucks in the U.S.
These include the F-Series full-size pickup
-2-
truck, Explorer and Escape SUVs, and Taurus, Focus and Mustang cars. Earlier
this month, the Escape set a calendar-year sales record for small SUVs.
In the third quarter, Ford launched the Ford Thunderbird and Jaguar X-Type in
the U.S., and introduced the Ford Fiesta in Europe. Other new products due in
the U.S. this year include the Land Rover Freelander, Lincoln Blackwood,
Focus ZX5 and Th!nk Neighbor.
Third quarter 2001 operating results exclude a previously disclosed non-cash
charge of $199 million, or 11 cents per share, for the write-down of certain
investments in e-commerce and automotive-related ventures. They also exclude a
non-cash credit of $9 million, or about 1 cent a share, for the accounting
standard on hedging and derivatives. Third quarter 2000 operating earnings
exclude a one-time charge of $106 million, or 5 cents per share, related to the
Land Rover acquisition.
The following results exclude special items in both years:
AUTOMOTIVE OPERATIONS
Worldwide automotive operations lost $877 million in the third quarter, compared
to a profit of $497 million year ago. Worldwide automotive revenues were $28.55
billion, compared with $32.58 billion a year ago.
Automotive gross cash at Sept. 30 totaled $15.2 billion, including $2.2 billion
of pre-funding employee benefit expenses through a Voluntary Employee
Beneficiary Association (VEBA) trust.
North America: The third quarter loss in North America was $849 million.
Earnings in the 2000 third quarter were $782 million. The decline was primarily
a result of lower unit sales volume, down 171,000 units or 15 percent, from last
year, and significantly higher marketing costs.
-3-
Europe: Ford lost $24 million in the third quarter in Europe, compared to a loss
of $221 million a year ago. Several new Ford brand vehicles, including the
Mondeo, Transit and Maverick, contributed to the improved results.
South America: Ford operations in South America lost $56 million, compared to a
loss of $64 million a year ago. Results from the region continue to be affected
by weak economic conditions in Brazil and Argentina.
Rest-of-world: Operations from the rest of the world earned a profit of $52
million, compared to break-even results in the 2000 third quarter.
FORD CREDIT
Ford Credit earned $389 million in the third quarter, up from $386 million a
year ago.
HERTZ
Hertz reported a third quarter profit of $26 million. Hertz earned $143 million
in the third quarter a year ago. The decline is attributable to lower volume
after the events of Sept. 11, as well as slowing economic conditions and a
reduction in related business and personal travel.
OUTLOOK
"The U.S. economy continues to be marked by uncertainty, making it difficult to
predict future vehicle sales demand. However, we believe total U.S. sales for
2001 will be in the range of 16.5-17 million units," Nasser said.
"Our strong brands and great products, as well as considerable financial
strength and flexibility, will help us in these difficult times. We are focused
on managing through the present volatile environment and positioning ourselves
for a higher level of performance in the future," Nasser said.
-4-
Investors can hear a review of third quarter results by Martin Inglis, chief
financial officer, on the Internet at www.streetevents.com or
www.streetfusion.com. The presentation will start at 9 a.m. EDT, Oct. 17.
Ford Motor Company is the world's second largest automaker, selling vehicles in
200 markets and with approximately 345,000 employees on six continents. Its
automotive brands include Aston Martin, Ford, Jaguar, Land Rover, Lincoln,
Mazda, Mercury and Volvo. Its automotive-related services include Ford Credit,
Hertz and Quality Care.
###
Statements included herein may constitute "forward looking statements" within
the meaning of the Private Securities Litigation Reform Act of 1995. These
statements involve a number of risks, uncertainties, and other factors that
could cause actual results to differ materially from those stated, including,
without limitation: greater price competition in the U.S. and Europe resulting
from currency fluctuations, industry overcapacity or other factors; a
significant decline in industry sales, particularly in the U.S. or Europe,
resulting from slowing economic growth; lower-than-anticipated market acceptance
of new or existing products; currency or commodity price fluctuations; economic
difficulties in South America or Asia; higher fuel prices; a market shift from
truck sales in the U.S.; lower-than-anticipated residual values for leased
vehicles; a credit rating downgrade; labor or other constraints on our ability
to restructure our business; increased safety or emissions regulation resulting
in higher costs and/or sales restrictions; work stoppages at key Ford or
supplier facilities; and the discovery of defects in vehicles resulting in
recall campaigns, increased warranty costs or litigation.
Ford Motor Company and Subsidiaries
CONSOLIDATED STATEMENT OF INCOME
--------------------------------
For the Periods Ended September 30, 2001 and 2000
(in millions)
Third Quarter Nine Months
--------------------------- ----------------------------
2001 2000 2001 2000
----------- ----------- ----------- ------------
(unaudited) (unaudited)
AUTOMOTIVE
Sales $28,554 $32,582 $97,756 $106,123
Costs and expenses (Note 2)
Cost of sales (Note 3) 27,296 29,670 91,759 94,753
Selling, administrative and other expenses 2,342 2,338 7,184 7,061
------- ------- ------- --------
Total costs and expenses 29,638 32,008 98,943 101,814
Operating income (loss) (1,084) 574 (1,187) 4,309
Interest income 144 382 617 1,139
Interest expense 308 367 1,005 1,012
------- ------- ------- --------
Net interest income (expense) (164) 15 (388) 127
Equity in net loss of affiliated companies (346) (61) (686) (64)
------- ------- ------- --------
Income (loss) before income taxes - Automotive (1,594) 528 (2,261) 4,372
FINANCIAL SERVICES
Revenues 7,998 7,473 23,556 21,335
Costs and expenses
Interest expense 2,287 2,451 7,331 6,975
Depreciation 2,680 2,427 7,873 7,033
Operating and other expenses (Note 3) 1,476 1,257 4,255 3,717
Provision for credit and insurance losses 929 482 2,187 1,347
------- ------- ------- --------
Total costs and expenses 7,372 6,617 21,646 19,072
------- ------- ------- --------
Income before income taxes - Financial Services 626 856 1,910 2,263
------- ------- ------- --------
TOTAL COMPANY
Income (loss) before income taxes (968) 1,384 (351) 6,635
Provision for income taxes (285) 449 2 2,199
------- ------- ------- --------
Income (loss) before minority interests (683) 935 (353) 4,436
Minority interests in net income of subsidiaries 9 47 32 103
------- ------- ------- --------
Income (loss) from continuing operations (692) 888 (385) 4,333
Income from discontinued operation (Note 4) - - - 309
Loss on spin-off of discontinued operation (Note 4) - - - (2,252)
------- ------- ------- --------
Net income (loss) $ (692) $ 888 $ (385) $ 2,390
======= ======= ======= ========
Income (loss) attributable to Common and Class B
Stock after preferred stock dividends $ (696) $ 884 $ (396) $ 2,379
Average number of shares of Common and Class B
Stock outstanding 1,812 1,649 1,823 1,354
AMOUNTS PER SHARE OF COMMON AND CLASS B STOCK (Notes 5 and 6)
Basic Income
Income (loss) from continuing operations $ (0.39) $ 0.54 $ (0.22) $ 3.21
Income from discontinued operation - - - 0.23
Loss on spin-off of discontinued operation - - - (1.67)
------- ------- ------- --------
Net income (loss) $ (0.39) $ 0.54 $ (0.22) $ 1.77
Diluted Income
Income (loss) from continuing operations $ (0.38) $ 0.53 $ (0.21) $ 3.14
Income from discontinued operation - - - 0.23
Loss on spin-off of discontinued operation - - - (1.64)
------- ------- ------- --------
Net income (loss) $ (0.38) $ 0.53 $ (0.21) $ 1.73
Cash dividends $ 0.30 $ 0.50 $ 0.90 $ 1.50
The accompanying notes are part of the financial statements.
Ford Motor Company and Subsidiaries
CONSOLIDATED BALANCE SHEET
--------------------------
(in millions)
September 30, December 31,
2001 2000
----------------- -----------------
(unaudited)
ASSETS
Automotive
Cash and cash equivalents $ 6,127 $ 3,374
Marketable securities 6,875 13,116
-------- --------
Total cash and marketable securities 13,002 16,490
Receivables 2,747 4,685
Inventories (Note 7) 7,110 7,514
Deferred income taxes 2,692 2,239
Other current assets 5,427 5,318
Current receivable from Financial Services 1,815 1,587
-------- --------
Total current assets 32,793 37,833
Equity in net assets of affiliated companies 2,662 2,949
Net property 35,825 37,508
Deferred income taxes 3,503 3,342
Other assets 12,847 12,680
-------- --------
Total Automotive assets 87,630 94,312
Financial Services
Cash and cash equivalents 4,511 1,477
Investments in securities 416 817
Finance receivables, net 112,728 125,164
Net investment in operating leases 49,112 46,593
Other assets 20,937 12,390
Receivable from Automotive 2,193 2,637
-------- --------
Total Financial Services assets 189,897 189,078
-------- --------
Total assets $277,527 $283,390
======== ========
LIABILITIES AND STOCKHOLDERS' EQUITY
Automotive
Trade payables $ 15,258 $ 15,075
Other payables 3,802 4,011
Accrued liabilities 22,591 23,369
Income taxes payable 26 449
Debt payable within one year 283 277
-------- --------
Total current liabilities 41,960 43,181
Long-term debt 11,804 11,769
Other liabilities 31,032 29,610
Deferred income taxes 296 353
Payable to Financial Services 2,193 2,637
-------- --------
Total Automotive liabilities 87,285 87,550
Financial Services
Payables 4,706 5,297
Debt 154,285 153,510
Deferred income taxes 8,448 8,677
Other liabilities and deferred income 6,951 7,486
Payable to Automotive 1,815 1,587
-------- --------
Total Financial Services liabilities 176,205 176,557
Company-obligated mandatorily redeemable preferred securities of a subsidiary
tTrust holding solely junior subordinated debentures of the Company (Note 8) 672 673
Stockholders' equity
Capital stock
Preferred Stock, par value $1.00 per share (aggregate liquidation preference
of $177 million) * *
Common Stock (par value $0.01 per share (1,837 million shares issued) 18 18
Class B Stock, par value $0.01 per share (71 million shares issued) 1 1
Capital in excess of par value of stock 5,970 6,174
Accumulated other comprehensive income (Notes 3 and 9) (5,575) (3,432)
ESOP loan and treasury stock (2,894) (2,035)
Earnings retained for use in business 15,845 17,884
-------- --------
Total stockholders' equity 13,365 18,610
-------- --------
Total liabilities and stockholders' equity $277,527 $283,390
======== ========
- - - - -
*Less than $1 million
The accompanying notes are part of the financial statements.
Ford Motor Company and Subsidiaries
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
----------------------------------------------
For the Periods Ended September 30, 2001 and 2000
(in millions)
Nine Months 2001 Nine Months 2000
---------------------------- ----------------------------
Financial Financial
Automotive Services Automotive Services
------------- ------------ ------------- -------------
(unaudited) (unaudited)
Cash and cash equivalents at January 1 $ 3,374 $ 1,477 $ 2,793 $ 1,588
Cash flows from operating activities before securities trading 5,059 11,123 10,891 13,089
Net sales of trading securities 6,443 109 4,041 151
------- -------- ------- --------
Net cash flows from operating activities 11,502 11,232 14,932 13,240
Cash flows from investing activities
Capital expenditures (3,994) (428) (4,884) (565)
Acquisitions of receivables and lease investments - (68,498) - (69,257)
Collections of receivables and lease investments - 36,053 - 39,834
Net acquisitions of daily rental vehicles - (1,864) - (2,482)
Purchases of securities (11,228) (566) (374) (415)
Sales and maturities of securities 11,026 615 29 412
Proceeds from sales of receivables and lease investments - 29,515 - 12,502
Net investing activity with Financial Services 116 - 92 -
Cash paid for acquisitions (Note 10) (1,935) (743) (2,487) (87)
Other 375 (111) 0 226
------- -------- ------- --------
Net cash used in investing activities (5,640) (6,027) (7,624) (19,832)
Cash flows from financing activities
Cash dividends (1,654) - (2,185) -
Value Enhancement Plan payments - - (5,440) -
Net purchases of Common Stock (1,347) - (185) -
Changes in short-term debt (2) (12,506) (841) (8,140)
Proceeds from issuance of other debt 189 31,123 1,917 31,397
Principal payments on other debt (146) (20,675) (823) (14,896)
Net debt repayments from discontinued operations - - 650 -
Net cash distribution to discontinued operations - - (85) -
Net financing activity with Automotive - (116) - (92)
Other 174 (212) 14 (409)
------- --------- ------- --------
Net cash (used in)/provided by financing activities (2,786) (2,386) (6,978) 7,860
Effect of exchange rate changes on cash (95) (13) (23) (294)
Net transactions with Automotive/Financial Services (228) 228 252 (252)
------- -------- ------- --------
Net increase in cash and cash equivalents 2,754 3,034 559 722
-------- -------- -------- --------
Cash and cash equivalents at September 30 $ 6,127 $ 4,511 $ 3,352 $ 2,310
======= ======== ======= ========
The accompanying notes are part of the financial statements.
Ford Motor Company and Subsidiaries
NOTES TO FINANCIAL STATEMENTS
-----------------------------
(unaudited)
1. Financial Statements - The financial data presented herein are unaudited,
but in the opinion of management reflect those adjustments necessary for a
fair statement of such information. Results for interim periods should not
be considered indicative of results for a full year. Reference should be
made to the financial statements contained in the registrant's Annual
Report on Form 10-K for the year ended December 31, 2000. For purposes of
Notes to Financial Statements, "Ford" or the "Company" means Ford Motor
Company and its majority owned subsidiaries unless the context requires
otherwise. Certain amounts for prior periods were reclassified to conform
with present period presentation.
2. Selected Automotive costs and expenses are summarized as follows
(in millions):
Third Quarter Nine Months
------------------------- -----------------------
2001 2000 2001 2000
---------- ---------- ---------- ---------
Depreciation $632 $734 $1,989 $2,146
Amortization 482 574 1,832 1,776
Pension expense (benefit) (108) 74 (269) 87
3. SFAS 133 ("Accounting for Derivative Instruments and Hedges") - Ford
adopted SFAS 133 on January 1, 2001. For further discussion on SFAS 133
refer to Note 3 in Form 10-Q for the quarterly period ended March 31, 2001.
Non-cash adjustments to income and to stockholders' equity for the third
quarter and nine months of 2001 were (in millions):
Automotive Financial Services Total Company
--------------------- ---------------------- ------------------------
Third Nine Third Nine Third Nine
Quarter Months Quarter Months Quarter Months
--------- ---------- ---------- ---------- ------------ -----------
Income before income taxes a/ $ 33 $(134) $(20) (91) $ 13 $ (225)
Net income 22 (92) (13) (58) 9 (150)
Stockholders' equity b/ 201 (1,127)
a/ Automotive recorded in cost of sales; Financial Services recorded in
operating and other expenses
b/ Recorded in accumulated other comprehensive income
4. Discontinued Operation - On June 28, 2000, Ford distributed 130 million
shares of Visteon Corporation ("Visteon"), which represented its 100%
ownership interest, by means of a tax-free spin-off in the form of a
dividend on Ford Common and Class B Stock. Ford's financial statements
reflect Visteon as a "discontinued operation".
5. Value Enhancement Plan - On August 7, 2000, the Company announced the final
results of its recapitalization, known as the Value Enhancement Plan
("VEP"). Under the VEP, Ford shareholders exchanged each of their old Ford
Common or Class B shares for one new Ford Common or Class B share, as the
case may be, plus, at their election, either $20 in cash, 0.748 additional
new Ford Common shares, or a combination of $5.17 in cash and 0.555
additional new Ford Common shares. As a result of the elections made by
shareholders under the VEP, the total cash elected was $5.7 billion and the
total number of new Ford Common and Class B shares that became issued and
outstanding was 1.893 billion. As a result of the VEP, approximately $1.2
billion was transferred from capital stock to capital in excess of par
value of stock.
In accordance with generally accepted accounting principles, prior period
shares and earnings per share amounts were not adjusted.
6. Income Per Share of Common and Class B Stock - The calculation of diluted
income per share of Common and Class B Stock takes into account the effect
of obligations, such as stock options, considered to be potentially
dilutive. Basic and diluted income per share were calculated using the
following (in millions):
Third Quarter Nine Months
------------------------- -----------------------
2001 2000 2001 2000
---------- ---------- ---------- ---------
Average shares outstanding 1,812 1,649 1,823 1,354
Issuable and uncommitted ESOP shares (5) (6) (8) (7)
----- ----- ----- -----
Basic shares 1,807 1,643 1,815 1,347
Net dilutive effect of options 26 35 34 28
----- ----- ----- -----
Diluted shares 1,833 1,678 1,849 1,375
===== ===== ===== =====
Ford Motor Company and Subsidiaries
NOTES TO FINANCIAL STATEMENTS
-----------------------------
(unaudited)
7. Automotive Inventories are summarized as follows (in millions):
September 30, December 31,
2001 2000
------------- ------------
Raw materials, work in process and supplies $2,626 $2,798
Finished products 4,484 4,716
------ ------
Total inventories $7,110 $7,514
====== ======
8. Company-Obligated Mandatorily Redeemable Preferred Securities of a
Subsidiary Trust - The sole asset of Ford Motor Company Capital Trust I
(the "Trust"), which is the obligor on the Preferred Securities of such
Trust, is $632 million principal amount of 9% Junior Subordinated
Debentures due 2025 of Ford Motor Company.
9. Comprehensive Income - Other comprehensive income primarily reflects
foreign currency translation adjustments and adjustments related to SFAS
133 (Note 3). Total comprehensive income is summarized as follows (in
millions):
Third Quarter Nine Months
-------------------------- ------------------------
2001 2000 2001 2000
----------- ----------- ----------- ----------
Net income (loss) $ (692) $ 888 $ (385) $ 2,390
Other comprehensive income (loss) 775 (979) (2,143) (2,057)
------- ------ ------- -------
Total comprehensive income (loss) $ 83 $ (91) $(2,528) $ 333
======= ====== ======= =======
10. Acquisitions and Restructurings
Hertz Purchase - In March 2001, through a tender offer and a merger
transaction, Ford acquired (for a total price of $735 million) the common
stock of Hertz that it did not own, which represented about 18% of the
economic interest in Hertz.
Purchase of Land Rover Business - On June 30, 2000, Ford purchased the
Land Rover business from the BMW Group for approximately three billion
euros. Approximately two-thirds of the purchase price (equivalent of $1.9
billion at June 30, 2000) was paid at time of closing; the remainder will
be paid in 2005. The acquisition involves the entire Land Rover line of
products and related assembly and engineering facilities. It does not
include Rover's passenger car business or financial services business.
European Charges - Following an extensive business review of the Ford
Brand operations in Europe, the Company recorded a pre-tax charge in
Automotive cost of sales of $1,568 million in the second quarter of 2000.
This charge included $1.1 billion for asset impairments and $468 million
for restructuring costs. The effect on after-tax earnings was $1,019
million.
Ford Motor Company and Subsidiaries
NOTES TO FINANCIAL STATEMENTS
-----------------------------
(unaudited)
11. Segment Information - Ford's business is divided into two business sectors
- Automotive and Financial Services (including Ford Credit and Hertz);
detail is summarized as follows (in millions):
Financial Services Sector
----------------------------------
Auto Ford Other Elims/
Sector Credit Hertz Fin Svcs Other Total
Third Quarter ------------ ----------- --------- ------------ ----------- ------------
------------
2001
----
Revenues
External customer $ 28,554 $ 6,384 $ 1,364 $ 245 $ 5 $ 36,552
Intersegment 388 94 7 32 (521) -
-------- -------- ------- ------ ------- --------
Total Revenues $ 28,942 $ 6,478 $ 1,371 $ 277 $ (516) $ 36,552
======== ======== ======= ====== ======= ========
Net income (loss) $ (1,054) $ 376 $ 26 $ (44) $ 4 $ (692)
2000
----
Revenues
External customer $ 32,582 $ 5,948 $ 1,424 $ 94 $ 7 $ 40,055
Intersegment 760 43 8 11 (822) -
-------- -------- ------- ------ ------- --------
Total Revenues $ 33,342 $ 5,991 $ 1,432 $ 105 $ (815) $ 40,055
======== ======== ======= ====== ======= ========
Net income (loss) $ 391 $ 386 $ 143 $ (29) $ (3) $ 888
Financial Services Sector
-----------------------------------
Auto Ford Other Elims/
Sector Credit Hertz Fin Svcs Other Total
Nine Months ----------- ------------ ----------- ---------- ---------- ------------
------------
2001
----
Revenues
External customer $ 97,756 $ 18,988 $ 3,821 $ 728 $ 19 $121,312
Intersegment 2,932 334 21 104 (3,391) -
-------- -------- ------- ------ ------- --------
Total Revenues $100,688 $ 19,322 $ 3,842 $ 832 $(3,372) $121,312
======== ======== ======= ====== ======= ========
Income (loss) from continuing
operations $ (1,559) $ 1,136 $ 81 $ (45) $ 2 $ (385)
Total assets at September 30 $ 87,630 $174,318 $11,811 $3,768 $ - $277,527
2000
----
Revenues
External customer $106,123 $ 17,217 $ 3,826 $ 285 $ 26 $127,477
Intersegment 3,256 123 23 115 (3,517) -
-------- -------- ------- ------ ------- --------
Total Revenues $109,379 $ 17,340 $ 3,849 $ 400 $(3,491) $127,477
======== ======== ======= ====== ======= ========
Income (loss) from continuing
operations $ 2,995 $ 1,126 $ 303 $ (26) $ (65) $ 4,333
Total assets at September 30 $ 96,210 $169,894 $11,191 $4,990 $ - $282,285
- - - - -
"Other Financial Services" data is an aggregation of miscellaneous
smaller Financial Services Sector business components, including Ford
Motor Land Development Corporation, Ford Leasing Development Company,
Ford Leasing Corporation and Granite Management Corporation.
"Elims/Other" data includes intersegment eliminations and minority
interests. Interest income for the operating segments in the Financial
Services Sector is reported as "Revenues".
Ford Motor Company
SELECTED CONSOLIDATED DETAIL
----------------------------
2001 Compared with 2000
Third Quarter Nine Months
------------------------------- -----------------------------
2001 2000 2001 2000
-------------- ------------- ------------ -------------
Worldwide vehicle unit sales of
cars and trucks (in thousands)
- North America 933 1,104 3,178 3,724
- Outside North America 580 572 2,005 1,861
------ ------ ------ ------
Total 1,513 1,676 5,183 5,585
====== ====== ====== ======
Sales and revenues (Mils.)
- Automotive $ 28,554 $ 32,582 $ 97,756 $ 106,123
- Financial Services 7,998 7,473 23,556 21,335
--------- --------- --------- ---------
Total $ 36,552 $ 40,055 $ 121,312 $ 127,458
========= ========= ========= =========
Net income (Mils.)
- Automotive $ (1,054) $ 391 $ (1,559) $ 2,995
- Financial Services 362 497 1,174 1,338
--------- --------- --------- ---------
Income from continuing operations (692) 888 (385) 4,333
- Discontinued operation (Visteon) - - - 309
- Loss on spin-off of Visteon - - - (2,252)
--------- --------- --------- ---------
Total net income $ (692) $ 888 $ (385) $ 2,390
========= ========= ========= =========
Adjusted net income from
continuing operations (Mils.) a/ $ (502) $ 994 $ 78 $ 5,458
Unusual items (Mils.)
- SFAS 133 $ 9 $ - $ (150) $ -
- E-commerce and Automotive-related ventures (199) - (199) -
- Mazda restructuring actions - - (114) -
- Land Rover inventory profit reduction - (106) - (106)
- European charges - - - (1,019)
--------- --------- --------- ---------
Total unusual items $ (190) $ (106) $ (463) $ (1,125)
========= ========= ========= =========
Capital expenditures (Mils.)
- Automotive $ 1,408 $ 1,932 $ 3,994 $ 4,884
- Financial Services 199 102 428 565
--------- --------- --------- ---------
Total $ 1,607 $ 2,034 $ 4,422 $ 5,449
========= ========= ========= =========
Automotive capital expenditures as a
percentage of sales 4.9% 5.9% 4.1% 4.6%
Automotive net cash at September 30 (Mils.)
- Cash and marketable securities $ 13,002 $ 18,599 $ 13,002 $ 18,599
- VEBA 2,213 2,879 2,213 2,879
--------- --------- --------- ---------
Gross cash including VEBA 15,215 21,478 15,215 21,478
- Debt 12,087 11,987 12,087 11,987
--------- --------- --------- ---------
Automotive net cash including VEBA $ 3,128 $ 9,491 $ 3,128 $ 9,491
========= ========= ========= =========
After-tax return on sales
- North American Automotive (5.2)% 3.3% (2.2)% 5.5%
- Total Automotive (3.7)% 1.2% (1.6)% 2.9%
AMOUNTS PER SHARE OF COMMON AND CLASS B
STOCK AFTER PREFERRED STOCK DIVIDENDS
Income assuming dilution
- Automotive $ (0.58) $ 0.23 $ (0.85) $ 2.17
- Financial Services 0.20 0.30 0.64 0.97
---------- --------- --------- ---------
Subtotal (0.38) 0.53 (0.21) 3.14
- Discontinued operation (Visteon) - - - 0.23
- Loss on spin-off of Visteon - - - (1.64)
--------- --------- --------- ---------
Total $ (0.38) $ 0.53 $ (0.21) $ 1.73
========= ========= ========= =========
Adjusted net income from
continuing operations a/ $ (0.28) $ 0.50 b/ $ 0.04 $ 2.61 b/
Unusual items
- SFAS 133 $ 0.01 $ - $ (0.08) $ -
- E-commerce and Automotive-related ventures (0.11) (0.11)
- Mazda restructuring actions - - (0.06) -
- Land Rover inventory profit reduction - (0.05) b/ - (0.05) b/
- European charges - - - (0.49) b/
--------- --------- --------- ---------
Total unusual items $ (0.10) $ (0.05) b/ $ (0.25) $ (0.54) b/
========= ========= ========= =========
Cash dividends $ 0.30 $ 0.50 $ 0.90 $ 1.50
a/ Excludes unusual items disclosed by the Company.
b/ In addition to excluding unusual items affecting income, also treats the
Value Enhancement Plan like a stock split and share repurchase.
Prior periods have been restated.
Ford Motor Company and Subsidiaries
VEHICLE UNIT SALES DETAIL
-------------------------
2001 Compared with 2000
Third Quarter Nine Months
------------------------- ------------------------
2001 2000 2001 2000
-------- -------- -------- --------
(in thousands) (in thousands)
North America
United States
Cars 286 412 1,046 1,342
Trucks 561 602 1,853 2,068
----- ----- ----- -----
Total United States 847 1,014 2,899 3,410
Canada 46 59 166 218
Mexico 40 31 113 96
----- ----- ----- -----
Total North America 933 1,104 3,178 3,724
Europe
Britain 140 114 492 368
Germany 72 66 289 241
Italy 47 50 174 157
Spain 43 36 136 130
France 36 36 118 119
Other countries 113 112 399 384
----- ----- ----- -----
Total Europe 451 414 1,608 1,399
Other international
Brazil 24 33 99 96
Australia 29 34 85 95
Taiwan 14 13 43 54
Argentina 8 12 23 39
Japan 4 5 14 21
Other countries 50 61 133 157
----- ----- ----- -----
Total other international 129 158 397 462
----- ----- ----- -----
Total worldwide vehicle unit sales 1,513 1,676 5,183 5,585
===== ===== ===== =====
Vehicle unit sales generally are reported worldwide on a "where sold" basis and
include sales of all Ford-badged units, as well as units manufactured by Ford
and sold to other manufacturers.
Prior periods were restated to correct unit sales.
Ford Motor Company
THIRD QUARTER 2001 DATA SHEET
-----------------------------
2001 Compared with 2000
2000
2nd Qtr 3rd Qtr ---------------------------
2001 2001 3rd Qtr Full Year
------------ ------------ -------------
Market Share Data (%)
U.S.
---
Car 18.4% 17.1% 18.0% 19.1%
Truck 28.1% 27.1% 27.8% 28.2%
Total 23.2% 22.2% 22.8% 23.7%
Europe
------
Car 10.9% 11.3% 11.0% 10.3%
Truck 8.5% 9.1% 8.8% 7.8%
Total 10.6% 11.0% 10.7% 9.9%
U.S. Total Marketing Costs (Ford/LM)
-- Variable and Fixed
(% of Gross Revenue) 14.1% 16.0% 11.1% 11.1%
U.S. Sales Mix (Ford/LM)
Fleet Sales (% of Total) 30% 18% 21% 26%
Red Carpet Lease (% of Total) 17% 18% 21% 18%
Red Carpet Lease (% of Retail) 24% 22% 26% 25%
U.S. Inventory (Days' Supply)
Car 53 53 54 81
Truck 66 66 64 92
Average 61 61 61 88
Avg. Portfolio Borrowing Rate
Ford Credit (%) 6.2% 5.9% 6.5% 6.4%
Worldwide Taxes
Effective Tax Rate 32.5% 32.5% 31.1% 32.5%
Common and Class B
Shares Outstanding (Mils.)
Average - actual 1,819 1,812 1,649 1,483
Average - assuming full dilution 1,848 1,833 1,678a/ 1,504a/
Period ended - actual 1,812 1,811 1,896 1,854
Common Stock price (per share)
(adjusted to reflect Visteon spin-off)
High $30.71 $25.76 $26.63 $30.13
Low 24.00 15.34 24.19 21.63
a/ If the Value Enhancement plan was treated as a stock split followed by a
share repurchase, the shares would have been 2,136 for 2nd quarter 2000 and
2,041 for full year 2000.
--------------------------------------
Excludes SFAS 133 Effect,
Visteon & One-Time Factors
--------------------------------------
Ford Motor Company
AUTOMOTIVE GEOGRAPHIC AND COST OF SALES DETAIL
----------------------------------------------
2001 Compared With 2000
--------------------------------
GEOGRAPHIC DATA 3rd Quarter First Nine Months
-------------------------------- -------------------------------------------- ----------------------------------------------
01 B/(W) 01 B/(W)
2001 2000 Than 00 2001 2000 Than 00
-------------- -------------- ------------- -------------- ---------------- --------------
PBT (Mils.)
-----------
U.S. ($1,351) $1,256 ($2,607) ($2,259) $6,059 ($8,318)
Canada/Mexico 55 (117) 172 374 395 (21)
-------------- -------------- ------------- -------------- ---------------- --------------
North America ($1,296) $1,139 ($2,435) ($1,885) $6,454 ($8,339)
Europe (30) (344) 314 320 (128) 448
South America (86) (100) 14 (276) (324) 48
Rest of World 80 (5) 85 123 100 23
-------------- -------------- ------------- -------------- ---------------- --------------
Worldwide ($1,332) $690 ($2,022) ($1,718) $6,102 ($7,820)
============== ============== ============= ============== ================ ==============
Net Income (Mils.)
------------------
U.S. ($872) $859 ($1,731) ($1,462) $4,038 ($5,500)
Canada/Mexico 23 (77) 100 224 254 (30)
-------------- -------------- ------------- -------------- ---------------- ---------------
North America ($849) $782 ($1,631) ($1,238) $4,292 ($5,530)
Europe (24) (221) 197 205 (68) 273
South America (56) (64) 8 (179) (209) 30
Rest of World 52 0 52 58 105 (47)
-------------- -------------- ------------- -------------- ---------------- ---------------
Worldwide ($877) $497 ($1,374) ($1,154) $4,120 ($5,274)
============== ============== ============= ============== ================ ===============
Sales (Mils.)
-------------
U.S. $18,253 $21,824 ($3,571) $62,921 $72,728 ($9,807)
Canada/Mexico 1,516 1,561 (45) 4,769 5,544 (775)
-------------- -------------- ------------- -------------- ---------------- ---------------
North America $19,769 $23,385 ($3,616) $67,690 $78,272 ($10,582)
Europe 6,705 6,612 93 23,469 21,342 2,127
South America 518 653 (135) 1,763 1,894 (131)
Rest of World 1,562 1,932 (370) 4,834 4,615 219
-------------- -------------- ------------- -------------- ---------------- ---------------
Worldwide $28,554 $32,582 ($4,028) $97,756 $106,123 ($8,367)
============== ============== ============= ============== ================ ===============
--------------------------------
COST OF SALES 3rd Quarter First Nine Months
-------------------------------- -------------------------------------------- -----------------------------------------------
01 B/(W) 01 B/(W)
2001 2000 Than 00 2001 2000 Than 00
-------------- -------------- ------------- -------------- ---------------- ---------------
(Mils) (Mils) (Mils) (Mils) (Mils) (Mils)
Total Costs and Expenses $29,649 $31,846 $2,197 $98,787 $100,084 $1,297
Less: Depreciation 632 734 102 1,989 2,146 157
Amortization 482 574 92 1,832 1,776 (56)
Selling and Admin. 2,276 2,294 18 7,025 6,926 (99)
Pension Benefit Exp. (108) 74 182 (269) 87 356
-------------- -------------- ------------- -------------- ---------------- ---------------
Net Cost of Sales $26,367 $28,170 $1,803 $88,210 $89,149 $939
============== ============== ============= ============== ================ ===============
Memo: Gross Margin 7.7% 13.5% -5.9pts 9.8% 16.0% -6.2pts
Ford Motor Company
2001 NORTH AMERICAN PRODUCTION AND OVERSEAS SALES
-------------------------------------------------
2001 Planned
------------------
First Second Third Fourth Full
Quarter Quarter Quarter Quarter Year
------- ------- ------- ------- ----
(000) (000) (000) (000) (000)
North American Production and Imports
Car 373 426 247 328 1,374
Truck 705 704 566 637 2,612
----- ----- ----- ----- -----
North American Production 1,078 1,130 813 965 3,986
Mexican Domestic Units Incl. Above Incl. Above Incl. Above Incl. Above Incl. Above
Imports (Volvo, Jaguar, Land Rover, Fiesta) 50 71 55 93 269
------ ------ ----- ----- -----
Total North America (Incl. Imports) 1,128 1,201 868 1,058 4,255
Overseas Vehicle Unit Sales 699 716 580 688 2,683
----- ----- ----- ----- -----
Ford Worldwide 1,827 1,917 1,448 1,746 6,938
===== ===== ===== ===== =====
Over/(Under) Prior
------------------
North America
Units:
- Issue 0 (120) (17)
- Quarter (9) 73 (333) 190
- Year (202) (176) (237) (79)
Percentage:
- Issue 0% (12)% (2)%
- Quarter (1)% 6% (28)% 22%
- Year (15)% (13)% (21)% (7)%
Overseas
Units:
- Issue 0 21 15
- Quarter 72 17 (136) 108
- Year 105 34 12 61
Percentage:
- Issue 0% (3)% 2%
- Quarter 11% 2% (19)% 19%
- Year 18% 5% 2% 10%
Worldwide
Units:
- Issue 0 (141) (2)
- Quarter 63 90 (469) 298
- Year (97) (142) (225) (18)
Percentage:
- Issue 0% (9)% (0)%
- Quarter 4% 5% (24)% 21%
- Year (5)% (7)% (13)% (1)%
Investor Relations
10/17/01