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June 2010

Connecting North America

Fiesta unleashed:
It’s a Pretty Big Deal
Lincoln brand acceleration
Gymkhana THREE
Eco-Route

inside: Sustainability Report pullout


celebrating
40 years

Hines Park
Lincoln Mercury
Plymouth/Canton, MI
40601 Ann Arbor Road Sales Phone: 866-980-5963
Haggerty Rd.

Plymouth, MI 48170 275 Service Phone: 866-980-1107


Ann Arbor Rd.
(Ann Arbor Road West of I-275) Showroom Hours:
Service Hours: M/Th 8:30-9:00
M-F 7:30-6:00 Joy Rd. T/W/F 8:30-6:00
sat 8:00-1:00 sat 10:00-3:00

Www.hinespark.com
Connecting North America
3 Lincoln brand
Accelerating acceleration
Lincoln will have seven all-new

Lincoln momentum or significantly refreshed


vehicles in four years. 3
Ford recently marked another important milestone in 4 Eco-Route
our company’s transformation as we solidified plans to Driving from A to B in an
further grow our Ford brand while accelerating Lincoln. environmentally friendly way.
Earlier this month, we announced plans to introduce
6 Consumer
seven new or significantly upgraded Lincoln vehicles in the
next four years, including our first-ever C-segment vehicle.
experience
We also announced that we will end production Dealers will drive
enhanced consumer
of Mercury vehicles in the fourth quarter of this year.
While Mercury served us well in the past, it now is time
experience and growth.
4
to fully devote our resources and attention to growing 7 Monthly sales
Lincoln – just as we have been doing so successfully U.S. sales are up 23 percent,
with the Ford brand. Canada remains on top.
We have a solid foundation for our Lincoln business and
8 Perception
now plan to accelerate the development of products with
standout design, class-leading technology and power-
catches reality
trains that offer top performance and fuel-efficiency. Ford improves in ALG study.
This is an exciting time in our business and I would 10 Coming soon
encourage each of you to become familiar with our
important plans for Lincoln as we further grow the brand.
The Fiesta is coming 6
with a class-leading push.
Thank you for your continued hard work and support.
12 Road trip
American Journey 2.0
will create a new market
for technology.

Mark Fields 14 Ken Block


President, The Americas Ford racer to light up

10
For more perspective from Mark the Internet with
Fields on the Lincoln and Mercury Gymkhana THREE debut.
news, see page 3.
15 Operation
A more interactive @Ford Drive one
Throughout the magazine, Ford puts on national tour
we’ve highlighted stories and raises money
that offer much more Click to @Ford Online for military charity.
information at @Ford for more information
Online (www.at.ford.com). www.at.ford.com 17 Northville plant
Just look for the highlights box like the one pictured here. Explore the success of Henry
A similar logo is in the upper left corner of @Ford Online in
the rotating promo box section.
Ford’s village industry.
14
Publisher: Sara Tatchio | Associate publisher: Susan Krusel | Managing editor: Alice Arutoff
Contributing editor: Jenn Corney | Advertising coordinator: Michele Holtcamp | Distribution: Neeley Edelman
Graphic designer: Julie Yeiter | Image coordinators: Brian Wybenga | Copy editor: Floyd Opperman
Photographers: Keith Tolman, Sam VarnHagen, Tom Wojnowski
Editorial: (313) 390-3569 | Advertising: (248) 318-6316 | Address changes: (313) 322-3131 (@Ford changes only)
No portion of this magazine may be reproduced without prior written consent of @Ford.
Items advertised in @Ford are not connected with Ford Motor Company. Availability, price, safety, quality and durability of
these items rest solely with the respective manufacturers. Ford assumes no liability for their use.
@Ford is available online at www.at.ford.com. The magazine is available six times a year in racks at all Ford facilities in the U.S. and Canada, and
mailed to retirees. Retirees may opt out of mail delivery, opt in for an e-mail copy or make @Ford address changes at: FWINFO ford.com.

June 2010 | 1
Local

Ford named in Top 25


Innovative Companies Racing for a cure
of 2010
Ford Motor Company
Bloomberg is proud of its 16 years of
BusinessWeek support for the Komen
recently Race for the Cure. To date,
recognized Ford has dedicated over
Usher and John H. Johnson Ford Motor $105 million to the cause
Receive Ford Freedom Award Company for with over 50,000 employees
being one of participating in the Race in
At the 12th Annual Ford Freedom Awards John H.
the 50 Most their local areas.
Johnson and Usher Raymond IV, popularly known as
Innovative On May 22, Detroit hosted
Usher, were honored.
Companies in 2010. Ford moved its 19th Annual Race for the
Johnson, founder and publisher of Johnson
from 31 to 13 in the annual Cure with about 2,000 people
Publishing, received the Ford Freedom Award.
rankings. Ford is making some joining the Ford team. To find
Usher, chairman and founder of Usher’s New Look
headway in the survey not only a local race near you visit
Foundation, was awarded the Ford Freedom Scholar
because of a fresh new lineup but www.komen.org.
Award.
also its decisions to invest in such Also, check out the latest
“I am truly honored to be named the Ford Freedom
emerging markets as Brazil. Warriors in Pink apparel at
Award Scholar and applaud the program for
Of the Top 25 ranked companies, www.shopwarriorsinpink.com.
encouraging youth as leaders and entrepreneurs,”
the majority were based outside of
Usher said. “Young people have the power and
the United States. The survey is
ability to create great changes in our communities
based off information gathered by Visit the “Photos & Videos” box
and the world. It is up to all of us to ensure youth have
Bloomberg BusinessWeek’s www.at.ford.com
the support, training and mentors to make their
partner Boston Consulting Group. 2010 Race for the Cure
dreams realities.”

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2 | June 2010
Corporate news

Lincoln brand to expand,


Mercury phases out
As Ford continues the growth of the Ford brand, it is What changed for the Mercury brand?
expanding and enhancing its Lincoln brand lineup with seven During the past year or so, we’ve seen such an improvement in
all-new or significantly refreshed vehicles in the next four years. the Ford brand. To put it into perspective, the Ford brand’s market
Ford also will end production of Mercury vehicles in the fourth share has grown 2.2 percentage points this year alone. Mercury’s
quarter of this year to devote its financial, product development, overall market share is 0.8 of a percentage point. The Ford
production and marketing, sales and service resources toward brand’s improvement has been twice Mercury’s overall market
the continued growth of its core Ford brand while enhancing share, and customers really like our new Ford product lineup.
the Lincoln brand. Can you share details on plans for the Lincoln brand?
Mark Fields, president of The Americas, shares more insight We have a very clear vision for Lincoln. We are going to take
on this announcement. specific actions, including:
How does this help deliver on our ONE Ford plan? • Lincoln’s first-ever C-segment vehicle
This is really the continued evolution of executing our • New Lincoln-exclusive powertrains, including an all-new
ONE Ford strategy. It all starts with being very consistent V-6 and advanced fuel-efficient transmissions
and very devoted to having world-class products come into • EcoBoost™ engines available in all Lincolns – from the
the market place from either Ford or Lincoln. Also, staying Navigator full-size SUV to the new C-segment Lincoln
focused on our four product pillars of Quality, Green, Safe • Fuel economy leadership with each new vehicle – leading
and Smart. It’s just the next step in the ONE Ford plan and to Lincoln emerging as the most fuel-efficient luxury lineup on
the next step in profitably growing our business and bringing the market
satisfied customers along the way. • More useful technology and features than any other
Why is this the right time to take action? competitor – with a special focus on comfort and convenience.
Although a difficult decision, we think this is the right time to New advanced features include: fully retractable glass roofs;
take this action on Mercury. We’ve gone though our normal adaptive computer-controlled suspensions; electronic, push-
process this spring where we review and lock in our business and button gear-selectors; active noise control; and exclusive
product plans. It became evident that as we’ve seen the strength MyLincoln Touch™ driver connect technology
of the Ford brand accelerate, many customers who would be What should our message be to friends and family?
purchasing Mercury products have migrated to Ford vehicles. I think we should all recognize that as employees we are
So, we felt this was the optimal time to make this decision. Not the best advocates for promoting the Ford business and the
only will it allow us to focus the majority of our efforts further Lincoln business. There is information available to employees
accelerating improvements we’ve seen in our Ford portfolio, but here in the magazine and on @Ford Online. I encourage you
also allow us to focus more on bringing Lincoln to the next level. to educate yourselves and help get the story out.

mercury history
holds 0.8 percent U.S. with just under 400 1992 2006
market share horsepower. Boss 302/ First Mercury Villager Mercury Milan is
Boss 428 Cobra Jet minivan is built introduced. A hybrid
1955
The Mercury Montclair is powertrain options at Ohio Assembly Plant version follows for 2010
offered in 1970
introduced 1996 2010
1963-64 1975 Mercury enters the SUV The current Mercury
First Mercury Marauders Grand Marquis market with Mountaineer lineup consists of four
and Comet Cyclones nameplate introduced models – the Milan and
and goes on to become 2005 Mariner, along with their
1938 from the Lincoln-Mercury debut at the dawn of the Mercury Mariner is
The first model, the Division muscle car era Mercury’s longest- hybrid versions, the Grand
running, best-selling introduced. A hybrid Marquis and
1939 Mercury 8, goes 1950 1966 nameplate, with more version is added for the Mountaineer
into production. It sold The one-millionth The 1967 Cougar is than 2.7 million sold 2006 model year
for $916 and boasted a Mercury, one of 293,658 introduced as “America’s
95-horsepower V-8. Sales vehicles manufactured by first luxury/sports car 1983
for the first year total the division this year, rolls Topaz is introduced as a
at a popular price” and
65,884 vehicles off the line 1984 model
named Motor Trend’s Car
1945 1953 of the Year 1985
Lincoln-Mercury Division Sable, offered as a
The height of Mercury’s 1968
was established success came in 1953 space- and fuel-efficient
The Cougar XR7/XR7
1949 when the division held GT-E and GT-G (Gurney) front-wheel-drive sedan
The 1949 Mercury was 5 percent total market highlighted the pinnacle and station wagon, is
the first new offering share. Today Mercury of Mercury performance introduced

June 2010 | 3
Smart

MyFord Touch encourages


drivers to improve fuel efficiency Click to @Ford Online
for more information
www.at.ford.com
By Kristopher Spencer

When it comes to achieving the SmartGauge


best possible fuel efficiency, the with EcoGuide
way you drive can be nearly as cluster
important as the vehicle you drive. provides real-
Ford’s new MyFord Touch™ time fuel
driver connect technology economy data
continues to build on the fuel and illustrates
efficiency coach, SmartGauge™ good
with EcoGuide, which debuted in performance
the 2010 Ford Fusion Hybrid and through a
Mercury Milan Hybrid and the growing
2011 Lincoln MKZ Hybrid. The graphic of
leaves and
flowers.
“We have
learned that
when we
provide drivers
the information
and tools in an
interactive and entertaining way, MyFord Touch’s fuel-economy
they want to drive more fuel feedback and fuel-efficient driving
efficiently,” said Jim Buczkowski, techniques – they can achieve a
Eco-driving tips director of Global Electrical and
Electronics Systems Engineering.
noticeable increase in fuel
efficiency,” said Jennifer Brace,
Eco-driving techniques tested by Ford showed “MyFord Touch provides an Ford user interface design
that motorists coached in eco-driving can unprecedented level of engineer.
significantly improve the fuel economy information and interaction so Additionally, MyFord Touch
performance of their vehicles. Here are simple drivers can make the choice to be enables drivers to monitor and
tips that any driver can use: more fuel efficient.” track their vehicle’s fuel economy
1. Slow down and watch speed MyFord Touch now also offers performance and miles-per-gallon
2. Accelerate and brake smoothly drivers a new option to reach their averages for the past five, 10 and
3. No prolonged idling destination. In addition to the 30 minutes. This data appears in
fastest and shortest routes an Eco- real-time as a bar chart next to the
4. Check your tires
Route will also be suggested. fuel gauge on the display. The data
5. Keep up with maintenance The Eco-Route will not displayed can be customized by
6. Travel light necessarily be the fastest or the drivers to meet their needs and
7. Minimize use of heater and air conditioning shortest route; however, it is the hone their eco-driving skills.
8. Close windows at high speeds most fuel efficient. The option “MyFord Touch not only gives
charts a route avoiding congested drivers information they can use
9. Choose the right oil
freeways while maximizing the to improve their driving habits,
10. Consolidate trips use of major roads, allowing the but also expands on that
For additional information on how to save on driver to maintain an efficient rate capability by engaging the
gas, visit the Driving Skills for Life Web site and of speed. In testing the new Eco- navigation system to give drivers
click on the “eco-driving” module. Ford’s eco- Route, Ford of Europe engineers a variety of options,” Brace said.
driving initiative builds on the Alliance of achieved up to a 15 percent “The benefits will be greater
Automobile Manufacturers’ comprehensive improvement in fuel economy. because MyFord Touch and
nationwide effort to promote eco-driving at “When drivers use Eco-Route – MyLincoln Touch will be widely
www.EcoDrivingUSA.com. particularly in combination with available in the future.”

4 | June 2010
At Davey, we have been proud Ford customers
for as long as we can remember. Now we’d like
to say thanks. For a limited time, Ford employees
and retirees can take advantage of a free tree and
landscape inspection, and 10% off of pruning,
removal or deep-root fertilization services. Visit
davey.com/ford for details and restrictions.
800.445.TREE ext. 428
see more photos at davey.com/ford

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June 2010 | 5
Teamwork

Ford dealers help drive


consumer experience, growth
By John Fossen

Bolstered by a steady flow of Comparing his vision of a Ford job,” said Chris Lubbers, new car
new products, increased sales, dealership to an Apple store – with sales manager, Lubbers Ford in
and a steadily improving image, its friendly, well-informed staff, Cheney, Kan. “Ford is hitting
Ford and its dealers have reachedbreadth of product and speedy everything that is hot with
a key conjuncture in the transactions – Mulally urged an customers – quality, fuel economy,
company’s history. even closer working relationship power, styling – they’re hitting it
“We have built such good will, with dealers to dramatically everywhere.”
based on the strength of our improve the customer experience Lubbers was among 1,800 Ford
products, creating a strong at Ford dealerships as a means of dealers and dealership personnel
business – and we care – that we further differentiating the who attended the show.
are in a place now where we can company from its competitors. One of the highlights was a drive
really take Ford soaring,” Ford The challenge is to go beyond event that matched Ford’s newest
President and CEO Alan Mulally simply satisfying customers, said products against key competitors.
Ford dealers told dealers and Ford employees Frederiek Tony, vice president, According to Terry Kidd, dealer
look to emulate
the Apple during the 2010 Ford Dealer Ford Customer Service Division. principal of Kidd Ford Lincoln
consumer Introduction Show last month “The fact is that customers can Mercury in Morrison, Tenn.,
experience. in Detroit. be completely satisfied with their Fiesta won easily over the Toyota
retail experience and still not buy Yaris and Honda Fit.
from us again because they “There really is not much
haven’t developed an emotional competition. There is so much
connection. But loyal customers more content to Fiesta. The car
are much more engaged itself doesn’t feel like a small car.
emotionally and wouldn’t dream It looks and feels so much nicer,”
of going anywhere else,” Tony said Kidd.
explained. Fiesta is part of an aggressive
Ford hopes to wrap a superior new-vehicle launch this year that
consumer experience around its also includes the new 2011 Ford
“Virtuous Circle” strategy, which Edge – the first vehicle to offer
consists of World-Class Products, MyFord Touch™ driver connect
Effective Communications, technology – the new 2011
Strong F-Series Super Duty® and three
Brands, and new powertrains for the 2011
“Your confidence in our Ford Mustang.
Net Revenue
business strategy, along Growth. Ken Czubay, vice president of
with your dedication, John Felice, U.S. Marketing Sales and Service,
has helped us prepare general who opened the meeting, thanked
for what’s ahead. … manager, the dealers for their support of the
Ford, Lincoln company during the tumultuous
I have never been more
and Mercury time since the last dealer intro
proud than I am today in Marketing, show in 2008.
what we’ve been able to took dealers “Your confidence in our
accomplish as a team.” through the business strategy, along with
four elements, your dedication, has helped us
– Ken Czubay, vice president of U.S.
noting key prepare for what’s ahead. And
Marketing Sales and Service
successes, on a personal note, I have never
including been more proud than I am
vehicle transaction prices, which today in what we’ve been able
are part of Net Revenue Growth. to accomplish as a team,”
“The company is doing a great Czubay said.

6 | June 2010
Sales

Ford sales climb


23 percent in May U.S. Vehicle Sales
2010 Year-to-Date
By John Fossen Top-Selling Cars and Trucks
2011 Ford Mustang Rank Nameplate Units Sold
Ford’s U.S. sales were up 23 percent orders.
in May, the sixth consecutive month The managers had about 5,000 units 1 Ford F-Series 193,843
the company’s combined Ford, available, but dealers wanted 12,000,” 2 Chevrolet Silverado 135,788
Lincoln and Mercury brands Pipas said.
3 Toyota Camry 125,804
increased more than 20 percent The new Fiesta is one reason Bank
compared to year-ago levels. of America Merrill Lynch Senior 4 Honda Accord 122,725
“Our laser focus on fuel efficiency Research Analyst John Murphy sees 5 Toyota Corolla/Matrix 118,625
and quality is paying off for our Ford market share increasing during 6 Honda Civic 107,127
customers and for Ford,” said Ken the 2011 to 2014 models years.
Czubay, vice president, U.S. Murphy’s annual “Car Wars” report
7 Nissan Altima 96,195
Marketing Sales and Service. “Our uses product cycle plans and 8 Ford Fusion 92,763
customers are rewarded because Ford showroom age information to 9 Chevrolet Malibu 87,597
resale values continue to increase at a forecast future market share trends.
10 Ford Escape 83,440
rate higher than the overall industry – “Ford’s recent gains should
and they are rewarding us with continue, with share reaching the 17 11 sales
Chevrolet Impala 75,040
increased purchase consideration.” to18 percent range, supported by a 12 Ford Focus 74,635
F-Series sales surged 49 percent in solid product cadence,” stated Murphy 13
TO COME
Hyundai Sonata 71,478
May. Sales of Ford’s E-Series van were in his report released May 26. “We
up 34 percent while Transit Connect believe this will be driven by the
14 Honda CR-V 70,829
posted its best sales month yet. relative strength of its product 15 Dodge RAM 68,999
Fusion sales climbed 13 percent, launches, which are increasingly 16 Toyota RAV4 68,427
setting a new May record for the leveraging Ford’s global platforms.”
17 Chevrolet Cobalt 67,253
company’s midsize car, and Taurus
sales rocketed 98 percent. Mustang Ford maintains 18 Chevrolet Equinox 55,500
recorded its highest retail share for leadership in Canada 19 Toyota Prius 55,041
any month in a year. Ford of Canada reported a 19 percent 20 Chrysler Town & Country 51,342
The Ford lineup becomes more increase in May sales compared to the
formidable when the new, award- same period a year ago. Strong
21 Ford Edge 47,854
winning 2011 Fiesta subcompact performances from the Ford Taurus, 22 Mazda3 47,793
debuts at Ford dealers throughout the Ford Edge and Lincoln MKX, which 23 Nissan Versa 47,775
country. Ford U.S. Sales Analysis saw increases of 242 percent, 65
24 VW Jetta 46,173
Manager George Pipas says demand percent and 74 percent, respectively,
for new car appears to be very strong. helped to drive the results. With year- 25 Ford Econoline 45,516
“A month ago our zone managers to-date sales up 25 percent, Ford Source: Manufacturers’ Reports
visited dealers to take June production continues to lead the market.

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

OTHER

1.8 0.4 0.8 0.9 0.3 0.8 +0.1 0.3


25%
MARKET SHARE PERCENTAGE

20

15

10

0
16.7%* 18.8% 9.2% 15.0% 10.4% 8.0% 7.3% 14.6%

Source: Manufacturers’ Reports


*Does not include Volvo June 2010 | 7
Quality

Perception catches up to reality


as Ford achieves quality gains
Further demonstrating its our real-world improvements begin Traylen, chief economist for ALG.
strong business results and gains to fully register with consumers,” ALG attributes several factors to
over the past two years, Ford was said Jim Farley, Ford’s group vice Ford’s improvement in perceived
named the most improved brand president, Global Marketing. quality. Ford improved vehicle
last month in the Automotive “The benefits of improved quality and launched well-received
Lease Guide (ALG) study with a perception of quality are huge – products and avoided bankruptcy
7.6 percent improve- from market share to residual and a taxpayer bailout, unlike its
ment over the fall of values and purchase domestic competitors. Ford also
2009. In the study, Ford considerations.” has limited brand-damaging
also achieved the largest ALG noted that Ford residuals incentive spending and daily rental
gain of any automaker in have seen a “huge upswing.” fleet sales.
ALG’s latest Perceived Ford’s average residual gained ALG notes that the new Ford
Quality score. U.S. $2,420 (January-June 2010 Taurus and Fiesta have been well
These improving residual guides) compared to the received by the press and public.
perceptions of Ford’s quality have year-ago period; the average “Customers want to see that you
been key to the company’s brand change was about $615. can be reliable in your quality
continued market share gains and “Ford’s goals have been month after month, year after
improved resale value. supported by an entire portfolio of year,” Farley said. “Demonstrating
“We have made huge strides in all-new or redesigned products steady improvements in initial and
vehicle quality in recent years but that have been well-received both long-term durability over time is
customer perceptions don’t change in the marketplace and among helping us close the gap between
overnight – so it is gratifying to see automotive critics,” said Matt perception and reality.”

8 | June 2010
Product

Tow like a pro with 2011


F-Series Super Duty
By Jeff Majeske

As vacation season begins, Super tow with more confidence.”


Duty customers are towing their Providing an additional level of
boats, trailers and campers all over confidence and control while tow-
the country. The 2011 Super Duty ing is the latest Ford technology, Super Duty customer,” said Scott. Nearly 72
provides best-in-class capability Trailer Sway Control, which uses “That’s why it’s so important to percent of
and segment-first technologies, Ford’s AdvanceTrac® with RSC provide the 2011 Super Duty cus-
Super Duty
allowing customers peace of mind (Roll Stability Control™). The sys- customers
tomer not only the most capability, consider towing
as they tow a wide array of loads – tem uses sensors to measure wheel but also the right technology to capability as
for work or pleasure. speed, throttle position, steering tow more confidently.” “extremely”
“The 2011 Ford F-Series Super wheel angle, yaw rate and lateral Helping provide towing power important.
Duty has class-leading capability, acceleration as well as an exclusive is the all-new Ford-designed,
but the key is putting it to work in gyroscopic roll-rate sensor. engineered and built 6.7-liter V-8
a way that is easy and seamless Key to the Ford system is the turbocharged diesel engine for the
for the customer,” said Doug roll-rate sensor, using real-time 2011 Super Duty touting best-in-
Scott, Truck Group marketing input instead of calculations to class horsepower, torque and fuel
manager. “About 95 percent of take countermeasures. When the economy. The engine will enable
our Super Duty customers tow. system detects a trailer yawing, it increased towing control that
The wide array of standard and applies asymmetric braking to customers will experience. The
available technology in the 2011 reduce the sway. new 6.7-liter Power Stroke® V-8
Super Duty can help customers “The towing customer is the turbocharged diesel engine’s
integrated exhaust brake
increases engine exhaust back
pressure when
needed to help
slow the vehicle Visit the “Photos & Videos” box
and trailer while in www.at.ford.com
tow/haul mode. 2011 Ford Super Duty Ad Campaign
“The 2011 Ford
F-Series Super Duty delivers
class-leading towing capability
that the customer can manage
seamlessly and confidently, which
is a combination our competitors
can’t match,” said Scott.

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June 2010 | 9
Cover story

2011 Fiesta
arrives in North
America
Set to change
perceptions
of small cars
By Keith Price

Fiesta aims to set a new small-car awareness for


benchmark in small-car style, safety, Fiesta,” said
Brand Manager
value and technology when it arrives Sam De La Garza.
in North American Ford dealerships “First, Fiesta has
this summer. been continuously
Delivering 40 highway miles per available in
gallon, Fiesta gives buyers class- Europe since
leading fuel economy without 1976 – with over
asking them to make compromises 13 million sold –
in performance, ride comfort or so many globe-
interior quietness. trotting car buyers
Fiesta arrives with brand name are aware of the
recognition pushing 60 percent vehicle. Second, we’ve been very than 750,000 Flickr views and
among small car shoppers. This is active in the social media space. more than 4 million Twitter
impressive awareness, especially The Fiesta Movement – putting impressions.
for a nameplate unavailable in 100 social media activists behind Fiesta Movement Chapter 2
North America since the 1980 the wheel of European-spec hit the streets in March 2010,
model year. models, and asking them to blog, consisting of 20 teams of two
It didn’t happen tweet and post their experiences – agents each. Still rooted in social
by accident. really put Fiesta top-of-mind media, Chapter 2 is bringing agent-
Click to @Ford Online
for more information “Two elements among youthful, active and media- generated content to new media
have really driven savvy target customers.” platforms and localized audiences.
www.at.ford.com
pre-launch brand Fiesta Movement “agents” It’s a pretty big deal
delivered, with benefits. The ad campaign for the new
Collectively, Fiesta agents drove Fiesta is built around the theme,
more than 1.5 million miles. Video “It’s a pretty big deal.”
documentations of agent The whimsical 60 second
escapades – philanthropic, television ad that debuted during
cultural and adventuresome American Idol takes center stage
“missions” – generated more than this summer at theaters before
6.2 million YouTube views, more projected blockbuster hits like

10 | June 2010
2009/10
Blueprint for Sustainability

The Future at Work SEE OUR FULL REPORT


www.ford.com/go/
sustainability
“Creating a strong business and building “We are providing affordable fuel economy
a better world are not conflicting goals for millions of customers by introducing
– they are both essential ingredients for fuel-saving technologies across a wide
long-term success.” range of vehicles.”

William Clay Ford, Jr. Alan Mulally


Executive Chairman President and Chief Executive Officer

Welcome We are optimistic about Ford’s future possibilities. This is one


Message from the Executive Chairman of the most exciting times in our industry since mass automobile
and President and Chief Executive Officer production began more than a century ago. New technologies
are radically transforming some of the most fundamental and
In 2009, Ford Motor Company successfully weathered the enduring elements of the automobile. The companies that lead
worst business environment in generations, posting our first full these changes will create new “green” jobs and generate profits
year of positive net income since 2005. Our market share grew while reducing fuel use and CO2 emissions, benefiting both the
in North America, Europe and South America, while sales economy and the environment.
increased in the rapidly growing Asia Pacific and Africa region.
As a global community, we have the opportunity to forge a
These results show that our ONE Ford plan is working: we are compelling vision to contribute to addressing the issues of
building great products, a strong business and a better world. economic growth, energy independence and environmental
During 2009, we: sustainability. We see two key enablers of progress in these
t 4UBZFEPOUSBDLUPTVSQBTTPVSQSPEVDUDBSCPOEJPYJEF areas: technologies and innovation will provide the solutions,
(CO2) goal, which calls for a 30 percent reduction in the CO2 while collaborative partnerships and a systems approach will
emissions of our new U.S. and European vehicles by 2020, help us implement them.
compared to the 2006 model year.
Collaboration and innovation are the foundation of our work in
t *OUSPEVDFEUXPOFXIZCSJEFMFDUSJDWFIJDMFTBOETFWFSBM
areas ranging from vehicle electrification to human rights in our
other vehicles that achieve best-in-class fuel economy.
supply chain. Ford has a proud heritage of improving people’s
t $VUHMPCBMXBUFSVTFCZQFSDFOUBOEJNQSPWFEFOFSHZ lives and making their world a better place. We want to build on
efficiency in North America by 4.6 percent. Since 2000, we this by being recognized as a trusted partner and operating
have cut energy use at our global facilities by 44 percent. responsibly and sustainably wherever we do business. Through
t 'VSUIFSJNQSPWFEWFIJDMFRVBMJUZ QVUUJOH'PSEPOQBSXJUIPS a decade of work and a disciplined reinvention of our Company,
better than the best in the business, according to several we have built sustainability into our business model.
global third-party assessments.
t 3FDFJWFEUIFNPTU5PQ4BGFUZ1JDLTGSPNUIF64CBTFE Our Company has been through some tough times, but we
Insurance Institute for Highway Safety of any automaker – have emerged leaner, stronger and more focused. With the
19 Ford vehicles in total – and introduced a range of support of our stakeholders, we are creating an exciting and
safety innovations. viable company poised to deliver profitable growth for all.
SUSTAINING
FORD

Fusion Hybrid
We’ve doubled our hybrid vehicle production, and we’re on
the way to delivering the first of our pure battery electric and
plug-in hybrid vehicles.

More about sustaining Ford


www.ford.com/go/sustainability

After enduring several of the most difficult years Ford is steadfastly focused on creating a strong business that
builds great products that contribute to a better world. We continue
in our Company’s history, Ford turned a corner to press forward to globalize vehicle platforms that can be adapted
in 2009. In the face of a global economic and to meet specific regional needs. Flexible manufacturing capabilities
financial crisis, as well as unprecedented events allow us to bring products to market with greater speed and
efficiency than ever before.
in the U.S. automotive industry, Ford posted the
first full year of positive net income since 2005, We believe that we have been able to weather these last difficult
years because our business and our sustainability strategies are
and a $17.5 billion improvement over 2008. aligned and intertwined. But we’re far from complacent, and we’re
continuing to address adverse conditions. Notwithstanding many
Despite the continued economic slump of 2009, which included the positive signs of an economic recovery, the global business
bankruptcies of two domestic competitors and a nearly 40 percent environment remains extraordinarily challenging, with increasingly
cumulative drop in new vehicle sales in the U.S. since 2005, we intense competition from other automakers.
gained market share in most of our business units across the globe,
including our first full-year market share gain in the U.S. since 1995. Our path toward long-term viability began well before the
recent economic downturn began. We have been fundamentally
Based on Ford’s improving performance, the gradually restructuring our operations in ways that impact every part of our
strengthening economy, and our present assumptions, we now business. We recognized that our business model needed to
expect to deliver solid profits this year with positive Automotive change, and we have been changing it.
operating-related cash flow.
One key element of that is our increased focus on a more balanced
Our progress in 2009 offers the strongest proof yet that our portfolio that includes more small and midsize vehicles, to respond
business strategy is successful and that we are forging a path to consumer demands. We’ve been very clear about our product
toward profitable growth through teamwork and leveraging global strategy to deliver improved fuel economy and reduced greenhouse
scale. Three years ago, we created the “ONE Ford” plan to guide gas emissions through advanced technologies. Our blueprint for
our business toward better times. We cascaded the plan across sustainability, which highlights how we will meet our product
our global organization. And we are executing the plan. CO2-reduction goal, has positioned us to lead in the industry.

Offering vehicles with smaller environmental footprints, tackling the


mobility challenges of rapidly growing urban centers, and tailoring
our products and services to increasingly diverse global markets are
not peripheral to Ford’s future success – they are central to it.

Our ONE Ford plan is anchored


by four key priorities: Read more online about:
t"HHSFTTJWFSFTUSVDUVSJOH t 0VSONE Ford plan
t"DDFMFSBUFEQSPEVDUEFWFMPQNFOU
t 0VSQMBOUPSFUVSOUPQSPGJUBCJMJUZ
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t 0VSTBMFTBOENBSLFUTIBSFUSFOET
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CLIMATE
CHANGE AND
MOBILITY

Ford Fiesta
We introduced our new Fiesta global small car in Europe in 2008
and in China in 2009. When it launches in the United States in 2010,
it is expected to have best-in-class fuel economy in its segment.

More about climate


change and mobility
www.ford.com/go/sustainability

Climate change has the potential to affect all t &YQBOEFEUIFHMPCBMVTFPGPVS&DP#PPTU™ engines, which
deliver up to 20 percent better fuel economy compared to
parts of our business and is interconnected to larger-displacement engines. Our new four-cylinder EcoBoost
other important issues – from water availability engine was introduced in Europe, and we announced plans to
and energy security to human rights and use it in China on the Ford Mondeo in 2010.
t &YQBOEFEPVSMJOFVQPGIJHIGVFMFGGJDJFODZ MPXDBSCPOFNJTTJPO
mobility. Ford has developed a comprehensive, ECOnetic vehicles in Europe, including the second-generation
science-based global strategy to reduce Focus and Mondeo. The Focus ECOnetic with stop/start
greenhouse gas emissions and processes while technology emits just 99 g/km of CO2.
working cooperatively with the public and private t *OUSPEVDFEUIF'JHPJO*OEJB BWBJMBCMFXJUIBDIPJDFPGGVFMFGGJDJFOU
engines, one gasoline and one diesel.
sectors to advance climate change solutions.
t -BVODIFEBNPSFGVFMFGGJDJFOU,BJO4PVUI"NFSJDBUIBUGFBUVSFT
We believe this strategy is one of the factors that improved gearing ratios and aerodynamics.
has helped to transform our Company’s current t "OOPVODFEUIFMBVODIJOPGUIF-JODPMO.,;)ZCSJE PVS
and future products and prospects. fifth hybrid offering, which is expected to be the most fuel-efficient
luxury sedan available in North America.
Our Goals t "OOPVODFEUIBUXFBSFEFMJWFSJOHPOPVSQMFEHFUPEPVCMF
In early 2008, we announced a goal to reduce CO2 emissions from the number of flexible-fuel vehicles produced in the United States
our U.S. and European new vehicles by 30 percent by 2020, relative by the end of 2010.
to a 2006 model year baseline. We also set out a technology t $PNNJUUFEUPJOUSPEVDFGJWFOFXFMFDUSJGJFEWFIJDMFT JO &VSPQFCZ
migration plan – embodied in our blueprint for sustainability – that 2013, including battery electric, plug-in hybrid and hybrid electric
details our near-, mid- and long-term product plans to meet this goal vehicles that will also be introduced in North America by 2012.
(see graphic opposite). Despite challenging economic conditions, we t *OUSPEVDFEUIF5SBOTJU$POOFDUUP/PSUI"NFSJDB DSFBUJOHBOFX
are making significant progress in implementing the plan and are on class of nimble commercial vans with outstanding fuel economy.
track to surpass the goal. In addition, we have committed that all our The Transit Connect will be the basis for Ford’s first 21st century
new vehicles will be best in class, or among the best in class, for fuel battery electric vehicle.
economy in their segment. During 2009, we expanded our analysis of
potential greenhouse gas emission reductions to include the products t "OOPVODFEBCBUUFSZFMFDUSJDWFSTJPOPGUIF'PDVT POFPGVQUP
we sell in Brazil and China. In this analysis, we compared our current 10 vehicles based on our new global compact car platform that
product plans to potential reductions aligned with long-term CO2 is expected to deliver up to 2 million vehicles annually by 2012.
stabilization at 450 ppm, and considered the impact of low-carbon
fuels. This is a step toward developing goals for these markets. We are on track to surpass our goal of a 30 percent reduction
in CO2 emissions from our U.S. and European new vehicles
Our Progress by 2020, relative to a 2006 model year baseline.
In every region of the world, we are advancing toward our goals by
introducing new products and technologies that significantly cut fuel Ford is actively working to address challenges and opportunities
consumption and emissions. For example, during 2009 and early posed by widespread use of electric – especially plug-in – vehicles.
2010 we: Such a shift could cut greenhouse gas emissions from vehicles,
t 3FEVDFE$02 emissions from our 2009 model year U.S. and increase the use of domestic energy sources, decrease pressures
European new vehicles by 12 percent and 6.7 percent, on petroleum stocks and reduce urban air pollution. But it will also
respectively, compared to the 2006 model year.
2007 2011 2020 2030
NEAR TERM MID TERM LONG TERM
Begin migration to advanced technology Full implementation of known technology Continue leverage of hybrid technologies and
Significant number of vehicles with EcoBoost engines available in nearly all vehicles deployment of alternative energy sources
EcoBoost engines Electric power steering – high volume Increased percentage of internal combustion
Electric power steering Six-speed transmissions – high volume engines using renewable fuels
Dual clutch and six-speed transmissions Weight reduction of 250–750 lbs. Volume expansion of hybrid technologies
replace four- and five-speeds Engine displacement reduction facilitated Continued leverage of plug-in hybrid and
Flexible-fuel vehicles by weight reductions battery electric vehicles
Additional hybrid applications Additional aerodynamics improvements Introduction of fuel cell vehicles
Increased unibody applications Increased use of hybrids Clean electric/hydrogen fuels
Introduction of additional small vehicles Introduction of battery electric and plug-in Continued weight reduction through
Battery management systems hybrid vehicles use of advanced materials
Aerodynamics improvements Vehicle capability to fully leverage available
Stop/start systems (micro hybrids) renewable fuels
$/(-1(QSFQFOHJOFTBWBJMBCMFJO Diesel use as market demands
select markets Increased application of stop/start

SFRVJSFVOQSFDFEFOUFEMFWFMTPGDPMMBCPSBUJPOBOEQBSUOFSTIJQ World Business Council for Sustainable Development’s Scope 3


between automakers, government officials, utilities, transportation road testing projects – both as a way to better understand
providers and information technology companies. greenhouse gas emissions in our supply chain. Ford is the only
automaker participating in these two initiatives.
A wide range of stakeholders will need to work together to develop
charging infrastructure, integrate electric vehicles with electric Climate Change Policy
utilities, and knit vehicles and grids together into an efficient system. We are committed to advocating for effective and appropriate
During 2009 and early 2010 we: climate change policy in the United States and around the world.
We are an active member of the U.S. Climate Action Partnership
t 8PSLFEXJUIBDPBMJUJPOPGVUJMJUJFT UIF64%FQBSUNFOUPG (USCAP), a coalition of diverse stakeholders that has released
&OFSHZ UIF/FX:PSL4UBUF&OFSHZ3FTFBSDIBOE%FWFMPQNFOU consensus recommendations for U.S. climate protection legislation.
"ENJOJTUSBUJPO BOEUIF&MFDUSJD1PXFS3FTFBSDI*OTUJUVUFUPUFTU The recommendations represent a balanced and integrated
a fleet of Ford-provided plug-in hybrid vehicles. approach to key linked issues that must be addressed in any
 OOPVODFEBDPMMBCPSBUJPOXJUI.JDSPTPGU® on new energy
t " national climate legislation; however, we recognize that the
management software that will help owners of plug-in electric recommendations are not the only possible path forward. Our CO2
vehicles determine when and how to recharge their vehicles, product goal is aligned with the USCAP recommendations and with
while giving utilities better tools for managing the expected the broad goal of climate stabilization. The goal also aligns our
changes in energy demand. product plans to meet or exceed recently announced fuel economy
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t $
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several U.S. cities to explore sustainable mobility projects that
Mobility
incorporate electric vehicles and infrastructure.
Most automakers define sustainable mobility as reducing the
t 8
 PSLFEPOPUIFSJNQPSUBOUJTTVFTSBOHJOHGSPNTUBOEBSET environmental impacts of the vehicles they offer by cutting the
development to battery recycling. vehicles’ lifecycle greenhouse gases and other emissions.
As indicated by the previous discussion, we see this as an important
We’re also making progress in understanding and reducing our piece of the picture – and we’re working hard to achieve it.
climate footprint across our value chain. We reduced 2009
operational CO2 emissions by 9 percent globally compared to 2008 But there are other important pieces as well. By 2050, there will be
and earned our fifth consecutive Energy Star Award for Sustained nine billion people on Earth, 75 percent of whom will live in urban
Excellence from the U.S. Environmental Protection Agency. In areas. Putting nine billion people into private automobiles is neither
addition, we announced our participation in the Carbon Disclosure practical nor desirable.
1SPKFDUT4VQQMZ$IBJO*OJUJBUJWFBOEUIF8PSME3FTPVSDFT*OTUJUVUF
At Ford, our goal is to make mobility affordable in every sense of
the word – economically, environmentally and socially. We believe
that creative collaboration and innovative technologies and services
Read more online about: that integrate diverse public and private modes of travel can
harness the benefits of mobility while reducing its environmental
t '
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and opportunities and social impacts. By concentrating on providing affordable
t 0VSCMVFQSJOUGPSTVTUBJOBCJMJUZ transportation throughout the world and applying emerging
t $MJNBUFDIBOHFQVCMJDQPMJDZ
information technologies, we believe Ford can contribute to
addressing significant mobility challenges. For several years, Ford
t &MFDUSJDWFIJDMFT
has engaged with stakeholders – including municipal and state
t /FXNPCJMJUZ
government officials, utilities, transportation planners and NGOs –
to envision mobility solutions and pursue their implementation.
2010 Ford Taurus
The 2010 Ford Taurus is one of the safest-rated large sedans
sold in America. It received five-star NCAP crash ratings for
frontal and side impact and “good” IIHS ratings in offset frontal
impact, side impact, roof strength and rear impact evaluations.
VEHICLE
SAFETY

More about vehicle safety


www.ford.com/go/sustainability

Vehicle safety is one of four principles that


In 2010, Ford is bringing to market the
inform and guide Ford’s every design and
world’s first automotive inflatable seat
engineering effort,1 and we continually work to belts, combining traditional seat belt
raise the bar on safety. Based on the following and air bag technologies to help reduce
independent measures, Ford remains an head, neck and chest injuries for rear
seat passengers.
industry leader in motor vehicle safety.
t 'PSEIPMETUIFNPTU5PQ4BGFUZ1JDLT BXBSEFECZUIF*OTVSBODF Ford’s voice-activated SYNC® technology, first unveiled in 2007,
Institute for Highway Safety, or IIHS) of any vehicle manufacturer. encourages drivers to use voice controls with hand-held devices such
Nineteen Ford vehicles earned this honor in 2009. as cell phones and MP3 players, enabling them to keep their eyes on
t 'PSUIFNPEFMZFBS 'PSEWFIJDMFTSFDFJWFEGJWFTUBS the road and hands on the wheel. For example, when a text message
ratings for both frontal impact and side impact from the National arrives to a driver’s cell phone, SYNC can read it aloud through
Highway Traffic Safety Administration (NHTSA) in its U.S. New text-to-speech technology and then provide a list of canned replies for
Car Assessment Program (NCAP) ratings. the driver to select rather than key-in manually. Also, SYNC locks out
certain features (such as adding or editing a phone book contact)
t *O'PSETNPTUSFDFOU&VSP/$"1BTTFTTNFOUT UIF'PSE,VHB
XIJMFESJWJOH'PSETJOOPWBUJWF.Z,FZ™UFDIOPMPHZBMTPIFMQTQBSFOUT
and Ford Fiesta achieved Ford’s first three-star ratings for
FODPVSBHFUIFJSUFFOBHFSTUPESJWFNPSFTBGFMZ.Z,FZBMMPXTPXOFST
pedestrian protection. These cars also joined the Focus, Mondeo,
to program a key that can, for example, limit the vehicle’s top speed
S-MAX and Galaxy in having best-in-class, five-star adult
to 80 mph and mute the audio system until the safety belt is buckled.
protection and four-star child protection ratings.
'JOBMMZ PVS'PSE%SJWJOH4LJMMTGPS-JGF '%4'-
QSPHSBNJODMVEFT
Preventing Distracted Driving
JOTUSVDUJPO CPUIPOUIF'%4'-8FCTJUFBOEBUiSJEFBOEESJWFTw
3FDFOUMZ EJTUSBDUFEESJWJOHIBTSFDFJWFETJHOJGJDBOUQVCMJDBUUFOUJPO
for teen drivers) on the importance of avoiding distracted driving.
as a contributing factor in motor vehicle crashes. Ford has been
*O '%4'-BDUJWJUJFTXFSFDBSSJFEPVUJOOJOF64TUBUFT BOE
conducting research on distracted driving for many years, and
the program’s reach was expanded in the Asia Pacific region, where
we’ve recently taken a number of important actions to address it.
roughly 11,000 drivers were trained. Operation Teen Safe Driving
– a joint effort between Ford and the state of Illinois that is modeled
In 2009, Ford was the first vehicle manufacturer to support the
PO'%4'-oIBTDPOUSJCVUFEUPSFBMSFTVMUTUIFTUBUFIBTTFFOB
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49 percent reduction in teen fatalities in the three years since the
handheld texting while driving. Ford also clarified its employee
program was launched.
policies to explicitly ban the practice.
Supporting Collaborative Research
On the research side, Ford is a leader in efforts to assess and verify
the effectiveness of active safety technologies. In January 2010, a
Read more online about: DPOTPSUJVNPGQBSUOFSToMFECZUIF'PSE&VSPQFBO3FTFBSDI
t .BOBHJOHWFIJDMFTBGFUZ Center in Germany – joined forces in the Accident Avoidance by
t "DDJEFOUBWPJEBODFBOEPDDVQBOU Active Intervention of Intelligent Vehicles (interactIVe) project. The
protection technologies consortium seeks to support the development and implementation
t 3FTFBSDIPOEJTUSBDUFEESJWJOH of active safety systems, and includes seven automakers, six
suppliers and 14 research institutes.
1
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More than 180,000 of our suppliers’ workers have been trained
in human rights based on Ford and joint automaker supplier
outreach programs.
HUMAN
RIGHTS

More about human rights


www.ford.com/go/sustainability

Ten years ago, stakeholders challenged Ford to t Engagement with Key Suppliers’ Corporate Management:
Ford is working with its strategic production suppliers at the
take a leadership role in addressing human rights corporate level to enhance their policies, verification systems
issues in the automotive industry by developing and ability to influence their own supply chains. Our 90 Aligned
systems and programs to ensure sound working Business Framework suppliers commit to manage and assure
proper working and environmental conditions in their facilities and
conditions in Ford facilities and our supply chain. supply chains, and we are measuring their progress in doing so.
We recognized compelling business reasons to t Collaboration within the Automotive Industry: Ford is driving
take up the cause: we believe that people are collaboration between automakers and supply chain companies
on global working conditions issues through the AIAG.
most likely to excel in an environment that aims
for excellence. We also understand the positive In early 2010, Corporate Responsibility Officer magazine ranked
impact our actions can have on our 176,000 Ford’s human rights efforts first among companies included in
employees and the million people who work its 100 Best Corporate Citizens list. Ford was also deemed one of
for companies in our supply chain. the World’s Most Ethical Companies by the Ethisphere Institute.
Ford was the only automaker to receive either recognition.
Today, Ford’s Code of Basic Working Conditions (CBWC), adopted
in 2003, applies throughout our global operations and our $65 billion Through these efforts, we have learned the importance of helping
TVQQMZDIBJO8FSFRVJSFPVSTVQQMJFSTUPFOTVSFUIBUPVSQSPEVDUTo to build the capability of suppliers to manage working conditions,
no matter where they are made – are manufactured under conditions rather than simply assessing their compliance with Ford and legal
that demonstrate respect for the people who make them. We are a SFRVJSFNFOUT UIPVHIBTTFTTNFOUTDPOUJOVFUPQSPWJEFJNQPSUBOU
signatory to the United Nations Global Compact and actively learnings). We continue to see significant potential for collaborative
QBSUJDJQBUFCZJOWJUBUJPOJOUIF)VNBO3JHIUTBOE4VQQMZ$IBJO action by automakers to establish a common, effective and efficient
Sustainability Advisory Groups convened by the Global Compact. approach to ensuring sound working conditions in the automotive
supply chain.
We aim to leverage Ford’s global supply chain to make a
positive impact in the markets in which we do business, using Beyond our own industry, we are working with government leaders
a three-pronged approach: to explore how to encourage multinational companies to act as a
positive force in protecting human rights in global trade, both
t Engagement with Individual Supplier Facilities: Training through work in their own supply chains and through advocacy.
and capability building form the basis of Ford’s supply chain
working conditions program, supported by assessments of
individual factories (totaling more than 600 to date). Through
Ford-administered programs and those conducted in conjunction
with other automakers and the Automotive Industry Action Group
(AIAG), we have trained 1,773 managers from 1,478 supplier Read more online about:
companies on systemic solutions to working conditions challenges. t 'PSET$PEFPG#BTJD8PSLJOH
5SBJOJOHQBSUJDJQBOUTBSFSFRVJSFE JOUVSO UPDBTDBEFUIFUSBJOJOH Conditions
to their own management and employees as well as to clearly t 0VSTVQQMZDIBJOQSPGJMF
communicate expectations to their suppliers, thereby expanding t 0VSTVQQMZDIBJOXPSLJOHDPOEJUJPOT
the impact significantly. training and assessment status
Performance Overview
We define sustainability as a business model that creates Below are some key indicators of our performance
value consistent with the long-term preservation and in these areas. See the full data set and notes at
enhancement of environmental, social and financial capital. www.ford.com/go/sustainability.

FORD DATA 2009/10


ECONOMY/QUALITY 2007 2008 2009
Global Quality Research System things gone wrong (three months in service), total things gone wrong per 1,000 vehicles 1,405 1,206 1,107
Global Quality Research System customer satisfaction (three months in service), percent satisfied 76 77 84
Sales satisfaction with dealer/retailer, Ford brand, U.S., net promoter score 82 84 82
Sales satisfaction with dealer/retailer, Ford brand, Europe, net promoter score 80 81 74
Service satisfaction with dealer/retailer, Ford brand, U.S., net promoter score 72 74 74
Service satisfaction with dealer/retailer, Ford brand, Europe, net promoter score 68 70 65
Shareholder return – Bloomberg total return analysis, percent -10 -66 337
Net income/loss, $ billion -2.7 -14.7 2.7
Sales and revenue, $ billion 172.5 146.3 118.3
ENVIRONMENT 2007 2008 2009
Ford U.S. fleet fuel economy, combined car and truck, miles per gallon (higher mpg reflects improvement) 25.3 26.0 27.1
Ford U.S. fleet CO2 emissions, combined car and truck, grams per mile (lower grams per mile reflects improvement) 352 340 326
Ford Europe fleet CO2 emissions, grams per kilometer (based on production data for European markets)
Ford 149 146 139
Volvo 190 182 173
Worldwide facility energy consumption, trillion BTUs 65.6 61.0 51.5
Worldwide facility energy consumption per vehicle, million BTUs 10.8 12.2 11.2
Worldwide facility CO2 emissions, million metric tons 6.1 5.4 4.9
Worldwide facility CO2 emissions per vehicle, metric tons 1.02 1.09 1.05
North American Energy Efficiency Index, percent (2000 base = 100 percent) (lower percentage reflects improvement) 74.4 69.9 65.3
SOCIETY 2007 2008 2009
Employee satisfaction, Pulse survey, overall, percent satisfied 64 66 68
Overall dealer attitude, Ford, relative ranking on a scale of 1–100 percent (summer/winter score) 69/64 68/69 80/71
Overall dealer attitude, Lincoln Mercury, relative ranking on a scale of 1–100 percent (summer/winter score) 66/64 64/66 71/66
Ford Motor Company Fund contributions, $ million 37 33 20
Corporate contributions, $ million 17 16 9
Volunteer corps, thousand volunteer hours 86 100 100
Lost-time case rate (per 100 employees), Ford Motor Company 0.9 0.7 0.6
Lost-time case rate by region (per 100 employees), Ford Motor Company
Americas 1.2 1.0 0.9
Asia Pacific and Africa 0.1 0.1 0.2
Europe 0.7 0.6 0.5
U.S. safety recalls, number per calendar year (including legacy vehicles on the road for 10+ years) 15 10 8
U.S. units recalled, number of million units (including legacy vehicles on the road for 10+ years) 5.5 1.6 4.51
IIHS Top Safety Picks, number of vehicles 6 14 19

1
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For additional notes to accompany this data go to the full report


www.ford.com/go/sustainability Contact Thomas A. Niemann
Preparing this summary offers a valuable Ford Motor Company
opportunity for us to assess and improve One American Road
upon our progress and performance. To Dearborn, MI 48126, U.S.A.
continue to do so, we need your feedback: sustaina@ford.com
Printed in U.S.A.
30% post-consumer waste paper. Please recycle.
Fiesta facts:
Small Car – Big on Safety
A class-leading array of seven air bags, including an
exclusive driver’s knee bag, AdvanceTrac® stability
control and a tire pressure monitoring system add
to unsurpassed occupant safety

Great Haste, Less Filling


120 horsepower, four valves per cylinder and 40 mpg
(highway). Have your cake, and eat it, too

Transformational
Transmission is
Automatically Economical
The Fiesta six-speed PowerShift Automatic is based
The Twilight Saga: Eclipse. Fiesta is the initial North on fuel-efficient manual transmission technology,
The Fiesta Web site features American offering to feature providing the user friendliness and accessibility of a
webisodes by popular Fiesta kinetic design language, both conventional automatic
Movement agents proving why inside and out. Aimed at conveying
the Fiesta is better than the a sense of driving dynamics – even Kinetic design helps you
competition. Additionally, the when standing still – Fiesta is to see, and be “seen in”
“Inspired by Color” and “What’s recognizable as a Ford, thanks to Dragon’s eye headlamps aid driver visibility, adding a
Your World?” campaigns reach out common cues such as the kinetic design cue that tells the world a stylish Ford
to African-American and Hispanic trapezoid-shaped lower grille. Fiesta and its driver are on the move
communities. Vibrant hues like the available
Fiesta momentum builds Lime Squeeze Metallic, Bright
The latest-generation Fiesta Magenta Metallic
just reaching North America and Yellow Blaze
has already sold more than Metallic make
750,000 units since it first went sure that
on European sale in late 2008. Fiesta – in
Asian markets welcomed Fiesta versatile
last year, where it is quickly five-door
gaining popularity. hatchback
From Brussels to Bangkok, or four-door
Fiesta offers small car buyers a sedan configurations –
stylish, fuel-efficient choice. shows its true colors.
Yet Fiesta doesn’t ask small car Inside, the Fiesta centerstack –
buyers to compromise on seemingly familiar in design and The Hatch is Back!
available luxury, technology or layout to the touch pad on a cell Fiesta is available as a four-door sedan or as a
interior quietness. Fiesta offers a phone – connects the console versatile five-door hatchback
total of 15 class-exclusive features to the instrument panel and
and technologies – many of which contains audio and HVAC Get your Boron!
are unavailable in higher-priced controls. SE series models feature
Fifty percent of the rigidly safe Fiesta body structure
vehicle segments. 25 percent recycled material in
is comprised of high-strength steels
From leather seating surfaces seating surfaces, helping Fiesta
with contrast-color piping to keep it green. “Tether your Teens” MyKey®
SYNC®, Ford’s voice-activated Its class-leading total of seven
MyKey speed and audio system limits helps parents of
communications and air bags – including a driver’s
young drivers to program peace-of-mind
entertainment system with traffic, knee air bag – effectively raises
directions and information, an the bar on small car safety. Thinks globally, acts
acoustic laminated windshield to With a global track record of locally
reduce road and wind noise, and a pleasing customers, Fiesta
returns to North America With more than 750,000 fuel-efficient new Fiestas
driver’s side knee air bag, Fiesta
to change the way people think already sold around the world, Fiesta arrives to lower
offers buyers more of what they
of small cars. your carbon footprint where you live, work and drive
want and value in a small car.

June 2010 | 11
Smart

American Journey 2.0:


A new road trip
By Andy Stoy

Normally a road trip setting out In the second Fiesta, three


from a college campus isn’t news. students from U-M – John in one of those fun situations, and
But for the occupants of two Ford Ciccone, Collin Hockey, Sang Park the car can then indicate that with
Fiestas that left the University of – used Caravan Track, an app they a tweet or blog post.”
Michigan-Ann Arbor (U-M ) on developed as part of a 12-week Caravan Track, the U-M
May 13, history was in the making. course called Cloud Computing in student app, allows clusters of
The weeklong journey – more a the Commute. vehicles traveling together to
research project than vacation – “We believe this is the first time track each other along the
marked the first ever social- vehicles will be socially connected journey. After identifying a route,
media-connected road trip. through the Internet during a users can see fellow travelers and
In one Fiesta, Ford engineers T.J. cross-country trip,” said Giuli, a view vehicle telemetry including
Giuli, Joe Rork, Ford research engineer. “All the fuel level and speed.
Follow AJ the Fiesta Joe Ross and Tom apps explore new boundaries in The app also tracks each vehicle,
on Twitter Alexander the use of digital tools to expand maps routes, sends alerts about
twitter.com/AJtheFiesta demonstrated social links.” stops along the way, and sends
three The Ford app “Auto”matic Blog text notifications about road
The American experimental in-car software attempts to elevate the car, dubbed conditions and hazards via a
Journey 2.0 programs, known as apps, @AJtheFiesta, to its rightful multiple choice interface that
introduces the
car as the next engineered by the Ford Research standing as an equal member of eliminates the need to type.
technology and Advanced Engineering the team. The car automatically Projects like American Journey 2.0,
platform. (R&AE) and IT teams. blogs or tweets statements about involving teamwork with univer-
the journey based on sity students followed by hands-
information it gathers on testing, represent a significant
from various vehicle data developmental shift for Ford.
sensors. “If we’re going to lead in
“For example, if one shaping tomorrow’s world-on-
assumes that a happy car wheels,” said Venkatesh Prasad,
is one that’s zipping group and technical leader of the
along an open road or Infotronics team in Ford Research
negotiating tight curves,” & Advanced Engineering, “we
explains Giuli, “the need a top talent pool from which
powertrain sensors can to draw.”
indicate to the car that it’s At the road trip’s final
destination, Maker Faire in San
Mateo, Calif., May 22, the U-M
students and Ford engineers had
the chance to share their work
with global leaders in technology
development.
“This event demonstrates that
we at Ford do not view cars and
trucks as just vehicles but as
platforms for development,”
Giuli said. “Whether someone
at Maker Faire is a car enthusiast
or a techie or a programmer,
we’ve invited them to come
interact with the vehicle and help
us shape the future.”

12 | June 2010
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June 2010 | 13
Racing

Gymkhana THREE
will unleash the Fiesta
By Alice Arutoff

Ken Block continues to make a large open area requiring drivers horsepower, but is restricted to
name for himself in the world of to skillfully maneuver their cars 650 horsepower to give Block the
rally racing. Block and co-driver around obstacles, 360 degree turns torque band he needs to control
Alex Gelsomino won the 100 Acre and figure eights. The course the car. Equipped with an
Wood Rally for the fifth time this encourages the use of acceleration, Olsbergs MSE Maktrak
year and Block is the only braking and of course, drifting. (magnesium) six-speed paddle-
American competing in the “The great thing about shift sequential transmission, it is
World Rally Championship. Gymkhana for me is that it is capable of 660 lb.-ft. of torque at
However, for most, Block is amazingly fun to do,” said Block. 4000 rpm and needs a mere two
synonymously known as the guy “I can’t wait to start filming in the seconds to go from 0 to 60 mph.
who does those gymkhana videos – Gymkhana THREE 2011 Ford “I first met Ken Block on YouTube
or the co-founder of DC shoes. In the Fiesta. I just did one day of testing watching his Gymkhana video and
fall of 2008 Block posted a testing and in the U.K. with it and it is it was amazing, said Jamie Allison,
practice video that took the internet extremely fun to drive. It has director, North America Ford
by storm. Overall, the gymkhana amazing power and control.” motorsports. “Ken is a cross over
videos have garnered more than Built by Olsbergs Motorsport athlete, his skills are sharpened
30 million YouTube views. Evolution (MSE), the 2,425-pound from competing at the highest levels
Gymkhana (Jim-kah-nuh) is Gymkhana THREE Fiesta sports a in both Rally America in a 2011
identified in the first video as an purpose-built Olsbergs engine Fiesta and in World Rally Champion-
automotive sport taking place in a capable of up to 850 brake ship in a 2011 FordFord World
Focus.”

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Charity

Drive one for the troops


recognizes U.S. armed forces
By Alice Arutoff

The “Operation Drive one” tour local chapter of NMFA.


honors men and women of the Bill Goldberg – former wrestling
armed forces and raises money for champ and actor – joins the tour
the National Military Family for a meet-and-greet and will be
Association (NMFA). accompanied by his rare 1970
The tour visits 10 bases bringing Boss 429 Lawman Mustang.
an action-packed day to armed
Tour
force members and their families. participants
The tour includes a precision take part
driving course, burnout challenges, in the
a test drive of a new Ford vehicle, Truck Push
Challenge
interactive displays, classic car
at Fort Sill.
show and a visit from Bill Goldberg.
“Family has always been at the
core of our company, and through
Operation Drive one, we’re not
only honoring our military family
but also providing their families
with fun, interactive events to
enjoy together,” said John Felice,
general manager, Ford, Lincoln
Mercury Marketing. “I am so proud and
In the “Drive one 4 UR Troops” excited to join Ford in
event participants will test drive support of Operation
new Ford products: each test drive Drive one and recognize
donates $20 (up to $10,000) to the the men and women of
the armed forces who

Event dates serve our country every


day,” said Goldberg. “If
• MCAS Miramar Marine Base, we can provide a break
San Diego, CA – for our troops and their
June 12, 2010 families while raising
• Fort Hood Army Base, money for a great cause,
Killeen, TX – there’s nothing I’d rather
July 17, 2010 be doing over the coming
months.”
• MCAS Cherry Point Marine As a part of the tour,
Base, Cherry Point, CA – 12 active duty and veteran
July 30, 2010 service members also will
• NS Norfolk Naval Station, receive an expenses-paid
Norfolk, VA – trip to attend the Ford
August 7, 2010 Championship Weekend
NASCAR races. Two of the
• Ft. Benning Army Base,
12 finalists will win a new
Columbus, GA –
2011 Ford Mustang, with
October 8, 2010
the grand-prize winner
• Ft. Bragg Army Base, receiving an exclusive
Fayetteville, NC – Toby Keith concert for
October 30, 2010 their home base.

June 2010 | 15
Benefits

Access ‘Drive Health, Drive


Wealth’ at the click of a button
By Terra Donnelly

For some, it’s hard to find the updated to include healthcare


time to accomplish some of life’s benefits, in addition to the Tax myfordbenefits.
important tasks, such as staying Efficient Savings Plan for Hourly com Web site allows visitors
on top of our health and wellness. Employees (TESPHE), Savings secure 24-hour access, 7 days a
In an effort to make the lives of and Stock Investment Plan (SSIP) week from home or work,
its dedicated employees and and Ford Retirement Plan (FRP) enabling them to quickly and
retirees less stressful, Ford Motor for Salaried Employees and easily take advantage of self-
Company has made significant Retirees, which was launched service tools, such as confirming
changes to the administration of January 1, 2010. and updating dependent
healthcare benefits, allowing one NESC’s extended hours, which information online, enrolling in or
to take care of his or her business amount to 30 additional hours per changing health care benefit
at leisure. As of June 1, 2010, the week, allow more time to speak coverage, viewing documents,
following changes are in effect: with a Personal Benefits Repre- forms and helpful links while
• The National Employee sentative who will properly researching health plan benefits
Services Center (NESC) hours are answer any questions. If you need and much more.
now extended to five days per to call the NESC at 1-800-248-4444 The opportunity to have
week, from 9:00 a.m. – 9:00 p.m. with questions about your bene- information available online, or
Eastern time, Monday through fits, your User ID for the phone through the NESC, will assist in
Friday. system will be your SSN. our efforts to continue to move
• Benefits Web site Additionally, the new “Drive forward with an improved
(myfordbenefits.com) has been Health, Drive Wealth” section of employee benefits experience.

just announced –
Even More X-Plan PINs For You To Share

All eligible employees and retirees will receive two additional


X-Plan PINs for a total of six in 2010. Help boost company sales by
sponsoring your friends and neighbors for a vehicle today!
Go ahead, generate your PINs easily online at:
www.axz.ford.com

16 | June 2010
History

Village industry:
A cooperative relationship
By Jamie Myler

It is well known that Henry Ford being able to work on their farm. remained so until its demise in 1981. The Northville
stayed connected to farms and One of the most successful and The employees at Northville felt Plant water
farmers even after he began his longstanding village industries so strongly about the plant that wheel continues
to work and
industrial career. He looked for was in Northville, Mich. they offered to purchase the plant has been
ways to make life better for farmers Ford purchased a three-story from Ford and run it themselves. since 1920.
and citizens of small rural towns. brick building on East Main Street Even though this offer was
Mr. Ford tried many things – in Northville in 1919, where rejected, the company did try to
from developing better tractors, production of exhaust valves began reopen the plant in 1983 to build
to the use of agricultural goods in on March 20, 1920. This plant was fuel tanks, but it did not last.
the manufacture of his products – used for 16 years and produced Today the old plant has been
to bring industry and farming more than 180 million valves before converted to office space and the
together in a true cooperative a new facility was opened on the duck pond and water wheel are
relationship. branch of the Rouge River. popular
One of the most successful The new plant was more modern attractions for
ventures was when he took and used a water wheel to power a citizens and
“With one foot
industry to the rural towns – later 30-horsepower generator, adding visitors alike. in industry and
known as “village industry.” These to the small town feel of the plant. And, yes, the the other in the
small manufacturing plants were The small plant in Northville was water wheel soil, they are
used to give farmers the ability to highly productive (producing more still works.
make a decent wage, while still than a billion exhaust and intake
as secure as
valves in the anyone can be.”
first 50 years of – Henry Ford, 1942
production) and

Northville
employees
work hard
to produce
exhaust and
intake valves.

June 2010 | 17
At $99, every pocket can have one.
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.*

Start saving today. Visit att.com/wireless/ford to sign up today.


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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
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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.

18 | June 2010
Global

Falcon Turns 50 Featuring Special Edition Models


Falcon, the longest running vehicle name in Australian motoring history,
will mark its 50th anniversary on June 28. In honor of the milestone,
Ford Australia will release a range of exciting anniversary models
to commemorate the anniversary of the iconic Falcon nameplate.
Production of the special anniversary models will also commence
in June, with each model featuring unique exterior design elements,
exclusive interior finishes and additional standard equipment.
“The Falcon’s long and distinguished heritage is unmatched by any
other car in the history of Australian motoring,” said Beth Donovan,
vice president, Marketing, Sales and Service, Ford Australia. “Fifty years
of continuity in any industry is a remarkable achievement, but it’s especially rare in a dynamic field like the car industry.”

Ford Increases Investments Mustang V-8 Performance


in Emerging Markets Package Available in Japan
When Alan Mulally, president and In celebration of Mustang’s 46th
CEO, visited South America in April he birthday, Ford Japan will have 25 units
announced expanded investments Ford of the limited edition Mustang V-8 GT
would make in Brazil and Argentina. Performance Package.
In Brazil, Mulally announced increased
funds for Ford Brazil from U.S $2.2 billion Ford Start
to $2.4 billion from 2011-2015. This Wins Best Concept
marks the largest single amount
With its largest, most
Ford has invested in its Brazilian
interactive display ever, Ford
operations during a five-year window
highlighted an impressive
in its 90-year history in the country.
array of new products and
For Argentina, he announced a new
technologies at Auto China
$250 million investment in the production
2010. The Ford stand featured
of an all-new vehicle. The investment will The Performance Package features
three debuts along with
be made between a V-8 engine paired with a five-speed manual
17 interactive stations to
2010-2012. transmission. The lower final gear ratio
bringing the Ford story to life.
“Brazil and South enhances acceleration performance, while
The debut of the
America are the front brakes, featuring unique calipers
stunning red Ford Start shined
important to Ford,” and pads, allow the driver to revel in the
brightest as it was named Best
Mulally said. “Both Mustang’s dynamic drive.
Concept by the AutoWeek
are essential to our Further enhancing the Mustang’s appeal
editorial staff at the Beijing
ONE Ford plan and are exclusive 19-inch aluminium-alloy wheels
auto show this year. Small,
our vision to deliver and an interior characterized by a red leather-
green and fun, the Ford Start
great vehicles to wrapped steering wheel, door trim panel
won admirers for its decidedly
customers around inserts and seats. White stripe-accented
playful take on kinetic design.
the world.” seats highlight the vehicle’s sporty nature.
The Ford Start previewed
the smallest engine yet in the
Europe Sales Continue to Rise Year- growing Ford EcoBoost™
to-Date Despite Weakening Industry family. Ford confirmed that
After ten months of consecutive year-over-year the 1.0-liter turbocharged I-3
monthly volume gains, Ford registrations in the main EcoBoost engine powering
19 markets were lower than April 2009. Market share the Start is going into
was 1.1 percentage points below the April 2009 level. production, destined for use in
In the first four months of 2010, Ford registered future Ford small cars.
492,500 vehicles in its 19 European markets, 12,100 units or 2.5 percent more than in 2009.
Ford was the best-selling brand for April and in the first four months of 2010 in the UK
and Hungary, and was also year-to-date market leader in Denmark, Ireland and Turkey. Visit the “Photos & Videos” box
Fiesta continues to be the top-performing vehicle for Ford of Europe with 172,600 units www.at.ford.com
sold during the first four months of 2010. Ford Start Concept Reveal Film

June 2010 | 19
Back page

2011 Ford Fiesta Grandmaster Flex


Customizes Fiesta
Hip-Hop DJ icon Grandmaster Flex is
revving up his new TV series Funk Flex
Full Throttle by giving away a
customized Ford Fiesta.
“The Fiesta is definitely a vehicle
that has major customization potential
but also can stand on its own without
having to do anything to it all,” said
Funkmaster Flex.
“We hate indecision as much
as the next guy, so we’ll just
take the leap. Fiesta’s the best Own the Cop Car
subcompact car you (soon) can from RoboCop 3
buy in the U.S.”
The Volo Auto Museum outside of
– James Healey, USA Today Chicago is auctioning off the priceless
1988 Taurus cop car from RoboCop 3 for
“They have given to the new
U.S. $18,998.
Fiesta the same attention
The RoboCop series, based in a near
normally given to their premium
future dystopian Detroit, follows its main
large cars and trucks. The result
character James Murphy’s progression
is a little front-wheel-drive car,
from regular team member in the Detroit
offered in four basic trim levels,
Police Department to RoboCop, “part
that kicks tailpipe and takes
man, part machine, all cop.”
names.”
This is a chance to get in on the action
– Warren Brown,
and obtain the original Taurus interceptor.
The Washington Post For more information, go to volocars.com.
“Read me now and understand
me later: The Fiesta is a damn Retiree Runs Boston Marathon Under 3 Hours
good car. It is an excellent car.
Running 26.22 miles is no small feat. Ford Alumni Doug Kurtis has run
It is the type of car you should
numerous marathons and continues to pack on the accolades.
buy if you enjoy driving but do
Kurtis holds the American record for the
not have a lot of money; it is
most sub 2:20 marathons – 76 – and the most
the type of car you should buy if
marathon victories – 40. He is also a five time
you enjoy driving and do have a
Olympic Trial Qualifier.
lot of money. We are not easily
In April, Kurtis competed in the 114th
impressed, and this is the sort
Boston Marathon finishing under the 3 hour
of thing that impresses us.”
mark at age 58. In his division, males 55-59,
– Sam Smith, Jalopnik he finished fourth with a time of 2:44:44.

All Aboard!
The Weiser Railroad takes visitors around Greenfield Village, noting
its historical buildings like the Ford Home and Firestone Farm.
Don Kline, engineering technologist, visited the Village with his
family and heard the train conductor point out the Dearborn Test Track.
Yet, when he looked, there was nothing there.
He mentioned this to his supervisor who was doing renovations in
that area; now, a logo designates the area for visitors to see.
The blue portion of the logo is made from recycled tires and dyed blue
while the white portion comes from crushed granite. In the near future grass and current model year vehicles will surround the
logo giving the more than 1 million visitors to The Henry Ford each year something new to look at.

20 | June 2010
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