Ford Mtr Co del · NYSE:F
Ford Mtr Co del — Ford Motor Company — Citi Industrials Conference 2011
24 slides from Ford Mtr Co del's conference presentation, Sep 21, 2011
Slide 1: Ford Progress and Opportunities
FORD PROGRESS AND OPPORTUNITIES Bob Shanks Vice President and Controller Citi Industrials Conference September 21, 2011
Slide 2: Our Plan
OUR PLAN -- Aggressively Restructure To Operate Profitably At The Current Demand And Changing Model Mix Accelerate Development Of New Products Our Customers Want And Value Finance Our Plan And Improve Our Balance Sheet Work Together Effectively As One Team -- Leveraging Our Global Assets SLIDE 1
Slide 3: Aggressively Restructure
AGGRESSIVELY RESTRUCTURE Substantially Improved Breakeven* 17.1 U.S. Industry Volumes (Mils.) 13.5 12.8** 11.8 $8.3 $5.7 First Half $5.0 Billion $(3.6) Pre-Tax Profit $(7.3) (Bils.) 2006 2008 2010 2011 * Excluding special items 1st Half ** SAAR SLIDE 2
Slide 4: Aggressively Restructure
AGGRESSIVELY RESTRUCTURE Substantially Improved Breakeven* 17.1 Substantially Improved Operating-Related Cash Flow U.S. Industry Volumes (Mils.) 17.1 13.5 U.S. Industry Volumes (Mils.) 12.8** 13.5 11.8 12.8* $8.3 11.8 $5.7 $4.4 $4.5 First Half $(3.6) Pre-Tax Profit $(5.6) $2.5 Billion (Bils.) $(7.3)
Slide 5: Aggressively Restructure
AGGRESSIVELY RESTRUCTURE Substantially Improved Breakeven* 17.1 Substantially Improved Operating-Related Cash Flow U.S. Industry Volumes (Mils.) 13.5 12.8** 2011 First Half Results 13.5 11.8 12.8* B / (W) $8.3 11.8 2011 2010 Wholesales (000)* 2,922$5.7 251 Revenue (Bils.)* $4.4 $ 68.6 $4.5 $ 9.2 Ope
Slide 6: Accelerate New Product Development / Commitment to Product Excellence
ACCELERATE NEW PRODUCT DEVELOPMENT / COMMITMENT TO PRODUCT EXCELLENCE Drive Drive Drive Drive quality. green. safe. smart. Quality Fuel Economy Safety Infotainment Leadership Leadership Leadership Leadership Best Value SLIDE 5
Slide 7: Cumulative Percent Refreshed
CUMULATIVE PERCENT REFRESHED Percent Of Portfolio 2010 - 2014 With New Or Major Freshening Global Europe North America Asia Pacific Africa 168% 162% 145% 132% 104% 92% 93% 92% 88% 77% 75% 55% Ford A B Ford B C Ford A D Ford A B Ford Global Portfolio Refresh Rate Is Approximately 1.5 Times; Major Fac
Slide 8: Improve Ford Global Scale
IMPROVE FORD GLOBAL SCALE Ongoing Annual Segment Sample Vehicle Platform Volume B Fiesta >2 Million C Focus >2 Million CD Fusion / Mondeo >1 Million Compact Pickup Ranger >275K Commercial Van E-Series / Transit >470K Global Platform Consolidation With Common Global Top Hats Initiated On Fiesta And F
Slide 9: Finance Our Plan & Improve Balance Sheet
FINANCE OUR PLAN & IMPROVE BALANCE SHEET Paydown Automotive Debt (Bils.) $14.0 $19.1 $33.6 $19.6 Year End Year End June 30, 2009 2010 2011 SLIDE 8
Slide 10: Finance Our Plan & Improve Balance Sheet
FINANCE OUR PLAN & IMPROVE BALANCE SHEET Paydown Automotive Debt (Bils.) Improve Automotive Cash Net of Debt (Bils.) $8.0 $14.0 $19.1 $1.4 $33.6 Yr. End$(8.7) Yr. End June 30, 2009 2010 2011 Year End Year End June 30, 2009 2010 2011 Cash* $ 24.9 $ 20.5 $ 22.0 Debt (33.6) (19.1) (14.0) Liquidity 25.6
Slide 11: Finance Our Plan & Improve Balance Sheet
FINANCE OUR PLAN & IMPROVE BALANCE SHEET Paydown Automotive Debt (Bils.) Improve Automotive Cash Net of Debt (Bils.) Improve Improve Credit Credit Ratings Ratings (S & P) (Moody’s) Ba2 $14.0 Ba2 $19.1$1.4 $33.6 B3 Yr. End $(8.7) Yr. End June 30, 2009 2010 2011 Yr. End Yr. End June 30, 2009 2010 2011
Slide 12: Finance Our Plan & Improve Balance Sheet
FINANCE OUR PLAN & IMPROVE BALANCE SHEET Paydown Automotive Debt (Bils.) Improve Automotive Cash Net of Debt (Bils.) Improve Improve Credit Credit Ratings Ratings (S & P) (Moody’s) Future Actions $14.0 BB- $19.1$1.4 • Begin paying dividends B+ • Longer term evaluate other shareholder actions $33.6 B
Slide 13: Working Together
WORKING TOGETHER Business Units Asia Pacific Americas Europe Africa Credit Product Development Manufacturing and Labor Purchasing Quality Functional, Sustainability People Working Together Process, and Skill Information Technology As A Global Enterprise Teams Finance For Automotive Leadership Human
Slide 14: Special Attention Items
SPECIAL ATTENTION ITEMS U.S. Revenue Growth (Per Unit) $1,300 $1,300 $2,800 2008 2009 2010 2011 1st Half SLIDE 13
Slide 15: Special Attention Items
SPECIAL ATTENTION ITEMS U.S. Revenue Growth (Per Unit) Improve Automotive Structural Cash Net of Debt $1,300 Costs (Bils.) (Bils.) $1,300 2011 First Half Year-Over-Year Increase $2,800 Manufacturing & Engineering $0.5 Advertising & Sales Promotion 0.3 Pension 0.1 All Other 0.1 Total $1.0 Full Year O
Slide 16: Special Attention Items
SPECIAL ATTENTION ITEMS U.S. Revenue Growth (Per Unit) Improve Automotive Structural Cash Net of Debt $1,300 Costs (Bils.) (Bils.) $1,300 Pension $1,300 Mfg. & Engr. (about 50% each) $0.5 Total $2,800 2010 Year End Over / (Under) Funded Status (Bils.) $2,800- U.S.Advertising & Sales Promotion 0.2 $
Slide 17: Special Attention Items
SPECIAL ATTENTION ITEMS U.S. Revenue Growth (Per Unit) Improve Automotive Structural Cash Net of Debt $1,300 Costs (Bils.) (Bils.) $1,300 Pension $1,300 Mfg. & Engr. (about 50% each) $0.5 Total $2,800 Commodities 2010 Year End OverCost / (Under) Funded Status (Bils.) $2,800- U.S.Advertising & Sales
Slide 18: 2011 Planning Assumptions and Key Metrics
2011 PLANNING ASSUMPTIONS AND KEY METRICS Consistent with July Second Quarter First Full Year Full Year Earnings Announcement Half Plan Outlook Planning Assumptions Industry Volume (SAAR)* -- U.S. (Mils.) 12.8 13.0 - 13.5 On Track Industry Volume (SAAR)* -- Europe (Mils.)** 15.4 14.5 - 15.5 14.8 - 1
Slide 19: Mid-Decade Outlook
MID-DECADE OUTLOOK Mid-Decade Outlook* Wholesale Volumes About 8 million Revenue / Pricing Improving Automotive Operating Margins** - North America 8 - 10% - Global 8 - 9% Ford Credit Return on Equity Low Double Digits Capital Spending About $6 billion Total Automotive Debt About $10 billion Investm
Slide 20: Delivering Profitable Growth
DELIVERING PROFITABLE GROWTH • Improving scale and growing volume are key opportunities for Ford • We are well positioned to deliver profitable growth – Continued integration of One Ford will drive scale and greater efficiency – Expanding in BRIC markets -- introducing first-time customers to Ford –
Slide 21: Our Plan
OUR PLAN -- Aggressively Restructure To Operate Profitably At The Current Demand And Changing Model Mix Accelerate Development Of New Products Our Customers Want And Value Finance Our Plan And Improve Our Balance Sheet Work Together Effectively As One Team -- Leveraging Our Global Assets Our Plan Go
Slide 22: Evos Concept
EVOS CONCEPT DP SLIDE 21
Slide 23: Profitable Growth for All
PROFITABLE GROWTH FOR ALL Large PROFITABLE GROWTH Americas Americas FOR ALL Asia Asia Pacific Pacific Profits & && Africa Africa Medium Medium Small Small Cash Europe + + = SLIDE 22
Slide 24: Safe Harbor
SAFE HARBOR SECRET Statements included herein may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on expectations, forecasts, and assumptions by our management and involve a number of risks, unce
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