Ford 2009 Annual Report Download - page 5

Ford Motor Company | 2009 Annual Report 3
as Europe’s second highest-selling brand in 2009. Ford Europe’s
market share of 9.1 percent was a half point increase for the year
and set an 11-year high.
In South America, Ford Brazil achieved its best ever full-year sales
in 2009 by selling 325,000 vehicles, a 15 percent increase over the
previous year. Ford Asia Pacific Africa’s sales were up 14 percent
in 2009, and set a full-year record. Ford sales in China, up 45
percent, led the increase in the region.
More great products are on the way this year, including the new
Ford Fiesta in the U.S., freshened versions of the Ford S-MAX and
Galaxy in Europe, and the new Ford Figo in India.
Strong Business
Ford has completed major cost reduction actions over the past four
years to substantially restructure its business, including personnel
levels, facilities and related costs, and the settlement of the United
Auto Workers retiree health care Voluntary Employee Beneficiary
Association (VEBA) agreement. We also obtained capital and
liquidity ahead of the financial market crisis, which helped us
maintain our investments in new products during a difficult
economic period.
In 2009, we achieved $5.1 billion in Automotive structural cost
reductions, exceeding our target of $4 billion. For the full year,
Automotive operating-related cash flow was negative $300 million;
an improvement of $19.2 billion over 2008. We finished the year
with $25.5 billion in Automotive gross cash, which was up from
$23.8 billion at the end of the third quarter of 2009.
Ford Motor Credit Company reported net income of $1.3 billion
in 2009, an improvement of $2.8 billion from a net loss of $1.5
billion a year earlier. Contributing to this improvement was the
non-recurrence of an impairment charge for operating leases and
lower depreciation expense for leased vehicles due to higher
resale values.
Our intense focus on improving our cost structure and
strengthening our balance sheet will continue going forward.
Among other actions, we anticipate completing the sale of Volvo
Cars to Zhejiang Geely Holding Group Co. Ltd. in the second
quarter of 2010.
´ONE Ford DNA and Global Vehicle Strategy
“Ford knows that customer wants and needs are converging globally, and to that
end, the customer is at the center of the company’s strategy to bring new global
vehicles to market. The next generation of small cars created under the ONE Ford
approach are engineered not just to meet the standards of customers the world
over but to surprise and delight with their high level of feature content. They are
great to look at, great to sit in and great to drive, too.”
- Derrick Kuzak, Ford group vice president, Global Product Development
Ford’s Global Product Strategy is focused on five key areas:
• Driving quality – Building on a dynamic heritage to dene a truly engaging
driving experience.
• Fuel economy – Delivering on our commitment to be unsurpassed in providing
fuel-efficient vehicles, which is becoming increasingly important to customers.
• Technology – The next-generation small cars are loaded with intuitive and
intelligent features until now found only in larger, more premium vehicles.
• Safety – Engineering to global safety standards.
• Craftsmanship – Material selection and t-and-nish take a major
step forward. Interior quietness bests the competition and then some.
2011 Ford Fiesta