Ford 2010 Annual Report Download - page 130
Download and view the complete annual report
Please find page 130 of the 2010 Ford annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2
-
3
-
4
-
5
-
6
-
7
-
8
-
9
-
10
-
11
-
12
-
13
-
14
-
15
-
16
-
17
-
18
-
19
-
20
-
21
-
22
-
23
-
24
-
25
-
26
-
27
-
28
-
29
-
30
-
31
-
32
-
33
-
34
-
35
-
36
-
37
-
38
-
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68
-
69
-
70
-
71
-
72
-
73
-
74
-
75
-
76
-
77
-
78
-
79
-
80
-
81
-
82
-
83
-
84
-
85
-
86
-
87
-
88
-
89
-
90
-
91
-
92
-
93
-
94
-
95
-
96
-
97
-
98
-
99
-
100
-
101
-
102
-
103
-
104
-
105
-
106
-
107
-
108
-
109
-
110
-
111
-
112
-
113
-
114
-
115
-
116
-
117
-
118
-
119
-
120 -
121 -
122 -
123 -
124 -
125 -
126 -
127 -
128 -
129 -
130 -
131 -
132 -
133 -
134 -
135 -
136 -
137 -
138 -
139 -
140 -
141
-
142
-
143
-
144
-
145
-
146
-
147
-
148
-
149
-
150
-
151
-
152
-
153
-
154
-
155
-
156
-
157
-
158
-
159
-
160
-
161
-
162
-
163
-
164
-
165
-
166
-
167
-
168
-
169
-
170
-
171
-
172
-
173
-
174
-
175
-
176
-
177
-
178
-
179
-
180
-
181
-
182
-
183
-
184
 |
 |
Notes to the Financial Statements
128 Ford Motor Company | 2010 Annual Report
NOTE 18. RETIREMENT BENEFITS (Continued)
Alternative Assets. Hedge funds generally hold liquid and readily priceable securities, such as public equities in
long/short funds, exchange-traded derivatives in macro/commodity trading advisor funds, and corporate bonds in credit
relative value funds. Hedge funds themselves do not have readily available market quotations, and therefore are
valued using the NAV per share provided by the investment sponsor or third party administrator. Hedge fund assets
typically are categorized as Level 3 in the fair value hierarchy, due to the inherent restrictions on redemptions that may
affect our ability to sell the investment at its NAV in the near term. Valuations may be lagged 1-3 months. For 2009
and 2010, we made adjustments of $17 million and $66 million, respectively, to adjust for hedge fund lagged
valuations.
Private equity and real estate investments are less liquid. External investment managers typically report valuations
reflecting initial cost or updated appraisals, which are adjusted for cash flows, and realized and unrealized gains/losses.
Private equity funds do not have readily available market quotations, and therefore are valued using the NAV per share
provided by the investment sponsor or third party administrator. These assets typically are categorized as Level 3 in the
fair value hierarchy, due to the inherent restrictions on redemptions that may affect our ability to sell the investment at its
NAV in the near term. Valuations may be lagged 1-6 months. The NAV will be adjusted for cash flows (additional
investments or contributions, and distributions) through year-end. We may make further adjustments for any known
substantive valuation changes not reflected in the NAV. For 2009, we made adjustments of $1 million to adjust for private
equity lagged valuations.
The Ford Germany defined benefit plan is funded through a group insurance contract, in a pool with other policy
holders. The contract value represents the value of the underlying assets held by the insurance company (primarily
bonds) at the guaranteed rate of return. The adjustment to market asset prices to recognize contractual returns is a
significant unobservable input; therefore the contract is Level 3.