<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 11-K
(Mark One)
ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE
x SECURITIES EXCHANGE ACT OF 1934 [FEE REQUIRED]
For the period from July 1, 1993 to December 31, 1993
OR
TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
For the transition period from ________________ to ________________
Commission file number 1-3950
FORD CREDIT SAVINGS PLAN
(Full title of the plan)
FORD MOTOR COMPANY
The American Road
Dearborn, Michigan 48121
(Name of issuer of the securities held
pursuant to the plan and the address of
its principal executive office)
<PAGE> 2
REQUIRED INFORMATION
Financial Statements
Statement of Financial Condition, as of December 31, 1993.
Statement of Income and Changes in Plan Equity for the period from July 1, 1993
to December 31, 1993.
Schedule I - Item 27a - Schedule of Assets Held for Investment Purposes as of
December 31, 1993.
Schedule II - Item 27d - Schedule of Reportable Transactions for the period
from July 1, 1993 to December 31, 1993.
Exhibit
-------
Designation Description Method of Filing
- - - - - -----------------------------------------------------------------------
Exhibit A Consent of Coopers Filed with this Report.
& Lybrand.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Ford
Credit Savings Plan has duly caused this Annual Report to be signed by the
undersigned thereunto duly authorized.
FORD CREDIT SAVINGS PLAN
By:/s/ S. K. Gabe
S. K. Gabe, Plan Administrator
Ford Credit Savings Plan
June 24, 1994
<PAGE> 3
Exhibit A
Consent of Independent Accountants
Ford Motor Company
Ford Motor Credit Company
Dearborn, Michigan
Re: Ford Credit Savings Plan Registration Statement
We consent to the incorporation by reference in the registration statements of
Ford Motor Company on Form S-8 (File No. 33-54304) of our report dated June 15,
1994 on our audits of the financial statements and financial statement
schedules of the Ford Credit Savings Plan as of December 31, 1993 and for the
period from July 1, 1993 to December 31, 1993 to the Boards of Directors of
Ford Motor Company and Ford Motor Credit Company which is included in this
Annual Report on Form 11-K.
/s/ Coopers & Lybrand
Coopers & Lybrand
400 Renaissance Center
Detroit, Michigan 48243
June 24, 1994
<PAGE> 4
FORD CREDIT SAVINGS PLAN
INDEX OF FINANCIAL STATEMENTS
AND SUPPLEMENTAL SCHEDULES
PAGES
-----
Report of Independent Accountants 2
Financial Statements:
Statement of Financial Condition as of
December 31, 1993 3
Statement of Income and Changes in Plan Equity
for the Period from July 1, 1993 to
December 31, 1993 4
Notes to Financial Statements 5-9
Supplemental Schedules:
Schedule I - Item 27a - Schedule of Assets Held for Investment
Purposes as of December 31, 1993 10
Schedule II - Item 27d - Schedule of Reportable Transactions for
the Year Ended December 31, 1993 11
1
<PAGE> 5
REPORT OF INDEPENDENT ACCOUNTANTS
To the Boards of Directors of
Ford Motor Company and Ford Motor Credit Company:
We have audited the accompanying statement of financial condition of the Ford
Credit Savings Plan as of December 31, 1993 and the related statement of income
and changes in plan equity for the period from July 1, 1993 to December 31,
1993. These financial statements are the responsibility of the Plan's
management. Our responsibility is to express an opinion on these financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable basis
for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial condition of the Ford Credit Savings Plan
as of December 31, 1993, and the income and changes in plan equity for the
period from July 1, 1993 to December 31, 1993 in conformity with generally
accepted accounting principles.
Our audits were performed for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedules of the Ford
Credit Savings Plan are presented for the purpose of additional analysis and
are not a required part of the basic financial statements but are supplementary
information required by the Department of Labor's Rules and Regulations for
Reporting and Disclosure under the Employee Retirement Income Security Act of
1974. The individual fund information in the statement of financial condition
and the statement of income and changes in plan equity is presented for
purposes of additional analysis rather than to present the financial condition
and income and changes in plan equity of each fund. The supplemental schedules
and fund information have been subjected to the auditing procedures applied in
the audits of the basic financial statements and, in our opinion, are fairly
stated, in all material respects, in relation to the basic financial statements
taken as a whole.
/s/ Coopers & Lybrand
400 Renaissance Center
Detroit, Michigan 48243
June 15, 1994
2
<PAGE> 6
FORD CREDIT SAVINGS PLAN
STATEMENT OF FINANCIAL CONDITION
as of December 31, 1993
<TABLE>
<CAPTION>
FORD GROWTH INTERMEDIATE RETIREMENT U. S.
STOCK INCOME MAGELLAN COMPANY BOND MONEY EQUITY LOAN
FUND FUNDS FUND FUND FUND MARKET INDEX POOL FUND TOTAL
------------ ----------- ----------- ----------- ---------- ---------- ----------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Assets:
Loan funds receivable $5,218,687 $ 5,218,687
Investments (at fair value):
Money market $9,928,578 9,928,578
Corporate stock $132,868,820 132,868,820
Registered Investment Co. $17,954,384 $10,819,029 $7,203,638 $14,579,319 50,556,370
Deposits with bank and
insurance companies
under group contracts $26,152,559 26,152,559
------------ ----------- ----------- ----------- ---------- ---------- ----------- ---------- ------------
Total assets $132,868,820 $26,152,559 $17,954,384 $10,819,029 $7,203,638 $9,928,578 $14,579,319 $5,218,687 $224,725,014
============ =========== =========== =========== ========== ========== =========== ========== ============
Plan equity/net
assets available
for plan benefits $132,868,820 $26,152,559 $17,954,384 $10,819,029 $7,203,638 $9,928,578 $14,579,319 $5,218,687 $224,725,014
============ =========== =========== =========== ========== ========== =========== ========== ============
</TABLE>
The accompanying notes are an integral part of the financial statements.
3
<PAGE> 7
FORD CREDIT SAVINGS PLAN
STATEMENT OF INCOME AND CHANGES IN PLAN EQUITY
for the period from July 1, 1993
to December 31, 1993
<TABLE>
<CAPTION>
FORD GROWTH INTERMEDIATE RETIREMENT U. S.
STOCK INCOME MAGELLAN COMPANY BOND MONEY EQUITY LOAN
FUND FUNDS FUND FUND FUND MARKET INDEX POOL FUND TOTAL
------------ ----------- ----------- ----------- ---------- ---------- ----------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Interest and dividend
income $ 21,032 $ 843,823 $ 1,012,777 $ 974,600 $ 209,502 $ 148,315 $ 1,190 $ 3,211,239
Net appreciation (depreci-
ation) in fair value
of investments 27,192,496 (725,753) (481,287) (90,533) 997,292 26,892,215
Loan repayment (principal) 319,015 24,944 169,682 121,634 57,874 39,046 64,543 $ (796,738) -
Loan repayment (interest) 56,765 3,827 32,993 17,926 9,266 6,886 12,845 140,508
Loan funds transferred
(out) in (637,192) (132,718) (71,651) (52,163) (90,362) (144,613) 1,128,699 -
Contributions:
Employees 4,042,246 721,793 1,744,651 1,144,004 584,438 229,604 637,169 9,103,905
Company matching 3,497,982 3,497,982
Withdrawal of participants'
accounts (1,782,280) (51,375) (162,537) (114,033) (62,001) (128,418) (96,461) (12,995) (2,410,100)
Net transfers between
funds (19,225,222) 2,732,949 14,842,169 8,463,643 5,376,125 (1,585,376)(10,604,288) -
------------ ----------- ----------- ----------- ---------- ---------- ----------- ---------- ------------
Net increase (decrease)
in plan equity for
the period 13,484,842 4,275,961 16,781,264 10,054,836 6,032,508 (1,380,305) (9,132,323) 318,966 40,435,749
Net transfer from Ford Motor
Savings Plan 119,383,978 21,876,598 1,173,120 764,193 1,171,130 11,308,883 23,711,642 4,899,721 184,289,265
------------ ----------- ----------- ----------- ---------- ---------- ----------- ---------- ------------
Plan equity, end of
year $132,868,820 $26,152,559 $17,954,384 $10,819,029 $7,203,638 $9,928,578 $14,579,319 $5,218,687 $224,725,014
============ =========== =========== =========== ========== ========== =========== ========== ============
</TABLE>
The accompanying notes are an integral part of the financial statements.
4
<PAGE> 8
FORD CREDIT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
1. ACCOUNTING POLICIES:
Investments
The investment in the Ford Stock Fund, representing shares of Ford Motor
Company Common Stock ("Ford Stock"), and investments in all other funds
are valued on the basis of established year-end market prices.
Contributions
Contributions to the Ford Credit Savings Plan (the "Plan") from employees
and from Ford Motor Credit Company (the "Company" or "Ford Credit") are
recorded in the period that payroll deductions are made from plan
participants.
Other
Purchases and sales of securities are reflected on a trade-date basis.
Gains and losses on sales of securities are based on identified cost.
Dividend income is recorded on the ex-dividend date; income from other
investments is recorded as earned.
The Plan presents in the statement of income and changes in plan equity
the net appreciation (depreciation) in the fair value of its investments
which consists of the realized gains or losses and the unrealized
appreciation (depreciation) on those investments.
The costs of administering the Plan are being absorbed by Ford Credit.
2. DESCRIPTION OF THE PLAN:
The Plan became effective July 1, 1993. At that date, assets relating to
employees of Ford Credit, who previously participated in the Ford Motor
Company Savings and Stock Investment Plan for Salaried Employees, were
transferred into the Plan.
Following is a brief description of the Plan. The provisions of the Plan
are governed in all respects by the detailed terms and conditions
contained in the Plan itself.
Type and Purpose of the Plan
The Plan is a defined contribution plan established to encourage and
facilitate systematic savings and investment by eligible salaried
employees and to provide them with an opportunity to invest in Ford Motor
Company. The Plan includes provisions for voting shares of Ford Stock.
Continued
5
<PAGE> 9
FORD CREDIT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS, Continued
2. DESCRIPTION OF THE PLAN, continued:
Eligibility
With certain exceptions, regular full-time salaried employees having at
least 12 months of continuous service are eligible to participate in the
Plan. Certain other part-time and temporary employees also may be
eligible to participate in the Plan. Participation in the Plan is
voluntary.
The Plan has both before-tax and after-tax savings components. Under the
Plan and subject to limits required to be imposed by the Internal Revenue
Code, participants may elect a reduction in base salary up to 15 percent
with a corresponding contribution, defined below, made to the Plan by the
Company on their behalf. Subject to limitations imposed by the Internal
Revenue Code, participants may also contribute up to 10 percent of their
base salaries to the regular savings feature of the Plan on an after-tax
basis. The investment programs are the same for all savings
contributions.
For the period from July 1, 1993 to December 31, 1993, the Company
matched 100 percent of each dollar contributed up to 3 percent of
contributing participants' base salaries, and 50 percent for the next 4
percent of contributing participants' base salaries. All Company
matching contributions are invested in shares of Company Stock.
Effective January 1, 1994, the Company increased its 100 percent matching
percentage for each dollar contributed to 4 percent of the participants'
base salary and 50 percent matching for the next 4 percent of the
contributing participants' base salary.
Transfer of Assets
The Plan permits the transfer of assets among investment elections, with
certain restrictions related to transfers from the Income Fund, as
mentioned below.
Continued
6
<PAGE> 10
FORD CREDIT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS, Continued
2. DESCRIPTION OF THE PLAN, continued:
Investment Programs and Participation
Participant contributions are invested in accordance with the
participant's election in one or more of several investment programs.
The types of investment programs, and the approximate number of
participants contributing to each program in December 1993 are as
follows:
Ford Stock Fund 6,200
Fidelity Retirement Money Market Portfolio 1,200
Income Fund 4,000
Fidelity Intermediate Bond Fund 1,800
Fidelity U. S. Equity Index Commingled Pool 2,100
Fidelity Magellan Fund 3,700
Fidelity Growth Company Fund 2,800
At December 31, 1993, approximately 6,200 participants held assets in the
Plan.
Participants may elect to contribute to an income fund placed with an
insurance company or bank. The insurance company or bank agrees to repay
the principal and a stipulated rate of interest over a specified time
period. Contributions to the Income Fund in 1993 were placed with Lehman
Government Securities, Inc. at an annual effective interest rate of 5.38
percent. Contributions to the Income Fund in 1992 were placed with
Prudential Insurance Company of America ("Prudential") at an annual
effective interest rate of 7.03 percent. Contributions to the Income
Fund in 1991 were placed two-thirds with Prudential and one-third with
Metropolitan Life Insurance Company, both at an annual effective interest
rate of 8.30 percent. Contributions to the Income Fund may not be
transferred out to other funds until the contract expires. Participants
may not take out a participant loan against money in the Income Fund.
Participants in the Income Fund may not withdraw from this fund before
expiration of contract unless the participant is no longer employed by
Ford Credit.
Investment details as of December 31, 1993 are set forth in Schedule I -
Item 27a - Schedule of Assets Held for Investment Purposes.
Continued
7
<PAGE> 11
FORD CREDIT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS, Continued
2. DESCRIPTION OF THE PLAN, continued:
Vesting and Distributions
Before-tax assets, after-tax assets and assets resulting from Company
matching contributions (Ford Stock and related dividend earnings) are
accumulated in annual "classes."
Effective July 1, 1993, Company matching contributions vest 25 percent
after 2 years of plan service and an additional 25 percent after the
completion of each of the subsequent 3 years of plan service. Upon
completion of 5 years of service, all assets attributable to Company
matching contributions held in participants' accounts and all future
contributions vest when made.
Before-tax assets may not be withdrawn by participants until the
termination of their employment or until they reach age 59-1/2, except in
the case of personal financial hardship. Participants may borrow from
their before-tax accounts within the limits imposed by the Plan. Monthly
loan interest rates are based on the prime rate quoted by The Wall Street
Journal.
3. FORFEITURES:
The Plan permits the Company to use the value of Ford Stock forfeited
from participants' accounts to pay certain plan administration expenses
and, to the extent not used to pay such expenses, to reduce the Company's
contributions to the Plan. To the extent that forfeited shares are not
available to pay certain administrative expenses, the Company pays such
expenses directly.
4. TAX STATUS:
In connection with the adoption of the Plan in the current year, the
Internal Revenue Service ("IRS") has not issued a determination letter
holding that the Plan meets the requirements of Section 401(a) of the
Internal Revenue Code and that the trust established thereunder is
entitled to exemption from federal income tax under the provisions of
Section 501(a) of the Code as of December 31, 1993. The Company does
expect a favorable ruling upon submission of the Plan to the IRS in late
1994. Therefore, the Company believes that the Plan was qualified, and
the related trust was tax-exempt as of the financial statement date.
Continued
8
<PAGE> 12
FORD CREDIT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS, Continued
5. PLAN TERMINATION:
The Company, by action of the Board of Directors, may terminate the Plan
at any time. Termination of the Plan would not affect the rights of a
participant as to (a) the continuance of investment, distribution or
withdrawal of the securities, cash and cash value of the Ford Stock Fund
units in the account of the participant as of the effective date of such
termination, or (b) continuance of vesting of such securities and cash
attributable to Company matching contributions or earnings thereon.
6. ASSET VALUE PER FUND UNIT:
The number of units, and the asset value per unit, in the Fidelity Funds
at December 31, 1993 are as follows:
<TABLE>
<CAPTION>
NUMBER ASSET
OF VALUE
UNITS PER UNIT
-------- --------
<S> <C> <C>
Ford Stock Fund 10,612,526 $ 12.52
Income Funds 26,152,559 1.00
Magellan Fund 253,414 70.85
Growth Company Fund 372,300 29.06
Intermediate Bond Fund 668,241 10.78
Retirement Money Market 9,928,578 1.00
U. S. Equity Index Pool 1,233,444 11.82
</TABLE>
9
<PAGE> 13
FORD CREDIT SAVINGS PLAN
Schedule I ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1993
<TABLE>
<CAPTION>
DESCRIPTION OF INVESTMENT
IDENTITY OF ISSUER, INCLUDING MATURITY DATE,
LESSOR, BORROWER RATE OF INTEREST, COLLATERAL, CURRENT
OR SIMILAR PARTY PAR OR MATURITY VALUE COST VALUE
------------------- ------------------------------ ---- -------
<S> <C> <C> <C>
Income Funds:
Lehman Government Securities, Inc. 6/30/96 maturity, 5.38 percent interest rate $ 6,984,178 $ 6,984,178
The Prudential Insurance Company of America 6/30/95 maturity, 7.03 percent interest rate 10,583,224 10,583,224
The Prudential Insurance Company of America 6/30/94 maturity, 8.30 percent interest rate 5,723,438 5,723,438
Metropolitan Life Insurance 6/30/94 maturity, 8.30 percent interest rate 2,861,719 2,861,719
Equity Funds:
Fidelity Investments Ford Stock Fund, 10,612,526 units 119,383,978 132,868,820
Fidelity Investments Magellan Fund, 253,414 shares 18,671,114 17,954,384
Fidelity Investments U. S. Equity Index Pool, 1,233,444 shares 13,941,009 14,579,319
Fidelity Investments Growth Company Fund, 372,300 shares 11,305,226 10,819,029
Bond Funds:
Fidelity Investments Intermediate Bond Fund, 668,241 shares 7,293,699 7,203,638
Cash equivalents:
Fidelity Investments Retirement Money Market, 9,928,578 shares 9,928,578 9,928,578
Loans:
Plan Participant Participant Loans, interest rate of 6 percent - 5,218,687
</TABLE>
NOTE: The current values of each fund are based principally upon the closing
prices of the underlying investments as reported in the New York Stock
Exchange Transactions listing as of the last trading day of 1993.
Current values also include interest and dividends receivable.
10
<PAGE> 14
FORD CREDIT SAVINGS PLAN
Schedule II ITEM 27d - SCHEDULE OF REPORTABLE TRANSACTIONS
for the period from July 1, 1993 to December 31, 1993
<TABLE>
<CAPTION>
REALIZED
IDENTITY OF TOTAL TOTAL NUMBER OF NUMBER GAIN
PARTY INVOLVED DESCRIPTION OF ASSET PURCHASES SALES PURCHASES OF SALES OR (LOSS)
-------------- -------------------- --------- ------- --------- ---------- ------
<S> <C>
REPORTING CRITERION I: Any single transaction with plan year that
- - - - - --------------------- involves more than five percent of the
current value of plan assets (Notes A and B).
Not applicable.
REPORTING CRITERION II: Any series of transactions in other than
- - - - - ---------------------- securities within the plan year with or in
conjunction with the same person that, when
aggregated, involves more than five percent
of the current value of plan assets.
Fidelity Investments:
Ford Stock Fund $19,079,015 $32,786,670 96 89 $2,918,856
Magellan 18,452,475 945,458 92 67 (9,024)
Growth Company 11,246,434 710,311 90 70 4,910
Retirement Money Market 11,344,972 12,724,416 94 84 -
U. S. Equity Index Pool 2,979,698 13,109,313 86 74 358,982
REPORTING CRITERION III: Any series of transactions within the plan year
- - - - - ----------------------- with respect to securities of the same issue that,
when aggregated, involves more than five percent
of the current value of plan assets (Note C).
Not applicable.
REPORTING CRITERION IV: Any transaction within the plan year with respect
- - - - - ---------------------- to securities with or in conjunction with the same
person with whom any prior or subsequent single
five percent security transaction within the plan
year took place.
Not applicable.
</TABLE>
11
