SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) February 9, 1994
FORD MOTOR COMPANY
(Exact name of registrant as specified in its charter)
Delaware
(State or other jurisdiction of incorporation)
1-3950 38-0549190
(Commission File Number) (IRS Employer Identification No.)
The American Road, Dearborn, Michigan 48121
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code 313-322-3000
<PAGE>
Item 5. Other Events.
News release dated February 9, 1994, filed as Exhibit 20 to this Current
Report on Form 8-K, is incorporated by reference herein.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
EXHIBITS
Designation Description Method of Filing
Exhibit 20 News release dated Filed with this Report
February 9, 1994.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized on the date indicated.
FORD MOTOR COMPANY
(Registrant)
Date: February 9, 1994 By: /s/ T. J. DeZure
T. J. DeZure
Assistant Secretary
<PAGE>
EXHIBIT INDEX
DESIGNATION DESCRIPTION PAGE
Exhibit 20 News release dated
February 9, 1994.
8k.wp
Corporate News Public Affairs
Ford Motor Company
The American Road
Room 904
Dearborn, MI 48121
Telephone:(313)322-9600
Fax: (313)845-0570
IMMEDIATE RELEASE
Contact: Kathryn Blackwell
(313) 322-3436
FORD'S 1993 PROFIT REFLECTED WORLDWIDE IMPROVEMENT
DEARBORN, Mich., Feb. 9 -- Sharply improved U.S. automotive
operations, another record year in financial services and
successful cost-reduction programs worldwide were key elements of
Ford Motor Company's 1993 earnings of $2.5 billion or $4.55 per
share of common and Class B stock.
"I'm proud of our employees whose hard work has led to the
strongest turnaround in Ford's history," Alex Trotman, chairman
and chief executive officer, said. "As economies around the
world have strengthened or stabilized during the year, we've
improved our profitability. Looking ahead, we're in good shape
for 1994. We have strong new products and we expect better
economic conditions. But, there's still more to do and we remain
committed to increasing efficiency throughout the company."
In 1992, Ford Motor Company lost $7.4 billion, or $15.61 per
share of common and Class B stock, primarily reflecting mandated
accounting changes. Excluding the one-time effects of accounting
changes, Ford lost $502 million in 1992, or $1.46 per share of
common and Class B stock.
<PAGE>
Summary of 1993 Results
A summary of the 1993 results compared with 1992 follows:
- - Net income from worldwide automotive operations was $940
million, up $2.5 billion.
- - Net income from U.S. automotive operations was $1.5 billion,
up $1.9 billion.
- - Automotive operations outside the U.S. lost $542 million,
compared with a loss of $1.1 billion in 1992.
- - Net income of the Financial Services Group was $1.6
billion,up $557 million.
- - Worldwide sales and revenues were $108.5 billion, up $8.4
billion.
- - Factory unit sales were 5,964,000, up 200,000 units or three
percent.
- - Stockholders' equity was $15.6 billion, up $821 million.
- - Capital spending was $6.8 billion, up $1 billion.
- - Automotive cash and marketable securities were $9.8 billion, up
$717 million.
- - Automotive debt was $8 billion, down $301 million.
Automotive Operations Improved Over 1992
Ford's net income from worldwide automotive operations
improved $2.5 billion compared with 1992, excluding the one-time
effects of accounting changes in 1992. Most of this improvement
can be attributed to U.S. automotive operations, which increased
$1.9 billion. Higher vehicle production, reflecting industry
sales growth and increased market share, accounted for much of
the improvement, along with higher margins. Outside the U.S.,
automotive operations improved $587 million.
"Market share is only one measure of success. But, we're
glad to note that our 25.5 percent share of the total U.S.
vehicle market is up 0.8 of a point from 1992, continuing our
steady growth in market share since the early '80s," Trotman
said. "Following the well-received launch of the Mustang in late
1993, we will strengthen our product lineup further with
introductions of brand new products targeted at high-volume
market segments -- the Ford Windstar, Ford Contour and Mercury
Mystique, as well as the Ford Aspire.
"In Europe, Ford's bright spot in 1993 was the success of
the new Mondeo in the midst of a very weak overall market --
industry sales were down 16 percent," Trotman added. "Following
the restructuring that was completed in 1993, we continue to move
forward with cost-reduction actions there, as we are doing in all
Ford operations."
<PAGE>
During the 1993 calendar year:
- - Mondeo was named 1994 Car of the Year in Europe, and Motor
Trend Magazine named the Ford Mustang 1994 Car of the Year in the
U.S.
- - Five of the top 10 best-selling vehicles in the U.S. were
Ford products; Ford F-Series was the best-selling vehicle in the
U.S., and the Ford Taurus was the best-selling car.
- - Ford sold a record 1.7 million trucks in the U.S.
- - In Britain, Ford had car sales leadership, with three of the
top five best-selling cars -- Escort, Fiesta and Mondeo.
- - In Taiwan, Ford retained combined car and truck sales
leadership for the sixth straight year, and in Australia, Ford
retained car sales leadership for the 12th consecutive year.
The Financial Services Group Continued Record-Setting Pace
The Financial Services Group posted a profit of $1.6 billion,
setting another earnings record and exceeding last year's
performance by $557 million or 54 percent, excluding the one-time
effects of accounting changes in 1992. The record improvement
reflected higher levels of earning assets, lower credit losses
and lower operating expenses.
"Once again, the Financial Services Group has raised the
chinning bar," Trotman said. "Its performance continues to be
outstanding. Not only is the Group vital to Ford Motor Company,
but it is increasingly recognized as a leader in the U.S.
financial services industry."
During 1993:
- - The Financial Services Group achieved a third consecutive
year of record earnings.
- - Ford Credit posted its third straight record earnings year.
- - The Associates recorded its 17th consecutive record earnings
year.
- - USL Capital had its fourth straight record earnings year.
U.S. Automotive Fourth-Quarter Earnings-- Second-Highest Ever
For U.S. automotive operations, the fourth quarter of 1993
was the second-highest ever in the company's history with
earnings of $669 million, up $797 million from a year ago.
Results for the fourth quarter of 1993 include the favorable one-
time effect of a gain on the sale of part of Ford's North
American automotive seating and seat trim business ($73 million).
<PAGE>
Outside the U.S., automotive operations lost $372 million,
compared with a loss of $909 million a year ago. Fourth-quarter
results in 1993 were affected adversely by restructuring charges
at Jaguar ($109 million) and Ford of Australia ($57 million),
offset partially by the favorable effect of a reduction in German
tax rates ($59 million). Worldwide automotive operations earned
$297 million, up $1.3 billion from 1992.
The Financial Services Group earned $422 million -- a record
for any quarter --compared with $197 million a year ago.
In total, Ford earned $719 million or $1.30 per share of
common and Class B stock, compared with a loss of $840 million or
$1.85 per share a year ago. Fourth-quarter results in 1992 were
affected adversely by one-time restructuring charges of $334
million at Ford's European automotive operations and $85 million
at Ford's European financial services activities.
Outlook -- Strong Customer Focus
"Both of our core businesses -- automotive and financial
services -- clearly are poised to take advantage of gradually
improving economic conditions," Trotman said. "We have new
products on tap for worldwide distribution. We're pursuing
opportunities in the world's emerging markets, especially in
Asia, and we're achieving efficiencies at all levels of our
operations. To continue to grow, we -- together with our dealers
and suppliers -- need to remain focused on earning the loyalty of
more and more customers by providing them with high-quality
vehicles and services and a satisfying ownership experience."
# # #
2/9/94
<PAGE>
<TABLE>
<CAPTION>
Ford Motor Company and Subsidiaries
HIGHLIGHTS
Fourth Quarter Full Year
1993 1992 1993 1992
<C> <S> <S> <S> <S>
Worldwide factory sales of cars
and trucks (in thousands)
- - United States 942 873 3,826 3,361
- - Outside United States 512 529 2,138 2,403
Total 1,454 1,402 5,964 5,764
Sales and revenues (in millions)
- - Automotive $23,511 $21,498 $ 91,568 $ 84,407
- - Financial Services 4,330 3,908 16,953 15,725
Total $27,841 $25,406 $108,521 $100,132
Income/(loss) before cumulative effects
of changes in accounting principles
(in millions)
- - Automotive $ 297 $(1,037) $ 940 $ (1,534)
- - Financial Services 422 197 1,589 1,032
Total $ 719 $ (840) $ 2,529 $ (502)
Net income/(loss) (in millions)
- - Automotive $ 297 $(1,037) $ 940 $ (8,628)
- - Financial Services 422 197 1,589 1,243
Total $ 719 $ (840) $ 2,529 $ (7,385)
Capital expenditures (in millions)
- - Automotive $ 1,985 $ 1,747 $ 6,714 $ 5,697
- - Financial Services 32 41 100 93
Total $ 2,017 $ 1,788 $ 6,814 $ 5,790
Stockholders' equity at December 31
- - Total (in millions) $15,574 $14,753 $ 15,574 $ 14,753
- - After-tax return on Common and
Class B stockholders' equity 21.1% * 18.6% *
Automotive cash, cash equivalents,
and marketable securities at
December 31 (in millions) $ 9,752 $ 9,035 $ 9,752 $ 9,035
Automotive debt at December 31
(in millions) $ 8,016 $ 8,317 $ 8,016 $ 8,317
After-tax returns on sales
- - Automotive 1.3% * 1.1% *
- - Total Company 2.6% * 2.4% *
Shares of Common and Class B Stock
(in millions)
- - Average number outstanding 498 488 493 486
- - Number outstanding at December 31 499 489 499 489
AMOUNTS PER SHARE OF COMMON AND
CLASS B STOCK AFTER PREFERRED
STOCK DIVIDENDS
Income/(loss) before cumulative
effects of changes in accounting
principles
- - Automotive $ 0.45 $ (2.25) $ 1.33 $ (3.58)
- - Financial Services 0.85 0.40 3.22 2.12
Total $ 1.30 $ (1.85) $ 4.55 $ (1.46)
Income/(loss)
- - Automotive $ 0.45 $ (2.25) $ 1.33 $ (18.16)
- - Financial Services 0.85 0.40 3.22 2.55
Total $ 1.30 $ (1.85) $ 4.55 $ (15.61)
Income/(loss) assuming full dilution $ 1.19 $ (1.85) $ 4.20 $ (15.61)
Cash dividends per share of Common
and Class B Stock $ 0.40 $ 0.40 $ 1.60 $ 1.60
</TABLE>
- - - - - -
*Results in this period were a loss.
FS-1
<PAGE>
<TABLE>
<CAPTION>
Ford Motor Company and Subsidiaries
VEHICLE FACTORY SALES
For the Periods Ended December 31, 1993 and 1992
Fourth Quarter Full Year
1993 1992 1993 1992
<C> <S> <S> <S> <S>
U.S. and Canada
Cars - U.S. 458,253 446,772 1,950,238 1,841,248
- Canada 34,668 28,978 126,297 123,551
Total cars 492,921 475,750 2,076,535 1,964,799
Trucks - U.S. 483,623 426,166 1,875,711 1,520,049
- Canada 42,571 34,938 125,906 109,161
Total trucks 526,194 461,104 2,001,617 1,629,210
Total U.S. and Canada 1,019,115 936,854 4,078,152 3,594,009
Outside U.S. and Canada
Germany 192,563 201,851 831,216 923,763
Britain 98,146 82,302 421,939 473,178
Spain 48,208 70,739 211,413 310,957
Taiwan 18,881 23,923 113,861 113,966
Mexico 22,429 31,577 90,710 126,334
Australia 33,527 32,092 126,753 120,017
Japan 10,725 13,855 52,805 66,654
Other countries 10,562 9,177 36,737 35,496
Total overseas 435,041 465,516 1,885,434 2,170,365
Total worldwide vehicle
factory sales 1,454,156 1,402,370 5,963,586 5,764,374
</TABLE>
Includes units manufactured by other companies and sold by Ford. Factory
sales are shown by source of manufacture, except that Canadian, Mexican and
Australian exports to the United States are included as U.S. vehicle sales,
and U.S. exports to Canada are included as Canadian vehicle sales.
FS-2
<PAGE>
<TABLE>
<CAPTION>
Ford Motor Company and Subsidiaries
CONSOLIDATED STATEMENT OF INCOME
For the Years Ended December 31, 1993, 1992 and 1991
(in millions)
1993 1992 1991
<C> <S> <S> <S>
AUTOMOTIVE
Sales $91,568 $84,407 $72,051
Costs and expenses
Costs of sales 85,168 81,748 71,827
Selling, administrative, and other expenses 4,968 4,434 3,993
Total costs and expenses 90,136 86,182 75,820
Operating income/(loss) 1,432 (1,775) (3,769)
Interest income 563 653 677
Interest expense 807 860 903
Net interest expense (244) (207) (226)
Equity in net income/(loss) of affiliated companies 127 15 (29)
Net (expense)/revenue from transactions with
Financial Services (24) 15 (28)
Income/(loss) before income taxes and cumulative effects of
changes in accounting principles - Automotive 1,291 (1,952) (4,052)
FINANCIAL SERVICES
Revenues 16,953 15,725 16,235
Costs and expenses
Interest expense 6,482 7,056 8,317
Operating and other expenses 3,196 2,945 2,822
Provision for credit and insurance losses 1,523 1,795 2,159
Depreciation 3,064 2,089 1,500
Total costs and expenses 14,265 13,885 14,798
Net revenue/(expense) from transactions with Automotive 24 (15) 28
Income before income taxes and cumulative effects of
changes in accounting principles - Financial Services 2,712 1,825 1,465
TOTAL COMPANY
Income/(loss) before income taxes and cumulative effects of
changes in accounting principles 4,003 (127) (2,587)
Provision/(credit) for income taxes 1,350 295 (395)
Income/(loss) before minority interests and cumulative effects
of changes in accounting principles 2,653 (422) (2,192)
Minority interests in net income of subsidiaries 124 80 66
Income/(loss) before cumulative effects of changes in
accounting principles 2,529 (502) (2,258)
Cumulative effects of changes in accounting
principles - (6,883) -
Net income/(loss) 2,529 (7,385) (2,258)
Preferred stock dividend requirements 288 209 22
Income/(loss) attributable to Common and Class B Stock $ 2,241 $(7,594) $(2,280)
</TABLE>
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<PAGE>
<TABLE>
<CAPTION>
Ford Motor Company and Subsidiaries
CONSOLIDATED STATEMENT OF INCOME
For the Years Ended December 31, 1993, 1992, and 1991
(in millions)
1993 1992 1991
<C> <S> <S> <S>
Average number of shares of Common and Class B Stock
outstanding 493 486 476
AMOUNTS PER SHARE OF COMMON STOCK AND CLASS B STOCK
AFTER PREFERRED STOCK DIVIDENDS
Income/(loss) before cumulative effects of changes in
accounting principles $ 4.55 $ (1.46) $(4.79)
Cumulative effects of changes in accounting principles - (14.15) -
Income/(loss) $ 4.55 $(15.61) $(4.79)
Income/(loss) assuming full dilution $ 4.20 $(15.61) $(4.79)
Cash dividends $ 1.60 $ 1.60 $ 1.95
</TABLE>
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<PAGE>
<TABLE>
<CAPTION>
Ford Motor Company and Subsidiaries
CONSOLIDATED BALANCE SHEET
(in millions)
December 31, December 31,
1993 1992
<C> <S> <S>
ASSETS
Automotive
Cash and cash equivalents $ 5,667 $ 3,504
Marketable securities, at cost and accrued interest
(approximates market) 4,085 5,531
Total cash, cash equivalents, and marketable securities 9,752 9,035
Receivables 2,302 2,204
Inventories 5,538 5,451
Deferred income taxes 2,830 2,480
Other current assets 1,226 1,298
Net current receivable from Financial Services 834 1,368
Total current assets 22,482 21,836
Equity in net assets of affiliated companies 3,002 2,751
Net property 23,059 22,160
Deferred income taxes 5,427 5,015
Other assets 7,691 5,339
Net noncurrent receivable from Financial Services 76 69
Total Automotive assets 61,737 57,170
Financial Services
Cash and cash equivalents 2,555 3,182
Investments in securities 8,219 6,874
Net receivables and lease investments 119,535 106,144
Other assets 6,892 7,175
Total Financial Services assets 137,201 123,375
Total assets $198,938 $180,545
LIABILITIES AND STOCKHOLDERS' EQUITY
Automotive
Trade payables $ 8,769 $ 7,944
Other payables 1,976 1,631
Accrued liabilities 10,815 9,983
Income taxes payable 160 318
Debt payable within one year 932 1,249
Total current liabilities 22,652 21,125
Long-term debt 7,084 7,068
Other liabilities 25,911 21,866
Deferred income taxes 1,089 1,333
Total Automotive liabilities 56,736 51,392
Financial Services
Payables 1,881 1,514
Debt 103,960 90,188
Deposit accounts 10,549 14,030
Deferred income taxes 2,287 1,616
Other liabilities and deferred income 5,583 4,532
Net payable to Automotive 910 1,437
Total Financial Services liabilities 125,170 113,317
Preferred stockholders' equity in a subsidiary company 1,458 1,083
Stockholders' equity
Capital stock
Preferred Stock, par value $1.00 per share (aggregate
liquidation preference of $3.4 billion) * *
Common Stock, par value $1.00 per share (464 and 454 million shares issued) 464 454
Class B Stock, par value $1.00 per share (35 million shares issued) 35 35
Capital in excess of par value of stock 5,082 4,698
Foreign currency translation adjustments and other (678) (62)
Minimum pension liability adjustment (400) -
Earnings retained for use in business 11,071 9,628
Total stockholders' equity 15,574 14,753
Total liabilities and stockholders' equity $198,938 $180,545
</TABLE>
- - - - - -
*Less than $1 million
Certain amounts for 1992 have been reclassified to conform with presentations
adopted in 1993.
FS-5
<PAGE>
<TABLE>
<CAPTION>
Ford Motor Company and Subsidiaries
CONSOLIDATED STATEMENT OF CASH FLOWS
For the Years Ended December 31, 1993, 1992, and 1991
(in millions)
1993 1992 1991
Financial Financial Financial
Automotive Services Automotive Services Automotive Services
<C> <S> <S> <S> <S> <S> <S>
Cash and cash equivalents at January 1 $ 3,504 $ 3,182 $ 4,958 $ 3,175 $ 4,599 $ 2,168
Cash flows from operating activities 6,862 7,145 5,753 5,762 3,341 4,780
Cash flows from investing activities
Capital expenditures (6,714) (100) (5,697) (93) (5,723) (124)
Proceeds from sale and leaseback of
fixed assets 884 - 263 - 619 -
Acquisitions of other companies 0 (336) 0 (461) 0 (860)
Proceeds from sales of subsidiaries 173 0 52 0 273 0
Acquisitions of receivables and lease
investments - (163,858) - (134,619) - (124,606)
Collections of receivables and
lease investments - 142,844 - 123,144 - 117,581
Purchases of securities (100,493) (13,741) (50,437) (12,877) (56,141) (11,876)
Sales of securities 101,927 12,426 49,629 12,169 52,795 14,450
Proceeds from sales of receivables - 4,794 - 6,465 - 4,533
Loans originated net of principal payments - (1,466) - (938) - (321)
Investing activity with Financial Services (117) - 709 - 837 -
Other (69) 389 (492) 372 (175) 555
Net cash used in investing activities (4,409) (19,048) (5,973) (6,838) (7,515) (668)
Cash flows from financing activities
Cash dividends (1,086) - (977) - (927) -
Sale of Preferred Stock 0 - 1,104 - 2,252 -
Issuance of Common Stock 394 - 221 - 371 -
Changes in short-term debt (66) 6,065 (426) 2,739 117 (3,931)
Proceeds from issuance of other debt 424 22,128 1,865 13,382 4,808 13,889
Principal payments on other debt (376) (13,791) (1,598) (13,122) (2,477) (9,981)
Financing activity with Automotive - 117 - (709) - (837)
Changes in customers' deposits, excluding
interest credited - (3,861) - (3,418) - (1,875)
Receipts from annuity contracts - 821 - 703 - 46
Issuance of subsidiary company preferred stock - 375 - 283 - 0
Other (124) (76) 79 (10) 3 12
Net cash (used in)/provided by financing
activities (834) 11,778 268 (152) 4,147 (2,677)
Effect of exchange rate changes on cash 17 25 (220) (47) (35) (7)
Net transactions with Automotive/
Financial Services 527 (527) (1,282) 1,282 421 (421)
Net increase/(decrease) in cash and cash
equivalents 2,163 (627) (1,454) 7 359 1,007
Cash and cash equivalents at December 31 $ 5,667* $ 2,555 $ 3,504* $ 3,182 $ 4,958* $ 3,175
<CAPTION>
<C> <S> <S>
Total cash and cash equivalents $8,222 $6,686 $8,1
</TABLE>
- - - - - -
*Automotive cash, cash equivalents, and marketable securities on December 31
were as follows (in millions): 1993 - $9,752 ; 1992 - $9,035; 1991 - $9,753
FS-6
<PAGE>
<TABLE>
<CAPTION>
Ford Motor Company and Subsidiaries
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY
For the Years Ended December 31, 1993, 1992, and 1991
(in millions)
1993 1992 1991
<C> <S> <S> <S>
CAPITAL STOCK
Common Stock
Balance at beginning of year $ 454 $ 448 $ 438
Issued for employee benefit plans and other 10 6 10
Balance at end of year 464 454 448
Class B Stock 35 35 35
Series A Preferred Stock
Balance at beginning of year * * -
Sale of Series A Preferred Stock 0 0 *
Balance at end of year * * *
Series B Preferred Stock
Balance at beginning of year * - -
Sale of Series B Preferred Stock 0 * -
Balance at end of year * * -
CAPITAL IN EXCESS OF PAR VALUE OF STOCK
Balance at beginning of year 4,698 3,379 766
Issued for employee benefit plans and other 384 215 361
Sale of Series A Preferred Stock 0 0 2,252
Sale of Series B Preferred Stock 0 1,104 -
Balance at end of year 5,082 4,698 3,379
FOREIGN CURRENCY TRANSLATION ADJUSTMENTS
AND OTHER
Balance at beginning of year (62) 838 823
Translation adjustments during year (508) (975) 8
Minimum pension liability adjustment (400) - -
Other (108) 75 7
Balance at end of year (1,078) (62) 838
EARNINGS RETAINED FOR USE IN THE BUSINESS
Balance at beginning of year 9,628 17,990 21,175
Net income/(loss) 2,529 (7,385) (2,258)
Cash dividends (1,086) (977) (927)
Balance at end of year 11,071 9,628 17,990
Total stockholders' equity $15,574 $14,753 $22,690
<CAPTION>
Common Class B Preferred Preferred
SHARES OF CAPITAL STOCK Stock Stock Stock Stock
<C> <S> <S> <S> <S>
Issued at December 31, 1990 438 35 - -
Additions
1991 10 0 0.046 -
1992 6 0 0 0.023
1993 10 0 0 0
Net additions 26 0 0.046 0.023
Issued at December 31, 1993 464 35 0.046 0.023
</TABLE>
- - - - - -
*Less than 1 million
FS-7
<PAGE>
