Pricing Supplement No. 130 Dated January 27, 1995
(To Prospectus and Prospectus Supplement Dated May 4, 1994)
Rule 424(b)(3)
Registration Statement
No. 33-53101
U.S. $6,000,000,000
FORD MOTOR CREDIT COMPANY
MEDIUM-TERM NOTES DUE FROM 9 MONTHS TO 30 YEARS FROM DATE OF ISSUE
Ford Motor Credit Company has designated $200,000,000
aggregate principal amount of its Medium-Term Notes Due from 9
Months to 30 Years from Date of Issue having the specific terms set
forth below. Merrill Lynch & Co., Merrill Lynch, Pierce, Fenner &
Smith Incorporated has agreed to purchase the Notes at a price of
99.750% of their principal amount for resale at an initial public
offering price of 100% of the principal amount. After the initial
public offering, the offering price may be changed. See the
accompanying Prospectus and Prospectus Supplement for further
information regarding the Notes described in this Pricing
Supplement.
Issue Date: February 3, 1995
Principal Amount: $200,000,000
Interest Rate Basis: Federal Funds Rate (as hereinafter
defined)
Spread: Plus 40 basis points (.40%)
Interest Payment
Dates: Quarterly on the 3rd day of the months of
February, May, August and November during
the period commencing May 3, 1995, and
ending on the Stated Maturity
Stated Maturity: February 3, 1998
Interest Reset Dates: Daily as hereinafter provided
Reference Agent: Chemical Bank
MERRILL LYNCH & CO.
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DESCRIPTION OF NOTES
The following description of the particular terms of the Notes
offered hereby supplements, and to the extent inconsistent
therewith replaces, the descriptions of the general terms and
provisions of the Notes set forth in the accompanying Prospectus
Supplement and of the Debt Securities set forth in the accompanying
Prospectus, to which descriptions reference is hereby made. All
terms used but not defined herein which are defined in the
accompanying Prospectus or Prospectus Supplement shall have the
meanings therein assigned to them.
INTEREST
Interest on the Notes will be payable quarterly on the 3rd day
of February, May, August and November during the period commencing
May 3, 1995 and ending on February 3, 1998 (the "Stated Maturity")
to the person in whose name any Note is registered on the close of
business fifteen days preceding each Interest Payment Date or the
Maturity Date, as the case may be. The Notes are not subject to
redemption prior to the Maturity Date.
The per annum interest rate on the Notes (the "Interest Rate")
in effect for each day of an Interest Period will be equal to the
Federal Funds Rate plus 40 basis points (.40%). The Interest Rate
for each Interest Period will be reset on each Business Day,
commencing with February 3, 1995 (each such day an "Interest Reset
Date") to but excluding the day on which the principal hereof is
paid or made available for payment (the "Principal Payment Date");
provided, however, that the first Business Day preceding any
Interest Payment Date or the Principal Payment Date, as the case
may be, shall not be deemed to be an Interest Reset Date.
"Interest Period" shall mean the period from and including an
Interest Reset Date to but not including the next succeeding
Interest Reset Date or the Principal Payment Date, as the case may
be, and in the case of the last Interest Period in an Interest
Payment Period, from and including the second Business Day
preceding such Interest Payment Date or the Principal Payment Date,
as the case may be, to but not including the next succeeding
Interest Reset Date or the Principal Payment Date, as the case may
be. "Business Day" shall mean any day that is not a Saturday or a
Sunday and that, in The City of New York, is not a day on which
banking institutions are generally authorized or obligated by law
to close. "Interest Payment Period" shall mean the period from and
including an Interest Payment Date, or in the case of the first
such period, February 3, 1995 to and including the day prior to the
next Interest Payment Date and, in the case of the last such
period, from and including the Interest Payment Date immediately
preceding the Principal Payment Date to but not including the
Principal Payment Date.
The "Federal Funds Rate" shall mean the rate determined in
accordance with the following provisions:
For each Interest Reset Date, Chemical Bank (the "Reference
Agent"), as an agent for the Company, will determine the Federal
Funds Rate which shall be the rate for Federal Funds for the
Business Day immediately preceding such Interest Reset Date which
appears on Telerate Page 120 under the heading "FED FUNDS
EFFECTIVE -- EFF", as of 11:00 a.m. New York City time on such
Interest Reset Date; or, if such rate is not so published by
11:00 a.m. New York City time on such Interest Reset Date, the
Federal Funds Rate shall be the rate for Federal Funds for the
Business Day preceding such Interest Reset Date as published on
such Interest Reset Date in "Composite Quotations" under the
heading "Federal Funds/Effective Rate." If on the Calculation
Date pertaining to such Interest Reset Date such rate is not yet
published in Composite Quotations, the Federal Funds Rate for
such Interest Reset Date will be calculated by the Reference
Agent and will be the arithmetic mean (rounded, if necessary, to
the nearest one hundred-thousandth of a percentage point, with 5
one-millionths of a percentage point rounded upwards) of the
rates for the last transaction in overnight Federal Funds
arranged by three leading dealers of Federal Funds transactions
in The City of New York selected by the Reference Agent as of
11:00 a.m., New York City time, on such Interest Reset Date;
provided, however, that if the dealers selected as aforesaid by
the Reference Agent are not quoting as mentioned in this
sentence, the Interest Rate for the Interest Period commencing on
such Interest Reset Date will be the Interest Rate in effect on
the preceding Interest Reset Date.
"Telerate Page 120" means the display page so designated on
the Dow Jones Telerate Service (or such other page as may replace
that page on that service for the purpose of displaying the rate
for Federal Funds). "Composite Quotations" means the daily
statistical release entitled "Composite 3:30 P.M. Quotations for
U.S. Government Securities", or any successor publication,
published by the Federal Reserve Bank of New York. The
"Calculation Date" pertaining to any Interest Reset Date shall be
the Business Day following such Interest Reset Date, provided,
however, that with respect to the last Interest Reset Date in an
Interest Payment Period, the Calculation Date shall be such
Interest Reset Date.
The amount of interest for each day that the Notes are
outstanding (the "Daily Interest Amount") will be calculated by
dividing the Interest Rate in effect for such day by 360 and
multiplying the result by the principal amount of the Notes. The
amount of interest to be paid on the Notes for each Interest
Payment Period will be calculated by adding the Daily Interest
Amounts for each day in the Interest Payment Period.
In any case in which an Interest Payment Date is not a
Business Day, payment of interest shall be made on the next
succeeding Business Day and the Interest Payment Period scheduled
to end on such Interest Payment Date shall end on such next
succeeding Business Day. If the Stated Maturity is not a
Business Day, payment of principal and interest shall be made on
the next succeeding Business Day and no interest will accrue for
the period from and after the Stated Maturity.
The Interest Rate will in no event be higher than the
maximum rate permitted by New York law as the same may be
modified by United States law of general application.
The Interest Rate for each Interest Period and the amount of
interest to be paid on the Notes for each Interest Payment Period
will be determined by the Reference Agent. All calculations made
by the Reference Agent shall in the absence of manifest error be
conclusive for all purposes and binding on the Company and the
holder of the Notes. So long as the Federal Funds Rate is
required to be determined with respect to the Notes, there will
at all times be a Reference Agent. In the event that any then
acting Reference Agent shall be unable or unwilling to act, or
that such Reference Agent shall fail duly to establish the
Interest Rate for any Interest Period or the amount of interest
to be paid on the Notes for any Interest Payment Period, or that
the Company proposes to remove such Reference Agent, the Company
shall appoint itself or another person which is a bank, trust
company, investment banking firm or other financial institution
to act as the Reference Agent.
