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 19, 1997
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FORD MOTOR CREDIT COMPANY
(Exact name of registrant as specified in its charter)
Delaware 1-6368 38-1612444
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(State or other juris- (Commission File Number (IRS Employer
diction of incorporation Number) Identification No.)
The American Road, Dearborn, Michigan 48121
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code 313-322-3000
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ITEM 5. Other Events.
News release dated February 19, 1997, filed as Exhibit 99 to this
Current Report on Form 8-K, is incorporated by reference herein.
ITEM 7. Financial Statements, Pro Forma Financial Information and Exhibits.
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EXHIBITS
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Designation Description Method of Filing
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Exhibit 99 News release dated Filed with this Report
February 19, 1997
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 CREDIT COMPANY
(Registrant)
Date: February 20, 1997 By:/s/R. P. Conrad
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R. P. Conrad
Assistant Secretary
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EXHIBIT INDEX
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DESIGNATION DESCRIPTION
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Exhibit 99 News release dated
February 19, 1997
EXHIBIT 99
Truck Vehicle Center, Product Development Center, Room 1AA11, MD189,
Dearborn, Michigan 48121 Telephone: 313-621-4651; Fax: 313-845-1119 Internet:
http://media.ford.com
Contacts: Mike Jarvis, Ford Truck Public Affairs, 313-322-9600
Anne Booker, Ford Regional Public Affairs, 502-429-2542
Debi Nicholson, Freightliner Public Affairs, 503-735-8535
David Caplan, Ford Broadcast News, 313-594-4410
IMMEDIATE RELEASE
FREIGHTLINER TO BUY FORD'S HEAVY-TRUCK BUSINESS
DEARBORN, Mich., Feb. 19, 1997 - The planned sale of Ford Motor Company's
heavy-truck business to Freightliner Corporation was announced today by the two
companies. Terms were not disclosed.
Both firms have signed a letter of intent for Freightliner to buy Ford's
technology, unique tooling and assembly equipment for Ford's heavy trucks. The
transaction includes the Louisville/AeroMax (HN80) trucks, Ford's service parts
business, and all remaining tooling for the predecessor Ford L-Series trucks and
the Ford Cargo truck presently being phased out of production.
The transaction is subject to the signing of definitive agreements and
regulatory approvals. The potential sale covers the United States, Canadian,
Mexican and Australian markets.
"Freightliner is a recognized leader in the industry and has plans to grow
the business," said Jim Donaldson, Ford vice president - Truck Vehicle Center.
We've completed a thorough, strategic review of our heavy-truck operations and
concluded that Ford resources can be better focused on our light and medium
trucks with higher volumes as a core business."
Freightliner President and Chief Executive Officer Jim Hebe said that
Freightliner "sees significant strategic value in a second heavy-truck line that
complements our existing business."
"The Ford heavy-truck line and the chance to develop a business
relationship with Ford's well-established heavy-truck dealer network is a
tremendous opportunity for Freightliner," Hebe added. "Freightliner intends to
operate separate sales divisions with separate dealer organizations for
Freightliner and the products acquired from Ford."
With this acquisition, Freightliner would gain a "vocational" heavy truck
used for applications such as construction, fire trucks, oil delivery, tankers
and snow plows, as well as a distribution system that has specialized in selling
such products through 257 dealers in the U.S. and Canada.
Ford plans over time to use the open capacity at the Kentucky Truck Plant
in Louisville, Ky., for other products when the sale to Freightliner is
completed. Ford expects to maintain employment at the plant at present
levels.
Donaldson and Hebe emphasized that Ford's present heavy-truck customers,
dealers and suppliers would derive significant long-term benefits from the new
affiliation with Freightliner. They said the two companies would work together
to make the proposed transition as smooth as possible.
The Ford plant in Louisville, the largest truck plant in North America, has
hourly employment of 3,900. In addition to heavy trucks, the plant builds Ford
medium trucks -- the F-250, F-350 and F-Super Duty pickups.
Freightliner Corporation, headquartered in Portland, Ore., is the leading
heavy-truck manufacturer in North America. Freightliner produces and markets
Class 4-8 trucks and is a wholly owned subsidiary of the Daimler-Benz AG group,
one of the world's leading commercial vehicle manufacturers.
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