Ford 2009 Annual Report Download - page 4

2 Ford Motor Company | 2009 Annual Report
Last year Ford Motor Company
continued its transformation in
the face of extraordinarily difficult
economic conditions. By borrowing
all we could ahead of the credit
collapse and dramatically cutting
our costs we avoided a government
bailout. We then went on to
achieve one of the greatest financial
turnarounds in our history.
Our outstanding progress confirmed
we are headed in the right direction,
but we know our journey is far from over.
We are now fighting our way back to prosperity.
Today the automotive industry is at the intersection of three
critical global issues: the economy, energy and the environment.
There are concerns about competitiveness and employment, the
availability and affordability of fuel, and the impact of CO2 emissions.
In response to these concerns, for the first time in a century, some
of the most fundamental and enduring elements of the automobile
are being radically transformed by new technologies. The key to
this transformation, and to success in our business, is continuous
improvement and innovation.
We remain intensely focused on
growing our business profitably
by delivering exciting vehicles that
our customers want and value.
To do that we want to be a leader
in the application of technology that
makes our customers’ lives better.
That includes developing breakthrough
technologies to address the critical
global issues that impact us all.
Operating as ONE Ford around the
world allows us to fully leverage our
resources so that we can introduce
new technology at a lower cost and
a faster pace. These advanced
technologies will help us ensure that
every new product we introduce will
be a leader in its segment for fuel
economy, while providing top quality, safety and value.
We are transforming our company and our products to keep pace
with a rapidly changing world. We are proud of our achievements,
but also fully aware that in a fiercely competitive global economy
there is no room for complacency. The fact that our plan is
working will not slow us down – rather, it will inspire us to move
faster and farther.
Thank you for your continued support of our efforts.
William Clay Ford, Jr.
Executive Chairman
March 4, 2010
Ford Motor Company emerged
from the challenging business
environment of 2009 with the
strongest proof yet that our ONE
Ford plan is working. We reported
full year 2009 net income of $2.7
billion, which was the company’s
first full year of positive net income
since 2005 and a $17.5 billion
improvement over the previous
year. We achieved a pre-tax
operating profit, excluding special
items, of $472 million in 2009,
which was a $7.3 billion improvement over 2008.
(See page 22 for a listing of special items in 2009 and 2008.)
We still face significant challenges, but by following the ONE Ford
plan we put in place three and a half years ago we are forging a
path toward profitable growth. Our plan remains unchanged:
 •Aggressivelyrestructuretooperateprofitablyatthecurrent
lower demand and the changing model mix.
 •Acceleratethedevelopmentofhigh-quality,fuel-efficient,
safe new products that customers want and value.
 •Financeourplanandimproveourbalancesheet.
 •Worktogetherasoneteam,leveragingourglobalassets.
ONE Ford helped us achieve profitability and grow our business
despite a global recession. In every part of the world we are
providing customers with great products, building a stronger
business and contributing to a better world.
Great Products
In 2007 we created a single global product development
organization to maximize economies of scale and share best
practices and ideas. That allows us to fully leverage our resources
so that we can offer a full range of vehicles with the best quality,
fuel-efficiency, safety, smart design and value.
Taking full advantage of our global scale and talent to build
products customers want and value is already paying off for us in
markets around the world. And within the next four years, all Ford
vehicles competing in global product segments will be common in
North America, South America, Europe and Asia Pacific Africa.
In 2009 our strong products drove full year market share gains
in North America, Europe and South America while maintaining
share in the rapidly growing Asia Pacific Africa region.
In the U.S., Ford F-Series was the best-selling truck for the 33rd
year in a row in 2009. In the utilities segment, the Ford brand was
the top-selling brand of crossovers in the U.S., led by the Ford
Escape. Every consumer metric about the Ford brand – including
favorable opinion, consideration, shopping and intention to buy –
ended the year at record levels. Full-year total market share was
15.3 percent, more than one point higher than 2008, marking the
company’s first full-year U.S. market share increase since 1995.
In Canada, Ford was the best-selling brand in 2009, and the Ford
F-Series was the best-selling truck for the 44th year in a row.
Led by the Fiesta, Focus and Ka, Ford strengthened its position
´
A Message from the
Executive Chairman
´ A Message from the
President and CEO
William Clay Ford, Jr. celebrated his
30-year anniversary with Ford Motor
Company. Pictured with him are Elena
Ford, Director, Global Marketing, Sales
and Service Operations and Felicia
Fields, Group Vice President, Human
Resources and Corporate Services.