Ford 2011 Annual Report Download - page 110

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Notes to the Financial Statements
108 Ford Motor Company | 2011 Annual Report
NOTE 5. RESTRICTED CASH
Cash and cash equivalents that are restricted as to withdrawal or usage under the terms of certain contractual
agreements are recorded in Other assets on our balance sheet.
Our Automotive sector restricted cash balances primarily include cash collateral required to be held against loans from
the European Investment Bank ("EIB") and cash collateral required for bank guarantees. Additionally, restricted cash
includes various escrow agreements related to insurance, customs, judicial, and environmental matters. Our Financial
Services sector restricted cash balances primarily include cash held to meet certain local governmental and regulatory
reserve requirements. At December 31, 2010, restricted cash also included cash collateral required to be held against
loans from the EIB.
Restricted cash does not include required minimum balances or cash securing debt issued through securitization
transactions.
Restricted cash reflected on our balance sheet at December 31 was as follows (in millions):
Automotive sector
Financial Services sector
Total Company
2011
$330
149
$479
2010
$433
298
$731
NOTE 6. MARKETABLE AND OTHER SECURITIES
We hold various investments classified as marketable securities, including U.S. government and non-U.S.
government securities, non-U.S. government agencies, corporate obligations and equities, and asset-backed securities.
We record marketable securities at fair value. Unrealized gains and losses are recorded in Automotive interest
income and other non-operating income/(expense), net and Financial Services other income/(loss), net. Realized gains
and losses are measured using the specific identification method.
Investments in Marketable Securities
Investments in marketable securities at December 31 were as follows (in millions):
Automotive sector (b)
Financial Services sector
Intersector elimination (b)
Total Company
2011
Fair Value
$14,984
3,835
(201)
$18,618
Unrealized
Gains/
(Losses) (a)
$(93)
(9)
—
$(102)
2010
Fair Value
$14,207
6,759
(201)
$20,765
Unrealized
Gains/
(Losses) (a)
$34
4
—
$38
__________
(a) Unrealized gains/(losses) for period related to instruments still held.
(b) "Fair Value" reflects an investment in Ford Credit debt securities shown at a carrying value of $201 million and $201 million (estimated fair value of
which is $201 million and $203 million) at December 31, 2011 and 2010, respectively. See Note 18 for additional detail.
Included in Automotive sector marketable securities above is our investment in Mazda. In 2010, we sold 133 million
shares of Mazda for net proceeds of $372 million. We continue to own 62 million shares of Mazda, representing a
3.5% ownership interest. The fair value of our investment in Mazda at December 31, 2011 and 2010 was $110 million and
$179 million, respectively.