Published on

  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide


  1. 1. U.S. TRUST To Participants in Certain Ford Motor Company ("Ford") Savings Plans: Our letter of May 18, 2006 informed you of U.S. Trust’s appointment as the independent fiduciary and investment manager for the Ford Stock Fund. The Ford Stock Fund holds shares of Ford common stock and is an investment option that is available under each of the following Ford plans (collectively, the “Plan”): • Savings and Stock Investment Plan for Salaried Employees • Tax-Efficient Savings Plan for Hourly Employees In light of the continuing challenges faced by Ford and the domestic automotive industry, we wanted to takes this opportunity to remind you of U.S. Trust’s role and of the risks inherent in a non-diversified investment such as the Ford Stock Fund. The Ford Stock Fund is invested exclusively in Ford common stock and holds no other assets, other than cash necessary to facilitate participant transactions into and out of the Ford Stock Fund. This means that the Ford Stock Fund is not diversified. Because the Ford Stock Fund is not diversified, it has the highest risk of all of the investment options under the Plan. As we stated in our May 2006 letter, the decision of how to invest your Plan account is yours to make, but the best way to reduce market risk is to diversify your investments. The Plan offers numerous investment choices with a wide range of risk and return that allow you to construct a diversified portfolio tailored to your own investment goals. You should therefore review from time to time your asset allocation strategy and consider whether the risk associated with your investment in the Ford Stock Fund is appropriate in light of your own situation and your personal retirement goals. In evaluating your Plan investments, you may exchange out of the Ford Stock Fund at any time into other investment options under the Plan, subject to any restrictions imposed by the investment option. U.S. Trust does not plan to take any action with respect to the Ford Stock Fund at this time. As we previously stated, U.S. Trust has the authority to impose any limitation or restriction on the investment of participant accounts in the Ford Stock Fund; to sell or otherwise dispose of all of the Ford common stock held in the Ford Stock Fund (subject to practical or legal restrictions); and to designate an alternate investment fund under the Plan for the temporary investment of any proceeds from the sale or other disposition of the Ford common stock held in the Ford Stock Fund. U.S. Trust will not take any action with respect to the Ford Stock Fund simply because of fluctuations in the market price of Ford common stock, even if a substantial or prolonged decline in the market price of the Ford common stock occurs as a result of adverse disclosures concerning Ford or its businesses or for any other reason, unless the situation calls into serious question the short-term viability of Ford as a going concern. Pursuant to the terms of the Plan, U.S. Trust will exercise its authority to restrict or liquidate the Ford Stock Fund only if it determines, on the basis of reliable public information, that there is a serious question as to the short-term viability of Ford as a going concern. U.S. Trust has not made such a determination. In carrying out its responsibilities to Plan participants, U.S. Trust is not, and will not be, in possession of any inside information concerning Ford or Ford’s financial condition. While U.S. Trust intends to communicate to participants any significant action it takes with respect to the Ford Stock Fund, the timing of certain circumstances may require U.S. Trust to take action prior to notifying participants. UNITED STATES TRUST COMPANY, N.A. 600 14th Street, N.W. Suite 400 Washington DC 20005
  2. 2. U.S. Trust has no responsibility for any investment option under the Plan other than the Ford Stock Fund. Participants with questions regarding matters such as fund transfers, distributions, loans and account balance information should contact the Fidelity Service Center for Ford Motor Company at 1-800-544-3333. U.S. Trust has established a Web site for Plan participants at http://www.ustrust-fordplans.com. Please check the U.S. Trust Web site periodically for communications from U.S. Trust concerning the Ford Stock Fund. Participants who have questions or comments regarding this letter or the Ford Stock Fund should contact U.S. Trust at fordmotorco@ustrust.com or at 1-800- 573-4395. Participants also may contact U.S. Trust by mail at the following address: Ford Participant Inquiry c/o Special Fiduciary Services Division United States Trust Company, N.A. 515 South Flower Street; Suite 2700 Los Angeles, CA 90071 UNITED STATES TRUST COMPANY, N.A. February 27, 2007 This document has been provided by Ford Motor Company and its content is solely the responsibility of Ford Motor Company. 3.FD-C-797F.100