1. Ford's plan is to aggressively restructure operations to be profitable at lower demand, accelerate development of new products customers want, and improve their balance sheet. 2. Ford aims to achieve benchmark levels of efficiency through platform sharing, powertrain standardization, and order complexity reduction. 3. Ford's product strategy focuses on bold designs, driving enjoyment, comfort, quiet cabins, fuel economy, and value across the Ford and Lincoln brands.

1. Automotive News World Congress Derrick Kuzak Group Vice President Global Product Development Ford Motor Company January 23, 2008

4. Average Age of Portfolio (Years) 2006 2007 2008 2009 2010 2011 Memo: Competitor A 3.1 – 4.2 yrs, Competitor B 3.9 - 4.8 yrs 35% Improvement Ford Lincoln

6. How We Work Achieving World Class Efficiency

7. Product Development Objectives More exciting products, Greater efficiency, Less cost PD Factory Efficiency Output Input # Programs Engineering Costs = = # Of programs weighted by market impact # Of programs weighted by market impact Engineering costs Engineering costs

9. Global Product Development System – Accelerating Product Development All New Vehicle ( Top Hat + Platform ) New Top Hat Calendar Year 2008+ 2006 2004 27% faster 19% faster Base 49% faster 24% faster Base

12. Our Product Strategy

15. Design Leadership: Millimeters Matter

16. Ford Verve Concept – North America

17. Ford Verve Concept - China

18. Ford Verve Concept - Europe

20. “ Infotainment” and Connectivity - Partnering with the Best

23. The Sony Partnership Sony Branded Audio Unit

25. Branding with the Best

27. Showroom Fuel Economy Label Competitiveness 2008 vs 2007 Product Line

28. Fuel Economy and Performance Competitiveness - Flex % Performance Feel % Fuel Economy Better AWD Competitor C Flex 3.5L 6spd Auto AWD AWD Competitor B AWD Competitor A Flex 3.5L 6spd Auto FWD

29. %Performance Feel %Fuel Economy 2009 Escape 2.5L 6spd Auto Competitor A Competitor B Better Fuel Economy and Performance Competitiveness - Escape I4

30. Fuel Economy and Performance Competitiveness - Fusion I4 %Performance Feel %Fuel Economy I4 09 Fusion Auto FWD Competitor B Competitor C Competitor A Better

31. EcoBoost = (10-20%) and and Improved Fuel Economy Direct Injection + + Reduced Emissions (7 – 15%) Turbo-Charging Equal or Better Performance Downsizing

32. EcoBoost Torque Comparison 3.5L V-6 EcoBoost 4.6L V-8 Engine Torque Comparison

34. EcoBoost Application can be Tailored EcoBoost as a base Engine – Mid-Size Car % Performance Feel %Fuel Economy 2.5L 6spd Small I4 EcoBoost Powershift Better

35. %Performance Feel % Fuel Economy 4.6L 3.5L EcoBoost Better EcoBoost Can be Tailored EcoBoost as a Premium Engine – MKS

36. Fuel Economy as a Reason To Buy Near Term Fuel Economy Improvements Mid-Size Utility % Fuel Economy 150 LBS Final EPAS, BMS, Fast Engine Warm-up, ADFSO, N/V opt Downsized PT with EcoBoost Technology 5 to 6 speed +ASC Aero and Parasitic Improvements

37. EcoBoost Consumer Perspective EcoBoost I-4 I-4 Diesel I-4 Hybrid Payback of Incremental Purchase Price Through Fuel Economy Savings Lower Is Better

38. EcoBoost Migration Plan

39. Thank You