By: Susannah LiddleBy: Susannah LiddleCookCook

12/11/1212/11/1266thth period period

History and BackgroundHistory and Background 1896: Henry Ford builds his 1896: Henry Ford builds his first vehicle.first vehicle.

1906: Ford becomes the 1906: Ford becomes the top selling car brand.top selling car brand.

1904: Ford Motor Company 1904: Ford Motor Company expands to Canada.expands to Canada.

1907: Ford creates 1907: Ford creates and uses an assembly and uses an assembly line. line.

History and Background History and Background (cont.)(cont.)

1916: Ford creates the Model 1916: Ford creates the Model T field ambuleanceT field ambuleance

1979: Ford acquires 25% Mazda stock.

1922: Ford purchases 1922: Ford purchases Lincoln Motor CompanyLincoln Motor Company

1954: Thunderbird introduced 1954: Thunderbird introduced as a luxury car.as a luxury car.

History and Background History and Background (cont.)(cont.)

1996: Ford certifies all plants 1996: Ford certifies all plants in environmental standards. in environmental standards.

1996: Ford increases investment 1996: Ford increases investment in Mazda Corporation, in Mazda Corporation, controlling interest of 33.4%. controlling interest of 33.4%.

2008: Ford refuses government 2008: Ford refuses government bailout offerbailout offer

Evolution of the logoEvolution of the logo

1912

1928

1903

2003

Main CompetitorsMain Competitors

Main Competitors cont.Main Competitors cont.

Pvt1Pvt1 = Chrysler Group LLC (privately held) = Chrysler Group LLC (privately held)

GMGM = General Motors Company = General Motors Company

TMTM = Toyota Motor Corporation = Toyota Motor Corporation

IndustryIndustry = Major Auto Manufacturers = Major Auto Manufacturers

Current Head of the Current Head of the CompanyCompany

Anthony F. Earley, Jr.Anthony F. Earley, Jr.

Chairman, Chief Executive Officer & Chairman, Chief Executive Officer & PresidentPresident

Recent Business Experience: became Chairman, Chief Recent Business Experience: became Chairman, Chief Executive Officer on September 13, 2011.Executive Officer on September 13, 2011.

Committee Memberships: Compensation, Nominating Committee Memberships: Compensation, Nominating and Governance, Sustainabilityand Governance, Sustainability

Current Head of the Current Head of the CompanyCompany

Alan MulallyAlan Mulally

President and Chief ExecutivePresident and Chief Executive

Recent Business Experience:Recent Business Experience: President and Chief President and Chief Executive Officer of Boeing Commercial Airplanes. a Executive Officer of Boeing Commercial Airplanes. a fellow of England's Royal Academy of Engineering.fellow of England's Royal Academy of Engineering.

Committee Memberships: FinanceCommittee Memberships: Finance

Ford DesendentFord Desendent

William Clay FordWilliam Clay Ford

retired from the Board of retired from the Board of Directors effective May 12, Directors effective May 12, 2005.2005.

Recent TrendsRecent Trends Better fuel efficientcyBetter fuel efficientcy

•battery electric battery electric vehiclevehicle

MyFord Touch™ (and MyFord Touch™ (and MyLincoln Touch™)MyLincoln Touch™)

EcoBoost

Financial AnalysisFinancial Analysis 12 Mo. Price Change: +4% 12 Mo. Price Change: +4% Ford has underperformed Ford has underperformed

the S&P 500 by 9% the S&P 500 by 9%

Ford stocks 2008-2012

In the third Quarter of 2012 Ford report revenue of $32.1 billion for the quarter, down by 2.9% from last year's figure of $33.05 billion.

The P/E ratio for Ford is 2.3, below the industry average of 7.29

Ford reported profit of $1.63 billion during the third quarter, down 1.2% from last year's figures.

Company PerformanceCompany Performance Major RecallsMajor Recalls

Ford EscapesFord Escapes 12/7/12 Ford recalls more than 12/7/12 Ford recalls more than 19,000 2013 Fusion models in the 19,000 2013 Fusion models in the U.S. due to faulty headlamps.U.S. due to faulty headlamps.

Ford sales in China surged 56% Ford sales in China surged 56% to 67,505 vehicles in November.to 67,505 vehicles in November.

Two Ford hybrid models fall Two Ford hybrid models fall well short of the automaker's well short of the automaker's fuel economy claims.fuel economy claims.

Good Time to Invest?Good Time to Invest?

Although they have strong sales, Although they have strong sales, they have underperformed the they have underperformed the market in price and P/E ratio.market in price and P/E ratio.

They face stiff competition from They face stiff competition from rival auto makersrival auto makers

Currently facing a number of Currently facing a number of technical challengestechnical challenges

Recommendation Trends

This Month

5

10

7

Last Month

5

9

7

Two Months Ago

5

9

7

Strong BuyStrong Buy

BuyBuy

HoldHold

SourcesSources http://corporate.ford.com/our-company/governanc

e-hub/board-of-directors-801p http://corporate.ford.com/search/search-results?x

=0&y=0&searchtext=recent+trends+in+ford http://corporate.ford.com/microsites/sustainability

-report-2010-11/economy-products-smart

http://corporate.ford.com/microsites/sustainability-report-2010-11/issues-climate-plan-partnerships

http://www.investopedia.com/markets/stocks/f/charts/#ixzz2Ehl6Khxs

http://www.benzinga.com/news/12/12/3146052/ford-china-sales-surge-56-in-november

http://news.investors.com/business/120612-636092-ford-hybrids-mpg-consumer-reports.htm?ven=investopediacp

Sources (cont.)Sources (cont.) http://corporate.ford.com/our-company

•http://www.muscularmustangs.com/database2/fordlogo.php

•http://corporate.ford.com/ourcompany/heritage/company-milestones-news

•http://finance.yahoo.com/q/co?s=F+Competitors•http://en.wikipedia.org/wiki/History_of_Ford_Motor_Company•http://www.pbs.org/wgbh/aso/databank/entries/dt13as.htmlhttp://finance.yahoo.com/q/http://finance.yahoo.com/q/ao?s=F+Analyst+Opinionao?s=F+Analyst+Opinion