Filed
Pursuant to Rule 433
Registration
No. 333-151355
NEWS
|
Contact:
|
Mark
Truby
1.313.323.0539
mtruby@ford.com
|
Equity Investment
Community:
Larry
Heck
1.313.594.0613
fordir@ford.com
|
Investment
Community:
Dave
Dickenson
1.313.621.0881
fixedinc@ford.com
|
1.800.555.5259
or
1.313.845.8540
stockinf@ford.com
|
IMMEDIATE
RELEASE
FORD
RAISES $1.4 BILLION THROUGH COMMON STOCK OFFERING
DEARBORN,
Mich., May 12, 2009 – Ford Motor Company (NYSE: F) announced today that it has
agreed to sell 300 million shares of its common stock in a public offering at a
price of $4.75 per share for total gross proceeds of approximately $1.4
billion.
Ford also
granted to the underwriters a 30-day option to purchase up to 45 million
additional shares of common stock to cover over-allotments.
Net proceeds to Ford from the offering
are expected to be used for
general corporate purposes, including to fund with cash, instead of stock, a portion of the
payments the company is required to make to the Voluntary Employee Beneficiary
Association (VEBA) retiree health care trust with the United Auto
Workers.
“We are
pleased with this equity offering, which is another key step in our plan to
transform Ford into an exciting, viable enterprise poised to return to
profitability,” said Alan Mulally, Ford president and CEO. “By
issuing equity now and potentially funding a larger portion of our future VEBA
obligations with cash, we are able to further improve our balance sheet and
significantly reduce the potential dilutive impact of the VEBA obligations on
existing shareholders.”
Under the
previously announced agreement in principle with the UAW, Ford has the option to
settle up to 50 percent of its obligations to the VEBA in shares of Ford common
stock. That includes three separate payments of $610 million due in
December 2009, June 2010 and June 2011.
If Ford
were to elect to settle those obligations by issuing stock to the VEBA, the
number of shares Ford would have to issue would be calculated at the following
share prices: December 2009: $2.00; June 2010: $2.10; and June 2011:
$2.20. By accessing the equity market now and potentially using the
proceeds to pay those VEBA obligations in cash, Ford is not only strengthening
its balance sheet, but also significantly reducing the potential future dilutive
impact of the UAW agreement.
Citi,
Goldman, Sachs & Co., J.P. Morgan, Morgan Stanley, Deutsche Bank Securities
Inc. and Merrill Lynch & Co. are acting as joint book-running managers of
the offering.
Ford has filed a registration statement
– including a prospectus – with the SEC for the offering to which
this communication relates. Before investing, investors should read the prospectus in that registration statement
and other documents Ford has filed with the SEC for more complete information
about Ford and this offering.
Investors may obtain these documents for free by visiting
EDGAR on the SEC Web site at www.sec.gov. Alternatively, the issuer, any underwriter or any
dealer participating in the offering will arrange to send
the prospectus and the prospectus supplement upon request by calling Citi at (800) 831-9146; Goldman, Sachs & Co.
at (212) 902-1171 or (866) 471-2526;
J.P. Morgan Securities Inc. at (718)
242-8002; Morgan Stanley
& Co. Incorporated at (866) 718-1649; Deutsche Bank Securities Inc. at (800) 503-4611; or Merrill Lynch & Co. at (866) 500-5408.
About
Ford Motor Company
Ford
Motor Company, a global automotive industry leader based in Dearborn, Mich.,
manufactures or distributes automobiles across six continents. With
about 205,000 employees and about 90 plants worldwide, the company’s brands
include Ford, Lincoln, Mercury and Volvo. The company provides
financial services through Ford Motor Credit
Company.
# #
#