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FORD EARNS $502 MILLION IN SECOND QUARTER

 FORD EARNS $502 MILLION IN SECOND QUARTER
 DEARBORN, Mich., July 29 /PRNewswire/ -- Ford Motor Company


(NYSE: F), bolstered by continuing improvement in its U.S. automotive operations and record earnings by Financial Services, posted second- quarter earnings of $502 million, Chairman Harold A. Poling and President Philip E. Benton Jr. reported today.
 Ford earned 93 cents per share of common and Class B stock. Ford lost $324 million, or 68 cents per share, in the second quarter of 1991.
 "Although we are pleased with the improvements achieved by the Ford team so far this year, we recognize the rest of 1992 will remain challenging," Mr. Poling cautioned. "The U.S. economy, while improving, is still fragile, as are the economies in many of Ford's key overseas markets. It will continue to be difficult to achieve healthy results in today's environment."
 Financial Information
 Ford's worldwide automotive operations earned $213 million in the second quarter, compared with a loss of $567 million a year ago. Ford's U.S. automotive operations earned $148 million in the second quarter, compared with a loss of $565 million a year ago. Outside the U.S., automotive earnings were $65 million, compared with a loss of $2 million a year ago.
 Worldwide sales and revenues were $26.8 billion, up $3 billion from the second quarter of 1991. Factory unit sales were 1,640,000, up 95,000 units, or 6 percent.
 "In the United States, Ford benefited from an improvement in car and truck shares, along with gradually increasing industry sales, which led to higher vehicle production and reduced marketing costs," Mr. Poling said. "Outside the U.S., operating results improved in most markets."
 Led by record profits at Ford Credit and The Associates, the Financial Services Group earned $289 million, or 60 cents per share, in the second quarter, up $46 million from 1991. The improvement reflected lower credit losses and higher net interest margins.
 "The Financial Services Group set an any-quarter earnings record and continues to provide a stable, high-quality source of earnings," Mr. Poling said.
 Cash and marketable securities of the company's automotive operations were $10 billion at June 30, 1992. Automotive debt was $8.2 billion. Stockholders' equity was $23.3 billion. Capital spending for the second quarter was $1.2 billion.
 U.S. and European Automotive Markets
 During the first six months of 1992, Ford's share of the U.S. car market was 21 percent, up 0.9 of a point from the 1991 full-year market share, primarily reflecting record shares for Ford Taurus and Mercury Sable. Ford's U.S. truck share was 29.7 percent for the first six months of 1992, up 0.8 of a point from the 1991 full-year market share, led by continuing strong demand for the Ford Explorer and higher shares for the new full-size Ford Econoline van and Club Wagon.
 "We continue to be pleased with the strong acceptance of Ford's 1992 models in the U.S. and are optimistic that our 1993 models -- including the recently launched new Ford Probe and Mercury Villager, and the upcoming redesigned Ford Ranger and new Lincoln Mark VIII -- will meet or exceed customer expectations," Mr. Poling said. "In Europe, a major replacement for the mid-size Sierra, with a new powertrain, as well as a redesigned Ford Escort, will be launched later in the year."
 Ford's 1992 European car share through June was 11.7 percent, down 0.4 of a point compared with 1991 full year. The change reflected weak sales of the Sierra. Ford's truck share was 12 percent, up 1.5 points from 1991 on the strength of the new Courier compact van and the redesigned Transit full-size van.
 Ford Motor Company and Subsidiaries
 HIGHLIGHTS
 Second Second First First
 Quarter Quarter Half Half
 1992 1991 19 ? 1991
 Worldwide factory
 sales of cars,
 trucks, and tractors
 (in thousands)
 - United States 942 842 1,730 1,432
 - Outside United
 States 698 703 1,366 1,353
 Total 1,640 1,545 3,096 2,785
 Sales and revenues
 (in millions)
 - Automotive $ 22,902.8 $ 19,833.1 $ 43,538.7 $ 36,948.3
 - Financial
 Services 3,939.9 4,013.6 7,861.5 8,239.4
 Total $ 26,842.7 $ 23,846.7 $ 51,400.2 $ 45,187.7
 Net income/(loss)
 (in millions)
 - Automotive $ 213.1 $ (566.9) $ 297.9 $ (1,721.7)
 - Financial
 Services 289.3 243.4 542.4 513.8
 Total $ 502.4 $ (323.5) $ 840.3 $ (1,207.9)
 Income/(Loss) per
 share of Common
 and Class B Stock
 - Automotive $ 0.33 $ (1.20) $ 0.41 $ (3.65)
 - Financial
 Services 0.60 0.52 1.12 1.09
 Total $ 0.93 $ (0.68) $ 1.53 $ (2.56)
 Capital expenditures
 (in millions)
 - Automotive $ 1,228.0 $ 1,236.8 $ 2,461.0 $ 2,637.9
 - Financial
 Services 20.2 23.8 41.1 44.4
 Total $ 1,248.2 $ 1,260.6 $ 2,502.1 $ 2,682.3
 Stockholders' equity,
 June 30
 - total (in
 millions) $ 23,277.6 $ 20,579.4 $ 23,277.6 $ 20,579.4
 - after-tax
 return on
 Common and
 Class B
 stockholders'
 equity (pct.) 8.9 a/ 7.3 a/
 Cash dividends per
 share of Common
 and Class B Stock $ 0.40 $ 0.40 $ 0.80 $ 1.15
 Automotive
 after-tax
 returns
 - on sales (pct.) 1.0 a/ 0.7 a/
 - on assets (pct.) 1.7 a/ 1.2 a/
 Automotive cash,
 cash equivalents,
 and marketable
 securities, June 30
 (in millions) $ 10,033.5 $ 6,715.9 $ 10,033.5 $ 6,715.9
 Shares of Common
 and Class B Stock
 (in millions)
 - average number
 outstanding 485.7 473.1 485.1 472.2
 - number outstanding
 at June 30 486.2 473.3 486.2 473.3
 - - - - -
 a/ Results in these periods were a loss
 -0- 7/29/92 R
 /CONTACT: Gene Koch or Terry Bresnihan of Ford, 313-322-9600/
 (F) CO: Ford Motor Company ST: Michigan IN: AUT SU: ERN


JG-ML -- DE002R -- 4435 07/29/92 08:59 EDT
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