FDM Group Regulatory News (FDM)

7 Dec 2006 07:00

Ford Motor Co07 December 2006 Contact:Media: Equity Investment Fixed Income Shareholder Inquiries: Becky Sanch Community: Investment Community: 1.800.555.5259 or 1.313.594.4410 Raj Modi Rob Moeller 1.313.845.8540 bsanch@ford.com 1.313.323.8221 1.313.621.0881 stockinf@ford.com fordir@ford.com fixedinc@ford.com FORD PRICES $4.5 BILLION OF SENIOR CONVERTIBLE NOTES DEARBORN, Mich., Dec. 6 - Ford Motor Company (NYSE: F) today announced thepricing of $4.5 billion principal amount of unsecured Senior Convertible Notesdue 2036 (increased from $3 billion). Ford expects to close the sale of thenotes on December 15, 2006, subject to the satisfaction of customary closingconditions. The notes will pay interest semiannually at a rate of 4.25% per annum. The noteswill be convertible into shares of Ford's common stock, based on a conversionrate (subject to adjustment) of 108.6957 shares per $1,000 principal amount ofnotes (which is equal to a conversion price of $9.20 per share, representing a25% conversion premium based on the closing price of $7.36 per share on December6, 2006). Ford expects to use the net proceeds from the offering for general corporatepurposes. In addition, Ford has granted the underwriters an over-allotmentoption to purchase up to $450 million principal amount of additional notes. The joint-book running managers for this offering are Citigroup Corporate andInvestment Banking, Goldman, Sachs & Co., J.P. Morgan Securities Inc., DeutscheBank Securities Inc., Lehman Brothers Inc., Merrill Lynch, Pierce, Fenner &Smith Incorporated and Morgan Stanley & Co. Incorporated. The joint-lead managerfor this offering is BNP Paribas Securities Corp. Offers and sales of the notes will be made only by the related prospectus andprospectus supplement. A copy of the prospectus and prospectus supplement can beobtained from: Citigroup Corporate and Investment Banking Brooklyn Army Terminal, 140 58th Street, 8th Floor Brooklyn, NY 11220 Tel: 718-765-6732 or Fax: 718-765-6734 Goldman, Sachs & Co.Attn: Prospectus Dept, 85 Broad St.New York, NY 10004Fax: 212-902-9316 or email at prospectus-ny@ny.email.gs.com J.P. Morgan Securities Inc. National Statements Processing 4 Chase Metrotech Center, CS Level Brooklyn, NY 11245Tel: 718-242-8002 or Fax: 718-242-1350 There shall not be any offer or sale of these notes in any jurisdiction in whichthe offer or sale would be unlawful. Ford Motor Company, a global automotive industry leader based in Dearborn.Mich., manufactures or distributes automobiles in 200 markets across sixcontinents. With about 300,000 employees and more than 100 plants worldwide, thecompany's core and affiliated automotive brands include Aston Martin, Ford,Jaguar, Land Rover, Lincoln, Mazda, Mercury and Volvo. Its automotive-relatedservices include Ford Motor Credit Company. This information is provided by RNS The company news service from the London Stock Exchange