#1SMBC Annual Auto Summit September 12, 2023 2024 Lincoln Nautilus Ford Ford Credit#2Further Information FORD FIXED INCOME INVESTOR RELATIONS: Christopher Conti 313-418-1673 [email protected] INFORMATION ON FORD: www.shareholder.ford.com 10-K Annual Reports 10-Q Quarterly Reports 8-K Current Reports INFORMATION ON FORD MOTOR CREDIT COMPANY: www.fordcredit.com/investor-center 10-K Annual Reports 10-Q Quarterly Reports 8-K Current Reports Ford 2#3Corporate Ford Delivering Ford O RAPTOR Vlinde RANGER e FOC PERFORMANCE Ford All-New Ranger Raptor Available For Order Now#4Safe Harbor Statement And Disclosures Forward-Looking Statements This presentation includes forward-looking statements. Forward-looking statements are based on expectations, forecasts, and assumptions by our management and involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially from those stated. For a discussion of these risks, uncertainties, and other factors, please see the "Cautionary Note on Forward-Looking Statements" in this presentation and "Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2022, as updated by subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. GAAP & Non-GAAP Financial Measures This presentation includes financial measures calculated in accordance with Generally Accepted Accounting Principles ("GAAP") and non-GAAP financial measures. The non-GAAP financial measures are intended to be considered supplemental information to their comparable GAAP financial measures. The non-GAAP financial measures are reconciled to the most comparable GAAP financial measures in the Appendix to this presentation. Additional Information Calculated results may not sum due to rounding. All variances are year-over-year unless otherwise noted. Visit ford.com for vehicle information. Ford 4#5Ford+ Investment Thesis Disruptive technology allows us to leverage foundational strengths to build new capabilities enriching customer experiences and deepening loyalty Customer experience FOUNDATIONAL STRENGTHS Leading iconic nameplates + Leading commercial vehicle portfolio Industrial prowess Drives strong margins and cash flow + ENHANCED CAPABILITIES Integrated hardware and software Connectivity Data analytics Enables deep customer insight = EXPANDED TAM & VALUE CREATION + Ford Blue + Ford Model e + Ford Pro Unlocks new growth opportunities Ford 5#6Ford Ford Blue Ford+ Business Model Is Designed To Deliver Focused Innovation, Profit & Growth Ford Model e Ford Ford Pro PRO 24: Ford CO 6#7$45.0B ▲ 12% Ford Blue Revenue Ford Model e Ford Pro EBIT $2.3B Adj. EBIT $3.8B ▲ 2% EBIT $2.4B EBIT Margin 9.2% EBIT EBIT Margin $(1.1)B (58.9)% EBIT Margin 15.3% Q2 Financial Results Adj. EBIT Margin 8.4% ▼ 0.8pts wwwherm Adj. FCF $2.9B ▼ $0.7B Adj. EPS $0.72 ▲ 6% Ford 2023 Lincoln Corsair 7#8$86.4B ▲ 16% Ford Blue Revenue Ford Model e Ford Pro EBIT $4.9B Adj. EBIT $7.2B ▲ 18% EBIT $3.8B EBIT Margin 9.8% EBIT EBIT Margin $(1.8) B (70.9)% EBIT Margin 13.0% Year-To-Date Financial Results Adj. EBIT Margin 8.3% ▲ 0.2pts FOR T Adj. FCF $3.6B ▲ $0.6B O Adj. EPS $1.34 ▲ 26% Ford 2023 Ford Bronco 8#9Q2 Cash Flow, Cash Balance & Liquidity ($B) Adjusted Free Cash Flow Ford Credit Distributions incl. Above Cash Balance - Liquidity - Cash Net of Debt Q1 2022 ($0.6) $1.0 $44.6 $28.8 $8.7 Q2 2022 $3.6 $0.6 $45.1 $28.7 $9.4 Q3 2022 $3.6 $0.5 $49.2 $32.0 $11.8 Q4 2022 $2.4 $- $48.0 $32.3 $12.3 Q1 2023 $0.7 $- $46.2 $28.7 $9.0 Q2 2023 $2.9 $- $47.3 $29.8 $10.3 Ford 9#10Q2 2023 Results ($B) $2.3 $(1.1) Ford Blue Ford Model e B/(W) Q2 2022 $(0.2) $(0.6) $2.4 $(0.0) Ford Pro Ford Next $1.5 $0.2 $0.4 Ford Credit $(0.5) $(0.2) Corporate Other $(0.3) $3.8 Company Adj. EBIT $0.1 $(0.3) Interest On Debt $0.0 $(1.2) Special Items $(0.4) $1.9 Taxes / Net Non-Controlling Income / Interests (Loss) $1.3 $1.4 $(0.2) Ford 10#11Q2 2023 Adjusted EBIT ($B) Q2 2022 YOY Change: Volume / Mix Net Pricing Cost Exchange Other Ford Blue Q2 2023 SA $ Total Change $ $ 2.5 0.3 0.1 0.0 (0.4) (0.3) (0.2) 2.3 Ford Model e SA $ SA $ (0.5) 0.1 (0.2) (0.5) 0.0 0.0 (0.6) (1.1) Ford Pro $ $ $ 0.9 0.1 1.9 (0.3) (0.1) (0.2) 1.5 $ 2.4 Ford Next GA $ (0.2) I I 0.1 (0.0) 0.1 0.2 (0.0) Ford Credit SA GA SA CA 0.9 I Corporate Other 0.4 $ $ (0.5) (0.5) $ SA 0.1 $ I I Total Company (0.5) (0.0) 0.2 (0.3) $ $ (0.2) $ 3.7 0.4 1.9 (1.1) (0.4) (0.7) 0.1 3.8 Ford Material / Freight $(0.7) Pension / OPEB (0.5) Warranty (0.3) Structural (0.1) 0.5 Commodities 11#12Ford Blue Iconic gas and hybrid passion products like F-150, Bronco and Mustang + Volume up 7% with broad based regional growth + Solid EBIT performance supported by pricing was largely offset by non-recurrence of insurance settlement + Profitable in all regions + Continued strength in product portfolio as new models hit the market globally Wholesale Units (000) Memo: JV Wholesales* 128 $23.8 $23.8 663 670 $20.8 ¯ ¯¯¯¯ Q1 '22 EBIT (SB) $1.3 Q2 '22 Q1 '22 111 $2.5 741 Q2 '22 760 Q3 '22 Q4 '22 134 114 Q3 '22 $1.5 $1.5 706 Q1 '23 97 $2.6 720 Q4 '22 Q1 '23 Q2 '23 107 $2.3 Revenue ($B) Q2 '23 * Includes Ford and Lincoln brand and Jiangling Motors Corporation (JMC) brand vehicles produced and sold in China by our unconsolidated affiliates Q1 '22 Q2 '22 EBIT Margin (%) البات النسان 10.5% Q1 '22 Q3 '22 Q2 '22 $26.3 $25.1 Q3 '22 Q4 '22 Q1 '23 10.4% $25.0 Q2 '23 9.2% Q4 '22 Q1 '23 Q2 '23 Ford 12#13Ford Model e Designing and scaling breakthrough, connected EVs, and all of Ford's electric architecture and embedded software + Volume up 44% YoY and more than 2X sequentially driven by higher production capacity of both Mustang Mach-E and F-150 Lightning + Industry-wide pricing pressure and investments in capacity and new products adversely impacted profitability + Continue to be disciplined with capital investments and a focus of balancing growth and profitability Wholesale Units 18 Q1 '22 EBIT (SB) ($0.4) 24 Q2 '22 ($0.5) Q1 '22 Q2 '22 (000) 25 30 Q3 '22 Q4 '22 ($0.6) ($0.6) Q3 '22 Q4 '22 12 Q1 '23 ($0.7) Q1 '23 34 Q2 '23 T ($1.1) Q2 '23 Revenue ($B) $1.0 $1.3 Q1 '22 Q2 '22 EBIT Margin (%) (39.1) % (38.6)% Q1 '22 Q2 '22 $1.4 Q3 '22 $1.6 Q3 '22 (43.7)% (40.4)% $0.7 Q4 '22 Q1 '23 Q2 '23 Q4 '22 $1.8 (102.1)% Q1 '23 (58.9)% Q2 '23 Ford 13#14Ford Pro Integrated vehicle hardware, software, service, charging and financing solutions that increase commercial customer productivity + Strong quarter with volume up 8% and EBIT margin of 15.3% + Volume supported by Transit and launch of new Super Duty with strong net pricing + Cost impacted by higher warranty and material for new products Wholesale Units (000) 285 Q1 '22 Memo: JV Wholesales* 13 EV Wholesales 2 EBIT (SB) 338 $0.5 Q2 '22 17 7 321 Q1 '22 Q2 '22 Q3 '22 18 6 358 Q4 '22 29 11 337 Q1 '23 22 8 365 Q2 '23 $1.5 $1.4 ....il $0.9 $0.4 Q3 '22 Q4 '22 Q1 '23 Q2 '23 * Includes Ford brand vehicles produced and sold by our unconsolidated affiliate Ford Otosan in Türkiye 24 12 $2.4 Revenue ($B) $10.3 $12.7 Q1 '22 Q2 '22 EBIT Margin(96) 4.8% 6.9% Q1 '22 Q2 '22 $12.0 Q3 '22 3.4% Q3 '22 $13.9 Q4 '22 $13.2 Q4 '22 Q1 '23 10.4% 10.3% Q1 '23 $15.6 Q2 '23 15.3% Q2 '23 Ford 14#15Cash Flow And Balance Sheet ($B) Company Adj. EBIT excl. Ford Credit Capital spending Depreciation and tooling amortization Net Spending Receivables Inventory Trade payables Changes in Working Capital Ford Credit distributions Interest on debt and cash taxes All Other and timing differences (a) Company Adjusted FCF Restructuring Changes in debt Funded pension contributions Shareholder distributions All Other (b) a. b. Change in Cash 6 6 SA $ $ Second Quarter 2022 2023 2.8 (1.5) 1.3 (0.2) (0.6) 0.3 0.4 0.1 0.6 (0.6) 0.9 $ $ 3.6 $ 0.3 $ (0.6) (0.2) (0.4) (2.8) (0.0) $ 3.4 (1.9) 1.3 (0.6) (0.6) (1.4) 1.4 (0.7) (0.7) 1.6 2.9 (0.1) (0.0) (0.1) (0.6) (0.9) 1.1 LA GA A $ $ Includes differences between accrual-based EBIT and associated cash flows (e.g., pension and OPEB income or expense; compensation payments; marketing incentive and warranty payments to dealers) Includes a $2.4B loss and $7.9B loss on our Rivian investment in the second quarter and first half of 2022, respectively First Half 2022 4.2 (2.9) 2.6 (0.2) (0.6) (2.5) 2.0 (1.1) 1.6 (0.9) (0.5) 3.0 0.2 (0.8) (0.3) (0.8) (9.0) (7.8) LA 2023 6.5 (3.7) 2.6 (1.1) (0.2) (3.4) 1.7 (1.9) (1.3) 1.4 3.6 (0.1) (0.2) (0.2) (3.8) (1.7) (2.4) Company Excl. Ford Credit Company Cash Balance Liquidity Debt Cash Net of Debt Pension Funded Status Funded Plans Unfunded Plans Total Global Pension Total Funded Status OPEB Balance Sheet 2022 Dec 31 $ 32.3 48.0 (19.9) 12.3 4.1 (4.3) (0.2) (4.5) 2023 Jun 30 $ 29.8 47.3 (19.6) 10.3 4.0 (4.2) (0.2) (4.4) Ford 15#16Special Items ($B) Restructuring (by Geography) Europe China Ford Credit - Brazil Other Subtotal Restructuring Pension and OPEB Gain / (Loss) Pension and OPEB remeasurement Pension settlements and curtailments Subtotal Pension and OPEB Gain / (Loss) Other Items Gain (loss) on Rivian investment Transit Connect customs matter Russia suspension of operations / asset write-off Patent matters related to prior calendar years Other (including gains / (losses) on investments) Subtotal Other Items Total EBIT Special Items SA $ $ $ $ $ $ Second Quarter 2022 (0.0) (0.0) (0.0) (0.1) (0.1) (0.0) (0.0) (2.4) 0.0 0.0 (0.0) (2.5) (2.6) GA $ GA GA 2023 (0.1) (0.4) (0.2) (0.7) (0.1) (0.1) (0.1) (0.0) (0.3) 0.0 (0.1) (0.4) (1.2) A $ $ $ $ GA $ 2022 First Half (0.0) (0.0) (0.2) (0.1) (0.3) (0.0) (0.0) (7.9) (0.1) (0.1) (8.1) (8.5) $ $ $ 2023 (0.4) (0.8) (0.1) (1.3) (0.2) (0.1) (0.3) (0.0) (0.3) 0.0 (0.2) (0.5) (2.1) Ford 16#17● ESG Overview A Ford Ford is committed to investing in electrification and sustainability to create a better world for generations to come Present electric vehicle (EV) portfolio consists of Mustang Mach-E, F-150 Lightning and E-Transit $50+ billion planned global EV investments from 2022 through 2026 600K EV production run-rate expected in 2024 Expect EVs to represent half of Ford's global sales volume by 2030; in Europe, 100% of passenger cars are expected to be all-electric by 2030 and 100% of light commercial vehicles to be zero-emission by 2035 ● Visit our Sustainable Financing Webpage Target to be carbon neutral no later than 2050 by focusing on three areas that account for approximately 95% of our carbon dioxide emissions - our vehicles, our operations, and our supply chain Ford is committed to ESG within the capital markets as well Introduced our Sustainable Financing Framework in November 2021 Achieved highest-possible 'Advanced' rating from Vigeo Eiris, which is globally recognized for ESG initiatives ● The first framework to cover both the Auto OEM and its captive finance company Issued $2.5 billion inaugural Green Bond in November 2021, the largest Green Bond issuance by a U.S. corporate. Have issued two Green Bonds totaling more than $4 billion to fund Clean Transportation Projects Aligned $17.2 billion of revolving corporate credit lines to sustainability-linked KPIs including scope 1, 2 and 3 emissions 17#18Ford Credit 2023 F-150 Lightning Ford 0 Ford Credit#19Ford Credit - A Strategic Asset Earnings Before Taxes ($B) Distributions ($B) $2.0 $2.4 $1.7 $1.8 initial $3.7 $2.9 $2.0 $1.2 $(2.6) $2.0 $3.1 $1.9 $2.1 $1.9 $2.3 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 $2.6 2018 $3.0 2019 Over The Last 20 Years, Ford Credit Generated $44 Billion In Earnings Before Taxes And $40 Billion In Distributions $2.6 $4.7 2020 $2.4 2021 2022 Ford 19#20Key Metrics Best-in-class finance company + EBT down $0.5B, in line with expectations, driven by lower financing margin, credit losses and lease residuals + Lower financing margin due to higher borrowing costs + Credit losses remain below historical average but are normalizing + Auction values remain strong, but expect industry decline as supply of new vehicles improves ** $32,905 $23,685 * Auction Values (Per Unit)* $34,620 $543 Q2 Q2 Q2 Q3 Q4 2020 2021 2022 2022 2022 U.S. 36-month off-lease auction values at Q2 2023 mix I $1,623 $31,675 1 $903 $30,000 11 EBT (SM) $589 $191 Q2 Q2 Q2 2020 2021 2022 Q3 2022 2022 Distributions $826 $4,000 $600 $500 $ $30,950 $31,830 Q1 Q2 2023 2023 $303 $381 Q4 Q1 Q2 2023 2023 $- $ Includes special items: $(36)M SA Exit in Q2 2022 and $(9)M investment impairments in Q2 2023 U.S. Retail Loss-to-Receivables ("LTR") Ratio (%) $903 Q2 2022 0.15% $47 Vol. / Mix 0.05% (0.07)%¹ Q2 Q2 Q2 Q3 Q4 Q1 2020 2021 2022 2022 2022 2023 $(196) 0.18% Q2 EBT YOY ($M) $(96) 0.25% $(112) 0.35% ** $(156) $390 0.21% Q2 2023 $(9) 2017-2019: 0.56% $381 Ford Fin Credit Lease Other Subtotal Special Q2 Margin Loss Residual Items 2023 20#21Q2 2023 Net Receivables Mix ($B) + Total Net Receivables increased $2.3B sequentially and $10.5B YOY + Non-Consumer Financing increased $8.1B YOY + Operating lease portfolio was 16% of Total Net Receivables H/ (L) Q2 2022 H/(L) Q1 2023 $126.1 $20.7 $73.7 $31.7 Total $10.5 2.3 $100.7 $20.5 $58.8 $21.4 U.S. and Canada $6.4 2.0 $20.5 $11.3 $9.0 Europe $4.3 0.3 Operating Leases Consumer Financing Non-Consumer Financing $0.2 $4.9 $3.6 All Other $(0.2) 0.0 $1.3 Ford 21#22U.S. Origination Metrics And Credit Loss Drivers + Disciplined and consistent underwriting practices + Portfolio quality evidenced by FICO scores and consistent risk mix + Retail Net Charge-Offs and LTR Ratio lower sequentially, reflecting seasonality; higher YoY due to increased repossessions and higher severity * 743 6% Q2 2020 71 mo 15% Retail & Lease FICO and Higher Risk Mix (%) Higher Risk Portfolio Mix (%) 747 5% 748 6% 5% 63 mo | 62 mo Q2 Q2 2020 2021 Excluding bankruptcies 743 5% Retail Contract Terms Retail >84 months Placement Mix (%) 6% Q2 Q2 Q3 Q4 Q1 Q2 2021 2022 2022 2022 2023 2023 Q2 2022 64 mo 748 9% 4% Q3 2022 751 65 mo 4% 9% 62 mo 8% 757 Q4 Q1 2022 4% 62 mo 9% Q2 2023 2023 3 3 0.52% Q2 2020 $19 Retail Repossessions (000) and Repossession Rate (%) Repossession Rate (%) 0.15% 0.15% 0.08% Q2 2020 Q2 2021 0.63% 0.69% ($9) -0.07% I Q2 2021 3 $10.9 $7.9 $6 0.05% 4 Q2 2022 0.78% Q2 Q3 Q4 2022 2022 2022 60+ Day Delinquencies* 0.14% 0.15% $7.9 Retail Net Charge-Offs (SM) and LTR Ratio LTR Ratio (%) $21 3 0.76% 0.18% 0.17% $30 Q3 2022 Severity (000) $9.6 (%) 0.25% Q4 2022 4 $10.3 0.83% Q1 2023 0.17% $44 0.35% Q1 2023 $10.6 4 Ford 0.75% Q2 2023 0.15% $27 0.21% Q2 2023 $10.9 22#23Worldwide Credit Loss Metrics + Worldwide credit loss metrics remain strong, reflecting low losses + Credit Loss Reserve as a % of EOP Receivables remains consistent $45 0.17% Q2 2020 $1,285 1.18% Q2 2020 $1 0.00% Q2 2021 $1,061 1.10% Net Charge-Offs (SM) and LTR Ratio (%) Q2 2021 I I $17 0.07% Q2 2022 $763 0.80% -LTR Ratio % Q2 2022 $33 0.14% Q3 2022 Credit Loss Reserve (SM) and Reserve as a % of EOP Receivables Reserve as a % of EOP Receivables $760 0.79% $41 Q3 2022 0.16% Q4 2022 $845 0.82% $57 Q4 2022 0.23% Q1 2023 $870 0.82% Q1 2023 $40 0.15% Q2 2023 $873 0.80% Q2 2023 Ford 23#24U.S. Lease Metrics + Lease return rates remain historically low, reflecting the impact of high auction values; we expect return rates to increase in the second half of 2023 as new and used vehicle inventory improves + Auction values increased 3% sequentially; down 8% YoY 52 9 36 7 Q2 2020 25% 15% Lease Placement Volume (000) 24-Month 36-Month 39-Month/ Other 57 11 37 9 Q2 2021 25% 16% 46 13 Source: J.D. Power PIN 25 42 17% 12 13% 26 8 4 5 Q2 Q3 Q4 2022 2022 2022 Lease Share of Retail Sales 16% 32 12% Q2 Q2 Q2 Q3 2020 2021 2022 2022 7 20 (%) 16% 9% 37 7 17 13 Q1 2023 19% 11% 44 8 - Industry* - Ford Credit Q4 Q1 2022 2023 27 9 Q2 2023 20% 12% Q2 2023 ** 58 76% Lease Return Volume (000) and Return Rates (%) $23,685 20 36 Q2 Q2 2020 2021 34% $32,905 9 9% Q2 2020 2021 9 11% ** Auction Values (Per Unit) $34,620 12 18% Q2 Q3 Q4 Q1 2022 2022 2022 2023 $31,675 16 23% $30,000 Q2 Q3 Q4 2022 2022 2022 U.S. 36-month off-lease auction values at Q2 2023 mix Q1 2023 Ford 14 19% $30,950 $31,830 Q2 2023 Q2 2023 24#25Funding Structure ($B) + Well capitalized with a strong balance sheet; funding diversified across platforms and markets + Further improvement of key balance sheet metrics; $29B in net liquidity + Upgraded to Investment Grade by DBRS in June 2023; upgraded by Moody's to Ba1 in July + Leverage is within the target range of 9:1 to 10:1 Term Unsecured Debt Term Asset-Backed Securities Deposits / Ford Interest Advantage (FIA) Other Equity Adjustments for Cash Total Net Receivables Securitized Funding as Pct. of Total Debt Net Liquidity Financial Statement Leverage 2022 Dec. 31 $ 48.3 56.4 14.3 2.6 11.9 (11.2) $ 122.3 47.4% 2023 Jun. 30 10.0 $ 52.2 55.6 15.9 2.3 12.5 (12.4) $126.1 45.0% $ 21.0 $ 28.8 9.9 Ford 25#26Public Term Funding Plan ($B) + Completed $20B of public issuance YTD in 2023; have executed about three-fourths of the full-year funding plan + Liquidity and diverse funding sources provide flexibility Unsecured Securitizations** Total * As of July 27, 2023 ** Incudes Rule 144A Offerings 2020 Actual $ $ 2021 Actual 2022 2023 Actual Forecast* 14 $ 5 $ 13 9 27 $ 14 $ 6 $ 10 16 $ 11-14 12 - 14 23-28 Through Sep. 8 $ 9 11 $ 20 Ford 26#27Liquidity Sources ($B) + $29B of net liquidity up $8B from year-end 2022 + Reflects strong access to public and private funding markets * Liquidity Sources Cash Committed asset-backed facilities Other unsecured credit facilities Total liquidity sources Utilization of Liquidity Securitization & restricted cash Committed asset-backed facilities Other unsecured credit facilities Total utilization of liquidity Gross liquidity ABS capacity* Net liquidity available for use In excess of eligible receivables and other adjustments $ $ $ $ $ 2022 Jun. 30 $ 7.8 34.3 2.5 44.6 $ (2.7) (15.3) (0.5) (18.5) 26.1 (1.1) $ 25.0 $ $ $ 2022 Dec. 31 $ 11.2 37.4 2.3 50.9 $ 20.6 0.4 21.0 $ (2.9) (26.6) (0.8) (30.3) $ $ 2023 Jun. 30 $ 12.4 42.3 2.6 57.3 (2.9) (23.1) (1.2) (27.2) 30.1 (1.3) 28.8 Ford 27#28Cautionary Note On Forward-Looking Statements Statements included or incorporated by reference herein may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on expectations, forecasts, and assumptions by our management and involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially from those stated, including, without limitation: ● . ● ● ● ● ● ● . ● . ● ● ● . ● ● ● ● Ford and Ford Credit's financial condition and results of operations have been and may continue to be adversely affected by public health issues, including epidemics or pandemics such as COVID-19; Ford is highly dependent on its suppliers to deliver components in accordance with Ford's production schedule and specifications, and a shortage of or inability to acquire key components, such as semiconductors, or raw materials, such as lithium, cobalt, nickel, graphite, and manganese, can disrupt Ford's production of vehicles; Ford To facilitate access to the raw materials necessary for the production of electric vehicles, Ford has entered into, and expects to continue to enter into, multi-year commitments to raw material suppliers that subject Ford to risks associated with lower future demand for such materials as well as costs that fluctuate and are difficult to accurately forecast; Ford's long-term competitiveness depends on the successful execution of Ford+; Ford's vehicles could be affected by defects that result in delays in new model launches, recall campaigns, or increased warranty costs; Ford may not realize the anticipated benefits of existing or pending strategic alliances, joint ventures, acquisitions, divestitures, restructurings, or new business strategies; Operational systems, security systems, vehicles, and services could be affected by cyber incidents, ransomware attacks, and other disruptions and impact Ford and Ford Credit as well as their suppliers and dealers; Ford's production, as well as Ford's suppliers' production, and/or the ability to deliver products to consumers could be disrupted by labor issues, natural or man-made disasters, adverse effects of climate change, financial distress, production difficulties, capacity limitations, or other factors; Ford's ability to maintain a competitive cost structure could be affected by labor or other constraints; Ford's ability to attract and retain talented, diverse, and highly skilled employees is critical to its success and competitiveness; Ford's new and existing products and digital, software, and physical services are subject to market acceptance and face significant competition from existing and new entrants in the automotive and digital and software services industries and its reputation may be harmed if it is unable to achieve the initiatives it has announced; Ford's results are dependent on sales of larger, more profitable vehicles, particularly in the United States; With a global footprint, Ford's results could be adversely affected by economic or geopolitical developments, including protectionist trade policies such as tariffs, or other events; Industry sales volume can be volatile and could decline if there is a financial crisis, recession, or significant geopolitical event; Ford may face increased price competition or a reduction in demand for its products resulting from industry excess capacity, currency fluctuations, competitive actions, or other factors; Inflationary pressure and fluctuations in commodity and energy prices, foreign currency exchange rates, interest rates, and market value of Ford or Ford Credit's investments, including marketable securities, can have a significant effect on results; Ford and Ford Credit's access to debt, securitization, or derivative markets around the world at competitive rates or in sufficient amounts could be affected by credit rating downgrades, market volatility, market disruption, regulatory requirements, or other factors; The impact of government incentives on Ford's business could be significant, and Ford's receipt of government incentives could be subject to reduction, termination, or clawback; Ford Credit could experience higher-than-expected credit losses, lower-than-anticipated residual values, or higher-than-expected return volumes for leased vehicles; Economic and demographic experience for pension and OPEB plans (e.g., discount rates or investment returns) could be worse than Ford has assumed; Pension and other postretirement liabilities could adversely affect Ford's liquidity and financial condition; • Ford and Ford Credit could experience unusual or significant litigation, governmental investigations, or adverse publicity arising out of alleged defects in products, services, perceived environmental impacts, or otherwise; • Ford may need to substantially modify its product plans and facilities to comply with safety, emissions, fuel economy, autonomous driving technology, environmental, and other regulations; • Ford and Ford Credit could be affected by the continued development of more stringent privacy, data use, and data protection laws and regulations as well as consumers' heightened expectations to safeguard their personal information; and • Ford Credit could be subject to new or increased credit regulations, consumer protection regulations, or other regulations. We cannot be certain that any expectation, forecast, or assumption made in preparing forward-looking statements will prove accurate, or that any projection will be realized. It is to be expected that there may be differences between projected and actual results. Our forward-looking statements speak only as of the date of their initial issuance, and we do not undertake any obligation to update or revise publicly any forward-looking statement, whether as a result of new information, future events, or otherwise. For additional discussion, see "Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2022, as updated by subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. 28#29Appendix 2024 Ford Mustang Ford Ford Credit#30Company Key Metrics Ford Blue Ford Model e Ford Pro Ford Next Ford Credit* Corporate Other Total Company (Adjusted) Ford Blue Ford Model e Ford Pro Total Company (Adjusted) *Ford Credit EBT Q1 2022 Q2 2022 $ $ 1.3 (0.4) 0.5 (0.2) (0.2) 0.9 0.9 0.2 0.1 2.3 $ 3.7 Q1 2022 6.4 % (39.1) 4.8 $ 2.5 (0.5) 0.9 6.7 % Q2 2022 10.5 % (38.6) 6.9 9.3 % EBIT ($B) Q3 2022 $ 1.5 (0.6) 0.4 6.2 % Q4 2022 (0.2) (0.2) 0.6 0.2 0.2 0.2 $ 1.8 $ 2.6 (43.7) 3.4 $ 1.5 EBIT Margin (%) Q3 2022 Q4 2022 4.6 % (0.6) 1.5 5.9 % (40.4) 10.4 5.8 % Q1 2023 $ EA 2.6 (0.7) 1.4 (0.0) 0.3 (0.1) $ 3.4 Q1 2023 10.4 % (102.1) 10.3 8.1 % Q2 2023 $ 2.3 (1.1) 2.4 (0.0) 0.4 (0.2) $ 3.8 Q2 2023 9.2 % (58.9) 15.3 8.4 % Memo: EV Wholesales Q1 2022 $20.8 1.0 10.3 0.1 2.3 0.0 $ 34.5 Q1 2022 663 18 285 966 22 Q2 2022 $23.8 1.3 12.7 0.0 2.3 0.0 $ 40.2 Q2 2022 670 24 338 1,032 31 Revenue ($B) Q3 2022 $23.8 1.4 12.0 0.0 2.2 0.0 $39.4 Q3 2022 Wholesale Units (000) Q4 2022 741 25 321 1,086 Q4 2022 32 $26.3 1.6 13.9 (0.0) 2.3 0.0 $ 44.0 760 30 358 1,147 43 Q1 2023 $ 25.1 0.7 13.2 0.0 2.4 0.0 $41.5 Q1 2023 706 12 337 1,056 21 Q2 2023 $25.0 1.8 15.6 0.0 2.5 0.0 $45.0 Ford Q2 2023 720 34 365 1,119 47 30#31Company Key Metrics Ford Blue Ford Model e Ford Pro Total Company (Adjusted) Q2 2022 Ford Blue Ford Model e Ford Pro Ford Next Ford Credit* Corporate Other Total Company (Adjusted) $ * Ford Credit EBT $ 2.5 (0.5) 0.9 (0.2) 0.9 0.1 3.7 Q2 2022 10.5 % (38.6) 6.9 9.3 % Q2 2023 $ 2.3 (1.1) 2.4 (0.0) 0.4 (0.2) 3.8 Q2 2023 9.2 % (58.9) 15.3 8.4 % EBIT ($B) 2023 B/ (W) 2022 $ (0.2) (0.6) 1.5 0.2 (0.5) (0.3) $ 0.1 2023 B/ (W) 2022 1H 2022 (1.3) ppts (20.3) 8.4 (0.8) ppts $ $ EBIT Margin (%) 3.8 (0.9) 1.4 (0.5) 1.9 0.3 6.0 1H 2022 8.6 % (38.8) 5.9 8.1 % 1H 2023 $ 4.9 (1.8) 3.8 (0.1) 0.7 (0.3) 7.2 1H 2023 9.8 % (70.9) 13.0 8.3 % 2023 B/ (W) 2022 $ 1.1 (0.9) 2.4 0.4 (1.2) (0.7) $ 1.1 2023 B/ (W) 2022 1.2 ppts (32.1) 7.1 0.2 ppts Memo: EV Wholesales Q2 2022 $ 23.8 1.3 12.7 0.0 2.3 0.0 $ 40.2 Q2 2022 670 24 338 1,032 31 Q2 2023 $ 25.0 1.8 15.6 0.0 2.5 0.0 $ 45.0 Q2 2023 720 34 365 1,119 47 Revenue ($B) 2023 B/ (W) 2022 $ $ 1.2 0.5 2.8 (0.0) 0.3 (0.0) 4.8 49 10 27 87 1H 2022 Wholesale Units (000) 2023 B/ (W) 2022 16 $ 44.6 2.3 23.1 0.1 4.5 0.0 $ 74.7 1H 2022 1,333 42 623 1,998 53 1H 2023 $ 50.1 2.5 28.8 0.0 4.9 0.0 $ 86.4 1H 2023 1,426 47 702 2,174 68 Ford 2023 B/ (W) 2022 $ 5.5 0.2 5.8 (0.1) 0.4 (0.0) 11.8 2023 B/ (W) 2022 92 5 80 177 16 31#32Company Q2 Results ($M) Ford Blue Ford Model e Ford Pro Ford Next Ford Credit Corporate Other Adjusted EBIT Interest on Debt Special Items (excl. tax) Taxes Less: Non-Controlling Interests Net Income / (Loss) Attributable to Ford Company Adjusted Free Cash Flow ($B) Revenue ($B) Company Adjusted EBIT Margin (%) Net Income / (Loss) Margin (%) Adjusted ROIC (Trailing Four Quarters) (%) Adjusted EPS EPS (GAAP) $ $ GA 2022 Second Quarter 2,504 (510) 879 (221) 939 131 3,722 (312) (2,619) (153) (29) 667 3.6 40.2 9.3 % 1.7 11.6 0.68 0.16 $ $ $ 2023 2,308 (1,080) 2,391 (26) 390 (197) 3,786 (304) (1,194) (272) 99 1,917 2.9 45.0 8.4 % 4.3 14.2 0.72 0.47 $ $ $ 2023 B/(W) 2022 (196) (570) 1,512 195 (549) (328) 64 8 1,425 (119) 128 1,250 (0.7) 4.8 (0.8) ppts 2.6 2.7 0.04 0.31 $ $ $ $ 2022 3,832 (890) 1,370 (463) 1,867 332 6,048 (620) (8,485) 576 (38) (2,443) 3.0 74.7 8.1 % (3.3) 1.06 (0.61) First Half 2023 4,931 (1,802) 3,757 (70) 693 (344) 7,165 (612) (2,106) (768) 5 3,674 3.6 86.4 8.3 % 4.3 1.34 0.91 GA 2023 B/(W) 2022 1,099 (912) 2,387 393 (1,174) (676) 1,117 8 6,379 (1,344) 43 6,117 0.6 11.8 Ford 0.2 ppts 7.6 0.28 1.52 32#33Company First Half 2023 Adjusted EBIT ($B) First Half 2022 YOY Change: Volume / Mix Net Pricing Cost Exchange Other Ford Blue First Half 2023 $ $ Total Change $ $ 3.8 2.5 0.2 (1.0) (0.5) (0.1) 1.1 4.9 Ford Model e $ (0.9) GA $ $ Ford Pro (1.8) 0.0 (0.2) (0.9) 0.1 0.1 (0.9) $ $ $ 1.4 0.6 3.4 (1.3) (0.1) (0.2) 2.4 Ford Next GA $ GA 3.8 $ (0.5) I 0.2 (0.0) 0.2 0.4 (0.1) Ford Credit $ $ $ 1.9 (1.2) (1.2) 0.7 Corporate Other SA SA 0.3 I (1.0) 0.0 0.3 (0.7) (0.3) Total Company SA 6.0 3.1 3.5 (4.0) (0.6) (0.9) 1.1 7.2 Ford Material / Freight $(1.7) Structural (1.0) Pension / OPEB (1.0) Warranty (0.5) Commodities 0.2 33#34Company Quarterly Results ($M) Ford Blue Ford Model e Ford Pro Ford Next Ford Credit Corporate Other Adjusted EBIT Interest on Debt Special Items (excl. tax) Taxes Less: Non-Controlling Interests Net Income / (Loss) Attributable to Ford Company Adjusted Free Cash Flow ($B) Revenue ($B) Company Adjusted EBIT Margin (%) Net Income / (Loss) Margin (%) Adjusted ROIC (Trailing Four Quarters) (%) Adjusted EPS EPS (GAAP) $ $ Q1 1,328 (380) 491 (242) 928 201 2,326 (308) (5,866) 729 (3,110) (0.6) 34.5 6.7 % (9.0) 7.8 0.38 (0.78) $ $ $ $ Q2 2,504 (510) 879 (221) 939 131 3,722 (312) (2,619) (153) (29) 667 3.6 40.2 9.3 % 1.7 11.6 0.68 0.16 $ $ $ 2022 Q3 1,466 (612) 402 (244) 599 192 1,803 (321) (2,607) 195 (103) (827) 3.6 39.4 4.6 % (2.1) 10.7 0.30 (0.21) GA $ $ $ Q4 1,549 (631) 1,450 (219) 191 224 2,564 (318) (1,080) 93 (30) 1,289 $ $ 5.8 % 2.9 11.2 2.4 $ 44.0 0.51 0.32 $ $ Full Year 6,847 (2,133) 3,222 (926) 2,657 748 10,415 (1,259) (12,172) 864 (171) (1,981) 9.1 158.1 6.6 % (1.3) 11.2 1.88 (0.49) $ $ Q1 2023 2,623 (722) 1,366 (44) 303 (147) 3,379 (308) (912) (496) (94) 1,757 0.7 41.5 8.1 % 4.2 13.5 0.63 0.44 EA $ $ GA Q2 2,308 (1,080) 2,391 (26) 390 (197) 3,786 (304) (1,194) (272) 99 1,917 2.9 45.0 Ford 8.4 % 4.3 14.2 0.72 0.47 34#35Company Net Income / (Loss) Reconciliation To Adjusted EBIT ($M) Net income / (loss) attributable to Ford (GAAP) Income / (Loss) attributable to non-controlling interests Net income / (loss) Less: (Provision for) / Benefit from income taxes Income / (Loss) before income taxes Less: Special items pre-tax Income (Loss) before special items pre-tax Less: Interest on debt Adjusted EBIT (Non-GAAP) Memo: Revenue ($B) Net income / (loss) margin (GAAP) (%) Adjusted EBIT margin (Non-GAAP) (%) $ $ $ $ Second Quarter 2022 667 (29) 638 (153) 791 (2,619) 3,410 (312) 3,722 40.2 1.7 % 9.3 % $ $ $ $ 2023 1,917 99 2,016 (272) 2,288 (1,194) 3,482 (304) 3,786 45.0 4.3 % 8.4 % $ $ $ $ 2022 First Half (2,443) (38) (2,481) 576 (3,057) $ (8,485) 5,428 (620) 6,048 74.7 (3.3) % $ 8.1 % $ $ 2023 3,674 5 3,679 (768) 4,447 (2,106) 6,553 (612) 7,165 86.4 4.3 % 8.3 % $ (1,981) (171) $ $ $ $ Memo: FY 2022 $ (2,152) 864 (3,016) (12,172) 9,156 (1,259) 10,415 158.1 (1.3) % 6.6 % Ford 35#36Company Net Cash Provided By / (Used In) Operating Activities Reconciliation To Company Adj. FCF ($M) Net cash provided by / (Used in) operating activities (GAAP) Less: Items Not Included in Company Adjusted Free Cash Flows Ford Credit operating cash flows Funded pension contributions Add: Restructuring (including separations)* Ford Credit tax payments / (refunds) under tax sharing agreement Other, net Items Included in Company Adjusted Free Cash Flows Company excluding Ford Credit capital spending Ford Credit distributions Settlement of derivatives Company adjusted free cash flow (Non-GAAP) Restructuring excludes cash flows reported in investing activities Q1 $ (1,084) (419) (174) (176) (20) (1,349) 1,000 64 $ (580) 2022 Q2 Q3 $ 2,947 $ 3,812 (1,340) (154) (137) 20 (1,503) 600 (36) $ 3,619 (439) (130) (179) 22 (150) (1,613) 500 26 $ 3,601 Q4 $ 1,178 (3,218) (109) (343) 125 92 (2,046) (144) $ 2,441 2023 Q1 Q2 $ 2,800 $ 5,035 $ 1,863 626 (125) (81) (5) (140) (1,760) (72) $ 693 581 (109) (118) (73) (1,927) 92 $ 2,919 First Half 2022 (1,759) (328) (313) (2,852) 1,600 28 $ 3,039 Ford 2023 $7,835 1,207 (234) (199) (5) (213) (3,687) 20 $ 3,612 36#37Company Earnings / (Loss) Per Share Reconciliation To Adjusted Earnings / (Loss) Per Share a. b. Diluted After-Tax Results ($M) Diluted after-tax results (GAAP) Less: Impact of pre-tax and tax special items (a) Adjusted net income - diluted (Non-GAAP) Basic and Diluted Shares (M) Basic shares (average shares outstanding) Net dilutive options, unvested restricted stock units, unvested restricted stock shares, and convertible debt Diluted shares Earnings / (Loss) per share - diluted (GAAP) (b) Less: Net impact of adjustments Adjusted earnings per share - diluted (Non-GAAP) $ $ Second Quarter 2022 667 (2,082) 2,749 4,021 31 4,052 0.16 (0.52) 0.68 $ $ $ 2023 1,917 (1,012) 2,929 4,003 38 4,041 0.47 (0.25) 0.72 For 2023, includes adjustment for noncontrolling interest For the First Half 2022, there were 43M shares excluded from the calculation of diluted earnings / (loss) per share, due to their anti-dilutive effect $ $ $ GA 2022 First Half (2,443) (6,756) 4,313 4,014 43 4,057 (0.61) (1.67) 1.06 $ $ GA $ 2023 3,674 (1,722) 5,396 3,996 39 4,035 0.91 (0.43) 1.34 Ford 37#38Company Effective Tax Rate Reconciliation To Adjusted Effective Tax Rate Pre-Tax Results ($M) Income / (Loss) before income taxes (GAAP) Less: Impact of special items Adjusted earnings before taxes (Non-GAAP) $ Tax Rate (%) Effective tax rate (GAAP) Adjusted effective tax rate (Non-GAAP) $ Taxes ($M) (Provision for) / Benefit from income taxes (GAAP) Less: Impact of special items* Adjusted (provision for) / benefit from income taxes (Non-GAAP) $ $ Q2 2023 2,288 (1,194) 3,482 First Half 2023 11.9 % 12.9 % $ (272) $ 177 (449) $ 4,447 (2,106) 6,553 (1,089) Memo: Full Year 2022 17.3 % 16.6 % $ (768) $ 321 $ $ (3,016) (12,172) 9,156 864 2,573 (1,709) 28.6 % 18.7 % Ford * 2022 reflects the tax consequences of unrealized losses on marketable securities and fourth quarter favorable changes in our valuation allowances 38#39Company Adjusted ROIC ($B) Adjusted Net Operating Profit / (Loss) After Cash Tax Net income / (loss) attributable to Ford Add: Non-controlling interest Less: Income tax Add: Cash tax Less: Interest on debt Less: Total pension / OPEB income / (cost) Add: Pension / OPEB service costs Net operating profit / (loss) after cash tax Less: Special items (excl. pension / OPEB) pre-tax Adj. net operating profit / (loss) after cash tax Invested Capital Equity Debt (excl. Ford Credit) Net pension and OPEB liability Invested capital (end of period) Average invested capital ROIC (a) Adjusted ROIC (Non-GAAP) (b) $ GA $ $ Four Quarters Ending Q2 2022 11.7 0.0 1.6 (0.7) (1.5) 4.5 (1.0) 5.4 (3.0) 8.3 44.2 19.4 5.2 68.8 72.0 7.4 % 11.6 % $ GA GA $ $ Four Quarters Ending Q2 2023 4.1 (0.2) (0.5) (1.0) (1.3) (0.6) (0.7) 4.5 (5.1) 9.6 43.6 19.6 4.6 67.8 67.6 6.7 % 14.2 % a. b. Ford Calculated as the sum of net operating profit / (loss) after cash tax from the last four quarters, divided by the average invested capital over the last four quarters Calculated as the sum of adjusted net operating profit / (loss) after cash tax from the last four quarters, divided by the average invested capital over the last four quarters 39#40Ford Credit EBT By Segment* ($M) Results** United States and Canada segment Europe segment All Other segment Total segments Unallocated other Earnings before taxes Taxes Net income Distributions * ** $ $ $ $ $ 2023 271 113 27 411 (30) 381 95 286 Q2 $ (409) 7 35 $ (367) (155) (522) (4) (518) $ $ H/(L) 2022 $ (600) See Appendix for definitions Beginning in Q3 2022, there were changes in the allocation of interest and governance expenses among the operating segments. Prior periods have been adjusted retrospectively to reflect these changes $ $ $ $ $ 2023 544 191 49 YTD $ $ 784 (100) 684 158 526 $ $ H/(L) 2022 (902) 9 221 (672) (301) (973) (26) (947) $ (1,600) Ford 40#41Ford Credit Financing Share And Contract Placement Volume Share of Ford Sales* United States Canada U.K. Germany China Wholesale Share United States U.K. Germany China Contract Placement Volume - New and Used (000) United States Canada U.K. Germany China * United States and Canada exclude Fleet sales, other markets include Fleet 2023 51 % 67 35 32 39 Q2 71% 100 89 71 211 29 23 13 25 2022 37 % 68 35 38 45 73 % 100 87 70 150 38 24 15 30 2023 49 % 71 34 31 41 YTD 71 % 100 87 71 397 57 46 27 47 2022 40 % 65 35 35 44 73 % 100 90 67 312 58 46 29 60 Ford 41#42Company Non-GAAP Financial Measures That Supplement GAAP Measures We use both GAAP and non-GAAP financial measures for operational and financial decision making, and to assess Company and segment business performance. The non-GAAP measures listed below are intended to be considered by users as supplemental information to their equivalent GAAP measures, to aid investors in better understanding our financial results. We believe that these non-GAAP measures provide useful perspective on underlying operating results and trends, and a means to compare our period-over-period results. These non-GAAP measures should not be considered as substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. These non-GAAP measures may not be the same as similarly titled measures used by other companies due to possible differences in method and in items or events being adjusted. ● Company Adjusted EBIT (Most Comparable GAAP Measure: Net income / (Loss) attributable to Ford) - Earnings Before Interest and Taxes (EBIT) excludes interest on debt (excl. Ford Credit Debt), taxes and pre-tax special items. This non-GAAP measure is useful to management and investors because it focuses on underlying operating results and trends, and improves comparability of our period-over-period results. Our management ordinarily excludes special items from its review of the results of the operating segments for purposes of measuring segment profitability and allocating resources. Pre-tax special items consist of (i) pension and OPEB remeasurement gains and losses, (ii) gains and losses on investments in equity securities, (iii) significant personnel expenses, supplier- and dealer-related costs, and facility-related charges stemming from our efforts to match production capacity and cost structure to market demand and changing model mix, and (iv) other items that we do not necessarily consider to be indicative of earnings from ongoing operating activities. When we provide guidance for adjusted EBIT, we do not provide guidance on a net income basis because the GAAP measure will include potentially significant special items that have not yet occurred and are difficult to predict with reasonable certainty, including gains and losses on pension and OPEB remeasurements and on investments in equity securities. Company Adjusted EBIT Margin (Most Comparable GAAP Measure: Company Net Income / (Loss) Margin) - Company Adjusted EBIT Margin is Company Adjusted EBIT divided by Company revenue. This non-GAAP measure is useful to management and investors because it allows users to evaluate our operating results aligned with industry reporting. Adjusted Earnings / (Loss) Per Share (Most Comparable GAAP Measure: Earnings / (Loss) Per Share) - Measure of Company's diluted net earnings / (loss) per share adjusted for impact of pre-tax special items (described above), tax special items and restructuring impacts in noncontrolling interests. The measure provides investors with useful information to evaluate performance of our business excluding items not indicative of earnings from ongoing operating activities. When we provide guidance for adjusted earnings / (loss) per share, we do not provide guidance on an earnings / (loss) per share basis because the GAAP measure will include potentially significant special items that have not yet occurred and are difficult to predict with reasonable certainty prior to year-end, including pension and OPEB remeasurement gains and losses. Adjusted Effective Tax Rate (Most Comparable GAAP Measure: Effective Tax Rate) - Measure of Company's tax rate excluding pre-tax special items (described above) and tax special items. The measure provides an ongoing effective rate which investors find useful for historical comparisons and for forecasting. When we provide guidance for adjusted effective tax rate, we do not provide guidance on an effective tax rate basis because the GAAP measure will include potentially significant special items that have not yet occurred and are difficult to predict with reasonable certainty prior to year-end, including pension and OPEB remeasurement gains and losses. Ford 42#43Company Non-GAAP Financial Measures That Supplement GAAP Measures Company Adjusted Free Cash Flow (FCF) (Most Comparable GAAP Measure: Net Cash Provided By / (Used In) Operating Activities) - Measure of Company's operating cash flow excluding Ford Credit's operating cash flows. The measure contains elements management considers operating activities, including Company excluding Ford Credit capital spending, Ford Credit distributions to its parent, and settlement of derivatives. The measure excludes cash outflows for funded pension contributions, restructuring actions, and other items that are considered operating cash flows under GAAP. This measure is useful to management and investors because it is consistent with management's assessment of the Company's operating cash flow performance. When we provide guidance for Company Adjusted FCF, we do not provide guidance for net cash provided by / (used in) operating activities because the GAAP measure will include items that are difficult to quantify or predict with reasonable certainty, including cash flows related to the Company's exposures to foreign currency exchange rates and certain commodity prices (separate from any related hedges), Ford Credit's operating cash flows, and cash flows related to special items, including separation payments, each of which individually or in the aggregate could have a significant impact to our net cash provided by / (used in) our operating activities. Adjusted ROIC - Calculated as the sum of adjusted net operating profit / (loss) after-cash tax from the last four quarters, divided by the average invested capital over the last four quarters. This calculation provides management and investors with useful information to evaluate the Company's after-cash tax operating return on its invested capital for the period presented. Adjusted net operating profit / (loss) after-cash tax measures operating results less special items, interest on debt (excl. Ford Credit Debt), and certain pension / OPEB costs. Average invested capital is the sum of average balance sheet equity, debt (excl. Ford Credit Debt), and net pension / OPEB liability. Ford 43#44Company Definitions And Calculations Wholesale Units and Revenue Wholesale unit volumes include all Ford and Lincoln badged units (whether produced by Ford or by an unconsolidated affiliate) that are sold to dealerships or others, units manufactured by Ford that are sold to other manufacturers, units distributed by Ford for other manufacturers, and local brand units produced by our China joint venture, Jiangling Motors Corporation, Ltd. ("JMC"), that are sold to dealerships or others. Vehicles sold to daily rental car companies that are subject to a guaranteed repurchase option (i.e., rental repurchase), as well as other sales of finished vehicles for which the recognition of revenue is deferred (e.g., consignments), also are included in wholesale unit volumes. Revenue from certain vehicles in wholesale unit volumes (specifically, Ford badged vehicles produced and distributed by our unconsolidated affiliates, as well as JMC brand vehicles) are not included in our revenue. Excludes transactions between Ford Blue, Ford Model e and Ford Pro segments Industry Volume and Market Share Industry volume and market share are based, in part, on estimated vehicle registrations; includes medium and heavy-duty trucks ● ● SAAR SAAR means seasonally adjusted annual rate Company Cash ● Market Factors Volume and Mix - primarily measures EBIT variance from changes in wholesale unit volumes (at prior-year average contribution margin per unit) driven by changes in industry volume, market share, and dealer stocks, as well as the EBIT variance resulting from changes in product mix, including mix among vehicle lines and mix of trim levels and options within a vehicle line Company cash includes cash, cash equivalents, marketable securities and restricted cash (including cash held for sale); excludes Ford Credit's cash, cash equivalents, marketable securities and restricted cash ● Net Pricing - primarily measures EBIT variance driven by changes in wholesale unit prices to dealers and marketing incentive programs such as rebate programs, low-rate financing offers, special lease offers and stock adjustments on dealer inventory Market Factors exclude the impact of unconsolidated affiliate wholesale units Earnings Before Taxes (EBT) Reflects Income before income taxes ● Ford 44#45Ford Credit Definitions And Calculations ABS capacity in excess of eligible receivables and other adjustments (as shown in the Liquidity Sources table) Includes asset-backed capacity in excess of eligible receivables; cash related to the Ford Credit Revolving Extended Variable-utilization program ("FordREV"), which can be accessed through future sales of receivables Assets (as shown on the Cumulative Maturities chart) Includes gross finance receivables less the allowance for credit losses, investment in operating leases of accumulated depreciation, cas and cash equivalents, and marketable securities (excluding amounts related to insurance activities). Amounts shown include the impact of expected prepayments Cash (as shown in the Funding Structure and Liquidity Sources tables) Cash and cash equivalents and Marketable securities reported on Ford Credit's balance sheet, excluding amounts related to insurance activities Debt (as shown on the Cumulative Maturities chart) All wholesale securitization transactions are shown maturing in the next 12 months, even if the maturities extend beyond Q1 2023. Also, the chart reflects adjustments to debt maturities to match the asset-backed debt maturities with the underlying asset maturities Debt (as used in the Leverage calculation) Debt on Ford Credit's balance sheet. Includes debt issued in securitizations and payable only out of collections on the underlying securitized assets and related enhancements. Ford Credit holds the right to receive the excess cash flows not needed to pay the debt issued by, and other obligations of, the securitization entities that are parties to those securitization transactions Committed Asset-Backed Security ("ABS") Facilities (as shown in the Liquidity Sources table) Committed ABS facilities are subject to availability of sufficient assets, ability to obtain derivatives to manage interest rate risk, and exclude FCE Bank plc ("FCE") access to the Bank of England's Discount Window Facility Earnings Before Taxes ("EBT") Reflects Income before income taxes as reported on Ford Credit's income statement Leverage, Financial Statement Leverage (as shown in the Funding Structure table) We use leverage, or the debt-to-equity ratio, to make various business decisions, including evaluating and establishing pricing for finance receivable and operating lease financing, and assessing our capital structure. We refer to our shareholder's interest as equity Loss-To-Receivables ("LTR") Ratio (as shown in credit loss tables) LTR ratio is calculated using net charge-offs divided by average finance receivables, excluding unearned interest supplements and the allowance for credit losses Ford 45#46Ford Credit Definitions And Calculations Net Charge-Offs Net charge-off changes are primarily driven by the number of repossessions, severity per repossession, and recoveries Reserve as a % of EOP Receivables Ratio (as shown in the credit loss tables) The reserve as a % of EOP receivables ratio is calculated as the credit loss reserve amount, divided by EOP finance receivables, excluding unearned interest supplements and the allowance for credit losses Securitization & restricted cash (as shown in the Liquidity Sources table) Securitization cash is cash held for the benefit of the securitization investors (for example, a reserve fund). Restricted cash is primarily held to meet certain local government and regulatory reserve requirements and cash held under the terms of certain contractual agreements Securitizations (as shown in the Public Term Funding Plan table) Public securitization transactions, Rule 144A offerings sponsored by Ford Credit, and widely distributed offerings by Ford Credit Canada Term Asset-Backed Securities (as shown in the Funding Structure table) Obligations issued in securitization transactions that are payable only out of collections on the underlying securitized assets and related enhancements Total Net Receivables (as shown in the Funding Structure table) Includes finance receivables (retail financing and wholesale) sold for legal purposes and net investment in operating leases included in securitization transactions that do not satisfy the requirements for accounting sale treatment. These receivables and operating leases are reported on Ford Credit's balance sheet and are available only for payment of the debt issued by, and other obligations of, the securitization entities that are parties to those securitization transactions; they are not available to pay the other obligations of Ford Credit or the claims of Ford Credit's other creditors Unallocated other (as shown on the EBT By Segment chart) Items excluded in assessing segment performance because they are managed at the corporate level, including market valuation a djustments to derivatives and exchange-rate fluctuations on foreign currency-denominated transactions Ford 46