U.S. Floorplan Risk Management

U.S. Floorplan Risk Management Dealer Risk Rating Assessment • • • • Ford Credit evaluates new dealer account originations (using a proprietary scoring model), performs ongoing credit reviews of dealers and assigns risk ratings Consistent with the prospectus, dealer risk ratings are categorized into groups: Group | II III IV Other Description Strong to superior financial metrics Fair to favorable financial metrics Marginal to weak financial metrics Poor financial metrics, may be uncollectible Includes dealers that have no dealer risk rating because Ford Credit only provides in-transit financing or because Ford Credit is in the process of terminating the financing for such dealer Large sample size and significant historical experience have been analyzed to identify key indicators that predict a dealer's ability to meet financial obligations, including capitalization and leverage, liquidity and cash flow, profitability, credit history and payment performance Ford Credit updated its dealer risk rating model in December 2015. Dealer risk model is validated regularly to ensure the integrity and performance of the model and is updated if necessary 82 Ford FORD CREDIT

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