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Ford Credit Reports Improved Earnings

21 January 1999

Ford Credit Reports Improved Earnings

    DEARBORN, Mich., Jan. 21 -- Ford Motor Credit Company's
earnings in 1998 were $1.084 billion, up $53 million or 5 percent, from 1997
earnings of $1.031 billion, Chairman and Chief Executive Officer Philippe
Paillart announced today.
    In the fourth quarter of 1998, Ford Credit earned $234 million, up 7
percent from 1997 earnings of $218 million.  Compared with 1997, the increase
in full-year earnings reflects improved credit loss performance, lower taxes
and higher financing volumes, offset partially by higher depreciation expense
on leased vehicles.
    While Ford Credit's 1998 earnings were short of its milestone of 10
percent growth, we believe we can build on the fourth quarter earnings
momentum and achieve the 1999 full-year milestone of 10 percent growth.
    Ford Credit's total finance receivables increased to $130.5 billion at
Dec. 31, compared with $116.1 billion a year earlier.
    As the world's largest automotive finance company, Ford Credit provides
vehicle financing in 36 countries for more than 8 million customers and 11,000
automotive dealers.

           Ford Motor Credit Company and Consolidated Subsidiaries
                             OPERATING HIGHLIGHTS

                                                         Full Year
                                                  1998              1997
    Income (in Millions)

     Income Before Income Taxes                 $1,812.2         $1,806.0
     Net Income                                  1,084.2          1,030.8

    Memo: Depreciation Expense                  $7,327.4         $6,188.2

    Market Share

     Ford Retail    United States                   42.3%            37.4%
                    Europe                          32.5             29.1
     Ford Wholesale United States                   82.5%            79.7%
                    Europe                          95.4             95.0

    Contract Volume - New and Used Retail/Lease (in Thousands)

     United States                                 2,794            2,549
     Europe                                          800              727
     Other International                             574              417
       Total Contract Volume                       4,168            3,693

    Assets (in Millions)

     Net Finance Receivables                   $95,941.6        $81,312.6
     Net Investment in Operating Leases         34,566.5         34,746.0
       Total Finance Receivables              $130,508.1       $116,058.6
     Other Assets                                6,739.7          5,914.7
       Total Assets                           $137,247.8       $121,973.3

    Liabilities and Stockholder's Equity (in Millions)

     Liabilities
       Debt - Short Term                       $53,633.2        $46,207.8
       Debt - Long Term                         61,334.1         54,517.2
              Total Debt                      $114,967.3       $100,725.0
       Other Liabilities                        11,289.8         11,186.1
              Total Liabilities               $126,257.1       $111,911.1

    Minority Interests in Net Assets
     of Subsidiaries                               346.0            477.7
    Stockholder's Equity                        10,644.7          9,584.5
      Total Liabilities and
      Stockholder's Equity                    $137,247.8       $121,973.3