Ford Credit Offers First Underwritten Corporate Debt Offering Over the Internet
10 January 2000
Ford Credit Offers First Underwritten Corporate Debt Offering Over the Internet
DEARBORN, Mich.--Jan. 10, 2000--Debt Transaction To Leverage Internet for Direct Distribution
Unique Web Site for Investors Offers Links to Ford
Credit Products and Ford Vehicles
Ford Motor Credit Company (Ford Credit) today announced that for the first time both institutional and retail investors will be offered a major corporate debt issue over the Internet.
Ford Credit is offering $1 billion of 3-year notes, with Lehman Brothers as lead manager and Fidelity Capital Markets, a division of National Financial Service Corporation, as co-manager. The transaction is expected to price this week.
This transaction underscores Ford Credit's strategy to fully utilize electronic commerce to develop closer links with its customers and investors. Ford Credit has been an early adopter of electronic issuance and the Internet in its capital markets strategy - starting with commercial paper. This transaction represents an extension of this strategy, which is focused on increasing the universe of investors and improving the distribution of Ford Credit's securities. Lehman and Fidelity provide a vital role in this process by allowing their base of customers to participate in this transaction online.
"Going forward, we believe Internet distribution will be an integral component of raising capital, particularly with respect to retail investors," said Dave Prystash, Vice President and Treasurer of Ford Motor Credit Company.
By connecting with investors through the Lehman Brothers Client Access Site, Ford Credit will be able to showcase its business strengths and capabilities. "Our investors will have an opportunity to view our financing products, as well as Ford Motor Company's world-renowned automotive brands. We want our customers to be our investors and our investors to be our customers," added Prystash.
The Lehman Brothers Client Access Site will provide investors with information including:
| -- | Ford Credit Prospectus |
| -- | Ford Credit Internet Strategy for Debt Securities |
| -- | Ford Vehicles and Ford Credit Financing Products |
| -- | Secondary Trading Levels of Comparable Securities |
| -- | Indicative Switch Pricing Information |
| -- | Ford Credit Spread History |
| -- | Ford Motor Company and Ford Credit SEC Filings |
| -- | Investor Presentation |
| -- | Research and Recent Rating Agency Actions |
Most importantly, this Internet platform will provide Ford Credit investors with a convenient and efficient platform to view relevant information concerning the offering, as well as to place orders directly over the Internet.
Ford Credit is the world's largest automotive finance company, providing vehicle financing to more than nine million customers and automotive dealers in 36 countries. A wholly owned subsidiary of Ford Motor Company, Ford Credit is a recognized leader for technological innovation, customer service, quality, profitability and commitment to the communities in which it operates. More information about Ford and Ford Credit is available at www.ford.com.