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Ford Lowers Q1 2001 North American Production Plan

22 December 2000

Ford Motor Company Lowers First Quarter 2001 North American Production Plan

    DEARBORN, Mich., Dec. 21 Ford Motor Company
announced today that it has revised downward its first quarter 2001 North
American production plan.  The company now plans to produce 1,050,000 vehicles
in the first quarter, down 107,000 units (nine percent) from the prior plan.
The company's first quarter 2001 North American production plan is down
220,000 units (17 percent) from the first quarter 2000.
    "It's clear that U.S. economic growth is slowing," said Martin Inglis,
Vice President, Ford North America, "and surveys of consumer sentiment point
to lower levels of spending in the future.  The revised first quarter plan is
intended to align our U.S. inventories with consumer demand.  We're making
every effort to stay in front of the slowing demand curve."
    Inglis said the first quarter production cuts involve a one-week idling
for most North American assembly plants.  "The production cuts are front-
loaded in the quarter," said Inglis, "with most of the downtime scheduled for
the last two weeks of January.  This gives us the flexibility to assess the
economic picture again before the spring selling season.  At the same time, we
are intensifying our efforts to achieve operating efficiencies and cost
improvements."
    Ford also announced that its fourth quarter 2000 production plan was
reduced by weather-related losses in North America and parts shortages outside
North America.  As a result, the company expects fourth quarter earnings will
be reduced by about 10 cents per share from the present First Call consensus
analyst estimate of 74 cents a share.
    Downtime in Ford Motor Company's first quarter 2001 North American
production plan is as follows:

    Week of January 1, 2001
    Atlanta Assembly Plant        Ford Taurus/Mercury Sable

    Week of January 8, 2001
    Atlanta Assembly Plant        Ford Taurus/Mercury Sable
    Hermosillo Assembly Plant     Ford Escort/ZX2
    Michigan Truck Plant          Ford Expedition/Lincoln Navigator

    Week of January 22, 2001
    Avon Lake Assembly Plant      Mercury Villager/Nissan Quest
    Cuautitlan Assembly Plant     Ford F-Series
    Chicago Assembly Plant        Ford Taurus/Mercury Sable
    Edison Assembly Plant         Ford Ranger/Mazda B-Series
    Kansas City Assembly Plant    Ford F-Series
    Lorain Assembly Plant         Ford Econoline
    Norfolk Assembly Plant        Ford F-Series
    Oakville Assembly Plant       Ford Windstar
    Ontario Truck Plant           Ford F-Series
    Twin Cities Assembly Plant    Ford Ranger
    St. Thomas Assembly Plant     Ford Crown Victoria/Mercury Grand Marquis
    Wayne Assembly Plant          Ford Focus
    Wixom Assembly Plant          Lincoln Town Car, Continental, LS

    Week of January 29, 2001
    Avon Lake Assembly Plant      Mercury Villager/Nissan Quest
    Cuautitlan Assembly Plant     Ford F-Series
    Lorain Assembly Plant         Ford Econoline