Instead of making you read through all the mumbo jumbo of Ford's 2012 SEC annual report, MLive.com went through every page and outlined some of the most interesting details from the filing. Some information, such as Ford's $5.7 billion profit in 2012, is well-known. Other details, such as Ford CEO Alan Mulally’s retirement deal with company, aren’t so publicized.
DEARBORN- Ford Motor Co. sold more than 645,000 pickup trucks in 2012, with its best-selling F-Series towing in 39 percent of the full-size pickup segment in the U.S.
That's according to the Dearborn-based automaker’s more than 250-page annual report to the Securities and Exchange Commission, which it filed on Tuesday.
The filing, meant to provide an in-depth look at the company's operations, is full of interesting details about Ford’s performance last year and outlook for 2013.
Instead of making you read through all the pages (although you can if you would like), MLive.com went through every page and outlined some of the most interesting details from the filing.
Some information, such as Ford's $5.7 billion profit in 2012, is well-known. Other details, such as Ford CEO Alan Mulally’s retirement deal with company, aren’t so publicized.
1. 2012 Statistics
- Sales: Ford sold 5.67 million vehicles globally in 2012, down from 5.69 million in 2011.
- U.S.market share: Ford was down 1.3 percentage points, while its U.S. retail share of declined 0.7 of a percentage point.
Ford attributed the decline “largely” to the discontinuation of the Crown Victoria and Ranger, capacity constraints and reduced availability associated with our Fusion and Escape model changeovers.
- Dealers: Ford had 11,619 dealers worldwide, including 10,537 Ford, 206 Lincoln and 876 Ford-Lincoln combined.
- Engineering, research, and development: Expenses for 2012 were $5.5 billion, up from 2011, and 2010 were $5.5 billion, $5.3 billion in 2011 and $5 billion in 2010.
- Pickups: Ford’s share of the full-size pickup truck market was its highest share since 2001.
2. Employees
Ford employed 171,000 people worldwide in 2012, which was an increase from 164,000 in 2011.
The year-over-year increase in employment, according to Ford, reflects increases in North America and Asia Pacific Africa to support increased production, partially offsetting the lower number of employees in Europe. Here’s a breakdown by Ford’s regional and financial services operations:
2012 2011
- North America: 80,000 75,000
- South America: 17,000 16,000
- Europe: 46,000 47,000
- Asia Pacific Africa: 22,000 19,000
- Ford Credit: 6,000 7,000
3. Burgeoning markets
China and India are expected to continue to experience rapid and substantial growth in the next 10 years, driving new economic growth in the Ford's Asia-Pacific-Africa region.
Ford’s joint venture affiliates completed construction of two new plants in the region in the last year, announced significant expansions of existing facilities, and currently are building seven additional plants in the region - five in China and two in India - all as part of its plan to reach production capacity of 2.7 million vehicles by mid-decade.
4. Age of execs
As of Feb. 1, Ford’s 19 executive officers (page 31 of the Adobe Reader file) were a combined average age of 54.
The youngest were members are Stuart Rowley, vice president and controller, and Ziad S. Ojakli, group vice president - Government and Community Relations, both at 45 as of Feb. 1. The oldest member is Mulally at 67.
5. Trending small?
Ford expects a long-term industry trend toward smaller and more fuel-efficient vehicles. The small car segment has increased its share from 14 percent in 2004 to nearly 21 percent in 2012 - one of the most significant segment shifts in the industry, Ford said.
Ford’s sales of small cars were up 29 percent in 2012, giving it just over 10 percent of the small car segment, more than a full percentage point increase compared to 2010, and its best share of the U.S. small car segment since 2003.
6. Mulally retirement payout
Mulally will receive a pre-tax lump-sum after his retirement equal to five times the amount of Ford's contribution to his Ford Retirement Plan and Benefit Equalization Plan, according to a letter in the filing.
The letter, dated Feb. 13, declares that under the 67-year-old’s 2006 hiring agreement Mulally "will be credited four additional years of service for every year of actual service.”
7. Finding Farley
It appears Ford really wanted Jim Farley to leave Toyota Motor Corp. in 2007. Farley, 50, Ford's group vice president of marketing, sales, service and Lincoln, agreed to the company in 2007 for a $1.5 million signing bonus, a $4.2 million in compensation he would have received had he stayed with his former employer and a $700,000-a- year base salary.
8. Stock
In 2012, the stock [NYSE: F] reached a low of $8.82 per share in the third quarter, and high of $13.08 per share in fourth quarter.
As of Feb. 1, Ford had outstanding 3.85 trillion shares of Common Stock and about 70.9 million shares of Class B Stock.
As of Feb. 1, stockholders of record of Ford included approximately 151,240 holders of Common Stock and 66 holders of Class B Stock.
9. Competition
Ford expects the competitive environment in the U.S. to continue “to intensify as foreign manufacturers continue to increase both imports to the United States and production capacity in North America.”
According to the filing, Ford’s “key competitors” with global presences’ include Fiat-Chrysler, General Motors Co., Honda Motor Co., Hyundai-Kia Automotive Group, PSA Peugeot Citroen, Renault-Nissan B.V., Suzuki Motor Corp., Toyota Motor Corp., and Volkswagen AG Group.
10. 2013 look: Overall, Ford expects pretty positive results in 2013, below is a closer look.
- Ford expects its North American operations to continue with higher pre-tax profits than 2012 and an operating margin of about 10 percent.
- During 2013, global economic growth is expected to remain in the 2-3 percent range, Ford says.
The European debt crisis remains a key risk to economic growth. The current economic performance in many European countries, according to Ford, is being hampered by excessive government debt levels and the resulting budget austerity measures that are contributing to weak economic growth.
- Global industry sales are projected to be in a range of 80 million - 85 million units.
Email Michael Wayland: MWayland@mlive.com and follow him on Twitter at twitter.com/MikeWayland