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2017 UK SUPPLY CHAIN MEETING

FORD MOTOR COMPANY AND THE UK SUPPLY

CHAIN

Global TVM Director

Purchasing

Ford of EuropeAlan Draper June 06, 2017

AGENDA

Ford Motor Company – An Overview

Ford Purchasing and our Supply Base

Mega Trends and Future Opportunities

FORD WORLD WIDE – KEY FIGURES

Head Quarter: USA -Dearborn65 Production Facilities

201.000 Employees

Market On All Continents

6,6 m Units SoldSignificant Revenue

Ford No. 1 Commercial Vehicle Market Share In Europe 20 Markets

COMMERCIAL VEHICLE MARKET SHARE – 2016

WHERE DO WE OPERATE IN EUROPE? – PURCHASING

ONE PURCHASING – ONE PLAN – ONE TEAM

UK

All Functions

Germany

All Functions

Valencia

All Functions

Morocco

Sourcing Office

South Africa

Regional Buy

Russia

All Functions

Hungary &

Czech Republic

STA

Romania

All Functions

Turkey - Otosan

All Functions

India

Commodity

A Strong Innovative Team, A Trusted Partner, Driving Optimum Cost And Quality

Emerging Opportunities in Electrification, Autonomous Vehicles New Technologies and alternative Transportation modes

Challenges to manage – Raw Material, Price Increases, Exchange Rates

FORD OF EUROPE – BUSINESS ENVIRONMENT

City Engagement

Raw Materials Electrification

2016 UK NEW VEHICLE SALES

3,077 2,685

391 -

500

1,000

1,500

2,000

2,500

3,000

3,500

Total Vehicle (up 62k vs '15) Cars (up 52k vs '15) CVs (up 10k vs '15)

in (

'00

0s)

2016 UK New Vehicles Sales

ALL NEW FIESTA – 2017 – FOLLOWS CURRENT FIESTA –BEST SELLING CAR IN THE UK SINCE 2009

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MEGA TRENDS: 1 ELECTRIFICATION

Air Quality City Bans

Charging InfrastructureTransit PHEV

Significant Investment and 13 New Nameplates globally

300 miles

100% Electric - BEV

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2: MOBILITY

300 miles

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MOBILITY

300 miles

Develop services and their business models to

reduce the transportation friction in people’s lives

as they move about cities using multiple modes of

transportation

• Accelerate Mobility

– Plug in Hybrid Transit London Fleet Trail

– Smart Mobility Pilot: GoPark in London

– Chariot introduction in Europe

Ford Announced Its Intent To Have, Fully Autonomous SAE Level 4-capable

Vehicle In Commercial Operation In 2021 In A Ride-hailing / Ride-sharing Service

3: AUTOMATION

SOCIETY OF AUTOMOTIVE ENGINEERS LEVELS OF AUTOMATION

FordFirst to testfully autonomous vehicle

at Mcity

SMART MOBILITYAUTONOMOUS VEHICLE TESTING

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Our 100+ Year Heritage Of Providing Mobility Remains Unchanged

EXCEPTIONAL SUPPLIER RELATIONS

We Continue To Value Suppliers As Very Important Business Partners To Help Us To Deliver Mobility

“Great Products…Strong Business…

Better World”

Jan 1925

Saturday Evening Post

“Working together to make people’s lives

better by changing the way the world moves”

2017

Family of Suppliers

DisciplinedCommodityBusiness Plans

Technology &Innovation

Communication &Collaboration

Bi-Lateral

Relationship

Commitments

StrategicAlignment

ALIGNED BUSINESS FRAMEWORK (ABF)

Driving Sustainable Supplier Relationships

FORD MOTOR COMPANY AND THE UK SUPPLY CHAIN

• Thank you for your attention

• The Ford Team at Auto Mechanika looks forward to interesting and proactive

engagement with UK based suppliers here over the next 2 days