- Nearly 90% of net proceeds from Ford’s inaugural green bond have been allocated to clean transportation projects, including investments in Ford’s electric vehicle lineup
- The report also outlines the lifetime emissions achieved by the Mustang Mach-E, F-150 Lightning and E-Transit
- The sustainable financing report is consistent with the company’s Ford+ business plan to create value for stakeholders
DEARBORN, Mich., December 21, 2022 – Ford Motor Company today reported first-year actions guided by the sustainable financing framework the company launched in November 2021. The Sustainable Financing Report 2022 highlights how the net proceeds from the company’s inaugural green bond are being allocated to support the design, development and manufacture of Ford’s electric vehicles and create positive social and environmental impacts in the transition to EVs.
Ford published the framework last year on the fifth anniversary of the Paris Climate Agreement, in conjunction with the company’s first green bond – a $2.5 billion transaction that at the time was the largest of its kind by a U.S.-based corporation.
“Addressing environmental and social issues and funding them the right way is good for customers and our long-term success,” said John Lawler, Ford’s chief financial officer. “We’re helping to create a sustainable, zero-emissions world with healthy, thriving and just communities.”
Through August 31, 2022, $2.16 billion, or nearly 90%, of the net proceeds from the first green bond have been allocated to clean transportation projects, and the balance of the proceeds are expected to be allocated by the end of the year. A second green bond of $1.75 billion was issued in August 2022, proceeds from which Ford plans to allocate by the end of 2023.
The report also outlines the lifetime emissions savings of the Mustang Mach-E, F-150 Lightning and E-Transit.
“The world we want to help build requires innovation and unified action,” said Cynthia Williams, global director, Sustainability, Homologation and Compliance at Ford. “I’m proud to say we are on track to have 50% of our global vehicle mix fully electric by 2030. We’re going to build high-quality electric vehicles at scale and are steadfast in our commitment to leverage this transition to help businesses grow and communities thrive.”
Financing of these environmental and social projects can be done through various funding markets, including unsecured debt and securitization transactions, as outlined in the framework – which achieved the highest-possible “advanced” rating from the globally recognized Vigeo Eiris, an arm of Moody’s Corp, that assesses ESG initiatives.
Ford’s sustainable financing reporting includes an independent third-party examination and verification by PricewaterhouseCoopers LLP and aligns with environmental and social principles and best practices established by the International Capital Market Association and the Loan Market Association. These groups counsel transparency, disclosure, measuring impact and external reviews in sustainable financing.
Ford manufactures more vehicles in the U.S. and employs more hourly workers in America than any other automaker and was one of the first American automakers to align with the international community to limit the impacts of global warming as part of the Paris Climate Agreement. The company has committed to achieving carbon neutrality across its vehicles, operations and supply chain no later than 2050 backed by science-based interim goals it will achieve by 2035.
For more information and to read the report, please visit: sustainability.ford.com. Access the Sustainable Financing Report 2022 here.
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About Ford Motor Company
Ford Motor Company (NYSE: F) is a global company based in Dearborn, Michigan, that is committed to helping build a better world, where every person is free to move and pursue their dreams. The company’s Ford+ plan for growth and value creation combines existing strengths, new capabilities and always-on relationships with customers to enrich experiences for and deepen the loyalty of those customers. Ford develops and delivers innovative, must-have Ford trucks, sport utility vehicles, commercial vans and cars and Lincoln luxury vehicles, as well as connected services. Additionally, Ford is establishing leadership positions in mobility solutions, including self-driving technology, and provides financial services through Ford Motor Credit Company. Ford employs about 176,000 people worldwide. More information about the company, its products and Ford Credit is available at corporate.ford.com.