MOU Signed

Ford Motor Co
04 December 2006

Contact:

Media:                     Investment          Shareholder Inquiries:
Della DiPietro             Community:          1.800.555.5259 or
1.313.755.2432             Raj Modi(Equity)    1.313.845.8540
1.313.720.8095             1.313.323.8221      [e-mail]
[e-mail]       [e-mail]     

                           Rob Moeller (Fixed Income)
                           1.313.621.0881
                           [e-mail]

FORD AND VALEO SIGN MOU FOR SALE OF THE AUTOMOTIVE COMPONENTS HOLDINGS SHELDON
ROAD PLANT

• Ford Motor Company and Valeo have signed a MOU for the sale of the
  Automotive Components Holdings climate control business and Sheldon Road Plant
  to Valeo. 

• This MOU is the first expected during the next several months regarding ACH's
  automotive component businesses. 

• Automotive Components Holdings was created to ensure the flow of critical
  components to Ford while working to significantly reduce Ford's material costs
  over time. 

PLYMOUTH, Mich., December 4, 2006 - Ford Motor Company and Valeo today
announced a Memorandum of Understanding for Valeo's purchase of the Automotive
Components Holdings climate control business, including the Sheldon Road Plant
in Plymouth Township, Mich. This paves the way for a Definitive Agreement and
sale of the business to Valeo as soon as possible. 

The Sheldon Road Plant produces automotive climate control systems and
components for a number of Ford vehicles. It employs about 1,250 people,
including salaried employees leased from Visteon and UAW hourly employees leased
from Ford. It is part of Automotive Components Holdings, a Ford-managed
temporary company formed in October 2005. 

'This is an important step for Ford's North American operations and the Way
Forward Acceleration Plan, especially as we seek to reduce material costs over
time,' said Mark Fields, president of the Americas and Ford executive vice
president. 

'This MOU follows a lot of hard work by this plant and the entire ACH team,'
said Al Ver, CEO and COO, Automotive Components Holdings, and Ford vice
president. 'We have focused on preparing our businesses for sale to buyers who
can grow and invest in them.' 

Automotive Components Holdings produces interior, climate, chassis and
powertrain components and operates 11 plants in the United States and three in
Mexico. 

'This acquisition is an important part of Valeo's strategy to be a global leader
in its core product lines,' said Thierry Morin, chairman and CEO, Valeo. 

The final agreement is contingent upon reaching a new and competitive agreement
with the United Auto Workers. Further information related to the sale will be
available after the sale is completed. 

Ford Motor Company, a global automotive industry leader based in Dearborn,
Mich., manufactures or distributes automobiles in 200 markets across six
continents. With about 300,000 employees and more than 100 plants worldwide, the
company's core and affiliated automotive brands include Aston Martin, Ford,
Jaguar, Land Rover, Lincoln, Mazda, Mercury and Volvo. Its automotive-related
services include Ford Motor Credit Company. For more information regarding
Ford's products, please visit www.fordvehicles.com.



                      This information is provided by RNS
            The company news service from the London Stock Exchange