New Products with Better Fuel Efficiency
We know that people are looking to us to develop advanced technologies and whole new ways to power vehicles, such as hydrogen-fueled engines and plug-in hybrids. We are working hard to deliver these longer-term innovations. However, we also know that customers want more fuel-efficient vehicle options right now.
In the short term, we are working to better the fuel economy of our existing products through incremental improvements in internal-combustion technology. For example, we are preparing to introduce a new engine that will improve fuel economy, reduce emissions and improve power output. This "Twin Force" Duratec 3.5-liter turbocharged gas engine with direct fuel injection will deliver V-8 power and performance with better-than-conventional V-8 fuel economy. The Twin Force was named one of the 10 best engines by Ward's Auto World in December 2006. It was showcased on the new Lincoln MKR concept vehicle at the 2007 North American International Auto Show.
In addition, we are planning to launch a dual-clutch transmission system we developed in partnership with GETRAG, our supplier-partner. Called the GETRAG-Ford Powershift, this new transmission will provide comparable fuel economy to a manual transmission with the driving ease and convenience of an automatic transmission. This technology will debut in 2007 in European Volvo S40 and V50 diesel models.
We are also introducing new product designs that provide high style, functionality and performance with lower fuel consumption. For example, the recently launched Ford Edge and Lincoln MKX crossovers provide SUV-level performance and functionality with greater style and better fuel economy. Similarly, the popular Ford Fusion, Mercury Milan and Lincoln MKZ sedans offer a stylish, high-performance and more fuel-efficient option to our consumers. With optional all-wheel drive and fold-down rear seats, these sedans offer much of the functionality consumers looked for from SUVs with great style and significantly better fuel economy. We have also announced a redesign of one of our most fuel-efficient vehicles, the Ford Focus, to launch in 2008. The newly designed North American Focus will provide the same levels of fuel efficiency and affordability in a significantly more stylish and sporty package. We currently offer 13 vehicles that get 30 miles per gallon or better on the highway, including the Ford Focus, Ford Fusion, Mercury Milan, Mazda 3, Mazda MX-5, Mazda 6, Volvo S40, Volvo S60, Volvo V50, Land Rover LR2 SUV and the 2008 Ford Escape Hybrid, Mercury Mariner Hybrid and Mazda Tribute Hybrid SUVs.
Our future plans include introducing a whole new approach to the traditional minivan. The Ford Flex, which debuted at the New York Auto Show in April 2007, will offer the functionality of a minivan with significantly better style and fuel economy. The Flex will be available in 2009. Similarly, we are planning to introduce a "b-car" in North America that will round out our product line with a smaller, even more fuel-efficient vehicle that still has plenty of style and desirability.
