FORD MOTOR CO, 10-K filed on 2/9/2017
Annual Report
DOCUMENT AND ENTITY INFORMATION Document (USD $)
12 Months Ended
Dec. 31, 2016
Jun. 30, 2016
Jan. 31, 2017
Common Stock [Member]
Jan. 31, 2017
Class B Stock [Member]
Document Type
10-K 
 
 
 
Amendment Flag
false 
 
 
 
Document Period End Date
Dec. 31, 2016 
 
 
 
Document Fiscal Year Focus
2016 
 
 
 
Document Fiscal Period Focus
FY 
 
 
 
Entity Registrant Name
FORD MOTOR CO 
 
 
 
Entity Central Index Key
0000037996 
 
 
 
Current Fiscal Year End Date
--12-31 
 
 
 
Entity Filer Category
Large Accelerated Filer 
 
 
 
Entity Common Stock, Shares Outstanding
 
 
3,903,445,093 
70,852,076 
Trading Symbol
F 
 
 
 
Entity Well-known Seasoned Issuer
Yes 
 
 
 
Entity Voluntary Filers
No 
 
 
 
Entity Current Reporting Status
Yes 
 
 
 
Entity Public Float
 
$ 49,052,855,221 
 
 
CONSOLIDATED INCOME STATEMENT (USD $)
In Millions, except Per Share data, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Revenues
 
 
 
Financial Services Revenues
$ 10,253 
$ 8,992 
$ 8,295 
Total revenues
151,800 
149,558 
144,077 
Costs and expenses
 
 
 
Cost of sales
126,584 
124,041 
125,025 
Selling, administrative, and other expenses
12,196 
10,502 
11,842 
Financial Services interest, operating, and other expenses
8,904 
7,368 
6,878 
Total costs and expenses
147,684 
141,911 
143,745 
Interest expense on Automotive debt
894 
773 
797 
Equity in net income of affiliated companies
1,780 
1,818 
1,275 
Income before income taxes
6,796 
10,252 
1,234 
Provision for/(Benefit from) income taxes (Note 21)
2,189 
2,881 
4 
Net income
4,607 
7,371 
1,230 
Less: Income/(Loss) attributable to noncontrolling interests
11 
(2)
(1)
Net income attributable to Ford Motor Company
4,596 
7,373 
1,231 
Basic income
 
 
 
Basic income (in dollars per share)
$ 1.16 
$ 1.86 
$ 0.31 
Diluted income
 
 
 
Diluted income (in dollars per share)
$ 1.15 
$ 1.84 
$ 0.31 
Cash dividends declared
$ 0.85 
$ 0.60 
$ 0.50 
Operating Segments [Member] |
Automotive
 
 
 
Revenues
 
 
 
Revenues
141,546 
140,566 
135,782 
Total revenues
141,546 
140,566 
135,782 
Costs and expenses
 
 
 
Equity in net income of affiliated companies
1,747 
1,786 
1,575 
Income before income taxes
9,422 
9,568 
6,254 
Operating Segments [Member] |
Financial Services
 
 
 
Revenues
 
 
 
Total revenues
10,253 
8,992 
8,295 
Costs and expenses
 
 
 
Interest income and other income/(loss), net
438 
372 
348 
Equity in net income of affiliated companies
33 
32 
29 
Income before income taxes
1,820 
2,028 
1,794 
Operating Segments [Member] |
Other
 
 
 
Revenues
 
 
 
Revenues
1 
0 
0 
Total revenues
1 
 
 
Costs and expenses
 
 
 
Income before income taxes
(867)
(796)
(755)
Operating Segments [Member] |
Non-Financial Services [Member]
 
 
 
Costs and expenses
 
 
 
Interest income and other income/(loss), net
$ 1,356 
$ 1,188 
$ 76 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Net income
$ 4,607 
$ 7,371 
$ 1,230 
Other comprehensive income/(loss), net of tax (Note 18)
 
 
 
Foreign currency translation
(1,024)
(1,132)
 
Marketable securities
(8)
(6)
 
Derivative instruments
219 
227 
 
Pension and other postretirement benefits
56 
(81)
 
Total other comprehensive income/(loss), net of tax
(757)
(992)
(240)
Comprehensive income
3,850 
6,379 
989 
Less: Comprehensive income/(loss) attributable to noncontrolling interests
10 
(2)
0 
Comprehensive income attributable to Ford Motor Company
3,840 
6,381 
989 
Parent [Member]
 
 
 
Net income
4,596 
7,373 
1,231 
Other comprehensive income/(loss), net of tax (Note 18)
 
 
 
Foreign currency translation
 
 
(36)
Marketable securities
 
 
0 
Derivative instruments
 
 
(182)
Pension and other postretirement benefits
 
 
(23)
Total other comprehensive income/(loss), net of tax
$ (756)
$ (992)
$ (241)
CONSOLIDATED BALANCE SHEET (USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
ASSETS
 
 
Cash and cash equivalents
$ 15,905 
$ 14,272 
Marketable securities (Note 5)
22,922 
20,904 
Financial Services finance receivables, net (Note 6)
46,266 
45,137 
Financial Services finance receivables, net
96,190 
90,691 
Trade and other receivables, less allowances of $372 and $392
11,102 
11,042 
Inventories (Note 9)
8,898 
8,319 
Other assets
3,368 
2,913 
Total current assets
108,461 
102,587 
Financial Services finance receivables, net (Note 6)
49,924 
45,554 
Net investment in operating leases
28,829 
27,093 
Net property (Note 11)
32,072 
30,163 
Equity in net assets of affiliated companies (Note 10)
3,304 
3,224 
Deferred income taxes (Note 21)
9,705 
11,509 
Other assets
5,656 
4,795 
Total assets
237,951 
224,925 
LIABILITIES
 
 
Payables
21,296 
20,272 
Other liabilities and deferred revenue (Note 12)
19,316 
19,089 
Total current liabilities
90,281 
82,336 
Other liabilities and deferred revenue (Note 12)
24,395 
23,457 
Debt
142,970 
132,854 
Deferred income taxes (Note 21)
691 
502 
Total liabilities
208,668 
196,174 
Redeemable noncontrolling interest (Note 15)
96 
94 
EQUITY
 
 
Capital in excess of par value of stock
21,630 
21,421 
Retained earnings
15,634 
14,414 
Accumulated other comprehensive income/(loss) (Note 18)
(7,013)
(6,257)
Treasury stock
(1,122)
(977)
Total equity attributable to Ford Motor Company
29,170 
28,642 
Equity attributable to noncontrolling interests
17 
15 
Total equity
29,187 
28,657 
Total liabilities and equity
237,951 
224,925 
Common Stock [Member]
 
 
EQUITY
 
 
Common and Class B Stock
40 
40 
Class B Stock [Member]
 
 
EQUITY
 
 
Common and Class B Stock
1 
1 
Variable Interest Entity, Primary Beneficiary [Member]
 
 
ASSETS
 
 
Cash and cash equivalents
3,047 
3,949 
Financial Services finance receivables, net
50,857 
45,902 
Net investment in operating leases
11,761 
13,309 
Other Assets
25 
85 
LIABILITIES
 
 
Debt
43,730 
43,086 
Other liabilities and deferred revenue
5 
19 
Operating Segments [Member] |
Automotive
 
 
ASSETS
 
 
Cash and cash equivalents
7,820 
5,386 
Total assets
96,929 
91,959 
LIABILITIES
 
 
Debt payable within one year
2,685 
1,779 
Long-term debt
13,222 
11,060 
Debt
15,907 
12,839 
Operating Segments [Member] |
Financial Services
 
 
ASSETS
 
 
Cash and cash equivalents
8,077 
8,886 
Net investment in operating leases
27,209 
25,079 
Total assets
146,252 
137,026 
LIABILITIES
 
 
Debt payable within one year
46,984 
41,196 
Long-term debt
80,079 
78,819 
Debt
$ 127,063 
$ 120,015 
CONSOLIDATED BALANCE SHEET (Parenthetical) (USD $)
In Millions, except Per Share data, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
ASSETS
 
 
Allowance for trade and other receivables
$ 392 
$ 372 
Common Stock [Member]
 
 
EQUITY
 
 
Common stock, par value (in dollars per share)
$ 0.01 
 
Common Stock, shares issued (in shares)
3,976 
 
Common Stock, Shares Authorized (in shares)
6,000 
 
Class B Stock [Member]
 
 
EQUITY
 
 
Common stock, par value (in dollars per share)
$ 0.01 
 
Common Stock, shares issued (in shares)
71 
 
Common Stock, Shares Authorized (in shares)
530 
 
CONSOLIDATED STATEMENT OF CASH FLOWS (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Cash flows from operating activities
 
 
 
Net income
$ 4,607 
$ 7,371 
$ 1,230 
Depreciation and tooling amortization
9,023 
7,993 
7,385 
Other amortization
(306)
(27)
38 
Provision for credit and insurance losses
672 
418 
305 
Pension and other postretirement employee benefits (“OPEB”) expense
2,667 
512 
4,429 
Equity investment (earnings)/losses in excess of dividends received
(178)
(333)
189 
Foreign currency adjustments
283 
710 
825 
Net (gain)/loss on changes in investments in affiliates
(139)
(42)
798 
Stock compensation
210 
199 
180 
Net change in wholesale and other receivables
(1,449)
(5,090)
(2,208)
Provision for deferred income taxes
1,478 
2,120 
(94)
Decrease/(Increase) in accounts receivable and other assets
(2,855)
(3,563)
(2,896)
Decrease/(Increase) in inventory
(815)
(1,155)
(936)
Increase/(Decrease) in accounts payable and accrued and other liabilities
6,595 
7,758 
5,729 
Other
(1)
(701)
(467)
Net cash provided by/(used in) operating activities
19,792 
16,170 
14,507 
Cash flows from investing activities
 
 
 
Capital spending
(6,992)
(7,196)
(7,463)
Acquisitions of finance receivables and operating leases
(56,007)
(57,217)
(51,673)
Collections of finance receivables and operating leases
38,834 
38,130 
36,497 
Purchases of equity and debt securities
(31,428)
(41,279)
(48,694)
Sales and maturities of equity and debt securities
29,354 
40,766 
50,264 
Change related to Venezuelan operations
0 
0 
(477)
Settlements of derivatives
825 
134 
281 
Other
62 
500 
141 
Net cash provided by/(used in) investing activities
(25,352)
(26,162)
(21,124)
Cash flows from financing activities
 
 
 
Cash dividends
(3,376)
(2,380)
(1,952)
Purchases of Common Stock
(145)
(129)
(1,964)
Net changes in short-term debt
3,864 
1,646 
(3,870)
Proceeds from issuance of other debt
45,961 
48,860 
40,043 
Principal payments on other debt
(38,797)
(33,358)
(28,859)
Other
(49)
(317)
25 
Net cash provided by/(used in) financing activities
7,458 
14,322 
3,423 
Effect of exchange rate changes on cash and cash equivalents
(265)
(815)
(517)
Net increase/(decrease) in cash and cash equivalents
1,633 
3,515 
(3,711)
Cash and cash equivalents
 
 
 
Cash and cash equivalents at January 1
14,272 
10,757 
14,468 
Net increase/(decrease) in cash and cash equivalents
1,633 
3,515 
(3,711)
Cash and cash equivalents at December 31
$ 15,905 
$ 14,272 
$ 10,757 
CONSOLIDATED STATEMENT OF EQUITY (USD $)
In Millions, unless otherwise specified
Total
Capital Stock [Member]
Capital in Excess of Par Value of Stock [Member]
Retained Earnings/(Accumulated Deficit) [Member]
Accumulated Other Comprehensive Income (Loss) [Member]
Treasury Stock [Member]
Parent [Member]
Equity (Deficit) Attributable to Non-controlling Interests [Member]
Total equity/(deficit) at Dec. 31, 2013
$ 26,173 
$ 40 
$ 21,422 
$ 10,208 
$ (5,024)
$ (506)
$ 26,140 
$ 33 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
Net income
1,230 
 
 
1,231 
 
 
1,231 
(1)
Other comprehensive income/(loss), net of tax
(240)
 
 
 
(241)
 
(241)
1 
Common stock issued (including share-based compensation impacts)
314 
 
314 
 
 
 
314 
 
Treasury stock/other
(1,058)
 
(647)
(65)
 
(342)
(1,054)
(4)
Cash dividends declared
(1,954)
 
 
(1,952)
 
 
(1,952)
(2)
Total equity/(deficit) at Dec. 31, 2014
24,465 
40 
21,089 
9,422 
(5,265)
(848)
24,438 
27 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
Net income
7,371 
 
 
7,373 
 
 
7,373 
(2)
Other comprehensive income/(loss), net of tax
(992)
 
 
 
(992)
 
(992)
 
Common stock issued (including share-based compensation impacts)
333 
1 
332 
 
 
 
333 
 
Treasury stock/other
(134)
 
 
(1)
 
(129)
(130)
(4)
Cash dividends declared
(2,386)
 
 
(2,380)
 
 
(2,380)
(6)
Total equity/(deficit) at Dec. 31, 2015
28,657 
41 
21,421 
14,414 
(6,257)
(977)
28,642 
15 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
 
 
 
 
Net income
4,607 
 
 
4,596 
 
 
4,596 
11 
Other comprehensive income/(loss), net of tax
(757)
 
 
 
(756)
 
(756)
(1)
Common stock issued (including share-based compensation impacts)
209 
 
209 
 
 
 
209 
 
Treasury stock/other
(148)
 
 
 
 
(145)
(145)
(3)
Cash dividends declared
(3,381)
 
 
(3,376)
 
 
(3,376)
(5)
Total equity/(deficit) at Dec. 31, 2016
$ 29,187 
$ 41 
$ 21,630 
$ 15,634 
$ (7,013)
$ (1,122)
$ 29,170 
$ 17 
Presentation (Notes)
PRESENTATION
PRESENTATION

For purposes of this report, “Ford,” the “Company,” “we,” “our,” “us,” or similar references mean Ford Motor Company, our consolidated subsidiaries, and our consolidated VIEs of which we are the primary beneficiary, unless the context requires otherwise. Our financial statements are presented in accordance with U.S. generally accepted accounting principles (“GAAP”).

Effective December 31, 2014, we began reporting the results of our wholly-owned Venezuelan subsidiary using the cost method of accounting. This change resulted in a fourth quarter 2014 one-time pre-tax charge of $800 million in Non-Financial Services interest income and other income/(loss), net.
Change in presentation. Our core Automotive business includes the designing, manufacturing, marketing, and servicing of a full line of Ford cars, trucks, SUVs, and electrified vehicles, as well as Lincoln luxury vehicles. We provide vehicle-related financing and leasing activities through Ford Motor Credit Company LLC (“Ford Credit”). At the same time, we are pursuing emerging opportunities in connectivity, mobility, autonomous vehicles, the customer experience, and data and analytics.

Prior to the second quarter of 2016, we presented our financial statements on both a consolidated basis and on a “sector” basis for our Automotive and Financial Services sectors. With our expansion into mobility services, including the formation in March 2016 of the Ford Smart Mobility LLC subsidiary, we reevaluated our disclosures and concluded we should eliminate our two-sector financial presentation and, reflecting the manner in which our Chief Operating Decision Maker manages our business, changed our segment presentation beginning with the second quarter of 2016 to be Automotive, Financial Services, and All Other. See Note 4 for a description of our segment presentation.

In addition, as a result of the elimination of our two-sector financial presentation, at June 30, 2016 we changed the presentation of our consolidated balance sheet and certain notes to the consolidated financial statements to classify our assets and liabilities as current or non-current. We reclassified certain prior year amounts in our consolidated financial statements to conform to the current year presentation.

Certain Transactions Between Automotive Segment and Financial Services Segment

Intersegment transactions occur in the ordinary course of business. Additional detail regarding certain transactions and the effect on each segment at December 31 was as follows (in billions):
 
2015
 
2016
 
Automotive
 
Financial
Services
 
Automotive
 
Financial
Services
Trade and other receivables (a)
 
 
$
5.4

 
 
 
$
6.1

Unearned interest supplements and residual support (b)
 
 
(4.5
)
 
 
 
(5.3
)
Dealer financing and other financing receivables (c)
 
 
0.8

 
 
 
0.7

Net investment in operating leases (d)
 
 
0.7

 
 
 
0.9

Intersegment receivables/(payables) (e)
$
(1.1
)
 
1.1

 
$
(1.7
)
 
1.7

__________
(a)
Automotive receivables (generated primarily from vehicle and parts sales to third parties) sold to Ford Credit.  
(b)
Automotive segment pays amounts to Ford Credit at the point of retail financing or lease origination which represent interest supplements and residual support.
(c)
Receivables with entities that are consolidated subsidiaries of Ford.  
(d)
Sale-leaseback agreement between Automotive and Financial Services relating primarily to vehicles that we lease to our employees.
(e)
Reflects amounts owed to Financial Services by Automotive (these amounts include the balances related to the Dealer financing and other financing receivables described above).
Summary of Accounting Policies (Notes)
Significant Accounting Policies [Text Block]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

For each accounting topic that is addressed in its own note, the description of the accounting policy may be found in the related note. Other significant accounting policies are described below.

Use of Estimates

The preparation of financial statements requires us to make estimates and assumptions that affect our results. Estimates are used to account for certain items such as marketing accruals, warranty costs, employee benefit programs, etc.  Estimates are based on assumptions that we believe are reasonable under the circumstances. Due to the inherent uncertainty involved with estimates, actual results may differ.

Foreign Currency

We remeasure monetary assets and liabilities denominated in a currency that is different than a reporting entity’s functional currency from the transactional currency to the legal entity’s functional currency. The effect of this remeasurement process, and the results of our foreign currency hedging activities are reported in Cost of sales and Financial Services other income/(loss), net and were $(510) million, $(524) million, and $307 million, for the years ended 2014, 2015, and 2016, respectively.

Generally, our foreign subsidiaries use the local currency as their functional currency. We translate the assets and liabilities of our foreign subsidiaries from their respective functional currencies to U.S. dollars using end-of-period exchange rates. Changes in the carrying value of these assets and liabilities attributable to fluctuations in exchange rates are recognized in Foreign currency translation, a component of Other comprehensive income/(Ioss), net of tax. Upon sale or upon complete or substantially complete liquidation of an investment in a foreign subsidiary, the amount of accumulated foreign currency translation related to the entity is reclassified to income and recognized as part of the gain or loss on the investment.

Restricted Cash

Cash and cash equivalents that are restricted as to withdrawal or use under the terms of certain contractual agreements are recorded in Other assets in the non-current assets section of our consolidated balance sheet. Our Automotive segment restricted cash balances primarily include various escrow agreements related to legal, insurance, customs, and environmental matters. Our Financial Services segment restricted cash balances primarily include cash held to meet certain local governmental and regulatory reserve requirements and cash held under the terms of certain contractual agreements. Restricted cash does not include required minimum balances or cash securing debt issued through securitization transactions. The balance at December 31, 2015 and 2016 was immaterial.

Trade Receivables

Trade and other receivables consists primarily of Automotive segment receivables from contracts with customers for the sale of vehicles, parts, and accessories. Trade receivables initially are recorded at the transaction amount and are typically outstanding for less than 30 days. Each reporting period, we evaluate the collectability of the receivables and record an allowance for doubtful accounts representing our estimate of the probable losses. Additions to the allowance for doubtful accounts are made by recording charges to bad debt expense reported in Selling, administrative, and other expenses.

Net Intangible Assets

We capitalize and amortize our finite-lived intangible assets over their estimated useful lives. Indefinite-lived intangible assets are not amortized, but are tested for impairment annually or more frequently if events or circumstances indicate the assets may be impaired. Our intangible assets are comprised primarily of license and advertising agreements, land rights, patents, customer contracts, and technology. Our indefinite-lived intangibles were tested for impairment in 2015 and 2016 and no impairment was required.

The net carrying amount of our intangible assets was $124 million and $198 million at December 31, 2015 and 2016, respectively, and are reported in Other assets in the non-current assets section of our consolidated balance sheet.

NOTE 2.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Long-Lived Asset Impairment

We test long-lived asset groups for recoverability when changes in circumstances indicate the carrying value may not be recoverable. Events that trigger a test for recoverability include material adverse changes in projected revenues and expenses, significant underperformance relative to historical and projected future operating results, significant negative industry or economic trends, and a significant adverse change in the manner in which an asset group is used or in its physical condition. When a triggering event occurs, a test for recoverability is performed, comparing projected undiscounted future cash flows to the carrying value of the asset group. If the test for recoverability identifies a possible impairment, the asset group’s fair value is measured relying primarily on a discounted cash flow method. An impairment charge is recognized for the amount by which the carrying value of the asset group exceeds its estimated fair value. When an impairment loss is recognized for assets to be held and used, the adjusted carrying amount of those assets is depreciated over their remaining useful life. No impairment of long-lived assets was recorded in 2015 or 2016.

Goodwill

We perform annual testing of goodwill during the fourth quarter to determine whether any impairment has occurred. Goodwill impairment testing is also performed following an allocation of goodwill to a business to be disposed, or following a triggering event for the long-lived asset impairment test. To test for goodwill impairment, we assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount.  If the qualitative assessment indicates a possible impairment, the carrying value of each reporting unit is compared with its fair value. Fair value is measured relying primarily on the income approach by applying a discounted cash flow method. Our goodwill balances were $6 million and $50 million at December 31, 2015 and 2016, respectively, and are reported in Other assets in the non-current assets section of our consolidated balance sheet. For the periods presented, we have not recorded any impairment.

Fair Value Measurements

Cash equivalents, marketable securities, and derivative financial instruments are remeasured and presented on our financial statements on a recurring basis at fair value, while other assets and liabilities are measured at fair value on a nonrecurring basis.

In measuring fair value, we use various valuation methods and prioritize the use of observable inputs. The use of observable and unobservable inputs and their significance in measuring fair value are reflected in our fair value hierarchy.

•
Level 1 - inputs include quoted prices for identical instruments and are the most observable
•
Level 2 - inputs include quoted prices for similar instruments and observable inputs such as interest rates, currency exchange rates, and yield curves
•
Level 3 - inputs include data not observable in the market and reflect management judgment about the assumptions market participants would use in pricing the instruments

Transfers into and transfers out of the hierarchy levels are recognized as if they had taken place at the end of the reporting period.

Valuation Method

Cash and Cash Equivalents. Included in Cash and cash equivalents are highly liquid investments that are readily convertible to known amounts of cash and are subject to an insignificant risk of change in value due to interest rate, quoted price, or penalty on withdrawal. A debt security is classified as a cash equivalent if it meets these criteria and if it has a remaining time to maturity of three months or less from the date of acquisition. Amounts on deposit and available upon demand, or negotiated to provide for daily liquidity without penalty, are classified as Cash and cash equivalents. Time deposits, certificates of deposit, and money market accounts that meet the above criteria are reported at par value on our balance sheet.

NOTE 2.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Marketable Securities. Investments in securities with a maturity date greater than three months at the date of purchase and other securities for which there is more than an insignificant risk of change in value due to interest rate, quoted price, or penalty on withdrawal are classified as Marketable securities. We generally measure fair value using prices obtained from pricing services. Pricing methods and inputs to valuation models used by the pricing services depend on the security type (i.e., asset class). Where possible, fair values are generated using market inputs including quoted prices (the closing price in an exchange market), bid prices (the price at which a buyer stands ready to purchase), and other market information. For fixed income securities that are not actively traded, the pricing services use alternative methods to determine fair value for the securities, including quotes for similar fixed-income securities, matrix pricing, discounted cash flow using benchmark curves, or other factors. In certain cases, when market data are not available, we may use broker quotes to determine fair value.

An annual review is performed on the security prices received from our pricing services, which includes discussion and analysis of the inputs used by the pricing services to value our securities. We also compare the price of certain securities sold close to the quarter end to the price of the same security at the balance sheet date to ensure the reported fair value is reasonable.  

Realized gains and losses and interest income on all of our marketable securities, and unrealized gains and losses on securities not classified as available for sale are recorded in Non-Financial Services interest income and other income/(loss), net and Financial Services other income/(loss), net. Unrealized gains and losses on available for sale securities are recognized in Unrealized gains and losses on securities, a component of Other comprehensive income/(loss), net of tax. Realized gains and losses and reclassifications of accumulated other comprehensive income into net income are measured using the specific identification method.

On a quarterly basis, we review our available for sale securities for impairment. If we conclude that any of these investments are impaired, we determine whether such impairment is other-than-temporary. Factors we consider to make such determination include the duration and severity of the impairment, the reason for the decline in value, and the potential recovery period and our intent to sell. If any impairment is considered other-than-temporary, we will write down the asset to its fair value and record the corresponding charge in Non-Financial Services interest income and other income/(loss), net.

Derivative Financial Instruments. Our derivatives are over-the-counter customized derivative transactions and are not exchange traded. We estimate the fair value of these instruments using industry-standard valuation models such as a discounted cash flow. These models project future cash flows and discount the future amounts to a present value using market-based expectations for interest rates, foreign exchange rates, commodity prices, and the contractual terms of the derivative instruments. The discount rate used is the relevant interbank deposit rate (e.g., LIBOR) plus an adjustment for non-performance risk. The adjustment reflects the full credit default swap (“CDS”) spread applied to a net exposure, by counterparty, considering the master netting agreements and any posted collateral. We use our counterparty’s CDS spread when we are in a net asset position and our own CDS spread when we are in a net liability position. In certain cases, market data is not available and we use broker quotes and models (e.g., Black-Scholes) to determine fair value. This includes situations where there is lack of liquidity for a particular currency or commodity, or when the instrument is longer dated.

Finance Receivables. We measure finance receivables at fair value for purposes of disclosure (see Note 6) using internal valuation models. These models project future cash flows of financing contracts based on scheduled contract payments (including principal and interest). The projected cash flows are discounted to present value based on assumptions regarding credit losses, pre-payment speed, and applicable spreads to approximate current rates. Our assumptions regarding pre-payment speed and credit losses are based on historical performance. The fair value of finance receivables is categorized within Level 3 of the hierarchy.

On a nonrecurring basis, we also measure at fair value retail contracts greater than 120 days past due or deemed to be uncollectible, and individual dealer loans probable of foreclosure. We use the fair value of collateral, adjusted for estimated costs to sell, to determine the fair value of our receivables. The collateral for a retail receivable is the vehicle financed, and for dealer loans is real estate or other property.

NOTE 2.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

The fair value of collateral for retail receivables is calculated by multiplying the outstanding receivable balances by the average recovery value percentage. The fair value of collateral for dealer loans is determined by reviewing various appraisals, which include total adjusted appraised value of land and improvements, alternate use appraised value, broker’s opinion of value, and purchase offers.

Debt. We measure debt at fair value for purposes of disclosure (see Note 14) using quoted prices for our own debt with approximately the same remaining maturities. Where quoted prices are not available, we estimate fair value using discounted cash flows and market-based expectations for interest rates, credit risk, and the contractual terms of the debt instruments. For certain short-term debt with an original maturity date of one year or less, we assume that book value is a reasonable approximation of the debt’s fair value. The fair value of debt is categorized within Level 2 of the hierarchy.

Employee Separation Actions and Exit and Disposal Activities

We record costs associated with voluntary separations at the time of employee acceptance, unless the acceptance requires explicit approval by the Company. We record costs associated with involuntary separation programs when management has approved the plan for separation, the affected employees are identified, and it is unlikely that actions required to complete the separation plan will change significantly. When a plan of separation requires approval by or consultation with the relevant labor organization or government, the costs are recorded after the required approval or consultation process is complete. Costs associated with benefits that are contingent on the employee continuing to provide service are accrued over the required service period.

Additionally, under certain labor agreements, we are required to pay transitional benefits to our employees who are idled. For employees who are temporarily idled, we expense the benefits on an as-incurred basis. For employees who are permanently idled, we expense all of the expected future benefit payments in the period when it is probable that the employees will be permanently idled.  Our reserve balance for these future benefit payments to permanently idled employees takes into account several factors:  the demographics of the population at each affected facility, redeployment alternatives, estimate of benefits to be paid, and recent experience relative to voluntary redeployments.

Revenue Recognition — Automotive Segment

Automotive revenue is generated primarily by sales of vehicles, parts, and accessories. Revenue is recorded when all risks and rewards of ownership are transferred to our customers (generally dealers and distributors). For the majority of our sales, this occurs when products are shipped from our manufacturing facilities. When we give our dealers the right to return eligible parts for credit, we reduce the related revenue for expected returns.

We sell vehicles to fleet customers, primarily daily rental car companies, subject to guaranteed repurchase options. These vehicles are accounted for as operating leases. At the time of sale, the proceeds are recorded as deferred revenue in Other liabilities and deferred revenue in the non-current liabilities section of our consolidated balance sheet. The difference between the proceeds and the guaranteed repurchase amount is recognized in Automotive revenues over the term of the lease using a straight line method. On average, leases remain outstanding for approximately one year. The cost of the vehicle is recorded in Net investment in operating leases on our consolidated balance sheet and the difference between the cost of the vehicle and the estimated auction value is depreciated in Cost of sales over the term of the lease. Proceeds from the sale of the vehicle at auction are recognized in Automotive revenues at the time of sale.

Revenue Recognition — Financial Services Segment

Financial Services revenue is generated primarily from interest on finance receivables (including direct financing leases). Interest is recognized using the interest method and includes the amortization of certain direct origination costs. Revenue from payments received on operating leases is recognized on a straight-line basis over the term of the lease. Revenue from interest on finance receivables and operating leases is discontinued at the time a receivable or account is determined to be uncollectible.

NOTE 2.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Finance and Lease Incentives

We offer special financing and lease incentives to customers who choose to finance or lease Ford or Lincoln brand vehicles with Ford Credit. The estimated cost for these incentives is recorded as a reduction to Automotive revenues when the vehicle is sold to the dealer. Ford Credit records a reduction to the finance receivable or reduces the cost of the vehicle operating lease when it records the underlying finance contract and we transfer to it the amount of the incentive on behalf of the dealer’s customer. See Note 1 for additional information regarding transactions between Automotive and Financial Services. The Financial Services segment recognized interest revenue of $1.4 billion, $1.3 billion, and $1.6 billion in 2014, 2015, and 2016, respectively, and lower depreciation of $1.3 billion, $1.5 billion, and $1.9 billion in 2014, 2015, and 2016, respectively associated with these incentives.

Sales and Marketing Incentives

Sales and marketing incentives generally are recognized as reductions in Automotive revenues. The incentives generally take the form of cash payments to dealers and dealers’ customers. The reduction to revenue is accrued at the later of the date the related vehicle is sold or the date the incentive program is both approved and communicated. We generally estimate these accruals using incentive programs that are approved as of the balance sheet date and are expected to be effective at the beginning of the subsequent period.

Supplier Price Adjustments

We frequently negotiate price adjustments with our suppliers throughout a production cycle, even after receiving production material. These price adjustments relate to changes in design specification or other commercial terms such as economics, productivity, and competitive pricing. We recognize price adjustments when we reach final agreement with our suppliers. In general, we avoid direct price changes in consideration of future business; however, when these occur, our policy is to defer the financial statement impact of any such price change given explicitly in consideration of future business where guaranteed volumes are specified.

Raw Material Arrangements

We may, at times, negotiate prices for and facilitate the purchase of raw materials on behalf of our suppliers. These raw material arrangements, which take place independently of any purchase orders issued to our suppliers, are negotiated at arms’ length and do not involve volume guarantees. When we pass the risks and rewards of ownership to our suppliers, including inventory risk, market price risk, and credit risk for the raw material, we record both the cost of the raw material and the income from the subsequent sale to the supplier in Cost of sales.

Government Incentives

We receive incentives from U.S. and non-U.S. governmental entities in the form of tax rebates or credits, grants, and loans. Government incentives are recorded in the financial statements in accordance with their purpose, either as a reduction of expense, a reduction of the cost of the capital investment, or other income. The benefit is recorded when all conditions attached to the incentive have been met and there is reasonable assurance of receipt.

Selected Other Costs

Engineering, research, and development expenses, primarily salaries, materials, and associated costs, are reported in Cost of sales; advertising costs are reported in Selling, administrative, and other expenses. Engineering, research, and development costs are expensed as incurred when performed internally or when performed by a supplier if we guarantee reimbursement. Advertising costs are expensed as incurred. Engineering, research, development, and advertising expenses for the years ended December 31 were as follows (in billions):
 
2014
 
2015
 
2016
Engineering, research, and development
$
6.7

 
$
6.7

 
$
7.3

Advertising
4.3

 
4.3

 
4.3



NOTE 2.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Presentation of Sales and Sales-Related Taxes

We collect and remit taxes required by various governmental authorities that are both imposed on and concurrent with revenue-producing transactions between us and our customers. These taxes may include, but are not limited to, sales, use, value-added, and excise taxes. We report the collection of these taxes on a net basis (excluded from revenues).
New Accounting Standards
NEW ACCOUNTING STANDARDS
NEW ACCOUNTING STANDARDS

Adoption of New Accounting Standards

Accounting Standard Update (“ASU”) 2015-17, Income Taxes - Balance Sheet Classification of Deferred Taxes. On April 1, 2016, we retrospectively adopted the new accounting standard which requires deferred tax assets and liabilities to be classified as non-current in the consolidated balance sheet. The impact of the change resulted in the classification of all deferred taxes as non-current.
We also adopted the following standards during 2016, none of which had a material impact to our financial statements or financial statement disclosures:
Standard
 
Effective Date
2015-16
Business Combinations - Simplifying the Accounting for Measurement-Period Adjustments
 
January 1, 2016
2015-09
Insurance - Disclosures about Short-Duration Contracts
 
January 1, 2016
2015-05
Internal-Use Software - Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement
 
January 1, 2016
2015-02
Consolidation - Amendments to the Consolidation Analysis
 
January 1, 2016
2015-01
Extraordinary and Unusual Items - Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items
 
January 1, 2016
2014-12
Stock Compensation - Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period
 
January 1, 2016
2014-15
Going Concern - Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern
 
December 31, 2016

Accounting Standards Issued But Not Yet Adopted

The following represent the standards that will, or are expected to, result in a significant change in practice and/or have a significant financial impact to Ford. 

ASU 2016-13, Credit Losses - Measurement of Credit Losses on Financial Instruments. In June 2016, the Financial Accounting Standards Board (“FASB”) issued a new accounting standard which replaces the current incurred loss impairment method with a method that reflects expected credit losses. The new standard is effective as of January 1, 2020, and early adoption is permitted as of January 1, 2019. We are assessing the potential impact to our financial statements and disclosures.

ASU 2016-09, Stock Compensation - Improvements to Employee Share-Based Payment Accounting. In March 2016, the FASB issued a new accounting standard which simplifies accounting for share-based payment transactions, including income tax consequences and the classification of the tax impact on the statement of cash flows. We will adopt the standard effective January 1, 2017 by recognizing a one-time increase of about $500 million to retained earnings and deferred tax assets related to cumulative excess tax benefits previously unrecognized. We will also reclassify tax-related items from operating activities to financing activities on the consolidated statement of cash flows.

ASU 2016-02, Leases.  In February 2016, the FASB issued a new accounting standard which provides guidance on the recognition, measurement, presentation, and disclosure of leases. The new standard supersedes present U.S. GAAP guidance on leases and requires substantially all leases to be reported on the balance sheet as right-of-use assets and lease liabilities, as well as additional disclosures. The new standard is effective as of January 1, 2019, and early adoption is permitted.  We are assessing the potential impact to our financial statements and disclosures.

NOTE 3.  NEW ACCOUNTING STANDARDS (Continued)

ASU 2014-09, Revenue - Revenue from Contracts with Customers. In May 2014, the FASB issued a new accounting standard that requires recognition of revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which we expect to be entitled in exchange for those goods or services. The FASB has also issued several updates to ASU 2014-09. The new standard supersedes U.S. GAAP guidance on revenue recognition and requires the use of more estimates and judgments than the present standards. It also requires additional disclosures. We will adopt the new revenue guidance effective January 1, 2017, by recognizing the cumulative effect of initially applying the new standard as an increase to the opening balance of retained earnings. We expect this adjustment to be less than $100 million, with an immaterial impact to our net income on an ongoing basis. Adoption of the new standard will also result in changes in classification between Revenues, Cost of sales, Non-Financial Services interest income and other income/(loss), net, and Financial Services other income/(loss), net.
Segment Information (Notes)
SEGMENT INFORMATION
SEGMENT INFORMATION

In conjunction with our expanded business model to become an automotive, financial services, and mobility company, beginning with the second quarter of 2016, we changed our reportable segment disclosures. Reflecting the manner in which our Chief Operating Decision Maker manages our businesses, including resource allocation and performance assessment, we have four operating segments that represent the primary businesses reported in our consolidated financial statements. These operating segments are: Automotive, Financial Services, Ford Smart Mobility LLC, and Central Treasury Operations.

Automotive and Financial Services comprise separate reportable segments. Ford Smart Mobility LLC and Central Treasury Operations did not meet the quantitative thresholds in this reporting period to qualify as reportable segments; therefore, these operating segments are combined and disclosed below as All Other. Prior-period amounts were adjusted retrospectively to reflect the change to our reportable segments.
Below is a description of our reportable segments and the business activities included in All Other.

Automotive Segment

Our Automotive segment primarily includes the sale of Ford and Lincoln brand vehicles, service parts, and accessories worldwide, together with the associated costs to develop, manufacture, distribute, and service the vehicles, parts, and accessories. The segment includes five regional business units:  North America, South America, Europe, Middle East & Africa, and Asia Pacific.
Financial Services Segment

The Financial Services segment primarily includes our vehicle-related financing and leasing activities at Ford Credit.

All Other

All Other is a combination of two operating segments that did not meet the quantitative thresholds in this reporting period to qualify as reportable segments. All Other consists of our Central Treasury Operations (formerly Other Automotive) and Ford Smart Mobility LLC. The Central Treasury Operations segment is primarily engaged in decision making for investments, risk management activities, and providing financing for the Automotive segment. Interest income (excluding interest earned on our extended service contract portfolio that is included in our Automotive segment), interest expense, gains and losses on cash equivalents and marketable securities, and foreign exchange derivatives associated with intercompany lending, are included in the results of Central Treasury Operations. The underlying assets and liabilities, primarily cash and cash equivalents, marketable securities, debt, and derivatives, remain with the Automotive segment.

Ford Smart Mobility LLC is a subsidiary formed to design, build, grow, and invest in emerging mobility services. Designed to compete like a start-up company, Ford Smart Mobility LLC will design and build mobility services on its own, and collaborate with start-ups and tech companies.

NOTE 4.  SEGMENT INFORMATION (Continued)

Special Items

In addition, our results include Special items that consist of (i) pension and other postretirement employee benefits (“OPEB”) remeasurement gains and losses, (ii) significant personnel and dealer-related costs stemming from our efforts to match production capacity and cost structure to market demand and changing model mix, and (iii) certain infrequent significant items that we generally do not consider to be indicative of our ongoing operating activities. Our management excludes these items from its review of the results of the operating segments for purposes of measuring segment profitability and allocating resources. Special items are presented as a separate reconciling item.

NOTE 4.  SEGMENT INFORMATION (Continued)

Key operating data for our business segments for the years ended or at December 31 were as follows (in millions):
 
Automotive
 
Financial
Services
 
All Other
 
Special
Items
 
Adjustments
 
Total
2014
 

 
 

 
 

 
 
 
 

 
 

Revenues
$
135,782

 
$
8,295

 
$
—

 
$
—

 
$
—

 
$
144,077

Pre-tax results - income/(loss)
6,254

 
1,794

 
(755
)
 
(6,059
)
 
—

 
1,234

Depreciation and tooling amortization
4,252

 
3,133

 
—

 
—

 
—

 
7,385

Interest expense
—

 
2,699

 
797

 
—

 
—

 
3,496

Investment-related interest income
53

 
51

 
140

 
—

 
—

 
244

Equity in net income/(loss) of affiliated companies
1,575

 
29

 
—

 
(329
)
 
—

 
1,275

Cash outflow for capital spending
7,360

 
103

 
—

 
—

 
—

 
7,463

Cash, cash equivalents, and marketable securities
21,702

 
9,448

 
—

 
—

 
—

 
31,150

Total assets
90,167

 
121,388

 
—

 
—

 
(2,940
)
(a)
208,615

Debt
13,824

 
105,347

 
—

 
—

 
—

 
119,171

Operating cash flows
3,563

 
5,743

 
—

 
—

 
5,201

(b)
14,507

 
 
 
 
 
 
 
 
 
 
 
 
2015
 

 
 

 
 

 
 
 
 

 
 

Revenues
$
140,566

 
$
8,992

 
$
—

 
$
—

 
$
—

 
$
149,558

Pre-tax results - income/(loss)
9,568

 
2,028

 
(796
)
 
(548
)
 
—

 
10,252

Depreciation and tooling amortization
4,332

 
3,661

 
—

 
—

 
—

 
7,993

Interest expense
—

 
2,454

 
773

 
—

 
—

 
3,227

Investment-related interest income
42

 
76

 
191

 
—

 
—

 
309

Equity in net income/(loss) of affiliated companies
1,786

 
32

 
—

 
—

 
—

 
1,818

Cash outflow for capital spending
7,147

 
49

 
—

 
—

 
—

 
7,196

Cash, cash equivalents, and marketable securities
23,567

 
11,609

 
—

 
—

 
—

 
35,176

Total assets
91,959

 
137,026

 
—

 
—

 
(4,060
)
(a)
224,925

Debt
12,839

 
120,015

 
—

 
—

 
—

 
132,854

Operating cash flows
7,285

 
3,876

 
—

 
—

 
5,009

(b)
16,170

 
 
 
 
 
 
 
 
 
 
 
 
2016
 

 
 

 
 

 
 
 
 

 
 

Revenues
$
141,546

 
$
10,253

 
$
1

 
$
—

 
$
—

 
$
151,800

Pre-tax results - income/(loss)
9,422

 
1,820

 
(867
)
 
(3,579
)
 
—

 
6,796

Depreciation and tooling amortization
4,667

 
4,356

 
—

 
—

 
—

 
9,023

Interest expense
—

 
2,808

 
894

 
—

 
—

 
3,702

Investment-related interest income
75

 
74

 
142

 
—

 
—

 
291

Equity in net income/(loss) of affiliated companies
1,747

 
33

 
—

 
—

 
—

 
1,780

Cash outflow for capital spending
6,947

 
45

 
—

 
—

 
—

 
6,992

Cash, cash equivalents, and marketable securities
27,462

 
11,357

 
8

 
—

 
—

 
38,827

Total assets
96,929

 
146,252

 
69

 
—

 
(5,299
)
(a)
237,951

Debt
15,907

 
127,063

 
—

 
—

 
—

 
142,970

Operating cash flows
6,385

 
8,754

 
(7
)
 
—

 
4,660

(b)
19,792

__________
(a)
Includes deferred tax netting and eliminations of intersegment transactions occurring in the ordinary course of business.
(b)
We measure and evaluate our Automotive segment operating cash flow on a different basis than Net cash provided by/(used in) operating activities in our consolidated statement of cash flows. Automotive segment operating cash flow includes additional elements management considers to be related to our Automotive operating activities, primarily capital spending and non-designated derivatives, and excludes outflows for funded pension contributions, separation payments, and other items that are considered operating cash flows under U.S. GAAP. The table below quantifies these reconciling adjustments to Net cash provided by/(used in) operating activities for the years ended December 31 (in millions):
 
 
2014
 
2015
 
2016
 
Automotive capital spending
$
7,360

 
$
7,147

 
$
6,947

 
Net cash flows from non-designated derivatives
(247
)
 
76

 
(610
)
 
Funded pension contributions
(1,466
)
 
(1,115
)
 
(1,155
)
 
Separation payments
(223
)
 
(613
)
 
(336
)
 
Other
(223
)
 
(486
)
 
(186
)
 
Total operating cash flow adjustments
$
5,201

 
$
5,009

 
$
4,660



NOTE 4.  SEGMENT INFORMATION (Continued)

Geographic Information

We report revenue on a “where-sold” basis, which reflects the revenue within the country in which the ultimate sale or financing is made to our external customer.

Total Company revenues and long-lived assets, split geographically by our country of domicile, the United States, and other countries where our major subsidiaries are domiciled, for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
 
Revenues
 
Long-Lived
Assets (a)
 
Revenues
 
Long-Lived
Assets (a)
 
Revenues
 
Long-Lived
Assets (a)
United States
$
82,665

 
$
34,645

 
$
93,142

 
$
39,853

 
$
93,433

 
$
42,946

United Kingdom
11,742

 
1,491

 
11,451

 
1,490

 
10,041

 
1,302

Canada
9,409

 
4,008

 
8,978

 
3,814

 
10,028

 
4,264

Germany
7,487

 
2,510

 
6,950

 
2,203

 
7,322

 
2,254

All Other
32,774

 
10,689

 
29,037

 
9,896

 
30,976

 
10,135

Total Company
$
144,077

 
$
53,343

 
$
149,558

 
$
57,256

 
$
151,800

 
$
60,901

__________
(a)
Includes Net property and Net investment in operating leases from our consolidated balance sheet.
Cash, Cash Equivalents, and Marketable Securities (Notes)
CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES
CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES

The following tables categorize the fair values of cash, cash equivalents, and marketable securities measured at fair value on a recurring basis on our balance sheet (in millions):
 
 
 
December 31, 2015
 
Fair Value
 Level
 
Automotive
 
Financial Services
 
All
Other
 
Consolidated
Cash and cash equivalents
 
 
 
 
 
 
 
 
 
U.S. government
1
 
$
115

 
$
—

 
$
—

 
$
115

U.S. government agencies
2
 
22

 
—

 
—

 
22

Non-U.S. government and agencies
2
 
173

 
266

 
—

 
439

Corporate debt
2
 
20

 
—

 
—

 
20

Total marketable securities classified as cash equivalents
 
 
330

 
266

 
—

 
596

Cash, time deposits, and money market funds
 
 
5,056

 
8,620

 
—

 
13,676

Total cash and cash equivalents
 
 
$
5,386

 
$
8,886

 
$
—

 
$
14,272

 
 
 
 
 
 
 
 
 
 
Marketable securities
 
 
 
 
 
 
 
 
 
U.S. government
1
 
$
1,623

 
$
298

 
$
—

 
$
1,921

U.S. government agencies
2
 
5,240

 
1,169

 
—

 
6,409

Non-U.S. government and agencies
2
 
7,451

 
832

 
—

 
8,283

Corporate debt
2
 
3,279

 
384

 
—

 
3,663

Equities
1
 
240

 
—

 
—

 
240

Other marketable securities
2
 
348

 
40

 
—

 
388

Total marketable securities
 
 
$
18,181

 
$
2,723

 
$
—

 
$
20,904

 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2016
 
Fair Value
 Level
 
Automotive
 
Financial Services
 
All
Other
 
Consolidated
Cash and cash equivalents
 
 
 
 
 
 
 
 
 
U.S. government
1
 
$
888

 
$
924

 
$
—

 
$
1,812

U.S. government agencies
2
 
—

 
—

 
—

 
—

Non-U.S. government and agencies
2
 
200

 
142

 
—

 
342

Corporate debt
2
 
100

 
—

 
—

 
100

Total marketable securities classified as cash equivalents
 
 
1,188

 
1,066

 
—

 
2,254

Cash, time deposits, and money market funds
 
 
6,632

 
7,011

 
8

 
13,651

Total cash and cash equivalents
 
 
$
7,820

 
$
8,077

 
$
8

 
$
15,905

 
 
 
 
 
 
 
 
 
 
Marketable securities
 
 
 
 
 
 
 
 
 
U.S. government
1
 
$
8,099

 
$
1,634

 
$
—

 
$
9,733

U.S. government agencies
2
 
2,244

 
505

 
—

 
2,749

Non-U.S. government and agencies
2
 
4,751

 
632

 
—

 
5,383

Corporate debt
2
 
4,329

 
475

 
—

 
4,804

Equities
1
 
165

 
—

 
—

 
165

Other marketable securities
2
 
54

 
34

 
—

 
88

Total marketable securities
 
 
$
19,642

 
$
3,280

 
$
—

 
$
22,922



NOTE 5.  CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES (Continued)

The following tables include cash equivalents and marketable securities accounted for as available for sale (“AFS”) securities (in millions):
 
December 31, 2015
 
 
 
 
 
 
 
 
 
 
 
Fair Value of Securities with
Contractual Maturities
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
 
Within 1 Year
 
After 1 Year through 5 Years
 
After 5 Years through 10 Years
Automotive
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. government
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

U.S. government agencies
—

 
—

 
—

 
—

 
—

 
—

 
—

Non-U.S. government and agencies
82

 
—

 
(12
)
 
70

 
—

 
70

 
—

Corporate debt
—

 
—

 
—

 
—

 
—

 
—

 
—

Total
$
82

 
$
—

 
$
(12
)
 
$
70

 
$
—

 
$
70

 
$
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
Fair Value of Securities with
Contractual Maturities
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
 
Within 1 Year
 
After 1 Year through 5 Years
 
After 5 Years through 10 Years
Automotive
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. government
$
3,703

 
$
2

 
$
(14
)
 
$
3,691

 
$
727

 
$
2,776

 
$
188

U.S. government agencies
308

 
—

 
(2
)
 
306

 
—

 
306

 
—

Non-U.S. government and agencies
1,443

 
1

 
(11
)
 
1,433

 
148

 
1,285

 
—

Corporate debt
1,079

 
—

 
—

 
1,079

 
1,031

 
48

 
—

Total
$
6,533

 
$
3

 
$
(27
)
 
$
6,509

 
$
1,906

 
$
4,415

 
$
188



During the years ended December 31, 2015 and 2016, sales proceeds for investments classified as AFS and sold prior to maturity were $1 million and $69 million, respectively. During the years ended December 31, 2015 and 2016, gross realized gains from the sale of AFS securities were $0 and $1 million, respectively.

NOTE 5.  CASH, CASH EQUIVALENTS, AND MARKETABLE SECURITIES (Continued)

The following tables present fair values and gross unrealized losses for cash equivalents and marketable securities accounted for as AFS securities that were in an unrealized loss position, aggregated by investment category and the length of time that individual securities have been in a continuous loss position (in millions):
 
December 31, 2015
 
Less than 1 year
 
1 Year or Greater
 
Total
 
Fair Value
 
Unrealized Losses
 
Fair Value
 
Unrealized Losses
 
Fair Value
 
Unrealized Losses
 
 
 
 
 
 
 
 
 
 
 
 
Automotive
 
 
 
 
 
 
 
 
 
 
 
U.S. government
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

U.S. government agencies
—

 
—

 
—

 
—

 
—

 
—

Non-U.S. government and agencies
70

 
(12
)
 
—

 
—

 
70

 
(12
)
Corporate debt
—

 
—

 
—

 
—

 
—

 
—

Total
$
70

 
$
(12
)
 
$
—

 
$
—

 
$
70

 
$
(12
)
 
 

 
 
 
 
 
 
 
 
 
 
 
December 31, 2016
 
Less than 1 year
 
1 Year or Greater
 
Total
 
Fair Value
 
Unrealized Losses
 
Fair Value
 
Unrealized Losses
 
Fair Value
 
Unrealized Losses
Automotive
 
 
 
 
 
 
 
 
 
 
 
U.S. government
$
1,474

 
$
(14
)
 
$
—

 
$
—

 
$
1,474

 
$
(14
)
U.S. government agencies
261

 
(2
)
 
—

 
—

 
261

 
(2
)
Non-U.S. government and agencies
1,137

 
(11
)
 
—

 
—

 
1,137

 
(11
)
Corporate debt
—

 
—

 
—

 
—

 
—

 
—

Total
$
2,872

 
$
(27
)
 
$
—

 
$
—

 
$
2,872

 
$
(27
)


We determine other-than-temporary impairments on cash equivalents and marketable securities using a specific identification method. During the years ended December 31, 2015 and 2016, we did not recognize any other-than-temporary impairment loss.

Other Securities

Investments in entities that we do not control and over which we do not have the ability to exercise significant influence are recorded at cost and reported in Other assets in the non-current assets section of our consolidated balance sheet. These cost method investments were $20 million and $219 million at December 31, 2015 and 2016, respectively.
Financial Services Finance Receivables (Notes)
FINANCE RECEIVABLES
FINANCIAL SERVICES FINANCE RECEIVABLES

Our Financial Services segment, primarily Ford Credit, manages finance receivables as “consumer” and “non-consumer” portfolios.  The receivables are generally secured by the vehicles, inventory, or other property being financed.

Finance receivables are recorded at time of origination or purchase at fair value and are subsequently reported at amortized cost, net of any allowance for credit losses.

Consumer Portfolio.  Receivables in this portfolio include products offered to individuals and businesses that finance the acquisition of Ford and Lincoln vehicles from dealers for personal or commercial use.  Retail financing includes retail installment contracts for new and used vehicles and direct financing leases with retail customers, government entities, daily rental companies, and fleet customers.

Non-Consumer Portfolio. Receivables in this portfolio include products offered to automotive dealers.  Dealer financing includes wholesale loans to dealers to finance the purchase of vehicle inventory, also known as floorplan financing, as well as loans to dealers to finance working capital and improvements to dealership facilities, finance the purchase of dealership real estate, and finance other dealer programs. Wholesale financing is approximately 92% of our dealer financing.

Finance receivables, net at December 31 were as follows (in millions):
 
2015
 
2016
Consumer
 
 
 
Retail financing, gross
$
62,068

 
$
68,121

Unearned interest supplements
(2,119
)
 
(2,783
)
Consumer finance receivables
59,949

 
65,338

Non-Consumer
 

 
 

Dealer financing
31,115

 
31,336

Non-Consumer finance receivables
31,115

 
31,336

Total recorded investment
$
91,064

 
$
96,674

 
 
 
 
Recorded investment in finance receivables
$
91,064

 
$
96,674

Allowance for credit losses
(373
)
 
(484
)
Finance receivables, net (a)
$
90,691

 
$
96,190

 
 
 
 
Current portion
$
45,137

 
$
46,266

Non-current portion
45,554

 
49,924

Finance receivables, net
$
90,691

 
$
96,190

 
 
 
 
Net finance receivables subject to fair value (a)
$
88,876

 
$
94,066

Fair value
90,048

 
94,785

__________
(a)
At December 31, 2015 and 2016, Finance receivables, net includes $1.8 billion and $2.1 billion, respectively, of net investment in direct financing leases that are not subject to fair value disclosure requirements. The fair value of finance receivables is categorized within Level 3 of the fair value hierarchy.

Excluded from finance receivables at December 31, 2015 and 2016, was $209 million and $223 million, respectively, of accrued uncollected interest, which is reported as Other assets in the current assets section of our consolidated balance sheet.
NOTE 6.  FINANCIAL SERVICES FINANCE RECEIVABLES (Continued)

Included in the recorded investment in finance receivables at December 31, 2015 and 2016 were consumer receivables of $27.6 billion and $32.5 billion, respectively, and non-consumer receivables of $26.1 billion and $26 billion, respectively, that have been sold for legal purposes in securitization transactions but continue to be reported in our consolidated financial statements. The receivables are available only for payment of the debt issued by, and other obligations of, the securitization entities that are parties to those securitization transactions; they are not available to pay the other obligations or the claims of Ford Credit’s other creditors. Ford Credit holds the right to receive the excess cash flows not needed to pay the debt issued by, and other obligations of, the securitization entities that are parties to those securitization transactions (see Note 16).

Contractual maturities of total finance receivables outstanding at December 31, 2016 reflect contractual repayments due from customers or borrowers as follows (in millions):
 
Due in Year Ending December 31,
 
 
 
 
 
2017
 
2018
 
2019
 
Thereafter
 
Total
Consumer
 
 
 
 
 
 
 
 
 
Retail financing, gross (a)
$
19,460

 
$
17,550

 
$
14,185

 
$
16,926

 
$
68,121

 
 
 
 
 
 
 
 
 
 
Non-Consumer
 
 
 
 
 
 
 
 
 
Dealer financing
27,823

 
854

 
141

 
2,518

 
31,336

Total finance receivables
$
47,283

 
$
18,404

 
$
14,326

 
$
19,444

 
$
99,457


__________
(a)
Contractual maturities of retail financing, gross include $183 million of estimated unguaranteed residual values related to direct finance leases.

Our finance receivables are generally pre-payable without penalty, so prepayments may cause actual maturities to differ from contractual maturities. The above table, therefore, is not to be regarded as a forecast of future cash collections. For wholesale receivables, which are included in dealer financing, maturities stated above are estimated based on historical trends, as maturities on outstanding amounts are scheduled upon the sale of the underlying vehicle by the dealer.

Aging

For all finance receivables, we define “past due” as any payment, including principal and interest, that is at least 31 days past the contractual due date. The recorded investment of consumer receivables greater than 90 days past due and still accruing interest was $16 million and $21 million at December 31, 2015 and 2016, respectively. The recorded investment of non-consumer receivables greater than 90 days past due and still accruing interest was $1 million and de minimis at December 31, 2015 and 2016, respectively.

The aging analysis of our finance receivables balances at December 31 was as follows (in millions):
 
2015
 
2016
Consumer
 
 
 
31-60 days past due
$
708

 
$
760

61-90 days past due
108

 
114

91-120 days past due
27

 
34

Greater than 120 days past due
38

 
39

Total past due
881

 
947

Current
59,068

 
64,391

Consumer finance receivables
59,949

 
65,338

 
 
 
 
Non-Consumer
 
 
 
Total past due
116

 
107

Current
30,999

 
31,229

Non-Consumer finance receivables
31,115

 
31,336

Total recorded investment
$
91,064

 
$
96,674



NOTE 6.  FINANCIAL SERVICES FINANCE RECEIVABLES (Continued)

Credit Quality

Consumer Portfolio. When originating all classes of consumer receivables (i.e., retail and lease products), we use a proprietary scoring system that measures credit quality using information in the credit application, proposed contract terms, credit bureau data, and other information we obtain. After a proprietary risk score is generated, we decide whether to originate a contract using a decision process based on a judgmental evaluation of the applicant, the credit application, the proposed contract terms, credit bureau information (e.g., FICO score), proprietary risk score, and other information. Our evaluation emphasizes the applicant’s ability to pay and creditworthiness focusing on payment, affordability, applicant credit history, and stability as key considerations.

Subsequent to origination, we review the credit quality of retail financing based on customer payment activity. As each customer develops a payment history, we use an internally-developed behavioral scoring model to assist in determining the best collection strategies which allows us to focus collection activity on higher-risk accounts. These models are used to refine our risk-based staffing model to ensure collection resources are aligned with portfolio risk. Based on data from this scoring model, contracts are categorized by collection risk. Our collection models evaluate several factors, including origination characteristics, updated credit bureau data, and payment patterns.

Credit quality ratings for consumer receivables are based on aging. Refer to the aging table above.

Consumer receivables credit quality ratings are as follows:

•
Pass – current to 60 days past due
•
Special Mention – 61 to 120 days past due and in intensified collection status
•
Substandard – greater than 120 days past due and for which the uncollectible portion of the receivables has already been charged off, as measured using the fair value of collateral less costs to sell

Non-Consumer Portfolio. We extend credit to dealers primarily in the form of lines of credit to purchase new Ford and Lincoln vehicles as well as used vehicles. Payment is required when the dealer has sold the vehicle. Each non-consumer lending request is evaluated by taking into consideration the borrower’s financial condition and the underlying collateral securing the loan. We use a proprietary model to assign each dealer a risk rating. This model uses historical dealer performance data to identify key factors about a dealer that we consider most significant in predicting a dealer’s ability to meet its financial obligations. We also consider numerous other financial and qualitative factors of the dealer’s operations including capitalization and leverage, liquidity and cash flow, profitability, and credit history with ourselves and other creditors.

Dealers are assigned to one of four groups according to risk ratings as follows:

•
Group I – strong to superior financial metrics
•
Group II – fair to favorable financial metrics
•
Group III – marginal to weak financial metrics
•
Group IV – poor financial metrics, including dealers classified as uncollectible

We generally suspend credit lines and extend no further funding to dealers classified in Group IV.

We regularly review our model to confirm the continued business significance and statistical predictability of the factors and update the model to incorporate new factors or other information that improves its statistical predictability. In addition, we regularly audit dealer inventory and dealer sales records to verify that the dealer is in possession of the financed vehicles and is promptly paying each receivable following the sale of the financed vehicle. The frequency of on-site vehicle inventory audits depends on factors such as the dealer’s risk rating and our security position. Under our policies, on-site vehicle inventory audits of low-risk dealers are conducted only as circumstances warrant. Audits of higher-risk dealers are conducted with increased frequency based on risk ratings and our security position. We perform a credit review of each dealer at least annually and adjust the dealer’s risk rating, if necessary.

The credit quality of dealer financing receivables is evaluated based on our internal dealer risk rating analysis. A dealer has the same risk rating for its entire dealer financing regardless of the type of financing.

NOTE 6.  FINANCIAL SERVICES FINANCE RECEIVABLES (Continued)

The credit quality analysis of our dealer financing receivables at December 31 was as follows (in millions):
 
2015
 
2016
Dealer Financing
 
 
 
Group I
$
22,146

 
$
24,315

Group II
7,175

 
5,552

Group III
1,683

 
1,376

Group IV
111

 
93

Total recorded investment
$
31,115

 
$
31,336



Impaired Receivables. Impaired consumer receivables include accounts that have been rewritten or modified in reorganization proceedings pursuant to the U.S. Bankruptcy Code that are considered to be troubled debt restructurings (“TDRs”), as well as all accounts greater than 120 days past due. Impaired non-consumer receivables represent accounts with dealers that have weak or poor financial metrics or dealer financing that has been modified in TDRs. The recorded investment of consumer receivables that were impaired at December 31, 2015 and 2016 was $375 million, or 0.6% of consumer receivables, and $367 million, or 0.6% of consumer receivables, respectively. The recorded investment of non-consumer receivables that were impaired at December 31, 2015 and 2016 was $134 million, or 0.4% of non-consumer receivables, and $107 million, or 0.3% of the non-consumer receivables, respectively. Impaired finance receivables are evaluated both collectively and specifically.

The accrual of revenue is discontinued at the time a receivable is determined to be uncollectible. Accounts may be restored to accrual status only when a customer settles all past-due deficiency balances and future payments are reasonably assured. For receivables in non-accrual status, subsequent financing revenue is recognized only to the extent a payment is received. Payments are generally applied first to outstanding interest and then to the unpaid principal balance.

A restructuring of debt constitutes a TDR if we grant a concession to a debtor for economic or legal reasons related to the debtor’s financial difficulties that we otherwise would not consider. Consumer and non-consumer receivables that have a modified interest rate below market rate or that were modified in reorganization proceedings pursuant to the U.S. Bankruptcy Code, except non-consumer receivables that are current with minimal risk of loss, are considered to be TDRs. We do not grant concessions on the principal balance of our receivables. If a receivable is modified in a reorganization proceeding, all payment requirements of the reorganization plan need to be met before remaining balances are forgiven. Finance receivables involved in TDRs are specifically assessed for impairment.
Net Investment in Operating Leases (Notes)
NET INVESTMENT IN OPERATING LEASES
NET INVESTMENT IN OPERATING LEASES

Net investment in operating leases on our balance sheet consists primarily of lease contracts for vehicles with retail customers, daily rental companies, government entities, and fleet customers. Assets subject to operating leases are depreciated using the straight-line method over the term of the lease to reduce the asset to its estimated residual value. Estimated residual values are based on assumptions for used vehicle prices at lease termination and the number of vehicles that are expected to be returned.

The net investment in operating leases at December 31 was as follows (in millions):
 
2015
 
2016
Automotive Segment
 
 
 
Vehicles, net of depreciation
$
2,014

 
$
1,620

Financial Services Segment
 
 
 
Vehicles and other equipment, at cost (a)
29,673

 
32,823

Accumulated depreciation
(4,545
)
 
(5,550
)
Allowance for credit losses
(49
)
 
(64
)
Total Financial Services Segment
25,079

 
27,209

Total
$
27,093

 
$
28,829

__________
(a)
Includes Ford Credit’s operating lease assets of $13.3 billion and $11.8 billion at December 31, 2015 and 2016, respectively, for which the related cash flows have been used to secure certain lease securitization transactions.  Cash flows associated with the net investment in operating leases are available only for payment of the debt or other obligations issued or arising in the securitization transactions; they are not available to pay other obligations or the claims of other creditors.

Financial Services Segment

Included in Financial Services interest, operating, and other expense is operating lease depreciation expense (which includes gains and losses on disposal of assets). Operating lease depreciation expense for the years ended December 31 was as follows (in millions):
 
2014
 
2015
 
2016
Operating lease depreciation expense
$
3,098

 
$
3,640

 
$
4,330



Included in Financial Services revenues are rents on operating leases. The amounts contractually due for minimum rentals on operating leases at December 31, 2016 were as follows (in millions):
 
2017
 
2018
 
2019
 
2020
 
Thereafter
 
Total
Minimum rentals on operating leases
$
4,349

 
$
2,750

 
$
949

 
$
66

 
$
5

 
$
8,119

Financial Services Allowance for Credit Losses (Notes)
ALLOWANCE FOR CREDIT LOSSES
FINANCIAL SERVICES ALLOWANCE FOR CREDIT LOSSES

The allowance for credit losses represents our estimate of the probable credit loss inherent in finance receivables as of the balance sheet date. The adequacy of the allowance for credit losses is assessed quarterly and the assumptions and models used in establishing the allowance are evaluated regularly. Because credit losses may vary substantially over time, estimating credit losses requires a number of assumptions about matters that are uncertain. The majority of credit losses are attributable to Ford Credit’s consumer receivables portfolio.

Additions to the allowance for credit losses are made by recording charges to Financial Services interest, operating, and other expenses on the income statement. The uncollectible portion of finance receivables are charged to the allowance for credit losses at the earlier of when an account is deemed to be uncollectible or when an account is 120 days delinquent, taking into consideration the financial condition of the customer, borrower, or lessee, the value of the collateral, recourse to guarantors, and other factors.

In the event we repossess the collateral, the receivable is charged off and we record the collateral at its estimated fair value less costs to sell and report it in Other assets on the balance sheet. Charge-offs on finance receivables include uncollected amounts related to principal, interest, late fees, and other allowable charges. Recoveries on finance receivables previously charged off as uncollectible, are credited to the allowance for credit losses.

Consumer

We estimate the allowance for credit losses on our consumer receivables using a combination of measurement models and management judgment. The models consider factors such as historical trends in credit losses and recoveries (including key metrics such as delinquencies, repossessions, and bankruptcies), the composition of the present portfolio (including vehicle brand, term, risk evaluation, and new/used vehicles), trends in historical used vehicle values, and economic conditions. Estimates from these models rely on historical information and may not fully reflect losses inherent in the present portfolio. Therefore, we may adjust the estimate to reflect management judgment regarding observable changes in recent economic trends and conditions, portfolio composition, and other relevant factors.

We make projections of two key assumptions to assist in estimating the consumer allowance for credit losses:

•
Frequency - number of finance receivables contracts that are expected to default over the loss emergence period, measured as repossessions; and
•
Loss severity - expected difference between the amount a customer owes when the finance contract is charged off and the amount received, net of expenses from selling the repossessed vehicle

Collective Allowance for Credit Losses. The collective allowance is evaluated primarily using a collective loss-to-receivables (“LTR”) model that, based on historical experience, indicates credit losses have been incurred in the portfolio even though the particular accounts that are uncollectible cannot be specifically identified. The LTR model is based on the most recent years of history. Each LTR is calculated by dividing credit losses by average finance receivables excluding unearned interest supplements and allowance for credit losses. An average LTR is calculated for each product and multiplied by the end-of-period balances for that given product.

NOTE 8. FINANCIAL SERVICES ALLOWANCE FOR CREDIT LOSSES (Continued)

Our largest markets also use a loss projection model to estimate losses inherent in the portfolio. The loss projection model applies recent monthly performance metrics, stratified by contract type (retail or lease), contract term (e.g., 60‑month), and risk rating to our active portfolio to estimate the losses that have been incurred.

The loss emergence period (“LEP”) is an assumption within our models and represents the average amount of time between when a loss event first occurs and when it is charged off. This time period starts when the consumer begins to experience financial difficulty. It is evidenced, typically through delinquency, before eventually resulting in a charge-off. The LEP is a multiplier in the calculation of the collective consumer allowance for credit losses.

For accounts greater than 120 days past due, the uncollectible portion is charged off such that the remaining recorded investment is equal to the estimated fair value of the collateral less costs to sell.

Specific Allowance for Impaired Receivables. Consumer receivables involved in TDRs are specifically assessed for impairment. A specific allowance is estimated based on the present value of the expected future cash flows of the receivable discounted at the contract’s original effective interest rate or the fair value of any collateral adjusted for estimated costs to sell.

After establishing the collective and specific allowance for credit losses, if management believes the allowance does not reflect all losses inherent in the portfolio due to changes in recent economic trends and conditions, or other relevant factors, an adjustment is made based on management judgment.

Non-Consumer

We estimate the allowance for credit losses for non-consumer receivables based on historical LTR ratios, expected future cash flows, and the fair value of collateral.

Collective Allowance for Credit Losses. We estimate an allowance for non-consumer receivables that are not specifically identified as impaired using a LTR model for each financing product based on historical experience. This LTR is an average of the most recent historical experience and is calculated consistent with the consumer receivables LTR approach. All accounts that are specifically identified as impaired are excluded from the calculation of the non-specific or collective allowance.

Specific Allowance for Impaired Receivables. Dealer financing is evaluated by segmenting individual loans by the risk characteristics of the loan (such as the amount of the loan, the nature of the collateral, and the financial status of the debtor). The loans are analyzed to determine whether individual loans are impaired, and a specific allowance is estimated based on the present value of the expected future cash flows of the receivable discounted at the loan’s original effective interest rate or the fair value of the collateral adjusted for estimated costs to sell.

After establishing the collective and the specific allowance for credit losses, if management believes the allowance does not reflect all losses inherent in the portfolio due to changes in recent economic trends and conditions, or other relevant factors, an adjustment is made based on management judgment.

NOTE 8. FINANCIAL SERVICES ALLOWANCE FOR CREDIT LOSSES (Continued)

An analysis of the allowance for credit losses related to finance receivables for the years ended December 31 were as follows (in millions):
 
2015
 
Consumer
 
Non-Consumer
 
Total
Allowance for credit losses
 
 
 
 
 
Beginning balance
$
305

 
$
16

 
$
321

Charge-offs
(333
)
 
(3
)
 
(336
)
Recoveries
120

 
6

 
126

Provision for credit losses
276

 
(2
)
 
274

Other (a)
(11
)
 
(1
)
 
(12
)
Ending balance (b)
$
357

 
$
16

 
$
373

 
 
 
 
 
 
Analysis of ending balance of allowance for credit losses
 
 
 
 
Collective impairment allowance
$
338

 
$
12

 
$
350

Specific impairment allowance
19

 
4

 
23

Ending balance (b)
357

 
16

 
373

 
 
 
 
 
 
Analysis of ending balance of finance receivables 
 
 
 
 
Collectively evaluated for impairment
59,574

 
30,981

 
90,555

Specifically evaluated for impairment
375

 
134

 
509

Recorded investment
59,949

 
31,115

 
91,064

 
 
 
 
 
 
Ending balance, net of allowance for credit losses
$
59,592

 
$
31,099

 
$
90,691

__________
(a)
Primarily represents amounts related to translation adjustments.
(b)
Total allowance, including reserves for operating leases, was $422 million.
 
2016
 
Consumer
 
Non-Consumer
 
Total
Allowance for credit losses
 
 
 
 
 
Beginning balance
$
357

 
$
16

 
$
373

Charge-offs
(435
)
 
(8
)
 
(443
)
Recoveries
116

 
6

 
122

Provision for credit losses
436

 
2

 
438

Other (a)
(5
)
 
(1
)
 
(6
)
Ending balance (b)
$
469

 
$
15

 
$
484

 
 
 
 
 
 
Analysis of ending balance of allowance for credit losses
 
 

 
 

Collective impairment allowance
$
450

 
$
13

 
$
463

Specific impairment allowance
19

 
2

 
21

Ending balance (b)
469

 
15

 
484

 
 
 
 
 
 
Analysis of ending balance of finance receivables
 
 

 
 

Collectively evaluated for impairment
64,971

 
31,229

 
96,200

Specifically evaluated for impairment
367

 
107

 
474

Recorded investment
65,338

 
31,336

 
96,674

 
 
 
 
 
 
Ending balance, net of allowance for credit losses
$
64,869

 
$
31,321

 
$
96,190

__________
(a)
Primarily represents amounts related to translation adjustments.
(b)
Total allowance, including reserves for operating leases, was $548 million.
Inventories (Notes)
INVENTORIES
INVENTORIES

All inventories are stated at the lower of cost and net realizable value. Cost for a substantial portion of U.S. inventories is determined on a last-in, first-out (“LIFO”) basis. LIFO was used for 27% and 30% of total inventories at December 31, 2015 and 2016, respectively. Cost of other inventories is determined by costing methods that approximate a first-in, first-out (“FIFO”) basis.

Inventories at December 31 were as follows (in millions):
 
2015
 
2016
Raw materials, work-in-process, and supplies
$
4,005

 
$
3,843

Finished products
5,254

 
5,943

Total inventories under FIFO
9,259

 
9,786

LIFO adjustment
(940
)
 
(888
)
Total inventories
$
8,319

 
$
8,898

Equity in Net Assets of Affiliated Companies
EQUITY IN NET ASSETS OF AFFILIATED COMPANIES
EQUITY IN NET ASSETS OF AFFILIATED COMPANIES

We use the equity method of accounting for our investments in entities over which we do not have control, but over whose operating and financial policies we are able to exercise significant influence.

Our ownership percentages and carrying value of our equity method investments at December 31 were as follows
(in millions, except percentages):
 
Investment Balance
 
Ownership Percentage
 
2015
 
2016
 
2016
Changan Ford Automobile Corporation, Limited
$
1,307

 
$
1,315

 
50.0
%
Jiangling Motors Corporation, Limited
636

 
623

 
32.0

AutoAlliance (Thailand) Co., Ltd.
429

 
476

 
50.0

Ford Otomotiv Sanayi Anonim Sirketi
352

 
306

 
41.0

Getrag Ford Transmissions GmbH
182

 
194

 
50.0

Changan Ford Mazda Engine Company, Ltd.
77

 
80

 
25.0

Velodyne LiDAR, Inc.
—

 
75

 
9.3

Forso Nordic AB
66

 
68

 
50.0

FFS Finance South Africa (Pty) Limited
48

 
59

 
50.0

DealerDirect LLC
30

 
27

 
97.7

RouteOne LLC
15

 
20

 
30.0

ZoomCar, Inc.
—

 
15

 
17.2

Automotive Fuel Cell Cooperation Corporation
8

 
9

 
49.9

Thirdware Solutions Limited
9

 
9

 
20.0

Percepta, LLC
9

 
8

 
45.0

CNF-Administradora de Consorcio Nacional Ltda.
4

 
6

 
33.3

U.S. Council for Automotive Research LLC
5

 
5

 
33.3

Chongqing ANTE Trading Co., Ltd.
4

 
4

 
10.0

Blue Diamond Parts, LLC
3

 
3

 
25.0

Crash Avoidance Metrics Partnership LLC
4

 
2

 
50.0

OEConnection LLC (a)
36

 
—

 
—

ZF Transmission Tech, LLC
—

 
—

 
49.0

Total
$
3,224

 
$
3,304

 
 
__________
(a)
OEConnection LLC became a cost method investment following a partial sale in 2016.

NOTE 10.  EQUITY IN NET ASSETS OF AFFILIATED COMPANIES (Continued)

We received $1.5 billion, $1.5 billion, and $1.6 billion of dividends from these affiliated companies for the years ended December 31, 2014, 2015, and 2016, respectively.

A summary of the total financial results, as reported by our equity method investees, in the aggregate at December 31 was as follows (in millions):
Summarized Balance Sheet
2015
 
2016
Current assets
$
10,400

 
$
10,368

Non-current assets
9,687

 
9,956

Total assets
$
20,087

 
$
20,324

 
 
 
 
Current liabilities
$
10,863

 
$
10,690

Non-current liabilities
2,608

 
2,934

Total liabilities
$
13,471

 
$
13,624

 
 
 
 
Equity attributable to noncontrolling interests
$
8

 
$
14

 
 
 
 
 
 
 
For the years ended December 31,
Summarized Income Statement
2014
 
2015
 
2016
Total revenue
$
40,658

 
$
35,623

 
$
36,992

Income before income taxes
3,985

 
4,525

 
4,401

Net income
3,510

 
3,894

 
3,747



In the ordinary course of business we buy/sell various products and services including vehicles, parts, and components to/from our equity method investees. In addition, we receive royalty income.

Transactions with equity method investees reported on our consolidated income statement and balance sheet at December 31 were as follows (in millions):
 
For the years ended December 31,
Income Statement
2014
 
2015
 
2016
Sales
$
5,208

 
$
4,426

 
$
4,367

Purchases
9,430

 
7,780

 
8,665

Royalty income
500

 
610

 
649


Balance Sheet
2015
 
2016
Receivables
$
870

 
$
722

Payables
671

 
603

Net Property and Lease Commitments
Property, Plant and Equipment Disclosure [Text Block]
NET PROPERTY AND LEASE COMMITMENTS

Net Property

Net property is reported at cost, net of accumulated depreciation and impairments.  We capitalize new assets when we expect to use the asset for more than one year.  Routine maintenance and repair costs are expensed when incurred.

Property and equipment are depreciated primarily using the straight-line method over the estimated useful life of the asset.  Useful lives range from 3 years to 36 years.  The estimated useful lives generally are 14.5 years for machinery and equipment, 8 years for software, 30 years for land improvements, and 36 years for buildings.  Tooling generally is amortized over the expected life of a product program using a straight-line method.  

Net property at December 31 was as follows (in millions):
 
2015
 
2016
Land
$
344

 
$
391

Buildings and land improvements
9,983

 
10,308

Machinery, equipment, and other
33,191

 
34,149

Software
2,598

 
2,803

Construction in progress
1,804

 
2,170

Total land, plant and equipment, and other
47,920

 
49,821

Accumulated depreciation
(27,803
)
 
(27,804
)
Net land, plant and equipment, and other
20,117

 
22,017

Tooling, net of amortization
10,046

 
10,055

Total
$
30,163

 
$
32,072


Property-related expenses excluding net investment in operating leases for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Depreciation and other amortization
$
2,127

 
$
2,049

 
$
2,130

Tooling amortization
2,160

 
2,304

 
2,563

Total
$
4,287

 
$
4,353

 
$
4,693

 
 
 
 
 
 
Maintenance and rearrangement
$
1,543

 
$
1,656

 
$
1,801



Conditional Asset Retirement Obligations

Conditional asset retirement obligations relate to legal obligations associated with the retirement, abandonment, or disposal of tangible long-lived assets. Estimates of the fair value liabilities for our conditional asset retirement obligations that are recorded in Other liabilities and deferred revenue in the non-current liabilities section of our consolidated balance sheet at December 31 were as follows (in millions):
 
2015
 
2016
Beginning balance
$
228

 
$
216

Liabilities settled
(6
)
 
(2
)
Revisions to estimates
(6
)
 
(28
)
Ending balance
$
216

 
$
186



NOTE 11.  NET PROPERTY AND LEASE COMMITMENTS (Continued)

Lease Commitments

We lease land, buildings, and equipment under agreements that expire over various contractual periods. Minimum non-cancellable operating lease commitments at December 31, 2016 were as follows (in millions):
 
Operating Lease Commitments
2017
$
342

2018
275

2019
202

2020
137

2021
88

Thereafter
340

Total
$
1,384



Operating lease expense for the years ended December 31 was as follows (in millions):
 
Operating Lease
Expense
2014
$
524

2015
460

2016
474

Other Liabilities and Deferred Revenue (Notes)
OTHER LIABILITIES AND DEFERRED REVENUE
OTHER LIABILITIES AND DEFERRED REVENUE

Other liabilities and deferred revenue at December 31 were as follows (in millions):
 
2015
 
2016
Current
 
 
 
Dealer and dealers’ customer allowances and claims
$
8,122

 
$
9,542

Deferred revenue
4,675

 
3,866

Employee benefit plans
1,562

 
1,469

Accrued interest
840

 
974

OPEB
354

 
349

Pension
249

 
247

Other
3,287

 
2,869

Total current other liabilities and deferred revenue
$
19,089

 
$
19,316

Non-current
 

 
 

Pension
$
9,543

 
$
10,150

OPEB
5,347

 
5,516

Dealer and dealers’ customer allowances and claims
2,731

 
2,564

Deferred revenue
3,285

 
3,687

Employee benefit plans
1,041

 
1,063

Other
1,510

 
1,415

Total non-current other liabilities and deferred revenue
$
23,457

 
$
24,395

Retirement Benefits (Notes)
RETIREMENT BENEFITS
RETIREMENT BENEFITS

Defined benefit pension and OPEB plan obligations are remeasured at least annually as of December 31 based on the present value of projected future benefit payments for all participants for services rendered to date. The measurement of projected future benefits is dependent on the provisions of each specific plan, demographics of the group covered by the plan, and other key measurement assumptions. For plans that provide benefits dependent on salary assumptions, we include a projection of salary growth in our measurements. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts).

Net periodic benefit costs, including service cost, interest cost, and expected return on assets are determined using assumptions regarding the benefit obligation and the fair value of plan assets (where applicable) as of the beginning of each year. We have elected to use a fair value of plan assets to calculate the expected return on assets in net periodic benefit cost. The funded status of the benefit plans, which represents the difference between the benefit obligation and fair value of plan assets, is calculated on a plan-by-plan basis. The benefit obligation and related funded status are determined using assumptions as of the end of each year. Actuarial gains and losses resulting from plan remeasurement are recognized in net periodic benefit cost in the period of the remeasurement. The impact of plan amendments is recorded in Accumulated other comprehensive income/(loss), and is amortized as a component of net periodic cost generally over the remaining service period of the active employees. Net periodic benefit costs are recorded in Cost of sales and Selling, administrative, and other expenses.

Curtailment gains or losses are recorded when an event occurs that significantly reduces the expected years of future service or eliminates the accrual of defined benefits for the future services of a significant number of employees. We record a curtailment gain when the employees who are entitled to the benefits terminate their employment; we record a curtailment loss when it becomes probable a loss will occur. We recognize settlement expense, when applicable, if the cost of all settlements during the year exceeds the interest component of net periodic cost for the affected plan. Expense from curtailments and settlements is recorded in Cost of sales and Selling, administrative, and other expenses.

Defined Benefit Pension Plans.  We have defined benefit pension plans covering hourly and salaried employees in the United States, Canada, United Kingdom, Germany and other locations. The largest portion of our worldwide obligation is associated with our U.S. plans. The vast majority of our worldwide defined benefit plans are closed to new participants. 

In general, our defined benefit pension plans are funded (i.e., have restricted assets from which benefits are paid). Our unfunded defined benefit pension plans are treated on a “pay as you go” basis with benefit payments from general Company cash. These unfunded plans primarily include certain plans in Germany and the U.S. defined benefit plans for senior management.
 
OPEB.  We have defined benefit OPEB plans, primarily certain health care and life insurance benefits, covering hourly and salaried employees in the United States, Canada, and other locations. The largest portion of our worldwide obligation is associated with our U.S. plans. Our OPEB plans are unfunded and the benefits are paid from general Company cash.

Defined Contribution and Savings Plans. We also have defined contribution and savings plans for hourly and salaried employees in the United States and other locations. Company contributions to these plans, if any, are made from general Company cash and are expensed as incurred. The expense for our worldwide defined contribution and savings plans was $275 million, $291 million, and $340 million for the years ended December 31, 2014, 2015, and 2016, respectively.  This includes the expense for Company-matching contributions to our primary employee savings plan in the United States of $114 million, $124 million, and $132 million for the years ended December 31, 2014, 2015, and 2016, respectively.

NOTE 13.  RETIREMENT BENEFITS (Continued)

Defined Benefit Plans – Expense and Status

The assumptions used to determine benefit obligation and net periodic benefit cost were as follows:
 
Pension Benefits
 
 
 
 
 
U.S. Plans
 
Non-U.S. Plans
 
Worldwide OPEB
 
2015
 
2016
 
2015
 
2016
 
2015
 
2016
Weighted Average Assumptions at December 31
 
 
 
 
 
 
 
 
 
 
 
Discount rate
4.27
%
 
4.03
%
 
3.20
%
 
2.44
%
 
4.23
%
 
4.00
%
Average rate of increase in compensation
3.80

 
3.50

 
3.40

 
3.38

 
3.81

 
3.51

Weighted Average Assumptions Used to Determine Net Benefit Cost for the Year Ended December 31
 
 
 
 
 

 
 

 
 

 
 

Discount rate - Service Cost
3.94
%
 
4.60
%
 
3.06
%
 
3.36
%
 
3.93
%
 
4.53
%
Effective interest rate on benefit obligation
3.94

 
3.46

 
3.06

 
2.72

 
3.93

 
3.48

Expected long-term rate of return on assets
6.75

 
6.75

 
6.11

 
5.56

 
—

 
—

Average rate of increase in compensation
3.80

 
3.80

 
3.40

 
3.40

 
3.76

 
3.81



The pre-tax net periodic benefit cost for our defined benefit pension and OPEB plans for the years ended December 31 was as follows (in millions):
 
Pension Benefits
 
 
 
 
 
 
 
U.S. Plans
 
Non-U.S. Plans
 
Worldwide OPEB
 
2014
 
2015
 
2016
 
2014
 
2015
 
2016
 
2014
 
2015
 
2016
Service cost
$
507

 
$
586

 
$
510

 
$
468

 
$
532

 
$
483

 
$
54

 
$
60

 
$
49

Interest cost
1,992

 
1,817

 
1,524

 
1,189

 
936

 
782

 
269

 
236

 
194

Expected return on assets
(2,735
)
 
(2,928
)
 
(2,693
)
 
(1,534
)
 
(1,480
)
 
(1,339
)
 
—

 
—

 
—

Amortization of prior service costs/(credits)
155

 
155

 
170

 
55

 
47

 
38

 
(229
)
 
(204
)
 
(142
)
Net remeasurement (gain)/loss
641

 
1,964

 
900

 
2,801

 
(974
)
 
1,876

 
681

 
(292
)
 
220

Separation programs/other
19

 
17

 
12

 
83

 
39

 
81

 
—

 
1

 
—

Settlements and curtailments
—

 
—

 
—

 
13

 
—

 
2

 
—

 
—

 
—

Net periodic benefit cost/(income)
$
579

 
$
1,611

 
$
423

 
$
3,075

 
$
(900
)
 
$
1,923

 
$
775

 
$
(199
)
 
$
321



Beginning in 2016, we changed the method used to estimate the service and interest costs for pension and OPEB plans that utilize a yield curve approach. We now apply the specific spot rates along the yield curve to the relevant cash flows instead of using a single effective discount rate. Service and interest costs in 2016 were about $580 million lower with the new method than they would have been under the prior method. This refinement had no effect on the measurement of our plan obligations or on full year net periodic benefit cost/(income) as lower service and interest costs recorded quarterly are offset in net remeasurement (gain)/loss.

NOTE 13.  RETIREMENT BENEFITS (Continued)

The year-end status of these plans was as follows (in millions):
 
 
Pension Benefits
 
 
 
 
 
 
U.S. Plans
 
Non-U.S. Plans
 
Worldwide OPEB
 
 
2015
 
2016
 
2015
 
2016
 
2015
 
2016
Change in Benefit Obligation
 
 
 
 
 
 
 
 
 
 
 
 
Benefit obligation at January 1
 
$
47,103

 
$
44,936

 
$
33,223

 
$
29,639

 
$
6,375

 
$
5,701

Service cost
 
586

 
510

 
532

 
483

 
60

 
49

Interest cost
 
1,817

 
1,524

 
936

 
782

 
236

 
194

Amendments
 
99

 
—

 
4

 
—

 
1

 
14

Separation programs and other
 
(27
)
 
(30
)
 
40

 
71

 
1

 
—

Curtailments
 
—

 
—

 
—

 
2

 
—

 
—

Settlements
 
—

 
—

 
(29
)
 
(131
)
 
—

 
—

Plan participant contributions
 
26

 
27

 
24

 
22

 
23

 
20

Benefits paid
 
(2,949
)
 
(2,966
)
 
(1,350
)
 
(1,252
)
 
(402
)
 
(382
)
Foreign exchange translation
 
—

 
—

 
(2,995
)
 
(2,576
)
 
(301
)
 
49

Actuarial (gain)/loss
 
(1,719
)
 
1,745

 
(746
)
 
3,584

 
(292
)
 
220

Benefit obligation at December 31
 
44,936

 
45,746

 
29,639

 
30,624

 
5,701

 
5,865

Change in Plan Assets
 
 

 
 

 
 

 
 

 
 

 
 

Fair value of plan assets at January 1
 
44,844

 
41,252

 
25,675

 
25,141

 
—

 
—

Actual return on plan assets
 
(755
)
 
3,538

 
1,722

 
3,041

 
—

 
—

Company contributions
 
130

 
130

 
1,345

 
1,346

 
—

 
—

Plan participant contributions
 
26

 
27

 
24

 
22

 
—

 
—

Benefits paid
 
(2,949
)
 
(2,966
)
 
(1,350
)
 
(1,252
)
 
—

 
—

Settlements
 
—

 
—

 
(29
)
 
(131
)
 
—

 
—

Foreign exchange translation
 
—

 
—

 
(2,238
)
 
(2,612
)
 
—

 
—

Other
 
(44
)
 
(42
)
 
(8
)
 
(6
)
 
—

 
—

Fair value of plan assets at December 31
 
41,252

 
41,939

 
25,141

 
25,549

 
—

 
—

Funded status at December 31
 
$
(3,684
)
 
$
(3,807
)
 
$
(4,498
)
 
$
(5,075
)
 
$
(5,701
)
 
$
(5,865
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Amounts Recognized on the Balance Sheet
 
 

 
 

 
 

 
 

 
 

 
 

Prepaid assets
 
$
—

 
$
—

 
$
1,611

 
$
1,515

 
$
—

 
$
—

Other liabilities
 
(3,684
)
 
(3,807
)
 
(6,109
)
 
(6,590
)
 
(5,701
)
 
(5,865
)
Total
 
$
(3,684
)
 
$
(3,807
)
 
$
(4,498
)
 
$
(5,075
)
 
$
(5,701
)
 
$
(5,865
)
Amounts Recognized in Accumulated Other Comprehensive Loss (pre-tax)
 
 

 
 

 
 

 
 

 
 

 
 

Unamortized prior service costs/(credits)
 
$
553

 
$
383

 
$
278

 
$
213

 
$
(475
)
 
$
(322
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Pension Plans in which Accumulated Benefit Obligation Exceeds Plan Assets at December 31
 
 

 
 

 
 

 
 

 
 

 
 

Accumulated benefit obligation
 
$
26,021

 
$
26,170

 
$
9,634

 
$
10,039

 
 

 
 

Fair value of plan assets
 
22,967

 
23,204

 
4,636

 
4,700

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
Accumulated Benefit Obligation at December 31
 
$
43,698

 
$
44,513

 
$
26,835

 
$
27,166

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
Pension Plans in which Projected Benefit Obligation Exceeds Plan Assets at December 31
 
 
 
 
 
 
 
 
 
 
 
 
Projected benefit obligation
 
$
44,936

 
$
45,746

 
$
11,238

 
$
11,703

 
 
 
 
Fair value of plan assets
 
41,252

 
41,939

 
5,129

 
5,113

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Projected Benefit Obligation at December 31
 
$
44,936

 
$
45,746

 
$
29,639

 
$
30,624

 
 
 
 


NOTE 13.  RETIREMENT BENEFITS (Continued)

Pension Plan Contributions

Our policy for funded pension plans is to contribute annually, at a minimum, amounts required by applicable laws and regulations. We may make contributions beyond those legally required.

In 2016, we contributed $1.2 billion to our worldwide funded pension plans (most of which were mandatory contributions) and made about $300 million of benefit payments to participants in unfunded plans.  During 2017, we expect to contribute about $1 billion from cash and cash equivalents to our worldwide funded pension plans (most of which are mandatory) and to make about $300 million of benefit payments to participants in unfunded plans, for a total of about $1.3 billion. Based on current assumptions and regulations, we do not expect to have a legal requirement to contribute to our major U.S. pension plans in 2017.

Expected Future Benefit Payments and Amortization

The expected future benefit payments were as follows (in millions):
 
 
Benefit Payments
 
 
Pension
 
 
 
 
U.S. Plans
 
Non-U.S.
Plans
 
Worldwide
OPEB
2017
 
$
3,030

 
$
1,170

 
$
350

2018
 
3,020

 
1,080

 
350

2019
 
2,980

 
1,100

 
350

2020
 
2,970

 
1,120

 
340

2021
 
2,950

 
1,130

 
340

2022-2026
 
14,750

 
5,980

 
1,710



The prior service cost/(credit) amounts in Accumulated other comprehensive income/(loss) that are expected to be recognized as components of net periodic benefit cost/(income) during 2017 are $143 million for U.S. pension plans, $35 million for non-U.S. pension plans, and $(119) million for Worldwide OPEB plans.

Pension Plan Asset Information

Investment Objective and Strategies. Our investment objectives for the U.S. plans are to minimize the volatility of the value of our U.S. pension assets relative to U.S. pension obligations and to ensure assets are sufficient to pay plan benefits. Our U.S. target asset allocations are 80% fixed income and 20% growth assets (primarily alternative investments which include hedge funds, real estate, and private equity, and public equity). Our largest non-U.S. plans (United Kingdom and Canada) have similar investment objectives to the U.S. plans and have made progress towards these objectives.

Investment strategies and policies for the U.S. plans and the largest non-U.S. plans reflect a balance of risk-reducing and return-seeking considerations.  The objective of minimizing the volatility of assets relative to obligations is addressed primarily through asset-liability matching, asset diversification, and hedging.  The fixed income target asset allocation matches the bond-like and long-dated nature of the pension obligations. Assets are broadly diversified within asset classes to achieve risk-adjusted returns that in total lower asset volatility relative to the obligations.  Strategies to address the goal of ensuring sufficient assets to pay benefits include target allocations to a broad array of asset classes, and strategies within asset classes that provide adequate returns, diversification, and liquidity.

Derivatives are permitted for fixed income investment and public equity managers to use as efficient substitutes for traditional securities and to manage exposure to interest rate and foreign exchange risks.  Interest rate and foreign currency derivative instruments are used for the purpose of hedging changes in the fair value of assets that result from interest rate changes and currency fluctuations.  Interest rate derivatives also are used to adjust portfolio duration. Derivatives may not be used to leverage or to alter the economic exposure to an asset class outside the scope of the mandate an investment manager has been given.  Alternative investment managers are permitted to employ leverage (including through the use of derivatives or other tools) that may alter economic exposure.
NOTE 13.  RETIREMENT BENEFITS (Continued)

Alternative investments execute diverse strategies that provide exposure to a broad range of hedge fund strategies, equity investments in private companies, and investments in private property funds.

Significant Concentrations of Risk.  Significant concentrations of risk in our plan assets relate to interest rate, equity, and operating risk.  In order to minimize asset volatility relative to the obligations, the majority of plan assets are allocated to fixed income investments which are exposed to interest rate risk.  Rate increases generally will result in a decline in the value of fixed income assets, while reducing the present value of the obligations. Conversely, rate decreases generally will increase the value of fixed income assets, offsetting the related increase in the obligations.

In order to ensure assets are sufficient to pay benefits, a portion of plan assets is allocated to growth assets that are expected over time to earn higher returns with more volatility than fixed income investments which more closely match pension obligations.  Within equities, risk is mitigated by constructing a portfolio that is broadly diversified by geography, market capitalization, manager mandate size, investment style, and process.  Within alternative investments, risk is similarly mitigated by constructing a portfolio that is broadly diversified by asset class, investment strategy, manager, style, and process.

Operating risks include the risks of inadequate diversification and weak controls.  To mitigate these risks, investments are diversified across and within asset classes in support of investment objectives.  Policies and practices to address operating risks include ongoing manager oversight (e.g., style adherence, team strength, firm health, and internal risk controls), plan and asset class investment guidelines and instructions that are communicated to managers, and periodic compliance and audit reviews to ensure adherence.

At year-end 2016, Ford securities comprised less than 1% of our plan assets.

Expected Long-Term Rate of Return on Assets.  The long-term return assumption at year-end 2016 is 6.75% for the U.S. plans, 5.75% for the U.K. plans, and 5.50% for the Canadian plans, and averages 5.19% for all non-U.S. plans. A generally consistent approach is used worldwide to develop this assumption. This approach considers various sources, primarily inputs from a range of advisors for long-term capital market returns, inflation, bond yields, and other variables, adjusted for specific aspects of our investment strategy by plan.  Historical returns also are considered where appropriate. The assumption is based on consideration of all inputs, with a focus on long-term trends to avoid short-term market influences.

Fair Value of Plan Assets.  Pension assets are recorded at fair value, and include primarily fixed income and public equity securities, derivatives, and alternative investments, which include hedge funds, private equity, and real estate.  Fixed income and public equity securities may each be combined into commingled fund investments.  Most commingled funds are valued to reflect the pension fund’s interest in the fund based on the reported year-end net asset value (“NAV”). Alternative investments are valued based on year-end reported NAV, with adjustments as appropriate for lagged reporting of up to 6 months.

Fixed Income. Fixed income securities are valued based on quotes received from independent pricing services or from dealers who make markets in such securities.  Pricing services utilize matrix pricing, which considers prepayment speed assumptions, attributes of the collateral, yield or price of bonds of comparable quality, coupon, maturity, and type, as well as dealer-supplied prices, and generally are categorized as Level 2 inputs in the fair value hierarchy.  Securities categorized as Level 3 typically are priced by dealers and pricing services that use proprietary pricing models which incorporate unobservable inputs.  These inputs primarily consist of prepayment curves, discount rates, default assumptions, recovery rates, yield assumptions, and credit spread assumptions.

Public Equities.  Public equity securities are valued based on quoted prices and are primarily exchange-traded.  Securities for which official close or last trade pricing on an active exchange is available are classified as Level 1 in the fair value hierarchy.  If closing prices are not available, securities are valued at the last quoted bid price or may be valued using the last available price and typically are categorized as Level 2.  Level 3 securities often are thinly traded or delisted, with unobservable pricing data.

NOTE 13.  RETIREMENT BENEFITS (Continued)

Derivatives.  Exchange-traded derivatives for which market quotations are readily available are valued at the last reported sale price or official closing price as reported by an independent pricing service on the primary market or exchange on which they are traded and are categorized as Level 1. Over-the-counter derivatives typically are valued by independent pricing services and categorized as Level 2.  Level 3 derivatives typically are priced by dealers and pricing services that use proprietary pricing models which incorporate unobservable inputs, including extrapolated or model‑derived assumptions such as volatilities and yield and credit spread assumptions.

Alternative Assets.  Hedge funds generally hold liquid and readily-priced securities, such as public equities, exchange-traded derivatives, and corporate bonds.  Private equity and real estate investments are less liquid.  External investment managers typically report valuations reflecting initial cost or updated appraisals, which are adjusted for cash flows, and realized and unrealized gains/losses.  All alternative assets are valued using the NAV provided by the investment sponsor or third party administrator, as they do not have readily-available market quotations. Valuations may be lagged up to 6 months.  The NAV will be adjusted for cash flows (additional investments or contributions, and distributions) through year-end. We may make further adjustments for any known substantive valuation changes not reflected in the NAV.

The Ford-Werke GmbH (“Ford-Werke”) defined benefit plan is primarily funded through a group insurance contract. Beginning with year-end 2015, we measure the fair value of the insurance asset by projecting expected future cash flows from the contract and discounting them to present value based on current market rates including an assessment for non‑performance risk of the insurance company. The assumptions used to project expected future cash flows are based on actuarial estimates and are unobservable; therefore the contract is Level 3.

NOTE 13.  RETIREMENT BENEFITS (Continued)

The fair value of our defined benefit pension plan assets (including dividends and interest receivables of $363 million and $94 million for U.S. and non-U.S. plans, respectively) by asset category at December 31 was as follows (in millions):
 
2015
 
U.S. Plans
 
Non-U.S. Plans
 
Level 1
 
Level 2
 
Level 3
 
Assets measured at NAV (a)
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Assets measured at NAV (a)
 
Total
Asset Category
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. companies
$
1,935

 
$
4

 
$
—

 
$
—

 
$
1,939

 
$
1,647

 
$
1

 
$
—

 
$
86

 
$
1,734

International companies
1,082

 
10

 
1

 
7

 
1,100

 
1,290

 
292

 
1

 
29

 
1,612

Total equity
3,017

 
14

 
1

 
7

 
3,039

 
2,937

 
293

 
1

 
115

 
3,346

Fixed Income
 

 
 

 
 

 
 
 
 

 
 
 
 
 
 
 
 
 
 
U.S. government
5,209

 
—

 
—

 
—

 
5,209

 
138

 
—

 
—

 
—

 
138

U.S. government-sponsored enterprises
—

 
3,106

 
—

 
—

 
3,106

 
—

 
10

 
—

 
—

 
10

Non-U.S. government
—

 
1,588

 
—

 
—

 
1,588

 
—

 
10,650

 
—

 
—

 
10,650

Corporate bonds (b)
 

 
 

 
 

 
 
 
 

 
 

 
 

 
 

 
 
 


Investment grade
—

 
18,687

 
—

 
—

 
18,687

 
—

 
2,027

 
—

 
—

 
2,027

High yield
—

 
1,576

 
9

 
—

 
1,585

 
—

 
539

 
—

 
—

 
539

Other credit
—

 
412

 
—

 
—

 
412

 
—

 
65

 
—

 
—

 
65

Mortgage/other asset-backed
—

 
1,101

 
12

 
—

 
1,113

 
—

 
292

 
—

 
—

 
292

Commingled funds
—

 
—

 
—

 
174

 
174

 
—

 
—

 
—

 
379

 
379

Derivative financial instruments, net
22

 
(231
)
 
—

 
—

 
(209
)
 
1

 
(130
)
 
—

 
—

 
(129
)
Total fixed income
5,231

 
26,239

 
21

 
174

 
31,665

 
139

 
13,453

 
—

 
379

 
13,971

Alternatives
 

 
 

 
 

 
 
 
 

 
 
 
 
 
 
 
 
 
 
Hedge funds
—

 
175

 
—

 
2,548

 
2,723

 
—

 
108

 
—

 
1,762

 
1,870

Private equity
—

 
—

 
—

 
2,745

 
2,745

 
—

 
—

 
—

 
633

 
633

Real estate
—

 
20

 
—

 
963

 
983

 
—

 
1

 
—

 
681

 
682

Total alternatives
—

 
195

 
—

 
6,256

 
6,451

 
—

 
109

 
—

 
3,076

 
3,185

Cash and cash equivalents (c)
221

 
1,103

 
—

 
—

 
1,324

 
—

 
556

 
—

 
—

 
556

Other (d)
—

 
(1,227
)
 
—

 
—

 
(1,227
)
 
—

 
(1,173
)
 
5,256

 
—

 
4,083

Total assets at fair value
$
8,469

 
$
26,324

 
$
22

 
$
6,437

 
$
41,252

 
$
3,076

 
$
13,238

 
$
5,257

 
$
3,570

 
$
25,141

_______
(a)
Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
(b)
“Investment grade” bonds are those rated Baa3/BBB- or higher by at least two rating agencies; “High yield” bonds are those rated below investment grade; “Other credit” refers to non-rated bonds.
(c)
Primarily short-term investment funds to provide liquidity to plan investment managers and cash held to pay benefits.
(d)
For U.S. plans, primarily cash related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales). For non-U.S plans, primarily Ford-Werke, plan assets (insurance contract valued at $4.4 billion at year-end 2015) and cash related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales).
NOTE 13.  RETIREMENT BENEFITS (Continued)

The fair value of our defined benefit pension plan assets (including dividends and interest receivables of $345 million and $93 million for U.S. and non-U.S. plans, respectively) by asset category at December 31 was as follows (in millions):
 
2016
 
U.S. Plans
 
Non-U.S.Plans
 
Level 1
 
Level 2
 
Level 3
 
Assets measured at NAV (a)
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Assets measured at NAV (a)
 
Total
Asset Category
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. companies
$
2,353

 
$
6

 
$
—

 
$
—

 
$
2,359

 
$
1,614

 
$
93

 
$
—

 
$
—

 
$
1,707

International companies
1,457

 
19

 
1

 
7

 
1,484

 
1,278

 
360

 
—

 
—

 
1,638

Total equity
3,810

 
25

 
1

 
7

 
3,843

 
2,892

 
453

 
—

 
—

 
3,345

Fixed Income
 

 
 

 
 

 
 
 
 

 
 
 
 
 
 
 
 
 
 

U.S. government
5,157

 
—

 
—

 
—

 
5,157

 
433

 
—

 
—

 
—

 
433

U.S. government-sponsored enterprises
—

 
3,030

 
—

 
—

 
3,030

 
—

 
57

 
—

 
—

 
57

Non-U.S. government
—

 
1,343

 
—

 
—

 
1,343

 
—

 
11,171

 
—

 
—

 
11,171

Corporate bonds (b)
 

 
 

 
 

 
 
 
 
 
 

 
 

 
 

 
 
 
 
Investment grade
—

 
8,922

 
—

 
—

 
8,922

 
—

 
1,014

 
—

 
—

 
1,014

High yield
—

 
11,512

 
13

 
—

 
11,525

 
—

 
1,338

 
—

 
—

 
1,338

Other credit
—

 
203

 
—

 
—

 
203

 
—

 
—

 
—

 
—

 
—

Mortgage/other asset-backed
—

 
855

 
—

 
—

 
855

 
—

 
242

 
—

 
—

 
242

Commingled funds
—

 
—

 
—

 
153

 
153

 
—

 
379

 
—

 
—

 
379

Derivative financial instruments, net
27

 
(213
)
 
—

 
—

 
(186
)
 
5

 
28

 
—

 
—

 
33

Total fixed income
5,184

 
25,652

 
13

 
153

 
31,002

 
438

 
14,229

 
—

 
—

 
14,667

Alternatives
 

 
 

 
 

 
 
 
 

 
 
 
 
 
 
 
 
 
 

Hedge funds
—

 
158

 
—

 
2,802

 
2,960

 
—

 
215

 
—

 
1,383

 
1,598

Private equity
—

 
—

 
—

 
2,548

 
2,548

 
—

 
—

 
—

 
679

 
679

Real estate
—

 
—

 
—

 
1,135

 
1,135

 
—

 
(2
)
 
—

 
485

 
483

Total alternatives
—

 
158

 
—

 
6,485

 
6,643

 
—


213


—


2,547

 
2,760

Cash and cash equivalents (c)
218

 
1,385

 
—

 
—

 
1,603

 
—

 
97

 
—

 
—

 
97

Other (d)
—

 
(1,152
)
 
—

 
—

 
(1,152
)
 
—

 
(572
)
 
5,252

 
—

 
4,680

Total assets at fair value
$
9,212

 
$
26,068

 
$
14

 
$
6,645

 
$
41,939

 
$
3,330

 
$
14,420

 
$
5,252

 
$
2,547

 
$
25,549

_______
(a)
Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
(b)
“Investment grade” bonds are those rated Baa3/BBB- or higher by at least two rating agencies; “High yield” bonds are those rated below investment grade; “Other credit” refers to non-rated bonds.
(c)
Primarily short-term investment funds to provide liquidity to plan investment managers and cash held to pay benefits.
(d)
For U.S. plans, primarily cash related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales). For non-U.S plans, primarily Ford-Werke, plan assets (insurance contract valued at $4.5 billion at year-end 2016) and cash related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales).
NOTE 13.  RETIREMENT BENEFITS (Continued)

The following table summarizes the changes in Level 3 defined benefit pension plan assets measured at fair value on a recurring basis for the years ended December 31 (in millions):
 
2015
 
 
Return on plan assets
 
 
 
 
 
 
 
Fair
Value
at
January 1
 
Attributable
to Assets
Held
at
December 31
 
Attributable
to
Assets
Sold
 
Net Purchases/
(Settlements)
 
Transfers Into/ (Out of) Level 3
 
Fair
Value
at
December 31
U.S. Plans
$
48

 
$
(9
)
 
$
—

 
$
(4
)
 
$
(13
)
 
$
22

Non-U.S. Plans (a)
4,725

 
531


—


—


1


5,257

 
 
 
 
 
 
 
 
 
 
 
 
 
2016
 
 
Return on plan assets
 
 
 
 
 
 
 
Fair
Value
at
January 1
 
Attributable
to Assets
Held
at
December 31
 
Attributable
to
Assets
Sold
 
Net Purchases/
(Settlements)
 
Transfers Into/ (Out of) Level 3
 
Fair
Value
at
December 31
U.S. Plans
$
22

 
$
5

 
$
—

 
$
(13
)
 
$
—

 
$
14

Non-U.S. Plans (a)
5,257

 
(5
)
 
—

 
—

 
—

 
5,252

_______
(a)
Primarily Ford-Werke plan assets (insurance contract valued at $4.4 billion and $4.5 billion at year-end 2015 and 2016, respectively). Return on plan assets attributable to assets held at December 31, 2015 reflects a change in valuation technique (totaling $725 million) noted in the alternative assets section of the pension plan asset information.
Debt and Commitments (Notes)
DEBT AND COMMITMENTS
DEBT AND COMMITMENTS
 
Our debt consists of short-term and long-term secured and unsecured debt securities, and secured and unsecured borrowings from banks and other lenders.  Debt issuances are placed directly by us or through securities dealers or underwriters and are held by institutional and retail investors.  In addition, Ford Credit sponsors securitization programs that provide short-term and long-term asset-backed financing through institutional investors in the U.S. and international capital markets.

Debt is reported on our balance sheet at par value adjusted for unamortized discount or premium, unamortized issuance costs, and adjustments related to designated fair value hedges (see Note 17). Discounts, premiums, and costs directly related to the issuance of debt are capitalized and amortized over the life of the debt or to the put date and are recorded in interest expense using the effective interest method. Gains and losses on the extinguishment of debt are recorded in Non-Financial Services interest income and other income/(loss), net and Financial Services other income/(loss), net.

NOTE 14.  DEBT AND COMMITMENTS (Continued)

The carrying value of Automotive and Financial Services debt at December 31 was as follows (in millions):
 
 
 
 
 
Interest Rates
 
 
 
 
 
 
Average Contractual
 
 Average Effective (a)
 
Automotive Segment
2015
 
2016
 
2015
 
2016
 
2015
 
2016
 
Debt payable within one year
 
 
 
 
 
 
 
 
 
 
 
 
Short-term
$
818

 
$
1,324

 
7.3
%
 
10.3
%
 
7.3
%
 
10.3
%
 
Long-term payable within one year
 

 
 

 
 
 
 
 
 
 
 
 
U.S. Department of Energy (“DOE”) Advanced Technology Vehicles Manufacturing (“ATVM”) Incentive Program
591

 
591

 
 
 
 
 
 
 
 
 
Other debt
370

 
827

 
 
 
 
 
 
 
 
 
Unamortized (discount)/premium
—

 
(57
)
 
 
 
 
 
 
 
 
 
Total debt payable within one year
1,779

 
2,685

 
 
 
 
 
 
 
 
 
Long-term debt payable after one year
 

 
 

 
 
 
 
 
 
 
 
 
Public unsecured debt securities
6,594

 
9,394

 
 
 
 
 
 
 
 
 
DOE ATVM Incentive Program
3,242

 
2,651

 
 
 
 
 
 
 
 
 
Other debt
1,696

 
1,573

 
 
 
 
 
 
 
 
 
Adjustments
 
 
 
 
 
 
 
 
 
 
 
 
Unamortized (discount)/premium
(412
)
 
(320
)
 
 
 
 
 
 
 
 
 
Unamortized issuance costs
(60
)
 
(76
)
 
 
 
 
 
 
 
 
 
Total long-term debt payable after one year
11,060

 
13,222

 
5.3
%
(b)
5.5
%
(b)
6.0
%
(b)
6.2
%
(b)
Total Automotive Segment
$
12,839

 
$
15,907

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of Automotive Segment debt (c)
$
14,199

 
$
17,433

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Financial Services Segment
 

 
 

 
 
 
 
 
 
 
 
 
Debt payable within one year
 

 
 

 
 
 
 
 
 
 
 
 
Short-term
$
12,123

 
$
15,330

 
1.6
%
 
2.3
%
 
1.6
%
 
2.3
%
 
Long-term payable within one year
 

 
 

 
 
 
 
 
 
 
 
 
Unsecured debt
10,241

 
12,369

 
 
 
 
 
 
 
 
 
Asset-backed debt
18,855

 
19,286

 
 
 
 
 
 
 
 
 
Adjustments
 
 
 
 
 
 
 
 
 
 
 
 
Unamortized (discount)/premium
(5
)
 
(2
)
 
 
 
 
 
 
 
 
 
Unamortized issuance costs
(18
)
 
(16
)
 
 
 
 
 
 
 
 
 
Fair value adjustments (d)
—

 
17

 
 
 
 
 
 
 
 
 
Total debt payable within one year
41,196

 
46,984

 
 
 
 
 
 
 
 
 
Long-term debt payable after one year
 
 
 
 
 
 
 
 
 
 
 
 
Unsecured debt
49,193

 
49,912

 
 
 
 
 
 
 
 
 
Asset-backed debt
29,390

 
30,112

 
 
 
 
 
 
 
 
 
Adjustments
 
 
 
 
 
 
 
 
 
 
 
 
Unamortized (discount)/premium
(24
)
 
(9
)
 
 
 
 
 
 
 
 
 
Unamortized issuance costs
(198
)
 
(197
)
 
 
 
 
 
 
 
 
 
Fair value adjustments (d)
458

 
261

 
 
 
 
 
 
 
 
 
Total long-term debt payable after one year
78,819

 
80,079

 
2.3
%
(b)
2.4
%
(b)
2.4
%
(b)
2.5
%
(b)
Total Financial Services Segment
$
120,015

 
$
127,063

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of Financial Services Segment debt (c)
$
121,170

 
$
128,777

 
 
 
 
 
 
 
 
 
__________
(a)
Average effective rates reflect the average contractual interest rate plus amortization of discounts, premiums, and issuance costs.
(b)
Includes interest on long-term debt payable within one year and after one year.
(c)
The fair value of debt includes $560 million and $1.1 billion of Automotive short-term debt and $10.3 billion and $14.3 billion of Financial Services short-term debt at December 31, 2015 and 2016, respectively, carried at cost which approximates fair value. All debt is categorized within Level 2 of the fair value hierarchy.
(d)
Adjustments related to designated fair value hedges of unsecured debt.
NOTE 14.  DEBT AND COMMITMENTS (Continued)

The fair value of debt reflects interest accrued but not yet paid. Interest accrued on Automotive debt was $213 million and $258 million at December 31, 2015 and 2016, respectively. Interest accrued on Financial Services debt was $568 million and $676 million at December 31, 2015 and 2016, respectively. Accrued interest is reported in Other liabilities and deferred revenue in the current liabilities section of our consolidated balance sheet. See Note 2 for fair value method.

We paid interest of $774 million, $693 million, and $780 million in 2014, 2015, and 2016, respectively, on Automotive debt. We paid interest of $2.7 billion, $2.4 billion, and $2.6 billion in 2014, 2015, and 2016, respectively, on Financial Services debt.

Maturities

Debt maturities at December 31, 2016 were as follows (in millions):
 
2017
 
2018
 
2019
 
2020
 
2021
 
Thereafter
 
Adjustments
 
Total Debt Maturities
Automotive Segment
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Public unsecured debt securities
$
—

 
$
361

 
$
—

 
$
—

 
$
—

 
$
9,033

 
$
(211
)
 
$
9,183

DOE ATVM Incentive Program
591

 
591

 
591

 
591

 
591

 
287

 
—

 
3,242

Short-term and other debt (a)
2,151

 
558

 
240

 
362

 
153

 
260

 
(242
)
 
3,482

Total
$
2,742

 
$
1,510

 
$
831

 
$
953

 
$
744

 
$
9,580

 
$
(453
)
 
$
15,907

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Financial Services Segment
 

 
 

 
 

 
 

 
 

 
 

 
 
 
 

Unsecured debt
$
26,636

 
$
12,374

 
$
11,135

 
$
6,972

 
$
9,305

 
$
10,126

 
$
116

 
$
76,664

Asset-backed debt
20,349

 
12,129

 
9,725

 
4,909

 
2,299

 
1,050

 
(62
)
 
50,399

Total
$
46,985

 
$
24,503

 
$
20,860

 
$
11,881

 
$
11,604

 
$
11,176

 
$
54

 
$
127,063

__________
(a)
Primarily non-U.S. affiliate debt.

NOTE 14.  DEBT AND COMMITMENTS (Continued)

Automotive Segment

Public Unsecured Debt Securities

Our public, unsecured debt securities outstanding at December 31 were as follows (in millions):
 
Aggregate Principal Amount Outstanding
Title of Security
2015
 
2016
6 1/2% Debentures due August 1, 2018
$
361

 
$
361

8 7/8% Debentures due January 15, 2022
86

 
86

7 1/8% Debentures due November 15, 2025
209

 
209

7 1/2% Debentures due August 1, 2026
193

 
193

6 5/8% Debentures due February 15, 2028
104

 
104

6 5/8% Debentures due October 1, 2028 (a) 
638

 
638

6 3/8% Debentures due February 1, 2029 (a) 
260

 
260

7.45% GLOBLS due July 16, 2031 (a) 
1,794

 
1,794

8.900% Debentures due January 15, 2032
151

 
151

9.95% Debentures due February 15, 2032
4

 
4

7.75% Debentures due June 15, 2043
73

 
73

7.40% Debentures due November 1, 2046
398

 
398

9.980% Debentures due February 15, 2047
181

 
181

7.70% Debentures due May 15, 2097
142

 
142

4.346% Notes due December 8, 2026
—

 
1,500

5.291% Notes due December 8, 2046
—

 
1,300

4.75% Notes due January 15, 2043
2,000

 
2,000

Total public unsecured debt securities (b)
$
6,594


$
9,394

__________
(a)
Listed on the Luxembourg Exchange and on the Singapore Exchange.
(b)
Excludes 9.215% Debentures due September 15, 2021 with an outstanding balance at December 31, 2016 of $180 million. The proceeds from these securities were on-lent by Ford to Ford Holdings to fund Financial Services activity and are reported as Financial Services long-term debt.

DOE ATVM Incentive Program

In September 2009, we entered into a Loan Arrangement and Reimbursement Agreement with the DOE, under which we borrowed through multiple draws $5.9 billion to finance certain costs for fuel-efficient, advanced-technology vehicles. At December 31, 2016, an aggregate $3.2 billion was outstanding. The principal amount of the ATVM loan bears interest at a blended rate based on the U.S. Treasury yield curve at the time each draw was made (with the weighted-average interest rate on all such draws being about 2.3% per annum). The ATVM loan is repayable in equal quarterly installments of $148 million, which began in September 2012 and will end in June 2022.

Automotive Credit Facilities

Lenders under our Third Amended and Restated Credit Agreement dated as of April 29, 2016 and as further amended (the “corporate credit facility”) have commitments to us totaling $13.4 billion, with 75% of the commitments maturing on April 30, 2021 and 25% of the commitments maturing on April 30, 2019. We have allocated $3 billion of commitments to Ford Credit on an irrevocable and exclusive basis to support its liquidity. Any borrowings by Ford Credit under the corporate credit facility would be guaranteed by us.

The corporate credit facility is unsecured and free of material adverse change conditions to borrowing, restrictive financial covenants (for example, interest or fixed charge coverage ratio, debt-to-equity ratio, and minimum net worth requirements), and credit rating triggers that could limit our ability to obtain funding. The corporate credit facility contains a liquidity covenant that requires us to maintain a minimum of $4 billion in aggregate of domestic cash, cash equivalents, and loaned and marketable securities and/or availability under the corporate credit facility. If our senior, unsecured, long‑term debt does not maintain at least two investment grade ratings from Fitch, Moody’s, and S&P, the guarantees of certain subsidiaries will be required.

At December 31, 2016, the utilized portion of the corporate credit facility was $35 million, representing amounts utilized as letters of credit.
NOTE 14.  DEBT AND COMMITMENTS (Continued)

At December 31, 2016, we had $1.5 billion of local credit facilities available to non-U.S. Automotive affiliates, of which $967 million had been utilized.

Financial Services Segment

Asset-Backed Debt

At December 31, 2016, the carrying value of our asset-backed debt was $50.4 billion. This secured debt is issued by Ford Credit and includes asset-backed securities used to fund operations and maintain liquidity. Assets securing the related debt issued as part of all our securitization transactions are included in our consolidated results and are based upon the legal transfer of the underlying assets in order to reflect legal ownership and the beneficial ownership of the debt holder. The third-party investors in the securitization transactions have legal recourse only to the assets securing the debt and do not have such recourse to us, except for the customary representation and warranty provisions or when we are counterparty to certain derivative transactions of the special purpose entities (“SPEs”). In addition, the cash flows generated by the assets are restricted only to pay such liabilities; Ford Credit retains the right to residual cash flows. See Note 16 for additional information.

Although not contractually required, we regularly support our wholesale securitization programs by repurchasing receivables of a dealer from a SPE when the dealer’s performance is at risk, which transfers the corresponding risk of loss from the SPE to us. In order to continue to fund the wholesale receivables, we also may contribute additional cash or wholesale receivables if the collateral falls below required levels. The balances of cash related to these contributions were $0 at December 31, 2015 and 2016, and ranged from $0 to $72 million during 2015 and $0 to $12 million during 2016.

SPEs that are exposed to interest rate or currency risk may reduce their risks by entering into derivative transactions. In certain instances, we have entered into derivative transactions with the counterparty to protect the counterparty from risks absorbed through derivative transactions with the SPEs. Derivative income/(expense) related to the derivative transactions that support Ford Credit’s securitization programs were $4 million, $2 million, and $(29) million for the years ended December 31, 2014, 2015, and 2016, respectively. See Note 17 for additional information regarding the accounting for derivatives.

Interest expense on securitization debt was $595 million, $630 million, and $773 million in 2014, 2015, and 2016, respectively.

The assets and liabilities related to our asset-backed debt arrangements included on our financial statements at December 31 were as follows (in billions):
 
2015
 
2016
Assets
 
 
 
Cash and cash equivalents
$
4.3

 
$
3.4

Finance receivables, net
53.6

 
58.3

Net investment in operating leases
13.3

 
11.8

 
 
 
 
Liabilities
 
 
 
Debt (a)
$
50.0

 
$
50.4


__________
(a)
Debt is net of unamortized discount and issuance costs.

Committed Credit Facilities

At December 31, 2016, Ford Credit’s committed capacity totaled $40.1 billion of which $19.5 billion is available for use.  Ford Credit’s committed capacity is primarily comprised of unsecured credit facilities with financial institutions, committed asset-backed security lines from bank-sponsored commercial paper conduits and other financial institutions, and allocated commitments under the corporate credit facility.
Redeemable Noncontrolling Interest Redeemable Noncontrolling Interest (Notes)
Noncontrolling Interest Disclosure [Text Block]
REDEEMABLE NONCONTROLLING INTEREST

We formed the Ford Sollers joint venture with Sollers OJSC (“Sollers”) in October 2011 to operate in Russia. On March 31, 2015, we and Sollers agreed to certain changes to the structure of the joint venture and the related shareholders’ agreement to support the business in the near term and provide a platform for future growth in this important market. The changes included Ford providing additional funding to the joint venture and gaining a controlling interest in the joint venture through the acquisition of preferred shares. As a result, effective March 31, 2015, we consolidated the joint venture for financial reporting purposes.

The value of the redeemable noncontrolling interest, reflecting the redemption features embedded in the 50% equity interest in the joint venture that is held by Sollers, reported in the mezzanine section of our balance sheet at December 31, 2015 and 2016 was $94 million and $96 million, respectively.
Variable Interest Entities (Notes)
VARIABLE INTEREST ENTITIES
VARIABLE INTEREST ENTITIES

A VIE is an entity that either (i) has insufficient equity to permit the entity to finance its activities without additional subordinated financial support, or (ii) has equity investors who lack the characteristics of a controlling financial interest. We consolidate VIEs of which we are the primary beneficiary. We consider ourselves the primary beneficiary of a VIE when we have both the power to direct the activities that most significantly impact the entity’s economic performance and the obligation to absorb losses or the right to receive benefits from the entity that could potentially be significant to the VIE. Assets recognized as a result of consolidating these VIEs do not represent additional assets that could be used to satisfy claims against our general assets. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on our general assets; rather, they represent claims against the specific assets of the consolidated VIEs.

We have the power to direct the significant activities of an entity when our management has the ability to make key operating decisions, such as decisions regarding capital or product investment or manufacturing production schedules. For securitization entities, we have the power to direct significant activities when we have the ability to exercise discretion in the servicing of financial assets (including general collection activity on current and non-current accounts and loss mitigation efforts including repossession and sale of collateral), issue additional debt, exercise a unilateral call option, add assets to revolving structures, or control investment decisions.

VIEs of Which We are Not the Primary Beneficiary

Certain of our joint ventures are VIEs, in which the power to direct economically significant activities is shared with the joint venture partner. Our investments in these joint ventures are accounted for as equity method investments. Our maximum exposure to any potential losses associated with these joint ventures is limited to our investment, including loans, and was $251 million and $262 million at December 31, 2015 and 2016, respectively.

VIEs of Which We are the Primary Beneficiary

Securitization Entities. Through Ford Credit, we securitize, transfer, and service financial assets associated with consumer finance receivables, operating leases, and wholesale loans. Our securitization transactions typically involve the legal transfer of financial assets to bankruptcy remote SPEs. We generally retain economic interests in the asset-backed securitization transactions, which are retained in the form of senior or subordinated interests, cash reserve accounts, residual interests, and servicing rights. For accounting purposes, we are precluded from recording the transfers of assets in securitization transactions as sales.

In most cases, the bankruptcy remote SPEs meet the definition of VIEs for which we have determined we have both the power to direct the activities of the entity that most significantly impact the entity’s performance and the obligation to absorb losses or the right to receive benefits of the entity that could be significant, and would therefore also be consolidated. We account for all securitization transactions as if they were secured financing and therefore the assets, liabilities, and related activity of these transactions are consolidated in our financial results and are included in amounts presented on the face of our consolidated balance sheet. See Note 14 for additional information on the accounting for asset-backed debt and the assets securing this debt.
Derivative Financial Instruments and Hedging Activities (Notes)
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES

In the normal course of business, our operations are exposed to global market risks, including the effect of changes in foreign currency exchange rates, certain commodity prices, and interest rates. To manage these risks, we enter into highly effective derivative contracts:

•
Foreign currency exchange contracts, including forwards, that are used to manage foreign exchange exposure;
•
Commodity contracts, including forwards, that are used to manage commodity price risk;
•
Interest rate contracts, including swaps, that are used to manage the effects of interest rate fluctuations; and
•
Cross-currency interest rate swap contracts that are used to manage foreign currency and interest rate exposures on foreign-denominated debt.
 
Our derivatives are over-the-counter customized derivative transactions and are not exchange-traded. We review our hedging program, derivative positions, and overall risk management strategy on a regular basis.

Derivative Financial Instruments and Hedge Accounting. Derivatives are recorded on the balance sheet at fair value and presented on a gross basis. Derivative assets are reported in Other assets and derivative liabilities are reported in Payables and Other liabilities and deferred revenue.

We have elected to apply hedge accounting to certain derivatives. Derivatives that are designated in hedging relationships are evaluated for effectiveness using regression analysis at the time they are designated and throughout the hedge period. Some derivatives do not qualify for hedge accounting; for others, we elect not to apply hedge accounting.

Cash Flow Hedges. Our Automotive segment has designated certain forward contracts as cash flow hedges of forecasted transactions with exposure to foreign currency exchange and commodity price risks.

The effective portion of changes in the fair value of cash flow hedges is deferred in Accumulated other comprehensive income/(loss) and is recognized in Cost of sales when the hedged item affects earnings. The ineffective portion is reported in Cost of sales in the period of measurement. Our policy is to de-designate foreign currency exchange cash flow hedges prior to the time forecasted transactions are recognized as assets or liabilities on the balance sheet and report subsequent changes in fair value through Cost of sales. If it becomes probable that the originally-forecasted transaction will not occur, the related amount included in Accumulated other comprehensive income/(loss) is reclassified and recognized in earnings. The majority of our cash flow hedges mature in two years or less.

Fair Value Hedges. Our Financial Services segment uses derivatives to reduce the risk of changes in the fair value of debt. We have designated certain receive-fixed, pay-float interest rate swaps as fair value hedges of fixed-rate debt. The risk being hedged is the risk of changes in the fair value of the hedged debt attributable to changes in the benchmark interest rate. If the hedge relationship is deemed to be highly effective, we record the changes in the fair value of the hedged debt related to the risk being hedged in Financial Services debt with the offset in Financial Services other income/(loss), net. The change in fair value of the related derivative (excluding accrued interest) also is recorded in Financial Services other income/(loss), net. Net interest settlements and accruals on fair value hedges are excluded from the assessment of hedge effectiveness and are reported in Financial Services interest, operating, and other expenses. The cash flows associated with fair value hedges are reported in Net cash provided by/(used in) operating activities on our statement of cash flows. 

When a fair value hedge is de-designated, or when the derivative is terminated before maturity, the fair value adjustment to the hedged debt continues to be reported as part of the carrying value of the debt and is amortized over its remaining life.

Derivatives Not Designated as Hedging Instruments. Our Automotive segment reports changes in the fair value of derivatives not designated as hedging instruments through Cost of sales. Cash flows associated with non-designated or de-designated derivatives are reported in Net cash provided by/(used in) investing activities on our statements of cash flows.

Our Financial Services segment reports net interest settlements and accruals and changes in the fair value of interest rate swaps not designated as hedging instruments in Financial Services other income/(loss), net. Foreign currency revaluation on accrued interest along with gains and losses on foreign exchange contracts and cross currency interest rate swaps are reported in Financial Services other income/(loss), net. Cash flows associated with non-designated or de­designated derivatives are reported in Net cash provided by/(used in) investing activities on our statements of cash flows.

NOTE 17.  DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Continued)

Normal Purchases and Normal Sales Classification. We have elected to apply the normal purchases and normal sales classification for physical supply contracts that are entered into for the purpose of procuring commodities to be used in production over a reasonable period in the normal course of our business.

Income Effect of Derivative Financial Instruments

The gains/(losses), by hedge designation, recorded in income for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Cash flow hedges (a)
 
 
 
 
 
Reclassified from AOCI to net income
$
78

 
$
(239
)
 
$
537

Fair value hedges
 
 
 
 
 
Interest rate contracts
 
 
 
 
 
Net interest settlements and accruals excluded from the assessment of hedge effectiveness
304

 
370

 
367

Ineffectiveness (b)
20

 
3

 
4

Derivatives not designated as hedging instruments
 
 
 
 
 
Foreign currency exchange contracts
261

 
425

 
257

Cross-currency interest rate swap contracts
161

 
100

 
398

Interest rate contracts
(41
)
 
(58
)
 
(9
)
Commodity contracts
(47
)
 
(64
)
 
7

Total
$
736

 
$
537

 
$
1,561

__________
(a)
For 2014, 2015, and 2016 a $271 million loss, a $123 million gain, and a $770 million gain, respectively, were recorded in Other comprehensive income/(loss), net of tax.
(b)
For 2014, 2015, and 2016, hedge ineffectiveness reflects the net change in fair value on derivatives of $407 million gain, $72 million gain, and $120 million loss, respectively, and change in value on hedged debt attributable to the change in benchmark interest rates of $387 million loss, $69 million loss, and $124 million gain, respectively.
NOTE 17.  DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Continued)

Balance Sheet Effect of Derivative Financial Instruments

Derivative assets and liabilities are recorded on the balance sheet at fair value and are presented on a gross basis. The notional amounts of the derivative instruments do not necessarily represent amounts exchanged by the parties and are not a direct measure of our financial exposure. We also enter into master agreements with counterparties that may allow for netting of exposures in the event of default or breach of the counterparty agreement.

The fair value of our derivative instruments and the associated notional amounts, presented gross, at December 31 were as follows (in millions):
 
2015
 
2016
 
Notional
 
Fair Value of
Assets
 
Fair Value of
Liabilities
 
Notional
 
Fair Value of
Assets
 
Fair Value of
Liabilities
Cash flow hedges
 
 
 
 
 
 
 
 
 
 
 
Foreign currency exchange and commodity contracts
$
12,593

 
$
522

 
$
366

 
$
19,091

 
$
620

 
$
257

Fair value hedges
 

 
 

 
 

 
 
 
 
 
 
Interest rate contracts
28,964

 
670

 
16

 
33,175

 
487

 
80

Derivatives not designated as hedging instruments
 
 
 
 
 
 
 
 
 
 
Foreign currency exchange contracts
21,108

 
426

 
242

 
17,227

 
379

 
194

Cross-currency interest rate swap contracts
3,137

 
73

 
111

 
3,201

 
242

 
8

Interest rate contracts
62,638

 
159

 
112

 
61,689

 
156

 
74

Commodity contracts
643

 
2

 
26

 
531

 
11

 
6

Total derivative financial instruments, gross (a) (b)
$
129,083

 
$
1,852

 
$
873

 
$
134,914

 
$
1,895

 
$
619

 
 
 
 
 
 
 
 
 
 
 
 
Current portion
 
 
$
1,209

 
$
692

 
 
 
$
1,108

 
$
371

Non-current portion
 
 
643

 
181

 
 
 
787

 
248

Total derivative financial instruments, gross
 
 
$
1,852

 
$
873

 
 
 
$
1,895

 
$
619

__________
(a)
At December 31, 2015, and 2016, the net obligation to return cash collateral was $0 and $3 million, respectively.
(b)
At December 31, 2015, and 2016, the fair value of assets and liabilities available for counterparty netting was $733 million and $554 million, respectively. All derivatives are categorized within Level 2 of the fair value hierarchy.
Accumulated Other Comprehensive Income/(Loss)
ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)
ACCUMULATED OTHER COMPREHENSIVE INCOME/(LOSS)

The changes in the balances for each component of accumulated other comprehensive income/(loss) attributable to Ford Motor Company for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Foreign currency translation
 
 
 
 
 
Beginning balance
$
(2,402
)
 
$
(2,438
)
 
$
(3,570
)
Gains/(Losses) on foreign currency translation
(206
)
 
(969
)
 
(494
)
Less: Tax/(Tax benefit) (a)
(17
)
 
177

 
537

Net gains/(losses) on foreign currency translation
(189
)
 
(1,146
)
 
(1,031
)
(Gains)/Losses reclassified from AOCI to net income (b)
153

 
14

 
8

Other comprehensive income/(loss), net of tax
(36
)
 
(1,132
)
 
(1,023
)
Ending balance
$
(2,438
)
 
$
(3,570
)
 
$
(4,593
)
 
 
 
 
 
 
Marketable securities
 
 
 
 
 
Beginning balance
$
—

 
$
—

 
$
(6
)
Gains/(Losses) on available for sale securities
—

 
(10
)
 
(13
)
Less: Tax/(Tax benefit)
—

 
(4
)
 
(10
)
Net gains/(losses) on available for sale securities
—

 
(6
)
 
(3
)
(Gains)/Losses reclassified from AOCI to net income
—

 
—

 
(1
)
Less: Tax/(Tax benefit)
—

 
—

 
4

Net (gains)/losses reclassified from AOCI to net income
—

 
—

 
(5
)
Other comprehensive income/(loss), net of tax
—

 
(6
)
 
(8
)
Ending balance
$
—

 
$
(6
)
 
$
(14
)
 
 
 
 
 
 
Derivative instruments
 
 
 
 
 
Beginning balance
$
19

 
$
(163
)
 
$
64

Gains/(Losses) on derivative instruments
(271
)
 
123

 
770

Less: Tax/(Tax benefit)
(96
)
 
50

 
144

Net gains/(losses) on derivative instruments
(175
)
 
73

 
626

(Gains)/Losses reclassified from AOCI to net income
(78
)
 
239

 
(537
)
Less: Tax/(Tax benefit)
(71
)
 
85

 
(130
)
Net (gains)/losses reclassified from AOCI to net income (c)
(7
)
 
154

 
(407
)
Other comprehensive income/(loss), net of tax
(182
)
 
227

 
219

Ending balance
$
(163
)
 
$
64

 
$
283

 
 
 
 
 
 
Pension and other postretirement benefits
 
 
 
 
 
Beginning balance
$
(2,641
)
 
$
(2,664
)
 
$
(2,745
)
Prior service (costs)/credits arising during the period
(11
)
 
(104
)
 
(16
)
Less: Tax/(Tax benefit)
(2
)
 
(41
)
 
(4
)
Net prior service (costs)/credits arising during the period
(9
)
 
(63
)
 
(12
)
Amortization and recognition of prior service costs/(credits) (d)
(19
)
 
(2
)
 
66

Less: Tax/(Tax benefit)
(7
)
 
6

 
22

Net prior service costs/(credits) reclassified from AOCI to net income
(12
)
 
(8
)
 
44

Translation impact on non-U.S. plans
(2
)
 
(10
)
 
24

Other comprehensive income/(loss), net of tax
(23
)
 
(81
)
 
56

Ending balance
$
(2,664
)
 
$
(2,745
)
 
$
(2,689
)
 
 
 
 
 
 
Total AOCI ending balance at December 31
$
(5,265
)
 
$
(6,257
)
 
$
(7,013
)
__________
(a)
We do not recognize deferred taxes for a majority of the foreign currency translation gains and losses because we do not anticipate reversal in the foreseeable future. However, we have made elections to tax certain non-U.S. operations simultaneously in U.S. tax returns, and have recorded deferred taxes for temporary differences that will reverse, independent of repatriation plans, on U.S. tax returns. Taxes or tax benefits resulting from foreign currency translation of the temporary differences are recorded in Other comprehensive income/(loss), net of tax.
(b)
Reclassified to Non-Financial Services interest income and other income/(loss), net.
(c)
Reclassified to Cost of sales. During the next twelve months we expect to reclassify existing net gains on cash flow hedges of $358 million. See Note 17 for additional information.
(d)
Amortization and recognition of prior service costs/(credits) is included in the computation of net periodic pension cost. See Note 13 for additional information.
Other Income (Loss) (Notes)
OTHER INCOME/(LOSS)
OTHER INCOME/(LOSS)

Non-Financial Services

The amounts included in Non-Financial Services interest income and other income/(loss), net for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Investment-related interest income
$
193

 
$
233

 
$
217

Interest income/(expense) on income taxes
109

 
—

 
(5
)
Realized and unrealized gains/(losses) on cash equivalents and marketable securities
(9
)
 
46

 
(9
)
Gains/(Losses) on changes in investments in affiliates
(798
)
 
42

 
139

Gains/(Losses) on extinguishment of debt
(132
)
 
1

 
—

Royalty income
559

 
666

 
714

Other
154

 
200

 
300

Total
$
76

 
$
1,188

 
$
1,356


Financial Services

The amounts included in Financial Services other income/(loss), net for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Investment-related interest income
$
51

 
$
76

 
$
74

Interest income/(expense) on income taxes
(13
)
 
3

 
8

Insurance premiums earned
125

 
133

 
156

Other
185

 
160

 
200

Total
$
348

 
$
372

 
$
438

Share-Based Compensation
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]
SHARE-BASED EMPLOYEE COMPENSATION

We issue to our employees restricted stock units (“RSUs”), which consist of time-based and performance-based awards. RSUs provide the recipients with the right to shares of Common Stock following a specified performance period and/or vesting period. Time-based awards generally have a vesting feature whereby one-third of each grant of RSUs vests after the first anniversary of the grant date, one-third after the second anniversary, and one-third after the third anniversary. Performance-based RSUs vest at the end of the specified performance period, generally three years, assuming required metrics are met. Performance-based RSUs have two components: one based on Ford’s internal financial performance metrics, and the other based on Ford’s total shareholder return relative to total shareholder returns of an industrial and automotive peer group. We issue new shares of Common Stock upon vesting of RSUs. At the time of vest, RSU awards are net settled (shares are withheld to cover the employee tax obligation).

The fair value of both the time-based and the portion of the performance-based RSUs pertaining to internal performance metrics is determined using the closing price of our Common Stock. The fair value of time-based RSUs is expensed over the shorter of the vesting period, using the graded vesting method, or the time period an employee becomes eligible to retain the award at retirement. The fair value of performance-based RSUs is expensed when it is probable and estimable as measured against the performance metrics over the shorter of the performance or required service periods. Expense is recorded in Selling, administrative, and other expenses.

Share-based compensation awards outstanding at December 31, 2016 consist of awards granted to employees under two Long-Term Incentive Plans (“LTIP”): the 1998 LTIP and the 2008 LTIP. No further grants may be made under the 1998 LTIP. Under the 2008 LTIP, the number of shares that may be granted in any year is limited to 2% of our issued and outstanding Common Stock as of December 31 of the prior calendar year. Any unused portion is available for awards in later years. The limit may be increased up to 3% in any year, with a corresponding reduction in shares available for grants in future years. At December 31, 2016, the number of unused shares carried forward was 423 million shares.

NOTE 20.  SHARE-BASED EMPLOYEE COMPENSATION (Continued)

The performance-based RSUs granted in March 2015 and 2016 include a relative Total Shareholder Return (“TSR”) metric. We estimate the fair value of the TSR component of the performance-based RSUs using a Monte Carlo simulation. Inputs and assumptions used to calculate the fair value at grant date were as follows:
 
2015
 
2016
Fair value per stock award
$
16.98

 
$
15.56

Grant date stock price
16.03

 
13.54

Assumptions:
 
 
 
Ford’s stock price expected volatility (a)
23.3
%
 
23.1
%
Expected average volatility of peer companies (a)
24.1
%
 
26.4
%
Risk-free interest rate
1.09
%
 
0.98
%
Dividend yield
3.74
%
 
4.43
%
__________
(a)
Expected volatility based on three years of daily closing share price changes ending on the grant date.

During 2016, activity for RSUs was as follows (in millions, except for weighted average fair value):
 
Shares
 
Weighted-
Average Fair Value
Outstanding, beginning of year
27.4

 
$
15.04

Granted
17.5

 
13.54

Vested
(11.1
)
 
14.07

Forfeited
(0.4
)
 
14.13

Outstanding, end of year
33.4

 
14.49

RSUs expected to vest
32.9

 
N/A



The table above also includes shares awarded to non-employee directors. At December 31, 2016, there were 362,271 shares vested, but unissued.

Additional information about RSUs for the years ended December 31 was as follows (in millions, except for weighted average fair value):
 
2014
 
2015
 
2016
Fair value of vested shares
$
102

 
$
126

 
$
157

Weighted average grant fair value (per unit)
15.40

 
15.86

 
13.54

Compensation cost (a)
95

 
125

 
135


__________
(a)
Net of tax benefit of $49 million, $65 million, and $72 million in 2014, 2015, and 2016, respectively.

As of December 31, 2016, there was approximately $90 million in unrecognized compensation cost related to non-vested RSUs.  This expense will be recognized over a weighted average period of 1.8 years.

Stock Options

During 2016, no stock options were issued to our employees. As of December 31, 2016, the last of our outstanding stock options will expire in July 2024, if not exercised sooner. We measure the fair value of our stock options using the Black-Scholes option-pricing model and record expense in Selling, administrative, and other expenses.

For the years ended December 31, 2015 and 2016, stock options outstanding were 45.4 million and 35.5 million, respectively, and stock options exercisable were 39.3 million and 33.4 million, respectively. For the year ended December 31, 2016, the intrinsic value for vested and unvested stock options was $75 million and $0, respectively. The average remaining terms for fully vested stock options and unvested stock options were 4.2 years and 7.2 years, respectively. We received approximately $58 million in proceeds from the exercise of stock options in 2016.  An equivalent of approximately $119 million in new issues was used to settle exercised stock options. Compensation cost for stock options for the year ended December 31, 2016 was $2.1 million, net of tax benefit of $0.5 million. As of December 31, 2016, there was approximately $0.4 million in unrecognized compensation cost related to non-vested stock options.
Income Taxes (Notes)
INCOME TAXES
INCOME TAXES

We recognize income tax-related penalties in the Provision for/(Benefit from) income taxes on our consolidated income statement. We recognize income tax-related interest income and interest expense in Non-Financial Services interest income and other income/(loss), net and Financial Services other income/(loss), net on our consolidated income statement.

Valuation of Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities are recognized based on the future tax consequences attributable to temporary differences that exist between the financial statement carrying value of assets and liabilities and their respective tax bases, and operating loss and tax credit carryforwards on a taxing jurisdiction basis. We measure deferred tax assets and liabilities using enacted tax rates that will apply in the years in which we expect the temporary differences to be recovered or paid.

Our accounting for deferred tax consequences represents our best estimate of the likely future tax consequences of events that have been recognized on our financial statements or tax returns and their future probability.  In assessing the need for a valuation allowance, we consider both positive and negative evidence related to the likelihood of realization of the deferred tax assets.  If, based on the weight of available evidence, it is more likely than not that the deferred tax assets will not be realized, we record a valuation allowance.

NOTE 21. INCOME TAXES (Continued)

Components of Income Taxes

Components of income taxes excluding cumulative effects of changes in accounting principles, other comprehensive income, and equity in net results of affiliated companies accounted for after-tax, for the years ended December 31 were as follows:
 
2014
 
2015
 
2016
Income before income taxes (in millions)
 
 
 
 
 
U.S.
$
3,852

 
$
5,374

 
$
5,266

Non-U.S.
(2,618
)
 
4,878

 
1,530

Total
$
1,234

 
$
10,252

 
$
6,796

Provision for/(Benefit from) income taxes (in millions)
 

 
 

 
 

Current
 

 
 

 
 

Federal
$
(2
)
 
$
75

 
$
(122
)
Non-U.S.
389

 
572

 
630

State and local
(22
)
 
17

 
12

Total current
365

 
664

 
520

Deferred
 

 
 

 
 

Federal
(735
)
 
1,494

 
1,323

Non-U.S.
160

 
472

 
121

State and local
214

 
251

 
225

Total deferred
(361
)
 
2,217

 
1,669

Total
$
4

 
$
2,881

 
$
2,189

Reconciliation of effective tax rate
 

 
 

 
 

U.S. statutory rate
35.0
 %
 
35.0
 %
 
35.0
 %
Non-U.S. tax rates under U.S. rates
(5.2
)
 
(2.7
)
 
(1.0
)
State and local income taxes
8.3

 
1.7

 
2.3

General business credits
(27.1
)
 
(3.0
)
 
(3.1
)
Dispositions and restructurings
13.0

 
0.4

 
7.4

U.S. tax on non-U.S. earnings
(23.7
)
 
(3.0
)
 
(5.6
)
Prior year settlements and claims
(9.1
)
 
(0.4
)
 
—

Tax-exempt income
(24.1
)
 
(2.0
)
 
(0.9
)
Enacted change in tax laws
3.9

 
0.1

 
(4.2
)
Valuation allowances
32.3

 
3.6

 
2.7

Other
(3.0
)
 
(1.6
)
 
(0.4
)
Effective rate
0.3
 %
 
28.1
 %
 
32.2
 %


Our 2016 tax provision includes a $300 million benefit for the recognition of deferred taxes resulting from a 2016 change in U.S. tax law related to the taxation of foreign currency gains and losses for our non-U.S. branch operations.

At December 31, 2016, $5.7 billion of non-U.S. earnings are considered indefinitely reinvested in operations outside the United States, for which deferred taxes have not been provided. Repatriation of these earnings in their entirety would result in a residual U.S. tax liability of about $300 million. Our measure of the amount of non-U.S. earnings considered indefinitely reinvested in operations outside of the United States reflects accumulated earnings determined under U.S. tax law.

NOTE 21. INCOME TAXES (Continued)

Components of Deferred Tax Assets and Liabilities

The components of deferred tax assets and liabilities at December 31 were as follows (in millions):
 
2015
 
2016
Deferred tax assets
 
 
 
Employee benefit plans
$
6,620

 
$
6,870

Net operating loss carryforwards
2,327

 
1,764

Tax credit carryforwards
6,456

 
5,860

Research expenditures
1,279

 
1,469

Dealer and dealers’ customer allowances and claims
2,394

 
2,500

Other foreign deferred tax assets
442

 
28

All other
2,206

 
2,289

Total gross deferred tax assets
21,724

 
20,780

Less: valuation allowances
(1,831
)
 
(909
)
Total net deferred tax assets
19,893

 
19,871

Deferred tax liabilities
 

 
 

Leasing transactions
3,329

 
4,523

Deferred income
1,215

 
807

Depreciation and amortization (excluding leasing transactions)
2,484

 
3,175

Finance receivables
688

 
593

Other foreign deferred tax liabilities
407

 
371

All other
763

 
1,388

Total deferred tax liabilities
8,886

 
10,857

Net deferred tax assets/(liabilities)
$
11,007

 
$
9,014



At December 31, 2016, we have a valuation allowance of $909 million primarily related to deferred tax assets in various non-U.S. operations.

Deferred tax assets for net operating losses and other temporary differences related to certain non-U.S. operations have not been recorded as a result of elections to tax these operations simultaneously in U.S. tax returns. Reversal of these elections would result in the recognition of $7.6 billion of deferred tax assets, subject to valuation allowance testing. During 2016, we extended these elections to a significant portion of our South American operations resulting in a $1.1 billion reduction in deferred tax assets and related valuation allowances.

Operating loss carryforwards for tax purposes were $5 billion at December 31, 2016, resulting in a deferred tax asset of $1.8 billion.  There is no expiration date for $3.3 billion of these losses. A substantial portion of the remaining losses will expire beyond 2018. Tax credits available to offset future tax liabilities are $5.9 billion. A substantial portion of these credits have a remaining carryforward period of five years or more. Tax benefits of operating loss and tax credit carryforwards are evaluated on an ongoing basis, including a review of historical and projected future operating results, the eligible carryforward period, and other circumstances.

NOTE 21. INCOME TAXES (Continued)

Other

A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended December 31 were as follows (in millions):
 
2015
 
2016
Beginning balance
$
1,286

 
$
1,601

Increase – tax positions in prior periods
330

 
12

Increase – tax positions in current period
91

 
69

Decrease – tax positions in prior periods
(24
)
 
(67
)
Settlements
(65
)
 
(23
)
Lapse of statute of limitations
(7
)
 
(3
)
Foreign currency translation adjustment
(10
)
 
(3
)
Ending balance
$
1,601

 
$
1,586



The amount of unrecognized tax benefits that would affect the effective tax rate if recognized were $1.5 billion and $1.5 billion at December 31, 2015 and 2016, respectively.

Examinations by tax authorities have been completed through 2004 in Germany, 2008 in Canada, 2011 in the United States, 2013 in China and United Kingdom.  Although examinations have been completed in these jurisdictions, limited transfer pricing disputes exist for years dating back to 1996.

Net interest income on income taxes was $96 million, $3 million, and $3 million for the years ended December 31, 2014, 2015, and 2016, respectively. These were reported in Non-Financial Services interest income and other income/(loss), net and Financial Services other income/(loss), net in our consolidated income statement. Net payables for tax related interest were $93 million and $67 million as of December 31, 2015 and 2016, respectively.

We paid income taxes of $467 million, $585 million, and $740 million in 2014, 2015, and 2016, respectively.
Capital Stock and Earnings Per Share (Notes)
CAPITAL STOCK AND EARNINGS PER SHARE
CAPITAL STOCK AND EARNINGS PER SHARE

All general voting power is vested in the holders of Common Stock and Class B Stock. Holders of our Common Stock have 60% of the general voting power and holders of our Class B Stock are entitled to such number of votes per share as will give them the remaining 40%. Shares of Common Stock and Class B Stock share equally in dividends when and as paid, with stock dividends payable in shares of stock of the class held.

If liquidated, each share of Common Stock is entitled to the first $0.50 available for distribution to holders of Common Stock and Class B Stock, each share of Class B Stock is entitled to the next $1.00 so available, each share of Common Stock is entitled to the next $0.50 so available, and each share of Common and Class B Stock is entitled to an equal amount thereafter.

We present both basic and diluted earnings per share (“EPS”) amounts in our financial reporting. Basic EPS excludes dilution and is computed by dividing income available to Common and Class B Stock holders by the weighted-average number of Common and Class B Stock outstanding for the period. Diluted EPS reflects the maximum potential dilution that could occur from our share-based compensation, including “in-the-money” stock options and unvested RSUs. Potential dilutive shares are excluded from the calculation if they have an anti-dilutive effect in the period.

NOTE 22.  CAPITAL STOCK AND EARNINGS PER SHARE (Continued)

Earnings Per Share Attributable to Ford Motor Company Common and Class B Stock

Basic and diluted income per share were calculated using the following (in millions):
 
2014
 
2015
 
2016
Basic and Diluted Income Attributable to Ford Motor Company
 
 
 
 
 
Basic income
$
1,231

 
$
7,373

 
$
4,596

Diluted income (a)
1,231

 
7,373

 
4,596

 
 
 
 
 
 
Basic and Diluted Shares
 

 
 

 
 
Basic shares (average shares outstanding)
3,912

 
3,969

 
3,973

Net dilutive options and warrants
46

 
33

 
26

Diluted shares (a)
3,958

 
4,002

 
3,999

__________
(a)
Not included in the 2014 calculation of diluted earnings per share due to their antidilutive effect are 87 million shares and the related income effect for the 2016 Convertible Notes. In October 2014, we elected to terminate the conversion rights of holders under the 2016 Convertible Notes in accordance with their terms effective as of the close of business on November 20, 2014. We no longer have convertible debt outstanding.
Selected Quarterly Financial Data
SELECTED QUARTERLY FINANCIAL DATA
SELECTED QUARTERLY FINANCIAL DATA (unaudited)

Selected financial data by calendar quarter were as follows (in millions, except per share amounts):
 
2015
 
2016
 
First
Quarter
 
Second
Quarter
 
Third
Quarter
 
Fourth
Quarter
 
First
Quarter
 
Second
Quarter
 
Third
Quarter
 
Fourth
Quarter
Total revenues
$
33,900

 
$
37,263

 
$
38,144

 
$
40,251

 
$
37,718

 
$
39,485

 
$
35,943

 
$
38,654

Income/(Loss) before income taxes
1,779

 
3,286

 
3,291

 
1,896

 
3,651

 
2,875

 
1,387

 
(1,117
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amounts Attributable to Ford Motor Company Common and Class B Shareholders
Net income/(loss)
$
1,153

 
$
2,160

 
$
2,192

 
$
1,868

 
$
2,452

 
$
1,970

 
$
957

 
$
(783
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Common and Class B per share from income from continuing operations
Basic
$
0.29

 
$
0.54

 
$
0.55

 
$
0.47

 
$
0.62

 
$
0.50

 
$
0.24

 
$
(0.20
)
Diluted
0.29

 
0.54

 
0.55

 
0.47

 
0.61

 
0.49

 
0.24

 
(0.20
)


Certain of the quarterly results identified in the table above include material unusual or infrequently occurring items as follows on a pre-tax basis, except for tax items:

The fourth quarter 2016 results include a pension and OPEB net remeasurement loss of $3 billion.

The fourth quarter 2016 net income includes a tax benefit of $300 million for the recognition of deferred taxes resulting from a 2016 change in U.S. tax law related to taxation of foreign currency gains and losses for our non-U.S. branch operations.

The fourth quarter 2015 results include a pension and OPEB net remeasurement loss of $698 million.

The fourth quarter 2015 net income includes a tax benefit of $346 million related to retroactive reinstatement of U.S. tax legislation in the Protecting Americans from Tax Hikes Act of 2015.
Commitments and Contingencies (Notes)
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES

Commitments and contingencies primarily consist of guarantees and indemnifications, litigation and claims, and warranty.

Guarantees and Indemnifications

Guarantees and indemnifications are recorded at fair value at their inception. We regularly review our performance risk under these arrangements, and in the event it becomes probable we will be required to perform under guarantee or indemnity, the amount of probable payment is recorded.

We guarantee debt and lease obligations of certain joint ventures, as well as certain financial obligations of outside third parties, including suppliers, to support our business and economic growth. Expiration dates vary through 2033, and guarantees will terminate on payment and/or cancellation of the underlying obligation. A payment by us would be triggered by failure of the joint venture or other third party to fulfill its obligation covered by the guarantee. In some circumstances, we are entitled to recover from a third party amounts paid by us under the guarantee. However, our ability to enforce these rights is sometimes stayed until the guaranteed party is paid in full, and may be limited in the event of insolvency of the third party or other circumstances.

In the ordinary course of business, we execute contracts involving indemnifications standard in the industry and indemnifications specific to a transaction, such as the sale of a business. These indemnifications might include and are not limited to claims relating to any of the following: environmental, tax, and shareholder matters; intellectual property rights; power generation contracts; governmental regulations and employment-related matters; dealer, supplier, and other commercial contractual relationships; and financial matters, such as securitizations. Performance under these indemnities generally would be triggered by a breach of terms of the contract or by a third-party claim. While some of these indemnifications are limited in nature, many of them do not limit potential payment. Therefore, we are unable to estimate a maximum amount of future payments that could result from claims made under these unlimited indemnities.

The maximum potential payments and the carrying value of recorded liabilities related to guarantees and limited indemnities at December 31 were as follows (in millions):
 
2015
 
2016
Maximum potential payments
$
284

 
$
177

Carrying value of recorded liabilities related to guarantees and limited indemnities
23

 
23



Litigation and Claims

Various legal actions, proceedings, and claims (generally, “matters”) are pending or may be instituted or asserted against us. These include but are not limited to matters arising out of alleged defects in our products; product warranties; governmental regulations relating to safety, emissions, and fuel economy or other matters; government incentives; tax matters; alleged illegal acts resulting in fines or penalties; financial services; employment-related matters; dealer, supplier, and other contractual relationships; intellectual property rights; environmental matters; shareholder or investor matters; and financial reporting matters. Certain of the pending legal actions are, or purport to be, class actions. Some of the matters involve or may involve claims for compensatory, punitive, or antitrust or other treble damages in very large amounts, or demands for field service actions, environmental remediation programs, sanctions, loss of government incentives, assessments, or other relief, which, if granted, would require very large expenditures.

The extent of our financial exposure to these matters is difficult to estimate. Many matters do not specify a dollar amount for damages, and many others specify only a jurisdictional minimum. To the extent an amount is asserted, our historical experience suggests that in most instances the amount asserted is not a reliable indicator of the ultimate outcome.

We accrue for matters when losses are deemed probable and reasonably estimable. In evaluating matters for accrual and disclosure purposes, we take into consideration factors such as our historical experience with matters of a similar nature, the specific facts and circumstances asserted, the likelihood that we will prevail, and the severity of any potential loss. We reevaluate and update our accruals as matters progress over time.

For the majority of matters, which generally arise out of alleged defects in our products, we establish an accrual based on our extensive historical experience with similar matters. We do not believe there is a reasonably possible outcome materially in excess of our accrual for these matters.

NOTE 24.  COMMITMENTS AND CONTINGENCIES (Continued)

For the remaining matters, where our historical experience with similar matters is of more limited value (i.e., “non-pattern matters”), we evaluate the matters primarily based on the individual facts and circumstances. For non-pattern matters, we evaluate whether there is a reasonable possibility of a material loss in excess of any accrual that can be estimated. Our estimate of reasonably possible loss in excess of our accruals for all material matters currently reflects indirect tax and customs matters, for which we estimate the aggregate risk to be a range of up to about $2.8 billion.

As noted, the litigation process is subject to many uncertainties, and the outcome of individual matters is not predictable with assurance. Our assessments are based on our knowledge and experience, but the ultimate outcome of any matter could require payment substantially in excess of the amount that we have accrued and/or disclosed.

Warranty and Field Service Actions

We accrue obligations for warranty costs and field service actions (i.e., safety recalls, emission recalls, and other product campaigns) at the time of sale using a patterned estimation model that includes historical information regarding the nature, frequency, and average cost of claims for each vehicle line by model year. Warranty and field service action obligations are reported in Other liabilities and deferred revenue. We reevaluate the adequacy of our accruals on a regular basis.

We recognize the benefit from a recovery of the costs associated with our warranty and field service actions when specifics of the recovery have been agreed with our supplier and the amount of the recovery is virtually certain. Recoveries are reported in Trade and other receivables and Other assets.

The estimate of our future warranty and field service action costs, net of supplier recoveries, for the years ended December 31 were as follows (in millions):
 
2015
 
2016
Beginning balance
$
4,786

 
$
4,558

Payments made during the period
(2,849
)
 
(3,286
)
Changes in accrual related to warranties issued during the period
2,046

 
2,326

Changes in accrual related to pre-existing warranties
807

 
1,360

Foreign currency translation and other
(232
)
 
2

Ending balance
$
4,558

 
$
4,960



Revisions to our estimated costs are reported as changes in accrual related to pre-existing warranties in the table above.
Schedule of Valuation and Qualifying Accounts (Notes)
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block]
Description
 
Balance at
Beginning of
Period
 
Charged to
Costs and
Expenses
 
Deductions
 
Balance at End
of Period
For the Year Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
Allowances deducted from assets
 
 
 
 
 
 
 
 
 
 
Credit losses
 
$
405

 
$
199

 
 
$
220

(a)
 
$
384

Doubtful receivables
 
120

 
374

 
 
39

(b)
 
455

Inventories (primarily service part obsolescence)
 
262

 
(8
)
(c)
 
—

 
 
254

Deferred tax assets
 
1,633

 
(29
)
(d)
 
—

 
 
1,604

Total allowances deducted from assets
 
$
2,420

 
$
536

 
 
$
259

 
 
$
2,697

 
 
 
 
 
 
 
 
 
 
 
For the Year Ended December 31, 2015
 
 

 
 

 
 
 

 
 
 

Allowances deducted from assets
 
 

 
 

 
 
 

 
 
 

Credit losses
 
$
384

 
$
347

 
 
$
294

(a)
 
$
437

Doubtful receivables
 
455

 
(7
)
 
 
76

(b)
 
372

Inventories (primarily service part obsolescence)
 
254

 
(29
)
(c)
 
—

 
 
225

Deferred tax assets
 
1,604

 
227

(d)
 
—

 
 
1,831

Total allowances deducted from assets
 
$
2,697

 
$
538

 
 
$
370

 
 
$
2,865

 
 
 
 
 
 
 
 
 
 
 
For the Year Ended December 31, 2016
 
 

 
 

 
 
 

 
 
 

Allowances deducted from assets
 
 

 
 

 
 
 

 
 
 

Credit losses
 
$
437

 
$
551

 
 
$
421

(a)
 
$
567

Doubtful receivables
 
372

 
24

 
 
19

(b)
 
377

Inventories (primarily service part obsolescence)
 
225

 
(33
)
(c)
 
—

 
 
192

Deferred tax assets
 
1,831

 
209

(d)
 
1,131

(e)
 
909

Total allowances deducted from assets
 
$
2,865

 
$
751

 
 
$
1,571

 
 
$
2,045

_________
(a)
Finance receivables and lease investments deemed to be uncollectible and other changes, principally amounts related to finance receivables sold and translation adjustments.
(b)
Accounts and notes receivable deemed to be uncollectible as well as translation adjustments.
(c)
Net change in inventory allowances, including translation adjustments.  
(d)
Includes $(428) million, $(142) million, and $26 million in 2014, 2015, and 2016, respectively, of valuation allowance for deferred tax assets through Accumulated other comprehensive income/(loss), including translation adjustments and $399 million, $369 million, and $183 million in 2014, 2015, and 2016, respectively, of valuation allowance for deferred tax assets through the income statement.
(e)
During 2016 we elected to tax a significant portion of our South American operations simultaneously in U.S. tax returns resulting in a $1.1 billion reduction in deferred tax assets and related valuation allowance.
Summary of Accounting Policies (Policies)
Consolidation and Intercompany Transactions, Policy [Policy Text Block] 
For purposes of this report, “Ford,” the “Company,” “we,” “our,” “us,” or similar references mean Ford Motor Company, our consolidated subsidiaries, and our consolidated VIEs of which we are the primary beneficiary, unless the context requires otherwise.
Consolidation, Policy [Policy Text Block] 
Effective December 31, 2014, we began reporting the results of our wholly-owned Venezuelan subsidiary using the cost method of accounting.
Basis of Accounting, Policy [Policy Text Block] 
Our financial statements are presented in accordance with U.S. generally accepted accounting principles (“GAAP”).
Comparability of Prior Year Financial Data, Policy [Policy Text Block] 
Change in presentation. Our core Automotive business includes the designing, manufacturing, marketing, and servicing of a full line of Ford cars, trucks, SUVs, and electrified vehicles, as well as Lincoln luxury vehicles. We provide vehicle-related financing and leasing activities through Ford Motor Credit Company LLC (“Ford Credit”). At the same time, we are pursuing emerging opportunities in connectivity, mobility, autonomous vehicles, the customer experience, and data and analytics.

Prior to the second quarter of 2016, we presented our financial statements on both a consolidated basis and on a “sector” basis for our Automotive and Financial Services sectors. With our expansion into mobility services, including the formation in March 2016 of the Ford Smart Mobility LLC subsidiary, we reevaluated our disclosures and concluded we should eliminate our two-sector financial presentation and, reflecting the manner in which our Chief Operating Decision Maker manages our business, changed our segment presentation beginning with the second quarter of 2016 to be Automotive, Financial Services, and All Other. See Note 4 for a description of our segment presentation.

In addition, as a result of the elimination of our two-sector financial presentation, at June 30, 2016 we changed the presentation of our consolidated balance sheet and certain notes to the consolidated financial statements to classify our assets and liabilities as current or non-current. We reclassified certain prior year amounts in our consolidated financial statements to conform to the current year presentation.

Use of Estimates, Policy [Policy Text Block] 
Use of Estimates

The preparation of financial statements requires us to make estimates and assumptions that affect our results. Estimates are used to account for certain items such as marketing accruals, warranty costs, employee benefit programs, etc.  Estimates are based on assumptions that we believe are reasonable under the circumstances. Due to the inherent uncertainty involved with estimates, actual results may differ.
Foreign Currency Transactions and Translations Policy [Policy Text Block] 
Foreign Currency

We remeasure monetary assets and liabilities denominated in a currency that is different than a reporting entity’s functional currency from the transactional currency to the legal entity’s functional currency. The effect of this remeasurement process, and the results of our foreign currency hedging activities are reported in Cost of sales and Financial Services other income/(loss), net and were $(510) million, $(524) million, and $307 million, for the years ended 2014, 2015, and 2016, respectively.

Generally, our foreign subsidiaries use the local currency as their functional currency. We translate the assets and liabilities of our foreign subsidiaries from their respective functional currencies to U.S. dollars using end-of-period exchange rates. Changes in the carrying value of these assets and liabilities attributable to fluctuations in exchange rates are recognized in Foreign currency translation, a component of Other comprehensive income/(Ioss), net of tax. Upon sale or upon complete or substantially complete liquidation of an investment in a foreign subsidiary, the amount of accumulated foreign currency translation related to the entity is reclassified to income and recognized as part of the gain or loss on the investment.
Restricted Cash, Policy [Policy Text Block] 
Restricted Cash

Cash and cash equivalents that are restricted as to withdrawal or use under the terms of certain contractual agreements are recorded in Other assets in the non-current assets section of our consolidated balance sheet. Our Automotive segment restricted cash balances primarily include various escrow agreements related to legal, insurance, customs, and environmental matters. Our Financial Services segment restricted cash balances primarily include cash held to meet certain local governmental and regulatory reserve requirements and cash held under the terms of certain contractual agreements. Restricted cash does not include required minimum balances or cash securing debt issued through securitization transactions.
Trade and Other Accounts Receivable, Policy [Policy Text Block] 
Trade Receivables

Trade and other receivables consists primarily of Automotive segment receivables from contracts with customers for the sale of vehicles, parts, and accessories. Trade receivables initially are recorded at the transaction amount and are typically outstanding for less than 30 days. Each reporting period, we evaluate the collectability of the receivables and record an allowance for doubtful accounts representing our estimate of the probable losses. Additions to the allowance for doubtful accounts are made by recording charges to bad debt expense reported in Selling, administrative, and other expenses.

Intangible Assets, Finite-Lived, Policy [Policy Text Block] 
Net Intangible Assets

We capitalize and amortize our finite-lived intangible assets over their estimated useful lives.
Intangible Assets, Indefinite-Lived, Policy [Policy Text Block] 
Indefinite-lived intangible assets are not amortized, but are tested for impairment annually or more frequently if events or circumstances indicate the assets may be impaired.
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] 
Long-Lived Asset Impairment

We test long-lived asset groups for recoverability when changes in circumstances indicate the carrying value may not be recoverable. Events that trigger a test for recoverability include material adverse changes in projected revenues and expenses, significant underperformance relative to historical and projected future operating results, significant negative industry or economic trends, and a significant adverse change in the manner in which an asset group is used or in its physical condition. When a triggering event occurs, a test for recoverability is performed, comparing projected undiscounted future cash flows to the carrying value of the asset group. If the test for recoverability identifies a possible impairment, the asset group’s fair value is measured relying primarily on a discounted cash flow method. An impairment charge is recognized for the amount by which the carrying value of the asset group exceeds its estimated fair value. When an impairment loss is recognized for assets to be held and used, the adjusted carrying amount of those assets is depreciated over their remaining useful life.
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] 
Goodwill

We perform annual testing of goodwill during the fourth quarter to determine whether any impairment has occurred. Goodwill impairment testing is also performed following an allocation of goodwill to a business to be disposed, or following a triggering event for the long-lived asset impairment test. To test for goodwill impairment, we assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount.  If the qualitative assessment indicates a possible impairment, the carrying value of each reporting unit is compared with its fair value. Fair value is measured relying primarily on the income approach by applying a discounted cash flow method.
Fair Value Measurements, Policy [Policy Text Block] 
Fair Value Measurements

Cash equivalents, marketable securities, and derivative financial instruments are remeasured and presented on our financial statements on a recurring basis at fair value, while other assets and liabilities are measured at fair value on a nonrecurring basis.

In measuring fair value, we use various valuation methods and prioritize the use of observable inputs. The use of observable and unobservable inputs and their significance in measuring fair value are reflected in our fair value hierarchy.

•
Level 1 - inputs include quoted prices for identical instruments and are the most observable
•
Level 2 - inputs include quoted prices for similar instruments and observable inputs such as interest rates, currency exchange rates, and yield curves
•
Level 3 - inputs include data not observable in the market and reflect management judgment about the assumptions market participants would use in pricing the instruments

Transfers into and transfers out of the hierarchy levels are recognized as if they had taken place at the end of the reporting period.

Valuation Method

Cash and Cash Equivalents. Included in Cash and cash equivalents are highly liquid investments that are readily convertible to known amounts of cash and are subject to an insignificant risk of change in value due to interest rate, quoted price, or penalty on withdrawal. A debt security is classified as a cash equivalent if it meets these criteria and if it has a remaining time to maturity of three months or less from the date of acquisition. Amounts on deposit and available upon demand, or negotiated to provide for daily liquidity without penalty, are classified as Cash and cash equivalents. Time deposits, certificates of deposit, and money market accounts that meet the above criteria are reported at par value on our balance sheet.

NOTE 2.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Marketable Securities. Investments in securities with a maturity date greater than three months at the date of purchase and other securities for which there is more than an insignificant risk of change in value due to interest rate, quoted price, or penalty on withdrawal are classified as Marketable securities. We generally measure fair value using prices obtained from pricing services. Pricing methods and inputs to valuation models used by the pricing services depend on the security type (i.e., asset class). Where possible, fair values are generated using market inputs including quoted prices (the closing price in an exchange market), bid prices (the price at which a buyer stands ready to purchase), and other market information. For fixed income securities that are not actively traded, the pricing services use alternative methods to determine fair value for the securities, including quotes for similar fixed-income securities, matrix pricing, discounted cash flow using benchmark curves, or other factors. In certain cases, when market data are not available, we may use broker quotes to determine fair value.

An annual review is performed on the security prices received from our pricing services, which includes discussion and analysis of the inputs used by the pricing services to value our securities. We also compare the price of certain securities sold close to the quarter end to the price of the same security at the balance sheet date to ensure the reported fair value is reasonable.  

Realized gains and losses and interest income on all of our marketable securities, and unrealized gains and losses on securities not classified as available for sale are recorded in Non-Financial Services interest income and other income/(loss), net and Financial Services other income/(loss), net. Unrealized gains and losses on available for sale securities are recognized in Unrealized gains and losses on securities, a component of Other comprehensive income/(loss), net of tax. Realized gains and losses and reclassifications of accumulated other comprehensive income into net income are measured using the specific identification method.

On a quarterly basis, we review our available for sale securities for impairment. If we conclude that any of these investments are impaired, we determine whether such impairment is other-than-temporary. Factors we consider to make such determination include the duration and severity of the impairment, the reason for the decline in value, and the potential recovery period and our intent to sell. If any impairment is considered other-than-temporary, we will write down the asset to its fair value and record the corresponding charge in Non-Financial Services interest income and other income/(loss), net.

Derivative Financial Instruments. Our derivatives are over-the-counter customized derivative transactions and are not exchange traded. We estimate the fair value of these instruments using industry-standard valuation models such as a discounted cash flow. These models project future cash flows and discount the future amounts to a present value using market-based expectations for interest rates, foreign exchange rates, commodity prices, and the contractual terms of the derivative instruments. The discount rate used is the relevant interbank deposit rate (e.g., LIBOR) plus an adjustment for non-performance risk. The adjustment reflects the full credit default swap (“CDS”) spread applied to a net exposure, by counterparty, considering the master netting agreements and any posted collateral. We use our counterparty’s CDS spread when we are in a net asset position and our own CDS spread when we are in a net liability position. In certain cases, market data is not available and we use broker quotes and models (e.g., Black-Scholes) to determine fair value. This includes situations where there is lack of liquidity for a particular currency or commodity, or when the instrument is longer dated.

Finance Receivables. We measure finance receivables at fair value for purposes of disclosure (see Note 6) using internal valuation models. These models project future cash flows of financing contracts based on scheduled contract payments (including principal and interest). The projected cash flows are discounted to present value based on assumptions regarding credit losses, pre-payment speed, and applicable spreads to approximate current rates. Our assumptions regarding pre-payment speed and credit losses are based on historical performance. The fair value of finance receivables is categorized within Level 3 of the hierarchy.

On a nonrecurring basis, we also measure at fair value retail contracts greater than 120 days past due or deemed to be uncollectible, and individual dealer loans probable of foreclosure. We use the fair value of collateral, adjusted for estimated costs to sell, to determine the fair value of our receivables. The collateral for a retail receivable is the vehicle financed, and for dealer loans is real estate or other property.

NOTE 2.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

The fair value of collateral for retail receivables is calculated by multiplying the outstanding receivable balances by the average recovery value percentage. The fair value of collateral for dealer loans is determined by reviewing various appraisals, which include total adjusted appraised value of land and improvements, alternate use appraised value, broker’s opinion of value, and purchase offers.

Debt. We measure debt at fair value for purposes of disclosure (see Note 14) using quoted prices for our own debt with approximately the same remaining maturities. Where quoted prices are not available, we estimate fair value using discounted cash flows and market-based expectations for interest rates, credit risk, and the contractual terms of the debt instruments. For certain short-term debt with an original maturity date of one year or less, we assume that book value is a reasonable approximation of the debt’s fair value. The fair value of debt is categorized within Level 2 of the hierarchy.
Employee Separation Actions [Policy Text Block] 
Employee Separation Actions and Exit and Disposal Activities

We record costs associated with voluntary separations at the time of employee acceptance, unless the acceptance requires explicit approval by the Company. We record costs associated with involuntary separation programs when management has approved the plan for separation, the affected employees are identified, and it is unlikely that actions required to complete the separation plan will change significantly. When a plan of separation requires approval by or consultation with the relevant labor organization or government, the costs are recorded after the required approval or consultation process is complete. Costs associated with benefits that are contingent on the employee continuing to provide service are accrued over the required service period.

Additionally, under certain labor agreements, we are required to pay transitional benefits to our employees who are idled. For employees who are temporarily idled, we expense the benefits on an as-incurred basis. For employees who are permanently idled, we expense all of the expected future benefit payments in the period when it is probable that the employees will be permanently idled.  Our reserve balance for these future benefit payments to permanently idled employees takes into account several factors:  the demographics of the population at each affected facility, redeployment alternatives, estimate of benefits to be paid, and recent experience relative to voluntary redeployments.
Revenue Recognition, Policy [Policy Text Block] 
Revenue Recognition — Automotive Segment

Automotive revenue is generated primarily by sales of vehicles, parts, and accessories. Revenue is recorded when all risks and rewards of ownership are transferred to our customers (generally dealers and distributors). For the majority of our sales, this occurs when products are shipped from our manufacturing facilities. When we give our dealers the right to return eligible parts for credit, we reduce the related revenue for expected returns.

We sell vehicles to fleet customers, primarily daily rental car companies, subject to guaranteed repurchase options. These vehicles are accounted for as operating leases. At the time of sale, the proceeds are recorded as deferred revenue in Other liabilities and deferred revenue in the non-current liabilities section of our consolidated balance sheet. The difference between the proceeds and the guaranteed repurchase amount is recognized in Automotive revenues over the term of the lease using a straight line method. On average, leases remain outstanding for approximately one year. The cost of the vehicle is recorded in Net investment in operating leases on our consolidated balance sheet and the difference between the cost of the vehicle and the estimated auction value is depreciated in Cost of sales over the term of the lease. Proceeds from the sale of the vehicle at auction are recognized in Automotive revenues at the time of sale.

Revenue Recognition — Financial Services Segment

Financial Services revenue is generated primarily from interest on finance receivables (including direct financing leases). Interest is recognized using the interest method and includes the amortization of certain direct origination costs. Revenue from payments received on operating leases is recognized on a straight-line basis over the term of the lease. Revenue from interest on finance receivables and operating leases is discontinued at the time a receivable or account is determined to be uncollectible.

Finance and Lease Incentives [Policy Text Block] 
Finance and Lease Incentives

We offer special financing and lease incentives to customers who choose to finance or lease Ford or Lincoln brand vehicles with Ford Credit. The estimated cost for these incentives is recorded as a reduction to Automotive revenues when the vehicle is sold to the dealer. Ford Credit records a reduction to the finance receivable or reduces the cost of the vehicle operating lease when it records the underlying finance contract and we transfer to it the amount of the incentive on behalf of the dealer’s customer. See Note 1 for additional information regarding transactions between Automotive and Financial Services.
Marketing Incentives And Interest Supplements [Policy Text Block] 
Sales and Marketing Incentives

Sales and marketing incentives generally are recognized as reductions in Automotive revenues. The incentives generally take the form of cash payments to dealers and dealers’ customers. The reduction to revenue is accrued at the later of the date the related vehicle is sold or the date the incentive program is both approved and communicated. We generally estimate these accruals using incentive programs that are approved as of the balance sheet date and are expected to be effective at the beginning of the subsequent period.

Cost of Sales, Policy [Policy Text Block] 
Supplier Price Adjustments

We frequently negotiate price adjustments with our suppliers throughout a production cycle, even after receiving production material. These price adjustments relate to changes in design specification or other commercial terms such as economics, productivity, and competitive pricing. We recognize price adjustments when we reach final agreement with our suppliers. In general, we avoid direct price changes in consideration of future business; however, when these occur, our policy is to defer the financial statement impact of any such price change given explicitly in consideration of future business where guaranteed volumes are specified.

Raw Material Arrangements

We may, at times, negotiate prices for and facilitate the purchase of raw materials on behalf of our suppliers. These raw material arrangements, which take place independently of any purchase orders issued to our suppliers, are negotiated at arms’ length and do not involve volume guarantees. When we pass the risks and rewards of ownership to our suppliers, including inventory risk, market price risk, and credit risk for the raw material, we record both the cost of the raw material and the income from the subsequent sale to the supplier in Cost of sales.
Government Grants and Loan Incentives [Policy Text Block] 
Government Incentives

We receive incentives from U.S. and non-U.S. governmental entities in the form of tax rebates or credits, grants, and loans. Government incentives are recorded in the financial statements in accordance with their purpose, either as a reduction of expense, a reduction of the cost of the capital investment, or other income. The benefit is recorded when all conditions attached to the incentive have been met and there is reasonable assurance of receipt.

Research and Development Expense, Policy [Policy Text Block] 
Engineering, research, and development costs are expensed as incurred when performed internally or when performed by a supplier if we guarantee reimbursement.
Engineering, research, and development expenses, primarily salaries, materials, and associated costs, are reported in Cost of sales;
Advertising Cost, Policy [Policy Text Block] 
advertising costs are reported in Selling, administrative, and other expenses.
Advertising costs are expensed as incurred.
Presentation of Sales And Sales Related Taxes [Policy Text Block] 
Presentation of Sales and Sales-Related Taxes

We collect and remit taxes required by various governmental authorities that are both imposed on and concurrent with revenue-producing transactions between us and our customers. These taxes may include, but are not limited to, sales, use, value-added, and excise taxes. We report the collection of these taxes on a net basis (excluded from revenues).
Segment Reporting, Policy [Policy Text Block] 
In conjunction with our expanded business model to become an automotive, financial services, and mobility company, beginning with the second quarter of 2016, we changed our reportable segment disclosures. Reflecting the manner in which our Chief Operating Decision Maker manages our businesses, including resource allocation and performance assessment, we have four operating segments that represent the primary businesses reported in our consolidated financial statements. These operating segments are: Automotive, Financial Services, Ford Smart Mobility LLC, and Central Treasury Operations.

Automotive and Financial Services comprise separate reportable segments. Ford Smart Mobility LLC and Central Treasury Operations did not meet the quantitative thresholds in this reporting period to qualify as reportable segments; therefore, these operating segments are combined and disclosed below as All Other. Prior-period amounts were adjusted retrospectively to reflect the change to our reportable segments.
Below is a description of our reportable segments and the business activities included in All Other.

Automotive Segment

Our Automotive segment primarily includes the sale of Ford and Lincoln brand vehicles, service parts, and accessories worldwide, together with the associated costs to develop, manufacture, distribute, and service the vehicles, parts, and accessories. The segment includes five regional business units:  North America, South America, Europe, Middle East & Africa, and Asia Pacific.
Financial Services Segment

The Financial Services segment primarily includes our vehicle-related financing and leasing activities at Ford Credit.

All Other

All Other is a combination of two operating segments that did not meet the quantitative thresholds in this reporting period to qualify as reportable segments. All Other consists of our Central Treasury Operations (formerly Other Automotive) and Ford Smart Mobility LLC. The Central Treasury Operations segment is primarily engaged in decision making for investments, risk management activities, and providing financing for the Automotive segment. Interest income (excluding interest earned on our extended service contract portfolio that is included in our Automotive segment), interest expense, gains and losses on cash equivalents and marketable securities, and foreign exchange derivatives associated with intercompany lending, are included in the results of Central Treasury Operations. The underlying assets and liabilities, primarily cash and cash equivalents, marketable securities, debt, and derivatives, remain with the Automotive segment.

Ford Smart Mobility LLC is a subsidiary formed to design, build, grow, and invest in emerging mobility services. Designed to compete like a start-up company, Ford Smart Mobility LLC will design and build mobility services on its own, and collaborate with start-ups and tech companies.

NOTE 4.  SEGMENT INFORMATION (Continued)

Special Items

In addition, our results include Special items that consist of (i) pension and other postretirement employee benefits (“OPEB”) remeasurement gains and losses, (ii) significant personnel and dealer-related costs stemming from our efforts to match production capacity and cost structure to market demand and changing model mix, and (iii) certain infrequent significant items that we generally do not consider to be indicative of our ongoing operating activities. Our management excludes these items from its review of the results of the operating segments for purposes of measuring segment profitability and allocating resources. Special items are presented as a separate reconciling item.
We report revenue on a “where-sold” basis, which reflects the revenue within the country in which the ultimate sale or financing is made to our external customer.
Cost Method Investments, Policy [Policy Text Block] 
Investments in entities that we do not control and over which we do not have the ability to exercise significant influence are recorded at cost and reported in Other assets in the non-current assets section of our consolidated balance sheet.
Finance Loans and Leases Receivable, Policy [Policy Text Block] 
For all finance receivables, we define “past due” as any payment, including principal and interest, that is at least 31 days past the contractual due date.
A restructuring of debt constitutes a TDR if we grant a concession to a debtor for economic or legal reasons related to the debtor’s financial difficulties that we otherwise would not consider. Consumer and non-consumer receivables that have a modified interest rate below market rate or that were modified in reorganization proceedings pursuant to the U.S. Bankruptcy Code, except non-consumer receivables that are current with minimal risk of loss, are considered to be TDRs. We do not grant concessions on the principal balance of our receivables. If a receivable is modified in a reorganization proceeding, all payment requirements of the reorganization plan need to be met before remaining balances are forgiven. Finance receivables involved in TDRs are specifically assessed for impairment.
Impaired consumer receivables include accounts that have been rewritten or modified in reorganization proceedings pursuant to the U.S. Bankruptcy Code that are considered to be troubled debt restructurings (“TDRs”), as well as all accounts greater than 120 days past due. Impaired non-consumer receivables represent accounts with dealers that have weak or poor financial metrics or dealer financing that has been modified in TDRs.
The accrual of revenue is discontinued at the time a receivable is determined to be uncollectible. Accounts may be restored to accrual status only when a customer settles all past-due deficiency balances and future payments are reasonably assured. For receivables in non-accrual status, subsequent financing revenue is recognized only to the extent a payment is received. Payments are generally applied first to outstanding interest and then to the unpaid principal balance.
Finance receivables are recorded at time of origination or purchase at fair value and are subsequently reported at amortized cost, net of any allowance for credit losses.
Lease, Policy [Policy Text Block] 
Assets subject to operating leases are depreciated using the straight-line method over the term of the lease to reduce the asset to its estimated residual value. Estimated residual values are based on assumptions for used vehicle prices at lease termination and the number of vehicles that are expected to be returned.
Allowance for Credit Losses, Policy [Policy Text Block] 
The allowance for credit losses represents our estimate of the probable credit loss inherent in finance receivables as of the balance sheet date. The adequacy of the allowance for credit losses is assessed quarterly and the assumptions and models used in establishing the allowance are evaluated regularly. Because credit losses may vary substantially over time, estimating credit losses requires a number of assumptions about matters that are uncertain. The majority of credit losses are attributable to Ford Credit’s consumer receivables portfolio.

Additions to the allowance for credit losses are made by recording charges to Financial Services interest, operating, and other expenses on the income statement. The uncollectible portion of finance receivables are charged to the allowance for credit losses at the earlier of when an account is deemed to be uncollectible or when an account is 120 days delinquent, taking into consideration the financial condition of the customer, borrower, or lessee, the value of the collateral, recourse to guarantors, and other factors.

In the event we repossess the collateral, the receivable is charged off and we record the collateral at its estimated fair value less costs to sell and report it in Other assets on the balance sheet. Charge-offs on finance receivables include uncollected amounts related to principal, interest, late fees, and other allowable charges. Recoveries on finance receivables previously charged off as uncollectible, are credited to the allowance for credit losses.

Consumer

We estimate the allowance for credit losses on our consumer receivables using a combination of measurement models and management judgment. The models consider factors such as historical trends in credit losses and recoveries (including key metrics such as delinquencies, repossessions, and bankruptcies), the composition of the present portfolio (including vehicle brand, term, risk evaluation, and new/used vehicles), trends in historical used vehicle values, and economic conditions. Estimates from these models rely on historical information and may not fully reflect losses inherent in the present portfolio. Therefore, we may adjust the estimate to reflect management judgment regarding observable changes in recent economic trends and conditions, portfolio composition, and other relevant factors.

We make projections of two key assumptions to assist in estimating the consumer allowance for credit losses:

•
Frequency - number of finance receivables contracts that are expected to default over the loss emergence period, measured as repossessions; and
•
Loss severity - expected difference between the amount a customer owes when the finance contract is charged off and the amount received, net of expenses from selling the repossessed vehicle

Collective Allowance for Credit Losses. The collective allowance is evaluated primarily using a collective loss-to-receivables (“LTR”) model that, based on historical experience, indicates credit losses have been incurred in the portfolio even though the particular accounts that are uncollectible cannot be specifically identified. The LTR model is based on the most recent years of history. Each LTR is calculated by dividing credit losses by average finance receivables excluding unearned interest supplements and allowance for credit losses. An average LTR is calculated for each product and multiplied by the end-of-period balances for that given product.

NOTE 8. FINANCIAL SERVICES ALLOWANCE FOR CREDIT LOSSES (Continued)

Our largest markets also use a loss projection model to estimate losses inherent in the portfolio. The loss projection model applies recent monthly performance metrics, stratified by contract type (retail or lease), contract term (e.g., 60‑month), and risk rating to our active portfolio to estimate the losses that have been incurred.

The loss emergence period (“LEP”) is an assumption within our models and represents the average amount of time between when a loss event first occurs and when it is charged off. This time period starts when the consumer begins to experience financial difficulty. It is evidenced, typically through delinquency, before eventually resulting in a charge-off. The LEP is a multiplier in the calculation of the collective consumer allowance for credit losses.

For accounts greater than 120 days past due, the uncollectible portion is charged off such that the remaining recorded investment is equal to the estimated fair value of the collateral less costs to sell.

Specific Allowance for Impaired Receivables. Consumer receivables involved in TDRs are specifically assessed for impairment. A specific allowance is estimated based on the present value of the expected future cash flows of the receivable discounted at the contract’s original effective interest rate or the fair value of any collateral adjusted for estimated costs to sell.

After establishing the collective and specific allowance for credit losses, if management believes the allowance does not reflect all losses inherent in the portfolio due to changes in recent economic trends and conditions, or other relevant factors, an adjustment is made based on management judgment.

Non-Consumer

We estimate the allowance for credit losses for non-consumer receivables based on historical LTR ratios, expected future cash flows, and the fair value of collateral.

Collective Allowance for Credit Losses. We estimate an allowance for non-consumer receivables that are not specifically identified as impaired using a LTR model for each financing product based on historical experience. This LTR is an average of the most recent historical experience and is calculated consistent with the consumer receivables LTR approach. All accounts that are specifically identified as impaired are excluded from the calculation of the non-specific or collective allowance.

Specific Allowance for Impaired Receivables. Dealer financing is evaluated by segmenting individual loans by the risk characteristics of the loan (such as the amount of the loan, the nature of the collateral, and the financial status of the debtor). The loans are analyzed to determine whether individual loans are impaired, and a specific allowance is estimated based on the present value of the expected future cash flows of the receivable discounted at the loan’s original effective interest rate or the fair value of the collateral adjusted for estimated costs to sell.

After establishing the collective and the specific allowance for credit losses, if management believes the allowance does not reflect all losses inherent in the portfolio due to changes in recent economic trends and conditions, or other relevant factors, an adjustment is made based on management judgment.
Inventory, Policy [Policy Text Block] 
All inventories are stated at the lower of cost and net realizable value. Cost for a substantial portion of U.S. inventories is determined on a last-in, first-out (“LIFO”) basis. LIFO was used for 27% and 30% of total inventories at December 31, 2015 and 2016, respectively. Cost of other inventories is determined by costing methods that approximate a first-in, first-out (“FIFO”) basis.
Equity Method Investments, Policy [Policy Text Block] 
We use the equity method of accounting for our investments in entities over which we do not have control, but over whose operating and financial policies we are able to exercise significant influence.

Property, Plant and Equipment, Policy [Policy Text Block] 
Net property is reported at cost, net of accumulated depreciation and impairments.  We capitalize new assets when we expect to use the asset for more than one year.  Routine maintenance and repair costs are expensed when incurred.

Property and equipment are depreciated primarily using the straight-line method over the estimated useful life of the asset.  Useful lives range from 3 years to 36 years.  The estimated useful lives generally are 14.5 years for machinery and equipment, 8 years for software, 30 years for land improvements, and 36 years for buildings.  Tooling generally is amortized over the expected life of a product program using a straight-line method.  

Asset Retirement Obligations, Policy [Policy Text Block] 
Conditional asset retirement obligations relate to legal obligations associated with the retirement, abandonment, or disposal of tangible long-lived assets. Estimates of the fair value liabilities for our conditional asset retirement obligations that are recorded in Other liabilities and deferred revenue
Pension and Other Postretirement Plans, Policy [Policy Text Block] 
Defined benefit pension and OPEB plan obligations are remeasured at least annually as of December 31 based on the present value of projected future benefit payments for all participants for services rendered to date. The measurement of projected future benefits is dependent on the provisions of each specific plan, demographics of the group covered by the plan, and other key measurement assumptions. For plans that provide benefits dependent on salary assumptions, we include a projection of salary growth in our measurements. No assumption is made regarding any potential changes to benefit provisions beyond those to which we are presently committed (e.g., in existing labor contracts).

Net periodic benefit costs, including service cost, interest cost, and expected return on assets are determined using assumptions regarding the benefit obligation and the fair value of plan assets (where applicable) as of the beginning of each year. We have elected to use a fair value of plan assets to calculate the expected return on assets in net periodic benefit cost. The funded status of the benefit plans, which represents the difference between the benefit obligation and fair value of plan assets, is calculated on a plan-by-plan basis. The benefit obligation and related funded status are determined using assumptions as of the end of each year. Actuarial gains and losses resulting from plan remeasurement are recognized in net periodic benefit cost in the period of the remeasurement. The impact of plan amendments is recorded in Accumulated other comprehensive income/(loss), and is amortized as a component of net periodic cost generally over the remaining service period of the active employees. Net periodic benefit costs are recorded in Cost of sales and Selling, administrative, and other expenses.

Curtailment gains or losses are recorded when an event occurs that significantly reduces the expected years of future service or eliminates the accrual of defined benefits for the future services of a significant number of employees. We record a curtailment gain when the employees who are entitled to the benefits terminate their employment; we record a curtailment loss when it becomes probable a loss will occur. We recognize settlement expense, when applicable, if the cost of all settlements during the year exceeds the interest component of net periodic cost for the affected plan. Expense from curtailments and settlements is recorded in Cost of sales and Selling, administrative, and other expenses.

Defined Benefit Pension Plans.  We have defined benefit pension plans covering hourly and salaried employees in the United States, Canada, United Kingdom, Germany and other locations. The largest portion of our worldwide obligation is associated with our U.S. plans. The vast majority of our worldwide defined benefit plans are closed to new participants. 

In general, our defined benefit pension plans are funded (i.e., have restricted assets from which benefits are paid). Our unfunded defined benefit pension plans are treated on a “pay as you go” basis with benefit payments from general Company cash. These unfunded plans primarily include certain plans in Germany and the U.S. defined benefit plans for senior management.
 
OPEB.  We have defined benefit OPEB plans, primarily certain health care and life insurance benefits, covering hourly and salaried employees in the United States, Canada, and other locations. The largest portion of our worldwide obligation is associated with our U.S. plans. Our OPEB plans are unfunded and the benefits are paid from general Company cash.

Defined Contribution and Savings Plans. We also have defined contribution and savings plans for hourly and salaried employees in the United States and other locations. Company contributions to these plans, if any, are made from general Company cash and are expensed as incurred.
Debt, Policy [Policy Text Block] 
Our debt consists of short-term and long-term secured and unsecured debt securities, and secured and unsecured borrowings from banks and other lenders.  Debt issuances are placed directly by us or through securities dealers or underwriters and are held by institutional and retail investors.  In addition, Ford Credit sponsors securitization programs that provide short-term and long-term asset-backed financing through institutional investors in the U.S. and international capital markets.

Debt is reported on our balance sheet at par value adjusted for unamortized discount or premium, unamortized issuance costs, and adjustments related to designated fair value hedges (see Note 17). Discounts, premiums, and costs directly related to the issuance of debt are capitalized and amortized over the life of the debt or to the put date and are recorded in interest expense using the effective interest method. Gains and losses on the extinguishment of debt are recorded in Non-Financial Services interest income and other income/(loss), net and Financial Services other income/(loss), net.
Consolidation, Variable Interest Entity, Policy [Policy Text Block] 
In most cases, the bankruptcy remote SPEs meet the definition of VIEs for which we have determined we have both the power to direct the activities of the entity that most significantly impact the entity’s performance and the obligation to absorb losses or the right to receive benefits of the entity that could be significant, and would therefore also be consolidated. We account for all securitization transactions as if they were secured financing and therefore the assets, liabilities, and related activity of these transactions are consolidated in our financial results and are included in amounts presented on the face of our consolidated balance sheet. See Note 14 for additional information on the accounting for asset-backed debt and the assets securing this debt.
Certain of our joint ventures are VIEs, in which the power to direct economically significant activities is shared with the joint venture partner. Our investments in these joint ventures are accounted for as equity method investments.
A VIE is an entity that either (i) has insufficient equity to permit the entity to finance its activities without additional subordinated financial support, or (ii) has equity investors who lack the characteristics of a controlling financial interest. We consolidate VIEs of which we are the primary beneficiary. We consider ourselves the primary beneficiary of a VIE when we have both the power to direct the activities that most significantly impact the entity’s economic performance and the obligation to absorb losses or the right to receive benefits from the entity that could potentially be significant to the VIE. Assets recognized as a result of consolidating these VIEs do not represent additional assets that could be used to satisfy claims against our general assets. Liabilities recognized as a result of consolidating these VIEs do not represent additional claims on our general assets; rather, they represent claims against the specific assets of the consolidated VIEs.

We have the power to direct the significant activities of an entity when our management has the ability to make key operating decisions, such as decisions regarding capital or product investment or manufacturing production schedules. For securitization entities, we have the power to direct significant activities when we have the ability to exercise discretion in the servicing of financial assets (including general collection activity on current and non-current accounts and loss mitigation efforts including repossession and sale of collateral), issue additional debt, exercise a unilateral call option, add assets to revolving structures, or control investment decisions.

Derivatives, Policy [Policy Text Block] 
Derivative assets and liabilities are recorded on the balance sheet at fair value and are presented on a gross basis. The notional amounts of the derivative instruments do not necessarily represent amounts exchanged by the parties and are not a direct measure of our financial exposure. We also enter into master agreements with counterparties that may allow for netting of exposures in the event of default or breach of the counterparty agreement.
In the normal course of business, our operations are exposed to global market risks, including the effect of changes in foreign currency exchange rates, certain commodity prices, and interest rates. To manage these risks, we enter into highly effective derivative contracts:

•
Foreign currency exchange contracts, including forwards, that are used to manage foreign exchange exposure;
•
Commodity contracts, including forwards, that are used to manage commodity price risk;
•
Interest rate contracts, including swaps, that are used to manage the effects of interest rate fluctuations; and
•
Cross-currency interest rate swap contracts that are used to manage foreign currency and interest rate exposures on foreign-denominated debt.
 
Our derivatives are over-the-counter customized derivative transactions and are not exchange-traded. We review our hedging program, derivative positions, and overall risk management strategy on a regular basis.

Derivative Financial Instruments and Hedge Accounting. Derivatives are recorded on the balance sheet at fair value and presented on a gross basis. Derivative assets are reported in Other assets and derivative liabilities are reported in Payables and Other liabilities and deferred revenue.

We have elected to apply hedge accounting to certain derivatives. Derivatives that are designated in hedging relationships are evaluated for effectiveness using regression analysis at the time they are designated and throughout the hedge period. Some derivatives do not qualify for hedge accounting; for others, we elect not to apply hedge accounting.

Cash Flow Hedges. Our Automotive segment has designated certain forward contracts as cash flow hedges of forecasted transactions with exposure to foreign currency exchange and commodity price risks.

The effective portion of changes in the fair value of cash flow hedges is deferred in Accumulated other comprehensive income/(loss) and is recognized in Cost of sales when the hedged item affects earnings. The ineffective portion is reported in Cost of sales in the period of measurement. Our policy is to de-designate foreign currency exchange cash flow hedges prior to the time forecasted transactions are recognized as assets or liabilities on the balance sheet and report subsequent changes in fair value through Cost of sales. If it becomes probable that the originally-forecasted transaction will not occur, the related amount included in Accumulated other comprehensive income/(loss) is reclassified and recognized in earnings. The majority of our cash flow hedges mature in two years or less.

Fair Value Hedges. Our Financial Services segment uses derivatives to reduce the risk of changes in the fair value of debt. We have designated certain receive-fixed, pay-float interest rate swaps as fair value hedges of fixed-rate debt. The risk being hedged is the risk of changes in the fair value of the hedged debt attributable to changes in the benchmark interest rate. If the hedge relationship is deemed to be highly effective, we record the changes in the fair value of the hedged debt related to the risk being hedged in Financial Services debt with the offset in Financial Services other income/(loss), net. The change in fair value of the related derivative (excluding accrued interest) also is recorded in Financial Services other income/(loss), net. Net interest settlements and accruals on fair value hedges are excluded from the assessment of hedge effectiveness and are reported in Financial Services interest, operating, and other expenses. The cash flows associated with fair value hedges are reported in Net cash provided by/(used in) operating activities on our statement of cash flows. 

When a fair value hedge is de-designated, or when the derivative is terminated before maturity, the fair value adjustment to the hedged debt continues to be reported as part of the carrying value of the debt and is amortized over its remaining life.

Derivatives Not Designated as Hedging Instruments. Our Automotive segment reports changes in the fair value of derivatives not designated as hedging instruments through Cost of sales. Cash flows associated with non-designated or de-designated derivatives are reported in Net cash provided by/(used in) investing activities on our statements of cash flows.

Our Financial Services segment reports net interest settlements and accruals and changes in the fair value of interest rate swaps not designated as hedging instruments in Financial Services other income/(loss), net. Foreign currency revaluation on accrued interest along with gains and losses on foreign exchange contracts and cross currency interest rate swaps are reported in Financial Services other income/(loss), net. Cash flows associated with non-designated or de­designated derivatives are reported in Net cash provided by/(used in) investing activities on our statements of cash flows.

NOTE 17.  DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (Continued)

Normal Purchases and Normal Sales Classification. We have elected to apply the normal purchases and normal sales classification for physical supply contracts that are entered into for the purpose of procuring commodities to be used in production over a reasonable period in the normal course of our business.

Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] 
We issue to our employees restricted stock units (“RSUs”), which consist of time-based and performance-based awards. RSUs provide the recipients with the right to shares of Common Stock following a specified performance period and/or vesting period. Time-based awards generally have a vesting feature whereby one-third of each grant of RSUs vests after the first anniversary of the grant date, one-third after the second anniversary, and one-third after the third anniversary. Performance-based RSUs vest at the end of the specified performance period, generally three years, assuming required metrics are met. Performance-based RSUs have two components: one based on Ford’s internal financial performance metrics, and the other based on Ford’s total shareholder return relative to total shareholder returns of an industrial and automotive peer group. We issue new shares of Common Stock upon vesting of RSUs. At the time of vest, RSU awards are net settled (shares are withheld to cover the employee tax obligation).

The fair value of both the time-based and the portion of the performance-based RSUs pertaining to internal performance metrics is determined using the closing price of our Common Stock. The fair value of time-based RSUs is expensed over the shorter of the vesting period, using the graded vesting method, or the time period an employee becomes eligible to retain the award at retirement. The fair value of performance-based RSUs is expensed when it is probable and estimable as measured against the performance metrics over the shorter of the performance or required service periods. Expense is recorded in Selling, administrative, and other expenses.
We estimate the fair value of the TSR component of the performance-based RSUs using a Monte Carlo simulation.
We measure the fair value of our stock options using the Black-Scholes option-pricing model and record expense in Selling, administrative, and other expenses.
Income Taxes, Policy [Policy Text Block] 
We recognize income tax-related penalties in the Provision for/(Benefit from) income taxes on our consolidated income statement. We recognize income tax-related interest income and interest expense in Non-Financial Services interest income and other income/(loss), net and Financial Services other income/(loss), net on our consolidated income statement.

Valuation of Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities are recognized based on the future tax consequences attributable to temporary differences that exist between the financial statement carrying value of assets and liabilities and their respective tax bases, and operating loss and tax credit carryforwards on a taxing jurisdiction basis. We measure deferred tax assets and liabilities using enacted tax rates that will apply in the years in which we expect the temporary differences to be recovered or paid.

Our accounting for deferred tax consequences represents our best estimate of the likely future tax consequences of events that have been recognized on our financial statements or tax returns and their future probability.  In assessing the need for a valuation allowance, we consider both positive and negative evidence related to the likelihood of realization of the deferred tax assets.  If, based on the weight of available evidence, it is more likely than not that the deferred tax assets will not be realized, we record a valuation allowance.

Earnings Per Share, Policy [Policy Text Block] 
We present both basic and diluted earnings per share (“EPS”) amounts in our financial reporting. Basic EPS excludes dilution and is computed by dividing income available to Common and Class B Stock holders by the weighted-average number of Common and Class B Stock outstanding for the period. Diluted EPS reflects the maximum potential dilution that could occur from our share-based compensation, including “in-the-money” stock options and unvested RSUs. Potential dilutive shares are excluded from the calculation if they have an anti-dilutive effect in the period.
Guarantees, Indemnifications and Warranties Policies [Policy Text Block] 
Guarantees and Indemnifications

Guarantees and indemnifications are recorded at fair value at their inception. We regularly review our performance risk under these arrangements, and in the event it becomes probable we will be required to perform under guarantee or indemnity, the amount of probable payment is recorded.

We guarantee debt and lease obligations of certain joint ventures, as well as certain financial obligations of outside third parties, including suppliers, to support our business and economic growth. Expiration dates vary through 2033, and guarantees will terminate on payment and/or cancellation of the underlying obligation. A payment by us would be triggered by failure of the joint venture or other third party to fulfill its obligation covered by the guarantee. In some circumstances, we are entitled to recover from a third party amounts paid by us under the guarantee. However, our ability to enforce these rights is sometimes stayed until the guaranteed party is paid in full, and may be limited in the event of insolvency of the third party or other circumstances.

In the ordinary course of business, we execute contracts involving indemnifications standard in the industry and indemnifications specific to a transaction, such as the sale of a business. These indemnifications might include and are not limited to claims relating to any of the following: environmental, tax, and shareholder matters; intellectual property rights; power generation contracts; governmental regulations and employment-related matters; dealer, supplier, and other commercial contractual relationships; and financial matters, such as securitizations. Performance under these indemnities generally would be triggered by a breach of terms of the contract or by a third-party claim. While some of these indemnifications are limited in nature, many of them do not limit potential payment. Therefore, we are unable to estimate a maximum amount of future payments that could result from claims made under these unlimited indemnities.
Warranty and Field Service Actions

We accrue obligations for warranty costs and field service actions (i.e., safety recalls, emission recalls, and other product campaigns) at the time of sale using a patterned estimation model that includes historical information regarding the nature, frequency, and average cost of claims for each vehicle line by model year. Warranty and field service action obligations are reported in Other liabilities and deferred revenue. We reevaluate the adequacy of our accruals on a regular basis.

We recognize the benefit from a recovery of the costs associated with our warranty and field service actions when specifics of the recovery have been agreed with our supplier and the amount of the recovery is virtually certain. Recoveries are reported in Trade and other receivables and Other assets.
Commitments and Contingencies, Policy [Policy Text Block] 
Litigation and Claims

Various legal actions, proceedings, and claims (generally, “matters”) are pending or may be instituted or asserted against us. These include but are not limited to matters arising out of alleged defects in our products; product warranties; governmental regulations relating to safety, emissions, and fuel economy or other matters; government incentives; tax matters; alleged illegal acts resulting in fines or penalties; financial services; employment-related matters; dealer, supplier, and other contractual relationships; intellectual property rights; environmental matters; shareholder or investor matters; and financial reporting matters. Certain of the pending legal actions are, or purport to be, class actions. Some of the matters involve or may involve claims for compensatory, punitive, or antitrust or other treble damages in very large amounts, or demands for field service actions, environmental remediation programs, sanctions, loss of government incentives, assessments, or other relief, which, if granted, would require very large expenditures.

The extent of our financial exposure to these matters is difficult to estimate. Many matters do not specify a dollar amount for damages, and many others specify only a jurisdictional minimum. To the extent an amount is asserted, our historical experience suggests that in most instances the amount asserted is not a reliable indicator of the ultimate outcome.

We accrue for matters when losses are deemed probable and reasonably estimable. In evaluating matters for accrual and disclosure purposes, we take into consideration factors such as our historical experience with matters of a similar nature, the specific facts and circumstances asserted, the likelihood that we will prevail, and the severity of any potential loss. We reevaluate and update our accruals as matters progress over time.

For the majority of matters, which generally arise out of alleged defects in our products, we establish an accrual based on our extensive historical experience with similar matters. We do not believe there is a reasonably possible outcome materially in excess of our accrual for these matters.

NOTE 24.  COMMITMENTS AND CONTINGENCIES (Continued)

For the remaining matters, where our historical experience with similar matters is of more limited value (i.e., “non-pattern matters”), we evaluate the matters primarily based on the individual facts and circumstances. For non-pattern matters, we evaluate whether there is a reasonable possibility of a material loss in excess of any accrual that can be estimated.
As noted, the litigation process is subject to many uncertainties, and the outcome of individual matters is not predictable with assurance. Our assessments are based on our knowledge and experience, but the ultimate outcome of any matter could require payment substantially in excess of the amount that we have accrued and/or disclosed.
Presentation (Tables)
Schedule of Related Party Transaction Impacting Balance Sheet [Table Text Block]
Additional detail regarding certain transactions and the effect on each segment at December 31 was as follows (in billions):
 
2015
 
2016
 
Automotive
 
Financial
Services
 
Automotive
 
Financial
Services
Trade and other receivables (a)
 
 
$
5.4

 
 
 
$
6.1

Unearned interest supplements and residual support (b)
 
 
(4.5
)
 
 
 
(5.3
)
Dealer financing and other financing receivables (c)
 
 
0.8

 
 
 
0.7

Net investment in operating leases (d)
 
 
0.7

 
 
 
0.9

Intersegment receivables/(payables) (e)
$
(1.1
)
 
1.1

 
$
(1.7
)
 
1.7

__________
(a)
Automotive receivables (generated primarily from vehicle and parts sales to third parties) sold to Ford Credit.  
(b)
Automotive segment pays amounts to Ford Credit at the point of retail financing or lease origination which represent interest supplements and residual support.
(c)
Receivables with entities that are consolidated subsidiaries of Ford.  
(d)
Sale-leaseback agreement between Automotive and Financial Services relating primarily to vehicles that we lease to our employees.
(e)
Reflects amounts owed to Financial Services by Automotive (these amounts include the balances related to the Dealer financing and other financing receivables described above).
Summary of Accounting Policies (Tables)
Schedule of Other Costs [Table Text Block]
Engineering, research, development, and advertising expenses for the years ended December 31 were as follows (in billions):
 
2014
 
2015
 
2016
Engineering, research, and development
$
6.7

 
$
6.7

 
$
7.3

Advertising
4.3

 
4.3

 
4.3

Segment Information (Tables)
Schedule of Segment Reporting Information, by Segment [Table Text Block] 
Key operating data for our business segments for the years ended or at December 31 were as follows (in millions):
 
Automotive
 
Financial
Services
 
All Other
 
Special
Items
 
Adjustments
 
Total
2014
 

 
 

 
 

 
 
 
 

 
 

Revenues
$
135,782

 
$
8,295

 
$
—

 
$
—

 
$
—

 
$
144,077

Pre-tax results - income/(loss)
6,254

 
1,794

 
(755
)
 
(6,059
)
 
—

 
1,234

Depreciation and tooling amortization
4,252

 
3,133

 
—

 
—

 
—

 
7,385

Interest expense
—

 
2,699

 
797

 
—

 
—

 
3,496

Investment-related interest income
53

 
51

 
140

 
—

 
—

 
244

Equity in net income/(loss) of affiliated companies
1,575

 
29

 
—

 
(329
)
 
—

 
1,275

Cash outflow for capital spending
7,360

 
103

 
—

 
—

 
—

 
7,463

Cash, cash equivalents, and marketable securities
21,702

 
9,448

 
—

 
—

 
—

 
31,150

Total assets
90,167

 
121,388

 
—

 
—

 
(2,940
)
(a)
208,615

Debt
13,824

 
105,347

 
—

 
—

 
—

 
119,171

Operating cash flows
3,563

 
5,743

 
—

 
—

 
5,201

(b)
14,507

 
 
 
 
 
 
 
 
 
 
 
 
2015
 

 
 

 
 

 
 
 
 

 
 

Revenues
$
140,566

 
$
8,992

 
$
—

 
$
—

 
$
—

 
$
149,558

Pre-tax results - income/(loss)
9,568

 
2,028

 
(796
)
 
(548
)
 
—

 
10,252

Depreciation and tooling amortization
4,332

 
3,661

 
—

 
—

 
—

 
7,993

Interest expense
—

 
2,454

 
773

 
—

 
—

 
3,227

Investment-related interest income
42

 
76

 
191

 
—

 
—

 
309

Equity in net income/(loss) of affiliated companies
1,786

 
32

 
—

 
—

 
—

 
1,818

Cash outflow for capital spending
7,147

 
49

 
—

 
—

 
—

 
7,196

Cash, cash equivalents, and marketable securities
23,567

 
11,609

 
—

 
—

 
—

 
35,176

Total assets
91,959

 
137,026

 
—

 
—

 
(4,060
)
(a)
224,925

Debt
12,839

 
120,015

 
—

 
—

 
—

 
132,854

Operating cash flows
7,285

 
3,876

 
—

 
—

 
5,009

(b)
16,170

 
 
 
 
 
 
 
 
 
 
 
 
2016
 

 
 

 
 

 
 
 
 

 
 

Revenues
$
141,546

 
$
10,253

 
$
1

 
$
—

 
$
—

 
$
151,800

Pre-tax results - income/(loss)
9,422

 
1,820

 
(867
)
 
(3,579
)
 
—

 
6,796

Depreciation and tooling amortization
4,667

 
4,356

 
—

 
—

 
—

 
9,023

Interest expense
—

 
2,808

 
894

 
—

 
—

 
3,702

Investment-related interest income
75

 
74

 
142

 
—

 
—

 
291

Equity in net income/(loss) of affiliated companies
1,747

 
33

 
—

 
—

 
—

 
1,780

Cash outflow for capital spending
6,947

 
45

 
—

 
—

 
—

 
6,992

Cash, cash equivalents, and marketable securities
27,462

 
11,357

 
8

 
—

 
—

 
38,827

Total assets
96,929

 
146,252

 
69

 
—

 
(5,299
)
(a)
237,951

Debt
15,907

 
127,063

 
—

 
—

 
—

 
142,970

Operating cash flows
6,385

 
8,754

 
(7
)
 
—

 
4,660

(b)
19,792

__________
(a)
Includes deferred tax netting and eliminations of intersegment transactions occurring in the ordinary course of business.
(b)
We measure and evaluate our Automotive segment operating cash flow on a different basis than Net cash provided by/(used in) operating activities in our consolidated statement of cash flows. Automotive segment operating cash flow includes additional elements management considers to be related to our Automotive operating activities, primarily capital spending and non-designated derivatives, and excludes outflows for funded pension contributions, separation payments, and other items that are considered operating cash flows under U.S. GAAP. The table below quantifies these reconciling adjustments to Net cash provided by/(used in) operating activities for the years ended December 31 (in millions):
 
 
2014
 
2015
 
2016
 
Automotive capital spending
$
7,360

 
$
7,147

 
$
6,947

 
Net cash flows from non-designated derivatives
(247
)
 
76

 
(610
)
 
Funded pension contributions
(1,466
)
 
(1,115
)
 
(1,155
)
 
Separation payments
(223
)
 
(613
)
 
(336
)
 
Other
(223
)
 
(486
)
 
(186
)
 
Total operating cash flow adjustments
$
5,201

 
$
5,009

 
$
4,660

Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] 
Total Company revenues and long-lived assets, split geographically by our country of domicile, the United States, and other countries where our major subsidiaries are domiciled, for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
 
Revenues
 
Long-Lived
Assets (a)
 
Revenues
 
Long-Lived
Assets (a)
 
Revenues
 
Long-Lived
Assets (a)
United States
$
82,665

 
$
34,645

 
$
93,142

 
$
39,853

 
$
93,433

 
$
42,946

United Kingdom
11,742

 
1,491

 
11,451

 
1,490

 
10,041

 
1,302

Canada
9,409

 
4,008

 
8,978

 
3,814

 
10,028

 
4,264

Germany
7,487

 
2,510

 
6,950

 
2,203

 
7,322

 
2,254

All Other
32,774

 
10,689

 
29,037

 
9,896

 
30,976

 
10,135

Total Company
$
144,077

 
$
53,343

 
$
149,558

 
$
57,256

 
$
151,800

 
$
60,901

__________
(a)
Includes Net property and Net investment in operating leases from our consolidated balance sheet.
Cash, Cash Equivalents, and Marketable Securities (Tables)
Fair Value, Assets Measured on Recurring Basis [Table Text Block] 
The following tables categorize the fair values of cash, cash equivalents, and marketable securities measured at fair value on a recurring basis on our balance sheet (in millions):
 
 
 
December 31, 2015
 
Fair Value
 Level
 
Automotive
 
Financial Services
 
All
Other
 
Consolidated
Cash and cash equivalents
 
 
 
 
 
 
 
 
 
U.S. government
1
 
$
115

 
$
—

 
$
—

 
$
115

U.S. government agencies
2
 
22

 
—

 
—

 
22

Non-U.S. government and agencies
2
 
173

 
266

 
—

 
439

Corporate debt
2
 
20

 
—

 
—

 
20

Total marketable securities classified as cash equivalents
 
 
330

 
266

 
—

 
596

Cash, time deposits, and money market funds
 
 
5,056

 
8,620

 
—

 
13,676

Total cash and cash equivalents
 
 
$
5,386

 
$
8,886

 
$
—

 
$
14,272

 
 
 
 
 
 
 
 
 
 
Marketable securities
 
 
 
 
 
 
 
 
 
U.S. government
1
 
$
1,623

 
$
298

 
$
—

 
$
1,921

U.S. government agencies
2
 
5,240

 
1,169

 
—

 
6,409

Non-U.S. government and agencies
2
 
7,451

 
832

 
—

 
8,283

Corporate debt
2
 
3,279

 
384

 
—

 
3,663

Equities
1
 
240

 
—

 
—

 
240

Other marketable securities
2
 
348

 
40

 
—

 
388

Total marketable securities
 
 
$
18,181

 
$
2,723

 
$
—

 
$
20,904

 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2016
 
Fair Value
 Level
 
Automotive
 
Financial Services
 
All
Other
 
Consolidated
Cash and cash equivalents
 
 
 
 
 
 
 
 
 
U.S. government
1
 
$
888

 
$
924

 
$
—

 
$
1,812

U.S. government agencies
2
 
—

 
—

 
—

 
—

Non-U.S. government and agencies
2
 
200

 
142

 
—

 
342

Corporate debt
2
 
100

 
—

 
—

 
100

Total marketable securities classified as cash equivalents
 
 
1,188

 
1,066

 
—

 
2,254

Cash, time deposits, and money market funds
 
 
6,632

 
7,011

 
8

 
13,651

Total cash and cash equivalents
 
 
$
7,820

 
$
8,077

 
$
8

 
$
15,905

 
 
 
 
 
 
 
 
 
 
Marketable securities
 
 
 
 
 
 
 
 
 
U.S. government
1
 
$
8,099

 
$
1,634

 
$
—

 
$
9,733

U.S. government agencies
2
 
2,244

 
505

 
—

 
2,749

Non-U.S. government and agencies
2
 
4,751

 
632

 
—

 
5,383

Corporate debt
2
 
4,329

 
475

 
—

 
4,804

Equities
1
 
165

 
—

 
—

 
165

Other marketable securities
2
 
54

 
34

 
—

 
88

Total marketable securities
 
 
$
19,642

 
$
3,280

 
$
—

 
$
22,922

Available-for-sale Securities [Table Text Block] 
The following tables include cash equivalents and marketable securities accounted for as available for sale (“AFS”) securities (in millions):
 
December 31, 2015
 
 
 
 
 
 
 
 
 
 
 
Fair Value of Securities with
Contractual Maturities
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
 
Within 1 Year
 
After 1 Year through 5 Years
 
After 5 Years through 10 Years
Automotive
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. government
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

U.S. government agencies
—

 
—

 
—

 
—

 
—

 
—

 
—

Non-U.S. government and agencies
82

 
—

 
(12
)
 
70

 
—

 
70

 
—

Corporate debt
—

 
—

 
—

 
—

 
—

 
—

 
—

Total
$
82

 
$
—

 
$
(12
)
 
$
70

 
$
—

 
$
70

 
$
—

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2016
 
 
 
 
 
 
 
 
 
 
 
Fair Value of Securities with
Contractual Maturities
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized Losses
 
Fair Value
 
Within 1 Year
 
After 1 Year through 5 Years
 
After 5 Years through 10 Years
Automotive
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. government
$
3,703

 
$
2

 
$
(14
)
 
$
3,691

 
$
727

 
$
2,776

 
$
188

U.S. government agencies
308

 
—

 
(2
)
 
306

 
—

 
306

 
—

Non-U.S. government and agencies
1,443

 
1

 
(11
)
 
1,433

 
148

 
1,285

 
—

Corporate debt
1,079

 
—

 
—

 
1,079

 
1,031

 
48

 
—

Total
$
6,533

 
$
3

 
$
(27
)
 
$
6,509

 
$
1,906

 
$
4,415

 
$
188

Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Table Text Block] 
The following tables present fair values and gross unrealized losses for cash equivalents and marketable securities accounted for as AFS securities that were in an unrealized loss position, aggregated by investment category and the length of time that individual securities have been in a continuous loss position (in millions):
 
December 31, 2015
 
Less than 1 year
 
1 Year or Greater
 
Total
 
Fair Value
 
Unrealized Losses
 
Fair Value
 
Unrealized Losses
 
Fair Value
 
Unrealized Losses
 
 
 
 
 
 
 
 
 
 
 
 
Automotive
 
 
 
 
 
 
 
 
 
 
 
U.S. government
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

U.S. government agencies
—

 
—

 
—

 
—

 
—

 
—

Non-U.S. government and agencies
70

 
(12
)
 
—

 
—

 
70

 
(12
)
Corporate debt
—

 
—

 
—

 
—

 
—

 
—

Total
$
70

 
$
(12
)
 
$
—

 
$
—

 
$
70

 
$
(12
)
 
 

 
 
 
 
 
 
 
 
 
 
 
December 31, 2016
 
Less than 1 year
 
1 Year or Greater
 
Total
 
Fair Value
 
Unrealized Losses
 
Fair Value
 
Unrealized Losses
 
Fair Value
 
Unrealized Losses
Automotive
 
 
 
 
 
 
 
 
 
 
 
U.S. government
$
1,474

 
$
(14
)
 
$
—

 
$
—

 
$
1,474

 
$
(14
)
U.S. government agencies
261

 
(2
)
 
—

 
—

 
261

 
(2
)
Non-U.S. government and agencies
1,137

 
(11
)
 
—

 
—

 
1,137

 
(11
)
Corporate debt
—

 
—

 
—

 
—

 
—

 
—

Total
$
2,872

 
$
(27
)
 
$
—

 
$
—

 
$
2,872

 
$
(27
)
Financial Services Finance Receivables (Tables)
Net finance receivables [Table Text Block] 
Finance receivables, net at December 31 were as follows (in millions):
 
2015
 
2016
Consumer
 
 
 
Retail financing, gross
$
62,068

 
$
68,121

Unearned interest supplements
(2,119
)
 
(2,783
)
Consumer finance receivables
59,949

 
65,338

Non-Consumer
 

 
 

Dealer financing
31,115

 
31,336

Non-Consumer finance receivables
31,115

 
31,336

Total recorded investment
$
91,064

 
$
96,674

 
 
 
 
Recorded investment in finance receivables
$
91,064

 
$
96,674

Allowance for credit losses
(373
)
 
(484
)
Finance receivables, net (a)
$
90,691

 
$
96,190

 
 
 
 
Current portion
$
45,137

 
$
46,266

Non-current portion
45,554

 
49,924

Finance receivables, net
$
90,691

 
$
96,190

 
 
 
 
Net finance receivables subject to fair value (a)
$
88,876

 
$
94,066

Fair value
90,048

 
94,785

__________
(a)
At December 31, 2015 and 2016, Finance receivables, net includes $1.8 billion and $2.1 billion, respectively, of net investment in direct financing leases that are not subject to fair value disclosure requirements. The fair value of finance receivables is categorized within Level 3 of the fair value hierarchy.

Schedule of Financing Receivables, Minimum Payments [Table Text Block] 
Contractual maturities of total finance receivables outstanding at December 31, 2016 reflect contractual repayments due from customers or borrowers as follows (in millions):
 
Due in Year Ending December 31,
 
 
 
 
 
2017
 
2018
 
2019
 
Thereafter
 
Total
Consumer
 
 
 
 
 
 
 
 
 
Retail financing, gross (a)
$
19,460

 
$
17,550

 
$
14,185

 
$
16,926

 
$
68,121

 
 
 
 
 
 
 
 
 
 
Non-Consumer
 
 
 
 
 
 
 
 
 
Dealer financing
27,823

 
854

 
141

 
2,518

 
31,336

Total finance receivables
$
47,283

 
$
18,404

 
$
14,326

 
$
19,444

 
$
99,457


__________
(a)
Contractual maturities of retail financing, gross include $183 million of estimated unguaranteed residual values related to direct finance leases.

Aging analysis for total finance receivables [Text Block] 
The aging analysis of our finance receivables balances at December 31 was as follows (in millions):
 
2015
 
2016
Consumer
 
 
 
31-60 days past due
$
708

 
$
760

61-90 days past due
108

 
114

91-120 days past due
27

 
34

Greater than 120 days past due
38

 
39

Total past due
881

 
947

Current
59,068

 
64,391

Consumer finance receivables
59,949

 
65,338

 
 
 
 
Non-Consumer
 
 
 
Total past due
116

 
107

Current
30,999

 
31,229

Non-Consumer finance receivables
31,115

 
31,336

Total recorded investment
$
91,064

 
$
96,674

Financing receivable credit quality indicators [Table Text Block] 
The credit quality analysis of our dealer financing receivables at December 31 was as follows (in millions):
 
2015
 
2016
Dealer Financing
 
 
 
Group I
$
22,146

 
$
24,315

Group II
7,175

 
5,552

Group III
1,683

 
1,376

Group IV
111

 
93

Total recorded investment
$
31,115

 
$
31,336

Net Investment in Operating Leases (Tables)
Schedule of Property Subject to or Available for Operating Lease [Table Text Block] 
The net investment in operating leases at December 31 was as follows (in millions):
 
2015
 
2016
Automotive Segment
 
 
 
Vehicles, net of depreciation
$
2,014

 
$
1,620

Financial Services Segment
 
 
 
Vehicles and other equipment, at cost (a)
29,673

 
32,823

Accumulated depreciation
(4,545
)
 
(5,550
)
Allowance for credit losses
(49
)
 
(64
)
Total Financial Services Segment
25,079

 
27,209

Total
$
27,093

 
$
28,829

__________
(a)
Includes Ford Credit’s operating lease assets of $13.3 billion and $11.8 billion at December 31, 2015 and 2016, respectively, for which the related cash flows have been used to secure certain lease securitization transactions.  Cash flows associated with the net investment in operating leases are available only for payment of the debt or other obligations issued or arising in the securitization transactions; they are not available to pay other obligations or the claims of other creditors.
Schedule of Operating Lease Expense [Table Text Block] 
perating lease depreciation expense (which includes gains and losses on disposal of assets). Operating lease depreciation expense for the years ended December 31 was as follows (in millions):
 
2014
 
2015
 
2016
Operating lease depreciation expense
$
3,098

 
$
3,640

 
$
4,330

Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] 
The amounts contractually due for minimum rentals on operating leases at December 31, 2016 were as follows (in millions):
 
2017
 
2018
 
2019
 
2020
 
Thereafter
 
Total
Minimum rentals on operating leases
$
4,349

 
$
2,750

 
$
949

 
$
66

 
$
5

 
$
8,119

Financial Services Allowance for Credit Losses (Tables)
Allowance For Credit Losses on Financing And Loans And Leases Receivable [Table Text Block]
An analysis of the allowance for credit losses related to finance receivables for the years ended December 31 were as follows (in millions):
 
2015
 
Consumer
 
Non-Consumer
 
Total
Allowance for credit losses
 
 
 
 
 
Beginning balance
$
305

 
$
16

 
$
321

Charge-offs
(333
)
 
(3
)
 
(336
)
Recoveries
120

 
6

 
126

Provision for credit losses
276

 
(2
)
 
274

Other (a)
(11
)
 
(1
)
 
(12
)
Ending balance (b)
$
357

 
$
16

 
$
373

 
 
 
 
 
 
Analysis of ending balance of allowance for credit losses
 
 
 
 
Collective impairment allowance
$
338

 
$
12

 
$
350

Specific impairment allowance
19

 
4

 
23

Ending balance (b)
357

 
16

 
373

 
 
 
 
 
 
Analysis of ending balance of finance receivables 
 
 
 
 
Collectively evaluated for impairment
59,574

 
30,981

 
90,555

Specifically evaluated for impairment
375

 
134

 
509

Recorded investment
59,949

 
31,115

 
91,064

 
 
 
 
 
 
Ending balance, net of allowance for credit losses
$
59,592

 
$
31,099

 
$
90,691

__________
(a)
Primarily represents amounts related to translation adjustments.
(b)
Total allowance, including reserves for operating leases, was $422 million.
 
2016
 
Consumer
 
Non-Consumer
 
Total
Allowance for credit losses
 
 
 
 
 
Beginning balance
$
357

 
$
16

 
$
373

Charge-offs
(435
)
 
(8
)
 
(443
)
Recoveries
116

 
6

 
122

Provision for credit losses
436

 
2

 
438

Other (a)
(5
)
 
(1
)
 
(6
)
Ending balance (b)
$
469

 
$
15

 
$
484

 
 
 
 
 
 
Analysis of ending balance of allowance for credit losses
 
 

 
 

Collective impairment allowance
$
450

 
$
13

 
$
463

Specific impairment allowance
19

 
2

 
21

Ending balance (b)
469

 
15

 
484

 
 
 
 
 
 
Analysis of ending balance of finance receivables
 
 

 
 

Collectively evaluated for impairment
64,971

 
31,229

 
96,200

Specifically evaluated for impairment
367

 
107

 
474

Recorded investment
65,338

 
31,336

 
96,674

 
 
 
 
 
 
Ending balance, net of allowance for credit losses
$
64,869

 
$
31,321

 
$
96,190

__________
(a)
Primarily represents amounts related to translation adjustments.
(b)
Total allowance, including reserves for operating leases, was $548 million.
Inventories (Tables)
Schedule of Inventory [Table Text Block]
Inventories at December 31 were as follows (in millions):
 
2015
 
2016
Raw materials, work-in-process, and supplies
$
4,005

 
$
3,843

Finished products
5,254

 
5,943

Total inventories under FIFO
9,259

 
9,786

LIFO adjustment
(940
)
 
(888
)
Total inventories
$
8,319

 
$
8,898

Equity in Net Assets of Affiliated Companies (Tables)
Schedule of Equity Method Investments [Table Text Block] 
Our ownership percentages and carrying value of our equity method investments at December 31 were as follows
(in millions, except percentages):
 
Investment Balance
 
Ownership Percentage
 
2015
 
2016
 
2016
Changan Ford Automobile Corporation, Limited
$
1,307

 
$
1,315

 
50.0
%
Jiangling Motors Corporation, Limited
636

 
623

 
32.0

AutoAlliance (Thailand) Co., Ltd.
429

 
476

 
50.0

Ford Otomotiv Sanayi Anonim Sirketi
352

 
306

 
41.0

Getrag Ford Transmissions GmbH
182

 
194

 
50.0

Changan Ford Mazda Engine Company, Ltd.
77

 
80

 
25.0

Velodyne LiDAR, Inc.
—

 
75

 
9.3

Forso Nordic AB
66

 
68

 
50.0

FFS Finance South Africa (Pty) Limited
48

 
59

 
50.0

DealerDirect LLC
30

 
27

 
97.7

RouteOne LLC
15

 
20

 
30.0

ZoomCar, Inc.
—

 
15

 
17.2

Automotive Fuel Cell Cooperation Corporation
8

 
9

 
49.9

Thirdware Solutions Limited
9

 
9

 
20.0

Percepta, LLC
9

 
8

 
45.0

CNF-Administradora de Consorcio Nacional Ltda.
4

 
6

 
33.3

U.S. Council for Automotive Research LLC
5

 
5

 
33.3

Chongqing ANTE Trading Co., Ltd.
4

 
4

 
10.0

Blue Diamond Parts, LLC
3

 
3

 
25.0

Crash Avoidance Metrics Partnership LLC
4

 
2

 
50.0

OEConnection LLC (a)
36

 
—

 
—

ZF Transmission Tech, LLC
—

 
—

 
49.0

Total
$
3,224

 
$
3,304

 
 
__________
(a)
OEConnection LLC became a cost method investment following a partial sale in 2016.

NOTE 10.  EQUITY IN NET ASSETS OF AFFILIATED COMPANIES (Continued)

We received $1.5 billion, $1.5 billion, and $1.6 billion of dividends from these affiliated companies for the years ended December 31, 2014, 2015, and 2016, respectively.

A summary of the total financial results, as reported by our equity method investees, in the aggregate at December 31 was as follows (in millions):
Summarized Balance Sheet
2015
 
2016
Current assets
$
10,400

 
$
10,368

Non-current assets
9,687

 
9,956

Total assets
$
20,087

 
$
20,324

 
 
 
 
Current liabilities
$
10,863

 
$
10,690

Non-current liabilities
2,608

 
2,934

Total liabilities
$
13,471

 
$
13,624

 
 
 
 
Equity attributable to noncontrolling interests
$
8

 
$
14

 
 
 
 
 
 
 
For the years ended December 31,
Summarized Income Statement
2014
 
2015
 
2016
Total revenue
$
40,658

 
$
35,623

 
$
36,992

Income before income taxes
3,985

 
4,525

 
4,401

Net income
3,510

 
3,894

 
3,747



Schedule of Related Party Transactions [Table Text Block] 
Transactions with equity method investees reported on our consolidated income statement and balance sheet at December 31 were as follows (in millions):
 
For the years ended December 31,
Income Statement
2014
 
2015
 
2016
Sales
$
5,208

 
$
4,426

 
$
4,367

Purchases
9,430

 
7,780

 
8,665

Royalty income
500

 
610

 
649


Balance Sheet
2015
 
2016
Receivables
$
870

 
$
722

Payables
671

 
603

Net Property and Lease Commitments (Tables)
Property, Plant and Equipment [Table Text Block] 
Net property at December 31 was as follows (in millions):
 
2015
 
2016
Land
$
344

 
$
391

Buildings and land improvements
9,983

 
10,308

Machinery, equipment, and other
33,191

 
34,149

Software
2,598

 
2,803

Construction in progress
1,804

 
2,170

Total land, plant and equipment, and other
47,920

 
49,821

Accumulated depreciation
(27,803
)
 
(27,804
)
Net land, plant and equipment, and other
20,117

 
22,017

Tooling, net of amortization
10,046

 
10,055

Total
$
30,163

 
$
32,072


Property-related expenses excluding net investment in operating leases for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Depreciation and other amortization
$
2,127

 
$
2,049

 
$
2,130

Tooling amortization
2,160

 
2,304

 
2,563

Total
$
4,287

 
$
4,353

 
$
4,693

 
 
 
 
 
 
Maintenance and rearrangement
$
1,543

 
$
1,656

 
$
1,801

Schedule of Change in Asset Retirement Obligation [Table Text Block] 
Estimates of the fair value liabilities for our conditional asset retirement obligations that are recorded in Other liabilities and deferred revenue in the non-current liabilities section of our consolidated balance sheet at December 31 were as follows (in millions):
 
2015
 
2016
Beginning balance
$
228

 
$
216

Liabilities settled
(6
)
 
(2
)
Revisions to estimates
(6
)
 
(28
)
Ending balance
$
216

 
$
186

Operating Leases of Lessee Disclosure [Table Text Block] 
Minimum non-cancellable operating lease commitments at December 31, 2016 were as follows (in millions):
 
Operating Lease Commitments
2017
$
342

2018
275

2019
202

2020
137

2021
88

Thereafter
340

Total
$
1,384



Operating lease expense for the years ended December 31 was as follows (in millions):
 
Operating Lease
Expense
2014
$
524

2015
460

2016
474

Other Liabilities and Deferred Revenue (Tables)
Schedule of Accrued Liabilities and Deferred Revenue [Table Text Block]
Other liabilities and deferred revenue at December 31 were as follows (in millions):
 
2015
 
2016
Current
 
 
 
Dealer and dealers’ customer allowances and claims
$
8,122

 
$
9,542

Deferred revenue
4,675

 
3,866

Employee benefit plans
1,562

 
1,469

Accrued interest
840

 
974

OPEB
354

 
349

Pension
249

 
247

Other
3,287

 
2,869

Total current other liabilities and deferred revenue
$
19,089

 
$
19,316

Non-current
 

 
 

Pension
$
9,543

 
$
10,150

OPEB
5,347

 
5,516

Dealer and dealers’ customer allowances and claims
2,731

 
2,564

Deferred revenue
3,285

 
3,687

Employee benefit plans
1,041

 
1,063

Other
1,510

 
1,415

Total non-current other liabilities and deferred revenue
$
23,457

 
$
24,395

Retirement Benefits (Tables)
Schedule of Assumptions Used [Table Text Block] 
The assumptions used to determine benefit obligation and net periodic benefit cost were as follows:
 
Pension Benefits
 
 
 
 
 
U.S. Plans
 
Non-U.S. Plans
 
Worldwide OPEB
 
2015
 
2016
 
2015
 
2016
 
2015
 
2016
Weighted Average Assumptions at December 31
 
 
 
 
 
 
 
 
 
 
 
Discount rate
4.27
%
 
4.03
%
 
3.20
%
 
2.44
%
 
4.23
%
 
4.00
%
Average rate of increase in compensation
3.80

 
3.50

 
3.40

 
3.38

 
3.81

 
3.51

Weighted Average Assumptions Used to Determine Net Benefit Cost for the Year Ended December 31
 
 
 
 
 

 
 

 
 

 
 

Discount rate - Service Cost
3.94
%
 
4.60
%
 
3.06
%
 
3.36
%
 
3.93
%
 
4.53
%
Effective interest rate on benefit obligation
3.94

 
3.46

 
3.06

 
2.72

 
3.93

 
3.48

Expected long-term rate of return on assets
6.75

 
6.75

 
6.11

 
5.56

 
—

 
—

Average rate of increase in compensation
3.80

 
3.80

 
3.40

 
3.40

 
3.76

 
3.81

Schedule of defined benefit plans expense [Table Text Block] 
The pre-tax net periodic benefit cost for our defined benefit pension and OPEB plans for the years ended December 31 was as follows (in millions):
 
Pension Benefits
 
 
 
 
 
 
 
U.S. Plans
 
Non-U.S. Plans
 
Worldwide OPEB
 
2014
 
2015
 
2016
 
2014
 
2015
 
2016
 
2014
 
2015
 
2016
Service cost
$
507

 
$
586

 
$
510

 
$
468

 
$
532

 
$
483

 
$
54

 
$
60

 
$
49

Interest cost
1,992

 
1,817

 
1,524

 
1,189

 
936

 
782

 
269

 
236

 
194

Expected return on assets
(2,735
)
 
(2,928
)
 
(2,693
)
 
(1,534
)
 
(1,480
)
 
(1,339
)
 
—

 
—

 
—

Amortization of prior service costs/(credits)
155

 
155

 
170

 
55

 
47

 
38

 
(229
)
 
(204
)
 
(142
)
Net remeasurement (gain)/loss
641

 
1,964

 
900

 
2,801

 
(974
)
 
1,876

 
681

 
(292
)
 
220

Separation programs/other
19

 
17

 
12

 
83

 
39

 
81

 
—

 
1

 
—

Settlements and curtailments
—

 
—

 
—

 
13

 
—

 
2

 
—

 
—

 
—

Net periodic benefit cost/(income)
$
579

 
$
1,611

 
$
423

 
$
3,075

 
$
(900
)
 
$
1,923

 
$
775

 
$
(199
)
 
$
321

Schedule Of Defined Benefit Plan Obligations [Table Text Block] 
The year-end status of these plans was as follows (in millions):
 
 
Pension Benefits
 
 
 
 
 
 
U.S. Plans
 
Non-U.S. Plans
 
Worldwide OPEB
 
 
2015
 
2016
 
2015
 
2016
 
2015
 
2016
Change in Benefit Obligation
 
 
 
 
 
 
 
 
 
 
 
 
Benefit obligation at January 1
 
$
47,103

 
$
44,936

 
$
33,223

 
$
29,639

 
$
6,375

 
$
5,701

Service cost
 
586

 
510

 
532

 
483

 
60

 
49

Interest cost
 
1,817

 
1,524

 
936

 
782

 
236

 
194

Amendments
 
99

 
—

 
4

 
—

 
1

 
14

Separation programs and other
 
(27
)
 
(30
)
 
40

 
71

 
1

 
—

Curtailments
 
—

 
—

 
—

 
2

 
—

 
—

Settlements
 
—

 
—

 
(29
)
 
(131
)
 
—

 
—

Plan participant contributions
 
26

 
27

 
24

 
22

 
23

 
20

Benefits paid
 
(2,949
)
 
(2,966
)
 
(1,350
)
 
(1,252
)
 
(402
)
 
(382
)
Foreign exchange translation
 
—

 
—

 
(2,995
)
 
(2,576
)
 
(301
)
 
49

Actuarial (gain)/loss
 
(1,719
)
 
1,745

 
(746
)
 
3,584

 
(292
)
 
220

Benefit obligation at December 31
 
44,936

 
45,746

 
29,639

 
30,624

 
5,701

 
5,865

Change in Plan Assets
 
 

 
 

 
 

 
 

 
 

 
 

Fair value of plan assets at January 1
 
44,844

 
41,252

 
25,675

 
25,141

 
—

 
—

Actual return on plan assets
 
(755
)
 
3,538

 
1,722

 
3,041

 
—

 
—

Company contributions
 
130

 
130

 
1,345

 
1,346

 
—

 
—

Plan participant contributions
 
26

 
27

 
24

 
22

 
—

 
—

Benefits paid
 
(2,949
)
 
(2,966
)
 
(1,350
)
 
(1,252
)
 
—

 
—

Settlements
 
—

 
—

 
(29
)
 
(131
)
 
—

 
—

Foreign exchange translation
 
—

 
—

 
(2,238
)
 
(2,612
)
 
—

 
—

Other
 
(44
)
 
(42
)
 
(8
)
 
(6
)
 
—

 
—

Fair value of plan assets at December 31
 
41,252

 
41,939

 
25,141

 
25,549

 
—

 
—

Funded status at December 31
 
$
(3,684
)
 
$
(3,807
)
 
$
(4,498
)
 
$
(5,075
)
 
$
(5,701
)
 
$
(5,865
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Amounts Recognized on the Balance Sheet
 
 

 
 

 
 

 
 

 
 

 
 

Prepaid assets
 
$
—

 
$
—

 
$
1,611

 
$
1,515

 
$
—

 
$
—

Other liabilities
 
(3,684
)
 
(3,807
)
 
(6,109
)
 
(6,590
)
 
(5,701
)
 
(5,865
)
Total
 
$
(3,684
)
 
$
(3,807
)
 
$
(4,498
)
 
$
(5,075
)
 
$
(5,701
)
 
$
(5,865
)
Amounts Recognized in Accumulated Other Comprehensive Loss (pre-tax)
 
 

 
 

 
 

 
 

 
 

 
 

Unamortized prior service costs/(credits)
 
$
553

 
$
383

 
$
278

 
$
213

 
$
(475
)
 
$
(322
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Pension Plans in which Accumulated Benefit Obligation Exceeds Plan Assets at December 31
 
 

 
 

 
 

 
 

 
 

 
 

Accumulated benefit obligation
 
$
26,021

 
$
26,170

 
$
9,634

 
$
10,039

 
 

 
 

Fair value of plan assets
 
22,967

 
23,204

 
4,636

 
4,700

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
Accumulated Benefit Obligation at December 31
 
$
43,698

 
$
44,513

 
$
26,835

 
$
27,166

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
 
 
Pension Plans in which Projected Benefit Obligation Exceeds Plan Assets at December 31
 
 
 
 
 
 
 
 
 
 
 
 
Projected benefit obligation
 
$
44,936

 
$
45,746

 
$
11,238

 
$
11,703

 
 
 
 
Fair value of plan assets
 
41,252

 
41,939

 
5,129

 
5,113

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Projected Benefit Obligation at December 31
 
$
44,936

 
$
45,746

 
$
29,639

 
$
30,624

 
 
 
 
Schedule of Expected Benefit Payments [Table Text Block] 
The expected future benefit payments were as follows (in millions):
 
 
Benefit Payments
 
 
Pension
 
 
 
 
U.S. Plans
 
Non-U.S.
Plans
 
Worldwide
OPEB
2017
 
$
3,030

 
$
1,170

 
$
350

2018
 
3,020

 
1,080

 
350

2019
 
2,980

 
1,100

 
350

2020
 
2,970

 
1,120

 
340

2021
 
2,950

 
1,130

 
340

2022-2026
 
14,750

 
5,980

 
1,710

Schedule of Allocation of Plan Assets [Table Text Block] 
The fair value of our defined benefit pension plan assets (including dividends and interest receivables of $363 million and $94 million for U.S. and non-U.S. plans, respectively) by asset category at December 31 was as follows (in millions):
 
2015
 
U.S. Plans
 
Non-U.S. Plans
 
Level 1
 
Level 2
 
Level 3
 
Assets measured at NAV (a)
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Assets measured at NAV (a)
 
Total
Asset Category
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. companies
$
1,935

 
$
4

 
$
—

 
$
—

 
$
1,939

 
$
1,647

 
$
1

 
$
—

 
$
86

 
$
1,734

International companies
1,082

 
10

 
1

 
7

 
1,100

 
1,290

 
292

 
1

 
29

 
1,612

Total equity
3,017

 
14

 
1

 
7

 
3,039

 
2,937

 
293

 
1

 
115

 
3,346

Fixed Income
 

 
 

 
 

 
 
 
 

 
 
 
 
 
 
 
 
 
 
U.S. government
5,209

 
—

 
—

 
—

 
5,209

 
138

 
—

 
—

 
—

 
138

U.S. government-sponsored enterprises
—

 
3,106

 
—

 
—

 
3,106

 
—

 
10

 
—

 
—

 
10

Non-U.S. government
—

 
1,588

 
—

 
—

 
1,588

 
—

 
10,650

 
—

 
—

 
10,650

Corporate bonds (b)
 

 
 

 
 

 
 
 
 

 
 

 
 

 
 

 
 
 


Investment grade
—

 
18,687

 
—

 
—

 
18,687

 
—

 
2,027

 
—

 
—

 
2,027

High yield
—

 
1,576

 
9

 
—

 
1,585

 
—

 
539

 
—

 
—

 
539

Other credit
—

 
412

 
—

 
—

 
412

 
—

 
65

 
—

 
—

 
65

Mortgage/other asset-backed
—

 
1,101

 
12

 
—

 
1,113

 
—

 
292

 
—

 
—

 
292

Commingled funds
—

 
—

 
—

 
174

 
174

 
—

 
—

 
—

 
379

 
379

Derivative financial instruments, net
22

 
(231
)
 
—

 
—

 
(209
)
 
1

 
(130
)
 
—

 
—

 
(129
)
Total fixed income
5,231

 
26,239

 
21

 
174

 
31,665

 
139

 
13,453

 
—

 
379

 
13,971

Alternatives
 

 
 

 
 

 
 
 
 

 
 
 
 
 
 
 
 
 
 
Hedge funds
—

 
175

 
—

 
2,548

 
2,723

 
—

 
108

 
—

 
1,762

 
1,870

Private equity
—

 
—

 
—

 
2,745

 
2,745

 
—

 
—

 
—

 
633

 
633

Real estate
—

 
20

 
—

 
963

 
983

 
—

 
1

 
—

 
681

 
682

Total alternatives
—

 
195

 
—

 
6,256

 
6,451

 
—

 
109

 
—

 
3,076

 
3,185

Cash and cash equivalents (c)
221

 
1,103

 
—

 
—

 
1,324

 
—

 
556

 
—

 
—

 
556

Other (d)
—

 
(1,227
)
 
—

 
—

 
(1,227
)
 
—

 
(1,173
)
 
5,256

 
—

 
4,083

Total assets at fair value
$
8,469

 
$
26,324

 
$
22

 
$
6,437

 
$
41,252

 
$
3,076

 
$
13,238

 
$
5,257

 
$
3,570

 
$
25,141

_______
(a)
Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
(b)
“Investment grade” bonds are those rated Baa3/BBB- or higher by at least two rating agencies; “High yield” bonds are those rated below investment grade; “Other credit” refers to non-rated bonds.
(c)
Primarily short-term investment funds to provide liquidity to plan investment managers and cash held to pay benefits.
(d)
For U.S. plans, primarily cash related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales). For non-U.S plans, primarily Ford-Werke, plan assets (insurance contract valued at $4.4 billion at year-end 2015) and cash related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales).
NOTE 13.  RETIREMENT BENEFITS (Continued)

The fair value of our defined benefit pension plan assets (including dividends and interest receivables of $345 million and $93 million for U.S. and non-U.S. plans, respectively) by asset category at December 31 was as follows (in millions):
 
2016
 
U.S. Plans
 
Non-U.S.Plans
 
Level 1
 
Level 2
 
Level 3
 
Assets measured at NAV (a)
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Assets measured at NAV (a)
 
Total
Asset Category
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
U.S. companies
$
2,353

 
$
6

 
$
—

 
$
—

 
$
2,359

 
$
1,614

 
$
93

 
$
—

 
$
—

 
$
1,707

International companies
1,457

 
19

 
1

 
7

 
1,484

 
1,278

 
360

 
—

 
—

 
1,638

Total equity
3,810

 
25

 
1

 
7

 
3,843

 
2,892

 
453

 
—

 
—

 
3,345

Fixed Income
 

 
 

 
 

 
 
 
 

 
 
 
 
 
 
 
 
 
 

U.S. government
5,157

 
—

 
—

 
—

 
5,157

 
433

 
—

 
—

 
—

 
433

U.S. government-sponsored enterprises
—

 
3,030

 
—

 
—

 
3,030

 
—

 
57

 
—

 
—

 
57

Non-U.S. government
—

 
1,343

 
—

 
—

 
1,343

 
—

 
11,171

 
—

 
—

 
11,171

Corporate bonds (b)
 

 
 

 
 

 
 
 
 
 
 

 
 

 
 

 
 
 
 
Investment grade
—

 
8,922

 
—

 
—

 
8,922

 
—

 
1,014

 
—

 
—

 
1,014

High yield
—

 
11,512

 
13

 
—

 
11,525

 
—

 
1,338

 
—

 
—

 
1,338

Other credit
—

 
203

 
—

 
—

 
203

 
—

 
—

 
—

 
—

 
—

Mortgage/other asset-backed
—

 
855

 
—

 
—

 
855

 
—

 
242

 
—

 
—

 
242

Commingled funds
—

 
—

 
—

 
153

 
153

 
—

 
379

 
—

 
—

 
379

Derivative financial instruments, net
27

 
(213
)
 
—

 
—

 
(186
)
 
5

 
28

 
—

 
—

 
33

Total fixed income
5,184

 
25,652

 
13

 
153

 
31,002

 
438

 
14,229

 
—

 
—

 
14,667

Alternatives
 

 
 

 
 

 
 
 
 

 
 
 
 
 
 
 
 
 
 

Hedge funds
—

 
158

 
—

 
2,802

 
2,960

 
—

 
215

 
—

 
1,383

 
1,598

Private equity
—

 
—

 
—

 
2,548

 
2,548

 
—

 
—

 
—

 
679

 
679

Real estate
—

 
—

 
—

 
1,135

 
1,135

 
—

 
(2
)
 
—

 
485

 
483

Total alternatives
—

 
158

 
—

 
6,485

 
6,643

 
—


213


—


2,547

 
2,760

Cash and cash equivalents (c)
218

 
1,385

 
—

 
—

 
1,603

 
—

 
97

 
—

 
—

 
97

Other (d)
—

 
(1,152
)
 
—

 
—

 
(1,152
)
 
—

 
(572
)
 
5,252

 
—

 
4,680

Total assets at fair value
$
9,212

 
$
26,068

 
$
14

 
$
6,645

 
$
41,939

 
$
3,330

 
$
14,420

 
$
5,252

 
$
2,547

 
$
25,549

_______
(a)
Certain assets that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy.
(b)
“Investment grade” bonds are those rated Baa3/BBB- or higher by at least two rating agencies; “High yield” bonds are those rated below investment grade; “Other credit” refers to non-rated bonds.
(c)
Primarily short-term investment funds to provide liquidity to plan investment managers and cash held to pay benefits.
(d)
For U.S. plans, primarily cash related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales). For non-U.S plans, primarily Ford-Werke, plan assets (insurance contract valued at $4.5 billion at year-end 2016) and cash related to net pending security (purchases)/sales and net pending foreign currency purchases/(sales).
Schedule of Changes in Fair Value of Plan Assets [Table Text Block] 
The following table summarizes the changes in Level 3 defined benefit pension plan assets measured at fair value on a recurring basis for the years ended December 31 (in millions):
 
2015
 
 
Return on plan assets
 
 
 
 
 
 
 
Fair
Value
at
January 1
 
Attributable
to Assets
Held
at
December 31
 
Attributable
to
Assets
Sold
 
Net Purchases/
(Settlements)
 
Transfers Into/ (Out of) Level 3
 
Fair
Value
at
December 31
U.S. Plans
$
48

 
$
(9
)
 
$
—

 
$
(4
)
 
$
(13
)
 
$
22

Non-U.S. Plans (a)
4,725

 
531


—


—


1


5,257

 
 
 
 
 
 
 
 
 
 
 
 
 
2016
 
 
Return on plan assets
 
 
 
 
 
 
 
Fair
Value
at
January 1
 
Attributable
to Assets
Held
at
December 31
 
Attributable
to
Assets
Sold
 
Net Purchases/
(Settlements)
 
Transfers Into/ (Out of) Level 3
 
Fair
Value
at
December 31
U.S. Plans
$
22

 
$
5

 
$
—

 
$
(13
)
 
$
—

 
$
14

Non-U.S. Plans (a)
5,257

 
(5
)
 
—

 
—

 
—

 
5,252

_______
(a)
Primarily Ford-Werke plan assets (insurance contract valued at $4.4 billion and $4.5 billion at year-end 2015 and 2016, respectively). Return on plan assets attributable to assets held at December 31, 2015 reflects a change in valuation technique (totaling $725 million) noted in the alternative assets section of the pension plan asset information.

Debt And Commitments (Tables)
Schedule of debt outstanding [Table Text Block] 
The carrying value of Automotive and Financial Services debt at December 31 was as follows (in millions):
 
 
 
 
 
Interest Rates
 
 
 
 
 
 
Average Contractual
 
 Average Effective (a)
 
Automotive Segment
2015
 
2016
 
2015
 
2016
 
2015
 
2016
 
Debt payable within one year
 
 
 
 
 
 
 
 
 
 
 
 
Short-term
$
818

 
$
1,324

 
7.3
%
 
10.3
%
 
7.3
%
 
10.3
%
 
Long-term payable within one year
 

 
 

 
 
 
 
 
 
 
 
 
U.S. Department of Energy (“DOE”) Advanced Technology Vehicles Manufacturing (“ATVM”) Incentive Program
591

 
591

 
 
 
 
 
 
 
 
 
Other debt
370

 
827

 
 
 
 
 
 
 
 
 
Unamortized (discount)/premium
—

 
(57
)
 
 
 
 
 
 
 
 
 
Total debt payable within one year
1,779

 
2,685

 
 
 
 
 
 
 
 
 
Long-term debt payable after one year
 

 
 

 
 
 
 
 
 
 
 
 
Public unsecured debt securities
6,594

 
9,394

 
 
 
 
 
 
 
 
 
DOE ATVM Incentive Program
3,242

 
2,651

 
 
 
 
 
 
 
 
 
Other debt
1,696

 
1,573

 
 
 
 
 
 
 
 
 
Adjustments
 
 
 
 
 
 
 
 
 
 
 
 
Unamortized (discount)/premium
(412
)
 
(320
)
 
 
 
 
 
 
 
 
 
Unamortized issuance costs
(60
)
 
(76
)
 
 
 
 
 
 
 
 
 
Total long-term debt payable after one year
11,060

 
13,222

 
5.3
%
(b)
5.5
%
(b)
6.0
%
(b)
6.2
%
(b)
Total Automotive Segment
$
12,839

 
$
15,907

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of Automotive Segment debt (c)
$
14,199

 
$
17,433

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Financial Services Segment
 

 
 

 
 
 
 
 
 
 
 
 
Debt payable within one year
 

 
 

 
 
 
 
 
 
 
 
 
Short-term
$
12,123

 
$
15,330

 
1.6
%
 
2.3
%
 
1.6
%
 
2.3
%
 
Long-term payable within one year
 

 
 

 
 
 
 
 
 
 
 
 
Unsecured debt
10,241

 
12,369

 
 
 
 
 
 
 
 
 
Asset-backed debt
18,855

 
19,286

 
 
 
 
 
 
 
 
 
Adjustments
 
 
 
 
 
 
 
 
 
 
 
 
Unamortized (discount)/premium
(5
)
 
(2
)
 
 
 
 
 
 
 
 
 
Unamortized issuance costs
(18
)
 
(16
)
 
 
 
 
 
 
 
 
 
Fair value adjustments (d)
—

 
17

 
 
 
 
 
 
 
 
 
Total debt payable within one year
41,196

 
46,984

 
 
 
 
 
 
 
 
 
Long-term debt payable after one year
 
 
 
 
 
 
 
 
 
 
 
 
Unsecured debt
49,193

 
49,912

 
 
 
 
 
 
 
 
 
Asset-backed debt
29,390

 
30,112

 
 
 
 
 
 
 
 
 
Adjustments
 
 
 
 
 
 
 
 
 
 
 
 
Unamortized (discount)/premium
(24
)
 
(9
)
 
 
 
 
 
 
 
 
 
Unamortized issuance costs
(198
)
 
(197
)
 
 
 
 
 
 
 
 
 
Fair value adjustments (d)
458

 
261

 
 
 
 
 
 
 
 
 
Total long-term debt payable after one year
78,819

 
80,079

 
2.3
%
(b)
2.4
%
(b)
2.4
%
(b)
2.5
%
(b)
Total Financial Services Segment
$
120,015

 
$
127,063

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of Financial Services Segment debt (c)
$
121,170

 
$
128,777

 
 
 
 
 
 
 
 
 
__________
(a)
Average effective rates reflect the average contractual interest rate plus amortization of discounts, premiums, and issuance costs.
(b)
Includes interest on long-term debt payable within one year and after one year.
(c)
The fair value of debt includes $560 million and $1.1 billion of Automotive short-term debt and $10.3 billion and $14.3 billion of Financial Services short-term debt at December 31, 2015 and 2016, respectively, carried at cost which approximates fair value. All debt is categorized within Level 2 of the fair value hierarchy.
(d)
Adjustments related to designated fair value hedges of unsecured debt.
Our public, unsecured debt securities outstanding at December 31 were as follows (in millions):
 
Aggregate Principal Amount Outstanding
Title of Security
2015
 
2016
6 1/2% Debentures due August 1, 2018
$
361

 
$
361

8 7/8% Debentures due January 15, 2022
86

 
86

7 1/8% Debentures due November 15, 2025
209

 
209

7 1/2% Debentures due August 1, 2026
193

 
193

6 5/8% Debentures due February 15, 2028
104

 
104

6 5/8% Debentures due October 1, 2028 (a) 
638

 
638

6 3/8% Debentures due February 1, 2029 (a) 
260

 
260

7.45% GLOBLS due July 16, 2031 (a) 
1,794

 
1,794

8.900% Debentures due January 15, 2032
151

 
151

9.95% Debentures due February 15, 2032
4

 
4

7.75% Debentures due June 15, 2043
73

 
73

7.40% Debentures due November 1, 2046
398

 
398

9.980% Debentures due February 15, 2047
181

 
181

7.70% Debentures due May 15, 2097
142

 
142

4.346% Notes due December 8, 2026
—

 
1,500

5.291% Notes due December 8, 2046
—

 
1,300

4.75% Notes due January 15, 2043
2,000

 
2,000

Total public unsecured debt securities (b)
$
6,594


$
9,394

__________
(a)
Listed on the Luxembourg Exchange and on the Singapore Exchange.
(b)
Excludes 9.215% Debentures due September 15, 2021 with an outstanding balance at December 31, 2016 of $180 million. The proceeds from these securities were on-lent by Ford to Ford Holdings to fund Financial Services activity and are reported as Financial Services long-term debt.
Schedule of Maturities of Long-term Debt [Table Text Block] 
Debt maturities at December 31, 2016 were as follows (in millions):
 
2017
 
2018
 
2019
 
2020
 
2021
 
Thereafter
 
Adjustments
 
Total Debt Maturities
Automotive Segment
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Public unsecured debt securities
$
—

 
$
361

 
$
—

 
$
—

 
$
—

 
$
9,033

 
$
(211
)
 
$
9,183

DOE ATVM Incentive Program
591

 
591

 
591

 
591

 
591

 
287

 
—

 
3,242

Short-term and other debt (a)
2,151

 
558

 
240

 
362

 
153

 
260

 
(242
)
 
3,482

Total
$
2,742

 
$
1,510

 
$
831

 
$
953

 
$
744

 
$
9,580

 
$
(453
)
 
$
15,907

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Financial Services Segment
 

 
 

 
 

 
 

 
 

 
 

 
 
 
 

Unsecured debt
$
26,636

 
$
12,374

 
$
11,135

 
$
6,972

 
$
9,305

 
$
10,126

 
$
116

 
$
76,664

Asset-backed debt
20,349

 
12,129

 
9,725

 
4,909

 
2,299

 
1,050

 
(62
)
 
50,399

Total
$
46,985

 
$
24,503

 
$
20,860

 
$
11,881

 
$
11,604

 
$
11,176

 
$
54

 
$
127,063

__________
(a)
Primarily non-U.S. affiliate debt.

Assets And Liabilities Related To Secured Debt Arrangements Disclosure Text Block 
The assets and liabilities related to our asset-backed debt arrangements included on our financial statements at December 31 were as follows (in billions):
 
2015
 
2016
Assets
 
 
 
Cash and cash equivalents
$
4.3

 
$
3.4

Finance receivables, net
53.6

 
58.3

Net investment in operating leases
13.3

 
11.8

 
 
 
 
Liabilities
 
 
 
Debt (a)
$
50.0

 
$
50.4


__________
(a)
Debt is net of unamortized discount and issuance costs.
Derivative Financial Instruments and Hedging Activities (Tables)
Income Effect of Derivative Instruments [Table Text Block] 
The gains/(losses), by hedge designation, recorded in income for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Cash flow hedges (a)
 
 
 
 
 
Reclassified from AOCI to net income
$
78

 
$
(239
)
 
$
537

Fair value hedges
 
 
 
 
 
Interest rate contracts
 
 
 
 
 
Net interest settlements and accruals excluded from the assessment of hedge effectiveness
304

 
370

 
367

Ineffectiveness (b)
20

 
3

 
4

Derivatives not designated as hedging instruments
 
 
 
 
 
Foreign currency exchange contracts
261

 
425

 
257

Cross-currency interest rate swap contracts
161

 
100

 
398

Interest rate contracts
(41
)
 
(58
)
 
(9
)
Commodity contracts
(47
)
 
(64
)
 
7

Total
$
736

 
$
537

 
$
1,561

__________
(a)
For 2014, 2015, and 2016 a $271 million loss, a $123 million gain, and a $770 million gain, respectively, were recorded in Other comprehensive income/(loss), net of tax.
(b)
For 2014, 2015, and 2016, hedge ineffectiveness reflects the net change in fair value on derivatives of $407 million gain, $72 million gain, and $120 million loss, respectively, and change in value on hedged debt attributable to the change in benchmark interest rates of $387 million loss, $69 million loss, and $124 million gain, respectively.
Balance Sheet Effect of Derivative Instruments [Table Text Block] 
The fair value of our derivative instruments and the associated notional amounts, presented gross, at December 31 were as follows (in millions):
 
2015
 
2016
 
Notional
 
Fair Value of
Assets
 
Fair Value of
Liabilities
 
Notional
 
Fair Value of
Assets
 
Fair Value of
Liabilities
Cash flow hedges
 
 
 
 
 
 
 
 
 
 
 
Foreign currency exchange and commodity contracts
$
12,593

 
$
522

 
$
366

 
$
19,091

 
$
620

 
$
257

Fair value hedges
 

 
 

 
 

 
 
 
 
 
 
Interest rate contracts
28,964

 
670

 
16

 
33,175

 
487

 
80

Derivatives not designated as hedging instruments
 
 
 
 
 
 
 
 
 
 
Foreign currency exchange contracts
21,108

 
426

 
242

 
17,227

 
379

 
194

Cross-currency interest rate swap contracts
3,137

 
73

 
111

 
3,201

 
242

 
8

Interest rate contracts
62,638

 
159

 
112

 
61,689

 
156

 
74

Commodity contracts
643

 
2

 
26

 
531

 
11

 
6

Total derivative financial instruments, gross (a) (b)
$
129,083

 
$
1,852

 
$
873

 
$
134,914

 
$
1,895

 
$
619

 
 
 
 
 
 
 
 
 
 
 
 
Current portion
 
 
$
1,209

 
$
692

 
 
 
$
1,108

 
$
371

Non-current portion
 
 
643

 
181

 
 
 
787

 
248

Total derivative financial instruments, gross
 
 
$
1,852

 
$
873

 
 
 
$
1,895

 
$
619

__________
(a)
At December 31, 2015, and 2016, the net obligation to return cash collateral was $0 and $3 million, respectively.
(b)
At December 31, 2015, and 2016, the fair value of assets and liabilities available for counterparty netting was $733 million and $554 million, respectively. All derivatives are categorized within Level 2 of the fair value hierarchy.
Accumulated Other Comprehensive Income/(Loss) (Tables)
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]
The changes in the balances for each component of accumulated other comprehensive income/(loss) attributable to Ford Motor Company for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Foreign currency translation
 
 
 
 
 
Beginning balance
$
(2,402
)
 
$
(2,438
)
 
$
(3,570
)
Gains/(Losses) on foreign currency translation
(206
)
 
(969
)
 
(494
)
Less: Tax/(Tax benefit) (a)
(17
)
 
177

 
537

Net gains/(losses) on foreign currency translation
(189
)
 
(1,146
)
 
(1,031
)
(Gains)/Losses reclassified from AOCI to net income (b)
153

 
14

 
8

Other comprehensive income/(loss), net of tax
(36
)
 
(1,132
)
 
(1,023
)
Ending balance
$
(2,438
)
 
$
(3,570
)
 
$
(4,593
)
 
 
 
 
 
 
Marketable securities
 
 
 
 
 
Beginning balance
$
—

 
$
—

 
$
(6
)
Gains/(Losses) on available for sale securities
—

 
(10
)
 
(13
)
Less: Tax/(Tax benefit)
—

 
(4
)
 
(10
)
Net gains/(losses) on available for sale securities
—

 
(6
)
 
(3
)
(Gains)/Losses reclassified from AOCI to net income
—

 
—

 
(1
)
Less: Tax/(Tax benefit)
—

 
—

 
4

Net (gains)/losses reclassified from AOCI to net income
—

 
—

 
(5
)
Other comprehensive income/(loss), net of tax
—

 
(6
)
 
(8
)
Ending balance
$
—

 
$
(6
)
 
$
(14
)
 
 
 
 
 
 
Derivative instruments
 
 
 
 
 
Beginning balance
$
19

 
$
(163
)
 
$
64

Gains/(Losses) on derivative instruments
(271
)
 
123

 
770

Less: Tax/(Tax benefit)
(96
)
 
50

 
144

Net gains/(losses) on derivative instruments
(175
)
 
73

 
626

(Gains)/Losses reclassified from AOCI to net income
(78
)
 
239

 
(537
)
Less: Tax/(Tax benefit)
(71
)
 
85

 
(130
)
Net (gains)/losses reclassified from AOCI to net income (c)
(7
)
 
154

 
(407
)
Other comprehensive income/(loss), net of tax
(182
)
 
227

 
219

Ending balance
$
(163
)
 
$
64

 
$
283

 
 
 
 
 
 
Pension and other postretirement benefits
 
 
 
 
 
Beginning balance
$
(2,641
)
 
$
(2,664
)
 
$
(2,745
)
Prior service (costs)/credits arising during the period
(11
)
 
(104
)
 
(16
)
Less: Tax/(Tax benefit)
(2
)
 
(41
)
 
(4
)
Net prior service (costs)/credits arising during the period
(9
)
 
(63
)
 
(12
)
Amortization and recognition of prior service costs/(credits) (d)
(19
)
 
(2
)
 
66

Less: Tax/(Tax benefit)
(7
)
 
6

 
22

Net prior service costs/(credits) reclassified from AOCI to net income
(12
)
 
(8
)
 
44

Translation impact on non-U.S. plans
(2
)
 
(10
)
 
24

Other comprehensive income/(loss), net of tax
(23
)
 
(81
)
 
56

Ending balance
$
(2,664
)
 
$
(2,745
)
 
$
(2,689
)
 
 
 
 
 
 
Total AOCI ending balance at December 31
$
(5,265
)
 
$
(6,257
)
 
$
(7,013
)
__________
(a)
We do not recognize deferred taxes for a majority of the foreign currency translation gains and losses because we do not anticipate reversal in the foreseeable future. However, we have made elections to tax certain non-U.S. operations simultaneously in U.S. tax returns, and have recorded deferred taxes for temporary differences that will reverse, independent of repatriation plans, on U.S. tax returns. Taxes or tax benefits resulting from foreign currency translation of the temporary differences are recorded in Other comprehensive income/(loss), net of tax.
(b)
Reclassified to Non-Financial Services interest income and other income/(loss), net.
(c)
Reclassified to Cost of sales. During the next twelve months we expect to reclassify existing net gains on cash flow hedges of $358 million. See Note 17 for additional information.
(d)
Amortization and recognition of prior service costs/(credits) is included in the computation of net periodic pension cost. See Note 13 for additional information.
Other Income (Loss) (Tables)
Schedule of Other Nonoperating Income (Expense) [Table Text Block]
Non-Financial Services

The amounts included in Non-Financial Services interest income and other income/(loss), net for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Investment-related interest income
$
193

 
$
233

 
$
217

Interest income/(expense) on income taxes
109

 
—

 
(5
)
Realized and unrealized gains/(losses) on cash equivalents and marketable securities
(9
)
 
46

 
(9
)
Gains/(Losses) on changes in investments in affiliates
(798
)
 
42

 
139

Gains/(Losses) on extinguishment of debt
(132
)
 
1

 
—

Royalty income
559

 
666

 
714

Other
154

 
200

 
300

Total
$
76

 
$
1,188

 
$
1,356


Financial Services

The amounts included in Financial Services other income/(loss), net for the years ended December 31 were as follows (in millions):
 
2014
 
2015
 
2016
Investment-related interest income
$
51

 
$
76

 
$
74

Interest income/(expense) on income taxes
(13
)
 
3

 
8

Insurance premiums earned
125

 
133

 
156

Other
185

 
160

 
200

Total
$
348

 
$
372

 
$
438

Share-Based Compensation (Tables)
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] 
Inputs and assumptions used to calculate the fair value at grant date were as follows:
 
2015
 
2016
Fair value per stock award
$
16.98

 
$
15.56

Grant date stock price
16.03

 
13.54

Assumptions:
 
 
 
Ford’s stock price expected volatility (a)
23.3
%
 
23.1
%
Expected average volatility of peer companies (a)
24.1
%
 
26.4
%
Risk-free interest rate
1.09
%
 
0.98
%
Dividend yield
3.74
%
 
4.43
%
__________
(a)
Expected volatility based on three years of daily closing share price changes ending on the grant date.

Restricted Stock Units Activity [Table Text Block] 
During 2016, activity for RSUs was as follows (in millions, except for weighted average fair value):
 
Shares
 
Weighted-
Average Fair Value
Outstanding, beginning of year
27.4

 
$
15.04

Granted
17.5

 
13.54

Vested
(11.1
)
 
14.07

Forfeited
(0.4
)
 
14.13

Outstanding, end of year
33.4

 
14.49

RSUs expected to vest
32.9

 
N/A

Fair And Intrinsic Value Of Restricted Stock Units [Table Text Block] 
Additional information about RSUs for the years ended December 31 was as follows (in millions, except for weighted average fair value):
 
2014
 
2015
 
2016
Fair value of vested shares
$
102

 
$
126

 
$
157

Weighted average grant fair value (per unit)
15.40

 
15.86

 
13.54

Compensation cost (a)
95

 
125

 
135


__________
(a)
Net of tax benefit of $49 million, $65 million, and $72 million in 2014, 2015, and 2016, respectively.
Income Taxes (Tables)
Components of income tax [Table Text Block] 
Components of income taxes excluding cumulative effects of changes in accounting principles, other comprehensive income, and equity in net results of affiliated companies accounted for after-tax, for the years ended December 31 were as follows:
 
2014
 
2015
 
2016
Income before income taxes (in millions)
 
 
 
 
 
U.S.
$
3,852

 
$
5,374

 
$
5,266

Non-U.S.
(2,618
)
 
4,878

 
1,530

Total
$
1,234

 
$
10,252

 
$
6,796

Provision for/(Benefit from) income taxes (in millions)
 

 
 

 
 

Current
 

 
 

 
 

Federal
$
(2
)
 
$
75

 
$
(122
)
Non-U.S.
389

 
572

 
630

State and local
(22
)
 
17

 
12

Total current
365

 
664

 
520

Deferred
 

 
 

 
 

Federal
(735
)
 
1,494

 
1,323

Non-U.S.
160

 
472

 
121

State and local
214

 
251

 
225

Total deferred
(361
)
 
2,217

 
1,669

Total
$
4

 
$
2,881

 
$
2,189

Reconciliation of effective tax rate
 

 
 

 
 

U.S. statutory rate
35.0
 %
 
35.0
 %
 
35.0
 %
Non-U.S. tax rates under U.S. rates
(5.2
)
 
(2.7
)
 
(1.0
)
State and local income taxes
8.3

 
1.7

 
2.3

General business credits
(27.1
)
 
(3.0
)
 
(3.1
)
Dispositions and restructurings
13.0

 
0.4

 
7.4

U.S. tax on non-U.S. earnings
(23.7
)
 
(3.0
)
 
(5.6
)
Prior year settlements and claims
(9.1
)
 
(0.4
)
 
—

Tax-exempt income
(24.1
)
 
(2.0
)
 
(0.9
)
Enacted change in tax laws
3.9

 
0.1

 
(4.2
)
Valuation allowances
32.3

 
3.6

 
2.7

Other
(3.0
)
 
(1.6
)
 
(0.4
)
Effective rate
0.3
 %
 
28.1
 %
 
32.2
 %
Components of deferred tax assets and liabilities [Table Text Block] 
The components of deferred tax assets and liabilities at December 31 were as follows (in millions):
 
2015
 
2016
Deferred tax assets
 
 
 
Employee benefit plans
$
6,620

 
$
6,870

Net operating loss carryforwards
2,327

 
1,764

Tax credit carryforwards
6,456

 
5,860

Research expenditures
1,279

 
1,469

Dealer and dealers’ customer allowances and claims
2,394

 
2,500

Other foreign deferred tax assets
442

 
28

All other
2,206

 
2,289

Total gross deferred tax assets
21,724

 
20,780

Less: valuation allowances
(1,831
)
 
(909
)
Total net deferred tax assets
19,893

 
19,871

Deferred tax liabilities
 

 
 

Leasing transactions
3,329

 
4,523

Deferred income
1,215

 
807

Depreciation and amortization (excluding leasing transactions)
2,484

 
3,175

Finance receivables
688

 
593

Other foreign deferred tax liabilities
407

 
371

All other
763

 
1,388

Total deferred tax liabilities
8,886

 
10,857

Net deferred tax assets/(liabilities)
$
11,007

 
$
9,014

Summary of Income Tax Contingencies [Table Text Block] 
A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended December 31 were as follows (in millions):
 
2015
 
2016
Beginning balance
$
1,286

 
$
1,601

Increase – tax positions in prior periods
330

 
12

Increase – tax positions in current period
91

 
69

Decrease – tax positions in prior periods
(24
)
 
(67
)
Settlements
(65
)
 
(23
)
Lapse of statute of limitations
(7
)
 
(3
)
Foreign currency translation adjustment
(10
)
 
(3
)
Ending balance
$
1,601

 
$
1,586

Capital Stock and Earnings Per Share (Tables)
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Table Text Block]
Basic and diluted income per share were calculated using the following (in millions):
 
2014
 
2015
 
2016
Basic and Diluted Income Attributable to Ford Motor Company
 
 
 
 
 
Basic income
$
1,231

 
$
7,373

 
$
4,596

Diluted income (a)
1,231

 
7,373

 
4,596

 
 
 
 
 
 
Basic and Diluted Shares
 

 
 

 
 
Basic shares (average shares outstanding)
3,912

 
3,969

 
3,973

Net dilutive options and warrants
46

 
33

 
26

Diluted shares (a)
3,958

 
4,002

 
3,999

__________
(a)
Not included in the 2014 calculation of diluted earnings per share due to their antidilutive effect are 87 million shares and the related income effect for the 2016 Convertible Notes. In October 2014, we elected to terminate the conversion rights of holders under the 2016 Convertible Notes in accordance with their terms effective as of the close of business on November 20, 2014. We no longer have convertible debt outstanding.
Selected Quarterly Financial Data (Tables)
Schedule of Quarterly Financial Information [Table Text Block]
Selected financial data by calendar quarter were as follows (in millions, except per share amounts):
 
2015
 
2016
 
First
Quarter
 
Second
Quarter
 
Third
Quarter
 
Fourth
Quarter
 
First
Quarter
 
Second
Quarter
 
Third
Quarter
 
Fourth
Quarter
Total revenues
$
33,900

 
$
37,263

 
$
38,144

 
$
40,251

 
$
37,718

 
$
39,485

 
$
35,943

 
$
38,654

Income/(Loss) before income taxes
1,779

 
3,286

 
3,291

 
1,896

 
3,651

 
2,875

 
1,387

 
(1,117
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Amounts Attributable to Ford Motor Company Common and Class B Shareholders
Net income/(loss)
$
1,153

 
$
2,160

 
$
2,192

 
$
1,868

 
$
2,452

 
$
1,970

 
$
957

 
$
(783
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Common and Class B per share from income from continuing operations
Basic
$
0.29

 
$
0.54

 
$
0.55

 
$
0.47

 
$
0.62

 
$
0.50

 
$
0.24

 
$
(0.20
)
Diluted
0.29

 
0.54

 
0.55

 
0.47

 
0.61

 
0.49

 
0.24

 
(0.20
)
Commitments and Contingencies (Tables)
Guarantee obligations [Table Text Block] 
The maximum potential payments and the carrying value of recorded liabilities related to guarantees and limited indemnities at December 31 were as follows (in millions):
 
2015
 
2016
Maximum potential payments
$
284

 
$
177

Carrying value of recorded liabilities related to guarantees and limited indemnities
23

 
23

Warranty [Table Text Block] 
The estimate of our future warranty and field service action costs, net of supplier recoveries, for the years ended December 31 were as follows (in millions):
 
2015
 
2016
Beginning balance
$
4,786

 
$
4,558

Payments made during the period
(2,849
)
 
(3,286
)
Changes in accrual related to warranties issued during the period
2,046

 
2,326

Changes in accrual related to pre-existing warranties
807

 
1,360

Foreign currency translation and other
(232
)
 
2

Ending balance
$
4,558

 
$
4,960

Schedule of Valuation and Qualifying Accounts (Tables)
Schedule of Valuation and Qualifying Accounts Disclosure [Text Block]
Description
 
Balance at
Beginning of
Period
 
Charged to
Costs and
Expenses
 
Deductions
 
Balance at End
of Period
For the Year Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
Allowances deducted from assets
 
 
 
 
 
 
 
 
 
 
Credit losses
 
$
405

 
$
199

 
 
$
220

(a)
 
$
384

Doubtful receivables
 
120

 
374

 
 
39

(b)
 
455

Inventories (primarily service part obsolescence)
 
262

 
(8
)
(c)
 
—

 
 
254

Deferred tax assets
 
1,633

 
(29
)
(d)
 
—

 
 
1,604

Total allowances deducted from assets
 
$
2,420

 
$
536

 
 
$
259

 
 
$
2,697

 
 
 
 
 
 
 
 
 
 
 
For the Year Ended December 31, 2015
 
 

 
 

 
 
 

 
 
 

Allowances deducted from assets
 
 

 
 

 
 
 

 
 
 

Credit losses
 
$
384

 
$
347

 
 
$
294

(a)
 
$
437

Doubtful receivables
 
455

 
(7
)
 
 
76

(b)
 
372

Inventories (primarily service part obsolescence)
 
254

 
(29
)
(c)
 
—

 
 
225

Deferred tax assets
 
1,604

 
227

(d)
 
—

 
 
1,831

Total allowances deducted from assets
 
$
2,697

 
$
538

 
 
$
370

 
 
$
2,865

 
 
 
 
 
 
 
 
 
 
 
For the Year Ended December 31, 2016
 
 

 
 

 
 
 

 
 
 

Allowances deducted from assets
 
 

 
 

 
 
 

 
 
 

Credit losses
 
$
437

 
$
551

 
 
$
421

(a)
 
$
567

Doubtful receivables
 
372

 
24

 
 
19

(b)
 
377

Inventories (primarily service part obsolescence)
 
225

 
(33
)
(c)
 
—

 
 
192

Deferred tax assets
 
1,831

 
209

(d)
 
1,131

(e)
 
909

Total allowances deducted from assets
 
$
2,865

 
$
751

 
 
$
1,571

 
 
$
2,045

_________
(a)
Finance receivables and lease investments deemed to be uncollectible and other changes, principally amounts related to finance receivables sold and translation adjustments.
(b)
Accounts and notes receivable deemed to be uncollectible as well as translation adjustments.
(c)
Net change in inventory allowances, including translation adjustments.  
(d)
Includes $(428) million, $(142) million, and $26 million in 2014, 2015, and 2016, respectively, of valuation allowance for deferred tax assets through Accumulated other comprehensive income/(loss), including translation adjustments and $399 million, $369 million, and $183 million in 2014, 2015, and 2016, respectively, of valuation allowance for deferred tax assets through the income statement.
(e)
During 2016 we elected to tax a significant portion of our South American operations simultaneously in U.S. tax returns resulting in a $1.1 billion reduction in deferred tax assets and related valuation allowance.
Presentation - Narrative (Details) (VENEZUELA, USD $)
In Millions, unless otherwise specified
3 Months Ended
Dec. 31, 2014
VENEZUELA
 
Noncontrolling Interest [Line Items]
 
Gain/(Loss) due to Change from Consolidated to Cost Method
$ (800)
Presentation - Certain Transactions Between Automotive and Financial Services (Details) (Affiliated Entity [Member], Operating Segments [Member], USD $)
In Billions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Automotive
 
 
Related Party Transaction [Line Items]
 
 
Intersegment receivables/(payables)
$ (1.7)
$ (1.1)
Financial Services
 
 
Related Party Transaction [Line Items]
 
 
Finance receivables, net
6.1 
5.4 
Unearned interest supplements and residual support
(5.3)
(4.5)
Wholesale receivables/Other
0.7 
0.8 
Net investment in operating leases
0.9 
0.7 
Intersegment receivables/(payables)
$ 1.7 
$ 1.1 
Summary of Accounting Policies (Details) (USD $)
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Average Turnover Period of Trade Receivables
30 days 
 
 
Foreign Currency [Abstract]
 
 
 
Foreign Currency Transaction Gain (Loss), before Tax
$ 307,000,000 
$ (524,000,000)
$ (510,000,000)
Intangible Assets, Net (Excluding Goodwill) [Abstract]
 
 
 
Finite-Lived Intangible Assets, Net
198,000,000 
124,000,000 
 
Impairment of Intangible Assets (Excluding Goodwill)
0 
0 
 
Long-Lived Asset Impairment [Abstract]
 
 
 
Impairment of Long-Lived Assets Held-for-use
0 
0 
 
Goodwill, Impaired, Accumulated Impairment Loss [Abstract]
 
 
 
Goodwill
50,000,000 
6,000,000 
 
Goodwill, Impairment Loss
0 
0 
 
Fair Value Disclosures [Abstract]
 
 
 
Term At Which Fair Value of Finance Receivables is Measured
120 days 
 
 
Revenue Recognition [Abstract]
 
 
 
Average Term Deferred Revenue Is Recognized
1 year 
 
 
Selected Other Costs [Abstract]
 
 
 
Engineering, research, and development
7,300,000,000 
6,700,000,000 
6,700,000,000 
Advertising
4,300,000,000 
4,300,000,000 
4,300,000,000 
Affiliated Entity [Member] |
Operating Segments [Member] |
Financial Services
 
 
 
Finance and Lease Incentives [Abstract]
 
 
 
Earned Interest Supplements And Residual Support Revenue
1,600,000,000 
1,300,000,000 
1,400,000,000 
Amount of Reduction in Depreciation Expense On Property Subject To Or Held For Lease
$ 1,900,000,000 
$ 1,500,000,000 
$ 1,300,000,000 
New Accounting Standards New Accounting Standards (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Accounting Standards Update 2016-09 [Member]
 
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
 
New Accounting Pronouncement or Change in Accounting Principle, Expected Cumulative Effect of Change on Equity or Net Assets
$ 500 
Accounting Standards Update 2014-09 [Member]
 
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
 
New Accounting Pronouncement or Change in Accounting Principle, Expected Cumulative Effect of Change on Equity or Net Assets
$ 100 
Segment Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2016
Sep. 30, 2016
Jun. 30, 2016
Mar. 31, 2016
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Segment Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Number of Operating Segments
 
 
 
 
 
 
 
 
4 
 
 
Total revenues
$ 38,654 
$ 35,943 
$ 39,485 
$ 37,718 
$ 40,251 
$ 38,144 
$ 37,263 
$ 33,900 
$ 151,800 
$ 149,558 
$ 144,077 
Pre-tax results - income/(loss)
(1,117)
1,387 
2,875 
3,651 
1,896 
3,291 
3,286 
1,779 
6,796 
10,252 
1,234 
Depreciation and tooling amortization
 
 
 
 
 
 
 
 
9,023 
7,993 
7,385 
Interest expense
 
 
 
 
 
 
 
 
3,702 
3,227 
3,496 
Investment-related interest income
 
 
 
 
 
 
 
 
291 
309 
244 
Equity in net income/(loss) of affiliated companies
 
 
 
 
 
 
 
 
1,780 
1,818 
1,275 
Cash outflow for capital spending
 
 
 
 
 
 
 
 
6,992 
7,196 
7,463 
Cash, cash equivalents, and marketable securities
38,827 
 
 
 
35,176 
 
 
 
38,827 
35,176 
31,150 
Total assets
237,951 
 
 
 
224,925 
 
 
 
237,951 
224,925 
208,615 
Debt
142,970 
 
 
 
132,854 
 
 
 
142,970 
132,854 
119,171 
Net cash flows from non-designated derivatives
 
 
 
 
 
 
 
 
(825)
(134)
(281)
Operating cash flows
 
 
 
 
 
 
 
 
19,792 
16,170 
14,507 
Operating Segments [Member] |
Automotive
 
 
 
 
 
 
 
 
 
 
 
Segment Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Number of Regional Business Units
 
 
 
 
 
 
 
 
5 
 
 
Total revenues
 
 
 
 
 
 
 
 
141,546 
140,566 
135,782 
Pre-tax results - income/(loss)
 
 
 
 
 
 
 
 
9,422 
9,568 
6,254 
Depreciation and tooling amortization
 
 
 
 
 
 
 
 
4,667 
4,332 
4,252 
Investment-related interest income
 
 
 
 
 
 
 
 
75 
42 
53 
Equity in net income/(loss) of affiliated companies
 
 
 
 
 
 
 
 
1,747 
1,786 
1,575 
Cash outflow for capital spending
 
 
 
 
 
 
 
 
6,947 
7,147 
7,360 
Cash, cash equivalents, and marketable securities
27,462 
 
 
 
23,567 
 
 
 
27,462 
23,567 
21,702 
Total assets
96,929 
 
 
 
91,959 
 
 
 
96,929 
91,959 
90,167 
Debt
15,907 
 
 
 
12,839 
 
 
 
15,907 
12,839 
13,824 
Net cash flows from non-designated derivatives
 
 
 
 
 
 
 
 
(610)
76 
(247)
Funded pension contributions
 
 
 
 
 
 
 
 
(1,155)
(1,115)
(1,466)
Other
 
 
 
 
 
 
 
 
(186)
(486)
(223)
Operating cash flows
 
 
 
 
 
 
 
 
6,385 
7,285 
3,563 
Operating Segments [Member] |
Automotive |
Employee Severance [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Separation payments
 
 
 
 
 
 
 
 
(336)
(613)
(223)
Operating Segments [Member] |
Financial Services
 
 
 
 
 
 
 
 
 
 
 
Segment Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenues
 
 
 
 
 
 
 
 
10,253 
8,992 
8,295 
Pre-tax results - income/(loss)
 
 
 
 
 
 
 
 
1,820 
2,028 
1,794 
Depreciation and tooling amortization
 
 
 
 
 
 
 
 
4,356 
3,661 
3,133 
Interest expense
 
 
 
 
 
 
 
 
2,808 
2,454 
2,699 
Investment-related interest income
 
 
 
 
 
 
 
 
74 
76 
51 
Equity in net income/(loss) of affiliated companies
 
 
 
 
 
 
 
 
33 
32 
29 
Cash outflow for capital spending
 
 
 
 
 
 
 
 
45 
49 
103 
Cash, cash equivalents, and marketable securities
11,357 
 
 
 
11,609 
 
 
 
11,357 
11,609 
9,448 
Total assets
146,252 
 
 
 
137,026 
 
 
 
146,252 
137,026 
121,388 
Debt
127,063 
 
 
 
120,015 
 
 
 
127,063 
120,015 
105,347 
Operating cash flows
 
 
 
 
 
 
 
 
8,754 
3,876 
5,743 
Operating Segments [Member] |
All Other (Other operating segments)
 
 
 
 
 
 
 
 
 
 
 
Segment Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Number of Operating Segments
 
 
 
 
 
 
 
 
2 
 
 
Total revenues
 
 
 
 
 
 
 
 
1 
 
 
Pre-tax results - income/(loss)
 
 
 
 
 
 
 
 
(867)
(796)
(755)
Interest expense
 
 
 
 
 
 
 
 
894 
773 
797 
Investment-related interest income
 
 
 
 
 
 
 
 
142 
191 
140 
Cash, cash equivalents, and marketable securities
8 
 
 
 
 
 
 
 
8 
 
 
Total assets
69 
 
 
 
 
 
 
 
69 
 
 
Operating cash flows
 
 
 
 
 
 
 
 
(7)
 
 
Special Items (Corporate, Non-Segment) [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Pre-tax results - income/(loss)
 
 
 
 
 
 
 
 
(3,579)
(548)
(6,059)
Equity in net income/(loss) of affiliated companies
 
 
 
 
 
 
 
 
 
 
(329)
Adjustments (Segment Reconciling Items) [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total assets
(5,299)
 
 
 
(4,060)
 
 
 
(5,299)
(4,060)
(2,940)
Operating cash flows
 
 
 
 
 
 
 
 
$ 4,660 
$ 5,009 
$ 5,201 
Segment Information Geographic Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2016
Sep. 30, 2016
Jun. 30, 2016
Mar. 31, 2016
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenues
$ 38,654 
$ 35,943 
$ 39,485 
$ 37,718 
$ 40,251 
$ 38,144 
$ 37,263 
$ 33,900 
$ 151,800 
$ 149,558 
$ 144,077 
Long-Lived Assets
60,901 
 
 
 
57,256 
 
 
 
60,901 
57,256 
53,343 
United States
 
 
 
 
 
 
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenues
 
 
 
 
 
 
 
 
93,433 
93,142 
82,665 
Long-Lived Assets
42,946 
 
 
 
39,853 
 
 
 
42,946 
39,853 
34,645 
United Kingdom
 
 
 
 
 
 
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenues
 
 
 
 
 
 
 
 
10,041 
11,451 
11,742 
Long-Lived Assets
1,302 
 
 
 
1,490 
 
 
 
1,302 
1,490 
1,491 
Canada
 
 
 
 
 
 
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenues
 
 
 
 
 
 
 
 
10,028 
8,978 
9,409 
Long-Lived Assets
4,264 
 
 
 
3,814 
 
 
 
4,264 
3,814 
4,008 
Germany
 
 
 
 
 
 
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenues
 
 
 
 
 
 
 
 
7,322 
6,950 
7,487 
Long-Lived Assets
2,254 
 
 
 
2,203 
 
 
 
2,254 
2,203 
2,510 
Other Geographical [Member]
 
 
 
 
 
 
 
 
 
 
 
Revenues from External Customers and Long-Lived Assets [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenues
 
 
 
 
 
 
 
 
30,976 
29,037 
32,774 
Long-Lived Assets
$ 10,135 
 
 
 
$ 9,896 
 
 
 
$ 10,135 
$ 9,896 
$ 10,689 
Cash, Cash Equivalents, and Marketable Securities (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and cash equivalents
$ 15,905 
$ 14,272 
$ 10,757 
$ 14,468 
Fair Value, Measurements, Recurring [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
2,254 
596 
 
 
Investments, Fair Value Disclosure
22,922 
20,904 
 
 
U.S. government |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
1,812 
115 
 
 
Investments, Fair Value Disclosure
9,733 
1,921 
 
 
U.S. government agencies |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
0 
22 
 
 
Investments, Fair Value Disclosure
2,749 
6,409 
 
 
Non-U.S. government and agencies |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
342 
439 
 
 
Investments, Fair Value Disclosure
5,383 
8,283 
 
 
Corporate debt |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
100 
20 
 
 
Investments, Fair Value Disclosure
4,804 
3,663 
 
 
Equity Securities [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Investments, Fair Value Disclosure
165 
240 
 
 
Other marketable securities |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Investments, Fair Value Disclosure
88 
388 
 
 
Operating Segments [Member] |
Automotive
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and cash equivalents
7,820 
5,386 
 
 
Operating Segments [Member] |
Automotive |
Fair Value, Measurements, Recurring [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
1,188 
330 
 
 
Investments, Fair Value Disclosure
19,642 
18,181 
 
 
Operating Segments [Member] |
Automotive |
U.S. government |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
888 
115 
 
 
Investments, Fair Value Disclosure
8,099 
1,623 
 
 
Operating Segments [Member] |
Automotive |
U.S. government agencies |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
0 
22 
 
 
Investments, Fair Value Disclosure
2,244 
5,240 
 
 
Operating Segments [Member] |
Automotive |
Non-U.S. government and agencies |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
200 
173 
 
 
Investments, Fair Value Disclosure
4,751 
7,451 
 
 
Operating Segments [Member] |
Automotive |
Corporate debt |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
100 
20 
 
 
Investments, Fair Value Disclosure
4,329 
3,279 
 
 
Operating Segments [Member] |
Automotive |
Equity Securities [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Investments, Fair Value Disclosure
165 
240 
 
 
Operating Segments [Member] |
Automotive |
Other marketable securities |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Investments, Fair Value Disclosure
54 
348 
 
 
Operating Segments [Member] |
Financial Services
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and cash equivalents
8,077 
8,886 
 
 
Operating Segments [Member] |
Financial Services |
Fair Value, Measurements, Recurring [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
1,066 
266 
 
 
Investments, Fair Value Disclosure
3,280 
2,723 
 
 
Operating Segments [Member] |
Financial Services |
U.S. government |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
924 
0 
 
 
Investments, Fair Value Disclosure
1,634 
298 
 
 
Operating Segments [Member] |
Financial Services |
U.S. government agencies |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
0 
0 
 
 
Investments, Fair Value Disclosure
505 
1,169 
 
 
Operating Segments [Member] |
Financial Services |
Non-U.S. government and agencies |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
142 
266 
 
 
Investments, Fair Value Disclosure
632 
832 
 
 
Operating Segments [Member] |
Financial Services |
Corporate debt |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
0 
0 
 
 
Investments, Fair Value Disclosure
475 
384 
 
 
Operating Segments [Member] |
Financial Services |
Equity Securities [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Investments, Fair Value Disclosure
0 
0 
 
 
Operating Segments [Member] |
Financial Services |
Other marketable securities |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Investments, Fair Value Disclosure
34 
40 
 
 
Operating Segments [Member] |
All Other (Other operating segments)
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and cash equivalents
8 
0 
 
 
Operating Segments [Member] |
All Other (Other operating segments) |
Fair Value, Measurements, Recurring [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
0 
0 
 
 
Investments, Fair Value Disclosure
0 
0 
 
 
Operating Segments [Member] |
All Other (Other operating segments) |
U.S. government |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
0 
0 
 
 
Investments, Fair Value Disclosure
0 
0 
 
 
Operating Segments [Member] |
All Other (Other operating segments) |
U.S. government agencies |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
0 
0 
 
 
Investments, Fair Value Disclosure
0 
0 
 
 
Operating Segments [Member] |
All Other (Other operating segments) |
Non-U.S. government and agencies |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
0 
0 
 
 
Investments, Fair Value Disclosure
0 
0 
 
 
Operating Segments [Member] |
All Other (Other operating segments) |
Corporate debt |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Cash and Cash Equivalents, Fair Value Disclosure
0 
0 
 
 
Investments, Fair Value Disclosure
0 
0 
 
 
Operating Segments [Member] |
All Other (Other operating segments) |
Equity Securities [Member] |
Fair Value, Measurements, Recurring [Member] |
Level 1 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Investments, Fair Value Disclosure
0 
0 
 
 
Operating Segments [Member] |
All Other (Other operating segments) |
Other marketable securities |
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Investments, Fair Value Disclosure
0 
0 
 
 
Investment Type [Member] |
Fair Value, Estimate Not Practicable, Carrying (Reported) Amount [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Fair Value, Estimate Not Practicable, Cash and Cash Equivalents
13,651 
13,676 
 
 
Investment Type [Member] |
Fair Value, Estimate Not Practicable, Carrying (Reported) Amount [Member] |
Operating Segments [Member] |
Automotive
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Fair Value, Estimate Not Practicable, Cash and Cash Equivalents
6,632 
5,056 
 
 
Investment Type [Member] |
Fair Value, Estimate Not Practicable, Carrying (Reported) Amount [Member] |
Operating Segments [Member] |
Financial Services
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Fair Value, Estimate Not Practicable, Cash and Cash Equivalents
7,011 
8,620 
 
 
Investment Type [Member] |
Fair Value, Estimate Not Practicable, Carrying (Reported) Amount [Member] |
Operating Segments [Member] |
All Other (Other operating segments)
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Fair Value, Estimate Not Practicable, Cash and Cash Equivalents
$ 8 
$ 0 
 
 
Cash, Cash Equivalents, and Marketable Securities Available for Sale Securities (Details) (USD $)
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Schedule of Available-for-sale Securities [Line Items]
 
 
Available-for-sale Securities, Sale Proceeds
$ 69,000,000 
$ 1,000,000 
Available-for-sale Securities, Gross Realized Gains
1,000,000 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
 
 
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities
0 
0 
Operating Segments [Member] |
Automotive
 
 
Schedule of Available-for-sale Securities [Line Items]
 
 
Amortized Cost
6,533,000,000 
82,000,000 
Gross Unrealized Gains
3,000,000 
0 
Gross Unrealized Losses
(27,000,000)
(12,000,000)
Fair Value
6,509,000,000 
70,000,000 
Within 1 Year
1,906,000,000 
0 
After 1 Year through 5 Years
4,415,000,000 
70,000,000 
After 5 Years through 10 Years
188,000,000 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
 
 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value
2,872,000,000 
70,000,000 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss
(27,000,000)
(12,000,000)
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value
2,872,000,000 
70,000,000 
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss
(27,000,000)
(12,000,000)
Operating Segments [Member] |
Automotive |
U.S. government
 
 
Schedule of Available-for-sale Securities [Line Items]
 
 
Amortized Cost
3,703,000,000 
0 
Gross Unrealized Gains
2,000,000 
0 
Gross Unrealized Losses
(14,000,000)
0 
Fair Value
3,691,000,000 
0 
Within 1 Year
727,000,000 
0 
After 1 Year through 5 Years
2,776,000,000 
0 
After 5 Years through 10 Years
188,000,000 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
 
 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value
1,474,000,000 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss
(14,000,000)
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value
1,474,000,000 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss
(14,000,000)
0 
Operating Segments [Member] |
Automotive |
U.S. government agencies
 
 
Schedule of Available-for-sale Securities [Line Items]
 
 
Amortized Cost
308,000,000 
0 
Gross Unrealized Gains
0 
0 
Gross Unrealized Losses
(2,000,000)
0 
Fair Value
306,000,000 
0 
Within 1 Year
0 
0 
After 1 Year through 5 Years
306,000,000 
0 
After 5 Years through 10 Years
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
 
 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value
261,000,000 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss
(2,000,000)
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value
261,000,000 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss
(2,000,000)
0 
Operating Segments [Member] |
Automotive |
Non-U.S. government and agencies
 
 
Schedule of Available-for-sale Securities [Line Items]
 
 
Amortized Cost
1,443,000,000 
82,000,000 
Gross Unrealized Gains
1,000,000 
0 
Gross Unrealized Losses
(11,000,000)
(12,000,000)
Fair Value
1,433,000,000 
70,000,000 
Within 1 Year
148,000,000 
0 
After 1 Year through 5 Years
1,285,000,000 
70,000,000 
After 5 Years through 10 Years
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
 
 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value
1,137,000,000 
70,000,000 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss
(11,000,000)
(12,000,000)
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value
1,137,000,000 
70,000,000 
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss
(11,000,000)
(12,000,000)
Operating Segments [Member] |
Automotive |
Corporate debt
 
 
Schedule of Available-for-sale Securities [Line Items]
 
 
Amortized Cost
1,079,000,000 
0 
Gross Unrealized Gains
0 
0 
Gross Unrealized Losses
0 
0 
Fair Value
1,079,000,000 
0 
Within 1 Year
1,031,000,000 
0 
After 1 Year through 5 Years
48,000,000 
0 
After 5 Years through 10 Years
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
 
 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than Twelve Months, Fair Value
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Twelve Months or Longer, Fair Value
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value
0 
0 
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss
$ 0 
$ 0 
Cash, Cash Equivalents, and Marketable Securities Other Investments (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Investments, All Other Investments [Abstract]
 
 
Cost Method Investments
$ 219 
$ 20 
Financial Services Finance Receivables Net (Details) (USD $)
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Financing Receivables [Line Items]
 
 
 
Wholesale Loans Percentage of Dealer Financing
92.00% 
 
 
Finance Receivable Before Unearned Interest Supplements
$ 99,457,000,000 
 
 
Financing Receivable, Gross
96,674,000,000 
91,064,000,000 
 
Financing Receivable, Allowance for Credit Losses
(484,000,000)
(373,000,000)
(321,000,000)
Finance receivables, net
96,190,000,000 
90,691,000,000 
 
Financial Services finance receivables, net - Current portion
46,266,000,000 
45,137,000,000 
 
Finance receivable, net - Non-current portion
49,924,000,000 
45,554,000,000 
 
Net finance receivables subject to fair value
94,066,000,000 
88,876,000,000 
 
Capital Leases Net Investment In Direct Financing Leases Before Allowance For Credit Losses
2,100,000,000 
1,800,000,000 
 
Finance Receivables Net Not Subject To Fair Value
2,100,000,000 
1,800,000,000 
 
Uncollected Interest Receivable Excluded From Finance Receivable
223,000,000 
209,000,000 
 
Consumer [Member]
 
 
 
Financing Receivables [Line Items]
 
 
 
Financing Receivable, Gross
65,338,000,000 
59,949,000,000 
 
Financing Receivable, Allowance for Credit Losses
(469,000,000)
(357,000,000)
(305,000,000)
Finance receivables, net
64,869,000,000 
59,592,000,000 
 
Consumer [Member] |
Retail financing [Member]
 
 
 
Financing Receivables [Line Items]
 
 
 
Finance Receivable Before Unearned Interest Supplements
68,121,000,000 
62,068,000,000 
 
Unearned interest supplements
(2,783,000,000)
(2,119,000,000)
 
Financing Receivable, Gross
65,338,000,000 
59,949,000,000 
 
Non-consumer [Member]
 
 
 
Financing Receivables [Line Items]
 
 
 
Financing Receivable, Gross
31,336,000,000 
31,115,000,000 
 
Financing Receivable, Allowance for Credit Losses
(15,000,000)
(16,000,000)
(16,000,000)
Finance receivables, net
31,321,000,000 
31,099,000,000 
 
Non-consumer [Member] |
Dealer financing [Member]
 
 
 
Financing Receivables [Line Items]
 
 
 
Finance Receivable Before Unearned Interest Supplements
31,336,000,000 
 
 
Financing Receivable, Gross
31,336,000,000 
31,115,000,000 
 
Fair Value, Measurements, Nonrecurring [Member] |
Fair Value, Inputs, Level 3 [Member]
 
 
 
Financing Receivables [Line Items]
 
 
 
Finance Receivable Fair Value
94,785,000,000 
90,048,000,000 
 
Securitization Transactions VIE Primary Beneficiary and Non VIEs Primary Beneficiary [Member] |
Consumer [Member]
 
 
 
Financing Receivables [Line Items]
 
 
 
Financing Receivable, Gross
32,500,000,000 
27,600,000,000 
 
Securitization Transactions VIE Primary Beneficiary and Non VIEs Primary Beneficiary [Member] |
Non-consumer [Member]
 
 
 
Financing Receivables [Line Items]
 
 
 
Financing Receivable, Gross
$ 26,000,000,000 
$ 26,100,000,000 
 
Financial Services Finance Receivables - Contractual Maturities (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Finance Receivables Maturity [Abstract]
 
 
Finance Receivables Current
$ 47,283 
 
Finance Receivables In Two Years
18,404 
 
Finance Receivables In Three Years
14,326 
 
Finance Receivables In Four Years And Thereafter
19,444 
 
Total Finance Receivable Before Unearned Interest Supplements
99,457 
 
Consumer [Member] |
Retail financing [Member]
 
 
Finance Receivables Maturity [Abstract]
 
 
Finance Receivables Current
19,460 
 
Finance Receivables In Two Years
17,550 
 
Finance Receivables In Three Years
14,185 
 
Finance Receivables In Four Years And Thereafter
16,926 
 
Total Finance Receivable Before Unearned Interest Supplements
68,121 
62,068 
Investments in Direct Financing Leases [Abstract]
 
 
Estimated residual values
183 
 
Non-consumer [Member] |
Dealer financing [Member]
 
 
Finance Receivables Maturity [Abstract]
 
 
Finance Receivables Current
27,823 
 
Finance Receivables In Two Years
854 
 
Finance Receivables In Three Years
141 
 
Finance Receivables In Four Years And Thereafter
2,518 
 
Total Finance Receivable Before Unearned Interest Supplements
$ 31,336 
 
Financial Services Finance Receivables Aging (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Financing Receivables [Line Items]
 
 
Number Of Days After Which Finance Receivable Is Considered Past Due
31 days 
 
Financing Receivable, Gross
$ 96,674 
$ 91,064 
Consumer [Member]
 
 
Financing Receivables [Line Items]
 
 
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing
21 
16 
Financing Receivable, Recorded Investment, Past Due
947 
881 
Financing Receivable, Recorded Investment, Current
64,391 
59,068 
Financing Receivable, Gross
65,338 
59,949 
Consumer [Member] |
Financing Receivables, 31 to 60 Days Past due [Member]
 
 
Financing Receivables [Line Items]
 
 
Financing Receivable, Recorded Investment, Past Due
760 
708 
Consumer [Member] |
Financing Receivables, 61 to 90 Days Past due [Member]
 
 
Financing Receivables [Line Items]
 
 
Financing Receivable, Recorded Investment, Past Due
114 
108 
Consumer [Member] |
Financing Receivables, 91 to 120 Days Past due [Member]
 
 
Financing Receivables [Line Items]
 
 
Financing Receivable, Recorded Investment, Past Due
34 
27 
Consumer [Member] |
Financing Receivables, Greater than 120 Days Past due [Member]
 
 
Financing Receivables [Line Items]
 
 
Financing Receivable, Recorded Investment, Past Due
39 
38 
Non-consumer [Member]
 
 
Financing Receivables [Line Items]
 
 
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing
0 
1 
Financing Receivable, Recorded Investment, Past Due
107 
116 
Financing Receivable, Recorded Investment, Current
31,229 
30,999 
Financing Receivable, Gross
$ 31,336 
$ 31,115 
Financial Services Finance Receivables - Credit Quality (Details) (USD $)
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2016
Consumer [Member]
Dec. 31, 2015
Consumer [Member]
Dec. 31, 2016
Consumer [Member]
Minimum [Member]
Substandard [Member]
Dec. 31, 2016
Consumer [Member]
Minimum [Member]
Special Mention [Member]
Dec. 31, 2016
Consumer [Member]
Maximum [Member]
Pass [Member]
Dec. 31, 2016
Consumer [Member]
Maximum [Member]
Special Mention [Member]
Dec. 31, 2016
Non-consumer [Member]
Dec. 31, 2015
Non-consumer [Member]
Dec. 31, 2016
Non-consumer [Member]
Dealer financing [Member]
Dec. 31, 2015
Non-consumer [Member]
Dealer financing [Member]
Dec. 31, 2016
Non-consumer [Member]
Dealer financing [Member]
Group I
Dec. 31, 2015
Non-consumer [Member]
Dealer financing [Member]
Group I
Dec. 31, 2016
Non-consumer [Member]
Dealer financing [Member]
Group II
Dec. 31, 2015
Non-consumer [Member]
Dealer financing [Member]
Group II
Dec. 31, 2016
Non-consumer [Member]
Dealer financing [Member]
Group III
Dec. 31, 2015
Non-consumer [Member]
Dealer financing [Member]
Group III
Dec. 31, 2016
Non-consumer [Member]
Dealer financing [Member]
Group IV
Dec. 31, 2015
Non-consumer [Member]
Dealer financing [Member]
Group IV
Financing Receivables [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Finance Receivables Credit Quality Ratings Term Range
 
 
 
 
120 days 
61 days 
60 days 
120 days 
 
 
 
 
 
 
 
 
 
 
 
 
Financing Receivable By Credit Quality Indicator
$ 96,674,000,000 
$ 91,064,000,000 
$ 65,338,000,000 
$ 59,949,000,000 
 
 
 
 
$ 31,336,000,000 
$ 31,115,000,000 
$ 31,336,000,000 
$ 31,115,000,000 
$ 24,315,000,000 
$ 22,146,000,000 
$ 5,552,000,000 
$ 7,175,000,000 
$ 1,376,000,000 
$ 1,683,000,000 
$ 93,000,000 
$ 111,000,000 
Finance Receivables Net Not Subject To Fair Value
2,100,000,000 
1,800,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing
 
 
$ 21,000,000 
$ 16,000,000 
 
 
 
 
$ 0 
$ 1,000,000 
 
 
 
 
 
 
 
 
 
 
Financial Services Finance Receivables - Impaired receivables (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2016
Consumer [Member]
Dec. 31, 2015
Consumer [Member]
Dec. 31, 2016
Non-consumer [Member]
Dec. 31, 2015
Non-consumer [Member]
Financing Receivable Impaired [Line Items]
 
 
 
 
 
Threshold Period for Impaired Finance Receivables
120 days 
 
 
 
 
Recorded investment of receivables that were impaired
 
$ 367 
$ 375 
$ 107 
$ 134 
Percentage of recorded investment of receivables that were impaired
 
0.60% 
0.60% 
0.30% 
0.40% 
Net Investment in Operating Leases (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Operating Leased Assets [Line Items]
 
 
 
Total
$ 28,829 
$ 27,093 
 
Operating Segments [Member] |
Automotive
 
 
 
Operating Leased Assets [Line Items]
 
 
 
Vehicles, net of depreciation
1,620 
2,014 
 
Operating Segments [Member] |
Financial Services
 
 
 
Operating Leased Assets [Line Items]
 
 
 
Vehicles and other equipment, at cost (a)
32,823 
29,673 
 
Accumulated depreciation
(5,550)
(4,545)
 
Allowance for credit losses
(64)
(49)
 
Total
27,209 
25,079 
 
Operating Leases, Income Statement, Lease Revenue [Abstract]
 
 
 
Operating lease depreciation expense
4,330 
3,640 
3,098 
Operating Leases, Future Minimum Payments Receivable [Abstract]
 
 
 
Operating Leases, Future Minimum Payments Receivable, Current
4,349 
 
 
Operating Leases, Future Minimum Payments Receivable, in Two Years
2,750 
 
 
Operating Leases, Future Minimum Payments Receivable, in Three Years
949 
 
 
Operating Leases, Future Minimum Payments Receivable, in Four Years
66 
 
 
Thereafter
5 
 
 
Minimum rentals on operating leases
8,119 
 
 
Securitization Transactions VIE Primary Beneficiary and Non VIEs Primary Beneficiary [Member]
 
 
 
Operating Leased Assets [Line Items]
 
 
 
Total
11,800 
13,300 
 
Securitization Transactions VIE Primary Beneficiary and Non VIEs Primary Beneficiary [Member] |
Operating Segments [Member] |
Financial Services
 
 
 
Operating Leased Assets [Line Items]
 
 
 
Total
$ 11,800 
$ 13,300 
 
Financial Services Allowance for Credit Losses (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Financing Receivable, Allowance for Credit Losses [Line Items]
 
 
Term When Finance Receivables Are Considered Impaired
120 days 
 
Term to Charge Off Finance Receivables
120 days 
 
Allowance for credit losses
 
 
Beginning balance
$ 373 
$ 321 
Charge-offs
(443)
(336)
Recoveries
122 
126 
Provision for credit losses
438 
274 
Other
(6)
(12)
Ending balance
484 
373 
Analysis of ending balance of allowance for credit losses
 
 
Collective impairment allowance
463 
350 
Specific impairment allowance
21 
23 
Ending balance
484 
373 
Collectively evaluated for impairment
96,200 
90,555 
Specifically evaluated for impairment
474 
509 
Financing Receivable, Gross
96,674 
91,064 
Finance receivables, net
96,190 
90,691 
Ending balance (including reserves for operating leases)
548 
422 
Consumer [Member]
 
 
Allowance for credit losses
 
 
Beginning balance
357 
305 
Charge-offs
(435)
(333)
Recoveries
116 
120 
Provision for credit losses
436 
276 
Other
(5)
(11)
Ending balance
469 
357 
Analysis of ending balance of allowance for credit losses
 
 
Collective impairment allowance
450 
338 
Specific impairment allowance
19 
19 
Ending balance
469 
357 
Collectively evaluated for impairment
64,971 
59,574 
Specifically evaluated for impairment
367 
375 
Financing Receivable, Gross
65,338 
59,949 
Finance receivables, net
64,869 
59,592 
Non-consumer [Member]
 
 
Allowance for credit losses
 
 
Beginning balance
16 
16 
Charge-offs
(8)
(3)
Recoveries
6 
6 
Provision for credit losses
2 
(2)
Other
(1)
(1)
Ending balance
15 
16 
Analysis of ending balance of allowance for credit losses
 
 
Collective impairment allowance
13 
12 
Specific impairment allowance
2 
4 
Ending balance
15 
16 
Collectively evaluated for impairment
31,229 
30,981 
Specifically evaluated for impairment
107 
134 
Financing Receivable, Gross
31,336 
31,115 
Finance receivables, net
$ 31,321 
$ 31,099 
Inventories (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Inventory Disclosure [Abstract]
 
 
Percentage of LIFO Inventory
30.00% 
27.00% 
Raw materials, work-in-process and supplies
$ 3,843 
$ 4,005 
Finished products
5,943 
5,254 
Total inventories under FIFO
9,786 
9,259 
Less: LIFO adjustment
(888)
(940)
Total inventories
$ 8,898 
$ 8,319 
Equity in Net Assets of Affiliated Companies (Details) (USD $)
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
$ 3,304,000,000 
$ 3,224,000,000 
 
Dividends from affiliated companies
1,600,000,000 
1,500,000,000 
1,500,000,000 
Current assets
10,368,000,000 
10,400,000,000 
 
Non-current assets
9,956,000,000 
9,687,000,000 
 
Total assets
20,324,000,000 
20,087,000,000 
 
Current liabilities
10,690,000,000 
10,863,000,000 
 
Non-current liabilities
2,934,000,000 
2,608,000,000 
 
Total liabilities
13,624,000,000 
13,471,000,000 
 
Equity attributable to noncontrolling interests
14,000,000 
8,000,000 
 
Total revenue
36,992,000,000 
35,623,000,000 
40,658,000,000 
Income before income taxes
4,401,000,000 
4,525,000,000 
3,985,000,000 
Net income
3,747,000,000 
3,894,000,000 
3,510,000,000 
Changan Ford Automobile Corporation, Limited
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
1,315,000,000 
1,307,000,000 
 
Ownership Percentage
50.00% 
 
 
Jiangling Motors Corporation, Limited
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
623,000,000 
636,000,000 
 
Ownership Percentage
32.00% 
 
 
AutoAlliance (Thailand) Co., Ltd.
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
476,000,000 
429,000,000 
 
Ownership Percentage
50.00% 
 
 
Ford Otomotiv Sanayi Anonim Sirketi
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
306,000,000 
352,000,000 
 
Ownership Percentage
41.00% 
 
 
Getrag Ford Transmissions GmbH
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
194,000,000 
182,000,000 
 
Ownership Percentage
50.00% 
 
 
Changan Ford Mazda Engine Company, Ltd.
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
80,000,000 
77,000,000 
 
Ownership Percentage
25.00% 
 
 
Velodyne LiDAR, Inc.
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
75,000,000 
0 
 
Ownership Percentage
9.30% 
 
 
Forso Nordic AB
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
68,000,000 
66,000,000 
 
Ownership Percentage
50.00% 
 
 
FFS Finance South Africa (Pty) Limited
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
59,000,000 
48,000,000 
 
Ownership Percentage
50.00% 
 
 
DealerDirect LLC
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
27,000,000 
30,000,000 
 
Ownership Percentage
97.70% 
 
 
RouteOne LLC
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
20,000,000 
15,000,000 
 
Ownership Percentage
30.00% 
 
 
ZoomCar, Inc.
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
15,000,000 
0 
 
Ownership Percentage
17.20% 
 
 
Automotive Fuel Cell Cooperation Corporation
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
9,000,000 
8,000,000 
 
Ownership Percentage
49.90% 
 
 
Thirdware Solutions Limited
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
9,000,000 
9,000,000 
 
Ownership Percentage
20.00% 
 
 
Percepta, LLC
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
8,000,000 
9,000,000 
 
Ownership Percentage
45.00% 
 
 
CNF-Administradora de Consorcio Nacional Ltda.
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
6,000,000 
4,000,000 
 
Ownership Percentage
33.30% 
 
 
U.S. Council for Automotive Research LLC
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
5,000,000 
5,000,000 
 
Ownership Percentage
33.30% 
 
 
Chongqing ANTE Trading Co., Ltd.
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
4,000,000 
4,000,000 
 
Ownership Percentage
10.00% 
 
 
Blue Diamond Parts, LLC
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
3,000,000 
3,000,000 
 
Ownership Percentage
25.00% 
 
 
Crash Avoidance Metrics Partnership LLC
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
2,000,000 
4,000,000 
 
Ownership Percentage
50.00% 
 
 
OEConnection LLC (a)
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
0 
36,000,000 
 
Ownership Percentage
0.00% 
 
 
ZF Transmission Tech, LLC
 
 
 
Equity Method Investment, Financial Statement, Reported Amounts [Abstract]
 
 
 
Investment Balance
$ 0 
$ 0 
 
Ownership Percentage
49.00% 
 
 
Equity in Net Assets of Affiliated Companies Equity in Net Assets of Affiliated Companies - Transactions with equity method investees (Details) (Equity Method Investee [Member], USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Equity Method Investee [Member]
 
 
 
Related Party Transaction [Line Items]
 
 
 
Sales
$ 4,367 
$ 4,426 
$ 5,208 
Purchases
8,665 
7,780 
9,430 
Royalty income
649 
610 
500 
Receivables
722 
870 
 
Payables
$ 603 
$ 671 
 
Net Property and Lease Commitments (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Property, Plant and Equipment, Net, by Type [Abstract]
 
 
 
Net property
$ 32,072 
$ 30,163 
 
Depreciation, Depletion and Amortization [Abstract]
 
 
 
Depreciation and other amortization
2,130 
2,049 
2,127 
Tooling amortization
2,563 
2,304 
2,160 
Depreciation And Amortization, Property Related
4,693 
4,353 
4,287 
Maintenance and rearrangement
1,801 
1,656 
1,543 
Asset Retirement Obligation, Roll Forward Analysis [Roll Forward]
 
 
 
Beginning balance
216 
228 
 
Liabilities settled
(2)
(6)
 
Revisions to estimates
(28)
(6)
 
Ending balance
186 
216 
228 
Operating Leases, Future Minimum Payments Due [Abstract]
 
 
 
Operating lease commitments, due in next twelve months
342 
 
 
Operating lease commitments, due in two years
275 
 
 
Operating lease commitments, due in three years
202 
 
 
Operating lease commitments, due in four years
137 
 
 
Operating lease commitments, due in five years
88 
 
 
Operating lease commitments, due thereafter
340 
 
 
Operating lease commitments, due total
1,384 
 
 
Operating Leases, Rent Expense, Net [Abstract]
 
 
 
Operating Lease Expense
474 
460 
524 
Land
 
 
 
Property, Plant and Equipment, Net, by Type [Abstract]
 
 
 
Gross property
391 
344 
 
Buildings and land improvements
 
 
 
Property, Plant and Equipment, Net, by Type [Abstract]
 
 
 
Gross property
10,308 
9,983 
 
Machinery, equipment, and other
 
 
 
Property, Plant and Equipment [Line Items]
 
 
 
Property, Plant and Equipment, Useful Life
14 years 6 months 
 
 
Property, Plant and Equipment, Net, by Type [Abstract]
 
 
 
Gross property
34,149 
33,191 
 
Software
 
 
 
Property, Plant and Equipment [Line Items]
 
 
 
Property, Plant and Equipment, Useful Life
8 years 
 
 
Property, Plant and Equipment, Net, by Type [Abstract]
 
 
 
Gross property
2,803 
2,598 
 
Construction in progress
 
 
 
Property, Plant and Equipment, Net, by Type [Abstract]
 
 
 
Gross property
2,170 
1,804 
 
Total land, plant and equipment, and other
 
 
 
Property, Plant and Equipment, Net, by Type [Abstract]
 
 
 
Gross property
49,821 
47,920 
 
Accumulated depreciation
(27,804)
(27,803)
 
Net property
22,017 
20,117 
 
Tooling, net of amortization
 
 
 
Property, Plant and Equipment, Net, by Type [Abstract]
 
 
 
Net property
$ 10,055 
$ 10,046 
 
Buildings
 
 
 
Property, Plant and Equipment [Line Items]
 
 
 
Property, Plant and Equipment, Useful Life
36 years 
 
 
Land Improvements
 
 
 
Property, Plant and Equipment [Line Items]
 
 
 
Property, Plant and Equipment, Useful Life
30 years 
 
 
Minimum [Member]
 
 
 
Property, Plant and Equipment [Line Items]
 
 
 
Property, Plant and Equipment, Useful Life
3 years 
 
 
Maximum [Member]
 
 
 
Property, Plant and Equipment [Line Items]
 
 
 
Property, Plant and Equipment, Useful Life
36 years 
 
 
Other Liabilities and Deferred Revenue (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Other Liabilities [Abstract]
 
 
Dealer and dealers’ customer allowances and claims
$ 9,542 
$ 8,122 
Deferred revenue
3,866 
4,675 
Employee benefit plans
1,469 
1,562 
Accrued interest
974 
840 
OPEB
349 
354 
Pension
247 
249 
Other
2,869 
3,287 
Total current other liabilities and deferred revenue
19,316 
19,089 
Pension
10,150 
9,543 
OPEB
5,516 
5,347 
Dealer and dealers’ customer allowances and claims
2,564 
2,731 
Deferred revenue
3,687 
3,285 
Employee benefit plans
1,063 
1,041 
Other
1,415 
1,510 
Total non-current other liabilities and deferred revenue
$ 24,395 
$ 23,457 
Retirement Benefits (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
U.S. Plans
 
 
 
Weighted average assumptions [Abstract]
 
 
 
Discount Rate
4.03% 
4.27% 
 
Average rate of increase in compensation
3.50% 
3.80% 
 
Assumptions used to determine net benefit cost [Abstract]
 
 
 
Expected long-term rate of return on assets
6.75% 
6.75% 
 
Average rate of increase in compensation
3.80% 
3.80% 
 
Non-U.S. Plans (a)
 
 
 
Weighted average assumptions [Abstract]
 
 
 
Discount Rate
2.44% 
3.20% 
 
Average rate of increase in compensation
3.38% 
3.40% 
 
Assumptions used to determine net benefit cost [Abstract]
 
 
 
Expected long-term rate of return on assets
5.56% 
6.11% 
 
Average rate of increase in compensation
3.40% 
3.40% 
 
Other Postretirement Benefit Plan, Defined Benefit [Member]
 
 
 
Weighted average assumptions [Abstract]
 
 
 
Discount Rate
4.00% 
4.23% 
 
Average rate of increase in compensation
3.51% 
3.81% 
 
Assumptions used to determine net benefit cost [Abstract]
 
 
 
Expected long-term rate of return on assets
0.00% 
0.00% 
 
Average rate of increase in compensation
3.81% 
3.76% 
 
United States Pension Plan US Entity Interest Cost [Member]
 
 
 
Assumptions used to determine net benefit cost [Abstract]
 
 
 
Discount Rate
3.46% 
3.94% 
 
Foreign Pension Plan Interest Cost [Member]
 
 
 
Assumptions used to determine net benefit cost [Abstract]
 
 
 
Discount Rate
2.72% 
3.06% 
 
Other Postretirement Benefit Plan Interest Cost [Member]
 
 
 
Assumptions used to determine net benefit cost [Abstract]
 
 
 
Discount Rate
3.48% 
3.93% 
 
United States Pension Plan US Entity Service Cost [Member]
 
 
 
Assumptions used to determine net benefit cost [Abstract]
 
 
 
Discount Rate
4.60% 
3.94% 
 
Foreign Pension Plan Service Cost [Member]
 
 
 
Assumptions used to determine net benefit cost [Abstract]
 
 
 
Discount Rate
3.36% 
3.06% 
 
Other Postretirement Benefit Plan Service Cost [Member]
 
 
 
Assumptions used to determine net benefit cost [Abstract]
 
 
 
Discount Rate
4.53% 
3.93% 
 
Pension Plan [Member]
 
 
 
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items]
 
 
 
Defined Contribution Plan, Cost Recognized
$ 340 
$ 291 
$ 275 
U.S. Plans
 
 
 
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items]
 
 
 
Defined Contribution Plan, Cost Recognized
$ 132 
$ 124 
$ 114 
Retirement Benefits - Expense (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2016
Dec. 31, 2016
U.S. Plans
Dec. 31, 2015
U.S. Plans
Dec. 31, 2014
U.S. Plans
Dec. 31, 2016
Non-U.S. Plans
Dec. 31, 2015
Non-U.S. Plans
Dec. 31, 2014
Non-U.S. Plans
Dec. 31, 2016
Worldwide OPEB [Member]
Dec. 31, 2015
Worldwide OPEB [Member]
Dec. 31, 2014
Worldwide OPEB [Member]
Defined Benefit Plan Disclosure [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
Defined Benefit Plan, Effect of Change in Interest Method on Service and Interest Cost Components
 
 
$ (580)
 
 
 
 
 
 
 
 
 
Service cost
 
 
 
510 
586 
507 
483 
532 
468 
49 
60 
54 
Interest cost
 
 
 
1,524 
1,817 
1,992 
782 
936 
1,189 
194 
236 
269 
Expected return on assets
 
 
 
(2,693)
(2,928)
(2,735)
(1,339)
(1,480)
(1,534)
0 
0 
0 
Amortization of prior service costs/(credits)
 
 
 
170 
155 
155 
38 
47 
55 
(142)
(204)
(229)
Net remeasurement (gain)/loss
3,000 
698 
 
900 
1,964 
641 
1,876 
(974)
2,801 
220 
(292)
681 
Defined Benefit Plan Separation Programs and Other
 
 
 
12 
17 
19 
81 
39 
83 
0 
1 
0 
Settlements and curtailments
 
 
 
0 
0 
0 
2 
0 
13 
0 
0 
0 
Defined Benefit Plan, Net Periodic Benefit Cost
 
 
 
$ 423 
$ 1,611 
$ 579 
$ 1,923 
$ (900)
$ 3,075 
$ 321 
$ (199)
$ 775 
Retirement Benefits - Status (Details) (USD $)
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
U.S. Plans
 
 
 
Change in Benefit Obligation
 
 
 
Benefit obligation at January 1
$ 44,936,000,000 
$ 47,103,000,000 
 
Service cost
510,000,000 
586,000,000 
507,000,000 
Interest cost
1,524,000,000 
1,817,000,000 
 
Amendments
0 
99,000,000 
 
Separation programs and other
(30,000,000)
(27,000,000)
 
Curtailments
0 
0 
 
Settlements
0 
0 
 
Plan participant contributions
27,000,000 
26,000,000 
 
Benefits paid
(2,966,000,000)
(2,949,000,000)
 
Foreign exchange translation
0 
0 
 
Actuarial (gain)/loss
1,745,000,000 
(1,719,000,000)
 
Benefit obligation at December 31
45,746,000,000 
44,936,000,000 
47,103,000,000 
Change in Plan Assets
 
 
 
Fair value of plan assets at January 1
41,252,000,000 
44,844,000,000 
 
Actual return on plan assets
3,538,000,000 
(755,000,000)
 
Company contributions
130,000,000 
130,000,000 
 
Plan participant contributions
27,000,000 
26,000,000 
 
Benefits paid
(2,966,000,000)
(2,949,000,000)
 
Settlements
0 
0 
 
Foreign exchange translation
0 
0 
 
Defined Benefit Plan Other Increase Decrease Plan Assets
(42,000,000)
(44,000,000)
 
Fair value of plan assets at December 31
41,939,000,000 
41,252,000,000 
44,844,000,000 
Funded status at December 31
(3,807,000,000)
(3,684,000,000)
 
Amounts Recognized on the Balance Sheet
 
 
 
Prepaid assets
0 
0 
 
Accrued liabilities
(3,807,000,000)
(3,684,000,000)
 
Total
(3,807,000,000)
(3,684,000,000)
 
Amounts Recognized in Accumulated Other Comprehensive Loss (pre-tax)
 
 
 
Unamortized prior service costs/(credits)
383,000,000 
553,000,000 
 
Pension Plans in which Accumulated Benefit Obligation Exceeds Plan Assets at December 31
 
 
 
Accumulated benefit obligation
26,170,000,000 
26,021,000,000 
 
Fair value of plan assets
23,204,000,000 
22,967,000,000 
 
Accumulated Benefit Obligation at December 31
44,513,000,000 
43,698,000,000 
 
Pension Plans in which Projected Benefit Obligation Exceeds Plan Assets at December 31
 
 
 
Projected benefit obligation
45,746,000,000 
44,936,000,000 
 
Fair value of plan assets
41,939,000,000 
41,252,000,000 
 
Expected Future Benefit Payments and Amortization
 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months
3,030,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Two
3,020,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Three
2,980,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Four
2,970,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Five
2,950,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Year Thereafter
14,750,000,000 
 
 
Pension and Other Postretirement Benefit Plans, Amounts that Will be Amortized from Accumulated Other Comprehensive Income (Loss) in Next Fiscal Year [Abstract]
 
 
 
Prior service cost/(credit) expected to be recognized
143,000,000 
 
 
Non-U.S. Plans
 
 
 
Change in Benefit Obligation
 
 
 
Benefit obligation at January 1
29,639,000,000 
33,223,000,000 
 
Service cost
483,000,000 
532,000,000 
468,000,000 
Interest cost
782,000,000 
936,000,000 
 
Amendments
0 
4,000,000 
 
Separation programs and other
71,000,000 
40,000,000 
 
Curtailments
2,000,000 
0 
 
Settlements
(131,000,000)
(29,000,000)
 
Plan participant contributions
22,000,000 
24,000,000 
 
Benefits paid
(1,252,000,000)
(1,350,000,000)
 
Foreign exchange translation
(2,576,000,000)
(2,995,000,000)
 
Actuarial (gain)/loss
3,584,000,000 
(746,000,000)
 
Benefit obligation at December 31
30,624,000,000 
29,639,000,000 
33,223,000,000 
Change in Plan Assets
 
 
 
Fair value of plan assets at January 1
25,141,000,000 
25,675,000,000 
 
Actual return on plan assets
3,041,000,000 
1,722,000,000 
 
Company contributions
1,346,000,000 
1,345,000,000 
 
Plan participant contributions
22,000,000 
24,000,000 
 
Benefits paid
(1,252,000,000)
(1,350,000,000)
 
Settlements
(131,000,000)
(29,000,000)
 
Foreign exchange translation
(2,612,000,000)
(2,238,000,000)
 
Defined Benefit Plan Other Increase Decrease Plan Assets
(6,000,000)
(8,000,000)
 
Fair value of plan assets at December 31
25,549,000,000 
25,141,000,000 
25,675,000,000 
Funded status at December 31
(5,075,000,000)
(4,498,000,000)
 
Amounts Recognized on the Balance Sheet
 
 
 
Prepaid assets
1,515,000,000 
1,611,000,000 
 
Accrued liabilities
(6,590,000,000)
(6,109,000,000)
 
Total
(5,075,000,000)
(4,498,000,000)
 
Amounts Recognized in Accumulated Other Comprehensive Loss (pre-tax)
 
 
 
Unamortized prior service costs/(credits)
213,000,000 
278,000,000 
 
Pension Plans in which Accumulated Benefit Obligation Exceeds Plan Assets at December 31
 
 
 
Accumulated benefit obligation
10,039,000,000 
9,634,000,000 
 
Fair value of plan assets
4,700,000,000 
4,636,000,000 
 
Accumulated Benefit Obligation at December 31
27,166,000,000 
26,835,000,000 
 
Pension Plans in which Projected Benefit Obligation Exceeds Plan Assets at December 31
 
 
 
Projected benefit obligation
11,703,000,000 
11,238,000,000 
 
Fair value of plan assets
5,113,000,000 
5,129,000,000 
 
Expected Future Benefit Payments and Amortization
 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months
1,170,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Two
1,080,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Three
1,100,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Four
1,120,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Five
1,130,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Year Thereafter
5,980,000,000 
 
 
Pension and Other Postretirement Benefit Plans, Amounts that Will be Amortized from Accumulated Other Comprehensive Income (Loss) in Next Fiscal Year [Abstract]
 
 
 
Prior service cost/(credit) expected to be recognized
35,000,000 
 
 
Worldwide OPEB [Member]
 
 
 
Change in Benefit Obligation
 
 
 
Benefit obligation at January 1
5,701,000,000 
6,375,000,000 
 
Service cost
49,000,000 
60,000,000 
54,000,000 
Interest cost
194,000,000 
236,000,000 
 
Amendments
14,000,000 
1,000,000 
 
Separation programs and other
0 
1,000,000 
 
Curtailments
0 
0 
 
Settlements
0 
0 
 
Plan participant contributions
20,000,000 
23,000,000 
 
Benefits paid - Worldwide OPEB
(382,000,000)
(402,000,000)
 
Foreign exchange translation
49,000,000 
(301,000,000)
 
Actuarial (gain)/loss
220,000,000 
(292,000,000)
 
Benefit obligation at December 31
5,865,000,000 
5,701,000,000 
6,375,000,000 
Change in Plan Assets
 
 
 
Fair value of plan assets at January 1
0 
0 
 
Actual return on plan assets
0 
0 
 
Company contributions
0 
0 
 
Plan participant contributions
20,000,000 
23,000,000 
 
Plan participant contributions - Worldwide OPEB
0 
0 
 
Benefits paid - Worldwide OPEB
0 
0 
 
Settlements
0 
0 
 
Foreign exchange translation
0 
0 
 
Defined Benefit Plan Other Increase Decrease Plan Assets
0 
0 
 
Fair value of plan assets at December 31
0 
0 
0 
Funded status at December 31
(5,865,000,000)
(5,701,000,000)
 
Amounts Recognized on the Balance Sheet
 
 
 
Prepaid assets
0 
0 
 
Accrued liabilities
(5,865,000,000)
(5,701,000,000)
 
Total
(5,865,000,000)
(5,701,000,000)
 
Amounts Recognized in Accumulated Other Comprehensive Loss (pre-tax)
 
 
 
Unamortized prior service costs/(credits)
(322,000,000)
(475,000,000)
 
Plan Contributions [Abstract]
 
 
 
Pension and Other Postretirement Benefit Contributions
1,200,000,000 
 
 
Pension and Other Postretirement Benefit Contributions Unfunded Plans
300,000,000 
 
 
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year
1,000,000,000 
 
 
Pension And Other Postretirement Expected Benefit Contributions Unfunded Plans
300,000,000 
 
 
Pension and Other Postretirement Benefit Contributions and Expected Future Employer Contributions To Funded and Unfunded Plans
1,300,000,000 
 
 
Expected Future Benefit Payments and Amortization
 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months
350,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Two
350,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Three
350,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Four
340,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Year Five
340,000,000 
 
 
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Year Thereafter
1,710,000,000 
 
 
Pension and Other Postretirement Benefit Plans, Amounts that Will be Amortized from Accumulated Other Comprehensive Income (Loss) in Next Fiscal Year [Abstract]
 
 
 
Prior service cost/(credit) expected to be recognized
(119,000,000)
 
 
Fixed Income |
U.S. Plans
 
 
 
Change in Plan Assets
 
 
 
Fair value of plan assets at December 31
31,002,000,000 
31,665,000,000 
 
Fixed Income |
Non-U.S. Plans
 
 
 
Change in Plan Assets
 
 
 
Fair value of plan assets at December 31
14,667,000,000 
13,971,000,000 
 
Alternatives |
U.S. Plans
 
 
 
Change in Plan Assets
 
 
 
Fair value of plan assets at December 31
6,643,000,000 
6,451,000,000 
 
Alternatives |
Non-U.S. Plans
 
 
 
Change in Plan Assets
 
 
 
Fair value of plan assets at December 31
2,760,000,000 
3,185,000,000 
 
Hedge Funds [Member] |
U.S. Plans
 
 
 
Change in Plan Assets
 
 
 
Fair value of plan assets at December 31
2,960,000,000 
2,723,000,000 
 
Hedge Funds [Member] |
Non-U.S. Plans
 
 
 
Change in Plan Assets
 
 
 
Fair value of plan assets at December 31
1,598,000,000 
1,870,000,000 
 
Private Equity Funds [Member] |
U.S. Plans
 
 
 
Change in Plan Assets
 
 
 
Fair value of plan assets at December 31
2,548,000,000 
2,745,000,000 
 
Private Equity Funds [Member] |
Non-U.S. Plans
 
 
 
Change in Plan Assets
 
 
 
Fair value of plan assets at December 31
$ 679,000,000 
$ 633,000,000 
 
Retirement Benefits - Fair Value of Plan Assets (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended 12 Months Ended 12 Months Ended
Dec. 31, 2016
Dec. 31, 2016
Alternatives
Dec. 31, 2016
Hedge funds
Dec. 31, 2016
U.S. Plans
Dec. 31, 2015
U.S. Plans
Dec. 31, 2014
U.S. Plans
Dec. 31, 2016
U.S. Plans
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Equity
Dec. 31, 2015
U.S. Plans
Equity
Dec. 31, 2016
U.S. Plans
Equity
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Equity
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Equity
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Equity
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Equity
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Equity
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
U.S. companies
Dec. 31, 2015
U.S. Plans
U.S. companies
Dec. 31, 2016
U.S. Plans
U.S. companies
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
U.S. companies
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
U.S. companies
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
U.S. companies
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
U.S. companies
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
U.S. companies
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
International companies
Dec. 31, 2015
U.S. Plans
International companies
Dec. 31, 2016
U.S. Plans
International companies
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
International companies
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
International companies
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
International companies
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
International companies
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
International companies
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Fixed Income
Dec. 31, 2015
U.S. Plans
Fixed Income
Dec. 31, 2016
U.S. Plans
Fixed Income
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Fixed Income
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Fixed Income
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Fixed Income
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Fixed Income
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Fixed Income
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
U.S. government
Dec. 31, 2015
U.S. Plans
U.S. government
Dec. 31, 2016
U.S. Plans
U.S. government
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
U.S. government
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
U.S. government
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
U.S. government
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
U.S. government
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
U.S. government
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
U.S. government-sponsored enterprises
Dec. 31, 2015
U.S. Plans
U.S. government-sponsored enterprises
Dec. 31, 2016
U.S. Plans
U.S. government-sponsored enterprises
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
U.S. government-sponsored enterprises
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
U.S. government-sponsored enterprises
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
U.S. government-sponsored enterprises
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
U.S. government-sponsored enterprises
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
U.S. government-sponsored enterprises
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Non-U.S. government
Dec. 31, 2015
U.S. Plans
Non-U.S. government
Dec. 31, 2016
U.S. Plans
Non-U.S. government
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Non-U.S. government
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Non-U.S. government
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Non-U.S. government
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Non-U.S. government
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Non-U.S. government
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Investment grade
Dec. 31, 2015
U.S. Plans
Investment grade
Dec. 31, 2016
U.S. Plans
Investment grade
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Investment grade
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Investment grade
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Investment grade
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Investment grade
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Investment grade
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
High yield
Dec. 31, 2015
U.S. Plans
High yield
Dec. 31, 2016
U.S. Plans
High yield
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
High yield
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
High yield
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
High yield
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
High yield
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
High yield
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Other credit
Dec. 31, 2015
U.S. Plans
Other credit
Dec. 31, 2016
U.S. Plans
Other credit
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Other credit
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Other credit
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Other credit
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Other credit
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Other credit
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Mortgage/other asset-backed
Dec. 31, 2015
U.S. Plans
Mortgage/other asset-backed
Dec. 31, 2016
U.S. Plans
Mortgage/other asset-backed
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Mortgage/other asset-backed
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Mortgage/other asset-backed
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Mortgage/other asset-backed
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Mortgage/other asset-backed
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Mortgage/other asset-backed
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Commingled funds
Dec. 31, 2015
U.S. Plans
Commingled funds
Dec. 31, 2016
U.S. Plans
Commingled funds
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Commingled funds
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Commingled funds
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Commingled funds
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Commingled funds
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Commingled funds
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Dec. 31, 2015
U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Dec. 31, 2016
U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Growth Assets [Member]
Dec. 31, 2016
U.S. Plans
Alternatives
Dec. 31, 2015
U.S. Plans
Alternatives
Dec. 31, 2016
U.S. Plans
Alternatives
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Alternatives
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Alternatives
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Alternatives
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Alternatives
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Alternatives
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Hedge funds
Dec. 31, 2015
U.S. Plans
Hedge funds
Dec. 31, 2016
U.S. Plans
Hedge funds
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Hedge funds
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Hedge funds
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Hedge funds
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Hedge funds
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Hedge funds
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Private equity
Dec. 31, 2015
U.S. Plans
Private equity
Dec. 31, 2016
U.S. Plans
Private equity
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Private equity
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Private equity
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Private equity
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Private equity
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Private equity
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Real estate
Dec. 31, 2015
U.S. Plans
Real estate
Dec. 31, 2016
U.S. Plans
Real estate
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Real estate
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Real estate
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Real estate
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Real estate
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Real estate
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Cash and cash equivalents
Dec. 31, 2015
U.S. Plans
Cash and cash equivalents
Dec. 31, 2016
U.S. Plans
Cash and cash equivalents
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Cash and cash equivalents
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Cash and cash equivalents
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Cash and cash equivalents
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Cash and cash equivalents
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Cash and cash equivalents
Level 3 [Member]
Dec. 31, 2016
U.S. Plans
Other
Dec. 31, 2015
U.S. Plans
Other
Dec. 31, 2016
U.S. Plans
Other
Level 1 [Member]
Dec. 31, 2015
U.S. Plans
Other
Level 1 [Member]
Dec. 31, 2016
U.S. Plans
Other
Level 2 [Member]
Dec. 31, 2015
U.S. Plans
Other
Level 2 [Member]
Dec. 31, 2016
U.S. Plans
Other
Level 3 [Member]
Dec. 31, 2015
U.S. Plans
Other
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Dec. 31, 2015
Non-U.S. Plans
Dec. 31, 2014
Non-U.S. Plans
Dec. 31, 2016
Non-U.S. Plans
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Equity
Dec. 31, 2015
Non-U.S. Plans
Equity
Dec. 31, 2016
Non-U.S. Plans
Equity
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Equity
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Equity
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Equity
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Equity
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Equity
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
U.S. companies
Dec. 31, 2015
Non-U.S. Plans
U.S. companies
Dec. 31, 2016
Non-U.S. Plans
U.S. companies
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
U.S. companies
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
U.S. companies
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
U.S. companies
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
U.S. companies
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
U.S. companies
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
International companies
Dec. 31, 2015
Non-U.S. Plans
International companies
Dec. 31, 2016
Non-U.S. Plans
International companies
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
International companies
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
International companies
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
International companies
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
International companies
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
International companies
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Fixed Income
Dec. 31, 2015
Non-U.S. Plans
Fixed Income
Dec. 31, 2016
Non-U.S. Plans
Fixed Income
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Fixed Income
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Fixed Income
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Fixed Income
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Fixed Income
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Fixed Income
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
U.S. government
Dec. 31, 2015
Non-U.S. Plans
U.S. government
Dec. 31, 2016
Non-U.S. Plans
U.S. government
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
U.S. government
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
U.S. government
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
U.S. government
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
U.S. government
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
U.S. government
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
U.S. government-sponsored enterprises
Dec. 31, 2015
Non-U.S. Plans
U.S. government-sponsored enterprises
Dec. 31, 2016
Non-U.S. Plans
U.S. government-sponsored enterprises
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
U.S. government-sponsored enterprises
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
U.S. government-sponsored enterprises
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
U.S. government-sponsored enterprises
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
U.S. government-sponsored enterprises
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
U.S. government-sponsored enterprises
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Non-U.S. government
Dec. 31, 2015
Non-U.S. Plans
Non-U.S. government
Dec. 31, 2016
Non-U.S. Plans
Non-U.S. government
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Non-U.S. government
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Non-U.S. government
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Non-U.S. government
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Non-U.S. government
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Non-U.S. government
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Investment grade
Dec. 31, 2015
Non-U.S. Plans
Investment grade
Dec. 31, 2016
Non-U.S. Plans
Investment grade
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Investment grade
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Investment grade
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Investment grade
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Investment grade
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Investment grade
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
High yield
Dec. 31, 2015
Non-U.S. Plans
High yield
Dec. 31, 2016
Non-U.S. Plans
High yield
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
High yield
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
High yield
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
High yield
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
High yield
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
High yield
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Other credit
Dec. 31, 2015
Non-U.S. Plans
Other credit
Dec. 31, 2016
Non-U.S. Plans
Other credit
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Other credit
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Other credit
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Other credit
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Other credit
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Other credit
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Mortgage/other asset-backed
Dec. 31, 2015
Non-U.S. Plans
Mortgage/other asset-backed
Dec. 31, 2016
Non-U.S. Plans
Mortgage/other asset-backed
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Mortgage/other asset-backed
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Mortgage/other asset-backed
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Mortgage/other asset-backed
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Mortgage/other asset-backed
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Mortgage/other asset-backed
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Commingled funds
Dec. 31, 2015
Non-U.S. Plans
Commingled funds
Dec. 31, 2016
Non-U.S. Plans
Commingled funds
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Commingled funds
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Commingled funds
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Commingled funds
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Commingled funds
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Commingled funds
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Dec. 31, 2015
Non-U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Dec. 31, 2016
Non-U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Fixed Income Funds Net Derivative Financial Instruments [Member]
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Alternatives
Dec. 31, 2015
Non-U.S. Plans
Alternatives
Dec. 31, 2016
Non-U.S. Plans
Alternatives
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Alternatives
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Alternatives
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Alternatives
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Alternatives
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Alternatives
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Hedge funds
Dec. 31, 2015
Non-U.S. Plans
Hedge funds
Dec. 31, 2016
Non-U.S. Plans
Hedge funds
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Hedge funds
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Hedge funds
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Hedge funds
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Hedge funds
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Hedge funds
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Private equity
Dec. 31, 2015
Non-U.S. Plans
Private equity
Dec. 31, 2016
Non-U.S. Plans
Private equity
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Private equity
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Private equity
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Private equity
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Private equity
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Private equity
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Real estate
Dec. 31, 2015
Non-U.S. Plans
Real estate
Dec. 31, 2016
Non-U.S. Plans
Real estate
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Real estate
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Real estate
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Real estate
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Real estate
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Real estate
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Cash and cash equivalents
Dec. 31, 2015
Non-U.S. Plans
Cash and cash equivalents
Dec. 31, 2016
Non-U.S. Plans
Cash and cash equivalents
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Cash and cash equivalents
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Cash and cash equivalents
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Cash and cash equivalents
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Cash and cash equivalents
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Cash and cash equivalents
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
Other
Dec. 31, 2015
Non-U.S. Plans
Other
Dec. 31, 2016
Non-U.S. Plans
Other
Level 1 [Member]
Dec. 31, 2015
Non-U.S. Plans
Other
Level 1 [Member]
Dec. 31, 2016
Non-U.S. Plans
Other
Level 2 [Member]
Dec. 31, 2015
Non-U.S. Plans
Other
Level 2 [Member]
Dec. 31, 2016
Non-U.S. Plans
Other
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Other
Level 3 [Member]
Dec. 31, 2016
Non-U.S. Plans
United Kingdom
Dec. 31, 2016
Non-U.S. Plans
Canada
Dec. 31, 2016
Non-U.S. Plans
Ford Werke GmbH [Member]
Other Pension Benefit Plan Asset Insurance Contracts [Member]
Level 3 [Member]
Dec. 31, 2015
Non-U.S. Plans
Ford Werke GmbH [Member]
Other Pension Benefit Plan Asset Insurance Contracts [Member]
Level 3 [Member]
Defined Benefit Plan Disclosure [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Defined Benefit Plan, Target Plan Asset Allocations
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
80.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
20.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Defined Benefit Plan Percent Of Employer And Related Party Securities Included In Plan Assets Maximum
1.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Expected long-term rate of return on assets
 
 
 
6.75% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
5.19% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
5.75% 
5.50% 
 
 
Lagged Valuation Adjustments Range, High
 
6 months 
6 months 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Defined Benefit Plan Fair Value Of Plan Assets Dividends And Interest Receivable
 
 
 
$ 345 
$ 363 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 93 
$ 94 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Defined Benefit Plan, Fair Value of Plan Assets
 
 
 
41,939 
41,252 
44,844 
9,212 
8,469 
26,068 
26,324 
14 
22 
3,843 
3,039 
3,810 
3,017 
25 
14 
1 
1 
2,359 
1,939 
2,353 
1,935 
6 
4 
0 
0 
1,484 
1,100 
1,457 
1,082 
19 
10 
1 
1 
31,002 
31,665 
5,184 
5,231 
25,652 
26,239 
13 
21 
5,157 
5,209 
5,157 
5,209 
0 
0 
0 
0 
3,030 
3,106 
0 
0 
3,030 
3,106 
0 
0 
1,343 
1,588 
0 
0 
1,343 
1,588 
0 
0 
8,922 
18,687 
0 
0 
8,922 
18,687 
0 
0 
11,525 
1,585 
0 
0 
11,512 
1,576 
13 
9 
203 
412 
0 
0 
203 
412 
0 
0 
855 
1,113 
0 
0 
855 
1,101 
0 
12 
153 
174 
0 
0 
0 
0 
0 
0 
(186)
(209)
27 
22 
(213)
(231)
0 
0 
 
6,643 
6,451 
0 
0 
158 
195 
0 
0 
2,960 
2,723 
0 
0 
158 
175 
0 
0 
2,548 
2,745 
0 
0 
0 
0 
0 
0 
1,135 
983 
0 
0 
0 
20 
0 
0 
1,603 
1,324 
218 
221 
1,385 
1,103 
0 
0 
(1,152)
(1,227)
0 
0 
(1,152)
(1,227)
0 
0 
25,549 
25,141 
25,675 
3,330 
3,076 
14,420 
13,238 
5,252 
5,257 
3,345 
3,346 
2,892 
2,937 
453 
293 
0 
1 
1,707 
1,734 
1,614 
1,647 
93 
1 
0 
0 
1,638 
1,612 
1,278 
1,290 
360 
292 
0 
1 
14,667 
13,971 
438 
139 
14,229 
13,453 
0 
0 
433 
138 
433 
138 
0 
0 
0 
0 
57 
10 
0 
0 
57 
10 
0 
0 
11,171 
10,650 
0 
0 
11,171 
10,650 
0 
0 
1,014 
2,027 
0 
0 
1,014 
2,027 
0 
0 
1,338 
539 
0 
0 
1,338 
539 
0 
0 
0 
65 
0 
0 
0 
65 
0 
0 
242 
292 
0 
0 
242 
292 
0 
0 
379 
379 
0 
0 
379 
0 
0 
0 
33 
(129)
5 
1 
28 
(130)
0 
0 
2,760 
3,185 
0 
0 
213 
109 
0 
0 
1,598 
1,870 
0 
0 
215 
108 
0 
0 
679 
633 
0 
0 
0 
0 
0 
0 
483 
682 
0 
0 
(2)
1 
0 
0 
97 
556 
0 
0 
97 
556 
0 
0 
4,680 
4,083 
0 
0 
(572)
(1,173)
5,252 
5,256 
 
 
4,500 
4,400 
Net Asset Value Excluded From Fair Value By Input
 
 
 
$ 6,645 
$ 6,437 
 
 
 
 
 
 
 
$ 7 
$ 7 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 7 
$ 7 
 
 
 
 
 
 
$ 153 
$ 174 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 153 
$ 174 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
 
$ 6,485 
$ 6,256 
 
 
 
 
 
 
$ 2,802 
$ 2,548 
 
 
 
 
 
 
$ 2,548 
$ 2,745 
 
 
 
 
 
 
$ 1,135 
$ 963 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 2,547 
$ 3,570 
 
 
 
 
 
 
 
$ 0 
$ 115 
 
 
 
 
 
 
$ 0 
$ 86 
 
 
 
 
 
 
$ 0 
$ 29 
 
 
 
 
 
 
$ 0 
$ 379 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 379 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 2,547 
$ 3,076 
 
 
 
 
 
 
$ 1,383 
$ 1,762 
 
 
 
 
 
 
$ 679 
$ 633 
 
 
 
 
 
 
$ 485 
$ 681 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
$ 0 
$ 0 
 
 
 
 
 
 
 
 
 
 
Retirement Benefits - Changes in Level 3 Pension Benefit Plan Assets Measured at Fair Value on a Recurring Basis (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Defined Benefit Plan Disclosure [Line Items]
 
 
Defined Benefit Plan Fair Value Measurement With Unobservable Inputs Change in Technique Quantification of Effect
 
$ 725 
U.S. Plans
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Fair Value at January 1
22 
48 
Attributable to Assets Held at December 31
5 
(9)
Attributable to Assets Sold
0 
0 
Net Purchases/ (Settlements)
(13)
(4)
Transfers Into/ (Out of) Level 3
0 
(13)
Fair Value at December 31
14 
22 
Non-U.S. Plans (a)
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Fair Value at January 1
5,257 
4,725 
Attributable to Assets Held at December 31
(5)
531 
Attributable to Assets Sold
0 
0 
Net Purchases/ (Settlements)
0 
0 
Transfers Into/ (Out of) Level 3
0 
1 
Fair Value at December 31
5,252 
5,257 
Non-U.S. Plans (a) |
Ford Werke GmbH [Member] |
Other Pension Benefit Plan Asset Insurance Contracts [Member]
 
 
Defined Benefit Plan Disclosure [Line Items]
 
 
Fair Value at December 31
$ 4,500 
$ 4,400 
Debt And Commitments - Debt Outstanding (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Debt Instrument [Line Items]
 
 
 
Debt
$ 142,970 
$ 132,854 
$ 119,171 
Operating Segments [Member] |
Automotive
 
 
 
Debt Instrument [Line Items]
 
 
 
Unamortized (discount)/premium, current
(57)
0 
 
Total debt payable within one year
2,685 
1,779 
 
Unamortized (discount)/premium, non-current
(320)
(412)
 
Unamortized issuance costs, non-current
(76)
(60)
 
Total long-term debt payable after one year
13,222 
11,060 
 
Debt
15,907 
12,839 
13,824 
Interest Payable
258 
213 
 
Interest Paid, Net
780 
693 
774 
Operating Segments [Member] |
Automotive |
Fair Value, Measurements, Nonrecurring [Member] |
Level 2 [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Debt Instrument, Fair Value
17,433 
14,199 
 
Operating Segments [Member] |
Automotive |
Other debt [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Long-term payable within one year
827 
370 
 
Long-term debt payable after one year
1,573 
1,696 
 
Debt
3,482 
 
 
Operating Segments [Member] |
Automotive |
Other debt [Member] |
DOE ATVM Incentive Program
 
 
 
Debt Instrument [Line Items]
 
 
 
Long-term payable within one year
591 
591 
 
Long-term debt payable after one year
2,651 
3,242 
 
Debt
3,242 
 
 
Operating Segments [Member] |
Automotive |
Corporate debt
 
 
 
Debt Instrument [Line Items]
 
 
 
Long-term debt payable after one year
9,394 
6,594 
 
Debt
9,183 
 
 
Operating Segments [Member] |
Automotive |
Corporate Debt Securities and Notes Payable Other Payables [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Debt, Weighted Average Contractual Interest Rate
5.50% 
5.30% 
 
Debt, Weighted Average Effective Interest Rate
6.20% 
6.00% 
 
Operating Segments [Member] |
Automotive |
Other debt [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Short-term
1,324 
818 
 
Debt, Weighted Average Contractual Interest Rate
10.30% 
7.30% 
 
Debt, Weighted Average Effective Interest Rate
10.30% 
7.30% 
 
Operating Segments [Member] |
Financial Services
 
 
 
Debt Instrument [Line Items]
 
 
 
Unamortized (discount)/premium, current
(2)
(5)
 
Unamortized issuance costs, current
(16)
(18)
 
Fair value adjustments, current
17 
0 
 
Total debt payable within one year
46,984 
41,196 
 
Unamortized (discount)/premium, non-current
(9)
(24)
 
Unamortized issuance costs, non-current
(197)
(198)
 
Fair value adjustments, non-current
261 
458 
 
Total long-term debt payable after one year
80,079 
78,819 
 
Debt
127,063 
120,015 
105,347 
Interest Payable
676 
568 
 
Interest Paid, Net
2,600 
2,400 
2,700 
Operating Segments [Member] |
Financial Services |
Fair Value, Measurements, Nonrecurring [Member] |
Level 2 [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Debt Instrument, Fair Value
128,777 
121,170 
 
Operating Segments [Member] |
Financial Services |
Unsecured Debt [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Long-term payable within one year
12,369 
10,241 
 
Long-term debt payable after one year
49,912 
49,193 
 
Debt
76,664 
 
 
Operating Segments [Member] |
Financial Services |
Secured Debt [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Long-term payable within one year
19,286 
18,855 
 
Long-term debt payable after one year
30,112 
29,390 
 
Debt
50,399 
 
 
Operating Segments [Member] |
Financial Services |
Securitized and Unsecuritized Debt [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Debt, Weighted Average Contractual Interest Rate
2.40% 
2.30% 
 
Debt, Weighted Average Effective Interest Rate
2.50% 
2.40% 
 
Operating Segments [Member] |
Financial Services |
Other debt [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Short-term
15,330 
12,123 
 
Debt, Weighted Average Contractual Interest Rate
2.30% 
1.60% 
 
Debt, Weighted Average Effective Interest Rate
2.30% 
1.60% 
 
Short-term Debt [Member] |
Operating Segments [Member] |
Automotive |
Fair Value, Estimate Not Practicable, Carrying (Reported) Amount [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Fair Value, Estimate Not Practicable, Debt Instrument
1,100 
560 
 
Short-term Debt [Member] |
Operating Segments [Member] |
Financial Services |
Fair Value, Estimate Not Practicable, Carrying (Reported) Amount [Member]
 
 
 
Debt Instrument [Line Items]
 
 
 
Fair Value, Estimate Not Practicable, Debt Instrument
$ 14,300 
$ 10,300 
 
Debt And Commitments - Maturities (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Maturities of Long-term Debt and Capital Lease Obligations, including and Short Term Debt [Abstract]
 
 
 
Debt
$ 142,970 
$ 132,854 
$ 119,171 
Operating Segments [Member] |
Automotive
 
 
 
Maturities of Long-term Debt and Capital Lease Obligations, including and Short Term Debt [Abstract]
 
 
 
Maturities due In Next Twelve Months
2,742 
 
 
Maturities due in Year Two
1,510 
 
 
Maturities due in Year Three
831 
 
 
Maturities due in Year Four
953 
 
 
Maturities due in Year Five
744 
 
 
Maturities due after Year Five
9,580 
 
 
Adjustments
(453)
 
 
Debt
15,907 
12,839 
13,824 
Operating Segments [Member] |
Automotive |
Corporate debt [Member]
 
 
 
Maturities of Long-term Debt and Capital Lease Obligations, including and Short Term Debt [Abstract]
 
 
 
Maturities due In Next Twelve Months
0 
 
 
Maturities due in Year Two
361 
 
 
Maturities due in Year Three
0 
 
 
Maturities due in Year Four
0 
 
 
Maturities due in Year Five
0 
 
 
Maturities due after Year Five
9,033 
 
 
Adjustments
(211)
 
 
Debt
9,183 
 
 
Operating Segments [Member] |
Automotive |
Other debt [Member]
 
 
 
Maturities of Long-term Debt and Capital Lease Obligations, including and Short Term Debt [Abstract]
 
 
 
Maturities due In Next Twelve Months
2,151 
 
 
Maturities due in Year Two
558 
 
 
Maturities due in Year Three
240 
 
 
Maturities due in Year Four
362 
 
 
Maturities due in Year Five
153 
 
 
Maturities due after Year Five
260 
 
 
Adjustments
(242)
 
 
Debt
3,482 
 
 
Operating Segments [Member] |
Automotive |
Other debt [Member] |
DOE ATVM Incentive Program
 
 
 
Maturities of Long-term Debt and Capital Lease Obligations, including and Short Term Debt [Abstract]
 
 
 
Maturities due In Next Twelve Months
591 
 
 
Maturities due in Year Two
591 
 
 
Maturities due in Year Three
591 
 
 
Maturities due in Year Four
591 
 
 
Maturities due in Year Five
591 
 
 
Maturities due after Year Five
287 
 
 
Adjustments
0 
 
 
Debt
3,242 
 
 
Operating Segments [Member] |
Financial Services
 
 
 
Maturities of Long-term Debt and Capital Lease Obligations, including and Short Term Debt [Abstract]
 
 
 
Maturities due In Next Twelve Months
46,985 
 
 
Maturities due in Year Two
24,503 
 
 
Maturities due in Year Three
20,860 
 
 
Maturities due in Year Four
11,881 
 
 
Maturities due in Year Five
11,604 
 
 
Maturities due after Year Five
11,176 
 
 
Adjustments
54 
 
 
Debt
127,063 
120,015 
105,347 
Operating Segments [Member] |
Financial Services |
Unsecured Debt [Member]
 
 
 
Maturities of Long-term Debt and Capital Lease Obligations, including and Short Term Debt [Abstract]
 
 
 
Maturities due In Next Twelve Months
26,636 
 
 
Maturities due in Year Two
12,374 
 
 
Maturities due in Year Three
11,135 
 
 
Maturities due in Year Four
6,972 
 
 
Maturities due in Year Five
9,305 
 
 
Maturities due after Year Five
10,126 
 
 
Adjustments
116 
 
 
Debt
76,664 
 
 
Operating Segments [Member] |
Financial Services |
Secured Debt [Member]
 
 
 
Maturities of Long-term Debt and Capital Lease Obligations, including and Short Term Debt [Abstract]
 
 
 
Maturities due In Next Twelve Months
20,349 
 
 
Maturities due in Year Two
12,129 
 
 
Maturities due in Year Three
9,725 
 
 
Maturities due in Year Four
4,909 
 
 
Maturities due in Year Five
2,299 
 
 
Maturities due after Year Five
1,050 
 
 
Adjustments
(62)
 
 
Debt
$ 50,399 
 
 
Debt and Commitments - Public Unsecured Debt Securities (Details) (Operating Segments [Member], Automotive, Corporate debt, USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Debt Instrument [Line Items]
 
 
Debt, principal amount
$ 9,394 
$ 6,594 
Debentures due August 1, 2018 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
361 
361 
Debt Instrument, Interest Rate, Stated Percentage
6.50% 
 
Debentures due January 15, 2022 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
86 
86 
Debt Instrument, Interest Rate, Stated Percentage
8.875% 
 
Debentures due November 15, 2025 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
209 
209 
Debt Instrument, Interest Rate, Stated Percentage
7.125% 
 
Debentures due August 1, 2026 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
193 
193 
Debt Instrument, Interest Rate, Stated Percentage
7.50% 
 
Debentures due February 15, 2028 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
104 
104 
Debt Instrument, Interest Rate, Stated Percentage
6.625% 
 
Debentures due October 1, 2028 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
638 
638 
Debt Instrument, Interest Rate, Stated Percentage
6.625% 
 
Debentures due February 1, 2029 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
260 
260 
Debt Instrument, Interest Rate, Stated Percentage
6.375% 
 
GLOBLS due July 16 2031 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
1,794 
1,794 
Debt Instrument, Interest Rate, Stated Percentage
7.45% 
 
Debentures due January 15, 2032 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
151 
151 
Debt Instrument, Interest Rate, Stated Percentage
8.90% 
 
Debentures due February 15, 2032 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
4 
4 
Debt Instrument, Interest Rate, Stated Percentage
9.95% 
 
Debentures due June 15, 2043 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
73 
73 
Debt Instrument, Interest Rate, Stated Percentage
7.75% 
 
Debentures due November 1, 2046 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
398 
398 
Debt Instrument, Interest Rate, Stated Percentage
7.40% 
 
Debentures due February 15, 2047 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
181 
181 
Debt Instrument, Interest Rate, Stated Percentage
9.98% 
 
Debentures due May 15, 2097 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
142 
142 
Debt Instrument, Interest Rate, Stated Percentage
7.70% 
 
Notes Due December 8, 2026 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
1,500 
0 
Debt Instrument, Interest Rate, Stated Percentage
4.346% 
 
Notes Due December 8, 2046 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
1,300 
0 
Debt Instrument, Interest Rate, Stated Percentage
5.291% 
 
Notes Due January 15, 2043 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt, principal amount
2,000 
2,000 
Debt Instrument, Interest Rate, Stated Percentage
4.75% 
 
Debentures due September 15, 2021 [Member]
 
 
Debt Instrument [Line Items]
 
 
Debt Instrument, Interest Rate, Stated Percentage
9.215% 
 
Public Unsecured Debt Aggregate Principal Amount Outstanding of On Lent Securities
$ 180 
 
Debt and Commitments - DOE ATVM Incentive Program, and Automotive Credit Facilities (Details) (Operating Segments [Member], Automotive, USD $)
12 Months Ended
Dec. 31, 2016
Revolving Credit Facility [Member]
 
Debt Instrument [Line Items]
 
Line of Credit Facility, Maximum Borrowing Capacity
$ 13,400,000,000 
Debt Covenant Minimum Liquidity Amount
4,000,000,000 
Line of Credit Facility, Amount Outstanding
35,000,000 
Revolving Credit Facility, Maturing April 30, 2021
 
Debt Instrument [Line Items]
 
Line of Credit, Percent Maturing
75.00% 
Revolving Credit Facility, Maturing April 30, 2019
 
Debt Instrument [Line Items]
 
Line of Credit, Percent Maturing
25.00% 
Revolving Credit Facility, Committed to Ford Credit
 
Debt Instrument [Line Items]
 
Line of Credit Facility, Maximum Borrowing Capacity
3,000,000,000 
Non-U.S. Automotive Affiliates Debt
 
Debt Instrument [Line Items]
 
Line of Credit Facility, Maximum Borrowing Capacity
1,500,000,000 
Line of Credit Facility, Amount Outstanding
967,000,000 
Other debt [Member] |
DOE ATVM Incentive Program
 
Debt Instrument [Line Items]
 
Line of Credit Facility, Maximum Borrowing Capacity
5,900,000,000 
Line of Credit Facility, Remaining Borrowing Capacity
3,200,000,000 
Line of Credit Facility, Interest Rate During Period
2.30% 
Line of Credit Facility, Periodic Payment
$ 148,000,000 
Debt and Commitments - Asset Backed Debt (Details) (USD $)
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Debt Instrument [Line Items]
 
 
 
 
Derivative income/(expense)
$ 1,561,000,000 
$ 537,000,000 
$ 736,000,000 
 
Cash and cash equivalents
15,905,000,000 
14,272,000,000 
10,757,000,000 
14,468,000,000 
Finance receivables, net
96,190,000,000 
90,691,000,000 
 
 
Net investment in operating leases
28,829,000,000 
27,093,000,000 
 
 
Debt
142,970,000,000 
132,854,000,000 
119,171,000,000 
 
Securitization Transactions VIE Primary Beneficiary and Non VIEs Primary Beneficiary [Member]
 
 
 
 
Debt Instrument [Line Items]
 
 
 
 
Net investment in operating leases
11,800,000,000 
13,300,000,000 
 
 
Financial Services |
Securitization Transactions VIE Primary Beneficiary and Non VIEs Primary Beneficiary [Member] |
Secured Debt [Member] |
Minimum [Member]
 
 
 
 
Debt Instrument [Line Items]
 
 
 
 
Cash contribution for collateral to support Wholesale Securitization Program
0 
0 
 
 
Financial Services |
Securitization Transactions VIE Primary Beneficiary and Non VIEs Primary Beneficiary [Member] |
Secured Debt [Member] |
Maximum [Member]
 
 
 
 
Debt Instrument [Line Items]
 
 
 
 
Cash contribution for collateral to support Wholesale Securitization Program
12,000,000 
72,000,000 
 
 
Operating Segments [Member] |
Financial Services
 
 
 
 
Debt Instrument [Line Items]
 
 
 
 
Cash and cash equivalents
8,077,000,000 
8,886,000,000 
 
 
Net investment in operating leases
27,209,000,000 
25,079,000,000 
 
 
Debt
127,063,000,000 
120,015,000,000 
105,347,000,000 
 
Operating Segments [Member] |
Financial Services |
Secured Debt [Member]
 
 
 
 
Debt Instrument [Line Items]
 
 
 
 
Debt
50,399,000,000 
 
 
 
Operating Segments [Member] |
Financial Services |
Securitization Transactions VIE Primary Beneficiary and Non VIEs Primary Beneficiary [Member]
 
 
 
 
Debt Instrument [Line Items]
 
 
 
 
Cash and cash equivalents
3,400,000,000 
4,300,000,000 
 
 
Finance receivables, net
58,300,000,000 
53,600,000,000 
 
 
Net investment in operating leases
11,800,000,000 
13,300,000,000 
 
 
Debt
50,400,000,000 
50,000,000,000 
 
 
Operating Segments [Member] |
Financial Services |
Securitization Transactions VIE Primary Beneficiary and Non VIEs Primary Beneficiary [Member] |
Secured Debt [Member]
 
 
 
 
Debt Instrument [Line Items]
 
 
 
 
Cash Collateral to Support Wholesale Transactions
0 
 
 
 
Derivative income/(expense)
(29,000,000)
2,000,000 
4,000,000 
 
Interest expense on securitization debt
$ 773,000,000 
$ 630,000,000 
$ 595,000,000 
 
Debt and Commitments - Committed Credit Facilities (Details) (Ford Motor Credit Company LLC [Member], Operating Segments [Member], Financial Services, USD $)
In Billions, unless otherwise specified
Dec. 31, 2016
Ford Motor Credit Company LLC [Member] |
Operating Segments [Member] |
Financial Services
 
Debt Instrument [Line Items]
 
Line of Credit Facility, Maximum Borrowing Capacity
$ 40.1 
Line of Credit Facility, Remaining Borrowing Capacity
$ 19.5 
Redeemable Noncontrolling Interest Redeemable Noncontrolling Interest (Details) (USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Redeemable Noncontrolling Interest [Line Items]
 
 
Redeemable Noncontrolling Interest, Equity, Carrying Amount
$ 96 
$ 94 
Ford Sollers Netherlands B.V. [Member]
 
 
Redeemable Noncontrolling Interest [Line Items]
 
 
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners
50.00% 
 
Redeemable Noncontrolling Interest, Equity, Carrying Amount
$ 96 
$ 94 
Variable Interest Entities - VIEs of Which We Are Not the Primary Beneficiary (Details) (Variable Interest Entity, Not Primary Beneficiary [Member], USD $)
In Millions, unless otherwise specified
Dec. 31, 2016
Dec. 31, 2015
Variable Interest Entity, Not Primary Beneficiary [Member]
 
 
Variable Interest Entity [Line Items]
 
 
Total maximum exposure
$ 262 
$ 251 
Derivative Financial Instruments and Hedging Activities Income Effect of Derivative Financial Instruments (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Derivative [Line Items]
 
 
 
Maximum Length of Time Hedged in Cash Flow Hedge
2 years 
 
 
Gain/(Loss) Recognized in Income
$ 1,561 
$ 537 
$ 736 
Designated as Hedging Instrument [Member]
 
 
 
Derivative [Line Items]
 
 
 
Change in Unrealized Gain (Loss) on Fair Value Hedging Instruments
(120)
72 
407 
Change in Unrealized Gain (Loss) on Hedged Item in Fair Value Hedge
124 
(69)
(387)
Designated as Hedging Instrument [Member] |
Cash Flow Hedging [Member] |
Foreign currency exchange contracts [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Reclassified from AOCI to Income
537 
(239)
78 
Gain/(Loss) Recorded in OCI
770 
123 
(271)
Designated as Hedging Instrument [Member] |
Fair Value Hedging [Member] |
Interest rate contracts [Member]
 
 
 
Derivative [Line Items]
 
 
 
Net interest settlements and accruals excluded from the assessment of hedge effectiveness
367 
370 
304 
Ineffectiveness
4 
3 
20 
Not Designated as Hedging Instrument [Member] |
Foreign currency exchange contracts [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in Income
257 
425 
261 
Not Designated as Hedging Instrument [Member] |
Cross-currency interest rate swap contracts [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in Income
398 
100 
161 
Not Designated as Hedging Instrument [Member] |
Interest rate contracts [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in Income
(9)
(58)
(41)
Not Designated as Hedging Instrument [Member] |
Commodity Contract [Member]
 
 
 
Derivative [Line Items]
 
 
 
Gain/(Loss) Recognized in Income
$ 7 
$ (64)
$ (47)
Balance Sheet Effect of Derivative Financial Instruments (Details) (USD $)
Dec. 31, 2016
Dec. 31, 2015
Derivative [Line Items]
 
 
Notional
$ 134,914,000,000 
$ 129,083,000,000 
Derivative Asset
1,895,000,000 
1,852,000,000 
Derivative Liability
619,000,000 
873,000,000 
Derivative Asset, Current
1,108,000,000 
1,209,000,000 
Derivative Liability, Current
371,000,000 
692,000,000 
Derivative Asset, Noncurrent
787,000,000 
643,000,000 
Derivative Liability, Noncurrent
248,000,000 
181,000,000 
Net obligation to return cash collateral
3,000,000 
0 
Designated as Hedging Instrument [Member] |
Cash Flow Hedging [Member] |
Foreign currency exchange contracts [Member]
 
 
Derivative [Line Items]
 
 
Notional
19,091,000,000 
12,593,000,000 
Designated as Hedging Instrument [Member] |
Fair Value Hedging [Member] |
Interest rate contracts [Member]
 
 
Derivative [Line Items]
 
 
Notional
33,175,000,000 
28,964,000,000 
Not Designated as Hedging Instrument [Member] |
Foreign currency exchange contracts [Member]
 
 
Derivative [Line Items]
 
 
Notional
17,227,000,000 
21,108,000,000 
Not Designated as Hedging Instrument [Member] |
Cross-currency interest rate swap contracts [Member]
 
 
Derivative [Line Items]
 
 
Notional
3,201,000,000 
3,137,000,000 
Not Designated as Hedging Instrument [Member] |
Interest rate contracts [Member]
 
 
Derivative [Line Items]
 
 
Notional
61,689,000,000 
62,638,000,000 
Not Designated as Hedging Instrument [Member] |
Commodity Contract [Member]
 
 
Derivative [Line Items]
 
 
Notional
531,000,000 
643,000,000 
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member]
 
 
Derivative [Line Items]
 
 
Fair Value of Assets
1,895,000,000 
1,852,000,000 
Fair Value of Liabilities
619,000,000 
873,000,000 
Counterparty netting, Assets
554,000,000 
733,000,000 
Counterparty netting, Liabilities
544,000,000 
733,000,000 
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member] |
Designated as Hedging Instrument [Member] |
Cash Flow Hedging [Member] |
Foreign currency exchange contracts [Member]
 
 
Derivative [Line Items]
 
 
Fair Value of Assets
620,000,000 
522,000,000 
Fair Value of Liabilities
257,000,000 
366,000,000 
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member] |
Designated as Hedging Instrument [Member] |
Fair Value Hedging [Member] |
Interest rate contracts [Member]
 
 
Derivative [Line Items]
 
 
Fair Value of Assets
487,000,000 
670,000,000 
Fair Value of Liabilities
80,000,000 
16,000,000 
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member] |
Not Designated as Hedging Instrument [Member] |
Foreign currency exchange contracts [Member]
 
 
Derivative [Line Items]
 
 
Fair Value of Assets
379,000,000 
426,000,000 
Fair Value of Liabilities
194,000,000 
242,000,000 
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member] |
Not Designated as Hedging Instrument [Member] |
Cross-currency interest rate swap contracts [Member]
 
 
Derivative [Line Items]
 
 
Fair Value of Assets
242,000,000 
73,000,000 
Fair Value of Liabilities
8,000,000 
111,000,000 
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member] |
Not Designated as Hedging Instrument [Member] |
Interest rate contracts [Member]
 
 
Derivative [Line Items]
 
 
Fair Value of Assets
156,000,000 
159,000,000 
Fair Value of Liabilities
74,000,000 
112,000,000 
Fair Value, Measurements, Recurring [Member] |
Level 2 [Member] |
Not Designated as Hedging Instrument [Member] |
Commodity Contract [Member]
 
 
Derivative [Line Items]
 
 
Fair Value of Assets
11,000,000 
2,000,000 
Fair Value of Liabilities
$ 6,000,000 
$ 26,000,000 
Accumulated Other Comprehensive Income/(Loss) (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Pension and other postretirement benefits
 
 
 
Total AOCI ending balance at December 31
$ (7,013)
$ (6,257)
 
Cash Flow Hedge Gain (Loss) to be Reclassified within Twelve Months
358 
 
 
Parent Company [Member]
 
 
 
Foreign currency translation
 
 
 
Beginning balance
(3,570)
(2,438)
(2,402)
Gains/(Losses) on foreign currency translation
(494)
(969)
(206)
Less: Tax/(Tax benefit) (a)
537 
177 
(17)
Net gains/(losses) on foreign currency translation
(1,031)
(1,146)
(189)
(Gains)/Losses reclassified from AOCI to net income (b)
8 
14 
153 
Other comprehensive income/(loss), net of tax
(1,023)
(1,132)
(36)
Ending balance
(4,593)
(3,570)
(2,438)
Marketable securities
 
 
 
Beginning balance
(6)
0 
0 
Gains/(Losses) on available for sale securities
(13)
(10)
0 
Less: Tax/(Tax benefit)
(10)
(4)
0 
Net gains/(losses) on available for sale securities
(3)
(6)
0 
(Gains)/Losses reclassified from AOCI to net income
(1)
0 
0 
Less: Tax/(Tax benefit)
4 
 
0 
Net (gains)/losses reclassified from AOCI to net income
(5)
0 
0 
Other comprehensive income/(loss), net of tax
(8)
(6)
0 
Ending balance
(14)
(6)
0 
Derivative instruments
 
 
 
Beginning balance
64 
(163)
19 
Gains/(Losses) on derivative instruments
770 
123 
(271)
Less: Tax/(Tax benefit)
144 
50 
(96)
Net gains/(losses) on derivative instruments
626 
73 
(175)
(Gains)/Losses reclassified from AOCI to net income
(537)
239 
(78)
Less: Tax/(Tax benefit)
(130)
85 
(71)
Net (gains)/losses reclassified from AOCI to net income (c)
(407)
154 
(7)
Other comprehensive income/(loss), net of tax
219 
227 
(182)
Ending balance
283 
64 
(163)
Pension and other postretirement benefits
 
 
 
Beginning balance
(2,745)
(2,664)
(2,641)
Prior service (costs)/credits arising during the period
(16)
(104)
(11)
Less: Tax/(Tax benefit)
(4)
(41)
(2)
Net prior service (costs)/credits arising during the period
(12)
(63)
(9)
Amortization and recognition of prior service costs/(credits) (d)
66 
(2)
(19)
Less: Tax/(Tax benefit)
22 
6 
(7)
Net prior service costs/(credits) reclassified from AOCI to net income
44 
(8)
(12)
Translation impact on non-U.S. plans
24 
(10)
(2)
Other comprehensive income/(loss), net of tax
56 
(81)
(23)
Ending balance
(2,689)
(2,745)
(2,664)
Total AOCI ending balance at December 31
$ (7,013)
$ (6,257)
$ (5,265)
Other Income and Loss (Details) (USD $)
In Millions, unless otherwise specified
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Investment-related interest income
$ 291 
$ 309 
$ 244 
Interest income/(expense) on income taxes
3 
3 
96 
Operating Segments [Member] |
Non-Financial Services [Member]
 
 
 
Investment-related interest income
217 
233 
193 
Interest income/(expense) on income taxes
(5)
0 
109 
Realized and unrealized gains/(losses) on cash equivalents and marketable securities
(9)
46 
(9)
Gains/(Losses) on changes in investments in affiliates
139 
42 
(798)
Gains/(Losses) on extinguishment of debt
0 
1 
(132)
Royalty income
714 
666 
559 
Other
300 
200 
154 
Total
1,356 
1,188 
76 
Operating Segments [Member] |
Financial Services
 
 
 
Investment-related interest income
74 
76 
51 
Interest income/(expense) on income taxes
8 
3 
(13)
Insurance premiums earned
156 
133 
125 
Other
200 
160 
185 
Total
$ 438 
$ 372 
$ 348 
Share-Based Compensation (Details) (USD $)
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
LTIP 2008 [Member]
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
Percent Of Share Based Award Available For Grant In Succeeding Calendar Year
2.00% 
 
 
Percent Of Share Based Award Available For Grant Limit On Increase
3.00% 
 
 
Number of unused share-based awards carried forward
423,000,000 
 
 
Performance Shares [Member]
 
 
 
Assumptions [Abstract]
 
 
 
Grant date fair value
$ 15.56 
$ 16.98 
 
Share Price
$ 13.54 
$ 16.03 
 
Expected volatility
23.10% 
23.30% 
 
Risk free interest rate
0.98% 
1.09% 
 
Annualized dividend yield
4.43% 
3.74% 
 
Period Used In Expected Volatility Calculations
3 years 
 
 
Restricted Stock Units (RSUs) [Member]
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
Share Based Compensation Arrangement by Share based Payment Award Vesting Rights Percentage Anniversary Year 1
33.00% 
 
 
Share Based Compensation Arrangement by Share based Payment Award Vesting Rights Percentage Anniversary Year 2
33.00% 
 
 
Share Based Compensation Arrangement by Share based Payment Award Vesting Rights Percentage Anniversary Year 3
33.00% 
 
 
Share Based Compensation Arrangement By Share Based Payment Award Requisite Performance Period
3 years 
 
 
Stock activity rollforward
 
 
 
Outstanding, beginning of year (in shares)
27,400,000 
 
 
Granted (in shares)
17,500,000 
 
 
Vested (in shares)
(11,100,000)
 
 
Forfeited (in shares)
(400,000)
 
 
Outstanding, end of year (in shares)
33,400,000 
27,400,000 
 
RSU-stock expected to vest (in shares)
32,900,000 
 
 
Outstanding, beginning of year (weighted-average grant date fair value)
$ 15.04 
 
 
Granted (weighted-average grant-date fair value)
$ 13.54 
 
 
Vested (weighted-average grant-date fair value)
$ 14.07 
 
 
Forfeited (weighted-average grant-date fair value)
$ 14.13 
 
 
Outstanding, end of year (weighted-average grant date fair value)
$ 14.49 
$ 15.04 
 
Compensation cost [Abstract]
 
 
 
Fair value of vested shares
$ 157,000,000 
$ 126,000,000 
$ 102,000,000 
Weighted average grant fair value (per unit)
13.54 
15.86 
15.40 
Compensation cost
135,000,000 
125,000,000 
95,000,000 
Tax benefit from compensation expense
72,000,000 
65,000,000 
49,000,000 
Unrealized compensation cost on non-vested stock
90,000,000 
 
 
Unrealized compensation weighted average period non-vested stock
1 year 10 months 
 
 
Restricted Stock Units (RSUs) [Member] |
2014 Plan RSU Awards [Member]
 
 
 
Stock activity rollforward
 
 
 
Vested, Unissued (in shares)
362,271 
 
 
Employee Stock Option [Member]
 
 
 
Compensation cost [Abstract]
 
 
 
Compensation cost
2,100,000 
 
 
Tax benefit from compensation expense
500,000 
 
 
Unrealized compensation cost on non-vested stock
400,000 
 
 
Stock Options [Abstract]
 
 
 
Outstanding (in shares)
35,500,000 
45,400,000 
 
Exercisable (in shares)
33,400,000 
39,300,000 
 
Intrinsic value of vested options
75,000,000 
 
 
Intrinsic value of unvested options
0 
 
 
Average remaining term vested options
4 years 2 months 
 
 
Average remaining term unvested options
7 years 2 months 
 
 
Cash received from exercise of stock options
58,000,000 
 
 
New stock issuances to settle exercised options
$ 119,000,000 
 
 
PeerGroup [Member] |
Performance Shares [Member]
 
 
 
Assumptions [Abstract]
 
 
 
Expected volatility
26.40% 
24.10% 
 
Income Taxes (Details) (USD $)
12 Months Ended 12 Months Ended 3 Months Ended 12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Dec. 31, 2016
Non-US [Member]
Dec. 31, 2016
South America [Member]
Dec. 31, 2016
OperatingLossCarryforward [Member]
Dec. 31, 2016
IRS Section 987 Tax Regulation [Member]
Dec. 31, 2016
IRS Section 987 Tax Regulation [Member]
Income before income taxes (in millions)
 
 
 
 
 
 
 
 
U.S.
$ 5,266,000,000 
$ 5,374,000,000 
$ 3,852,000,000 
 
 
 
 
 
Non-U.S.
1,530,000,000 
4,878,000,000 
(2,618,000,000)
 
 
 
 
 
Total
6,796,000,000 
10,252,000,000 
1,234,000,000 
 
 
 
 
 
Current
 
 
 
 
 
 
 
 
Federal
(122,000,000)
75,000,000 
(2,000,000)
 
 
 
 
 
Non-U.S.
630,000,000 
572,000,000 
389,000,000 
 
 
 
 
 
State and local
12,000,000 
17,000,000 
(22,000,000)
 
 
 
 
 
Total current
520,000,000 
664,000,000 
365,000,000 
 
 
 
 
 
Deferred
 
 
 
 
 
 
 
 
Federal
1,323,000,000 
1,494,000,000 
(735,000,000)
 
 
 
 
 
Non-U.S.
121,000,000 
472,000,000 
160,000,000 
 
 
 
 
 
State and local
225,000,000 
251,000,000 
214,000,000 
 
 
 
 
 
Total deferred
1,669,000,000 
2,217,000,000 
(361,000,000)
 
 
 
 
 
Total
2,189,000,000 
2,881,000,000 
4,000,000 
 
 
 
 
 
Reconciliation of effective tax rate
 
 
 
 
 
 
 
 
U.S. statutory rate
35.00% 
35.00% 
35.00% 
 
 
 
 
 
Non-U.S. tax rates under U.S. rates
(1.00%)
(2.70%)
(5.20%)
 
 
 
 
 
State and local income taxes
2.30% 
1.70% 
8.30% 
 
 
 
 
 
General business credits
(3.10%)
(3.00%)
(27.10%)
 
 
 
 
 
Dispositions and restructurings
7.40% 
0.40% 
13.00% 
 
 
 
 
 
U.S. tax on non-U.S. earnings
(5.60%)
(3.00%)
(23.70%)
 
 
 
 
 
Prior year settlements and claims
0.00% 
(0.40%)
(9.10%)
 
 
 
 
 
Tax-exempt income
(0.90%)
(2.00%)
(24.10%)
 
 
 
 
 
Enacted change in tax laws
(4.20%)
0.10% 
3.90% 
 
 
 
 
 
Valuation allowances
2.70% 
3.60% 
32.30% 
 
 
 
 
 
Other
(0.40%)
(1.60%)
(3.00%)
 
 
 
 
 
Effective rate
32.20% 
28.10% 
0.30% 
 
 
 
 
 
Deferred income tax expense/(benefit) on 2016 change in U.S. tax law
 
 
 
 
 
 
(300,000,000)
(300,000,000)
Undistributed Foreign Earnings, Deferred Taxes Not Provided
5,700,000,000 
 
 
 
 
 
 
 
Undistributed Foreign Earnings, Potential Deferred Tax liability
300,000,000 
 
 
 
 
 
 
 
Deferred tax assets
 
 
 
 
 
 
 
 
Employee benefit plans
6,870,000,000 
6,620,000,000 
 
 
 
 
 
 
Net operating loss carryforwards
1,764,000,000 
2,327,000,000 
 
 
 
 
 
 
Tax credit carryforwards
5,860,000,000 
6,456,000,000 
 
 
 
 
 
 
Research expenditures
1,469,000,000 
1,279,000,000 
 
 
 
 
 
 
Dealer and dealers’ customer allowances and claims
2,500,000,000 
2,394,000,000 
 
 
 
 
 
 
Other foreign deferred tax assets
28,000,000 
442,000,000 
 
 
 
 
 
 
All other
2,289,000,000 
2,206,000,000 
 
 
 
 
 
 
Total gross deferred tax assets
20,780,000,000 
21,724,000,000 
 
 
 
 
 
 
Less: valuation allowances
(909,000,000)
(1,831,000,000)
 
(909,000,000)
 
 
 
 
Total net deferred tax assets
19,871,000,000 
19,893,000,000 
 
 
 
 
 
 
Deferred tax liabilities
 
 
 
 
 
 
 
 
Leasing transactions
4,523,000,000 
3,329,000,000 
 
 
 
 
 
 
Deferred income
807,000,000 
1,215,000,000 
 
 
 
 
 
 
Depreciation and amortization (excluding leasing transactions)
3,175,000,000 
2,484,000,000 
 
 
 
 
 
 
Finance receivables
593,000,000 
688,000,000 
 
 
 
 
 
 
Other foreign deferred tax liabilities
371,000,000 
407,000,000 
 
 
 
 
 
 
All other
1,388,000,000 
763,000,000 
 
 
 
 
 
 
Total deferred tax liabilities
10,857,000,000 
8,886,000,000 
 
 
 
 
 
 
Net deferred tax assets/(liabilities)
9,014,000,000 
11,007,000,000 
 
7,600,000,000 
 
 
 
 
Valuation Allowance, Deferred Tax Asset, Increase (Decrease)
 
 
 
 
(1,100,000,000)
 
 
 
Net operating loss carryforwards
1,764,000,000 
2,327,000,000 
 
 
 
 
 
 
Operating Loss Carryforwards Not Subject to Expiration
5,000,000,000 
 
 
 
 
3,300,000,000 
 
 
Tax Credit Carryforwards
5,900,000,000 
 
 
 
 
 
 
 
Tax Credit Carryforward, Remaining Carryforward Period
5 years 
 
 
 
 
 
 
 
Reconciliation of Unrecognized Tax Benefits [Roll Forward]
 
 
 
 
 
 
 
 
Beginning balance
1,601,000,000 
1,286,000,000 
 
 
 
 
 
 
Increase – tax positions in prior periods
12,000,000 
330,000,000 
 
 
 
 
 
 
Increase – tax positions in current period
69,000,000 
91,000,000 
 
 
 
 
 
 
Decrease – tax positions in prior periods
(67,000,000)
(24,000,000)
 
 
 
 
 
 
Settlements
(23,000,000)
(65,000,000)
 
 
 
 
 
 
Lapse of statute of limitations
(3,000,000)
(7,000,000)
 
 
 
 
 
 
Foreign currency translation adjustment
(3,000,000)
(10,000,000)
 
 
 
 
 
 
Ending balance
1,586,000,000 
1,601,000,000 
1,286,000,000 
 
 
 
 
 
Unrecognized Tax Benefits that Would Impact Effective Tax Rate
1,500,000,000 
1,500,000,000 
 
 
 
 
 
 
Unrecognized Tax Benefits Interest Income
3,000,000 
3,000,000 
96,000,000 
 
 
 
 
 
Unrecognized Tax Benefits, Interest on Income Taxes Accrued
67,000,000 
93,000,000 
 
 
 
 
 
 
Income Taxes Paid, Net
$ 740,000,000 
$ 585,000,000 
$ 467,000,000 
 
 
 
 
 
Capital Stock and Earnings Per Share Capital Stock and Earnings Per Share - Narrative (Details)
Dec. 31, 2016
Common Stock [Member]
 
Class of Stock [Line Items]
 
Stock Voting Power Percentage
60.00% 
First Liquidation Right Amount Available For Distribution Per Share
$ 0.50 
Third Liquidation Right Amount Available For Distribution Per Share
$ 0.50 
Class B Stock [Member]
 
Class of Stock [Line Items]
 
Stock Voting Power Percentage
40.00% 
Second Liquidation Right Amount Available For Distribution Per Share
$ 1.00 
Capital Stock and Earnings Per Share (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2016
Sep. 30, 2016
Jun. 30, 2016
Mar. 31, 2016
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Basic and Diluted Income Attributable to Ford Motor Company [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Basic income
$ (783)
$ 957 
$ 1,970 
$ 2,452 
$ 1,868 
$ 2,192 
$ 2,160 
$ 1,153 
$ 4,596 
$ 7,373 
$ 1,231 
Diluted income (a)
 
 
 
 
 
 
 
 
$ 4,596 
$ 7,373 
$ 1,231 
Weighted Average Number of Shares Outstanding, Diluted [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Basic shares (average shares outstanding)
 
 
 
 
 
 
 
 
3,973 
3,969 
3,912 
Net dilutive options and warrants
 
 
 
 
 
 
 
 
26 
33 
46 
Diluted shares (a)
 
 
 
 
 
 
 
 
3,999 
4,002 
3,958 
2016 Convertible Notes
 
 
 
 
 
 
 
 
 
 
 
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount
 
 
 
 
 
 
 
 
 
 
87 
Selected Quarterly Financial Data (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 12 Months Ended
Dec. 31, 2016
Sep. 30, 2016
Jun. 30, 2016
Mar. 31, 2016
Dec. 31, 2015
Sep. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Selected Quarterly Financial Data [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenues
$ 38,654 
$ 35,943 
$ 39,485 
$ 37,718 
$ 40,251 
$ 38,144 
$ 37,263 
$ 33,900 
$ 151,800 
$ 149,558 
$ 144,077 
Income before income taxes
(1,117)
1,387 
2,875 
3,651 
1,896 
3,291 
3,286 
1,779 
6,796 
10,252 
1,234 
Net Income (Loss) Available to Common Stockholders, Basic
(783)
957 
1,970 
2,452 
1,868 
2,192 
2,160 
1,153 
4,596 
7,373 
1,231 
Basic Common and Class B per share income from continuing operations
$ (0.20)
$ 0.24 
$ 0.50 
$ 0.62 
$ 0.47 
$ 0.55 
$ 0.54 
$ 0.29 
 
 
 
Diluted Common and Class B per share income from continuing operations
$ (0.20)
$ 0.24 
$ 0.49 
$ 0.61 
$ 0.47 
$ 0.55 
$ 0.54 
$ 0.29 
 
 
 
Material unusual or infrequently occurring items: [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Remeasurement Gain/(Loss)
(3,000)
 
 
 
(698)
 
 
 
 
 
 
U.S. Tax Legislation on Foreign Currency Gains Losses On Non-U.S. Branch Operations [Member]
 
 
 
 
 
 
 
 
 
 
 
Material unusual or infrequently occurring items: [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Deferred income tax expense/(benefit) and income tax credits
(300)
 
 
 
 
 
 
 
(300)
 
 
U.S. Tax Legislation in the Protecting Americans from Tax Hikes Act of 2015 [Domain]
 
 
 
 
 
 
 
 
 
 
 
Material unusual or infrequently occurring items: [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Deferred income tax expense/(benefit) and income tax credits
 
 
 
 
$ (346)
 
 
 
 
 
 
Commitments and Contingencies (Details) (USD $)
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Guarantees [Abstract]
 
 
Maximum potential payments
$ 177,000,000 
$ 284,000,000 
Carrying value of recorded liabilities related to guarantees and indemnifications
23,000,000 
23,000,000 
Loss Contingency [Abstract]
 
 
Loss contingency estimate
2,800,000,000 
 
Warranty [Abstract]
 
 
Standard and Extended Product Warranty Accrual
4,558,000,000 
4,786,000,000 
Payments made during the period
(3,286,000,000)
(2,849,000,000)
Changes in accrual related to warranties issued during the period
2,326,000,000 
2,046,000,000 
Changes in accrual related to pre-existing warranties
1,360,000,000 
807,000,000 
Foreign currency translation and other
2,000,000 
(232,000,000)
Standard and Extended Product Warranty Accrual
$ 4,960,000,000 
$ 4,558,000,000 
Schedule of Valuation and Qualifying Accounts (Details) (USD $)
12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Dec. 31, 2014
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Balance at beginning of period
$ 2,865,000,000 
$ 2,697,000,000 
$ 2,420,000,000 
Charged to costs and expenses
751,000,000 
538,000,000 
536,000,000 
Deductions
1,571,000,000 
370,000,000 
259,000,000 
Balance at end of period
2,045,000,000 
2,865,000,000 
2,697,000,000 
Credit losses [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Balance at beginning of period
437,000,000 
384,000,000 
405,000,000 
Charged to costs and expenses
551,000,000 
347,000,000 
199,000,000 
Deductions
421,000,000 
294,000,000 
220,000,000 
Balance at end of period
567,000,000 
437,000,000 
384,000,000 
Doubtful receivables [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Balance at beginning of period
372,000,000 
455,000,000 
120,000,000 
Charged to costs and expenses
24,000,000 
(7,000,000)
374,000,000 
Deductions
19,000,000 
76,000,000 
39,000,000 
Balance at end of period
377,000,000 
372,000,000 
455,000,000 
Inventories (primarily service part obsolescence) [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Balance at beginning of period
225,000,000 
254,000,000 
262,000,000 
Charged to costs and expenses
(33,000,000)
(29,000,000)
(8,000,000)
Deductions
0 
0 
0 
Balance at end of period
192,000,000 
225,000,000 
254,000,000 
Deferred tax assets [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Balance at beginning of period
1,831,000,000 
1,604,000,000 
1,633,000,000 
Charged to costs and expenses
209,000,000 
227,000,000 
(29,000,000)
Deductions
1,131,000,000 
0 
0 
Balance at end of period
909,000,000 
1,831,000,000 
1,604,000,000 
Valuation Allowance Of Deferred Tax Assets Recognized In Accumulated Other Comprehensive Income Loss [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Charged to costs and expenses
26,000,000 
(142,000,000)
(428,000,000)
Valuation Allowance of Deferred Tax Assets Recognized in Income Statement [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Charged to costs and expenses
183,000,000 
369,000,000 
399,000,000 
South America [Member]
 
 
 
Movement in Valuation Allowances and Reserves [Roll Forward]
 
 
 
Valuation Allowance, Deferred Tax Asset, Increase (Decrease)
$ (1,100,000,000)