Automotive Fleet, December 2020

CANNIS At the end of 2020 we will launch our F 150 hybrid model We wanted to make it better How do you make the product better We dont want to do the kind of things a hybrid is known for in the past We want to make a better truck Next in the 2022 model year we will launch the full battery electric E Transit and then in mid 2022 calendar year well come out with the full battery electric F 150 Theres a huge demand for these vehicles because its just good business in terms of total cost of ownership with lower fuel cost reduced maintenance costs because there are fewer parts to fix and more uptime Theres a strong business case for these vehicles in terms of sustainability plus the customers of these businesses are demanding it as well We just completed a survey in which millennials said they were willing to pay more for a parcel delivery if it was delivered in a sustainable manner Were seeing a lot of demand for these vehicles from our customers at small medium and large businesses Its a new cost of ownership model involving new residual values determining battery life and calculating fuel savings Fuel rates are not the same around the country neither is the cost of kilowatts Its a localized solution Government incentives tend to vary by city state and local levels which you have to match up with your fleet incentives Then you have to have infrastructure solutions At the end of a workday many employees take these vans and pickups to their homes You need to sort out the pros and cons of home charging versus depot charging along with on the road charging Its a lot of work to get into this space and Ford will provide the help AF HOW ACTIVE A ROLE IS FORD GOING TO BE PLAYING IN PROVIDING END TOEND SOLUTION AND THE CHARGING SOLUTIONS ARE YOU GOING TO BE PARTNERING WITH OTHER COMPANIES WHAT IS YOUR STRATEGY CANNIS Our goal is a more end to end solution for the entire business When Ford created the new Commercial Business organization it included our existing North American Fleet team the Service team and DECEMBER 2020 I AUTOMOTIVE FLEET 21 When Ford created the new Commercial Business organization it included our existing North American Fleet team the Service team and the Connection Solutions Services team The goal was to have an end to end approach to the business under one leader and across the company and then invest in additional resources said Ted Cannis general manager Commercial Vehicles for the U S and Canada for Ford Motor Co We also see more opportunities in the financing and parts businesses Weve been growing this side of the business but with dedicated resources that were adding and with the new approaches in the financing side as well from end to end we think theres a lot more to expand beyond our fantastic base of trusted vehicles AF ON THE ELECTRIFICATION SIDE CAN YOU GIVE US AN IDEA ON PRODUCT ROLLOUTS WHAT VEHICLE LINES OR SEGMENTS ARE YOU LOOKING TO ELECTRIFY our strengths We want to build beyond our strong base of vehicles and move into the entire ecosystem of services We would like to provide businesses with end to end services Now that our vehicles are connected we want to provide the connectivity and data services that every business needs to help them thrive We want to provide them with end to end solutions including charging solutions for the new world of electrification We want to provide end to end updates so the software gets better and functions improve Over time we will improve that capability with better prognostics and dataenhanced solutions E Transit features both AC and DC fast charging coming standard with a Ford Mobile Charger that can plug into a normal 120 volt outlet for slow and steady charging or into a 240 volt outlet for faster charging Those seeking the fastest home charging solution can purchase the Ford Connected Charge Station which can fully charge E Transit in eight hours