The New Vehicle Purchase Plan (AXZ-Plan) is offered by the Company to encourage employees, retirees and their families, friends, and neighbors to drive new Company products. This document contains a detailed description of the Plan, your rights and responsibilities, and those of the dealer. You are encouraged to read each section to familiarize yourself with Plan rules and guidelines. Following are key Plan provisions to get you started:
· Four vehicles may be purchased or leased, on the A/Z-Plan, each calendar year by you and your eligible family members.
· Four vehicles may be purchased or leased, on the X-Plan, each calendar year by your friends or neighbors. For a limited time (beginning 9/11/2006 and ending 12/31/2006) you will be allocated an additional four X-Plan PINs (total of eight).
· Vehicles must be kept in the purchaser's name and possession for at least six months.
· A/Z-Plan prices are essentially what the dealer paid Ford Motor Company for the vehicle plus finance cost (the cost to Ford Motor Company to carry the vehicle in inventory).
· X-Plan price is within +/- 1% of dealer invoice.
· Each time you wish to purchase or lease a vehicle you will need to get a new Personal Identification number (PIN).
· Vehicles must be purchased or leased from dealers franchised for the sold product.
--------------------------------------------------------------------------------
The New Vehicle Purchase Plan is offered by the Company to encourage employees, retirees and their families, friends, and neighbors to drive new Company products.
To the extent that any of the terms or conditions contained in this document are inconsistent with any other existing descriptions of the New Vehicle Purchase Plan, the terms of this document, and where appropriate the Red Carpet Lease Agreement, will control. The Company reserves the right to modify or discontinue the New Vehicle Purchase Plan at any time without notice.
A/Z-Plan Eligibility
Who's Eligible?
· All active full-time hourly employees and regular and supplemental salaried employees, beginning with their date of hire.
· All hourly retirees receiving a normal, early (regular or special) or disability retirement benefit, as long as any medical benefits are being received.
· Salaried retirees who retired under the General Retirement Plan, including salaried employees who terminate between the ages of 50-55 and who are eligible to receive certain deferred retirement benefits, are eligible while they are receiving benefits.
· Surviving Spouses of employees who died while actively employed and Surviving Spouses of retirees who retired under the General Retirement Plan, or who are receiving benefits under the Ford-UAW Retirement Plan.
· Employees on an approved leave of absence, for the duration of the leave or until expiration of any medical benefits.
· Employees on layoff for the first 12 months of the layoff.
· All regular part-time hourly and salaried employees who are eligible to receive medical benefits.
· Deferred Vested Retirees while they are receiving a Ford pension check.
· Active employees of approved subsidiary companies and approved affiliated companies where eligibility is defined at the time of approval. Contact our Call Center for specific information.
· Members of the immediate family of the above. "Immediate family" means the following relatives of the employee or retiree:
o Spouse
o Parents
o Spouse's parents
o Grandparents New!
o Spouse's grandparents New!
o Sons and daughters (including in-laws and step-children)
o Grandchildren
o Brothers and sisters (including in-laws, half and step)
o Same-sex domestic partners of eligible active employees *
o Immediate family members of eligible same-sex domestic partners *
* When audited, the employee must provide a notarized affidavit, dated prior to the sale date, that a same-sex domestic partnership exists. The Company defines a same-sex domestic partnership as a relationship between two people who meet ALL of the following criteria:
· Are the same sex
· Have shared a continuous committed relationship with each other for no less than 6 (six) months, intend to do so indefinitely, and they have no such relationship with any other person
· Are jointly responsible for each other's welfare and financial obligations
· Reside in the same household
· Are not related by blood to a degree of kinship that would prevent marriage from being recognized under the laws of their state of residence
· Must reside in a state where marriage between persons of the same sex is not recognized as a valid marriage, or, if residing in a state which recognizes same-sex unions, enter into such union as recognized by the state
· Each is over the age of 18, of legal age, and legally competent to enter a contract
· Neither is married to a third party
NOTE: When both the employee/retiree and his/her spouse are deceased, surviving family members are no longer eligible.
Who's Not?
· UAW represented hourly employees, retirees, surviving spouses and their immediate family members are ineligible for Jaguar, Volvo, Land Rover, and Mazda* purchases or leases.
*Mazda Products built in UAW assembly plants are eligible for purchase.
· Non-employees, including agency or contract personnel
· Employees who terminate, effective with the date of termination
· All other family members not mentioned as eligible, including but not limited to:
o cousins
o uncles
o aunts
o nephews
o nieces
· Family members of Surviving Spouses after the Surviving Spouse is deceased
· All others not specifically mentioned as eligible in the preceding section
NOTE: Employees, Retirees and Surviving Spouses may be asked to document the eligibility of family members they sponsor. Submission of birth certificates, marriage licenses etc., may be required by Plan Administration. Failure to provide adequate documentation may result in suspension of the Sponsor’s Plan privileges and/or the Sponsor having to re-pay any dealer commissions and the Sponsor being subject to disciplinary action, up to and including termination (see Conditions).
X-Plan Eligibility
Who's Eligible?
Customers are eligible for the X-Plan if they were identified and sponsored, by a Ford Motor Company employee or retiree, before visiting a dealership.
Who's Not?
· Government employees and officials whose use of the Plan may be construed as influencing a public official.
· Anyone who has discussed a retail purchase of a vehicle, with a dealer, prior to applying for an X-Plan PIN.
Appropriate X-Plan Use
Employees and Retirees must consider the following before sponsoring an X-Plan purchase.
It is a direct violation of the program rules to provide PINs to customers referred to the Sponsor by a dealership employee or to use a dealership employee as a broker to locate X-Plan customers. In other words, you may not use a dealership or dealership employee to find customers, or sell PINs to a dealership or dealership employee. In fact, selling PINs to anyone is a violation of Plan rules and is strictly prohibited. Violations of these rules will result in suspension of A/Z and X-Plan eligibility and may result in termination of employment with the Company.
Sponsors are responsible for managing their PIN allocation and making sure the customers they sponsor follow the rules. If a customer fails to follow the rules (including length of ownership requirements), the Sponsor's Plan eligibility is at risk. Therefore, if Sponsors cannot answer all of the following questions, as indicated, it is advised that they do not sponsor the customer:
· Is the customer someone you feel you know and can trust? YES
· Did a dealership employee refer this customer to you? NO
· Are you receiving or being offered cash or gifts to sponsor this customer? NO
· Is this customer a government employee or official whose use of the Plan may be construed as influencing a public official? NO
· Is this customer considering purchasing a competitor's product? YES
Dealership employees are now eligible X-Plan customers. Employees and retirees may sponsor dealership employees on X-Plan. However, providing PINs to a dealership employee for use by third party customer is prohibited.
Product Availability
What Is Available?
· Current model and prior model year vehicles sold in the United States (including Ford, Lincoln, Mercury, Jaguar, Land Rover, Volvo, and Mazda*), equipped with any regular production optional equipment, may be purchased or leased each calendar year. Vans and light trucks are available only through E/F-350 Series (see Vehicles & Pricing section for the complete list of vehicles available).
*Eligible "AXZPlan buyers may purchase Mazda Products under the Mazda Purchase "S-Plan" at participating Mazda dealerships.
· Demo units are available for sale at the new vehicle AXZ-Plan price. No additional discount is permitted beyond incentives compatible with an AXZ-Plan deal.
· New prior model year vehicles may be purchased or leased at AXZ-Plan pricing from dealer stock only up to the date of "final pay". See your selling dealer for details.
· Vehicles may be ordered from production or may be selected from the inventory of the dealership, if the dealer agrees. Dealers are not required to participate, but if they do, they must be an authorized Ford Motor Company dealer for the product sold and agree to abide by the New Vehicle Purchase Plan guidelines set forth in this document. (For example, Ford dealers may not sell Mercury products and recreational products must be purchased through a Ford or Lincoln-Mercury dealership, not a recreational dealer).
· Optional equipment installed by the dealership and after-market services provided by the dealership are not covered under the New Vehicle Purchase Plan. The dealership may charge any agreed-upon price for these items. See the Red Carpet Lease Option supplement at the end of this document for details of the dealer-installed optional equipment rules for Red Carpet Leases. Dealer-installed equipment or services, such as undercoating, must be individually listed and priced separately on the buyer's order and the New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet*.
· Each product purchased or leased under the Red Carpet Lease Option will be covered by the same warranty and policy as those offered to retail customers.
* The "New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet" is not provided for Jaguar or Land Rover vehicles and varies slightly for Volvo and Mazda. See the "FORMS" Section for a copy of this document.
What Isn't?
· Current excluded vehicles include Ford GT, Shelby GT 500, Jaguar XK(2007), Volvo C70, F-450 through F-750 Super Duty, E-450 and Aston Martin vehicles. This list of excluded vehicles is subject to change.
· Mazda Products – available under the Mazda Purchase "S-Plan" for eligible A/Z-Plan salaried employees and retirees and Hertz hourly employees. UAW represented employees, retirees, surviving spouses and their family members are not eligible to purchase or lease any non-UAW produced Mazda products.
Obtaining a Vehicle
How Does a Qualified Plan Participant get a VehicleWhen Does Delivery Take Place?
If the Employee, Retiree, or Surviving Spouse is the customer...
· Each time you wish to participate in the Plan you will need to obtain an approval prior to the transaction. For each approval you will receive a new Personal Identification Number (PIN). To obtain a PIN, access our website (
www.axz.ford.com) and go to the PINs & Members section or call 1-800-348-7709 to request an approval PIN. Due to cost considerations, we request all participants use the web sites whenever possible. Active salaried employees with Company provided Internet access are required to use the web site for PIN generation.
· NOTE: Each PIN is valid only for a single purchase or lease and may be used solely in the U.S. Only you are authorized to request a Plan Approval (PIN) under your eligibility. PINs expire, if not used, one year from approval.
· Identify yourself to the dealer as the employee, retiree, or surviving spouse.
· Give the dealer only the last four digits of your Social Security Number (SSN) and your seven digit Personal Identification Number (PIN). (This combination is your New Vehicle Purchase Plan ID number).
· The dealer will enter your Purchase Plan ID into the computer to verify your eligibility. Once your eligibility has been verified, the dealer can lock in the approval to complete the transaction. (If you decide not to complete the transaction at that dealership, ask the dealer to cancel the locked-in approval so that you can use it elsewhere.)
· Ask for a copy of the vehicle invoice which shows the A/Z-Plan price in the box labeled A/Z-Plan located in the lower right hand corner (lower left for Volvo- not displayed for Jaguar or Land Rover). This is always the correct A/Z-Plan price.
· NOTE: The Z-Plan price is exactly the same as the A-Plan price. Mazda is not included in Ford's A-Plan; Mazda vehicles may be purchased under Mazda's S-Plan.
· The dealer will complete and ask you to sign the New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet*. After you have signed it, the dealer will provide you with a copy. This is your assurance that the price charged is the correct price. Do not sign this form if it is blank or if you do not understand how the price was calculated. All added items must be documented on this form, including negative equity or over-allowance on trade, and gifts. If you have any questions or concerns about the terms of your purchase or lease, ask your dealer for clarification before closing the transaction.
* The "New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet" is not provided for Jaguar or Land Rover vehicles and varies slightly for Volvo and Mazda. See the "FORMS" Section for a copy of this document.
If an eligible family member is the customer...
· Obtain an approval PIN for your family member just as you would for yourself. You will need the correct spelling of the family member's name, the last four digits of his/her Social Security Number, address, telephone number, email id (if available), and will be asked to verify his/her eligible family relationship to you. Ensure that the name/address provided for PIN generation is accurate and verifiable using appropriate personal identification (i.e. driver license). The dealer will require the name/address on the PIN transaction to match the name/address of the purchaser identified on the sales transaction.
· Provide your family member with the PIN so that the dealer can determine eligibility.
· Please inform the family member that:
o The Plan privilege is for the eligible family member's personal use only.
o The PIN must not, under any circumstances, be provided to any other person, except the dealer at the time of purchase or lease.
o Providing the PIN to any other person is a violation of the Plan's conditions.
· The family member must identify himself/herself as an eligible participant to the dealer and provide the dealer with the last four digits of his/her SSN and PIN for verification. The eligible family member will also be required to specify the relationship that exists with the Employee/Retiree or Surviving Spouse.
· Employee/Retiree/Surviving Spouse sponsors are responsible for how their Plan is used by other family members.
If a friend or neighbor is the customer (X-Plan)...
· Obtain an X-Plan approval PIN for your friend or neighbor. You will need the correct spelling of the friend's name, the last four digits of his/her Social Security Number, address, telephone number, and email id (if available). Ensure that the name/address provided for PIN generation is accurate and verifiable using appropriate personal identification (i.e. driver license). The dealer will require the name/address on the PIN transaction to match the name/address of the purchaser identified on the sales transaction.
· The X-Plan approval PIN may also be issued in the name of a business owned by your friend or neighbor. PINs generated in the name of a business must be obtained through the AXZD Call Center (800)348-7709. Do not use the web site to generate the PIN. Use the last four numbers of the business Federal Tax ID in lieu of the SSN where requested.
· Provide your friend with the PIN so that the dealer can determine eligibility.
· Please inform the friend that:
o The Plan privilege is for the friend's use only.
o The PIN must not, under any circumstances, be provided to any other person, except the dealer at the time of purchase or lease.
o Providing the PIN to any other person is a violation of the Plan's conditions.
· The friend must identify himself/herself as an eligible participant to the dealer and provide the dealer with the last four digits of his/her SSN and PIN for verification.
· Employee/Retiree/Surviving Spouse sponsors are responsible for how their Plan is used by others.
Pricing
Where Do Plan Prices Come From?
· The dealer is required to provide you with a true copy of the factory invoice showing the New Vehicle Purchase Plan price on the line labeled A/Z-Plan (not displayed for Jaguar and Land Rover, labeled as "S-Plan" for Mazda). You should also receive a complete and signed New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet* showing each item and its price. Do not sign this form if it is blank or if you do not understand how the price was calculated. All added items must be documented on this form, including negative equity or over-allowance on trade, and gifts.
· The A/Z-Plan price is the amount shown in the box labeled "A/Z-Plan" near the bottom of the factory invoice (not displayed for Jaguar and Land Rover, labeled as "S-Plan" for Mazda). The New Vehicle Purchase Plan price includes advertising, finance costs, transportation, fuel charges and Company administrative fees. The dealership may not charge extra for these items.
· The dealership may also NOT charge separately for document preparation fees, vehicle preparation fees or any other administrative services incidental to the delivery of the vehicle.* These expenses are considered to be part of the dealer's normal cost of doing business for which the dealership is compensated by the commission paid.
* Each dealer is responsible for complying with applicable laws or regulations. Dealers may not charge different fees to participants in the New Vehicle Purchase Plans (AXZ-Plans).
· Mazda dealerships may charge reasonable and customary document preparation and/or administrative service fees for SPlan sales. Please review all fees with your Mazda sales consultant and be sure you understand and agree prior to completing a sale.
· The dealership may charge any price negotiated between the dealer and the customer for undercoating, dealer installed options, extended service contracts and other items or services that add value to the vehicle, provided such items are priced separately and listed individually on the retail buyer's order and the New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet*.
· Family A/Z-Plan and/or Friends & Neighbors X-Plan customers may accept items or services of nominal value (i.e. $50 or less dealership cost) as a gift or reward in connection with an A/Z- Plan and/or X- Plan sale or lease (see Dealer Obligations for guidelines regarding what is, and is not, permissible). Any gift or reward offered by the dealership for sponsoring an A/Z-Plan and/or X-Plan sale or lease must be consistent with gifts or rewards offered by the dealership on retail sales or leases, and may not exceed $50 in value (dealership cost).
· Family A/Z-Plan sponsors may accept referral fees of $50 or less in connection with A/Z-Plan sales provided the sale occurs after September 11, 2006.
· Friends & Neighbors X-Plan sponsors may not accept referral fees.
· It is a direct violation of the program rules to provide PINs to customers referred to the sponsor by a dealership employee or to use a dealership employee as a broker to locate A/Z or X-Plan customers. In other words, you may not use a dealership or dealership employee to find customers, and you may not sell PINs to a dealership or dealership employee. In fact, selling PINs to anyone is a violation of Plan rules and is strictly prohibited. Violations of these rules will result in suspension of A/Z and X-Plan eligibility and may result in termination of employment with the Company.
· The customer is responsible for all federal, state, and local taxes, license and title fees.
· The New Vehicle Purchase Plan customer is entitled to the price in effect at the time the vehicle was invoiced. Any money refunded to the dealer by Ford Motor Company for price increases occurring after the order is submitted, but before shipment to the dealer, must be refunded to the customer.
· From time to time the Company may offer incentives or rebates. Unless specifically excluded by the Company, incentives or rebates are available to New Vehicle Purchase Plan customers in addition to the plan price. Ask your dealer for details.
· The dealership may require the New Vehicle Purchase Plan customer to make a deposit when placing a vehicle order. Some or all of this deposit may be retained by the dealership if the customer declines to accept delivery of the product ordered. An agreement in writing should be reached with the dealership concerning the amount of the deposit and the conditions under which it may be retained by the dealership if the transaction is not completed.
· Lease transactions may require a refundable security deposit. The security deposit is held until the end of the lease and is refunded, provided that the lease terms have been satisfied. The deposit is usually equal to one month's payment, rounded to the next $25.
· X-Plan
Pre-determined price based on dealer invoice or A-Plan price depending on brand.
The X-Plan price is noted on the dealer invoice (except for
Land Rover and Jaguar)
Ford/Mercury
Invoice minus 0.4% of Invoice + $75 Administration Fee
Lincoln
Invoice plus 0.6% premium + $75 Administration Fee
Volvo
A-Plan + 2% of A-Plan
Land Rover
Invoice plus 4% of Invoice (excluding Regional Advertising Group fee and destination & delivery fee).
Jaguar
Invoice plus 4% of Invoice (excluding Advertising Association Fee and destination & delivery fee).
For specific vehicle plan pricing, visit the Vehicles & Pricing page. Pricing of in-stock dealership inventory is available for Ford, Lincoln and Mercury dealerships. Detail pricing sheets are available for Volvo, Mazda, Jaguar and Land Rover.
· Mazda S-Plan
The Mazda S-Plan price is equal to the total dealer invoice amount. It is listed in the lower left corner of the factory invoice as "SPLAN". This is the same price that the dealer pays for the vehicle. Mazda pays the dealer a commission on each S-Plan sale.
Mazda
Total dealer invoice amount
For actual pricing on in-stock vehicles visit your local dealership.
* The "New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet" is not provided for Jaguar or Land Rover vehicles and varies slightly for Volvo and Mazda. See the "FORMS" Section for a copy of this document.
PINs & Members
What is a PIN?
A PIN (Personal Identification Number) is a unique numeric code required for each vehicle purchase under the AXZ-Plan. This PIN will be generated by the Ford employee/retiree (sponsor) for either themselves or an eligible family member or friend. The PIN holder will then take this PIN to an authorized Ford Motor Company dealership to secure the AXZ-Plan discount. Ford employees are allocated four (4) A/Z-Plan PINs and four (4) X-Plan PINs each calendar year. PINS remain active until the sponsor cancels them or they remain unused after 12 months from the date of PIN generation.
For a limited time, beginning 9/11/2006 and ending 12/31/2006, you will be allocated an additional four (4) X-Plan PINs (total of eight (8) X-Plan PINs).
How can I generate a PIN?
You have several options for generating a PIN.
PINs can be generated for yourself, eligible family member or friend from our web site at
www.axz.ford.com. Select the "Generate a PIN" link from the home page or go to the "PINS & Members" tab.
For individuals you send an invitation (member enrollment) (What is a "member"?), you simply accept/deny electronic PIN requests they send you. These PIN requests will be listed in your members table under the "PINS & Members" tab. Additionally, you'll receive a pop-up notification when you first log into the web site. You will also receive an email notification using the email address entered at the time you registered for
www.axz.ford.com.
PINs can also be generated through our call center at AXZ-Plan Headquarters. However, we encourage all participants to use the web sites whenever possible as this helps to reduce program costs for Ford Motor Company. We do require all active salaried employees with Company provided Internet service to use the web sites for PIN generation.
Using a PIN
Provide your dealer the PIN along with the last 4 numbers of your social security number.
The dealer will enter your PIN and social security number into the computer to verify your eligibility. Once your eligibility has been verified, the dealer can lock in the approval to complete the transaction. (If you decide not to complete the transaction at that dealership, ask the dealer to cancel the locked-in approval so that you can use it elsewhere.)
Members
As an AXZ-Plan sponsor, you have the ability to enroll individuals eligible for either the A/Z or X Friends & Neighbors Program into an exclusive web site
www.myplan.ford.com. This web site provides many of the great features and functions you have in
www.axz.ford.com including: AXZ-Plan pricing, incentives, special offers, plan rules and the ability to request PINs electronically from you, their sponsor. Your members can also sign-up for email notification of the latest AXZ-Plan offers. This is a great way to introduce your family and friends to the outstanding product offerings available through you as a Ford employee/retiree.
Here's how it works
Go to the PINs& Members tab of the
www.axz.ford.com web site. Select the link for "Tell Your Family and Friends!". You will be taken through a series of screens to enroll your family member or friend. You will be required to provide their name, mailing address and email address along with some product interest information.
At the completion of the enrollment process, your enrollee will be sent an email invitation containing informative information about the Plans and steps to register with the
www.myplan.ford.com web site. Your enrollee must complete the registration process to gain access to this web site. Registered members may cancel their registration and/or opt-out of email notifications at any time.
As the registered member's sponsor, you will also have the ability to cancel their registration at any time.
You can also view/edit your enrollee's record from the PINs&Members tab of
www.axz.ford.com. Once your enrollee has officially registered, you will have limited edit capability to their record since the member will now be in control of this information.
Registered members may "request" a PIN from you electronically and only for the plan which you have enrolled them in (A/Z vs. X Friends&Neighbors). You will be notified of this PIN request through the email address you initially used to register for the
www.axz.ford.com web site. This email address can be view/edited through the "MYPROFILE" link in the upper right-hand corner of the home page. Additionally, you will receive a pop-up notifying you of pending PIN requests when you login to the web site.
Responding to the PIN request is simple! The email will provide you the link to complete the process. Alternatively, you can go to the PINs&Members tab of
www.axz.ford.com and scroll to the bottom of the page where your members are listed in tabular form. Those with an active PIN request will be identified with two active links to select: "Accept" or "Deny". The member will be sent an email with the PIN if you choose "Accept" or a rejection note if "Deny". You will have the option to add a personal note to the email if you chose. In the case of a denial, we recommend a follow-up contact to assist the member with other alternatives. If your denial is due to a lack of available PINs, contact our call center to discuss possible options.
Note that you will no longer need to request the social security number of your member either in part or whole. The member will provide the last four of their social security number when requesting the PIN through
www.myplan.ford.com. When your member goes to the dealership, the sales consultant will require them to provide the PIN and the last four numbers of their social security number to verify their eligibility through our secure PIN database.
Delivery Terms & Conditions
When Does Delivery Take Place?
New Vehicle Purchase Plan customers must accept delivery and make final settlement within five working days of notification by the dealership that the vehicle is available for delivery. Unless otherwise agreed to between the dealership and the New Vehicle Purchase Plan customer, vehicle disposition becomes the sole responsibility of the delivering dealership on the sixth day.
What About Trade-In, Financing and Insurance?
· Trade-in allowance is not covered by the New Vehicle Purchase Plan and must be negotiated with the dealership. However, this must be documented on the New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet form.
· Purchase/lease financing may be obtained at the customer's discretion from any source. To learn more about financial services offered through Ford Motor Credit Company, click here.
· Non-Eligible family members may appear as co-signers or co-makers of the loan or other financing agreement, and may also appear as co-owners on the Vehicle Title or Registration. However, the primary user of the vehicle must be the A/Z or X-Plan eligible member.
· Your new Ford Motor Company vehicle qualifies for auto insurance discounts as a result of its innovative safety features.
· Click on
www.fordautoinsurance.com to learn more about what affects your auto insurance premiums, how to reduce your rates, and the benefits of Ford Motor Company Insurance Services. Obtain free quotes from multiple insurance companies and secure the insurance you need for your new Ford Motor Company car or truck.
New Vehicle Purchase Plan customers are required to provide their own liability and collision insurance for both purchases and leases. For leases, there are specified coverage minimums. Lessees should request information about these amounts from the dealer prior to obtaining insurance and signing the final lease papers.
Red Carpet Lease Option Supplement To the New Vehicle Purchase Plan *
In addition to vehicle purchases, the New Vehicle Purchase Plan provides the option of leasing new vehicles under the Red Carpet Lease Option. This option is available on new vehicles (as defined in the New Vehicle Purchase Plan) for customers meeting the insurance requirements and credit approval of Ford Credit.
Under this option, eligible New Vehicle Purchase Plan customers lease vehicles under the terms of the standard Red Carpet Lease Agreement, as modified by the attached New Vehicle Purchase Plan / Red Carpet Lease Option Customer / Dealer Agreement and Pricing Sheet*.
If the Red Carpet Lease Agreement is not in full compliance with the provisions of the New Vehicle Purchase Plan as modified by this supplement and the New Vehicle Purchase Plan / Red Carpet Lease Option Customer / Dealer Agreement and Pricing Sheet*, the terms of the Red Carpet Lease Agreement will control.
ACQUISITION COST
The acquisition cost is defined as the cost to Ford Credit of acquiring the vehicle and lease from the dealer. It is based on and includes the New Vehicle Purchase Plan price, any dealer-installed equipment, Credit Life and Health and Accident Insurance, if any, less any net trade-in allowance, rebate or down payment.
EXCESS MILEAGE
The standard Red Carpet Lease contract allows 15,000 miles a year. If the allowable mileage limit is exceeded, an excess mileage charge will be assessed at the end of the lease term. If the customer knows in advance of signing the lease contract that his or her mileage will exceed that amount, the contract can be modified to provide for the additional mileage at a slightly lower rate.
EXCESS WEAR AND TEAR
The lessee is responsible for any excess wear and tear on the vehicle. Damage to the paint finish or interior components, missing accessories and tire wear are some of the items considered. A complete description is contained in the Red Carpet Lease Agreement.
LEASE RESIDUAL VALUE
The lease residual value is the amount Ford Credit has determined the vehicle will be worth at the end of the lease period. It is based on the model and the length of time the vehicle will be used.
DEALER INSTALLED EQUIPMENT
Red Carpet Lease restricts the amount Ford Credit will pay the dealer for dealer-installed equipment which may be included in the Acquisition Cost. Only Original Equipment Manufacturer (OEM) accessories listed on the Vehicle Price List and installed by the dealer may be residualized. Certain "Exception Items" can be residualized for the maximum dollar amount allowed.
PURCHASE OPTION
The Red Carpet Lease contract may include a vehicle purchase option that may be exercised by the customer to purchase the leased vehicle as set forth in the Lease Agreement. The price for the purchase option under the Red Carpet Lease Option is established by adding $500.00 to the lease residual value. Calculation of the lease residual value and purchase option price is outlined in the attached New Vehicle Purchase Plan / Red Carpet Lease Option Customer / Dealer Agreement and Pricing Sheet*.
LEASE-END OPTIONS
At the end of the lease term, the lessee has three options:
1. Return the vehicle to the dealership and pay any excess wear and tear and/or any excess mileage charges, if applicable.
2. Arrange for the purchase of the vehicle and keep it. The purchase option price is set at the beginning of the lease as noted above.
3. Arrange for the purchase of the vehicle and sell it. Since the purchase option price is set at the beginning of the lease, you may be able to take advantage of any increases in used car values during the term of the lease by selling the vehicle and keeping the profit.
*The "New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet" is not provided for Jaguar or Land Rover vehicles and varies slightly for Volvo and Mazda. See the "FORMS" Section for a copy of this document.
Are There Any Special Conditions?
New Vehicle Purchase Plan transactions are subject to the following conditions:
Vehicles must be registered or titled to the employee, retiree, surviving spouse or the immediate family members for the A/Z-Plan, and friends and neighbors, for the X-Plan, as identified under the heading "WHO'S ELIGIBLE?" Non-Eligible members may appear as co-signers or co-makers of the loan or other financing agreement, and may also appear as co-owners on the Vehicle Title or Registration. However, the primary user of the vehicle must be the A/Z-Plan or X-Plan eligible member.
Vehicles also may be registered in the name of a participant's trust provided that the participant's name is included in the name of the trust, i.e. "John Smith Trust".
A/Z-Plan vehicles may not be registered or titled in the name of a business. A/Z-Plan vehicles may not be purchased or leased for commercial use.
X-Plan vehicles may be registered or titled in the name of a business. X-Plan vehicles may be purchased or leased for commercial use.
Vehicles leased under the Red Carpet Lease Option will be titled in the name of Ford Credit or as directed by Ford Credit, but must conform to the above registration requirements.
Vehicles purchased or leased by customers sponsored by an employee, retiree, or surviving spouse count against the number of vehicle sales which an employee, retiree or surviving spouse may sponsor during any calendar year. Vehicles must be retained in the customer's possession and registered as provided above for at least six months from the date of purchase or lease.
Employees, retirees, or surviving spouses who sponsor a sale may accept nominal gifts or rewards, valued at $50 or less (dealership cost), from a dealership after completion of the sale. All gifts or rewards offered by a dealership must be consistent with gifts or rewards provided by the dealership on retail sales or leases.
Employees, retirees, or surviving spouses who sponsor an A/Z-Plan sale may accept a referral fee up to $50 from a dealership after completion of a sale. All referral fees offered by a dealership must be consistent with referral fees provided by the dealership on retail sales or leases.
Employees, retirees, or surviving spouses who sponsor an X-Plan sale may NOT accept a referral fee in connection with an X-Plan sale.
· Any solicitation or acceptance of money, items of value or discounts off the New Vehicle Purchase Plan price not defined in this document from a dealership or anyone connected with or acting on behalf of the dealership in connection with the purchase or lease of a vehicle under the New Vehicle Purchase Plan, is contrary to the Plan's provisions and to Company policy and is prohibited.
· Customers must do business with dealership employees at the dealership and may not use brokers.
· If after ordering a vehicle under the terms of the New Vehicle Purchase Plan, the customer cannot take delivery from the designated dealership, the customer must promptly advise the proper dealership representative, and the customer must refrain from signing any dealership document indicating acceptance or delivery of the vehicle.
NOTE: In those instances where the Company determines that no legitimate reason exists for refusing delivery, the customer will be held responsible as outlined under "What if a Customer Ignores the Conditions?"
· Purchase Plan participants are required to arbitrate warranty-related disputes via the Dispute Resolution Program before initiating or proceeding with legal action.
The Dispute Resolution Program (DRP) process is a cost-free program available to owners or lessees of qualifying Ford Motor Company vehicles. The program is independently owned administered by the Better Business Bureau (BBB). Service or product performance complaints involving Ford, Mercury, and Lincoln cars, vans, sport utilities and light trucks, which are within the terms of the New Vehicle Limited Warranty, are eligible for DRP review. The Warranty Guide provided with all new Ford, Lincoln, and Mercury vehicles at delivery contains important information about customer assistance and the Dispute Resolution Program. For more information about the program, call the BBB Auto Line at 1-800-428-3718, or the Ford Customer Relationship Center at 1-800-392-3673.
Failure to seek resolution of warranty-related disputes via the DRP process before initiating legal action may result in the suspension of Purchase Plan privileges (as noted under "What if a Customer Ignores the Conditions?").
What if a Customer Ignores the Conditions?
The Company cannot ignore abuse of the New Vehicle Purchase Plan. Plan abuse may cost the Company inappropriate dealer commission payments. Those unnecessary payments impact all Company employees because the payments detract from Company profits, which provide a basis for future product programs, capital expenditures and, of course, profit sharing.
· The purchase, lease and disposal of vehicles under the New Vehicle Purchase Plan are monitored regularly for abuse through a computerized system. Customers who do not comply with the requirements noted above will be contacted and asked to explain the circumstances involved.
· The privilege to participate may be withdrawn or suspended if the Company determines that the employee, retiree or surviving spouse has violated the provisions of the New Vehicle Purchase Plan or Company policy. The employee, retiree or surviving spouse may be required to reimburse the Company for the full amount of the dealer commission paid. In addition, the employee may be subject to disciplinary action, including termination of employment.
NOTE: Even if the customer who violates these provisions is not a Company employee, the sponsoring employee, retiree or surviving spouse is responsible and subject to the above sanctions.
What are the Dealership's Obligations?
· Participating dealerships agree to comply with all of the terms outlined in this document, including the Red Carpet Lease Option provisions. Authorized Ford, Lincoln-Mercury, Jaguar, Volvo, Land Rover, and Mazda dealerships are encouraged, but not obligated, to participate in the New Vehicle Purchase Plan. Participating dealerships must sign a Dealer Agreement located on the New Vehicle Purchase Plan / Red Carpet Lease Option Customer / Dealer Agreement and Pricing Sheet*) on each New Vehicle Purchase Plan sale or Red Carpet Lease.
· Dealerships must be authorized dealers ("under their Sales and Service Agreement(s)") for the product being sold.
· The New Vehicle Purchase Plan / Red Carpet Lease Option Customer / Dealer Agreement and Pricing Sheet* must identify the A or Z-Plan price, the price of each dealer-added option, negative equity or over-allowance on trade, gifts, and any other allowable fees and taxes. A copy of the factory invoice showing the New Vehicle Purchase Plan price in the box labeled "A/Z-Plan" (not displayed for Jaguar, Land Rover, or Mazda (S-Plan)) and a completed, signed copy of the New Vehicle Purchase Plan / Red Carpet Lease Option Customer / Dealer Agreement and Pricing Sheet* must be given to the customer.
· A copy of the New Vehicle Purchase Plan / Red Carpet Lease Option Customer / Dealer Agreement and Pricing Sheet* must be kept at the dealership for future audit.
All commission claims are subject to future audit and possible charge back to the dealership. Participating Dealerships agree to make available such dealership records to the extent considered necessary by Ford Motor Company for audit of the transactions claimed under the New Vehicle Purchase Plan. Dealers must retain all records and documents, including journals and ledgers, which relate in any way, in all or in part, to covered transactions- for at least two years.
*The "New Vehicle Purchase Plan/Red Carpet Lease Option Customer/Dealer Agreement and Pricing Sheet" is not provided for Jaguar or Land Rover vehicles and varies slightly for Volvo and Mazda. See the "FORMS" Section for a copy of this document.
The submission of a Purchase Plan commission claim for an ineligible vehicle, depending on the circumstances, could result in termination of the dealer's Sales and Service Agreement under Paragraph 17.
· Dealerships will notify the customer as soon as the vehicle has been prepared for delivery. The customer must accept delivery and make final settlement within five working days of the date of notification by the dealer. Unless otherwise agreed to between the dealer and the customer, vehicle disposition becomes the sole responsibility of the dealer on the sixth day.
· Dealerships agree that no one connected with or acting on behalf of the dealership shall solicit New Vehicle Purchase Plan business on Ford Motor Company property. Solicitation includes the distribution of business cards or advertising "fliers" and the placement of notices on Company bulletin boards. In addition, solicitation via telephone, email, fax, or U.S. mail is also prohibited. Dealer advertising in Ford publications (e.g. Ford World) will be permitted so long as such advertisements are institutional in content.
· All sales or lease contracts with Purchase Plan customers will be conducted by an employee of the participating dealership. Commissions to dealerships will be withheld or charged back if non-employees, including brokers, or agents are used to participate in Plan transactions in any capacity.
What May a Dealership Offer?
Dealerships may offer simple inexpensive "thank you gifts" to "AXZ-Plan customers. Gifts must be of nominal value and must not exceed $50 in value (dealership cost). The following are guidelines regarding what is, and is not, permissible.
Dealerships may offer nominal gifts or rewards valued at $50 or less (dealership cost), to the employee, retiree, or surviving spouse sponsor after completion of a sale. All gifts or rewards offered by a dealership must be consistent with gifts or rewards provided by the dealership on retail sales or leases.
Examples of acceptable gifts include a dinner coupon, a wall calendar, a jacket, gas card, an oil change, a car wash, etc, provided the item or service does not exceed $50 in value (dealership cost).
Dealerships may offer referral fees, of $50 or less, to the employee, retiree, or surviving spouse sponsor after completion of an A/Z-Plan sale. All referral fees offered by a dealership must be consistent with referral fees provided by the dealership on retail sales or leases.
Dealerships may NOT offer referral fees to the employee, retiree, or surviving spouse sponsor after completion of an X-Plan sale.
· Dealerships may not offer services or items below its actual value (dealership cost) in order to stay within the $50 limit (i.e. $1 for rustproofing or $10 for a bedliner).
As a general rule, dealerships cannot provide AXZ customers additional "exclusive" services, incentives or accessories (valued above $50 dealership cost) unless they are generally available through all dealerships within their market area. An example of this would be FDAF/LMDA promotions, which cover all dealerships within the same market area
Frequently Asked Questions
If your question isn't covered here you can Contact Us with a specific concern (via email).
How do I get a PIN?
How long is a PIN valid?
How do I confirm the AXZ-Plan Price on the vehicle I want to purchase?
Can I purchase or lease my eligible vehicle?
Can I obtain a vehicle for my business or for another person?
How long do I have to keep an A-Plan vehicle?
I'm confused about how the Red Carpet Lease agreement was calculated. What should I do?
Am I eligible for other incentives?
Do Dealers make a profit on Plan purchases and/or leases?
May I purchase a used vehicle or dealer demonstrator on the AXZ-Plan?
Can I be charged a "document fee" (doc fee) by my dealer?
What happens if I obtain a PIN for my brother or sister to purchase or lease a new car and my niece or nephew, or some other ineligible person uses the PIN?
What vehicles are eligible for the Plan?
May I purchase/lease an E-Series or F-Series chassis on the AXZ-Plan?
Are SVT vehicles eligible?
What may happen to me if I don't follow the Plan's rules and abuse my privileges?
How long is the Plan in effect?
Information I've been given else where conflicts with the rules in this document. What should I do?
I'm a U.S. employee and have relatives in Canada. Can I sponsor an AXZ sale for them?
How do I enroll a family member or friend as a "member" in
www.myplan.ford.com?
My 'member' never receives the email invitation when I enroll them.
Can I find Plan prices and incentives before contacting a dealer?
1. How do I get a PIN?
Go to the PINs & Members section on our website or contact the call center. Due to cost considerations, all participants are encouraged to use the web site whenever possible. Active salaried employees with Company provided Internet access are required to use the website (
www.axz.ford.com) for PIN generation.
2. How long is a PIN valid?
PINs remain active for 12 months from the date of issue.
3. How do I confirm the AXZ-Plan Price on the vehicle I want to purchase?
As an AXZ-Plan participant, you are authorized to see the dealer invoice for the vehicle you intend to purchase. Ask the dealer to show you this invoice and point out the AXZ-Plan price for your review. The A or Z-Plan price is the amount shown in the box labeled "A/Z-Plan" near the bottom of the factory invoice (not displayed for Jaguar and Land Rover, labeled as "S-Plan" for Mazda). The New Vehicle Purchase Plan price includes advertising, finance costs, transportation, dealer preparation and Company administrative fees. The dealership may not charge extra for these items.
4. Can I purchase or lease my eligible vehicle?
Yes. You can purchase or lease any qualified vehicle in the New Vehicle Purchase Plan provided you are a qualified participant with a good credit rating. Purchase or lease financing may be obtained at the customer's discretion from any source.
5. Can I obtain a vehicle for my business or for another person?
A/Z-Plan vehicles must be titled and registered in the eligible employee, retiree or eligible family member's name for a minimum of six months. However, X-Plan purchases may be titled in the name of a business. PINs must be generated using the last 4 digits of the company's federal tax identification number.
6. How long do I have to keep an A-Plan vehicle?
You must keep an A-Plan vehicle in your possession and registered in your name for at least six months from the date of purchase or lease.
7. I'm confused about how the Red Carpet Lease agreement was calculated. What should I do?
Ask your dealer to walk you through the steps used to calculate your lease. If you're still confused after the dealer explains it again, call the Ford Credit Customer Service Center for assistance.
8. Am I eligible for other incentives?
Yes, for most. Plan participants are eligible for all public incentives and many incentives normally paid to the dealer. There are some offers that are not compatible with the Plan. Your dealer can best determine which incentives you are eligible for.
9. Do dealers make a profit on the New Vehicle Purchase Plan?
Yes. Dealers receive a commission from Ford Motor Company on each New Vehicle Purchase Plan transaction (including X-Plan).
10. May I purchase a used vehicle or dealer demonstrator on the AXZ-Plan?
· The Plans are only for new vehicles. Used vehicles are not eligible for AXZ discount plan. New vehicle demonstrator units are available for sale at the new vehicle AXZ-Plan price, however, no additional discount is permitted beyond incentives compatible with an AXZ-Plan deal.
11. Can I be charged a "document fee" (doc fee) by my dealer?
No. Fees for document preparation or similar administrative services are not allowed.* If the dealer charges you a documentary fee please call 1-800-348-7709 and report the issue.
* Each dealer is responsible for complying with applicable laws or regulations. Dealers may not charge different fees to participants in the New Vehicle Purchase Plans (AXZ-Plans).
Mazda dealerships may charge reasonable and customary document preparation and/or administrative service fees for S Plan sales. Please review all fees with your Mazda sales consultant and be sure you understand and agree prior to completing a sale.
12. What happens if I obtain a PIN for my brother or sister to purchase or lease a new car and someone else (ineligible participant) uses the PIN?
You are responsible for the allocation of your AXZ-Plan PINs and how they are used. It's up to you to let your relatives know who is eligible and who isn't. Note that an AXZ-Plan purchase using the PIN you provide should only be completed for the individual you designate on the PIN itself. If you are aware that a different individual has purchased a vehicle with this PIN, you should report the incident to AXZ-Plan Headquarters immediately. Please see the section "Who's Eligible" for details.
13. What vehicles are eligible for the Plan?
For a list of eligible vehicles, go to the Vehicles and Pricing tab. All Ford Motor Company vehicles are generally eligible with the exception a select few models that are listed in the Product Availability section. Exclusions are subject to change, so verify eligibility on the web site. Vehicles listed under Vehicles and Pricing that are not eligible for the Plan are denoted with an X next to the model name, a “mouse over” message stating the vehicle is not eligible and a line of text at the bottom of the image of that model. Additionally there will be no Plan price example next to the model image.
14. May I purchase or lease an E-Series or F-Series chassis on the AXZ-Plan?
Most F-Series and E-Series vehicles are eligible for AXZ Plan purchase. See our Product Availability section for further details.
15. Are SVT vehicles eligible?
Yes. However the Plan program is voluntary at participating dealerships.
16. What may happen to me if I don't follow the Plan's rules and abuse my privileges?
Disregard for the rules of the New Vehicle Purchase Plan is a serious matter. Violations of the Plan's rules, as described in this document can result in:
· Having to re-pay the participating dealership's commission,
· Being suspended from participating in the Plan,
· Facing other disciplinary action up to and including termination of employment.
17. How long is the Plan program in effect?
There is no effective expiration date for this program, however, Ford Motor Company reserves the right to modify the program, remove eligibility, or cancel the program at any time.
18. Information I've been given elsewhere conflicts with the rules in this document. What should I do?
For clarification of Plan Rules, contact our call center with your concern before closing any sale or lease transaction. Remember, you are responsible for assuring that your Plan Eligibility is used according to the Rules. This includes sales and leases you sponsor for family members.
19. I'm a U.S. employee and have relatives in Canada. Can I sponsor an AXZ sale for them?
The short answer is yes! If you are a U.S. employee (as identified by your CDS record), retiree, or surviving spouse and you wish to sponsor an AXZ sale through a Canadian dealership, you will need to request an "exception" PIN from our call center. When you contact our call center, be sure to inform the call center representative that you are a U.S. employee and wish to request an "exception" AXZ PIN for use through a Canadian dealership. Generated PINs will count towards your overall yearly allocation of four (4) A/Z PINs and four (4) X PINs. These same procedures apply to Canadian employees requesting PINs for use through a U.S. dealership. Note, Ford of Canada maintains their own set of rules for AXZ-Plan. While very similar, differences exist. Canadian rules apply to Canadian PINs. For example, Mazda products are not available on X-Plan in Canada.
20. How do I enroll a family member or friend as a "member" in
www.myplan.ford.com?
As an AXZ-Plan sponsor, you have the ability to enroll individuals eligible for either the A/Z or X Friends & Neighbors Program into an exclusive web site
www.myplan.ford.com. This web site provides many of the great features and functions you have in
www.axz.ford.com including: AXZ-Plan pricing, incentives, special offers, plan rules and the ability to request PINs electronically from you, their sponsor. Your members can also sign-up for email notification of the latest AXZ-Plan offers. This is a great way to introduce you family and friends to the outstanding product offerings available through you as a Ford employee/retiree. Go to the "PINS&Members" section of our "How It Works" tab to learn more.
21. My 'member' never receives the email invitation when I enroll them.
In rare cases, some ISP's (Internet Service Providers) have spam filters that will block the invitation email broadcasted. If you have confirmed with your family member or friend that they want to receive the invitation, perform the following steps:
Go to your member's table in the "PINs&Members" tab. Select the "edit profile"" link for the enrollee in question and then the "resend invite" link.
When the email address prompt is displayed, enter your email address so you receive the invitation in your email in-box.
When you receive this email in your in-box, forward the email to your enrollee's email address. Before you send the email, be sure to remove the characters, "ADV:" in the subject line of the note.
This will allow your invitation email to be received by your family member or friend.
22. Can I find Plan prices and incentives before contacting a dealer?
Yes. We provide a number of sources for you to research pricing and incentives on specific vehicles. By going to the "Vehicles & Pricing" tab of
www.axz.ford.com, you will see a complete listing of all eligible Ford Motor Company vehicles under the Plan. Click your vehicle of choice and you will be provide several information sources. An "example price" of the displayed vehicle on this page is provided to give you an idea of MSRP and Plan pricing along with the savings you can achieve. You will also have three links at the bottom of this page that provide you detailed information on pricing, incentives and product information. For Ford/Lincoln/Mercury, you will be provided exclusive access to the actual Plan price of vehicles within a dealerships inventory down to a specific VIN. For all other brands, we provide you a pricing sheet that lists the various models, packages and options with the Plan prices. The incentives link for Ford/Lincoln/Mercury vehicles will also provide you most national and regional incentives for your vehicle of choice. Pricing and incentives information is updated regularly. However, due to timing considerations, some information may not reflect the latest status. Please see your dealer for the most current product, pricing and incentives information.
cleanup edit by klhansen
Linear Mode
