NEW YORK (Standard&Poor's) Jan. 29, 2009--Standard&Poor's Ratings Services said today that its ratings on Ford Motor Co. (CCC+/Negative/--) and related entities are not affected by Ford's announcement that it plans to immediately draw nearly all of its $10.6 billion revolving credit facility. In our view, the action does not reflect an imminent danger of Ford's cash balances falling to dangerously low levels. However, it is consistent with our previously stated view that cash outflows during 2009--in light of very weak global auto sales--could eventually test the company's ability to maintain sufficient liquidity throughout 2009. Because of the minimal covenants in the bank facilities, we do not currently expect Ford to have problems remaining in compliance during
