v3.22.4
Segment Information (Notes)
 12 Months Ended
Dec. 31, 2022
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
We report segment information consistent with the way our chief operating decision maker (“CODM”) evaluates the operating results and performance of the Company.  Accordingly, we analyze the results of our business through the following segments:  Automotive, Mobility, and Ford Credit. Items not included within our segments are reported and reviewed as part of Corporate Other, Interest on Debt, and Special Items.

On January 1, 2023, we implemented a new operating model and reporting structure. With this change, we will analyze the results of our business through the following reportable segments: Ford Blue, Ford Model e, and Ford Pro (combined, replacing the Automotive segment); Ford Next (previously Mobility); and Ford Credit. As a result of the change, beginning with our Quarterly Report on Form 10-Q for the quarter ending March 31, 2023, we will report our results in these five reportable segments. Company adjusted earnings before interest and taxes (“EBIT”) will include the financial results of these five reportable segments and Corporate Other, and net income will comprise the financial results of the five reportable segments and Corporate Other, as well as Interest on Debt, Special Items, and Taxes.

Below is a description of our reportable segments and other activities as of December 31, 2022.

Automotive Segment

The Automotive segment primarily includes the sale of Ford and Lincoln vehicles, service parts, and accessories worldwide, together with the associated costs to develop, manufacture, distribute, and service the vehicles, parts, and accessories. This segment includes revenues and costs related to our electrification vehicle programs and enterprise connectivity. The segment includes the following regional business units:  North America, South America, Europe, China (including Taiwan), and the International Markets Group.

Mobility Segment

The Mobility segment primarily includes development costs for Ford’s autonomous vehicles and related businesses, Ford’s equity ownership in Argo AI (a developer of autonomous driving systems), and other mobility businesses and investments. For additional information about our investment in Argo AI, see Note 14.

Ford Credit Segment

The Ford Credit segment is comprised of the Ford Credit business on a consolidated basis, which is primarily vehicle-related financing and leasing activities.

Corporate Other

Corporate Other primarily includes corporate governance expenses, interest income (excluding interest earned on our extended service contract portfolio that is included in our Automotive segment) and gains and losses from our cash, cash equivalents, and marketable securities (excluding gains and losses on investments in equity securities), and foreign exchange derivatives gains and losses associated with intercompany lending. Corporate governance expenses are primarily administrative, delivering benefit on behalf of the global enterprise, that are not allocated to operating segments. These include expenses related to setting and directing global policy, providing oversight and stewardship, and promoting the Company’s interests. Corporate Other assets include: cash, cash equivalents, and marketable securities; tax related assets; other investments; and other assets managed centrally.

Interest on Debt

Interest on Debt is presented as a separate reconciling item and consists of interest expense on Company debt excluding Ford Credit. The underlying liability is reported in the Automotive segment and in Corporate Other.
NOTE 26.  SEGMENT INFORMATION (Continued)

Special Items

Special Items are presented as a separate reconciling item. They consist of (i) pension and OPEB remeasurement gains and losses, (ii) gains and losses on investments in equity securities, (iii) significant personnel expenses, dealer-related costs, and facility-related charges stemming from our efforts to match production capacity and cost structure to market demand and changing model mix, and (iv) other items that we do not necessarily consider to be indicative of earnings from ongoing operating activities. Our management ordinarily excludes these items from its review of the results of the operating segments for purposes of measuring segment profitability and allocating resources. We also report these special items separately to help investors track amounts related to these activities and to allow investors analyzing our results to identify certain infrequent significant items that they may wish to exclude when considering the trend of ongoing operating results.
NOTE 26.  SEGMENT INFORMATION (Continued)

Key financial information for the years ended or at December 31 was as follows (in millions):
 AutomotiveMobilityFord CreditCorporate OtherInterest on DebtSpecial
Items		Eliminations/AdjustmentsTotal
2020     
Revenues$115,894 $47 $11,203 $— $— $— $— $127,144 
Income/(Loss) before income taxes1,706 (1,052)2,608 (726)(1,649)(2,003)(a)— (1,116)
Depreciation and tooling amortization5,209 8 3,269 52 — 236 — 8,774 
Interest expense— — 3,402 — 1,649 — — 5,051 
Investment-related interest income158 — 94 200 — — — 452 
Equity in net income/(loss) of affiliated companies296 (133)20 1 — (142)— 42 
Cash outflow for capital spending5,483 44 40 175 — — — 5,742 
Total assets62,741 3,459 157,637 45,410 — — (1,986)(b)267,261 
2021      
Revenues$126,150 $118 $10,073 $— $— $— $— $136,341 
Income/(Loss) before income taxes7,397 (1,030)4,717 (1,084)(1,803)9,583 (c)— 17,780 
Depreciation and tooling amortization5,024 8 1,666 53 — 567 — 7,318 
Interest expense— — 2,790 — 1,803 — — 4,593 
Investment-related interest income112 — 38 104 — — — 254 
Equity in net income/(loss) of affiliated companies567 (258)31 2 — (15)— 327 
Cash outflow for capital spending5,979 46 44 158 — — — 6,227 
Total assets68,969 3,325 134,428 51,730 — — (1,417)(b)257,035 
2022      
Revenues$148,980 $99 $8,978 $— $— $— $— $158,057 
Income/(Loss) before income taxes9,692 (926)2,657 (1,008)(1,259)(12,172)(d)— (3,016)
Depreciation and tooling amortization5,159 5 2,281 72 — 157 — 7,674 
Interest expense— — 3,334 — 1,259 — — 4,593 
Investment-related interest income75 — 178 386 — — — 639 
Equity in net income/(loss) of affiliated companies667 (315)27 1 — (3,263)(e)— (2,883)
Cash outflow for capital spending6,284 23 58 204 — 297 — 6,866 
Total assets69,933 392 137,954 49,132 — — (1,527)(b)255,884 
__________
(a)Primarily reflects Global Redesign actions, mark-to-market adjustments for our global pension and OPEB plans, and the field service action for Takata airbag inflators, partially offset by the gain on our investment in Argo AI as a result of the transaction with Argo AI and VW in the second quarter of 2020.
(b)Primarily includes eliminations of intersegment transactions occurring in the ordinary course of business.
(c)Primarily reflects gains/(losses) on our Rivian investment and mark-to-market adjustments for our global pension and OPEB plans, partially offset by Global Redesign actions and the loss on extinguishment of debt.
(d)Primarily reflects gains/(losses) on our Rivian investment and the impairment of our Argo AI equity method investment.
(e)Primarily reflects the impairment of our Argo AI equity method investment.
NOTE 26.  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):
 202020212022
 RevenuesLong-Lived
Assets (a)		RevenuesLong-Lived
Assets (a)		RevenuesLong-Lived
Assets (a)
United States$82,535 $45,360 $87,012 $44,271 $105,481 $41,925 
Canada8,711 5,111 11,153 5,773 12,590 5,739 
United Kingdom6,110 1,401 7,607 1,383 8,220 1,264 
Germany6,526 3,197 6,237 2,708 6,471 2,483 
Mexico1,030 3,669 1,440 3,903 1,813 4,255 
All Other22,232 6,296 22,892 5,462 23,482 4,371 
Total Company$127,144 $65,034 $136,341 $63,500 $158,057 $60,037 
__________
(a)    Includes Net property and Net investment in operating leases from our consolidated balance sheets.