Dr. Scott Staley Chief Engineer – Hybrid Programs Ford Motor Company Good Afternoon. It’s my honor to serve as the Chairman of Convergence 2004 representing Ford Motor Company. Thank you for inviting me here today to preview this year’s conference. As Chairman of Convergence, I’ll do my best to represent the industry, not only Ford. I’m looking forward to this year’s conference. I heard an interesting story about last year’s event.

North American Truck of the Year During the 1960s and 70s, transistors found their way into the automotive environment Stricter governmental regulations mandated cleaner emissions and improved safety Electronic Engine Control and Seat Belt Starter interlock were the first custom integrated circuit applications The auto industry turned to electronics as the most practical means of meeting these new regulatory standards.

A Sustainable Future One Year: Ford will have more than 25,000 hybrids on the road, plus 50 Focus Fuel Cell Vehicles. Three Years: Five different hybrid models 10 Years: Industry wide, FCVs by the thousands and more than 1 million hybrids. Back in the 1950s and 60s, the only electronics in an automobile was the vehicle's alternator, voltage regulator, and the radio. Power windows, power seats and air conditioners were just starting to emerge, but only for the most expensive vehicles.

The Next Generation In the early days, the electronics to address these issues filled up an entire car trunk. The drive was on for greater capability and smaller size. This is an early photograph of our computer controlled engine control system which was located in the trunk of a prototype Ford vehicle. Of course today, when you have a problem with an engine control module, it is sometimes hard to find the module :o)

Five Hybrid Programs Including all-new Ford Fusion The first electronic engine control on a Ford product was in 1978 – on the Lincoln Versailles with a 5-liter engine It controlled spark and EDR. It was a advanced “high speed” 5 MHz processor It was our first step toward the rapid growth of electronics

Toward a Sustainable Future Today there is more computing power in a vehicle to keep your CD from skipping on a bumpy road than was used onboard the Apollo Spacecraft 30 years ago. The challenges of the automotive industry faced were nearly as great as the challenge of putting a man on the moon. But many difficult challenges remain maximizing fuel economy and performance Ensuring passenger and pedestrian safety And reducing or eliminating emissions.