Director P. O. Box 1904 Service Engineering Operations Dearborn, Michigan Ford Customer Service Division

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Michael A. Berardi Ford Motor Company Director P. O. Box 1904 Service Engineering Operations Dearborn, Michigan 48121 Ford Customer Service Division TO: All U.S. Ford and Lincoln Dealers November 29, 2012 SUBJECT: Customer Satisfaction Program 12N03 All 2005 through 2007 Model Year Freestyle, Five Hundred, and Montego Vehicles Engine Idle RPM Surge Extended Warranty PROGRAM TERMS This program extends the coverage for a one time repair of engine idle RPM surge caused by throttle body deposits for up to ten (10) years of service or 150,000 miles from the warranty start date of the vehicle. If a vehicle has already exceeded the mileage limits, this coverage will last through May 31, 2013. Coverage is automatically transferred to subsequent owners. VEHICLES COVERED BY THIS PROGRAM All 2005 through 2007 model year Ford Freestyle, Five Hundred, and Mercury Montego vehicles built at the Chicago Assembly Plant from Job 1, 2005 through Job Last, 2007. Affected vehicles are identified in OASIS. REASON FOR PROVIDING ADDITIONAL COVERAGE Some of the affected vehicles may exhibit a momentary engine idle RPM surge when stopped or during low speed driving maneuvers such as in a parking lot or driveway. The idle RPM surge may be intermittent. Diagnostic trouble codes (DTCs) P0505, P0506, or P061B could be present and the Check Engine lamp may turn on. This idle surge may occur due to a buildup of deposits in the throttle body from normal Positive Crankcase Ventilation (PCV) system operation. The original Powertrain Control Module (PCM) strategy may not adequately compensate for the throttle body deposits. SERVICE ACTION If an affected vehicle exhibits an engine idle RPM surge condition caused by throttle body deposits, dealers are to remove and clean the throttle body, and reprogram the PCM using IDS version 75.03A or higher. This is a one-time repair and must be performed at no charge to the vehicle owner. Copyright 2012 Ford Motor Company

OWNER NOTIFICATION MAILING SCHEDULE Owner Letters are expected to be mailed the week of December 10, 2012. Dealers should repair any affected vehicles that experience engine idle RPM surge due to throttle body deposits, whether or not the customer has received a letter. ATTACHMENTS Attachment I: Administrative Information Attachment II: Labor Allowances and Parts Ordering Information Attachment III: Technical Information Owner Notification Letter QUESTIONS & ASSISTANCE Special Service Support Center (Dealer Assistance Only) 1-800-325-5621 Sincerely, Michael A. Berardi Copyright 2012 Ford Motor Company

Customer Satisfaction Program 12N03 All 2005 through 2007 Model Year Freestyle, Five Hundred, and Montego Vehicles Engine Idle RPM Surge Extended Warranty ATTACHMENT I Page 1 of 2 OASIS ACTIVATED? Yes, OASIS will be activated on November 29, 2012. FSA VIN LIST ACTIVATED? No, FSA VIN list will not be activated for this service action. STOCK VEHICLES Do not perform this program unless the affected vehicle exhibits the covered condition. SOLD VEHICLES Only owners with affected vehicles that exhibit the covered condition will be directed to dealers for repairs. TITLE BRANDED / SALVAGED VEHICLES Affected title branded and salvaged vehicles are eligible for this service action. RELATED DAMAGE If a related damage condition exists that you believe to be caused by the covered condition, call the Special Service Support Center to request approval prior to the repair of any related damage. Requests for approval after completion of the repair will not be granted. ADDITIONAL LABOR TIME If a condition exists that requires additional labor to complete the repair, call the Special Service Support Center to request approval prior to performing any additional labor. Requests for approval after completion of the repair will not be granted. If you encounter aftermarket equipment or modifications to the vehicle which might prevent the repair of the covered condition, call the Special Service Support Center. OWNER REFUNDS Ford Motor Company is offering a refund for owner-paid repairs covered by this program if the repair was performed before the date of the Owner Notification Letter. This refund offer expires May 31, 2013. Dealers are also authorized to refund owner-paid emergency repairs that were performed away from an authorized servicing dealer after the date of the Owner Notification Letter. There is no expiration date for emergency repair refunds. Non-covered repairs, or those judged by Ford to be excessive, will not be reimbursed. Refunds will only be provided for the cost associated with engine idle RPM surge due to throttle body deposits. Copyright 2012 Ford Motor Company

Customer Satisfaction Program 12N03 All 2005 through 2007 Model Year Freestyle, Five Hundred, and Montego Vehicles Engine Idle RPM Surge Extended Warranty RENTAL VEHICLES The use of rental vehicles is not authorized for this program. ATTACHMENT I Page 2 of 2 CLAIMS PREPARATION AND SUBMISSION Enter claims using Direct Warranty Entry (DWE). Refer to ACESII manual for claims preparation and submission information. Related damage must be claimed on a repair line that is separate from the repair line on which the FSA is claimed. Related damage requires prior approval from the Special Service Support Center. "MT" labor should be submitted on a separate repair line with the related damage flag checked. "MT" labor requires prior approval from the Special Service Support Center. Submit refunds on a separate repair line. - Program Code: 12N03 - Misc. Expense: ADMIN - Misc. Expense: REFUND - Misc. Expense: 0.2 Hrs. Multiple refunds should be submitted on one repair line and the invoice details for each repair should be detailed in the comments section of the claim. Provision for ½ Can of Motorcraft Choke and Linkage Cleaner, PM-14: Submit on the same repair line as the repair. - Program Code: 12N03 - Misc. Expense: OTHER - Misc. Expense: $ 2.25 If the throttle body gasket is damaged and cannot be reused, a throttle body gasket may be submitted without prior approval on the same repair line on which the FSA is claimed. Any additional parts require prior approval from the Special Service Support Center. PROGRAM TERMS: This program extends the coverage for a one time repair of engine idle RPM surge caused by throttle body deposits for up to ten (10) years of service or 150,000 miles from the warranty start date of the vehicle. If a vehicle has already exceeded the mileage limits, this coverage will last through May 31, 2013. Copyright 2012 Ford Motor Company

ATTACHMENT II Page 1 of 1 Customer Satisfaction Program 12N03 All 2005 through 2007 Model Year Freestyle, Five Hundred, and Montego Vehicles Engine Idle RPM Surge Extended Warranty LABOR ALLOWANCES Description Labor Operation Labor Time Remove and clean throttle body, reprogram PCM using IDS version 75.03A or higher 12N03B PARTS REQUIREMENTS / ORDERING INFORMATION Order your parts requirements through normal order processing channels. 0.7 Hours Part Number Description Claim Quantity PM-14 Motorcraft Choke and Linkage Cleaner (Aerosol) ½ - Can per repair Claim as MISC OTHER See Attachment I (CLAIMS PREPARATION AND SUBMISSION) The DOR/COR number for this service action is 50491. Questions regarding parts should be directed to the Special Service Support Center (1-800-325-5621) or E-mailed to: Ford@Renkim.com. DEALER PRICE For latest prices, refer to DOES II. Copyright 2012 Ford Motor Company

ATTACHMENT III PAGE 1 OF 3 EXTENDED COVERAGE PROGRAM 12N03 ALL 2005 THROUGH 2007 MODEL YEAR FREESTYLE, FIVE HUNDRED, AND MONTEGO VEHICLES ENGINE IDLE RPM SURGE EXTENDED WARRANTY OVERVIEW 2005 through 2007 Freestyle, Five Hundred, and Montego vehicles may exhibit a momentary engine idle RPM surge when stopped or during low speed driving maneuvers such as in a parking lot or driveway. The idle RPM surge may be intermittent. Diagnostic trouble codes (DTCs) P0505, P0506, or P061B could be present and the Check Engine lamp may turn on. This may occur due to a buildup of deposits in the throttle body from normal Positive Crankcase Ventilation (PCV) system operation. The original Powertrain Control Module (PCM) strategy may not adequately compensate for the throttle body deposits. If an affected vehicle exhibits a momentary engine idle RPM surge condition caused by throttle body deposits, dealers are to remove and clean the throttle body, and then reprogram the PCM using IDS version 75.03A or higher. This is a one-time repair and must be performed at no charge to the vehicle owner. SERVICE PROCEDURE NOTE: Replacement of the throttle body to intake manifold gasket is not required while performing this procedure, unless the gasket is damaged. 1. Remove the throttle body. For additional information, refer to Workshop Manual (WSM), Section 303-04. Remove and clean the throttle body to intake manifold gasket. Replace the gasket only if it is damaged. 2. Using Motorcraft Choke and Linkage Cleaner or equivalent, spray the throttle body plate and bore. Using a small, soft, solvent resistant brush, clean the edges of the throttle plate and the mating surface of the throttle bore to remove all engine deposit build up. Reapply choke and linkage cleaner. See Figure 1. CAUTION: The throttle body pivot shaft bores contain lubrication that can be compromised if cleaner is sprayed directly into shaft pivot bores. SOLVENT RESISTANT BRUSH THROTTLE BODY PLATE THROTTLE BODY BORE FIGURE 1 1212A CPR 2012 FORD MOTOR COMPANY DEARBORN, MICHIGAN 48121 11/2012 SPX 12Z0028

ATTACHMENT III PAGE 2 OF 3 EXTENDED COVERAGE PROGRAM 12N03 3. Install the throttle body. For additional information, refer to WSM, Section 303-04. Important Information For Module Programming NOTE: When programming or reprogramming a module, use the following basic checks to ensure programming completes without errors. Make sure the battery is fully charged before carrying out the programming steps and connect IDS/scan tool to a power source. Inspect Vehicle Communication Module (VCM) and cables for any damage. Make sure scan tool connections are not interrupted during programming. A hardwired internet connection is strongly recommended. Turn off all unnecessary accessories (radio, heated/cooled seats, head lamps, interior lamps, HVAC system, etc.), close doors. Disconnect/depower any aftermarket accessories (remote start, alarm, power inverter, CB radio, etc.). Follow all scan tool on-screen instructions carefully. Disable IDS/scan tool sleep mode, screensaver, hibernation modes. Create all sessions Key On Engine Off (KOEO). Starting the vehicle before creating a session will cause errors within the programming inhale process. NOTE: Reprogram appropriate vehicle modules before performing diagnostics and clear all Diagnostic Trouble Codes (DTCs) after programming. For DTCs generated after reprogramming, follow normal diagnostic service procedures. 4. Reprogram the Powertrain Control Module (PCM), to the latest calibration using IDS release 75.03A or higher. Calibration files may also be obtained at www.motorcraft.com. CPR 2012 FORD MOTOR COMPANY DEARBORN, MICHIGAN 48121 11/2012 SPX 12Z0028

ATTACHMENT III PAGE 3 OF 3 EXTENDED COVERAGE PROGRAM 12N03 Recovering a PCM/Body Control Module (BCM) when programming has resulted in a blank module: NEVER DELETE THE ORIGINAL SESSION! 1. Obtain the original IDS that was used when the programming error occurred during Module Reprogramming (MR) or Programmable Module Installation (PMI). 2. Disconnect the VCM from the data link connector (DLC) and the IDS. 3. Reconnect the VCM to IDS and then connect to the DLC. Once reconnected, the VCM icon should appear in the corner of the IDS screen. If it does not, troubleshoot the IDS to VCM connection. 4. Locate the ORIGINAL vehicle session when programming failed. This should be the last session used in most cases. If not, use the session created on the date that the programming failed. NOTE: If the original session is not listed in the previous session list, click the ''Recycle bin'' icon at the lower right of the previous session screen. This will load any deleted sessions and allow you to look through them. Double-click the session to restore it. 5. Once the session is loaded, the failed process should resume automatically. 6. If programming does not resume automatically, proceed to the Module Programming menu and select the previously attempted process, Programmable Module Installation (PMI) or Module Reprogramming. 7. Follow all on-screen prompts/instructions. 8. Near the end of programming, the IDS will prompt you to select certain parameters. It is important to make a selection for ALL parameters listed. If the correct selection is already highlighted, you must still choose that selection before clicking the "Tick" mark to complete the configuration. 9. The last screen on the IDS may list additional steps required to complete the programming process. Make sure all applicable steps listed on the screen are followed in order. CPR 2012 FORD MOTOR COMPANY DEARBORN, MICHIGAN 48121 11/2012 SPX 12Z0028

Ford Motor Company Ford Customer Service Division P. O. Box 1904 Dearborn, Michigan 48121 Customer Satisfaction Program 12N03 December 2012 Mr. John Sample 123 Main Street Anywhere, USA 12345 Your Vehicle Identification Number: 12345678901234567 At Ford Motor Company, it has been our goal for more than 100 years to provide customers with high-quality, dependable products. In order to maintain these standards, Ford Motor Company is providing additional coverage under Customer Satisfaction Program 12N03 for your vehicle, with the Vehicle Identification Number shown above. What is the reason for this additional coverage program? On your vehicle, it may be possible to experience a momentary engine idle RPM surge when stopped or during low speed driving maneuvers such as in a parking lot or driveway. The idle RPM surge may be intermittent, and the Check Engine Lamp may turn on. This may occur due to a buildup of deposits in the throttle body. In some cases the original Powertrain Control Module strategy may not adequately compensate for the throttle body deposits. In the interest of customer satisfaction, Ford Motor Company is extending the limited warranty on your vehicle to provide a one-time repair of engine idle RPM surge caused by throttle body deposits. This one-time repair extended warranty will be in effect for up to ten (10) years of service or 150,000 miles from the warranty start date of the vehicle, whichever occurs first. If your vehicle has already exceeded the mileage limits listed above, this coverage will last through May 31, 2013. Coverage is automatically transferred to subsequent owners. This coverage exceeds the original warranty coverage provisions of your vehicle for this condition. What will Ford and your dealer do? How long will it take? If your vehicle exhibits engine idle RPM surge as described above, and your vehicle is within the indicated time/mileage limitations, Ford Motor Company has authorized your dealer to clean the throttle body and reprogram the Powertrain Control Module free of charge (parts and labor) to improve idle quality and low speed driveability. The time needed for this repair is less than one-half day. However, due to service scheduling requirements, your dealer may need your vehicle for a longer period of time. Copyright 2012 Ford Motor Company

What should you do? Have you previously paid for this repair? What if you no longer own this vehicle? Can we assist you further? You do not need to return to your dealer for this repair unless your vehicle has exhibited this momentary idle RPM surge as described above. If your vehicle exhibits this momentary idle RPM surge, it is of short duration and is easily overcome by normal braking forces. Please keep this letter as a reminder of the extended warranty coverage for your vehicle. If your vehicle requires idle surge repairs, and it is within the indicated time/mileage limitations, contact your dealer for a service date. Provide the dealer with the Vehicle Identification Number (VIN) of your vehicle and request a service date for Customer Satisfaction Program 12N03. The VIN is printed near your name at the beginning of this letter. Your dealer will make these repairs at no charge. If you do not already have a servicing dealer, you can access www.fordowner.com for dealer addresses, maps, and driving instructions. If you paid to have engine idle RPM surge repairs made before the date of this letter, you may be eligible for a refund. Refunds will only be provided for service related to idle surge repairs. To verify eligibility and expedite reimbursement, give your paid original receipt to your dealer before May 31, 2013. To avoid delays, do not send receipts to Ford Motor Company. If you no longer own this vehicle, and have an address for the current owner, please forward this letter to the new owner. You received this notice because our records, which are based primarily on state registration and title data, indicate that you are the current owner. If you have difficulties getting your vehicle repaired promptly and without charge, please contact your dealership's Service Manager for assistance. RETAIL OWNERS: If you still have concerns, please contact the Ford Motor Company Customer Relationship Center at 1-866-436-7332 and one of our representatives will be happy to assist you. For the hearing impaired call 1-800-232-5952 (TDD). Representatives are available Monday through Friday: 8:00AM - 5:00PM (Your Local Time). If you wish to contact us through the Internet, our address is: www.fordowner.com. FLEET OWNERS: If you still have concerns, please contact the Fleet Customer Information Center at 1-800-34-FLEET, Option #3 and one of our representatives will be happy to assist you. Representatives are available Monday through Friday: 8:00AM - 5:00PM (Your Local Time). Or you may contact us through the Internet at www.fleet.ford.com. Thank you for your attention to this important matter and remember to save this letter in case you need to take advantage of this additional coverage program. Copyright 2012 Ford Motor Company

Ford Customer Service Division Copyright 2012 Ford Motor Company