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Ford Extends Warranty
On Troubled V-6 Engine

Ford 3.8l V-6 Unanswered Questions •Ford Extends Warranty •Ford Extends II •1995 Windstar •1996 Windstar •1997 Windstar •1998 Windstar •Taurus/Sable •Mustang •Transmission Problems •Lightning Strikes Twice •Refund Problems

WASHINGTON, Feb. 28, 2000 -- After thousands of customer complaints, two class action consumer law suits and a growing tide of negative publicity, Ford Motor Co. has agreed to extend its warranty on head gaskets in the 3.8L V-6 engine in certain 1994-95 models.

Response from consumers was heavily negative, both in an online poll and in emails.

Warranties are being extended to seven years or 100,000 miles, whichever comes first. Ford said it was taking the action "in the interest of customer satisfaction."

It's the second warranty extension for the groubled engines, found in the 1994 Lincoln Continental, 1994-95 Ford Taurus and Mercury Sable and 1995 Windstar.

The original extension, issued in 1998, was for five years/60,000 miles for the Taurus, Sable and Windstar vehicles, and six years/75,000 miles on Continental.

"When Ford issued the original warranty extension, our data indicated that the extension would cover the affected vehicles over the time and mileage where owners were most likely to have a head gasket concern," said Ann O'Neill, director, vehicle service and programs, Ford Customer Service Division.

"But, as these vehicles have aged, we have received new data that indicate that some owners are having failures outside the original warranty extension."

Owners of these vehicles who experienced head gasket failures during the 7year/100,000 mile time frame will be eligible for a full refund for past repairs, or for a limited time, may choose a $4,000 certificate to be used towards the purchase or lease of a new Ford, Mercury or Lincoln.

Vehicle owners will receive a communication from Ford via first-class mail in March explaining the warranty extension, the company said.

"Victory is ours!" screamed an Internet email from Chuck Catanese, a Windstar owner who has rallied fellow Ford owners through emails and postings to Web sites. But later in the email, Catanese coneded the "victory" may be less than total.

"Still won't help the now-crappy resale value, but at lease I feel more at ease with keeping the van for a while," he said.

Attorneys involved in the class action suits against Ford said they were studying the Ford announcement.

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