“We also expect about $2 billion lower past service pension income.”

In context

“EBIT, and that assumes a SAR of 15 million units in the U.S. and 13 million units in Europe. We expect to generate adjusted free cash flow of about $6 billion and for capital expenditures to be between $8 billion to $9 billion. Our adjusted EBIT guidance includes various headwinds and tailwinds and that we believe could impact our business in the coming year. And for example, when you think about the headwinds, they include an expected mild recession in the U.S. in moderate recession in Europe, higher industry incentives as supply and demand come back into balance. Ford Credit EBT of about $1.3 billion, and that's about $1.4 billion lower than in 2022, reflecting unfavorable lease residual and credit losses and the nonreoccurrence of derivative games. We expect a continued strong dollar. We also expect about $2 billion lower past service pension income. And we're also going to continue investments in growth, including in customer experience, connected services and CapEx as we build out our growth plan. Now tailwinds include improvements in supply chain and industry volume, launch of our all-new Super Duty and then, of course, lower cost of goods sold, including efficiencies in materials, commodities, logistics and other parts of our industrial platform. Now before taking questions, let me briefly touch on our new financial reporting as well as plans for our next Capital Markets Day. On March 23, we'll hold a teach-in at the New York Stock Exchange. And I'm really excited about this opportunity because it will be our chance to take you through how the new Ford+ segments will alter our financial reporting. The changes will include how reve”