You mean you are going to comply, make decisions about disbursements by the fourth quarter?

Alan Mulally

Yeah. I think what we are going to do from the conversation we have had I think what they’re going to do is maybe do a bi-quarter and they are shooting to have it done as early as the fourth quarter, which is terrific.

Patrick Archambault - Goldman Sachs

And I guess it is another question related to that. It sounded like from the language as well they were open to kind of pre-funding a number of programs, right?

Alan Mulally

You bet. Again, I think it’s a real positive development because they are really trying to meet the intent of the legislation and that is to accelerate the implementation and bring to the market the fuel-efficient vehicles that we all want. So I think they’re really being responsive.

Operator

Ladies and gentlemen at this time we are going to switch and welcome the media communities going forward. Please press “*1” on your touchtone telephone to participate. Your first question will come from the line of Bryce Hoffman representing The Detroit News.

Bryce Hoffman – The Detroit News

Good morning gentlemen and I welcome Lewis. A couple of questions, I wanted to start with this. Alan and Lewis you talked about being on track or even a little bit ahead of track on the $5.0 billion in cost reductions. But the question is, is $5.0 billion still enough? I mean that was based on a whole different set of assumptions, wasn’t it?

Alan Mulally

Absolutely is the answer, because when we set that objection, the world has really changed since then, especially the U.S. economy deterioration and the North American team have done a fabulous job Bryce at working their fundamental structural costs and exceeding their original targets during the toughest of times. Now clearly the big message today is that we, with the economy further degrading, that we are going to get ahead of it again and take additional action to match the production to the real demand and continue to improve our productivity and so it’s never over and these are tough actions but this is the appropriate thing to do and we’re going to do it decisively. So we’re going to keep improving.

Lewis Booth

Just for clarity, the $5.0 billion was through the end of 2008. So we’re on track to achieve that and obviously we have got a lot more to do going forward.

Bryce Hoffman – The Detroit News

One other point of clarification, did I understand you guys correctly that you have already sold some asset-backed securities through the government’s bailout program?

Alan Mulally

Yes, about $4.0 billion, Bryce.

Bryce Hoffman – The Detroit News