DEBT

We have an asset-backed commercial paper program in the United States with qualified institutional investors. We also obtain other short-term funding from the issuance of demand notes to retail investors through our floating rate demand notes program. We have certain asset-backed securitization programs that issue short-term debt securities that are sold to institutional investors. Bank borrowings by several of our international affiliates in the ordinary course of business are an additional source of short-term funding.

We obtain long-term debt funding through the issuance of a variety of unsecured and asset-backed debt securities in the United States and international capital markets. We also sponsor a number of asset-backed securitization programs that issue long-term debt securities that are sold to institutional investors in the United States and international capital markets.

FORD MOTOR CREDIT COMPANY LLC AND SUBSIDIARIES

NOTES TO THE FINANCIAL STATEMENTS (Continued)

NOTE 8. DEBT (Continued)

Debt

Interest rates and debt outstanding were as follows (in millions):



	Interest Rates (a)
	Average				Average				Weighted-				Debt
	Contractual (b)				Effective (c)				Average (d)				September 30,			December 31,
	2011		2010		2011		2010		2011		2010		2011			2010
Short-term debt
Asset-backed commercial paper (e)	0.3	%	0.5	%									$	6,460		$	6,634
Ford Interest Advantage (f)	1.3	%	1.8	%									4,930			4,525
Other asset-backed short-term debt (e)	2.3	%	2.6	%									2,532			1,112
Other short-term debt (g)	6.4	%	4.9	%									1,170			1,000
Total short-term debt	1.5	%	1.4	%	1.5	%	1.4	%	1.8	%	1.9	%	15,092			13,271
Long-term debt
Senior indebtedness
Notes payable within one year (g)													9,298			9,129
Notes payable after one year (g)													22,204			24,771
Asset-backed debt (e)
Notes payable within one year													13,713			16,673
Notes payable after one year													19,817			19,132
Unamortized discount													(199		)	(399		)
Fair value adjustments (h)													688			302
Total long-term debt (i)	4.7	%	4.6	%	5.1	%	5.0	%	4.5	%	4.7	%	65,521			69,608
Total debt	4.1	%	4.1	%	4.5	%	4.4	%	4.0	%	4.2	%	$	80,613		$	82,879

Fair value of debt (j)													$	82,533		$	86,256


(a)	Interest rates are presented for the third quarter of 2011 and the fourth quarter of 2010.


(b)	Average contractual rates reflect the stated contractual interest rate excluding amortization of discounts, premiums and issuance fees.


(c)	Average effective rates reflect the average contractual interest rate plus amortization of discounts, premiums and issuance fees.


(d)	Weighted-average rates reflect the average effective interest rate plus the impact of derivatives and facility fees.


(e)	Obligations issued in securitizations that are payable only out of collections on the underlying securitized assets and related enhancements. See Note 5 for information regarding securitization transactions.


(f)	The Ford Interest Advantage program consists of our floating rate demand notes.


(g)	Includes debt with affiliated companies as indicated in the table below.


(h)	Fair value adjustments related to designated fair value hedges of unsecured debt.


(i)	Reflect the rates for both notes payable within one year and notes payable after one year.


(j)	Reflects interest accrued but not yet paid of $973 million and $1.0 billion at September 30, 2011 and December 31, 2010, respectively. Interest accrued is reported in Other liabilities and deferred income for outside debt and Accounts payable - Affiliated companies for debt with affiliated companies. See Note 10 for fair value methodology.



	September 30, 2011		December 31, 2010
Debt with affiliated companies
Other short-term debt	$	37	$	385
Notes payable within one year	485		160
Notes payable after one year	95		116
Total debt with affiliated companies (a)	$	617	$	661


(a)	Includes primarily cash from Blue Oval Holdings to collateralize guarantees from FCE Bank plc ("FCE") for Ford in Romania. See Note 15 for further information.

FORD MOTOR CREDIT COMPANY LLC AND SUBSIDIARIES

NOTES TO THE FINANCIAL STATEMENTS (Continued)

NOTE 8. DEBT (Continued)

Debt Repurchases and Calls. From time to time and based on market conditions, we may repurchase or call some of our outstanding unsecured and asset-backed debt. If we have excess liquidity and it is an economically favorable use of our available cash, we may repurchase or call debt at a price lower or higher than its carrying value, resulting in a gain or loss on extinguishment.

In the third quarter and first nine months of 2011, through private market transactions, we repurchased and called an aggregate principal amount of $804 million (including $1 million maturing in 2011) and $2.3 billion, respectively, of our unsecured debt. There were no repurchase or call transactions for asset-backed debt during 2011. As a result, we recorded a pre-tax loss of $31 million and a pre-tax loss of $65 million, net of unamortized premiums, discounts and fees, in Other income, net in the third quarter and the first nine months of 2011, respectively.

In the third quarter and first nine months of 2010, through private market transactions, we repurchased and called an aggregate principal amount of $1.0 billion and $3.4 billion, respectively, of our unsecured debt and asset-backed debt. As a result, we recorded a pre-tax loss of $26 million and a pre-tax loss of $86 million, net of unamortized premiums, discounts and fees, in Other income, net in the third quarter and the first nine months of 2010, respectively.

Debt Maturities. Short-term and long-term debt matures at various dates through 2048. Maturities are as follows (in millions):



	2011 (a)		2012 (b)			2013			2014			2015			There-after (c)			Total
Unsecured debt	$	8,372	$	7,129		$	5,130		$	3,549		$	5,703		$	7,719		$	37,602
Asset-backed debt	8,120		18,699			7,006			4,032			2,104			2,561			42,522
Unamortized (discount)/premium (d)	4		(30		)	(17		)	(114		)	(7		)	(35		)	(199		)
Fair value adjustments (d)	3		33			78			46			113			415			688
Total debt	$	16,499	$	25,831		$	12,197		$	7,513		$	7,913		$	10,660		$	80,613


(a)	Includes $10,337 million for short-term and $6,162 million for long-term debt.


(b)	Includes $4,755 million for short-term and $21,076 million for long-term debt.


(c)	Includes $10,272 million of unsecured debt maturing between 2016 and 2021 with the remaining balance maturing after 2031.


(d)	Presented based on maturity date of related debt.